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Edited Transcript of SPPI earnings conference call or presentation 2-May-17 8:30pm GMT

Thomson Reuters StreetEvents

Q1 2017 Spectrum Pharmaceuticals Inc Earnings Call

IRVINE May 19, 2017 (Thomson StreetEvents) -- Edited Transcript of Spectrum Pharmaceuticals Inc earnings conference call or presentation Tuesday, May 2, 2017 at 8:30:00pm GMT

TEXT version of Transcript

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Corporate Participants

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* Joseph W. Turgeon

Spectrum Pharmaceuticals, Inc. - President and COO

* Kurt A. Gustafson

Spectrum Pharmaceuticals, Inc. - CFO, Principal Accounting Officer and EVP

* Rajesh C. Shrotriya

Spectrum Pharmaceuticals, Inc. - Chairman and CEO

* Shiv Kapoor

Spectrum Pharmaceuticals, Inc. - VP of Strategic Planning & IR

* Thomas J. Riga

Spectrum Pharmaceuticals, Inc. - Chief Commercial Officer and SVP

* Zane Yang

Spectrum Pharmaceuticals, Inc. - SVP of Clinical Development

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Conference Call Participants

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* Edward Patrick White

FBR Capital Markets & Co., Research Division - SVP and Senior Research Analyst

* Laura Shelmire Engel

Stonegate Capital Markets, Inc., Research Division - Senior Research Analyst

* Swayampakula Ramakanth

H.C. Wainwright & Co, LLC, Research Division - MD and Senior Healthcare Analyst

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Presentation

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Operator [1]

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Good day, ladies and gentlemen, and welcome to the Spectrum Pharmaceuticals First Quarter 2017 Earnings Conference Call. (Operator Instructions) As a reminder, this conference call is being recorded. I would now like to turn the conference over to Shiv Kapoor, Vice President of Strategic Planning and Investor Relations. You may begin.

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Shiv Kapoor, Spectrum Pharmaceuticals, Inc. - VP of Strategic Planning & IR [2]

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Thanks. Good afternoon, and thank you for joining us today for Spectrum's First Quarter 2017 Financial Results Conference Call. I hope you've all had a chance to review the press release we issued earlier today. If not, it's available on our website at www.sppirx.com.

I would like to remind everyone that during this call, we will be making forward-looking statements regarding future events of Spectrum Pharmaceuticals, including statements about the product sales, profits and losses, the safety, efficacy, development, time line and clinical results of our drug products and drug candidates that involve risks and uncertainties that could cause actual results to differ materially. These risks are described in further detail in our reports filed with the Securities and Exchange Commission. These forward-looking statements represent the company's judgment as of the day of this conference call, May 2, 2017, and the company disclaims any intent or obligation to update these forward-looking statements. However, we may choose to update them, and if we do so, we will disseminate the updates to the investing public.

For copies of today's press release, historical press releases, 10-Ks, 10-Qs, 8-Ks and other SEC filings and other important information, please visit our website.

Dr. Raj Shrotriya, our CEO, will start the call today and provide you with the highlights of the first quarter and overall strategy. I'd now like to hand the call over to Dr. Shrotriya.

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [3]

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Thank you, Shiv, and thank you, everyone, for joining us this afternoon.

This is an important time in the Spectrum, as we focus on multiple near-term catalysts. I would like to share some of those with you today and briefly talk about our 3 highest-priority drugs.

One, first let me talk about ROLONTIS, a novel GCSF which now has a new amended SPA -- or Special Protocol Assessment -- with a reduced number of patients in advanced pivotal trial. Second, poziotinib, our third-generation irreversible tyrosine kinase inhibitor, potentially best-in-class, is being studied in a variety of cancers, including non-small cell lung cancer with exon 20 insertion mutation. And thirdly, I'll briefly talk about QAPZOLA, a novel bladder-cancer drug which also has a new SPA requiring far fewer patients.

I'm very pleased with the progress that ROLONTIS is making towards BLA filing in the next year. Joe will provide you with more details about it in a few minutes. Before that I would like to share with you our excitement about poziotinib in lung cancer.

Lung cancer is the most common cancer worldwide, accounting for approximately 1.8 million new cases and approximately 1.6 million deaths as last reported by the World Health Organization. According to the data reported by the American Cancer Society, in 2016 lung cancer was the leading cause of death in men and has surpassed breast cancer as the leading cause of death in women in the United States. Approximately 225,000 patients are newly diagnosed with lung cancer annually and there are approximately 158,000 deaths annually. Less than 5% patients with metastatic lung cancer survive 5 years.

A variety of genetic mutations are considered a reason as to why standard chemotherapy and even targeted therapies have unsatisfactory responses in many of these patients. Non-small cell lung cancer patients with genetic mutation of EGFR exon 20 insertion generally have poor clinical responses to standard chemotherapy, early-generation targeted therapies and even to some third-generation tyrosine kinase inhibitors like osimertinib.

In preclinical studies, it was shown that poziotinib selectively and potently inhibits exon 20 mutants. In an in-vivo study, poziotinib reduced tumor burden by 85% in EGFR exon 20 and 60% in HER2 exon 20 as determined by MRI. This data was presented at the World Lung Congress in Vienna in December of last year by Dr. John Heymach.

Based on this exciting data, the FDA approved a compassionate-use protocol. A 65-year-old non-smoker female with Stage 4 adenocarcinoma of lung, consisting of HER2 exon 20 insertion mutation was placed on poziotinib at the University of Texas MD Anderson Cancer Center in November. This patient previously had disease progression following treatment with both standard chemotherapy and immunotherapy. After 1 week of treatment with 16 milligrams poziotinib given orally as 2 tablets, the patient experienced significant improvement in cough and pain in multiple bone sites.

PET/CT scans following 4 weeks of poziotinib therapy showed significant radiological response. In addition, reduction in tumor size corresponded to a drop in HER2-circulating free DNA to undetectable levels. It has been over 5 months and this patient remains on poziotinib treatment.

Although this is only 1 patient, due to the unmet need in the disease and objective impressive response in this patient, we and scientists at MD Anderson Cancer Center are enthusiastic. A Phase II study protocol has been approved by the FDA and has been recently initiated at MD Anderson Cancer Center and we expect interim data to be available before the year-end.

On ROLONTIS, a novel, long-acting GCSF, I'm pleased to report that we have received a revised SPA from the FDA with the number of patients in the advanced pivotal study has been reduced to 400 from 580. As of today, approximately 75% of patients have been enrolled in this study. We expect to complete enrollment by the second half of this year. And I can now also tell you that we expect top-line data from the ADVANCE study in the first half of next year.

I'm delighted with the recent pace of enrollment of the ROLONTIS Phase III program. Since January of this year and as of April 30, enrollment over 135 patients in this pivotal trial. To strengthen the registration package in both the U.S. and Europe, we will soon start enrolling patients in a second trial, the RECOVER study, which is similar to the ADVANCE study, but will enroll fewer patients with both from existing sites in the U.S. and additional sites expected to include mainly Europe, Canada and South Korea. I'm pleased to report that we remain on track to file a BLA next year.

Thirdly, QAPZOLA Phase III study has a new SPA from the FDA. We in consultation with the FDA have made several changes in the clinical design that we believe improve the probability of success for this program. We expect to start enrolling the pivotal trial in third quarter of this year.

To summarize, we are approaching several milestones in the near term that could have a meaningful impact on the company. We expect data from poziotinib in lung cancer and breast cancer this year and we expect data from ROLONTIS starting in the first half of next year. With 3 advanced-stage drugs being studied in multiple tumor types, I believe Spectrum is poised for transformational growth. Joe Turgeon will soon provide you more details about our operations later in the call. But before that, let me hand over the call to our CFO, Mr. Kurt Gustafson, to talk about our financials. Kurt?

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Kurt A. Gustafson, Spectrum Pharmaceuticals, Inc. - CFO, Principal Accounting Officer and EVP [4]

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Thank you, Raj, and good afternoon, everyone on the call today. I'll just cover a couple of important financial highlights from the quarter.

Let me begin with revenue. Total revenues for the first quarter were $29.1 million. Of this, product sales were $25.8 million. EVOMELA, which is our most recently launched product, had sales of $6.3 million. This number was in line with our expectations. As we mentioned in our last earnings call, we did see some stocking at a few hospitals based on initial orders, which accounted for $2 million to $3 million of sales in the fourth quarter. In the first quarter, these orders did not repeat as these customers worked through their inventory.

We are pleased with the launch trajectory of EVOMELA. End-user demand for this drug remained strong and continues to grow. We believe we have a differentiated product and the market response has validated the merits of this brand.

I also want to make a comment on our cash balance. Our cash burn this quarter was higher than previous quarters. But half of this burn this quarter is related to changes in working capital. And we do not anticipate that these will continue in subsequent quarters. Excluding these working-capital changes, our quarterly cash burn would have been similar to what we have seen in previous quarters, which has been in the $10 million to $12 million range, excluding financing.

With that, let me hand this call over to Joe.

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Joseph W. Turgeon, Spectrum Pharmaceuticals, Inc. - President and COO [5]

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Thank you, Kurt. Thank you, Shiv and Dr. Raj, and thank you to everybody on the call.

I believe our exciting, advanced-stage pipeline is transforming Spectrum into a unique, development-stage, oncology-focused biotech company. Today we have the distinction of having 6 marketed oncology products that provide revenue and a sales force functioning at a high level to support our future.

I want to highlight our pipeline assets that have the potential to change the face of the company. Let me start with the company's highest priority, ROLONTIS, a long-acting granulocyte-colony stimulating factor or GCSF. ROLONTIS is a novel molecule that has been constructed using a proprietary platform technology. In Phase II studies, ROLONTIS has shown impressive safety and efficacy. We are currently enrolling a pivotal trial called ADVANCE that will form the basis of our BLA filing.

The design and end-point of this trial are similar to our Phase II program. The company recently reached an updated Special Protocol Assessment with the FDA to reduce the number of patients in the Phase III ADVANCE study to 400 patients from 580 patients. As Dr. Raj mentioned, the enrollment in this trial is 75% complete.

We're also initiating an additional smaller Phase III study called RECOVER to strengthen our regulatory package in both the U.S. and in Europe. This trial is expected to enroll 218 patients.

We believe we have a comprehensive clinical program for ROLONTIS. These registrational trials are both multicenter, randomized and active controlled trials. Enrolled patients receive chemotherapy every 21 days. ROLONTIS is administered subcutaneously at a fixed dose.

The primary study endpoint is the duration of severe neutropenia, assessed through the absolute neutrophil counts in cycle 1 of chemotherapy based on the central laboratory assessment of ANC over the 21-day cycle.

Secondary endpoints include incidents of neutropenic complications, incidents of febrile neutropenia, relative dose intensity and safety. Like Dr. Raj mentioned, our plan is to file the BLA for ROLONTIS next year and we expect to have top-line data within the first half of 2018. Let me remind you that we have worldwide rights for ROLONTIS, with the exception of Japan, South Korea and China.

Sales for agents used in the treatment of neutropenia were over $6 billion last year, of which over $5 billion came from long-acting agents. ROLONTIS has the opportunity to change the growth trajectory of our company. We are excited to be able to develop a novel molecule in this market.

Now let me talk about poziotinib. Poziotinib is an oral novel, irreversible tyrosine-kinase inhibitor that has shown potential on exon 20 insertion mutations and also as a pan-HER inhibitor in breast cancer patients.

I want to first share the excitement of our study in poziotinib in lung cancer. Last month, at MD Anderson Cancer Center, the first patient was initiated with poziotinib, a non-small cell lung cancer patient with EGFR exon 20 insertion mutations. This is a 30-patient study with a primary endpoint of objective response rate according to RECIST criteria. We expect interim data from this study before the end of this year.

One patient was dosed poziotinib before the initiation of this trial on a compassionate basis. The data from this compassionate-use patient has been encouraging and raises our optimism for the potential of this drug for patients and for Spectrum.

As a reminder, in December, promising preclinical data was presented at the Lung Cancer World Conference in Vienna. Scientists from MD Anderson Cancer Center believe that poziotinib can better inhibit growth of such tumors, due to its unique structure and characteristics. Patients with such tumors are generally non-smokers, younger and have very few options for treatment. The prognosis for these patients is poor with median progression-free survival of less than 2 months. So there's significant unmet medical need in this population.

We're looking forward to interim results from the ongoing Phase II study later this year. Poziotinib is also being studied in a Phase II trial with breast cancer patients who have failed other HER2-directed therapies. Poziotinib has shown a strong response rate in Phase I trials with these patients.

Based on early clinical data, we believe that poziotinib has the potential to be best-in-class among pan-HER inhibitors. Based on our experience gained from 32 patients, we have revised our protocol dose and schedule. We have moved to continuous dosing at 16 milligrams versus the schedule of 2 weeks on and one off at 24 milligrams.

We are also finalizing with key thought leaders, a combination study with T-DM1 in second line therapy targeted to begin later this year. Breast cancer is over a $6 billion market and we're working with leading KOLs to maximize poziotinib's potential. We're considering lines of treatment, logical combinations and speed to market in developing the breast cancer program.

Additionally, our partner, Hanmi, is studying this drug in Korea in many mid-stage studies in several tumor types, including breast cancer, non-small cell lung cancer, head and neck cancer and gastric cancer. Enrollment in Hanmi's breast cancer Phase II trial has been completed and could yield results later this year.

Now on to QAPZOLA, our tumor activated drug for bladder cancer. The new planned Phase III trial received a special protocol assessment. And compared to the previous program, this study will evaluate approximately 72% fewer patients. It will use twice the dosage, it will have a 2:1 randomization in favor of QAPZOLA. It will evaluate time to recurrence as the primary endpoint compared to recurrence at 2 years in the last trial and it'll be studied in low- and intermediate-risk patients, thus increasing the market potential for this drug.

Based on the SPA, we are required to complete only this 1 trial for NDA submission. We're pleased to have the learnings of our previous research and the recommendations of the FDA incorporated into our newly designed trial. We expect to start enrolling patients in the third quarter and we're leveraging our existing site relationships to ramp up the start of the trial. We had approximately 90 investigator sites in our previous clinical studies and many of them will participate in this study.

In summary, Spectrum has multiple opportunities as our pipeline is advancing and our important milestones are ahead. We look forward to updating you in the progress as we work towards bringing more treatment options to cancer patients. I really appreciate your interest in Spectrum. And I want to turn the call back over to Dr. Raj.

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [6]

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Thank you, Joe. I'm optimistic about our future and believe we are in a position of strength. Each of our 3 latest-stage assets will have a significant event in the next 12 months. We look forward to completing enrollment in the ADVANCE study soon, filing the BLA for ROLONTIS next year, having interim data from poziotinib in lung cancer, potentially before year-end and starting the QAPZOLA Phase III pivotal study in third quarter. I believe we are poised to execute on these opportunities effectively.

With that, let's open the call for questions. Operator?

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Questions and Answers

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Operator [1]

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(Operator Instructions) And our first question comes from the line of Ed White with FBR & Company.

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Edward Patrick White, FBR Capital Markets & Co., Research Division - SVP and Senior Research Analyst [2]

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So just a couple of things. First on poziotinib. You gave a great update on the lung opportunity and the development there. Can you just give us a little bit more on the breast cancer, the Phase II update and when we can expect to see some data from that study? And then also on Hanmi, you had mentioned, the breast cancer enrollment has been completed and could have interim data by year-end. Are there any updates from any of the other trials that Hanmi is running?

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [3]

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Thank you for question, good question. So in lung cancer, as you know, that the initial Phase I and Phase II trials were done in Korea. They have treated more than 100 patients. And the dosing they had used was 2 weeks on and 1 week off. And in the U.S., we started the same protocol -- similar protocol with the same dosing, 2 weeks on and 1 week off.

Because the Korean patients are underweight as compared to American patients, we decided to increase the dose from 12 to 16 milligrams in Korea, we decided to increase the dose to 24 milligrams in the United States and we treated 32 patients with that dose. However, looking and talking to our consultants, experts, and looking to at our own experience, we decided that actually we need to treat these patients with continuous dosing. So a protocol has been amended and the new patients' enrollment has begun with the new protocol, which is the continuous dosing and that's exactly what we're doing in the lung cancer trial.

Lung cancer trial -- we're using 16 milligrams' continuous dosing for lung cancer patients and we plan to do the same thing with the revision of the protocol in the United States. In addition, as you heard from Joe, we also have plans to start early-stage breast cancer patients with combination of T-DM1. So there will be a study with T-DM1 and poziotinib that's on the books and is going to start eminently.

Talking about the program from Korea -- yes, the Korean study in about 100 patients has been completed. Data has now been put together, and I believe the data is being -- is planned to be analyzed soon, and we hope to have a publication from them or a report before the end of this year. As soon as we have this data, we will share it with you.

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Edward Patrick White, FBR Capital Markets & Co., Research Division - SVP and Senior Research Analyst [4]

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And then just regarding the size of the exon 20 mutation market in lung cancer, maybe you can speak a little bit to that? And then I just have one follow-up question.

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [5]

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So exon 20 insertion mutation patients, the estimate -- the best estimate I've gotten is a range between 5,000 and 9,000 patients a year in the United States. So this is a ultra-orphan disease. However, keep in mind that the lung cancer which has about 100 to 125 patients diagnosed each year, almost 75% of these patients have one or the other genetic mutation. And you might be well aware of another drug for ALK mutation called XALKORI, which sells about $0.5 billion a year and the incidence of ALK mutation to best of my knowledge is even less than what the exon 20 insertion mutation is.

So from the perspective of the number of patients and the kind of value this brings is, keep in mind that patients with exon 20 insertion mutation have progression-free survival is less than 2 months, 1.8 months. And the total survival is less than a year, in fact 6 or 7 months. So now our first patient at least has now been alive for 5.5 months and has stable disease and we're very excited about this.

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Edward Patrick White, FBR Capital Markets & Co., Research Division - SVP and Senior Research Analyst [6]

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And then my last question is just with -- on the currently marketed products. I think in the past you had said that MARQIBO has a great -- much greater potential than what you're currently -- have it commercialized for. I was just wondering if you can give us an update on the trial in Germany in NHL and maybe talk about the potential there for MARQIBO regarding greater development?

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [7]

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So Ed, you're right. I believe -- as a physician, I believe that vincristine is one of the most widely used drugs for treating cancer. Unfortunately, vincristine cannot be given more than 2 milligrams per-meter-squared dose and there's a lifetime dose. However, with MARQIBO, there is no upper limit on the dose. We have given drug in 3 or 4x the dose and we find that drug is effective and safe.

However, the current indication -- approved indication of the FDA is for a very small market, what is called Philadelphia-negative acute lymphocytic leukemia. So currently a large trial involving more than 1,000 patients is underway in Germany by the Lymphoma Group, the most prestigious hematological/oncology group in Germany -- is currently doing this trial. This trial has been going on well before we acquired this drug from Allos Therapeutics.

So the drug -- the trial has been going on for nearly 5 years and we're expecting within a year or 2 we will have better understanding. Our Senior Vice President of Clinical Research, Dr. Zane, had just actually met with the principal investigator, and we are counting on the drug to give us the data in about another year or 2 years' time.

In addition to that, we are making significant progress on the delivery of MARQIBO. Currently, as you know, there are 2 vial systems. And it's kind of cumbersome to give this drug. We have been able to -- successfully been able to produce a single-vial system, and we hope that, that will be getting into the -- to the bioequivalent study phase soon. So we are quite -- we remain very excited about MARQIBO, because I believe that if we can have a second indication, we could have a significant market.

Also keep in mind that we have submitted a protocol for SPA of comparing CHOP, that is C-H-O-P, "O" in CHOP is oncovin or vincristine to CHMP. So it is a CHOP versus CHMP study where "O" or oncovin has been replaced with MARQIBO. So we will have a 4-drug combination as a first-line therapy for these patients. In that protocol, we have a SPA. It'll be a Phase III trial starting imminently.

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Operator [8]

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And our next question comes from Laura Engel with Stonegate Capital Partners.

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Laura Shelmire Engel, Stonegate Capital Markets, Inc., Research Division - Senior Research Analyst [9]

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I'm kind of following up -- some of them have already been asked, but just kind of looking forward to milestones and timing on -- with everything else going on, some specifics on QAPZOLA with the small group being enrolled, starting Q3. When is the earliest you think you might be able to share any sort of information, data, feedback from that study with us?

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [10]

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So Laura, let me share some time lines with you here. So we're planning to start this trial -- abbreviated trial with 425 evaluable patients within next quarter -- third quarter and we expect about 18 months in enrollment time. And then the last patient entered has to be observed for about 2 years, 1.5 to 2 years. So we think that this data is likely to be available and you can have it in about 3.5 years' time here from today.

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Laura Shelmire Engel, Stonegate Capital Markets, Inc., Research Division - Senior Research Analyst [11]

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Okay. And then to clarify on the Hanmi. I think I originally had expected maybe a -- I had notes on a mid-2017 readout and did I hear you say that's more like year-end now?

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [12]

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Yes. Dr. Zane, you just came back from Korea, can you give an idea as to when the Hanmi's data might become available for breast cancer?

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Zane Yang, Spectrum Pharmaceuticals, Inc. - SVP of Clinical Development [13]

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So, the Hanmi's Phase II study in breast cancer study -- enrollment is complete earlier this year and the study data is -- the study database is locked. So it's been accreting and analyzed the latest conversation with our partners at Hanmi is they are project to have the top line result available in the summer of this year. And they prepare for the presentation at major oncology conference within 2017. So this is the time line.

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Operator [14]

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And our next question comes from R.K. with H.C. Wainwright.

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Swayampakula Ramakanth, H.C. Wainwright & Co, LLC, Research Division - MD and Senior Healthcare Analyst [15]

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Some of the pipe line questions have been answered. I've got a couple of quick financial questions. One of the things we noticed is about the COGS, that it has been steadily increasing, such that the gross margin now is in low 30s. Last year about this time, it was in mid -- it was actually mid-teens and then jumped up to 20s the second half. Can you kind of give us a little bit of a flavor as to how we should be thinking about this cost line as the year progresses?

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [16]

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So let me just hand over this call to Kurt. But before that, I'll just make a comment that we're very sensitive to costs associated with that drug. And I know that from all those who has had pharmaceutical operations is constantly looking into ways of reducing these costs. Some of these costs are directly related to our manufacturers, how they have -- how they're involved with maintaining the GMP requirements and what not. But Kurt can give you a more precise answer with regard to your question on cost of goods increasing in this quarter.

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Kurt A. Gustafson, Spectrum Pharmaceuticals, Inc. - CFO, Principal Accounting Officer and EVP [17]

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Yes. So R.K., thanks for the question.

There is probably 2 primary factors that I would point you to, which are driving that increase in costs as a percentage of sales. The first one is, while we continue to hold on to a good share of the FUSILEV market, the price of that drug continues to drop, based on the generic competition there. So there's really no changes to our cost structure there, but we're generating less sales and the COGS as a percent of sales becomes a larger number. So that's probably the primary driver of what we've seen over the last few quarters.

The second point, though, that I would make is EVOMELA is a lower-margin product than some of our other products. So as that product sells more, it's just a product and mix issue. And as Raj said, there are -- that one product in particular is one where we are seeking to gain further efficiencies and bring COGS down in the future. So it's kind of a FUSILEV pricing story and a product mix story that's driving that.

I would say as we look ahead, FUSILEV is not going to go down that much further. We've probably seen most of the changes there. And so -- kind of -- as you look ahead, I don't think that that's going to be a driver to continue this trend that much further.

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Swayampakula Ramakanth, H.C. Wainwright & Co, LLC, Research Division - MD and Senior Healthcare Analyst [18]

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So the next question I have is on EVOMELA sales. And as we look at the last 3 quarters the number seems to be kind of stuck around 6 within a quarter. Is this an indication of where the adoption rate will continue to be at? Or is there something that the management and the sales force is trying to push that number to a higher number per quarter?

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [19]

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So R.K., our Chief Commercial Officer, Tom Riga is here. So I'll have Tom Riga answer your question.

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Thomas J. Riga, Spectrum Pharmaceuticals, Inc. - Chief Commercial Officer and SVP [20]

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When I stare at the EVOMELA number, you saw the $2 million to $3 million of stocking that we reported last earnings call, not get repeated this one, obviously. But we remain really bullish and optimistic about this brand and I think we continue to see share growth in the marketplace.

So while we don't provide forward-looking estimates of where the sales line is going, our team remains really optimistic. I think the market receptivity to the product and the stickiness of the differentiation that this brings to the Bone Marrow Transplant Centers, the early read after the first several quarters is very positive.

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Kurt A. Gustafson, Spectrum Pharmaceuticals, Inc. - CFO, Principal Accounting Officer and EVP [21]

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Yes, R.K., I just would add, if you normalize for that stocking, we're seeing growth here. So as I said in my comments, we're seeing our market share continue to grow here.

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Operator [22]

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And I'm showing no further questions at this time. I would like to turn the call back to CEO, Dr. Rajesh Shrotriya, for any further remarks.

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Rajesh C. Shrotriya, Spectrum Pharmaceuticals, Inc. - Chairman and CEO [23]

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Well, I would like to thank all of our shareholders on the conference call this afternoon. I will thank you for your continued interest in Spectrum and we look forward to updating you in the near future on our continued and exciting progress. Thank you.

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Operator [24]

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Ladies and gentlemen, thank you for participating in today's conference. This concludes today's program. You may all disconnect. Everyone, have a great day.