Iterum Therapeutics’ Earnings Call: Optimism Amid Challenges

Iterum Therapeutics ((ITRM)) has held its Q3 earnings call. Read on for the main highlights of the call.

The recent earnings call for Iterum Therapeutics painted a picture of cautious optimism. The company is celebrating the successful early stages of Orlynda’s launch and receiving positive market feedback, suggesting potential growth. However, financial hurdles persist, marked by limited initial revenue, increased expenses, and a pressing need for additional capital.

Successful Initial Launch of Orlynda

Orlynda, Iterum’s new treatment for uncomplicated urinary tract infections, was launched on August 20, 2025. The launch has been promising, with over 280 prescriptions generated through 100 unique prescribers. Notably, nearly half of these prescribers have prescribed Orlynda to more than one patient, indicating strong initial market penetration and interest.

Positive Physician Feedback

Physicians have expressed significant interest in Orlynda, especially as a new treatment option in the face of antibiotic resistance challenges. This positive feedback from healthcare providers is crucial for Iterum as it seeks to establish Orlynda as a preferred treatment in its category.

Advancements in Managed Care and Market Access

Iterum has made strides in market access by signing a rebate agreement with a top Medicare Part D pharmacy benefit manager. This agreement is expected to enhance coverage and access for Orlynda, with benefits anticipated to commence in 2026 or 2027.

Patent Expansion

The company has successfully expanded its patent portfolio, securing new patents in China and Mexico. These patents extend Iterum’s intellectual property protection for Orlynda until 2041 and 2039, respectively, providing a longer runway for market exclusivity.

Limited Initial Revenue

Despite the promising launch, Iterum reported net product sales of $400,000 for the third quarter of 2025. The company expects modest sales in the fourth quarter, reflecting the early stages of Orlynda’s market entry.

Increased Operating Expenses and Net Loss

Iterum’s operating expenses rose significantly to $8.1 million from $4.9 million year-over-year, contributing to a net loss of $9 million for the third quarter of 2025. This increase underscores the financial challenges the company faces as it invests in commercialization efforts.

Need for Additional Capital

The company has acknowledged the need to raise more capital to sustain its commercialization activities through 2026. Current cash reserves are only sufficient to fund operations into 2026, necessitating additional funding to continue its growth trajectory.

Forward-Looking Guidance

Looking ahead, Iterum anticipates net product revenue for 2026 to range between $5 million and $15 million, bolstered by expanding insurance coverage. Operating expenses are projected to be between $25 million and $30 million. The company plans to raise additional capital to support its commercialization efforts, focusing on high-value territories and potential expansion.

In conclusion, Iterum Therapeutics’ earnings call reflects a blend of optimism and caution. While the successful launch of Orlynda and positive market feedback are encouraging, financial challenges remain a significant concern. The company’s forward-looking guidance suggests a strategic focus on expanding market access and securing additional capital to fuel future growth.