Royalty Pharma's (RPRX) Q2 2022 Earnings Call Transcript

For the period ending June 30, 2022

August 4, 2022 8:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Ladies and gentlemen, thank you for standing by. Welcome to the Royalty Pharma Second Quarter Earnings Conference Call.

I would now like to turn the call over to George Grofik, SVP, Head of Investor Relations and Communications. Please go ahead, sir.

George Grofik

Good morning and good afternoon to everyone on the call. Thank you for joining us to review Royalty Pharma's second quarter 2022 results.

You can find the press release with our earnings results and slides for this call on the Investors page of our website at royaltypharma.com.

Moving to Slide 3. I would like to remind you that information presented in this call contains forward-looking statements that involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from these statements. I refer you to our 10-K on file with the SEC for a description of these risks. All forward-looking statements are based on information currently available to Royalty Pharma, and we assume no obligation to update any such forward-looking statements.

Non-GAAP financial measures will be used to help you understand our financial performance, and the GAAP to non-GAAP reconciliations are provided in the earnings press release available on our website.

With that, please advance to Slide 4. Our speakers on the call today are Pablo Legorreta, Founder and Chief Executive Officer; Marshall Urist, EVP, Head of Research & Investments; and Terry Coyne, EVP, Chief Financial Officer. Pablo will discuss the key highlights after which Marshall will provide a portfolio update and Terry will review the financials. Following concluding remarks from Pablo, we will hold a Q&A session. Chris Hite, our Vice Chairman will also join the Q&A session.

And with that, I'd like to turn the call over to Pablo.

Pablo Legorreta

Thank you, George, and welcome to everyone on the call.

I am delighted to report another quarter of strong execution on our strategy as the leading funder of innovation in life sciences, the partner of choice, all innovative in the life sciences ecosystem.

Slide 6 summarizes our financial and portfolio achievements in second quarter, which again are of course the excellent momentum in our business. First, we delivered 10% growth in adjusted cash receipts [Technical Difficulty] our impressive track record of double-digit growth. Second, we have announced transactions of $2.5 billion year-to-date, including the Trelegy Royalty acquisition, which we completed just after the quarter end. This reflects the strong growth in demand for innovative royalty-based funding solutions. Third, we saw positive progress across our portfolio. Pfizer's proposed acquisition of Biohaven will accelerate value creation to Royalty Pharma. And Marshall will walk you through this shortly. In addition, we have -- we were pleased to see the FDA acceptance of the regulatory filings of PT027 in asthma as well as intranasal zavegepant in migraine.