Benzinga | Apr 27, 2021 02:34PM EDT

Eli Lilly Abandons IL-23 Psoriasis Program, Instead Will Focus On Ulcerative Colitis, Crohn's Disease Indications

* Tucked in its Q1 earnings release, Eli Lilly And Co (NYSE: LLY) has scrapped its plans to seek approval for mirikizumab in psoriasis.

* The company decided not to enter the market despite the anti-IL-23p19 antibody outperforming Novartis AG's (NYSE: NVS) Cosentyx in a Phase 3 trial last year.

* AbbVie Inc's (NYSE: ABBV) anti-IL-23 antibody Skyrizi and Johnson & Johnson's (NYSE: JNJ) Tremfya and Stelara, which hits IL-12 and IL-23, are already approved in plaque psoriasis.

* Despite being behind the already approved anti-IL-23 drugs, Lilly moved mirikizumab into a Phase 3 program that included three psoriasis studies, including a long-term study.

* "We look forward to bringing mirikizumab to market to provide patients with an additional treatment option that has the potential to provide near-complete or complete skin clearance as measured by PASI 90 and PASI 100, with sustained results at 52 weeks," Lilly USA president Patrik Jonsson noted when data were announced.

* The company said it would no longer submit mirikizumab for approval in psoriasis in any geography. The decision leaves mirikizumab development focused on ulcerative colitis and Crohn's disease.

* Last month, Lilly showed mirikizumab improved clinical remission in patients with moderately to severely active ulcerative colitis who had been failed by conventional or biologic therapies.

* The company posted weaker-than-expected first-quarter earnings and cut its forecast for full-year adjusted profit due to lower demand for its COVID-19 drugs.

* Price Action: LLY shares down 2.22% at $183.07 in the market trading session the last check Tuesday.