Slide 1: Q1 2016 Results Media Teleconference
Q1 2016 Results Media Teleconference 09:00 BST 29 April 2016
Slide 2: Forward-looking statements
Forward-looking statements In order, among other things, to utilise the 'safe harbour' provisions of the US Private Securities Litigation Reform Act 1995, we are providing the following cautionary statement: This document contains certain forward-looking statements with respect to the operations, pe
Slide 3: Q1 2016: Good start to the year; advancing the strategy
Q1 2016: Good start to the year; advancing the strategy • Continued delivery – Total Revenue +5%; Growth Platforms +6% – Core SG&A cost decline, slower Core R&D cost growth despite M&A – Four regulatory approvals, four regulatory designations • Advancing the strategy – Sharpening focus on main thera
Slide 4: Q1 2016: Pipeline headlines - Four approvals; four designations
Q1 2016: Pipeline headlines Four approvals; four designations • Regulatory approvals Potential regulatory • Bevespi Aerosphere (PT003) - COPD (US) submissions of new medicines • Zurampic - gout (EU) • Brilique - prior-MI (EU) durva + treme (lung, head & neck, • Tagrisso - lung cancer (JP) pancreatic
Slide 5: Growth Platforms: Resilient performance despite challenging conditions
Growth Platforms: Resilient performance despite challenging conditions Q1 2016 % % Total $m change Revenue Growth Platforms 3,435 +6 56 Respiratory 1,207 +2 - Brilinta/Brilique 181 +46 - Diabetes 578 +23 - Emerging Markets 1,465 +6 - Japan 429 (7) - New Oncology 99 n/m - Absolute values at actual ex
Slide 6: New Oncology Launches progressing well
New Oncology Launches progressing well Lynparza Steady increase in ovarian cancer Tagrisso (ovarian cancer) patients with known BRCA status (lung cancer) BRCA testing rates $m Global Product Sales 80% US cumulative unit demand 5,000 volume 60% 40 4,000 40% 3,000 20 20% 2,000 0% Q3 14 Q1 16 Q4 14 Q1
Slide 7: Advancing strategy: Sharpening focus, enhancing operational effectiveness, adjusting the cost structure
Advancing strategy: Sharpening focus, enhancing operational effectiveness, adjusting the cost structure ACTIONS FINANCIAL IMPLICATIONS 1. Sharpening focus on main therapy areas; Celgene PD-L1 prioritise investment; increase for Oncology - Once implemented end 2017 annual benefit of 2. Reduce Core SG
Slide 8: FY 2016 guidance & capital-allocation priorities
FY 2016 guidance & capital-allocation priorities FY 2016 guidance Low to mid single-digit Capital-allocation priorities Total Revenue percentage decline Strong, Low to mid single-digit Progressive Earnings- Core EPS Investment in investment- dividend accretive percentage decline the business policy
Slide 9: Pipeline
Pipeline Sean Bohen EVP, Global Medicines Development & Chief Medical Officer
Slide 10: Key regulatory designations received in the period
Key regulatory designations received in the period1 Recognition of pipeline quality and progress continued • Breakthrough Therapy: durvalumab - bladder cancer (US) • Orphan Drug: – Acalabrutinib (chronic lymphocytic leukaemia (CLL) / small lymphocytic lymphoma (SLL); mantle cell lymphoma (MCL); lymp
Slide 11: Q1 late-stage pipeline headlines
Q1 late-stage pipeline headlines Respiratory, Inflammation & Cardiovascular & Metabolic Oncology Autoimmunity (RIA) Disease (CVMD) • Symbicort - COPD: Approval • Brilique • Tagrisso - lung cancer: pressurised metered-dose inhaler - post-MI: Approval (EU) -Approval (JP) (pMDI) (EU) - stroke: SOCRATES
Slide 12: Tagrisso Phase I efficacy updates
Tagrisso Phase I efficacy updates Encouraging first-line activity continues Response rate: 77% confirmed ORR (95% CI 64-87%, 80/160mg dose combined, by investigator) Progression-free survival: 19.3 months (95% CI 13.7-NC, 80/160mg dose combined, by investigator) Source: Presentation at European Lung
Slide 13: Pipeline newsflow in 2016-2017
Pipeline newsflow in 2016-2017 Realising potential of new medicines Q2 2016 H2 2016 H1 2017 Regulatory decisions ZS-9 - hyperkalaemia (US) saxa/dapa - type-2 diabetes (EU) brodalumab - psoriasis (US, EU) cediranib - ovarian cancer (EU) ZS-9 - hyperkalaemia (EU) CAZ AVI - serious infections (EU) Regu
Slide 14: Closing
Closing Pascal Soriot Chief Executive Officer
Slide 15: Q1 2016: Good start to the year; advancing the strategy
Q1 2016: Good start to the year; advancing the strategy • Continued delivery – Total Revenue +5%; Growth Platforms +6% – Core SG&A cost decline, slower Core R&D cost growth despite M&A – Four regulatory approvals, four regulatory designations • Advancing the strategy – Sharpening focus on main thera
Slide 16: Q1 2016 Results Media Teleconference
Q1 2016 Results Media Teleconference 09:00BST, UK 29 April 2016