Alkermes (ALKS) Goldman Sachs 45th Annual Global Healthcare Conference summary

Business transformation and strategic focus

• Transitioned to a pure neuroscience company after spinning off oncology and resolving major litigation, now focused on profitable growth and pipeline expansion.

• Emphasizes competitive advantages in commercializing CNS drugs, especially in challenging markets dominated by government payers and generics.

• Sees opportunity in partnering for assets where biology is well understood but molecular design is complex.

• Current valuation seen as lagging behind business fundamentals, with management confident in long-term value realization.

• Actively repurchasing shares, reflecting confidence in undervalued equity and strong cash generation.

Orexin program and clinical development

• Orexin-2 receptor agonist program for narcolepsy is advancing, with recent data showing strong efficacy and tolerability.

• Phase II studies are testing a wide range of once-daily doses, aiming for flexibility and patient-tailored therapy.

• Adverse events have been mild and transient, with no significant cardiovascular or lab signals observed.

• No evidence of efficacy attenuation or need for dose holidays over 8 weeks; patient-reported outcomes are highly favorable.

• Next orexin compound has been nominated and is expected to be detailed later this year.

Commercial portfolio performance and market dynamics

• Lybalvi has exceeded initial revenue expectations, with commercial access expanding to over 50 million lives while maintaining strong gross-to-net margins.

• Early growth driven by government payers; commercial channel now becoming more important as product matures.

• Direct-to-consumer and digital marketing are increasingly central to commercial strategy.

• Schizophrenia market is expected to see new branded entrants, but efficacy focus and churn dynamics support Lybalvi’s continued relevance.

• Aristada continues to grow, especially in alcohol use disorder, despite structural barriers to long-acting injectable adoption in the US.