Revolution Medicines, Inc. (NASDAQ:RVMD) Q3 2023 Earnings Call Transcript

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Mark Goldsmith : Thanks, Alex, for your questions. On the second question, let me just take care of that one and then come back to the expenses. The comment that we believe we have a recommended Phase 2 dose candidate dose in hand was specifically with regard to lung cancer, where we already have a response rate that’s in the zone of where it needs to be and where that is generally better correlated with durability so we can make some good assumptions now, continue planning and kind of pre-execution and then allow the data to catch up with it in 2024. The question about 500 milligrams and higher, really or 400 milligrams and higher, really has to do with pancreatic ductal adenocarcinoma, but we haven’t really declared that we have a recommended Phase 2 dose in hand.

In fact, we’ve made it pretty clear, we want to see what happens not only at 300, but at 400 milligrams. And then as we commented earlier, if we clear that dose level and dose selection committee wants to advance to 500 milligrams, well, then that’s what we’ll do. So just to separate the two statements, they really — they don’t go together there on different concepts. Expense ramp. Jack, do you want to comment on it?

Jack Anders : Yeah. We haven’t necessarily given out any specifics on forward-looking expense guidance outside of our 2023 net loss guidance. But it is fair to say that our expenses will increase from current levels. We are going to be making investments in these programs. We do need some more data in order to fully understand what those investments are. And I think your question is whether we’re going to be judicious and with our spend. I mean, we obviously — we need to make investments, but we’re going to be we’re going to be wise about this forward basis, but we haven’t given any specifics.

Mark Goldsmith : Yeah. If I could just build on Jack’s last comment there. The whole point of the transaction just to give us the capital to make the investments in ’24 and ’25 and beyond that we really need to make in order to maximize value creation by evaluating these first two, three compounds in the right settings and to evaluate them aggressively in a competitive environment, taking into account also all the downstream commercial considerations and regulatory context, exclusivity and pricing and so on. So we will be increasing our spending. There’s no doubt, but I think it will increase our productivity and maximize value creation. Our focus is not immediately on porting the capital, but at the same time, obviously, we’ll make data-driven decisions, and we have lots of internal checks and balances to make sure that if we do so and that we do so in close alignment with a compelling strategy.

Alec Stranahan : Thank you.

Operator: And I would now like to turn the conference back to Dr. Mark Goldsmith for closing remarks.

Mark Goldsmith : Thank you, operator. Thanks to everyone for participating today. We appreciate your continued support of Revolution Medicines.

Operator: This concludes today’s conference. Thank you for participating. You may now disconnect.

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