Press release
Royalty Pharma Reports Third Quarter 2020 Results
Double-digit growth in Net cash provided by operating activities (GAAP) and Adjusted Cash Receipts(1)Increased 2020 guidance: Adjusted Cash Receipts(1)
About this update from Royalty Pharma Plc
[{"type":"text","content":"Double-digit growth in Net cash provided by operating activities (GAAP) and Adjusted Cash Receipts(1)Increased 2020 guidance: Adjusted Cash Receipts(1) expected to be $1,780 to $1,800 million$2.3 billion of new acquisitions announced in 2020, including $1.1 billion in the third quarter NEW YORK, Nov. 10, 2020 (GLOBE NEWSWIRE) -- Royalty Pharma plc (Nasdaq: RPRX) today reported financial results for the third quarter of 2020 and updated full-year 2020 guidance for Adjusted Cash Receipts(1) (a non-GAAP financial measure).\n “Our performance in the third quarter underscored the strong momentum in the business\", said Pablo Legorreta, Royalty Pharma founder and Chief Executive Officer. \"Net cash provided by operating activities increased by 17%, while Adjusted Cash Receipts increased 12%, driving Adjusted Cash Flow growth of 27%. At the same time, we strengthened our balance sheet through our inaugural bond offering, locking in an attractive cost of debt and more than doubling our maturity profile. We also achieved notable success with our hybrid funding strategy as a result of Gilead’s acquisition of Immunomedics, which not only provides an accelerated return for our shareholders but also enhances the prospects for Trodelvy, an innovative new therapy for cancer patients. Following the recent deal to expand our cystic fibrosis (CF) royalties, we have now announced $2.3 billion in new transactions this year. This speaks to the growing role of royalties as an important tool in the funding of innovation which is supported by our robust transaction pipeline\". GAAP financial results demonstrate continued strong operating cash flow generation and revenue growth Cash provided by operating activities increased to $509 million in the third quarter of 2020 compared with $436 million on a pro forma basis in the same period of 2019 primarily due to higher royalty receipts.Cash used in investing activities of $1,042 million largely reflected two royalty acquisitions.Cash used in financing activities of $357 million resulted from repayment of debt and dividends paid.Total income and other revenues of $538 million grew 16% driven by the CF franchise and Imbruvica. Non-GAAP financial results driven by strong, broad-based growth across the portfolio Adjusted Cash Receipts(1) increased 12% on a pro forma basis led by the CF franchise and Imbruvica....