Teva Pharmaceutical Industries (TEVA) Morgan Stanley 24th Annual Global Healthcare Conference summary

Strategic progress and outlook

• Pivot to Growth strategy, launched in 2023, is in its second phase, focusing on accelerating and maintaining growth over at least the next seven years.

• Four pillars drive the strategy: growth engine delivery, innovation, generics powerhouse creation, and focused capital allocation.

• Transformation from a generics-focused company to a leading biopharma is now seen as credible, with strong execution and momentum.

• Recent achievements include early attainment of $2.5B AUSTEDO sales and investment-grade ratings across all agencies.

• Capital allocation includes strategic deals, such as Amylyx, and conversion of ADS to ordinary shares to broaden investor access.

Financial and operational achievements

• Debt has been significantly reduced, with investment-grade status achieved ahead of schedule and a successful, oversubscribed refinancing.

• Consistent outperformance in commercializing innovative products, with AJOVY, AUSTEDO, and UZEDY exceeding expectations.

• Generics business has stabilized and returned to growth, with biosimilars increasingly contributing to the portfolio.

• U.S. manufacturing footprint and government collaboration position the company well amid potential tariff changes.

• Ongoing focus on capital efficiency and value creation for shareholders.

Product portfolio and guidance

• AUSTEDO is expected to surpass $3B in sales, with $2.5B achieved a year early; volume growth and untreated patient population support further upside.

• AJOVY has outperformed the CGRP market, breaching $1B in sales, with new guidance likely as growth continues.

• UZEDY and olanzapine together are projected to reach $1.5B–$2B at peak, with potential for higher numbers as launches progress, especially in Europe.

• Olanzapine launch will focus on Medicaid access, with expectations for strong uptake and broad schizophrenia coverage.

• Biosimilars are a major growth driver, with 11 currently marketed and up to 9 more expected by decade’s end.