Dendreon Executive Insights: New Account Data, Growth Guidance

On Monday, Dendreon Corp (NASDAQ:DNDN) reported its first quarter earnings and discussed the following topics in its earnings conference call. Here’s what executives shared with investors and analysts.

New Account Data

Wes – ISI Group: This is Wes sitting in for Mark. I had a question about the new account data that Greg provided I think it was 119 starting in the first quarter of 2011, increasing to 572 accounts in the first quarter of this year. Can you give us some information about same-store sales growth for this time period for this new account data?

Joe I. DePinto – EVP, Global Commercial Operations: In this quarter, what we have seen is our growth especially in large community oncology practices and large community urology practices grow significantly in same-store sales in this quarter with those accounts. So, we have seen significant growth in those same-store accounts especially in those two components. We’ve seen the large community oncology and large community urology accounts grow nicely.

A Closer Look: Dendreon Earnings Cheat Sheet>>

John H. Johnson – President and CEO: As you look at the accounts that you’re mentioning we don’t have all of the historical data to break that down with us today. But what we really looked hard at is what has taken place and especially over the last six months on a monthly basis and in the large accounts, Joe, mentioned and we are very encouraged by what’s taking place in the community and we think that’s really what’s going to be driving our sales going forward and one of the reasons we are so bullish.

Low Single-Digit Percent Growth

Cory Kasimov – JPMorgan Securities Inc.: I wanted to ask you about your continued guidance for low single-digit percent growth on a sequential basis and you mentioned in your comments that you are not sure at this point what type of impact, if any, AUA and ASCO may have and I am wondering if that guidance does assume that there is indeed an impact on infusion trends and then just along those same lines, if I may, can you talk a little bit about your presence at AUA this year and the efforts you will have there to continue to drive greater utilization among urologist?

John H. Johnson – President and CEO: I’ll talk about the first part of the question, Cory, then I will turn it to Joe to talk about AUA. As it related to the guidance we have looked at this business and we wanted to give you a little bit more in-depth from a standpoint of what Joe did from everything around geographic dispersion account growth as well as some of the lumpiness that we seen. In many of our accounts, Cory, what you’ll see is that there is one or two key people who are really the programs champions and the programs experts and a lot times what you will see is there is one or two on the physician side; normally one or two on the sort of scheduling reimbursement side. When they are out of the office you really see a change in the order patterns. It doesn’t mean that lose those patients but you can’t see those patients pushed up in those infusions pushed up. We are not sure exactly how since we really don’t have a good handle on how order patterns could change during this time. We wanted to make sure that we were giving guidance and setting appropriate expectations. We do think that there will be some impact this quarter but it’s hard to quantify what that will be which is why Joe said, we’re going to have to see and track and understand what kind of effect these conferences can have. That said, as the conferences per se, we feel very good about our presence, so what’s going to take place in long-term till that’s going to grow. I think when you look at it for us, we saw a very strong March and March was a very good infusing month for the Company, especially the way the days fell on the calendar. So, as we look at it, we did want to get – have expectations, get out in front of us, given some of these events and the lumpiness that we can sometimes see. As it relates to AUA, I’ll turn it over to Joe.

Joe I. DePinto – EVP, Global Commercial Operations: At AUA, we plan on having a very comprehensive plan to position PROVENGE as the Foundation of Care. It breaks out into three different areas. I’ll talk about two now, I’ll turn the data area over to Mark to talk a little bit about that, but our commercial activities really would revolve around our new booth experience. It’s really an immersive booth experience with our new campaign, we’ll have multiple promotional activities on site, we’ll have a clinical update theater, and a lot of cross-functional activity and interactive activity commercially. We’ll have multiple one-on-one dinners and one-on-one activity with key opinion leaders, key big LUGPA accounts, and we’ll really try to live with the customer at the conference because this is an opportunity where everybody is together. From a clinical data, Mark can walk you through some of the abstract and some of the data that we’ll be presenting at AUA. Mark?

Mark W. Frohlich – EVP, Research and Development and Chief Medical Officer: We apologize for the technical difficulties. We are in two different sites because everyone is traveling being busy with customers, yes, this is correct in the second. Why don’t we go ahead, and we’ll take the next question, we’ll come back and once we get the technical difficulties figured out we’ll go ahead and have Mark give you an update on that. So, Operator we’ll take the next question.