Slide 1: Third Quarter 2019 Financial Results & Business Update
Third Quarter 2019 Financial Results & Business Update October 23, 2019 Exhibit 99.2
Slide 2: Forward-Looking Statements and Non-GAAP Financial Information
Forward-Looking Statements and Non-GAAP Financial Information Certain statements set forth in this presentation constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including, but not limited to, statements concerning: the co
Slide 3: Third Quarter Earnings Call Agenda
Introduction Richard Pops, Chief Executive Officer Q3 2019 Financial Results Jim Frates, Chief Financial Officer Business Update Richard Pops, Chief Executive Officer Third Quarter Earnings Call Agenda
Slide 4: Implementation of Restructuring
Implementation of Restructuring Follows comprehensive review of topline growth, cost structure and operations Expected to yield cost savings of $150M, including: Workforce reduction – elimination of approximately 160 current positions Recalibrated future hiring plans Substantially decreased external
Slide 5: Third Quarter 2019 Revenue Summary
Third Quarter 2019 Revenue Summary In millions, except % Q3’19 Q3’18 ∆ Q3’19 vs. Q3’18 VIVITROL® $85.2 $79.9 7% ARISTADA® $53.6 $36.1 48% Manufacturing & Royalty Revenue $103.8* $116.4 (11)% R&D Revenue $12.7 $16.3 (22%) Total Revenue $255.2* $248.7 3% *These results reflect a $12.6 million decline
Slide 6: Net Sales From Proprietary Commercial Medicines
Net Sales From Proprietary Commercial Medicines Proprietary Commercial Product Net Sales ($M)
Slide 7: VIVITROL Performance and Expectations
VIVITROL® Performance and Expectations Q3 year-over-year net sales growth of 7% to $85.2M, driven by underlying unit growth of 11% Sequential decrease primarily driven by fluctuations in gross-to-net adjustments that favorably impacted Q2’19 net sales by ~$3M Gross-to-net deductions of 49% in Q3’19,
Slide 8: ARISTADA Performance and Expectations
ARISTADA® Performance and Expectations Q3 year-over-year net sales growth of 48% to $53.6M, driven by underlying unit growth of 42% Gross-to-net deductions of 48%, compared to 48% in Q2’19 and 47% in Q3’18 Q3 prescriptions increased by 9% sequentially and 42% year-over-year, on a TRx months of thera
Slide 9: Revised Financial Expectations for Year Ending Dec. 31, 2019
(in millions, except per share amounts) Revised Financial Expectations for Year Ending Dec. 31, 2019† Revenues $1,140 – 1,190 COGS $180 – 190 R&D Expense $430 – 450 SG&A Expense $590 – 610 Amortization of Intangible Assets ~$40 Net Interest Expense $0 to $5 Income Tax Expense $0 to $5 Other Income/E
Slide 10: Royalty and Manufacturing Business
Royalty and Manufacturing Business Partnered long-acting injectables: Meaningful revenues expected into the mid-2020s VUMERITY™: Expected launch will add to portfolio of royalty revenue streams Announced FDA tentative approval of VUMERITY FDA final approval will trigger $150 milestone payment from B
Slide 11: Proprietary Commercial Products
Proprietary Commercial Products VIVITROL net sales continued to be concentrated geographically, but we have seen more diversified growth Top five states represented 43% of volume during Q3’19 Pennsylvania, Ohio, Massachusetts, New York, California Diversified growth: In Q3’19, 22 states grew >25% ye
Slide 12: Advancing Pipeline of Development Products
Advancing Pipeline of Development Products ALKS 3831 Single 505(b)(2) NDA submission for treatment of schizophrenia and bipolar I disorder planned for Q4’19 ALKS 4230 ARTISTRY-1 and ARTISTRY-2 clinical development programs underway Data presentation planned for Society for Immunotherapy of Cancer An
Slide 13: News Flow Expected in 2019
News Flow Expected in 2019 ARISTADA® Report topline results for ALPINE phase 3b study (Q2) ALKS 3831 Present ENLIGHTEN-2 data at medical meeting (Q2) Submit single NDA for schizophrenia and bipolar I disorder (Q4) VIVITROL® Present and publish data on detox and induction strategies Diroximel fumarat
Slide 14: www.alkermes.com
www.alkermes.com