Recordati (REC) investor relations material

Business performance and financial highlights

• Achieved strong revenue growth of 12% and EBITDA growth of 11.8% in the first nine months, with robust performance across all segments.

• Confirmed full-year guidance at the lower end despite significant currency headwinds, and reaffirmed 2027 guidance.

• Rare disease segment is trending toward 50% of total revenue, with high teens growth expected in 2026.

• 2026 identified as an investment year, with €40–50 million annual investment expected to impact margins by 140–150 basis points.

• Margin improvement is anticipated long-term as the business mix shifts further toward rare diseases.

Product and pipeline developments

• Isturisa (Esteresa) saw significant US growth after an FDA label extension, with peak sales guidance raised to over €1.2 billion.

• Expansion into mild Cushing’s syndrome patients is underway, supported by increased field force and real-world evidence generation.

• Phase 4 trial for Isturisa starts early next year, with investments in medical science liaisons and education.

• Enjaymo integration is progressing well, with strong patient uptake in Europe and Japan and US launch preparations ongoing.

• New proof-of-concept study initiated for Ewing sarcoma, expanding rare disease pipeline opportunities.

Strategic initiatives and M&A

• M&A remains a core strategy, focusing on rare disease assets and promotion-sensitive mature products in specialty primary care.

• Recent deals include Vascepa, expected to offset the loss of Cardicor and drive cardiovascular growth.

• Deal size varies, with both large and smaller transactions pursued based on strategic fit and market opportunity.

• The company is recognized as a strong partner in business development, targeting assets overlooked by larger pharma.