Royalty Pharma Plc · NASDAQ:RPRX
Royalty Pharma — Q1 2025 Earnings Presentation
25 slides from Royalty Pharma's earnings presentation, May 8, 2025
Slide 1: Royalty Pharma
ROYALTY PHARMA
Slide 2: Q1 2025 Financial Results
Royalty Pharma plc Q1 2025 Financial Results May 8, 2025 2
Slide 3: Forward Looking Statements & Non-GAAP Measures
Forward Looking Statements & Non-GAAP Measures This presentation has been prepared by Royalty Pharma plc (the “Company”), is made for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy securities. The information set forth herein does not purpor
Slide 4: Agenda
Agenda Key Highlights Pablo Legorreta Founder & Chief Executive Officer Portfolio Update Marshall Urist EVP, Head of Research & Investments Financial Results Terrance Coyne EVP, Chief Financial Officer Conclusion Pablo Legorreta Founder & Chief Executive Officer Pablo Legorreta Founder & Chief Execu
Slide 5: Key Highlights
Key Highlights Pablo Legorreta Founder & Chief Executive Officer 5
Slide 6: Business momentum continues in Q1 2025
Business momentum continues in Q1 2025 1 2 3 4 Financial Capital allocation Portfolio Raising guidance Double-digit growth in Royalty Repurchased 23m shares for R&D funding collaboration for FY 2025 Portfolio Receipts Receipts (+12%) and Portfolio $723m in Q1 2025 Biogen’s litifilimab in lupus expec
Slide 7: Delivering double-digit growth on average since IPO
Delivering double-digit growth on average since IPO Royalty Receipts (year/year growth; $ in millions) +15% +12% +8% +13% +12% +15% +12% $788 +14% $732 $729 +10% $705 +9% +6% $651 +11% +16% +9% +12% $616 $637 $593 +7% $605 +14% +10% $581 $584 +35% $537 +11% $545 +12% +11% $500 +4% $530 $511 +19% $48
Slide 8: Portfolio Update
Portfolio Update Marshall Urist, MD, PhD Executive Vice President Head of Research & Investments 8
Slide 9: R&D funding partnership supports litifilimab development
R&D funding partnership supports litifilimab development • Providing Biogen up to $250m in funding(1) for litifilimab in lupus Funding to Biogen paid over six quarters Mid-single digit royalty + Entitled to mid-single digit royalty on worldwide sales and milestones on litifilimab regulatory base
Slide 10: Litifilimab – a potential attractive new treatment option for lupus
Litifilimab – a potential attractive new treatment option for lupus Market dynamics in SLE and CLE RP forecasts blockbuster potential for litifilimab ~600,000 ~18 months Strong marketer Unmet need Total U.S. patients, the majority of Median duration of therapy for Biogen is a leading marketer in Few
Slide 11: Ecopipam – Positive Phase 3 results for Tourette syndrome
Ecopipam – Positive Phase 3 results for Tourette syndrome Strong relapse prevention benefit(1) • January 2024 - acquired royalty on Emalex’s ecopipam, a first- (Phase 3 primary efficacy endpoint: time to relapse) in-class drug with a novel MoA developed specifically for TS -38.5% $49m upfront, $44
Slide 12: Ecopipam – an attractive commercial opportunity
Ecopipam – an attractive commercial opportunity Majority of drugs prescribed for Tourette’s are off-label options or antipsychotics Ecopipam would be the first medicine specifically developed for Tourette’s Diagnosed Treated Adherence >120,000 ~50% ~70% Roughly even split between Significant opportu
Slide 13: Financial Results
Financial Results Terrance Coyne Executive Vice President Chief Financial Officer 13
Slide 14: Efficient model generates substantial cash flow to reinvest
Efficient model generates substantial cash flow to reinvest % Portfolio $ in millions Q1 2025 Receipts Comments Royalty Receipts(1,2) 788 +12% YoY Recurring cash inflows of our royalty portfolio Milestones & other contractual receipts(1,2) 51 n/a More variable cash receipts Portfolio Receipts(2) 839
Slide 15: Double-digit growth driven by base business strength in Q1 2025
Double-digit growth driven by base business strength in Q1 2025 Q1 2025 Portfolio Receipts ($ in millions) 0 +17% 0 +12% 51 12 (21) 839 104 788 717 Driver: 705 + Airsupra Drivers: + Cystic Fibrosis + Trelegy + Xtandi + Voranigo Headwinds: - Tysabri Q1 2024 actuals Milestones and Q1 2024 actuals Roya
Slide 16: Significant financial capacity to execute strategy
Significant financial capacity to execute strategy Cash and cash equivalents ($ in millions) • $1,088m of cash and cash equivalents as of March 31, 2025 Monetized MorphoSys Development Funding -101 507 Bonds in January 2025 for $511m of cash -709 • $7.8bn investment grade debt outstanding 611 To
Slide 17: Capital allocation framework guides decisions
Capital allocation framework guides decisions Royalty Pharma’s capital allocation framework Substantial share repurchases in Q1 2025 More attractive royalty opportunities Return of capital: $850m Dividend & Capital Balanced approach More capital deployed distributions Deployment between royalties an
Slide 18: Full-year 2025 guidance
Full-year 2025 guidance(1,2) February 11, 2025 May 8, 2025 Comments • Strong portfolio performance Portfolio Receipts(3) $2,900m - $3,050m $2,975m - $3,125m • Milestones and other contractual receipts expected excluding transactions announced (4%-9% growth yr/yr) (6%-12% growth yr/yr) to be ~$60m in
Slide 19: Conclusion
Conclusion Pablo Legorreta Founder & Chief Executive Officer 19
Slide 20: Investor Day on September 11, 2025
Investor Day on September 11, 2025 Royalty Pharma senior executives will provide an update on the Event: Investor Day company’s plans to drive Date: Thursday, September 11, 2025 shareholder value creation Where: New York City through leveraging its unique Time: 8:30 a.m. ET business model and capabi
Slide 21: Footnotes
Footnotes 1) To aid in comparability, quarter-over-quarter growth in 2020 is calculated based on pro forma 2019 results, which adjusts certain cash flow line items as if Royalty Pharma’s Reorganization Transactions (as described in the Company’s final prospectus filed with the SEC on June 17, 2020 (
Slide 22: Appendix
Appendix ROYALTY PHARMA 22
Slide 23: On track to meet or exceed 5-year capital deployment target
On track to meet or exceed 5-year capital deployment target Investing in approved and development-stage royalties 5-year capital deployment target(2,3) (Transactions announced since January 1, 2022) (Transaction value; since January 1, 2022) 12 ~$10.4bn $10-12bn target Approved 10 Transaction value
Slide 24: Important events expected in 2025
Important events expected in 2025 2025 Select year-to-date and expected upcoming events Q1 Q2 Q3 Q4 TEV-‘749 Phase 3 safety results for schizophrenia (SOLARIS)(1) ecopipam Phase 3 results for Tourette syndrome(2) trontinemab Phase 1/2b results for Alzheimer’s disease(3) Trodelvy, Keytruda Phase 3 re
Slide 25: Potential royalties on >40 projects in late-stage development
Potential royalties on >40 projects in late-stage development Phase 2 Phase 3 Registration CK-586 tulmimetostat (CPI-0209) omecamtiv mecarbil pelacarsen olpasiran aficamten Initial indication Heart failure Blood cancer, solid tumors Heart failure Cardiovascular disease Cardiovascular disease oHCM tr