Tarsus Pharmaceuticals, Inc. · NASDAQ:TARS
Tarsus Pharmaceuticals — Investor Day (June 2023)
50 slides from Tarsus Pharmaceuticals's investor day presentation, Jun 15, 2023
Slide 1: Creating the Next Potential Blockbuster Category in Eye Care
Tarsus Creating the Next Potential Blockbuster Category in Eye Care June 15, 2023 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 2: Webcast Logistics and Information
Webcast Logistics and Information • This webcast is being recorded and a replay will be available for at least 90 days on the Investors and News page of the Tarsus website later today • There will be one Q&A session at the end of today’s program • To ask a question, please submit questions in the “Q
Slide 3: Legal Disclaimer
Legal Disclaimer This presentation contains forward-looking statements that involve risks and uncertainties. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based on our current expectations about future events that we believe may affec
Slide 4: Today's Presenters
Today’s Presenters Bobak Azamian, Selina McGee, O.D., Marjan Farid, M.D. Aziz Mottiwala Neera Clase M.D., Ph.D. FAAO Chief Executive Officer Founder, Chief Director of Cornea, Chief Commercial Officer VP, Market Access and Chairman Optometrist & Executive, Cataract and Refractive BeSpoke Vision Surg
Slide 5: Agenda
Agenda Topic Presenter Welcome David Nakasone Transforming Into a Leading Eye Care Company Bobby Azamian, M.D., Ph.D Selina McGee, O.D., FAAO Physician Perspective on Prevalence, Impact and Diagnosis of Demodex Blepharitis Marjan Farid, M.D. Aziz Mottiwala Launching the Next Frontier in Eye Care Nee
Slide 6: Transforming Into a Leading Eye Care Company
Transforming Into a Leading Eye Care Company Bobak Azamian 6 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 7: Creating the Next Frontier in Eye Care
Creating the Next Frontier in Eye Care TP-03 – Unlike any other eye care launch upon expected FDA approval Commercial platform focused on unique and damaging eyelid disease – Disease education producing results and activating sales force High touch access for a large underserved population – Expecti
Slide 8: Building the Next Potential Multi-Billion Dollar Market
Building the Next Potential Multi-Billion Dollar Market and Transforming Into a Leading Eye Care Company Category creation in Demodex blepharitis with definitive standard of care potential World-class leadership team with decades of biotech, eye care and product launch experience Advancing clinical
Slide 9: Eye Care Market Presents Significant Growth Opportunities
Eye Care Market Presents Significant Growth Opportunities Eye care is large, durable and growing • Vision is our most valued sense • Near double digit growth expected from anterior segment (existing categories) Expected Ophthalmic Market 2028 Category creation has led to eye care blockbusters • Pros
Slide 10: Strong Foundation to Launch the Next Eye Care Potential Blockbuster
Strong Foundation to Launch the Next Eye Care Potential Blockbuster Commercial ECP Broad Tailored Anticipated Infrastructure Engagement Reimbursement Sales Force Approval Expected Seasoned Reached all 15K Active engagement Deploying at Aug. 2023: leadership in place target Eye Care with all top laun
Slide 11: Demodex Blepharitis is a Large and Underserved Eyelid Disease
Demodex Blepharitis is a Large and Underserved Eyelid Disease Bobak Azamian 11 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 12: Demodex Blepharitis: Pervasive and Damaging Eyelid Disease
Demodex Blepharitis: Pervasive and Damaging Eyelid Disease • Affects 25M patients in the U.S.1,2: 1.5M diagnosed and seeking a solution3 • Caused by an infestation of Demodex mites • Patients can suffer inflammation, redness, irritation and a negative impact on daily life • Easily diagnosed during a
Slide 13: Demodex Blepharitis Can Be Diagnosed Through the Presence of Collarettes
Demodex Blepharitis Can Be Diagnosed Through the Presence of Collarettes 13 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 14: Immediate Opportunity to Address Large and Underserved Patient Population
Immediate Opportunity to Address Large and Underserved Patient Population Clear segments identified for initial ramp and future growth >7M Initial Target Patient Population Patients proactively seeking treatment for complementary eye conditions / diseases Blepharitis patients with Demodex blephariti
Slide 15: TP-03: First Potential Therapeutic for Millions of Patients
TP-03: First Potential Therapeutic for Millions of Patients Unique ability to resolve disease enables opportunity to unlock one of the largest underserved eye care markets Curative and durable therapeutic potential with no competition Definitive standard of care potential demonstrated in two pivotal
Slide 16: Physician Perspective on Prevalence, Impact and Diagnosis of Demodex Blepharitis
Physician Perspective on Prevalence, Impact and Diagnosis of Demodex Blepharitis Selina McGee, O.D., FAAO and Marjan Farid, M.D. 16 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 17: Selina McGee, OD, FAAO
Selina McGee, OD, FAAO • Visionary founder of BeSpoke Vision specializing in dry eye disease, specialty contact lenses, and aesthetics. She is also the co-founder of Precision Vision of Midwest City, an MD-OD practice specializing in premium IOL and cataract surgery and Vice President of Intrepid Ey
Slide 18: Practice Dynamics: Private / Specialty Clinic
Practice Dynamics: Private / Specialty Clinic Areas of Focus: • Medical optometry • Dry eye and ocular surface conditions • Corneal diseases requiring custom and specialty contact lenses • Eye rejuvenation services 18 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 19: Lid Disease is Easily Missed
Lid Disease is Easily Missed 19 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 20: Case 1: Overview
Case 1: Overview Patient: • 42-year-old female • Difficulty wearing contact lenses (CTL) • Frustrated with redness, itching, burning and misdirected lashes; unhappy with appearance of eyes 20 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 21: Treatment and Follow Up
Treatment and Follow Up Treatment Initiated: Follow up: – In office lid exfoliation treatment and – 4 week follow up with IPL treatments, Intense Pulsed Light (IPL) then 8, 12 and 6 months – Lid hygiene (at home cleanser, eye – Saw some improvements in redness, but makeup removal) CTL wear was still
Slide 22: Case 2: Overview
Case 2: Overview Patient: • 60-year-old male • Symptoms: burning, itching, watering, diagnosed with Dry Eye Disease (DED); referred for DED analysis • Misdirected and missing lashes • Undiagnosed Demodex blepharitis 22 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 23: Treatment and Follow Up
Treatment and Follow Up Examination & Treatment Initiated: Follow up: – Performed testing for tear film osmolarity – 4 week follow up and inflammation (MMP-9) – all normal – Patient was non-compliant with lid – Prescribed at-home lid hygiene (lid hygiene cleanser) 2x day – Still complaining of itchi
Slide 24: Case 3: Overview
Case 3: Overview Patient Summary: • 72-year-old male; redness, swollen lids, painful, self-described as “miserable” • Chronic chalazia (~18 months, 2-3 per lid) that needed multiple IPL treatments to stabilize his condition 24 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 25: Marjan Farid, MD
Marjan Farid, MD • Professor of Clinical Ophthalmology, Director of Cornea, Refractive & Cataract Surgery, at the Gavin Herbert Eye Institute, University of California Irvine. • She graduated from UCLA with a degree in Biology and earned her medical degree at UC San Diego. • Her clinical practice is
Slide 26: Practice Dynamics: University / Academic Tertiary Care
Practice Dynamics: University / Academic Tertiary Care Cornea Cataract/Refractive Severe Ocular Dry eye / clinical Surface Disease ocular surface care • Corneal transplant • Cataract • Ocular surface • Dry eye disease • Artificial corneas • LASIK reconstruction • Lid margin disease • Ocular surface
Slide 27: Case 1: Overview
Case 1: Overview Patient: Symptoms: • 24-year-old woman – software engineer • Rapid redness and irritation with CTL wear • Recurrent chalazia and inability to use her • Difficulty working at the computer soft contact lenses (CTL) anymore • Always feels irritated and gritty OU (both eyes) • Seen opto
Slide 28: Case 1: Examination
Case 1: Examination • BSCVA: 20/20 OU • Exam Findings: – Small LUL chalazion – Diffuse collarettes along upper and lower lash base – Slow secretion of thickened meibum from meibomian glands 28 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 29: Case 1: Treatment Initiated
Case 1: Treatment Initiated • Lid exfoliation treatment performed on all 4 eyelids in the office • Started on Tea tree oil lid scrubs • Started on regular hot compresses • Started on preservative-free artificial tears (AT) 29 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 30: Case 1: Follow Up
Case 1: Follow Up • Finds some relief in symptoms with recommended management and treatment but unable to keep up with lid hygiene and has recurrent and chronic symptoms. • Still unable to wear her CTL for more than a couple of hours. • She comes in every 3-4 months for exfoliation treatment. • Star
Slide 31: Case 2: Summary
Case 2: Summary Patient: • 72-year-old man • Complains of red, itchy eyes. Vision gets worse at the end of the day especially after reading or watching TV • “Doctor, I want cataract surgery and I want to get rid of my glasses!” • BSCVA: 20/40 OD and 20/50 OS Exam Findings: • 1+ MGD • Significant col
Slide 32: Case 2: Treatment & Follow Up
Case 2: Treatment & Follow Up Treatment: • Declined lid exfoliation treatment as he “felt fine” and didn’t feel that anything was wrong. • After discussion and education, agreed to initiate blepharitis treatment and he was told that surgery would be a risk for infection and complications. Cataract s
Slide 33: Launching the Next Frontier in Eye Care
Launching the Next Frontier in Eye Care Aziz Mottiwala and Neera Clase 33 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 34: Category Creating Key Launch Elements
Category Creating Key Launch Elements 1 2 3 4 Commercial platform Pricing reflects TP-03 High touch access for a Accelerating tailored to unique and standard of care large underserved commercial traction underserved disease potential population 34 © Tarsus Pharmaceuticals | For Investor Purposes Onl
Slide 35: Driving Awareness Through Physician and Patient Education Campaigns
Driving Awareness Through Action-Oriented Physician and Patient Education Campaigns Launched Look at the Lids “Don’t Freak Out. Campaign Metrics Get Checked Out!” Patient Disease Education in 2Q23 2.3M 200K digital/media unique website impressions to-date1 visits to-date1 +15% 1Q23 vs. 4Q22 +60% 1Q2
Slide 36: High Impact Disease Education Has Reached All 15K Target ECPs
High Impact Disease Education Has Reached All 15K Target ECPs Robust scientific platform supported by all optometrist medical field force Significant Presence Since 2020: 24 11 35K Continued Medical Education Learners 3 Since 20221 2020 2021 2022 Publications and Congress Presentations/Posters1 We’v
Slide 37: Ophthalmologists & Optometrists See It, Believe it, Intend to Treat it
Ophthalmologists & Optometrists See It, Believe it, Intend to Treat it Key Awareness, Trial, Usage (ATU) Market Research Results 67% 71% 93% Recognize the importance of screening Believe collarettes are Indicated they would prescribe an patients for the presence of collarettes pathognomonic to Demod
Slide 38: Activating Best-in-Class, Data-Driven Sales Force at Launch
Activating Best-in-Class, Data-Driven Sales Force at Launch Sales Force Leadership Extensive launch and front-line leadership 15 85 Sales Territory Leaders experience Leaders Expected at Launch Leveraging Analytics to Maximize Launch Velocity 100+ • Current diagnosed Demodex blepharitis patients Com
Slide 39: Category Creating Key Launch Elements
Category Creating Key Launch Elements 1 2 3 4 Commercial platform Pricing reflects TP-03 High touch access for a Accelerating tailored to unique and standard of care large underserved commercial traction underserved disease potential population 39 © Tarsus Pharmaceuticals | For Investor Purposes Onl
Slide 40: Accessibility, Affordability and Simplicity
Accessibility, Affordability and Simplicity Delivering on the Patient and Physician Experience Building potential broad reimbursement with high touch patient & physician support 1 Category creation allows for innovative patient services 2 Novel science & robust clinical profile drive payer interest
Slide 41: TP-03 Expected WAC Pricing of $1,500-2,000 Reflects Category Creating Product Profile
TP-03 Expected WAC Pricing of $1,500-2,000 Reflects Category Creating Product Profile and Pharmacoeconomic Value TP-03 Glaucoma Dry Eye Anti-VEGF/GA ~$300 ~$600 $1,500-2,000 $2,000+ WAC/Rx $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 $1,800 $2,000 Value Highly Commoditized Highly Specialized Rx/p
Slide 42: Expected Broad Payer Coverage to Build Over Next Two Years
Expected Broad Payer Coverage to Build Over Next Two Years Expected Future Payer Mix Medicare Commercial 2025 Commercial Medicare 45% 45% Launch 2024 10% 2023 Other* * All other includes Medicaid, VA/DOD, Cash, etc. 42 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 43: Payers Recognize the High Unmet Need and Demonstrate a Willingness to Reimburse
Payers Recognize the High Unmet Need and Demonstrate a Willingness to Potentially Reimburse Engaged with commercial and Medicare Payers indicate strong and differentiated payers driving 95% of total prescriptions value proposition “The ideal message is for you to have an outpatient eyedrop that’s us
Slide 44: Planned Distribution Model Leveraging High Touch Retail and Digital Pharmacies
Planned Distribution Model Leveraging High Touch Retail and Digital Pharmacies Optimizes patient and physician access Broad Patient Footprint Centric Predictable point-of-sale experience 18K+ Pharmacies in network, 2x Fill rate Simplified prescriber & patient experience including leading vs. nationa
Slide 45: Category Creating Key Launch Elements
Category Creating Key Launch Elements 1 2 3 4 Commercial platform Pricing reflects TP-03 High touch access for a Accelerating tailored to unique and standard of care large underserved commercial traction underserved disease potential population 45 © Tarsus Pharmaceuticals | For Investor Purposes Onl
Slide 46: TP-03 Launch: Clear Pathway to Blockbuster Potential
TP-03 Launch: Clear Pathway to Blockbuster Potential $1B+ 2025+ Peak Net 2024 Growth Sales 2023 Reimbursement & • Gaining expected broad Medicare coverage Demand Through Revenue Ramp • Accelerating net revenue • Optimizing Gross-To-Net Early Adoption • Gaining expected broad commercial coverage • Dr
Slide 47: Initial Addressable Demodex Blepharitis Market is a Multi-Billion Dollar Opportunity
Initial Addressable Demodex Blepharitis Market is a Multi-Billion Dollar Opportunity $1B+ peak net sales potential with clear segments identified for initial ramp and future growth >7M Proactively seeking treatment for complementary eye conditions / diseases 1.5M Blepharitis patients with Demodex bl
Slide 48: Transforming Into a Leading Eye Care Company
Transforming Into a Leading Eye Care Company Bobak Azamian 48 © Tarsus Pharmaceuticals | For Investor Purposes Only
Slide 49: Tarsus: Positioned for Immediate and Long-Term Value Creation
Tarsus: Positioned for Immediate and Long-Term Value Creation Key takeaways from today $1B+ peak net sales potential in multi-billion-dollar new category TP-03 expected WAC of $1,500-2,000 Broad expected payer coverage with high touch patient support Early measures of success: patient experience, pr
Slide 50: Q&A Tarsus Executives
Q&A Tarsus Executives 50 © Tarsus Pharmaceuticals | For Investor Purposes Only