Takeda Pharmaceutical Co. Ltd. · TSE:4502

Takeda Pharmaceutical — Q2 2022 Earnings Presentation

61 slides from Takeda Pharmaceutical's earnings presentation, Oct 28, 2021

  1. Slide 1: FY2022 Q2 Earnings Announcement

    TSE: 4502 Better health for people, Brighter future for the world FY2022 Q2 Earnings Announcement October 27th, 2022

  2. Slide 2: Important Notice

    IMPORTANT NOTICE For the purposes of this notice, “presentation” means this document, any oral presentation, any question and answer session and any written or oral material discussed or distributed by Takeda Pharmaceutical Company Limited (“Takeda”) regarding this presentation. This presentation (i

  3. Slide 3: Agenda

    Introduction Christophe Weber President & CEO Pipeline Update Andy Plump President, R&D AGENDA Financials Costa Saroukos Chief Financial Officer Q&A Session

  4. Slide 4: Better Health for People, Brighter Future for the World

    Better Health for People, Brighter Future for the World Our vision is to discover and deliver life-transforming treatments, guided by our commitment to: We are guided by our values of Takeda-ism which incorporate Integrity, Fairness, Honesty, and PATIENT PEOPLE PLANET Perseverance, with Integrity at

  5. Slide 5: FY2022 H1: Executing Strategy & Delivering Results

    FY2022 H1: EXECUTING STRATEGY & DELIVERING RESULTS Delivering Topline & Core Profit Growth FY2022 H1 RESULTS SUMMARY • Strong first half with Core Revenue growth +5.5% at CER1,2 (BN YEN, except EPS) REPORTED CORE1 ACTUAL ACTUAL CER2 • Core Operating Profit JPY 625.2B (+14.5% growth at CER); FY2022 H

  6. Slide 6: Dengue: One of Ten Threats to Global Health

    DENGUE: LISTED BY WORLD HEALTH ORGANIZATION AS ONE OF TEN THREATS TO GLOBAL HEALTH1 Growing >125 390M prevalence >3.9 Billion Endemic in over 125 countries; 390M estimated infections and Global incidence rates have people are at risk of second most diagnosed cause of 500,000 hospitalizations each ye

  7. Slide 7: QDENGA: Approved in Indonesia & Positive CHMP Opinion

    QDENGA: APPROVED IN INDONESIA & POSITIVE CHMP OPINION FOR PREVENTION OF DENGUE DISEASE AGAINST ALL SEROTYPES, REGARDLESS OF PRIOR DENGUE EXPOSURE 84% reduction of hospitalized dengue in Phase 3 study1 Regulatory outcomes consistent with 4.5 years of data • Pivotal 4.5-year TIDES study in over 20,000

  8. Slide 8: Raising Peak Sales Estimate to USD $7.5-9.0B

    RAISING PEAK SALES ESTIMATE TO USD $7.5-9.0B Outstanding momentum since launch in 2014 Raising peak sales to reflect growth opportunity • Only-in-class gut-selective alpha4beta7 integrin antagonist • New peak sales estimate USD $7.5-9.0B (previously $5.5-6.5B) • #1 prescribed biologic in IBD bio-nai

  9. Slide 9: Agenda

    Introduction Christophe Weber President & CEO Pipeline Update Andy Plump President, R&D AGENDA Financials Costa Saroukos Chief Financial Officer Q&A Session

  10. Slide 10: Updates to Our Pipeline Since FY2022 Q1 Announcement

    UPDATES TO OUR PIPELINE SINCE FY2022 Q1 ANNOUNCEMENT • Approved in Indonesia and positive CHMP opinion for the prevention of dengue disease against all QDENGA1 / TAK-003 serotypes regardless of prior dengue exposure REGULATORY • Positive CHMP opinion recommending approval in EU for treatment of adul

  11. Slide 11: Late-Stage Development Programs with Upcoming NME Filing

    10 LATE-STAGE DEVELOPMENT PROGRAMS WITH UPCOMING NME FILING AND EXPANSION OPPORTUNITIES FY22 FY23 FY24 FY25-27 EXKIVITY 1L NSCLC1 Target Filing (TAK-788) ONCOLOGY modakafusp alfa R/R MM R/R MM Ph2 Start2 Target Filing (TAK-573) 1L CMV3 R/R CMV3 LIVTENCITY Target Filing Target Filing 1L CMV + R/R CMV

  12. Slide 12: Key Proof-of-Concept Readouts in FY22/23

    KEY PROOF-OF-CONCEPT READOUTS IN FY22/23 EXPECTED TO ADD TO LATE-STAGE PIPELINE AND GLOBAL FILINGS IN MID/LATE 2020’S FY22 FY23 FY24 and Beyond subasumstat 1st POC Solid Tumors Heme and/or Solid Tumors ONCOLOGY Approximately 30 NMEs in Ph1 and Ph2 clinical development CD19+ hematological TAK-007 mal

  13. Slide 13: Expected LCM Milestones for Growth & Launch Products

    EXPECTED LCM MILESTONES FOR OUR GROWTH & LAUNCH AND OTHER KEY PRODUCTS IN MAJOR REGIONS FY22 FY23 ICLUSIG Target Filing 1L Ph+ ALL (US) ONCOLOGY CABOMETYX Target Filing NSCLC, CRPC (Japan) RARE GENETICS & TAKHZYRO TAKHZYRO HEMATOLOGY Filed Pediatric HAE (US, EU)1 Target Filing BMA (US) ENTYVIO Targe

  14. Slide 14: Expected Key Regulatory Decisions and Phase 3 Readouts in FY22

    EXPECTED KEY REGULATORY DECISIONS AND PHASE 3 READOUTS IN FY22 EU approval1 QDENGA1 / TAK-003 Dengue vaccine Endemic country approval1 KEY POTENTIAL LIVTENCITY Post-transplant R/R CMV EU approval2 REGULATORY APPROVALS Regional approvals3 EXKIVITY 2L EGFR exon20 insertion+ mNSCLC (post-platinum chemo

  15. Slide 15: Agenda

    Introduction Christophe Weber President & CEO Pipeline Update Andy Plump President, R&D AGENDA Financials Costa Saroukos Chief Financial Officer Q&A Session

  16. Slide 16: Strong H1 Performance with Core Revenue Growth +5.5% at CER

    STRONG H1 PERFORMANCE WITH CORE REVENUE GROWTH +5.5% AT CER1,2 FY2022 H1 (APR -SEP) • Core Revenue JPY 1,974.8B (USD 13.6B)1,3 grew +5.5% at CER2, driven by Growth & Launch Products4 +19%, including ENTYVIO (+17%), TAKHZYRO (+31%), Immunoglobulin (+17%), and launches of LIVTENCITY and EXKIVITY TOPLI

  17. Slide 17: Business Momentum Driving Strong Core Growth at CER

    BUSINESS MOMENTUM DRIVING STRONG CORE GROWTH AT CER1 REPORTED GROWTH RATES IMPACTED BY SALE OF DIABETES PORTFOLIO IN FY2021 Q1 FY2022 H1 (APR-SEP) FINANCIAL RESULTS (SUMMARY) (BN YEN, except EPS) REPORTED CORE2 FY2022 H1 ACTUAL % CHANGE FY2022 H1 ACTUAL % CHANGE CER % CHANGE1 REVENUE 1,974.8 +10.1%

  18. Slide 18: FY2022 H1 Revenue: Business Momentum and FX Tailwind

    FY2022 H1 REVENUE: BUSINESS MOMENTUM AND FX TAILWIND MORE THAN OFFSET IMPACT OF SALE OF JAPAN DIABETES PORTFOLIO IN Q1 OF PRIOR YEAR FY2022 H1 REVENUE VS PRIOR YEAR R EP OR T ED R EVENU E C OR E R EVENU E 1 (BN JPY) +10.1% +18.9% 1,974.8 1,974.8 +221.4 +221.4 1,794.4 +5.5% -133.0 +92.0 1,661.4 +92.0

  19. Slide 19: Balanced Portfolio Across 5 Key Business Areas

    BALANCED PORTFOLIO ACROSS 5 KEY BUSINESS AREAS WITH GROWTH & LAUNCH PRODUCTS REVENUE GROWTH +19% AT CER FY2022 H1 REVENUE1 RARE DISEASES PLASMA-DERIVED % of Sales: 18% THERAPIES (PDT) OTHER Growth: +8% % of Sales: 11% GI ONCOLOGY NEUROSCIENCE Growth: -6% % of Sales: 28% RARE RARE GENETICS PDT IMMUNO

  20. Slide 20: FY2022 H1 Operating Profit: Core O.P. Growth +14.5% at CER

    FY2022 H1 OPERATING PROFIT: CORE O.P. GROWTH OF +14.5% AT CER; REPORTED O.P. GROWTH IMPACTED BY ONE-TIME GAIN IN Q1 OF PRIOR YEAR FY2022 H1 OPERATING PROFIT VS PRIOR YEAR R EP OR T ED OP ER AT ING P R OF IT C OR E OP ER A T ING P R OF IT 1 (BN JPY) +28.7% -26.3% 346.0 625.2 +14.5% +69.1 +15.2 -131.4

  21. Slide 21: FY2022 H1 Cashflow Comfortably Covers Dividend and Interest

    FY2022 H1 CASHFLOW COMFORTABLY COVERS DIVIDEND AND INTEREST FY2022 H1 CASH FLOW (BN JPY) Free Cash Flow1 296.9 13.8 32. liquidity of JPY 1.4T (USD 9.7B)2 Total including JPY 700B from undrawn 139.0 116.8 116.8 committed line of credit and excluding pass-through cash 26.9 305.2 Includes GammaDelta an

  22. Slide 22: Net Debt/Adjusted EBITDA Reduced to 2.6x

    NET DEBT/ADJUSTED EBITDA REDUCED TO 2.6x CHANGE IN NET DEBT Excludes pass-through (BN JPY) cash of JPY 90.6B 3,358.0 1 Free Cash Flow 296.9 3,233.8 202.8 26.9 305.2 51.3 139.0 116.8 140.0 13.8 Includes GammaDelta and Adaptate acquisitions 2022 Operating Divestments Capex Pass-through Half-year Net i

  23. Slide 23: Well-Balanced Maturity Profile; 98% Fixed-Rate Debt

    WELL-BALANCED MATURITY PROFILE; 98% OF DEBT AT FIXED-RATE WITH WEIGHTED AVERAGE 2% INTEREST RATE MATURITY LADDER AS OF 30 SEPTEMBER 2022 (AS ADJUSTED) 1 1,000 $1.0B USD Bond 800 Called for Prepayment (Paid in October 2022) BILLION JPY 600 CALLED 400 HYBRID PAID OFF (April 2022) 200 - ‖ ‖ ‖ ‖ ‖ FY 22

  24. Slide 24: FY2022 Forecasts Upgraded to Reflect FX Tailwind

    FY2022 REPORTED & CORE FORECASTS AND FREE CASH FLOW UPGRADED TO REFLECT FX TAILWIND. RECONFIRMING MANAGEMENT GUIDANCE (BN YEN, except EPS) REPORTED CORE1 CORE GROWTH AT CER2 PREVIOUS REVISED REVISED PREVIOUS REVISED REVISED FORECAST FORECAST FORECAST VS. FORECAST FORECAST FORECAST VS. FY2022 MANAGEM

  25. Slide 25: Topline, Margins & Cash Flow to Deliver Long-Term Value

    TOPLINE, MARGINS & CASH FLOW TO DELIVER LONG-TERM VALUE FY2022 H1 (APR -SEP) FY2022 AND BEYOND • Reconfirming “low-single digit” full-year FY22 guidance for CER growth TOPLINE Core Revenue growth at CER +5.5% 1,2 • Momentum of Growth & Launch Products puts us in position of strength through near-ter

  26. Slide 26: Upcoming Takeda Investor Events

    UPCOMING TAKEDA INVESTOR EVENTS MARCH 2023 QDENGA INVESTOR CALL (DATE/TIME TO BE CONFIRMED) FY2022 Q3 EARNINGS FEBRUARY 2ND, 2023 THURSDAY CONFERENCE CALL (TIME TO BE CONFIRMED) 26

  27. Slide 27: Q&A Session

    Q&A SESSION C H RI S T O PH E WE BE R A N D Y PL U MP C O S T A S A RO U K O S MA S A T O I WA S A K I Representative Director; Director; President, Director; Representative Director; President & CEO Research & Development Chief Financial Officer Japan General Affairs RA MO N A S E Q U E IRA J U L I

  28. Slide 28: Appendix

    APPENDIX

  29. Slide 29: Capital Allocation to Maximize Value for Patients & Shareholders

    CAPITAL ALLOCATION TO MAXIMIZE VALUE FOR PATIENTS & SHAREHOLDERS ◼ Takeda is delivering on its financial commitments and has a robust cash flow outlook driven by revenue growth and strong margins. Guided by our values and commitment to patients, people and the planet, we will allocate capital to max

  30. Slide 30: GI Franchise Continues to Drive Significant Growth of +12%

    G AST R OENT ER OL OG Y ( G I) GI FRANCHISE CONTINUES TO DRIVE SIGNIFICANT GROWTH OF +12% GI PORTFOLIO FY2022 H1 Revenue JPY 346.6B (+17.1% growth) FY 2022 H 1 R E V E N UE • Growth across all markets driven by continued share growth in bio-naïve, amid softening of overall (BN JPY) biologic market g

  31. Slide 31: Biosimilar Launch Prior to 2032 Would Need to Address Patents

    ANY BIOSIMILAR THAT SEEKS TO LAUNCH PRIOR TO 2032 WOULD NEED TO ADDRESS POTENTIAL INFRINGEMENT AND/OR THE VALIDITY OF ALL RELEVANT PATENTS 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 • We do not expect biosimilar Anticipated expiry launch upon anticipated data May 2025 May 2026 of data ex

  32. Slide 32: TAKHZYRO Continuing to Grow; LIVTENCITY Launch

    R AR E D ISEASES TAKHZYRO CONTINUING TO GROW; LIVTENCITY LAUNCH ENHANCING PORTFOLIO RARE DISEASES PORTFOLIO FY2022 H1 Revenue JPY 72.8B (+31.4% growth) FY 2022 H 1 R E V E N UE • FY2022 H1 growth of +31% at CER driven by continued launches in new markets, increased prophylactic use and an increase i

  33. Slide 33: PDT Portfolio Continues to Deliver Outstanding Growth

    P L ASM A - D ER IVED T H ER AP IES PDT PORTFOLIO CONTINUES TO DELIVER OUTSTANDING GROWTH PDT IMMUNOLOGY PORFOLIO Immunoglobulin Albumin FY 2022 H 1 R E V E N UE FY2022 H1 Revenue JPY 245.1B (+16.9% growth) FY2022 H1 Revenue JPY 51.8B (+7.8% growth) • Strong demand globally, especially in U.S. where

  34. Slide 34: Plasma-Derived Therapies: Outstanding Revenue Growth

    PLASMA-DERIVED THERAPIES: DELIVERING OUTSTANDING REVENUE GROWTH SUPPORTED BY ROBUST SUPPLY WHILE FOCUSING ON MARGIN IMPROVEMENT IG REVENUES1 +10-20% PDT delivered outstanding growth in FY2022 H1 +16% +9% +17% • PDT Immunology delivered revenue growth of +14% versus FY2021 H1 in line with our growth

  35. Slide 35: Oncology Growth Impacted by Velcade Generics

    ONC OL OG Y ONCOLOGY GROWTH IMPACTED BY VELCADE GENERICS; PORTFOLIO EXCLUDING VELCADE GREW +6% AT CER ONCOLOGY PORTFOLIO EXKIVITY Launch Drives New Patient Starts FY 2022 H 1 R E V E N UE • Achieved ~50% of new patient starts for EXKIVITY in U.S. market 3 (BN JPY) • EXCLAIM-2 (1L) study ongoing with

  36. Slide 36: Neuroscience Franchise Continues Rebound from COVID-19

    NEU R OSC IENC E NEUROSCIENCE FRANCHISE CONTINUES REBOUND FROM COVID-19 IMPACT N EURO SCIENCE P O RTFOLIO FY2022 H1 Revenue JPY 211.2B (+12.3% growth) FY 2022 H 1 R E V E N UE • Growth in FY2022 driven by the expanding ADHD adult population in the U.S. (BN JPY) • Ramping down product-related OPEX ah

  37. Slide 37: Consolidated Development Pipeline by Phase

    CONSOLIDATED DEVELOPMENT PIPELINE BY PHASE PHASE 3 (7 NMEs + 25 LCMs) FILED (1 NMEs + 7 LCMs) EXKIVITY® ICLUSIG® CABOMETYX® CABOMETYX® 1L NSCLC EGFR mCRPC combo 2L mNSCLC combo exon 20 1L Ph+ ALL (US) w/atezolizumab (JP) w/atezolizumab (JP) NINLARO® NINLARO® ZEJULA® relugolix ONCOLOGY Maint. ND MM n

  38. Slide 38: Consolidated Development Pipeline by Phase

    CONSOLIDATED DEVELOPMENT PIPELINE BY PHASE PHASE 1 (20 NMEs + 1 LCMs) PHASE 2 (14 NMEs + 2 LCMs) TAK-102 TAK-103 TAK-186 TAK-940 modakafusp alfa modakafusp alfa subasumstat TAK-007 CD19+ hematologic CD19+ hematologic Solid tumors Solid tumors EGFR Solid Tumor1 malignancies Solid tumors R/R MM Multip

  39. Slide 39: Glossary of Abbreviations

    GLOSSARY OF ABBREVIATIONS Regional Abbreviations: DS Dravet syndrome LCM lifecycle management PK pharmacokinetics CN: China; EU: Europe; JP: Japan; US: United States of America DU duodenal ulcer LGS Lennox-Gastaut syndrome Japan’s Pharmaceuticals and Medical Devices PMDA Agency AATD α1-antitrypsin d

  40. Slide 40: Financial Appendix

    FINANCIAL APPENDIX Definition of Non-IFRS Measures Definition of Core Financial Measures, Constant Exchange Rate change, and Free Cash Flow A-1 Definition of EBITDA/Adjusted EBITDA and Net Debt A-2 Reconciliations and Other Financial Information FY2022 H1 Reported Results with Actual and CER % Chang

  41. Slide 41: Definition of Core Financial Measures, CER, and Free Cash Flow

    Definition of Core Financial Measures, Constant Exchange Rate change, and Free Cash Flow Core Revenue represents revenue adjusted to exclude significant items unrelated to Takeda’s core operations. Core Operating Profit represents net profit adjusted to exclude income tax expenses, the share of prof

  42. Slide 42: Definition of EBITDA/Adjusted EBITDA and Net Debt

    Definition of EBITDA/Adjusted EBITDA and Net Debt We present EBITDA and Adjusted EBITDA because we believe that these measures are useful to investors as they are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in our industry. We further

  43. Slide 43: FY2022 H1 Reported Results with Actual and CER % Change

    FY2022 H1 Reported Results with Actual and CER % Change vs. PY (Billion JPY) FY2021 H1 FY2022 H1 ACTUAL % CHANGE CER % CHANGE*1 Revenue 1,794.4 1,974.8 180.3 10.1% (2.3)% Cost of sales (517.1) (598.3) (81.3) (15.7)% (3.9)% Gross profit 1,277.4 1,376.4 99.1 7.8% (4.8)% Margin 71.2 % 69.7 % (1.5) pp (

  44. Slide 44: FY2022 Q2 Reported Results with Actual and CER % Change

    FY2022 Q2 (Jul-Sep) Reported Results with Actual and CER % Change vs. PY FY2021 Q2 FY2022 Q2 (Billion JPY) (Jul-Sep) (Jul-Sep) ACTUAL % CHANGE CER % CHANGE*1 Revenue 844.8 1,002.3 157.5 18.6% 2.8% Cost of sales (275.8) (305.4) (29.6) (10.7)% 2.6% Gross profit 569.0 696.9 127.8 22.5% 5.4% Margin 67.4

  45. Slide 45: FY2022 H1 Core Results with Actual and CER % Change

    FY2022 H1 Core Results with Actual and CER % Change vs. PY (Billion JPY) FY2021 H1 FY2022 H1 ACTUAL % CHANGE CER % CHANGE*1 Revenue 1,661.4 1,974.8 313.4 18.9% 5.5% Cost of sales (494.1) (571.6) (77.4) (15.7)% (4.0)% Gross profit 1,167.2 1,403.2 236.0 20.2% 6.2% Margin 70.3 % 71.1 % 0.8 pp 0.4 pp SG

  46. Slide 46: FY2022 Q2 Core Results with Actual and CER % Change

    FY2022 Q2 (Jul-Sep) Core Results with Actual and CER % Change vs. PY FY2021 Q2 FY2022 Q2 (Billion JPY) (Jul-Sep) (Jul-Sep) ACTUAL % CHANGE CER % CHANGE*1 Revenue 844.8 1,002.3 157.5 18.6% 2.8% Cost of sales (266.3) (293.3) (27.1) (10.2)% 2.9% Gross profit 578.5 709.0 130.4 22.5% 5.5% Margin 68.5 % 7

  47. Slide 47: FY2022 H1 Reconciliation from Reported to Core

    FY2022 H1 Reconciliation from Reported to Core REPORTED TO CORE ADJUSTMENTS (Billion JPY) REPORTED Amortization Impairment Other CORE of of operating Others intangible intangible income/ assets assets expenses Revenue 1,974.8 1,974.8 Cost of sales (598.3) 26.8 (571.6) Gross profit 1,376.4 26.8 1,403

  48. Slide 48: FY2022 Q2 Reconciliation from Reported to Core

    FY2022 Q2 (Jul-Sep) Reconciliation from Reported to Core REPORTED TO CORE ADJUSTMENTS (Billion JPY) REPORTED Amortization Impairment Other CORE of of operating Others intangible intangible income/ assets assets expenses Revenue 1,002.3 1,002.3 Cost of sales (305.4) 12.1 (293.3) Gross profit 696.9 12

  49. Slide 49: FY2021 H1 Reconciliation from Reported to Core

    FY2021 H1 Reconciliation from Reported to Core REPORTED TO CORE ADJUSTMENTS (Billion JPY) REPORTED Amortization Impairment Other Irish CORE Sale of Japan of of operating Tax diabetes Others intangible intangible income/ Assessment portfolio assets assets expenses *1 Revenue 1,794.4 (133.0) 1,661.4 C

  50. Slide 50: FY2021 Q2 Reconciliation from Reported to Core

    FY2021 Q2 (Jul-Sep) Reconciliation from Reported to Core REPORTED TO CORE ADJUSTMENTS (Billion JPY) REPORTED Amortization Impairment Other Irish CORE Sale of Japan of of operating Tax diabetes Others intangible intangible income/ Assessment portfolio assets assets expenses *1 Revenue 844.8 844.8 Cos

  51. Slide 51: Free Cash Flow

    Free Cash Flow FY2021 FY2022 (Billion JPY) Change versus the previous year H1 H1 Net profit 183.7 166.8 (17.0) (9.2)% Depreciation, amortization and impairment loss 285.1 362.1 77.0 Decrease (increase) in trade working capital (89.2) (159.0) (69.8) Income taxes paid (78.7) (115.4) (36.7) Tax refunds

  52. Slide 52: FY2022 H1 Net Debt to Adjusted EBITDA

    FY2022 H1 Net Debt to Adjusted EBITDA NET DEBT/ADJUSTED EBITDA RATIO NET INCREASE (DECREASE) IN CASH FY2022 FY2021 FY2022 Change versus the (Billion JPY) (Billion JPY) H1 H1 H1 previous year Cash and cash equivalents*1 707.5 Net cash from operating activities 400.0 305.2 (94.8) (23.7)% Book value de

  53. Slide 53: FY2021 Net Debt to Adjusted EBITDA

    FY2021 Net Debt to Adjusted EBITDA NET DEBT/ADJUSTED EBITDA RATIO NET INCREASE (DECREASE) IN CASH (Billion JPY) FY2021 (Billion JPY) FY2020 FY2021 vs. PY Cash and cash equivalents*1 642.2 Net cash from operating activities 1,010.9 1,123.1 112.2 11.1 % Book value debt on consolidated statements of (4

  54. Slide 54: FY2022 H1 and FY2021 H1 Net Profit to Adjusted EBITDA Bridge

    FY2022 H1 and FY2021 H1 Net Profit to Adjusted EBITDA Bridge FY2021 FY2022 Change versus the (Billion JPY) H1 H1 previous year Net profit 183.7 166.8 (17.0) (9.2)% Income tax expenses 100.7 53.3 Depreciation and amortization 283.6 326.1 Interest expense, net 58.9 57.5 EBITDA 627.0 603.7 (23.3) (3.7)

  55. Slide 55: FY2022 H1 Net Profit to Adjusted EBITDA LTM Bridge

    FY2022 H1 Net Profit to Adjusted EBITDA LTM Bridge FY2021 FY2021 FY2022 FY2022 (Billion JPY) Full Year H1 H1 H1 LTM*1 (Apr-Mar) (Apr - Sep) (Apr - Sep) (Oct-Sep) Net profit 230.2 183.7 166.8 213.2 Income tax expenses 72.4 100.7 53.3 25.0 Depreciation and amortization 583.2 283.6 326.1 625.7 Interest

  56. Slide 56: FX Rates and FY2022 Currency Sensitivity

    FX Rates and FY2022 Currency Sensitivity Average Exchange Rates vs. JPY Impact of depreciation of yen from October 2022 to March 2023 on FY2022 forecast (100 million JPY) Core FY2021 FY2022 FY2022 Operating Revenue Net Profit Operating Actual Actual Assumption Profit (IFRS) (IFRS) Profit (Apr-Sep) (

  57. Slide 57: CAPEX, Depreciation and Amortization and Impairment Losses

    CAPEX, Depreciation and Amortization and Impairment Losses FY2022 Revised (Billion JPY) FY2021 FY2021 H1 FY2022 H1 vs. PY Forecast (Oct 27, 2022) Capital expenditures*1 186.0 85.8 139.0 53.2 62.0 % 260.0 to 310.0 Tangible assets 123.3 60.6 71.4 10.8 17.9 % Intangible assets 62.8 25.2 67.6 42.4 168.3

  58. Slide 58: FY2022 Detailed Forecast

    FY2022 Detailed Forecast FY2022 FY2022 FY2022 FY2021 Original Revised Revised (BN JPY) Actual Forecast Forecast Forecast (May 11, 2022) (Oct 27, 2022) % change vs. PY Revenue 3,569.0 3,690.0 3,930.0 10.1 % R&D expenses (526.1) (570.0) (620.0) (17.9)% Amortization of intangible assets associated with

  59. Slide 59: FY2022 Core Operating Profit Adjustment Items & Cash Flow Forecast

    FY2022 Core Operating Profit Adjustment Items & Cash Flow Forecast CORE OPERATING PROFIT ADJUSTMENT ITEMS FY2022 Revised (Billion JPY) FY2022 H1 Forecast (Oct 27, 2022) Amortization of intangible assets associated with products 240.8 480.0 Of which Shire-acquisition related 195.3 390.0 Impairment lo

  60. Slide 60: FY2022 Reconciliation from Reported to Core Operating Profit Forecast

    FY2022 Reconciliation from Reported Operating Profit to Core Operating Profit Forecast REPORTED TO CORE ADJUSTMENTS Other (Billion JPY) REPORTED Amortization of Impairment of CORE operating intangible intangible Others income assets assets (expenses) Revenue 3,930.0 3,930.0 Cost of sales 28.0 Gross

  61. Slide 61: Takeda Investor Relations

    Takeda Investor Relations: takeda.ir.contact@takeda.com © 2022 Takeda Pharmaceutical Company Limited. All rights reserved

Takeda Pharmaceutical Company — Q2 2022 Earnings Presentation on 6ix