Hervé Hoppenot: Matteo can add to the comment. I mean the picture in terms of refill rate has been the following is that, in atopic dermatitis, we have observed a refill that is slightly north of two tubes per patient. And that is relatively stable. Now it is still increasing a little bit, but it is relatively stable. In vitiligo, it’s moving very quickly, and we are not yet at the steady state. It is a situation where we see, unfortunately that there are patients who are not complying with the treatment as it was prescribed, and we’re obviously working with physicians and patients directly to improve it. And as you know, I mean from the experience we had in the clinical trial, we are estimating that if we are successful, it will be around 10 tube per patient, but we are still at the number that is lower than that today when you try to look at patients who have enough history. So do you want to speak about what we are doing on the marketing side.
Matteo Trotta: Yes. The only comment that I can add is on — just in this quarter, we are launching a very promising adherence program that we – we are confident will impact — continue to impact the refill rate growth that we see across both indications, AD and Vitiligo.
Operator: Thank you. Next question today is coming from Salveen Richter from Goldman Sachs. Your line is now live.
Salveen Richter: Good morning. Thanks for taking my question. Could you just give us an update on how the ex-U.S. launch of Opzelura is progressing with the addition of France at this point? And how you are thinking about the pediatric uptake in 2025? And if I could also just ask one on business development. Post the recent acquisition, you still have significant balance sheet capacity. Could we see you do meaningful M&A in the near term on top of [patient] (ph)?
Hervé Hoppenot: Okay. So maybe starting, I’ll take the first part about the European launch because, in fact there is a lot of activities going on there. As you know, we launched in Germany, Austria. So that is the base that we have. Recently, we’re part of AXA Direct, which is a French process where you can commercialize your product while you are negotiating the price. So what you see in the numbers today is that there are around $2 million that are recognized sales from France. And it’s a sort of an estimate with a conservative price per tube that we are using to do that. But the process there is moving very well, and we anticipate by the second half of the year to be fully reimbursed and paid for at a good price in France.
And we have now in Italy and Spain agreement on the price where we will be launching between mid-year and the second half of the year in both countries. So Germany, Italy, Spain and France will be fully operational by Q3 and will be contributing to the top-line. There is also some smaller countries in Europe where the process is ongoing, and there is always the big question mark of the United Kingdom, England, where as you know, the pricing discussion can take more time, and we are in the process there. So it is a very positive outcome for Opzelura in Europe because we got reimbursement now in many countries and most of the large countries. And we see a very good uptake of the demand in terms of volume in the countries where it is available, specifically in France.
Now the second part of your question was about the pediatric uptake in the U.S., when we get approval. So maybe, Matteo if you want to speak about that?
Matteo Trotta: Yes, sure. Thanks for the question. And we are very excited by the potential opportunity to help 2 million, 3 million children in the U.S. And we see data consistent with what we would expect. So pending FDA approval, we are excited by another contribution and tailwind to our top-line. This is a patient population that maybe the parents will be a little more sensitive to our box warning, but at the same time, it’s 2 million, 3 million patients and children that we potentially have the opportunity to help going forward.
Hervé Hoppenot: On the [busy] (ph) side, maybe, Christiana, you can –.
Christiana Stamoulis: Yes. Sure. So Salveen, as you commented on, we have a strong balance sheet, and we’ll continue to have a strong balance sheet following the Escient acquisition. So as of the end of this quarter, we have $3.9 billion of cash. We don’t have any debt, which obviously that could give us additional firepower. So that puts us in a position to be able to look at additional opportunities. And that’s something that we are continuing to explore.
Operator: Thank you. Next question today is coming from Eric Schmidt from Cantor Fitzgerald. Your line is now live.
Eric Schmidt: Thanks for taking my question. Maybe just following on Salveen’s question on capital redeployment. Can you talk about your broader strategy there about also whether you consider returning cash to shareholders in the form of a dividend or a share buyback in addition to potentially using cash to expand your business?
Hervé Hoppenot: I can take that. I mean it’s — we have been speaking about acquisition and external opportunities, which is obviously one very clear goal for the corporation is to diversify our revenue in the future and to increase to the growth coming from the current portfolio that we have. So that’s one option. And obviously as we are doing with our Board, there are discussions about alternatives to that. But today, as you have seen with Escient, I mean there are opportunities that are very much in the range of what we are looking for in terms of timing and in terms of therapeutic areas, and that would be an interest. So we are basically looking at both.
Operator: Thank you. Next question is coming from Jay Olson from Oppenheimer. Your line is now live.
Jay Olson: Hi, congrats on the progress of your KRASG12D. It seems like Incyte is increasingly focused on targeted oncology versus immuno-oncology. Can you describe your strategy in oncology? And Also, how are you planning to leverage your oral PD-L1 for your targeted oncology programs, in combination with your KRASG12D, or do you plan to develop additional KRAS inhibitors? Thank you.
Steven Stein: Yes. So thank you for the question. So your observation is correct. We are moving more aggressively into targeted oncology and trying to shift away from immuno-oncology. And that’s a journey that has started a little bit over a year ago, and we intend to accelerate in the future. The idea here is well-defined patient populations, large treatment effect ideally single-agent activity with early proof-of-concept, and that will allow us to have much more efficient drug development process to accelerate some of these programs. We are very excited about the G12D program. We think it has the potential to be best-in-class. And as you point out, one of the things that we can leverage is we have access to what we believe is the most advanced for sure, oral PD-L1 inhibitor, and that will allow us to do oral-oral combinations in patients with a range of indications.
