Absci (ABSI) Q2 FY26 earnings call: guidance and Q&A

Why did Absci change the lead indication from 'androgenetic alopecia' to 'Pattern Hair Loss', and does it imply any change in the target indication?

The change was made because prolactin is believed to sit upstream of the androgen receptor, making 'Pattern Hair Loss' a more biologically accurate term. It also aligns with KOL feedback and is better understood by consumers. The indication itself and the market opportunity remain the same.

“So, based on the underlying biology and the importance of prolactin within Pattern Hair Loss, we decided to, you know, switch the name from androgenetic alopecia to Pattern Hair Loss. Additionally, we had gotten feedback from other KOLs that they thought that this was a more appropriate name.”

asked by Brian Cheng · answered by Sean McClain

What magnitude of change in the terminal-to-vellus (T-to-V) ratio is expected at 13 weeks, and how does it compare to current standards of care?

The company is not focused on a specific T-to-V ratio for the interim data and does not have comparative data for current standards of care. The focus is on a broad set of data, including total hair count, terminal hairs, hair width, and darkness, to show potential new mechanisms like regrowing dormant follicles and the regenerative aspect.

“I'm particularly not focused on a specific V to T ratio. And I honestly, Brian, I'm not sure I've seen specific V to T ratios from other programs. So, can't really answer that one for you.”

asked by Brian Cheng · answered by Ransi Somaratne

Is the sequence of events for ABS-201 (interim data, endometriosis study initiation, then full hair loss data) a fair assumption? Also, what is the strategy for new assets from the platform, specifically regarding partnering vs. self-commercialization and the cadence of new assets?

The assumed clinical timeline is fair. For platform output, the strategy is to develop assets with self-commercialization in mind, potentially including direct-to-consumer products. Partnering remains an option depending on the indication or capital situation, but the primary goal is to advance programs with their own balance sheet. The platform's efficiency is increasing, generating more optionality.

“everything we are developing would be with that commercialization in mind and then we have the optionality to partner. That is the current strategy we have.”

asked by Brendan Smith · answered by Sean McClain

Have there been any undisclosed partnerships since last year? What specific data will be disclosed in the 13-week top-line release, and how will durability of effect be assessed given it won't be clear at 13 or 26 weeks?

The Eli Lilly partnership fulfills the goal of a large pharma partnership. The 13-week data will include total area hair count, terminal hairs, target area hair width, darkness, and updated safety/tolerability. Durability will initially be assessed during the safety follow-up period after the trial, with more details on long-term assessment to come.

“So we talked about total area hair count, so that'll be their target area hair count, the terminal hairs. We'll get a look at target area hair width to see how wide the hair caliber is. And we'll be looking at darkness as well. So I think those are the big things. And in addition, we'll have a look at the updated safety and tolerability data as well.”

asked by Vamil Divan · answered by Ransi Somaratne

How does maintaining >90% prolactin receptor occupancy without cycling, as modeled for ABS-201, impact efficacy compared to other prolactin receptor antibodies in Pattern Hair Loss and endometriosis?

Sustained >90% receptor occupancy is critical because even a little receptor activity can cause significant signaling. Other antibodies, like HMI-115, showed oscillation and did not achieve this sustained blockade, thus failing to achieve efficacy. ABS-201's profile is expected to enable prolonged anagen phase for hair regrowth and similar sustained blockade for endometriosis efficacy, as seen with higher doses in other studies.

“And we know that the receptor occupancy or the prolactin receptor needs to be, you know, well above, you know, 90% to achieve, you know, the signal blocking that's necessary. Even a little bit of receptor left can cause, you know, quite a bit of signaling through the prolactin receptor.”

asked by Kambiz Yazdi · answered by Sean McClain

Does recent data for oral minoxidil from VeraDermics change the bar for women's hair regrowth, or does it not affect Absci's programs?

The oral minoxidil data highlights the poor standard of care, indicating significant room for improvement. Absci is excited about the opportunity for ABS-201 in female patients, especially given positive ex vivo data, as the current options are very limited.

“I mean, the data that they put out, I mean, clearly shows that standard of care is really poor, even with what they have. There is so much more room to improve from a standard of care perspective.”

asked by Gil Blum · answered by Sean McClain