Merck & Co (MRK) investor relations material

Strategic and financial outlook

• Transformation is progressing ahead of schedule, with key commercial targets on track and significant proof points across the portfolio, especially in oncology, HIV, and ophthalmology.

• Business development remains focused on scientific opportunities, particularly in oncology, cardiometabolic, and immunology, with deal sizes typically in the $1B–$15B range.

• Confidence in post-LOE growth is high, supported by a robust and diversified pipeline and strong animal health performance.

• External environment focus includes regulatory stability, FDA process improvements, and addressing inefficiencies in the drug pricing system.

Pipeline and R&D highlights

• Oncology pipeline is expanding, with differentiated TROP-2 ADCs, PD-1/VEGF bispecifics, and KRAS inhibitors targeting multiple tumor types.

• The individualized neoantigen therapy with Moderna leverages mRNA technology for broad antigen targeting, with promising melanoma data and expansion into earlier-stage lung cancer.

• Cardiometabolic programs include enlicitide, with rapid regulatory progress and a focus on small molecule GLP-1 combinations for obesity and comorbidities.

• Immunology efforts center on TL1A (tulisokibart), aiming for broad impact across immunofibrosis indications and a favorable safety profile.

• HIV pipeline advances with novel regimens, including once-weekly and monthly oral options, and new anchor medicines.

Key clinical and commercial updates

• Ophthalmology ambitions include first-in-class non-VEGF therapies for diabetic macular edema and differentiated VEGF agents for retinal diseases, targeting a $15B market.

• Multiple late-stage assets are launching or near launch, with over 20 assets expected to drive more than $70B in revenue, and 70% of the pipeline de-risked by 2027.

• The "invisible pipeline" includes several undisclosed antibody-drug conjugates and assets with readouts expected by 2028–2029.

• Ongoing focus on strategic combinations and expanding into new indications across all major therapeutic areas.