Takeda Pharmaceutical Co. Ltd. · TSE:4502

Takeda Pharmaceutical — Q3 2023 Earnings Presentation

60 slides from Takeda Pharmaceutical's earnings presentation, Feb 1, 2024

  1. Slide 1: Committed to Growth & Shareholder Returns

    TSE: 4502 Committed to Growth & Shareholder Returns FY2023 Q3 Earnings Announcement February 1st, 2024

  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: FY2023 Q3 YTD Results: On Track Towards Management Guidance

    FY2023 Q3 YTD Results: On Track Towards Management Guidance Strong Momentum of Growth & Launch Products No Change to Full-Year Management Guidance • Growth & Launch products +12.7% at CER1; represent 43% of sales • No change to full-year Management Guidance for CER change, reflecting significant Los

  5. Slide 5: Multiple Regulatory Approvals Since Q2 Including Two NMEs in the U.S.

    Multiple Regulatory Approvals Since Q2 Including Two NMEs in the U.S. TWO NEW MOLECULAR ENTITIES (NMEs) APPROVED BY U.S. FDA IN NOVEMBER 2023 First and only targeted therapy approved for First and only recombinant ADAMTS13 previously treated metastatic Colorectal Cancer enzyme replacement therapy fo

  6. Slide 6: Focus on Launch Excellence for ENTYVIO Pen and QDENGA

    Focus on Launch Excellence for ENTYVIO Pen and QDENGA ENTYVIO: Maintaining #1 U.S. Market Position in IBD QDENGA: Positive Uptake in Endemic & Travel Markets • Q3 YTD revenue growth +7%, continuing to outperform IBD overall market • Launched in Indonesia, Brazil, Thailand, and most recently Argentin

  7. Slide 7: Committed to Growth & Shareholder Returns

    Committed to Growth & Shareholder Returns Near-term Medium-term Long-term (FY2024-2025) (FY2026 - early 2030s) (FY2030s and beyond) Return to sales, profit & margin growth Continued expansion of Growth & Launch Products Further launches from innovative late-stage pipeline Limited Loss of Exclusivity

  8. Slide 8: Agenda

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

  9. Slide 9: Major Updates to Our Pipeline Since Q2 FY23

    Major Updates to Our Pipeline Since Q2 FY23 ADZYNMA • Approved in U.S. as the first and only enzyme replacement therapy for the treatment of congenital thrombotic (TAK-755, rADAMTS13) thrombocytopenic purpura (cTTP) FRUZAQLA • Approved in U.S. for patients with previously treated metastatic colorect

  10. Slide 10: Developing Life Transforming Medicines for Rare and More Prevalent Diseases

    Developing Life Transforming Medicines for Rare and More Prevalent Diseases FY23 FY24 FY25-27 Psoriasis Psoriasis Psoriasis Ph3 Started1 Head-to-Head Start Target Filling Psoriatic Arthritis Psoriatic Arthritis TAK-279 Ph2b Readout Ph3 Start Crohn’s Disease, Ulcerative Colitis Other Potential Indica

  11. Slide 11: Major Pipeline Readouts for Key Mid-stage Programs

    Major Pipeline Readouts for Key Mid-stage Programs FY23 FY24 Immune Thrombocytopenic mezagitamab Purpura and (TAK-079) IgA Nephropathy GASTROINTESTINAL AND INFLAMMATION TAK-227 Celiac disease Narcolepsy TAK-861 (NT1 and NT2) NEUROSCIENCE danavorexton Postanesthesia Recovery Postanesthesia Recovery (

  12. Slide 12: FY2023: Multiple Potential Approvals for NMEs and Indication Expansions

    FY2023: Multiple Potential Approvals for NMEs and Indication Expansions UC U.S. approval ENTYVIO SC CD Japan approval U.S. approval1 QDENGA Dengue vaccine Endemic countries2 ADZYNMA (TAK-755) cTTP U.S. approval FRUZAQLA (fruquintinib) mCRC U.S. approval KEY POTENTIAL REGULATORY TAK-721 Eosinophilic

  13. Slide 13: Continue Pipeline Momentum into 2024

    Continue Pipeline Momentum into 2024 Q4 FY23 H1 FY24 TAK-721 – EoE ENTYVIO SC – CD Approval (US) Approval (US) Potential Approvals ICLUSIG – 1L Ph+ ALL1 Soticlestat – DS Approval (US) Phase 3 Readout2 Phase 3 Readouts Soticlestat – LGS Phase 3 Readout2 Psoriasis Psoriasis Phase 3 (x2) Enrollment Hea

  14. Slide 14: Agenda

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

  15. Slide 15: FY2023 Q3 YTD Results: On Track Towards Management Guidance

    FY2023 Q3 YTD Results: On Track Towards Management Guidance FY2023 Q3 YTD (APR -DEC) • Revenue JPY 3,212.9B (USD 22.8B)1 flat at +0.0% at CER2, or +4.6% at actual exchange rates TOPLINE • Growth & Launch Products +12.7% at CER, represent 43% of total revenue • Core Operating Profit JPY 865.6B (USD 6

  16. Slide 16: FY2023 Q3 YTD Revenue Flat at CER Despite Significant LOE Impact

    FY2023 Q3 YTD Revenue Flat at CER Despite Significant LOE Impact; Reported Operating & Net Profit Impacted by Non-Core Items FY2023 Q3 YTD (APR-DEC) FINANCIAL RESULTS (SUMMARY) (BN YEN, except EPS) REPORTED CORE1 FY2023 Q3 YTD ACTUAL % CHANGE FY2023 Q3 YTD ACTUAL % CHANGE CER2 % CHANGE REVENUE 3,212

  17. Slide 17: Growth & Launch Products +12.7% at CER; Represent 43% of Total Revenue

    Growth & Launch Products +12.7% at CER; Represent 43% of Total Revenue FY2023 Q3 YTD REVENUE PLASMA-DERIVED THERAPIES (PDT) GI RARE DISEASES IMMUNOLOGY ONCOLOGY NEUROSCIENCE OTHER % of Sales: 29% % of Sales: 18% % of Sales: 19% % of Sales: 11% % of Sales: 15% % of Sales: 8% Growth: +4% Growth: +3% G

  18. Slide 18: Q3 YTD Revenue Growth Flat at CER Despite Significant LOE Impact

    Q3 YTD Revenue Growth Flat at CER Despite Significant LOE Impact FY2023 Q3 YTD REVENUE VS PRIOR YEAR (BN JPY) +4.6% +0.0% at CER 3,212.9 -133.3 141.5 3,071.3 Includes VYVANSE, AZILVA, VELCADE and DEXILANT FY2022 Q3 YTD Growth & LOE impacted Coronavirus Vaccines Other Products FX FY2023 Q3 YTD Revenu

  19. Slide 19: Core Operating Profit Impacted by LOE of Higher Margin Products

    Core Operating Profit Impacted by LOE of Higher Margin Products, Decline in Coronavirus Vaccines Revenue, and Investment in R&D and Data & Technology FY2023 Q3 YTD CORE OPERATING PROFIT VS PRIOR YEAR (BN JPY) -9.3% -12.7% at CER 954.7 865.6 32.0 FY2022 Q3 YTD Growth & Launch LOE impacted products In

  20. Slide 20: Reported Operating Profit Impacted by Non-Core Items Mostly Booked in Q2

    Reported Operating Profit Impacted by Non-Core Items Mostly Booked in Q2 FY2023 Q3 YTD REPORTED OPERATING PROFIT VS PRIOR YEAR (BN JPY) -44.2% 401.9 Reflects JPY 119.3B impairment of intangible assets, mainly related to ALOFISEL and EXKIVITY booked in Q2 224.1 -5.5 Mainly due to conclusion of unwind

  21. Slide 21: No Change to Full-year Management Guidance or P&L Forecast

    No Change to Full-year Management Guidance or P&L Forecast • Management Guidance reflects significant Loss of Exclusivity impact and lower coronavirus vaccines revenue, and investment in R&D and Data & Technology to secure long-term competitiveness • Core Operating Profit expected to exceed JPY 1trn

  22. Slide 22: Average Interest Rates Improved from ~2% to 1.6% Driven by Debt Paydown

    Average Interest Rates Improved from ~2% to 1.6% Driven by Debt Paydown MATURITY LADDER AS OF 31 DECEMBER 2023 100% of outstanding debt at fixed rates 1,000 1.6% weighted average interest Average debt maturity ~8 years 800 600 BILLION JPY 400 HYBRID 200 PAID IN FY23 Q3 YTD - ‖ ‖ ‖ ‖ ‖ FY 23 FY 24 FY

  23. Slide 23: FY2023 Q3 YTD Results: On Track Towards Management Guidance

    FY2023 Q3 YTD Results: On Track Towards Management Guidance FY2023 Q3 YTD (APR -DEC) • Revenue JPY 3,212.9B (USD 22.8B)1 flat at +0.0% at CER2, or +4.6% at actual exchange rates TOPLINE • Growth & Launch Products +12.7% at CER, represent 43% of total revenue • Core Operating Profit JPY 865.6B (USD 6

  24. Slide 24: Committed to Strategic Execution Through CFO Transition Period

    Committed to Strategic Execution Through CFO Transition Period • Costa Saroukos, CFO, has decided to leave Takeda to return to Australia to be closer to family. Costa will step down as CFO, effective April 1, 2024 and will remain with the company as a board director until June 28, 2024. • Milano Fur

  25. Slide 25: 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 Representative Director; Director; President, Director; President & CEO Research & Development Chief Financial Officer J U L IE K IM MIL A N O FU RU T A President, President, Japan US Business Unit Pharma Business Unit

  26. Slide 26: Appendix

    APPENDIX

  27. Slide 27: ENTYVIO Growth Continues to Drive Expansion of GI Franchise

    G AST R OENT ER OL OG Y ( G I) ENTYVIO Growth Continues to Drive Expansion of GI Franchise Despite DEXILANT Loss of Exclusivity Headwind GI PORTFOLIO FY2023 Q3 YTD Revenue JPY 619.3B (+6.6% growth) FY 2023 Q 3 Y T D R E V E N UE • ENTYVIO growth continues to outperform the overall IBD market, despit

  28. Slide 28: Continuing Evidence Generation and Indication Expansion

    Continuing Evidence Generation and Indication Expansion PUBLISHED/ PHASE 3 PHASE 4 FILED APPROVED PRESENTED ENTYVIO® IV ENTYVIO® IV (VERDICT) ENTYVIO® IV (VARSITY) ENTYVIO® IV Pediatric (Global) (US, CA)3 H2H vs. adalimumab1 (Global) Ulcerative colitis ENTYVIO® IV (EXIGEM) ENTYVIO® SC (US)3 (US, EU,

  29. Slide 29: Any Biosimilar Launching Prior to 2032 Would Need to Address Potential Patents

    Any Biosimilar That Seeks to Launch Prior to 2032 Would Need to Address Potential Infringement and/or the Validity of All Relevant Patents • Takeda has granted patents that cover various aspects of ENTYVIO, including formulation, dosing regimens and process for manufacturing. These patents are expec

  30. Slide 30: TAKHZYRO Continues Strong Growth; LIVTENCITY Strong Market Penetration

    R AR E D ISEASES TAKHZYRO Continues its Strong Growth Now Treating >5,000 Patients LIVTENCITY Strong Market Penetration in U.S. & Rapid Geographical Expansion RARE DISEASES PORTFOLIO FY2023 Q3 YTD Revenue JPY 136.4B (+11.5% growth) FY 2023 Q 3 Y T D R E V E N UE • TAKHZYRO continues to be the #1 pre

  31. Slide 31: 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 PORTFOLIO Immunoglobulin Albumin FY 2023 Q 3 Y T D R E V E N UE FY23 Q3 YTD Revenue JPY 485.7B (+18.4% growth) FY23 Q3 YTD Revenue JPY 94.3B (+6.9% growth) • Strong demand globally, especially in

  32. Slide 32: Promising Launch of New Medicine in U.S.; Growth Across Key Programs

    ONC OL OG Y Promising Launch of New Medicine in U.S.; Growth Across Key Programs Largely Mitigates Impact of VELCADE Generics ONCOLOGY PORTFOLIO FY 2023 Q 3 Y T D R E V E N UE • Strong uptake following U.S. FDA approval in November 2023 for metastatic colorectal cancer (mCRC) patients previously tre

  33. Slide 33: VYVANSE U.S. Loss of Exclusivity Impacting from August as Expected

    NEU R OSC IENC E VYVANSE U.S. Loss of Exclusivity Impacting from August as Expected N EURO SCIENCE P O RTFOL IO FY2023 Q3 YTD Revenue JPY 312.9B (-12.1% change) FY 2023 Q 3 Y T D R E V E N UE • Strong performance in April-August ahead of Loss of Exclusivity driven by expanding ADHD adult (BN JPY) po

  34. Slide 34: Important Near-Term LCM Expansions Represent Significant Growth Opportunities

    Important Near-Term LCM Expansions Represent Significant Growth Opportunities FY23 FY24 ENTYVIO maralixibat Filed SC CD (US) Target Filing ALGS, PFIC (Japan) GASTROINTESTINAL AND INFLAMMATION ALOFISEL Target Filing Perianal Fistulas (US) ICLUSIG Filed 1L Ph+ ALL (US) ONCOLOGY CABOMETYX Target Filing

  35. Slide 35: Advancing TAK-279 In Parallel Across Multiple Indications

    Advancing TAK-279 In Parallel Across Multiple Indications Phase 2 Start Phase 2b Readout Phase 3 Target Filing Ph2b March 2023 Ph3 Start FY23 FY25-27 Psoriasis Head-to-Head Start FY24 Psoriatic Arthritis Ph2b September 2023 Ph3 Start FY24 Crohn’s Disease Ph2b Start FY23/24 TAK-279 is a highly select

  36. Slide 36: Continuous Portfolio Prioritization Leading to Pipeline Changes in FY23

    Continuous Portfolio Prioritization and Data Driven Decisions Leading to Clinical Development Pipeline Changes in FY23 New To Phase 1 New To Phase 2 New To Phase 3 New Regulatory Filings TAK-647 danavorexton TAK-279 ADZYNMA® FRUZAQLA TAK-721 NASH Postanesthesia Psoriasis cTTP (EU, JP) mCRC (EU, JP)

  37. Slide 37: Consolidated Development Pipeline by Phase

    Consolidated Development Pipeline by Phase PHASE 3 (6 NMEs + 19 LCMs) FILED (3 NME + 22 LCMs) TAK-279 fazirsiran ENTYVIO® maralixibat ALOFISEL® ADZYNMA® ADZYNMA® ENTYVIO® VOCINTI® AATD Liver Disease Pediatric perianal cTTP (US) cTTP (EU) SC UC (US) H. Pylori (CN) Psoriasis Pediatric UC ALGS (JP) Fis

  38. Slide 38: Consolidated Development Pipeline by Phase

    Consolidated Development Pipeline by Phase PHASE 1 (7 NMEs + 1 LCM) PHASE 2 (15 NMEs) TAK-647 ADZYNMA® mezagitamab TAK-279 TAK-101 mezagitamab ADZYNMA® NASH SCD IgAN Psoriatic Arthritis Celiac Disease MG iTTP GASTROINTESTINAL AND INFLAMMATION TAK-227 zamaglutenase mezagitamab TAK-951 Celiac Disease

  39. Slide 39: Glossary of Abbreviations

    Glossary of Abbreviations Regional Abbreviations: DSQ Dysphagia Symptom Questionnaire LGS Lennox-Gastaut syndrome PTCL-NOS peripheral T-cell lymphoma not otherwise specified CN: China; EU: Europe; JP: Japan; UK: United Kingdom; U.S.: EGFR epidermal growth factor receptor mCRC metastatic colorectal c

  40. Slide 40: Financial Appendix

    FINANCIAL APPENDIX Definition of Non-IFRS Measures Definition of Core Financial Measures, Constant Exchange Rate Change, Free Cash Flow, and U.S. Dollar Convenience Translations A-1 Definition of EBITDA/Adjusted EBITDA and Net Debt A-2 Reconciliations and Other Financial Information FY2023 Q3 YTD Re

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

    Definition of Core Financial Measures, Constant Exchange Rate Change, Free Cash Flow, and U.S. Dollar Convenience Translations Core Revenue represents revenue adjusted to exclude significant items unrelated to Takeda’s core operations. Core Operating Profit represents net profit adjusted to exclude

  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: FY2023 Q3 YTD Reported Results with CER % Change

    FY2023 Q3 YTD Reported Results with CER % Change vs. PY (Million USD, except EPS) FY2022 FY2023 (Billion JPY, except EPS) AER CER FY2023 Q3 YTD Q3 YTD Q3 YTD Convenience Amount of Change % CHANGE % CHANGE USD Translation Revenue 3,071.3 3,212.9 141.6 4.6% 0.0% 22,799 Cost of sales (934.3) (1,044.2)

  44. Slide 44: FY2023 Q3 (Oct-Dec) Reported Results with CER % Change

    FY2023 Q3 (Oct-Dec) Reported Results with CER % Change vs. PY (Million USD, except EPS) FY2022 Q3 FY2023 Q3 (Billion JPY, except EPS) AER CER FY2023 Q3 (Oct-Dec) (Oct-Dec) (Oct-Dec) Convenience Amount of Change % CHANGE % CHANGE USD Translation Revenue 1,096.6 1,111.2 14.6 1.3% (2.6)% 7,885 Cost of

  45. Slide 45: FY2023 Q3 YTD Core Results with CER % Change

    FY2023 Q3 YTD Core Results with CER % Change vs. PY (Million USD, except EPS) FY2022 FY2023 (Billion JPY, except EPS) AER CER FY2023 Q3 YTD Q3 YTD Q3 YTD Convenience Amount of Change % CHANGE % CHANGE USD Translation Revenue 3,071.3 3,212.9 141.6 4.6% 0.0% 22,799 Cost of sales (901.7) (1,044.2) (142

  46. Slide 46: FY2023 Q3 (Oct-Dec) Core Results with CER % Change

    FY2023 Q3 (Oct-Dec) Core Results with CER % Change vs. PY (Million USD, except EPS) FY2022 Q3 FY2023 Q3 (Billion JPY, except EPS) AER CER FY2023 Q3 (Oct-Dec) (Oct-Dec) (Oct-Dec) Convenience Amount of Change % CHANGE % CHANGE USD Translation Revenue 1,096.6 1,111.2 14.6 1.3% (2.6)% 7,885 Cost of sale

  47. Slide 47: FY2023 Q3 YTD Reconciliation from Reported to Core

    FY2023 Q3 YTD Reconciliation from Reported to Core REPORTED TO CORE ADJUSTMENTS (Billion JPY, except EPS and number of shares) REPORTED Amortization of Impairment of Other CORE intangible intangible operating income/ Others assets assets expenses Revenue 3,212.9 3,212.9 Cost of sales (1,044.2) (0.1)

  48. Slide 48: FY2023 Q3 (Oct-Dec) Reconciliation from Reported to Core

    FY2023 Q3 (Oct-Dec) Reconciliation from Reported to Core REPORTED TO CORE ADJUSTMENTS (Billion JPY, except EPS and number of shares) REPORTED Amortization of Impairment of Other CORE intangible intangible operating income/ Others assets assets expenses Revenue 1,111.2 1,111.2 Cost of sales (379.5) 0

  49. Slide 49: FY2022 Q3 YTD Reconciliation from Reported to Core

    FY2022 Q3 YTD Reconciliation from Reported to Core REPORTED TO CORE ADJUSTMENTS (Billion JPY, except EPS and number of shares) REPORTED Amortization of Impairment of Other CORE intangible intangible operating income/ Others assets assets expenses Revenue 3,071.3 3,071.3 Cost of sales (934.3) 32.6 (9

  50. Slide 50: FY2022 Q3 (Oct-Dec) Reconciliation from Reported to Core

    FY2022 Q3 (Oct-Dec) Reconciliation from Reported to Core REPORTED TO CORE ADJUSTMENTS (Billion JPY, except EPS and number of shares) REPORTED Amortization of Impairment of Other CORE intangible intangible operating income/ Others assets assets expenses Revenue 1,096.6 1,096.6 Cost of sales (336.0) 5

  51. Slide 51: FY2023 Q3 YTD Free Cash Flow

    FY2023 Q3 YTD Free Cash Flow (Million USD) FY2022 FY2023 FY2023 Q3 YTD (Billion JPY) vs. PY Q3 YTD Q3 YTD Convenience USD Translation Net profit 285.9 147.2 (138.7) (48.5)% 1,045 Depreciation, amortization and impairment loss 545.0 675.5 130.6 4,794 Decrease (increase) in trade working capital (172.

  52. Slide 52: FY2023 Q3 YTD Net Debt to Adjusted EBITDA

    FY2023 Q3 YTD Net Debt to Adjusted EBITDA NET DEBT/ADJUSTED EBITDA RATIO NET INCREASE (DECREASE) IN CASH FY2023 FY2022 FY2023 (Billion JPY) (Billion JPY) vs. PY Q3 YTD Q3 YTD Q3 YTD *1 Cash & cash equivalents and Level 1 debt investments 172.2 Net cash from operating activities 683.5 437.8 (245.7) (

  53. Slide 53: FY2022 Net Debt to Adjusted EBITDA

    FY2022 Net Debt to Adjusted EBITDA NET DEBT/ADJUSTED EBITDA RATIO NET INCREASE (DECREASE) IN CASH (Billion JPY) FY2022 (Billion JPY) FY2021 FY2022 vs. PY *1 Cash and cash equivalents 407.7 Net cash from operating activities 1,123.1 977.2 (145.9) (13.0)% Book value debt on consolidated statements of

  54. Slide 54: FY2023 Q3 YTD Net Profit to Adjusted EBITDA Bridge

    FY2023 Q3 YTD Net Profit to Adjusted EBITDA Bridge FY2022 FY2023 (Billion JPY) vs. PY Q3 YTD Q3 YTD Net profit 285.9 147.2 (138.7) (48.5)% Income tax expenses 41.3 (46.9) Depreciation and amortization 503.0 541.3 Interest expense, net 86.0 82.0 EBITDA 916.2 723.6 (192.6) (21.0)% Impairment losses 42

  55. Slide 55: FY2023 Q3 YTD Net Profit to Adjusted EBITDA LTM Bridge

    FY2023 Q3 YTD Net Profit to Adjusted EBITDA LTM Bridge FY2022 FY2022 FY2023 FY2023 (Billion JPY) Full Year Q3 YTD Q3 YTD Q3 LTM*1 (Apr - Mar) (Apr - Dec) (Apr - Dec) (Jan - Dec) Net profit 317.0 285.9 147.2 178.3 Income tax expenses 58.1 41.3 (46.9) (30.1) Depreciation and amortization 664.4 503.0 5

  56. Slide 56: FY2023 Q3 YTD CAPEX, Depreciation and Amortization and Impairment Losses

    FY2023 Q3 YTD CAPEX, Depreciation and Amortization and Impairment Losses FY2022 FY2023 (Billion JPY) vs. PY FY2023 Latest Forecast Q3 YTD Q3 YTD Capital expenditures*1 189.6 416.4 226.8 119.6 % 480.0 - 530.0*4 Tangible assets 104.9 130.9 26.0 24.8 % Intangible assets 84.7 285.5 200.8 237.0 % Depreci

  57. Slide 57: FY2023 Full Year Detailed Forecast

    FY2023 Full Year Detailed Forecast (unchanged from October 26, 2023) FY2023 Latest Forecast FY2023 Latest Forecast (BN JPY) FY2022 Actual (Oct 26, 2023) % change vs. PY Revenue 4,027.5 3,980.0 (1.2)% R&D expenses (633.3) (680.0) (7.4)% Amortization of intangible assets associated with products (485.

  58. Slide 58: FY2023 Full Year Reconciliation from Reported to Core Operating Profit Forecast

    FY2023 Full Year 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 3,980.0 3,980.0 Cost of sales G

  59. Slide 59: FY2023 Full Year FX Rates Assumptions and Currency Sensitivity vs Forecast

    FY2023 Full Year FX Rates Assumptions and Currency Sensitivity vs Forecast Average Exchange Rates vs. JPY Impact of depreciation of yen from April 2023 to March 2024 (100 million JPY) Core FY2022 Q3 FY2023 Q3 FY2023 Operating Revenue Net Profit Operating Actual Actual Assumption Profit (IFRS) (IFRS)

  60. Slide 60: © 2024 Takeda Pharmaceutical Company Limited. All rights reserved.

    © 2024 Takeda Pharmaceutical Company Limited. All rights reserved.

Takeda Pharmaceutical Company — Q3 2023 Earnings Presentation on 6ix