Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX) Q2 2025 Earnings | 08/05/2025

Vertex Pharmaceuticals Q2 2025 Earnings Call Summary

Key Highlights:

• Revenue Growth: Vertex reported $2.96B in Q2 revenue, up 12% YoY, driven by strong performance in CF, sickle cell disease (Casgevy), and acute pain (Jernavix).

• Pipeline Progress: Multiple programs advancing in pivotal trials, with potential regulatory submissions in 2026-2027.

• Leadership Transition: CSO David Altshuler to retire in August 2026, succeeded by Mark Bunnage (current SVP of Global Research).

Commercial Updates:

1. CF Franchise:

   • Oliftrec (new CFTR modulator) launch progressing well in the U.S., EU, and Canada, with strong uptake among newly eligible and returning patients.

   • Trikafta transitions steady as patients weigh benefits (once-daily dosing, improved CFTR function).

   • Reimbursement secured in England, Germany, and Denmark.

2. Casgevy (Sickle Cell/Beta Thalassemia):

   • Global momentum building with 75+ authorized treatment centers (ATCs) activated.

   • ~250 patients referred, 115 cell collections, and 29 infusions completed (16 in Q2).

   • Reimbursement secured in 10 countries, including the U.S., EU, and Middle East.

3. Jernavix (Acute Pain):

   • Strong launch progress:

     • ~150M payer-covered lives (half of U.S. coverage).

     • 500+ hospitals added to formularies.

     • 110K+ prescriptions filled (65% retail, 35% hospital).

   • Increasing commercial investment due to positive physician/patient feedback.

R&D Pipeline Updates:

1. Cystic Fibrosis (CF):

   • VX-828 (Next-Gen CFTR corrector) on track for CF patient dosing by end of 2025.

   • VX-522 (for non-modulator patients) trial restarting after DSMC review.

2. Pain Programs:

   • Sucetragine (NAV1.8 inhibitor):

     • No broad PNP indication path per FDA; focusing on Diabetic Peripheral Neuropathy (DPN).

     • Second Phase 3 DPN trial starting soon; enrollment completion expected by end of 2026.

   • VX-993 (NAV1.8 inhibitor):

     • Phase 2 acute pain trial missed primary endpoint; no plans to advance as monotherapy.

     • Will complete ongoing DPN study for exposure-response data.

   • NAV1.7 inhibitors progressing preclinically, with potential for combination therapy (NAV1.7 + NAV1.8).

3. Type 1 Diabetes (VX-880/Zamylocell):

   • Pivotal study nearing completion, with potential 2026 regulatory submissions.

   • 12-month data showed 10/12 patients insulin-free, meeting HbA1c targets.

4. Kidney Disease Portfolio:

   • Povetacicept (IgAN, Membranous Nephropathy, Myasthenia Gravis, WAHA):

     • Phase 3 IgAN study (Rainier) on track for 2026 interim analysis.

     • Phase 2/3 in Membranous Nephropathy starting late 2025.

   • Enaxiplin (APOL1-mediated kidney disease):

     • Interim analysis cohort enrollment on track for 2025.

   • VX-407 (ADPKD):

     • Proof-of-concept trial starting in Q3 2025.

Financials & Guidance:

• Reiterated 2025 revenue guidance: $11.85B–$12B (~8% growth).

• Operating expenses: $4.9B–$5B (high end expected due to R&D/commercial investments).

• Share repurchases: $395M spent in Q2, with $4B new authorization.