Chemical Works Of Gedeon Richter Plc · BET:RICHTER
Chemical Works Of Gedeon Richter — Gedeon Richter — Investor Day (March 2025)
62 slides from Chemical Works Of Gedeon Richter's investor day presentation, Mar 5, 2025
Slide 1: Capital Markets Day
Capital Markets Day 5 March 2025 Budapest, Hungary
Slide 2: Agenda
Agenda Time Topic Presenter 08:30 – 09:00 Registration, coffee 09:00 – 09:20 Gedeon Richter strategy 2035 Gábor Orbán 09:20 – 09:40 Women’s Healthcare Business Unit Péter Turek 09:40 – 10:00 Neuropsychiatry Business Unit Kristóf Kóczián 10:00 – 10:20 General Medicines Business Unit Bence Kovács 10:2
Slide 3: Gedeon Richter Strategy 2035
Gedeon Richter Strategy 2035 Gábor ORBÁN Chief Executive Officer 3
Slide 4: Strategic objectives achieved since 2018
Strategic objectives achieved since 2018 Product portfolio Efficiency ◼ Multiple protected WHC ◼ Addressed overextended brands cost-base ◼ Stable CNS clinical pipeline ◼ Enforcing operational and partnerships efficiency and execution ◼ Improved time-to-market (Operational excellence) in Generics ◼ A
Slide 5: Tangible results delivered
Tangible results delivered ALL-TIME HIGH COMPANY GROUP HEADCOUNT AND RECORD SHARE PRICE1 SIZE DOUBLED IMPROVING INFRASTRUCTURE DIVIDENDS PROFITABILITY SIZE BASICALLY FLAT 708 432 11 000 391 616 10 000 523 2.1 12.7 12.9 12.9 12.5 12.2 9 000 2.0 11.9 11.8 1.7 398 8 000 357 225 225 1.4 1.3 1.3 7 000 1.
Slide 6: Positive external trends and solid internal capabilities driving new strategy
Positive external trends and solid internal capabilities driving new strategy Pharma market trends Richter’s capabilities Growing and ageing World class CNS R&D Significant unmet need Solid footprint population capability Improving health Increasing healthcare Balanced product Strong legacy brands a
Slide 7: Our Vision for 2035
Our Vision for 2035 We improve quality of life globally with a special focus on women and mental health patients We concentrate on the development, Innovative manufacturing and commercialization of Pharma pharmaceuticals Global recognition & only Affordable Our innovative solutions elevate therapeut
Slide 8: Sustainable and scalable growth with purpose
Sustainable and scalable growth with purpose ACCESS TO HEALTH ◼ Focusing on unmet needs ◼ New original research for women’s healthcare ◼ Growing availability of Cariprazine globally Access to ◼ Awareness raising programs health ◼ Diverse and expanding portfolio of affordable medicines PEOPLE ◼ Busin
Slide 9: Innovative and Affordable approach driven by therapeutic area focus
Innovative and Affordable approach driven by therapeutic area focus INNOVATIVE AFFORDABLE We aspire to become thought leaders globally and to build Our aim is to provide reasonably priced products a portfolio of leading therapies accessible to a wide range of people, ensuring equitable access and su
Slide 10: Multiple levers of Revenue growth and Margin improvement
Multiple levers of Revenue growth and Margin improvement 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Maximizing potential of current portfolio and indications (Contraception, Endometriosis, Fertility, Menopause) 2nd wave of 1st wave of new products in existing segments new products and PC
Slide 11: Women's Healthcare
Women’s Healthcare WHC Péter TUREK Head of WHC Business Unit 11 11
Slide 12: Women's Healthcare – an underserved market
Women’s Healthcare – an underserved market Substantial High prevalence Increasing demand unmet need of disorders ▪ Innovation targets: endometriosis, ▪ Aging population (menopause, PCOS*, oncology, incontinence, ▪ 3.9 billion women globally fertility, incontinence) gynecological infections, HPV** ▪
Slide 13: WHC at a glance at Richter
WHC at a glance at Richter Global WHC Revenue (EUR mn) Europe WHC market share Global WHC Coverage Contraception Market share compared GEDEON RICHTER Fertility 724 to the market lead Menopause 669 48 competitor (%) 42 68 Endometriosis 582 40 75 73% Others 33 42 62 22 461 34 101 92 70 69% 433 432 29
Slide 14: WHC to become the largest cEBIT contributor by 2035
WHC to become the largest cEBIT contributor by 2035 EXPAND THERAPEUTIC SEGMENTS DOUBLE REVENUE THOUGHT LEADERS IN WOMEN'S HEALTHCARE Focus on growth of established TAs Double Revenue, double R&D (Contraception, Fertility, Endometriosis, investment, and improve EBIT margin Address unmet medical needs
Slide 15: Seven strategic Therapeutic segments defined in WHC
Seven strategic Therapeutic segments defined in WHC Our traditional Therapeutic segments New strategic Therapeutic segments Women’s Contraception Endometriosis Menopause Fertility Urinary tracts PCOS oncology Largest WHC Key strategic Recent co High growth- Major diseases Leading Most attractive rev
Slide 16: Contraception — the leading provider in Europe
Contraception — the leading provider in Europe Market potential and position Our product portfolio European market share (%) in regular ◼ Oral contraception (in cycles) ◼ Among the 1.9bn women of contraceptives GEDEON RICHTER Competitor 2 Competitor 4 reproductive age (15–49 years) Competitor 1 Comp
Slide 17: Fertility — a broad portfolio for infertility specialists
Fertility — a broad portfolio for infertility specialists Market potential and position Our product portfolio Age-related decline in infertility in women and men8 ◼ r-hFSH* ◼ Global sales of infertility treatment 1.0 women are estimated to be USD 1.9bn in men 2024 and are anticipated to reach 0.8 Be
Slide 18: Menopause — protected brands on a high-growth market
Menopause — protected brands on a high-growth market Market potential and position Our product portfolio The growth of menopause market in Europe (EUR mn) ◼ Menopause is an area of high unmet ◼ Transdermal delivery 180 need globally. 160 ◼ Based on the age distribution of the 140 population and shar
Slide 19: Endometriosis — leading original therapy
Endometriosis — leading original therapy Market potential and position Our product portfolio Number of patients treated with Ryeqo® ◼ Globally, 190mn women are ◼ Original GnRH antagonist combination 70 000 Endometriosis suffering from endometriosis. indication 60 000 Currently no cure exists, and tr
Slide 20: Broadening the therapeutic scope of WHC
Broadening the therapeutic scope of WHC PCOS Women’s Urinary tracts (Polycystic Ovarian oncology Syndrome) Women's urinary infection (UTI) market New strategic indication for Richter Most attractive therapeutical area with the highest is estimated at USD 11.24bn in 202415 unmet need: patients with a
Slide 21: Pipeline delivery built on the Innovative research hubs
Pipeline delivery built on the Innovative research hubs Richter R&D Innovation center – Budapest Estetra SRL – Liege • Basic research, 30+ years of • Assets and licenses knowledge in small acquired from Mithra molecule discovery Group • Wide range of synergies on • Development lead platform early an
Slide 22: Focus regions in WHC
Focus regions in WHC USA Key highlights The most important market, where various business models being investigated. ▪ WHC is an important part of Innovative products as well as assets the Innovative pillar of Richter already in the portfolio to be considered for the US market. ▪ With an innovative
Slide 23: Neuropsychiatry
Neuropsychiatry CNS Kristóf KÓCZIÁN Head of CNS Business Unit 23 23
Slide 24: Substantial unmet need to drive growth in neuropsychiatry
Substantial unmet need to drive growth in neuropsychiatry Substantial High prevalence Increasing demand unmet need of disorders ▪ Up to 15% of global disease ▪ 1 in every 8 people worldwide ▪ Ageing population burden1 living with a mental disorder2 ▪ Increasing awareness and ▪ Need for further impro
Slide 25: CNS at a glance at Richter
CNS at a glance at Richter Proven track record of Cariprazine ~1.7 million patients treated worldwide through our network AbbVie – Vraylar net sales (USD mn) Gedeon Richter 3 500 * CEE & RU/CIS, +20% 3 267 Recordati – Vietnam WEU & 2 670 Tunisia 1 978 WhanIn AbbVie Dexcel 1 681 Israel South Korea US
Slide 26: We focus on developing treatments for Neuropsychiatric diseases
We focus on developing treatments for Neuropsychiatric diseases Psychiatric diseases Neurodegenerative diseases Mental disorders are patterns of behavioral Chronic, progressive conditions that or psychological symptoms. damage and destroy parts of the central nervous system (CNS). Examples of diseas
Slide 27: Our focus is on disease symptom domains with high prevalence
Our focus is on disease symptom domains with high prevalence GR’s focus diseases GR’s target symptoms Loss of motivation, social withdrawal 7% Major Depression Negative symptoms 2.9% Generalized Anxiety Disorder Problems with executive Cognitive Affective Changes in emotional 2.8% functioning, focus
Slide 28: CNS's ambition is to introduce a new blockbuster molecule
CNS’s ambition is to introduce a new blockbuster molecule REMAIN A VALUE ADDING MAXIMIZE THE VALUE OF INTRODUCE THE NEXT BUSINESS UNIT CARIPRAZINE UNTIL LOE BLOCKBUSTER MOLECULE Aim to generate royalty/sales We aim to maximize the sales of Develop a new molecule with revenues to keep EBIT comfortabl
Slide 29: Healthy pipeline includes partnered and stand-alone projects
Healthy pipeline includes partnered and stand-alone projects Revenue aspirations from current projects (snapshot, subject to change) Key highlights • Healthy pipeline that Expected gives us confidence we revenue can manage Cariprazine LoE* AbbVie 2022 collaboration effects AbbVie 2024 Cariprazine co
Slide 30: Maximize value of cariprazine until LOE
Maximize value of cariprazine until LOE Cariprazine presence by indication Key highlights • Schizophrenia • Bipolar Mania • Cariprazine launched in 67 countries Schizophrenia globally with strong local partners • Bipolar Depression • In 2023 was the 57th biggest selling drug in the US9 • AbbVie’s cu
Slide 31: We aim to facilitate our early research via our Ecosystems
We aim to facilitate our early research via our Ecosystems CNS Ecosystem overview Key highlights Academic institutes Universities R&D Partners • Richter organized two formalized ecosystem clusters in CNS in 2024 Key Opinion Leaders • Richter’s Neuroinflammation cluster helps in new target validation
Slide 32: General Medicines
General Medicines GenMed Bence KOVÁCS Head of GenMed Business Unit 32 32
Slide 33: Positive market outlook of our focus therapeutic areas
Positive market outlook of our focus therapeutic areas Market size prognosis of our relevant focus Estimated worldwide sales of molecules (in 2023) with Loss Generics TA-s* in CEE*** and WEU**** (EUR bn)1 of exclusivity in 2024-2035 (EUR bn) in GenMed2 Endocrine 144 Central Nervous System 24 Cardiov
Slide 34: GenMed at a glance
GenMed at a glance GenMed Revenue EUR mn GenMed cEBIT EUR mn GenMed geographic coverage 6.7% CAGR: +6% 21% HU 634 128 PL 594 44% 574 113 13% RO 529 103 101 Other CE*** 48.6% 22% 44.7% RU 14% UKR 8% UZB Central Europe 10% 62% KAZ 7% Eastern Europe Other 2021 2022 2023 2024 2021 2022 2023 2024 EEU****
Slide 35: GenMed's ambition is to establish generics excellence
GenMed’s ambition is to establish generics excellence DOUBLE REVENUE IMPROVE FRESHNESS OF OPERATIONAL EXCELLENCE OUR PORTFOLIO Double revenue by 2035, reach over Continuously bring new products to Run focused cost excellence programs 20% profitability, and remain a key market and improve the freshne
Slide 36: Clear focus set regarding therapeutic areas…
Clear focus set regarding therapeutic areas… AFFORDABLE PILLAR GENMED BIOTECH Traditional Generic therapeutic Loss of exclusivity-driven strategic areas therapeutic areas Cardiovascular Blood therapies Musculoskeletal Traditional CNS Diabetes and Obesity Immunology We have a wide portfolio coverage
Slide 37: …and a clear view on how to develop the GenMed portfolio
…and a clear view on how to develop the GenMed portfolio Short term Mid term Long term ◼ NOACs* — on the market or ◼ SGLT-2** therapies — ready for ◼ GLP-1*** therapies – ongoing ready for LoEs with key therapies LoEs or late-stage pipeline developments and evaluation of partnership opportunities ◼
Slide 38: Harnessing speed and scale and rolling it out to Western Europe
Harnessing speed and scale and rolling it out to Western Europe Our aim is to strengthen Generics Excellence at HQ level Broaden our geographic reach to Western Europe • Pursue Portfolio management excellence; BD+L* • Expand our operational excellence • Enhance Development and Regulatory excellence
Slide 39: Strategic ambitions for 2035
Strategic ambitions for 2035 Doubling cEBIT margin R&D Spend to Revenue Revenue 634 1,300+ 16% 20%+ 5% 7% mn EUR mn EUR 2024 2035 2024 2030 Top5 in key 2024 2030 Freshness countries in index* the core region 8.4% 15%+ 1 4 2024 2030 2024 2035 39 *Freshness index: Revenue share of products launched in
Slide 40: Biotechnology
Biotechnology Biotech Erik BOGSCH Head of Biotech Business Unit 40 40
Slide 41: Biosimilars: the fastest growing pharma subsegment
Biosimilars: the fastest growing pharma subsegment Global Biosimilar market growth Biosimilars market size 2023 to 2035 (USD billion) 1 151 131 114 +17% 99 85 73 63 54 46 39 28 33 24 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Key highlights • Biosimilar market is estimated to g
Slide 42: Biotech at a glance at Richter
Biotech at a glance at Richter Global Biotech Revenue EUR mn Global Teriparatide partner network 137 121 105 70 57 53 64 67 52 Teriparatide CDMO 2022 2023 2024 R&D Capability Production sites Number of own Affiliates • Cell line development • Microbial DS* manufacturing facilities – 2 sites in Germa
Slide 43: Biotech therapeutic areas are focusing on niche market segments
Biotech therapeutic areas are focusing on niche market segments AFFORDABLE PILLAR BIOTECH GENMED Musculoskeletal Immunology Cardiovascular Skin affected Traditional CNS Rheuma- Atopic Psoriatic Psoriatic toid dermatitis arthritis arthritis Axial Blood therapies Osteo- Coltis Morbus spondylo- porosis
Slide 44: Fastest growing segment to reach scale and become profitable
Fastest growing segment to reach scale and become profitable STRONG DOUBLE-DIGIT STRONG BIOTECH ENHANCED PARTNERING REVENUE GROWTH PORTFOLIO AND PIPELINE Aspiring double-digit growth and Launch 8 own developments Further build on existing commercial reaching break-even by 2027 establishing ourselves
Slide 45: The business model builds on global biosimilars launches complemented with CDMO services
The business model builds on global biosimilars launches complemented with CDMO services Revenue ambition Clean EBIT ambition Key Highlights • Biotech to turn profitable from CDMO service 2027 as business is gradually Immunology Musculoskeletal scaling up • Double-digit revenue growth will be driven
Slide 46: Building a strong Biotech pipeline
Building a strong Biotech pipeline Biotech portfolio and product pipeline Key Highlights • Two existing biosimilars on the market with a global commercial footprint (Bemfola part of WHC) • Healthy development pipeline with 4 brands to be launched in the next 2 years • Multiple products to be markete
Slide 47: Portfolio development to focus on USA, Europe and Japan markets
Portfolio development to focus on USA, Europe and Japan markets Key Highlights USA Japan We have just submitted our first Mochida Pharmaceuticals is our ▪ Richter biotechnology biosimilar MAA to FDA for our strategic co-development and business continues to focus on denosumab biosimilar products. co
Slide 48: Gedeon Richter's CDMO business
Gedeon Richter’s CDMO business We have strong CDMO CDMO is a viable business on its Full array of services are offered capabilities own within Biotech to a wide range of partners • The backbone of the CDMO business • Richter CDMO revenues were 67mn • Richter can provide a full array of is Richter Bi
Slide 49: Financial outlook, capital allocation
Financial outlook, capital allocation Gábor ORBÁN Chief Executive Officer 49 49
Slide 50: Ex-CNS Revenues to more than double by 2035
Ex-CNS Revenues to more than double by 2035 Pharma Revenues 2020-2035 (EUR bn) CNS ~7-8% CAGR (ex-CNS) Pharma-ex CNS 2.30-2.40 2.14 0.61 ~3.2-3.5 ~2.2-2.4 1.52 2020 2021 2022 2023 2024 2025E 2026E 2027E 2028E 2029E 2030E 2031E 2032E 2033E 2034E 2035E Key highlights • All projections are based on org
Slide 51: Steady-state cEBIT margin to exceed 20% in the 30s
Steady-state cEBIT margin to exceed 20% in the 30s Clean EBIT margin between 2020-2035E (EUR bn) 40 cEBIT margin (ex-CNS) 35 cEBIT margin 30 25 Margin volatility in 2022-23 due to the RUB fluctuation; 2024 margin 20 affected by M&A (R&D) 15 10 5 2020 2021 2022 2023 2024 2031E 2035E Key highlights •
Slide 52: The heavy lifting has to happen until LoE
The heavy lifting has to happen until LoE The source of the margin improvement (cEBIT margin ex-CNS, %) ~+2ppt ~+10ppt 22%+ 20%+ 10.4 2024A Self- Commercial Commercial G&A Portfolio Operational Infrastructure 2031E R&D step-up Portfolio Biotech CAPEX 2035E sufficient excellence footprint complexity
Slide 53: Multiple levers of margin improvement
Multiple levers of margin improvement Biotech Commercial Portfolio Operations G&A R&D • 7 new own • Optimized global • Bringing original • Roll-out of the • Build global • Continuous developed network footprint products to Operational backbone for investment in biosimilars on the creating effective
Slide 54: A balanced long-term earnings profile
A balanced long-term earnings profile Clean EBIT contribution of the two pillars 2024-2035* Affordable Innovative ~80% ~50% 93% ~40% ~50% ~20% ~60% 7% 2024 … … 2029E … 2031E … … 2035E Key highlights • „Affordable” contribution to grow steadily in absolute terms as Biotech becomes profitable and GenM
Slide 55: Capital allocation priorities: R&D, external innovation, shareholders
Capital allocation priorities: R&D, external innovation, shareholders Key highlights • More for R&D – R&D will be the biggest use of cash in 2025-35 with c. 30-35% of pre-R&D cash spent • Less for Capex (physical infrastructure) and NWC - proportionally much less spend than in the last 5 years • Ext
Slide 56: Capital allocation – balancing between predictability and flexibility
Capital allocation – balancing between predictability and flexibility Protecting shareholders’ interest and providing an attractive income stream • Richter can sustain paying at least EUR 200mn annual dividends in 2025-35, even beyond Vraylar LoE • Richter to pay out 30-50% of its adjusted net incom
Slide 57: Sustainable long-term dividend with material upside through 2030
Sustainable long-term dividend with material upside through 2030 A conceptual path to future dividends (EUR mn, all hypothetical values beyond 2023) Dividend Min. dividend Dividend upside 30% payout 50% payout 191 199 200 200 200 200 200 200 200 200 200 200 200 200 118 107 38 2019 2020 2021 2022 202
Slide 58: Thank you for your attention
Thank you for your attention 58 58
Slide 59: Appendix
Appendix 59 59
Slide 60: References
References Gedeon Richter’s Strategy 2035 1 Gedeon Richter’s share price: https://bet.hu/oldalak/ceg_adatlap/$security/RICHTER Women’s Healthcare 1 https://www.grandviewresearch.com/industry-analysis/womens-health-market 2 (a) https://ec.europa.eu/eurostat/statistics-explained/index.php?oldid=664290
Slide 61: Contacts and Financial calendar
Contacts Financial calendar Company name: Gedeon Richter Plc. | 5 March 2025 – Capital Markets Day Sector: Pharmaceutical | 29 April 2025 – AGM Company address: 1103 Budapest, Gyömrői út 19-21., Hungary | 14 May 2025 – Q1 2025 results Telephone: +36 1 431 5764 | 6 August 2025 – Q2/H1 2025 results |
Slide 62: Disclaimer
Disclaimer This presentation may contain forward-looking statements, that may include, but are not limited to, those regarding capital, investment, cash flows, demand, earnings, efficiency, production, profits. These forward-looking statements are subject to risks, uncertainties, and other factors,