Jaguar Health (JAGX) Q3 2025 Earnings Transcript

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DATE

Nov. 17, 2025, 9 a.m. ET

CALL PARTICIPANTS

• Founder, President, and Chief Executive Officer — Lisa Conte
• Chief Financial Officer — Carol Lizak

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TAKEAWAYS

• Combined net revenue -- $3.1 million, up approximately 4% sequentially from $3 million in fiscal Q2 2025 (period ended June 30, 2025) and flat compared to fiscal Q3 2024.
• Mytesi prescription volume -- Increased by roughly 0.9% quarter over quarter but declined by 3.6% year over year.
• Net loss attributable to common shareholders -- Decreased to $9.5 million from $9.9 million in fiscal Q3 2024.
• Non-GAAP recurring EBITDA -- Net loss was $8.9 million, narrowing from $9.2 million for fiscal Q3 2024.
• Loss from operations -- Loss from operations decreased by $24,000 from $7.2 million in fiscal Q3 2024 to $7.3 million in fiscal Q3 2025.
• Crofelemer clinical data -- Reported up to a 37% reduction of parenteral support in MVID patients and about 12% reduction in short bowel syndrome patients, as presented at NASPGHAN.
• Business development strategy -- Management stated ongoing negotiations for partnerships on late-stage Human and Animal Health products to target non-dilutive funding.
• Orphan drug designations -- Crofelemer received U.S. and EU orphan drug designation for short bowel syndrome and MVID; metastatic breast cancer application pending.
• Regulatory and clinical milestones -- Management described a goal "for having data that's fileable by potentially the end of 2026," for both intestinal failure and cancer therapy-related diarrhea, potentially supporting two NDA filings.
• Animal health initiatives -- Active discussions underway for Canalevia partnerships aiming to expand U.S. and EU market reach for the product in dogs with chemotherapy-induced and general diarrhea.

SUMMARY

Jaguar Health (NASDAQ:JAGX) reported steady year-over-year revenue, sequential revenue growth, and positive clinical milestones for crofelemer in rare pediatric and oncology indications. The company disclosed it is actively pursuing business development agreements to monetize late-stage Human and Animal Health assets through non-dilutive capital. Management outlined anticipated expedited regulatory pathways in both the U.S. and Europe in rare disease and oncology spaces, with two NDA filings targeted by the end of 2026.

• Conte noted, "Crofelemer has been shown to have a groundbreaking reduction of parenteral support of up to 37%" in MVID patients, and emphasized the absence of other approved or in-development therapies for this population.
• Management highlighted ongoing FDA discussions, orphan designations already obtained, and aspirations for both breakthrough U.S. and PRIME European status to accelerate regulatory timelines on key pipeline programs.

INDUSTRY GLOSSARY

• Mytesi: An FDA-approved formulation of crofelemer for symptomatic relief of noninfectious diarrhea in adults with HIV/AIDS on antiretroviral therapy.
• Crofelemer: A plant-based, human and animal anti-diarrheal active pharmaceutical ingredient under development for multiple orphan and supportive-care indications.
• MVID: Microvillus Inclusion Disease, an ultra-rare congenital diarrheal disorder resulting in intestinal failure and parenteral nutrition dependence.
• SBS: Short Bowel Syndrome, a rare condition characterized by malabsorption due to surgical removal or disease of significant portions of the intestine.
• PRIME: Priority Medicines, a European Medicines Agency program providing enhanced regulatory support for drugs addressing unmet medical needs.
• Canalevia: An animal health formulation of crofelemer, conditionally approved for chemotherapy-induced diarrhea in dogs and under development for additional canine diarrheal indications.
• NASPGHAN: North American Society for Pediatric Gastroenterology, Hepatology and Nutrition, a professional society hosting major conferences on gastrointestinal disorders.

Full Conference Call Transcript

Operator: Greetings, and welcome to the Jaguar Health's Investor Webcast. [Operator Instructions] As a reminder, this conference is being recorded. Before I turn the call over to management, I'd like to remind you that management make forward-looking statements relating to such matters as continued growth prospects for the company, uncertainties regarding market acceptance of products, the impact of competitive products and pricing, industry trends, product initiatives, including products in the development stage, which may achieve scientific objectives or meet stringent regulatory requirements. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements.

These statements are based on currently available information and management's current assumptions, expectations and projections about future events. While management believes its assumptions, expectations and projections are reasonable in view of currently available information, you are cautioned not to place undue reliance on these forward-looking statements. The company's actual results may differ materially from those discussed during this webcast for a variety of reasons, including those described in the forward-looking statements and Risk Factors sections of the company's Form 10-K for year 2024, which was filed March 31, 2025, and its other filings with the SEC, which are available on the Investor Relations section of Jaguar's webcast.

Except as required by law, Jaguar undertakes no obligation to update or revise any forward-looking statements contained in this presentation to reflect new information, future events or otherwise. Additionally, please note that the company supplements its condensed consolidated financial statements presented on a GAAP basis by providing non-GAAP EBITDA and non-GAAP recurring EBITDA. Jaguar believes that the disclosure items of these non-GAAP measures provide investors with additional information that reflects the basis upon the company management assesses and operates the business. These non-GAAP financial measures should not be viewed in isolation or a substitute for GAAP net sales and GAAP net loss or not substitute for or superior to, measures of financial performance in conformity with GAAP.

Today's conference is being recorded. At this time, it's my pleasure to turn the call over to Lisa Conte, Jaguar Health's Founder, President and Chief Officer (sic) [Chief Executive Officer]. Lisa, the floor is yours.

Lisa Conte: Thank you very much. Appreciate that introduction. Hello to everybody. Good morning. My name is Lisa Conte and I'm, Founder, President and CEO of Jaguar Health and our wholly owned subsidiary, Napo Pharmaceuticals, and I'm also the Chairman of our Italian subsidiary, Napo Therapeutics. As usual, I may use the word Jaguar and Napo interchangeably as I refer to our company. And after I speak this morning, our CFO, Carol Lizak, will provide a recap of the financial highlights for the third quarter of 2025.

And I'm going to kick off by once again stealing Carol's thunder as we are pleased to report that our combined net third quarter 2025 revenue of approximately $3.1 million for prescription and nonprescription products including license revenue, increased approximately 4% versus the net Q2 2025 of approximately $3 million. I'm also happy to report that 2025 continues to be the year of convergence of key clinical and regulatory catalysts for Jaguar. Catalysts that we feel will be transformative in terms of the value that they bring to all stakeholders in the company from patients -- very importantly from patients, to shareholders also very important.

Simply put, with the recent achievement of these catalysts, our strategy continues to be to negotiate business development partnerships for licensed rights to the development and commercialization of our Human and Animal late-stage health products with the goal of generating non-dilutive funding for Jaguar. We have three key late-stage initiatives that are the subject of business development negotiations. The first is our orphan indications of crofelemer for intestinal failure associated with the congenital diarrheal disease referred to as MVID, microvillus inclusion disease. I'm going to refer to it as MVID and short bowel syndrome, which I'm going to refer to as SBS. And this program refers to crofelemer, though, not our commercialized Mytesi formulation of crofelemer.

Crofelemer in a distinct novel, highly concentrated liquid formulation, which is appropriate for the patient condition -- into a liquid formulation from a lyophilized cake. So what is intestinal failure? It's a debilitating lifelong condition that requires patients to receive life-sustaining fluids, electrolytes and nutrients through intravenous administration, which consists of something referred to as TPN, total parenteral nutrition, with supplemental intravenous fluids, which together constitute parenteral support. As you can imagine, already, this sounds terrible. These are patients who can't absorb their nutrients of life, their protein, carbs, et cetera. So they are living on IV nutrition.

Most intestinal failure patients require parenteral support up to 7 days a week and sometimes for 20 hours or more a day, hooked up to IV nutrition. Clearly, this is a catastrophic healthcare situation, quality of life situation. Short bowel syndrome is a rare disease of approximately 400 -- 40,000 patients globally. And for this indication, Jaguar has received orphan drug designation in the United States and in Europe. MVID, intestinal failure MVID patients, this is an ultra-rare disease of approximately 100 to 200 patients globally, and we have also received orphan drug designation in the U.S. and Europe. Infants that are born with this genetic defect have a lethal natural history. They do not become adults.

They only survive if immediately receiving TPN, total parenteral nutrition, as I mentioned, parental support which has many toxicities associated with it including liver and kidney toxicity, neurodevelopment delay, many more which often become life-threatening. Crofelemer has been shown to have a groundbreaking reduction of parenteral support of up to 37%. And this is important, as you can imagine, for getting -- reducing the amount of time on toxic TPN and parenteral support. This result was presented last week at the North American Society for Pediatric Gastroenterology, Hepatology and Nutrition referred to as NASPGHAN. And it's an annual meeting in Chicago, and it was -- the results were presented by the study's primary investigator in the investigator-initiated trial, Dr.

Mohamad Miqdady. This is important because the reduction of parenteral nutrition and parenteral support is both potentially life-extending, life-saving and disease progression modifying and provides an opportunity for improved quality of life in this otherwise catastrophic medical and disease situation for the patient and quite frankly, the entire family of the child and his or her caregiving team. This unprecedented result is especially compelling given that no approved treatments exist for MVID, and we're not aware of any approach even in development for MVID. Additionally, as presented at NASPGHAN were two short bowel syndrome patients surviving on parenteral support, parenteral nutrition and parenteral support, which similarly had reductions of approximately 12% in their parenteral support.

This result is equally important for the same reason for the opportunity to reduce the toxicity associated with the parenteral support. And also, while some short bowel syndrome patients do have an opportunity to be treated with a growth hormone approach to potentially grow their short bowel. And as an aside, by the way, growth hormone is not a standard of care as many side effects itself. And additionally, it's not even possible in an MVID patient as MVID patients have fully intact guts. They're simply not functioning, so there's nothing to grow.

But anyway, that short bowel syndrome, approximately 1/3 of the short bowel syndrome population are patients with surgical reasons for their short bowel and have adaptation issues during which they cannot receive a growth hormone and/or may have a hyper-proliferative circumstance such as cancer and therefore, are definitely not candidates for growth hormone approach. Once again, crofelemer is demonstrating proof of concept in an orphan population with no treatment alternatives, nothing in development. And once again, this is a distinct product from Mytesi, the same active ingredient in crofelemer and will be commercialized globally under a business model associated and appropriate for the incentives for rare diseases.

I'll now discuss our other core crofelemer development program, cancer therapy related diarrhea, CTD, a planned label extension of supplemental NDA for the already FDA-approved Mytesi product. This program -- and again, it's a distinct product from the IF highly concentrated liquid formulation is also the subject of ongoing business development negotiations. The key clarifying and coordinating event, once again a separate Type C meeting with the FDA in May of 2025 discussing an expedited pathway for approval in metastatic breast cancer patients based on supportive data of prophylaxis of cancer therapy-related diarrhea in breast cancer patients from the completed Phase III on-target trial, which was presented at San Antonio Breast Cancer Symposium in December of 2024.

We're going to combine this with anticipated data from a pivotal randomized withdrawal treatment trial in metastatic breast cancer patients to be initiated in early 2026. In our experience, a randomized withdrawal trial is the optimal design for product that works. And it's a clinical trial design where participants first receive an active treatment and then when, if, they respond, randomly assigned to either continue the active treatment or receive placebo. As a reminder, this trial is with the same formulation and dose as the approved Mytesi for HIV-related diarrhea for which, of course, chronic safety and manufacturing regulatory hurdles have already been approved. Chronic safety or any safety and manufacturing are the two most common reasons why NDAs fail.

Again, those have already been achieved with Mytesi. An efficacy end point potentially expands the indication of Mytesi to cancer therapy-related diarrhea under a supplemental NDA and cancer therapy-related diarrhea is a blockbuster opportunity for the patients, of course, and the market opportunity. There are approximately 160,000 metastatic breast cancer patients in the United States, many of whom are on diarrhea causing targeted therapies for the rest of their lives, which thankfully are becoming 5, 10, 15 years of survival sometimes. We have filed for orphan drug designation for metastatic breast cancer indication. Approximately 40% of patients go off their life-saving targeted therapies, specifically because of diarrhea.

And now crofelemer has the opportunity to benefit not only patient quality of life, dignity and comfort as important as those supportive care impacts are, though, also impact the outcome of their -- the successful outcome of their cancer therapy. Moving along now to Animal Health side of our business. Our primary activity for Canalevia, our prescription drug candidate of crofelemer, Canalevia is an animal formulation indication that is FDA conditionally approved under the name Canalevia CA-1 for the treatment of chemotherapy-induced diarrhea in dogs.

And our primary activity is negotiating with potential partners with which to collaborate to achieve three parallel goals for the drug, expand the U.S. indication for chemotherapy-induced diarrhea in dogs, to the treatment of general diarrhea in dogs, obtain approval in the European Union for Canalevia for general diarrhea in dogs and based on an existing Jaguar study that already exists. And maintain continuity of availability in the United States of Canalevia for the treatment of chemotherapy-induced diarrhea in dogs for which it is already approved again. Remarkably, a cancer patient in the United States experiencing diarrhea can have crofelemer promoted and prescribed if that patient is a dog, a human, not yet.

I'm pleased to report that Jaguar is currently in discussions with multiple potential animal health company partners to collaborate to bring Canalevia to regulatory approval and commercialization for general diarrhea globally. This is our third ongoing business development negotiation with the goal of bringing nondilutive dollars to recognize the contribution to late-stage drug development and risk reduction Jaguar has achieved with crofelemer for various indications. Timeline associated with these activities for intestinal failure based on a Type C meeting, a distinct meeting from the cancer meeting that we had with the FDA on October 2.

We laid out a pathway for potential expedited review based on continued results like we're seeing in the MVID patient for having data that's fileable by potentially the end of 2026, literally based on a single-digit number of patients because of the ultra-rare nature of the disease and the lethal natural history of the disease, also looking next year for breakthrough designation in the United States and PRIME in Europe, programs that help get products approved in an expedited way for ultra-rare disease situation. For cancer therapy-related diarrhea, we would look to complete the trial for the randomized withdrawal by the end of 2026 as well in support of a supplemental NDA filing.

So that would be two potential NDA filings from data at the end of 2026 on the Human side. On the Animal Health side, we're looking to close an animal health partnership in the very near future. I'll now hand the discussion over to Carol, our CFO, for a recap of the financial highlights for the third quarter of 2026. Take it away, Carol.

Carol Lizak: Good morning, Lisa, and thank you to all of you who have joined our webcast today. I'll begin my review of our financials for the third quarter of 2025. The combined net third quarter 2025 revenue of approximately $3.1 million for prescription and nonprescription products, including license revenue, increased approximately 4% versus net second quarter 2025 revenue of approximately $3 million and equaled net third quarter of 2024 revenue of approximately $3.1 million. Mytesi prescription volume increased by approximately 0.9% in the third quarter of 2025 over the second quarter of this year and Mytesi prescription volume in the third quarter of 2025 decreased by 3.6% compared to the volume in the third quarter last year.

Prescription volume differs from invoiced sales volume, which reflects among other factors, varying buying patterns among specialty pharmacies in the closed network as they manage their inventory levels. Loss from operations decreased by $24,000 from $7.2 million in the third quarter of September 30, 2024, to $7.3 million during the same period this year. Non-GAAP recurring EBITDA for the third quarters of 2025 and 2024 were a net loss of $8.9 million and $9.2 million respectively. Net loss attributable to common shareholders decreased by $352,000 from $9.9 million in the quarter ended September 30, 2024, to $9.5 million in the same period in 2025. And that concludes my recap of high-level financials for the third quarter of 2025.

I will now hand the discussion back to Lisa.

Lisa Conte: Thanks, Carol. Okay. To all members of the Jaguar, Napo, Napo Therapeutics family, we remain fully energized and excited about the multiple expected near-term catalysts for crofelemer in the company, all of which we view as significant value-enhancing and potentially transformative for patients and as I mentioned, all stakeholders, including our shareholders. Pharmaceutical development is a long-term outcome. And these catalysts represent the convergence of key potential inflection points in our major programs that we've worked on for years. And we expect these catalysts to lead to significant collaborations, business development and licensing deals, and the opportunity to bring in nondilutive dollars to support bringing these late-stage products and programs to regulatory approval and reimbursed patient access.

This concludes our webcast for today. Thank you all for joining. Have a wonderful Thanksgiving and holiday with your families. And we'll get together again next quarter. Thank you.

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