Exelixis (EXEL) Wells Fargo 21st Annual Healthcare Conference summary

Strategic outlook and growth plans

• Focus on maximizing CABO's value while investing in zanza, with a transition period expected through 2026 and a handoff as CABO faces loss of exclusivity in 2031.

• Early-stage pipeline and business development are prioritized to enable new programs and scale the company.

• Capital allocation is balanced across R&D, business development (primarily GI and GU), and share buybacks, with $2.9 billion in buybacks completed and $600 million remaining.

• Financial strength supports concurrent investment in all strategic areas.

CABO franchise performance and outlook

• CABO's growth target remains at $3 billion, driven by RCC and NET indications through 2029.

• Slower-than-expected ramp in NET due to longer intervals between scans and therapies, but overall market potential remains unchanged.

• New patient market share for CABO in NET is around 45–47%, indicating strong penetration.

• NET is seen as a billion-dollar opportunity at current pricing, with prescription stacking expected to drive long-term revenue.

• 505(b)(2) competitors are not viewed as significant commercial threats due to lack of clinical data and market challenges.

Intellectual property and competitive landscape

• CABO generics are anticipated from January 1, 2031, based on settlements with major generic manufacturers.

• Ongoing litigation is expected, but planning assumes exclusivity until 2031.