ADC Therapeutics SA Q4 2024 Earnings Conference Call:
On March 27, 2025 at 8:30 AM ET, ADC Therapeutics SA (NYSE:ADCT) held its Fourth Quarter Fiscal Year 2024 Earnings Conference Call. The participants from the company were Marcy Graham, Investor Relations Officer, Ameet Mallik, Chief Executive Officer, and Pepe Carmona, Chief Financial Officer. The conference call was moderated by an operator, and the following analysts participated:
- Eric Schmidt from Cantor
- Kelly Shi from Jefferies
- Michael Schmidt from Guggenheim
- Sudan Loganathan from Stephens
Company Overview:
ADC Therapeutics is a clinical-stage biotechnology company that specializes in the development of antibody-drug conjugates (ADCs) for the treatment of hematological malignancies and solid tumors. The company’s proprietary technology, called the pConcept, enables the selective and efficient conjugation of cytotoxic agents to monoclonal antibodies, resulting in targeted and potent therapies.
Financial Highlights:
During the conference call, ADC Therapeutics reported its financial results for the fourth quarter and full year ended December 31, 2024. The company reported a net loss of $108.4 million for the quarter, compared to a net loss of $73.7 million in the same period the previous year. For the full year, ADC Therapeutics reported a net loss of $368.3 million, compared to a net loss of $247.1 million in the previous year.
The increase in net loss was primarily due to higher research and development expenses, which were $125.2 million for the quarter and $401.1 million for the full year, compared to $98.3 million and $252.5 million in the same periods the previous year, respectively. The increase in research and development expenses was driven by the advancement of the company’s clinical pipeline.
Clinical Pipeline:
During the conference call, Ameet Mallik, CEO of ADC Therapeutics, provided an update on the company’s clinical pipeline. He highlighted the progress of the company’s lead product candidate, lisocabtagene maraleucel (ADCT-402), which is being developed for the treatment of relapsed or refractory B-cell acute lymphoblastic leukemia (r/r B-ALL). The company recently announced positive top-line results from its pivotal Phase 3 SOPRA study, which showed that ADCT-402 met its primary endpoint of complete remission (CR) or CR with incomplete hematologic recovery (CRi) in 52.9% of patients.
Mallik also discussed the progress of the company’s pipeline of ADCs targeting solid tumors, including ADCT-301, which is being developed for the treatment of metastatic breast cancer, and ADCT-602, which is being developed for the treatment of non-small cell lung cancer (NSCLC). He stated that the company plans to initiate a Phase 1b/2 study of ADCT-602 in the second half of 2025.
Impact on Individuals:
The progress of ADC Therapeutics’ clinical pipeline could potentially impact individuals who are diagnosed with hematological malignancies and solid tumors. For those with r/r B-ALL, the positive results from the SOPRA study could lead to the approval and availability of a new treatment option, which could improve their chances of achieving a complete remission and potentially extending their lives.
Impact on the World:
The development of new and effective treatments for hematological malignancies and solid tumors could have a significant impact on the world. According to the World Health Organization, leukemia accounts for approximately 3.5% of all cancer cases and is the 10th leading cause of cancer-related deaths. Solid tumors, such as breast cancer and NSCLC, are the leading causes of cancer-related deaths worldwide.
The availability of new and effective treatments for these diseases could lead to improved outcomes for patients, reducing the burden on healthcare systems and potentially saving lives. Additionally, the development of these treatments could also have a positive impact on the economy, as the global cancer market is expected to reach $175.4 billion by 2026.
Conclusion:
In conclusion, the ADC Therapeutics SA Fourth Quarter Fiscal Year 2024 Earnings Conference Call provided an update on the company’s financial results and clinical pipeline. The company reported higher net losses due to increased research and development expenses, but also highlighted the progress of its lead product candidate, lisocabtagene maraleucel (ADCT-402), which met its primary endpoint in the Phase 3 SOPRA study. The development of new and effective treatments for hematological malignancies and solid tumors, such as ADCT-402, could have a significant impact on individuals and the world, improving outcomes for patients, reducing the burden on healthcare systems, and potentially saving lives.
As the global cancer market continues to grow, companies like ADC Therapeutics are working to develop new and innovative treatments to address the unmet needs of patients. The progress of these companies could lead to significant advancements in the field of oncology and ultimately improve the lives of millions of people around the world.
