Novocure (NVCR) Q2 2025 Earnings Call Transcript | The Motley Fool

Image source: The Motley Fool. Date Thursday, July 24, 2025 at 8 a.m. ET Call participants Executive Chairman - William F. Doyle Chief Executive Officer - Ashley Cordova Chief Financial Officer - Christoph Brackmann President, U.S. Oncology - Frank Leonard Head of Investor Relations - Ingrid Goldberg Need a quote from a Motley Fool analyst? Email [email protected] Takeaways Net Revenue -- $159 million, reflecting a 6% increase driven by active patient growth and positive foreign exchange impact of $3.8 million offset by reduced one-time prior period claims. Active Patient Growth (GBM) -- 4,194 Optune Gio patients on therapy, a 7% year-over-year increase with all international markets posting double-digit growth. Optune Lua (non-small cell lung cancer) -- 121 prescriptions in the quarter, consisting of 106 in the U.S. and 15 in Germany after CE Mark approval on April 22. Optune Lua Revenue -- $2.4 million net in the quarter, with $1.1 million from non-small cell lung cancer. Gross Margin -- 74% compared to 77% in the prior year, reflecting HFE array rollout and launch investments in non-small cell lung cancer before broad reimbursement. Operating Expenses -- Research and development expense grew 2% year over year to $56 million; sales and marketing up 1% to $57 million; general and administrative expense increased 17% to $44 million, primarily from higher share-based compensation and personnel costs. Net Loss -- $40 million, resulting in a loss per share of $0.36. Adjusted EBITDA (non-GAAP) -- Negative $10 million for the quarter. Cash and Investments -- $912 million available, with $560 million in convertible notes due later this year slated to be retired using cash on hand. Credit Facility Draw -- Notice provided to draw the second $100 million tranche, set to close on September 26, consistent with required credit facility terms. PANOVA-3 Trial (pancreatic cancer) -- Median overall survival of 16.2 months in the intent-to-treat group, two months longer than control; modified intent-to-treat subgroup saw over three months’ additional survival. PANOVA-3 Quality of Life -- Median time to increased pain was 15.2 months for TTFields patients versus 9.1 months for control, and significant delay in opioid initiation. PANOVA-3 Regulatory Progress -- Pre-submission FDA meeting completed; PMA package to be filed in the third quarter, with Europe and Japan submissions targeted before year-end. METIS Trial (brain metastases) -- METIS primary endpoint achieved: 28% risk reduction of intracranial progression, with median of 15 months for TTFields group versus 7.5 months for control (p=0.044); final clinical module submission pending FDA review of earlier modules. Next Trials -- Phase III TRIDENT (GBM, earlier TTFields initiation) and Phase II PANOVA-4 (pancreatic cancer with atezolizumab) both fully enrolled; data expected in the first half of next year. Real-World Evidence -- Mayo Clinic study reported a 58% two-year survival rate for GBM patients using TTFields versus 41% for non-users. Reimbursement Progress -- Early U.S. payor submissions yielded over $1 million in cash for non-small cell lung cancer; guideline updates from NCCN anticipated this fall, influencing reimbursement momentum. Revenue Recognition Methodology -- Use...

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