Amneal Pharmaceuticals, Inc. AMRX) Q4 2023 Earnings Conference Call March 1, 2024 8:30 AM ET

Company Participants

Chirag Patel - Co-Founder & Co-CEO

Chintu Patel - Co-Founder & Co-CEO

Tasos Konidaris - CFO

Andy Boyer - Generics

Joe Renda - SVP & CCO, Specialty

Harsher Singh - SVP, Biosciences

Jason Daly - Chief Legal Officer

Tony DiMeo - IR

Conference Call Participants

Nathan Rich - Goldman Sachs

David Amsellem - Piper Sandler

Balaji Prasad - Barclays

Chris Schott - J.P. Morgan

Leszek Sulewski - Truist Securities

Operator

Good morning and welcome to Amneal Pharmaceuticals Fourth Quarter and Full-Year 2013 Earnings Call. I’ll now turn the call over to Amneal’s Head of Investor Relations, Tony DiMeo.

Tony DiMeo

Good morning, and thank you for joining Amneal Pharmaceuticals Fourth Quarter 2023 Earnings Call. Today, we issued a press release reporting Q4 and full-year 2023 results. The earnings press release and presentation are available at amneal.com.

Certain statements made on this call regarding matters that are not historical facts, including, but not limited to management's outlook or predictions, are forward-looking statements, that are based solely on information that is now available to us. Please see the section entitled Cautionary Statements on Forward-Looking Statements in the earnings presentation and our SEC filings for factors that may impact our future performance. We also discuss non-GAAP measures. Information on use of these measures and reconciliations to US GAAP are in the earnings presentation.

On the call today are Chirag and Chintu Patel, Co-Founders and Co-CEOs, Tasos Konidaris, CFO, our commercial leaders, Andy Boyer for Generics, Joe Renda for Specialty, Harsher Singh for Biosciences, and Jason Daly, Chief Legal Officer.

I will now hand the call over to Chirag.

Chirag Patel

Thank you, Tony. Good morning to everyone on the call. Amneal delivered solid financial performance in 2023, as revenues grew 8% and adjusted EBITDA grew 9%. We raised our guidance twice during the year and delivered on it, driven by strong execution and the robust performance across our diversified business. We expect our momentum will continue in 2024 and beyond. Amneal's core strengths lie in our broad-based business platform and our team, both of which are dedicated to providing access to high quality, affordable, essential medicines. Since Chintu and I returned to the company in 2019, we have been implementing a thoughtful and deliberate strategy to transform Amneal into a leading global diversified pharmaceutical company. With a global aging population and ongoing supply challenges and shortages, our capabilities have never been more important and more in need. In our affordable medicines business, which is our Generics segment, we have been building our leadership position since Amneal's inception. We have decades-long reputation for industry-leading innovation, quality, and customer service levels. Our strategy focuses on expanding our portfolio and driving growth with complex high-value products across retail, injectables, and biosimilars. Our affordable medicines business has consistently grown each year since 2019, and we have launched more complex retail and injectable innovations in the United States than anyone else since then. In 2023, we set a new record number of 39 new retail and injectable products launched. In retail market, our commercial portfolio of over 230 medicines is complex and diversified, with less price erosion and more stability. Overall, the US Generics industry appears to have turned the corner after years of higher price erosion, as many recognize the importance of the sector responsible for over 90% of US medicines. In injectables, we have an expanding portfolio, significant capacity, and the capabilities needed to scale this business. We are helping address chronic shortages across hospitals and clinics, and are providing ready-to-use injectables that reduce errors and improve the efficiency of care. The next wave of affordable medicines is biosimilars, which has an estimated $141 billion in branded products facing loss of exclusivity between 2023 and 2027. We successfully entered this new market with over three oncology biosimilars. That performance exceeded our revenue expectations in 2023, driven by an exceptional commercial execution in that first year. In Q4, we also expanded our biosimilars portfolio by adding two more oncology molecules to our pipeline. Given the market growth and importance of biosimilars, this is a key area of strategic focus and investment for Amneal. We look to further build out biosimilars pipeline over time.