Recordati (REC) 44th Annual J.P. Morgan Healthcare Conference summary

Strategic Focus and Business Performance

• The company has evolved into a global rare disease leader with a strong European SPC business and presence in over 150 countries.

• Rare diseases now account for 40% of 2025 revenue, growing at high-teen percentages, while specialty/primary care contributes 60% and maintains steady mid-single-digit growth.

• Consistent over-delivery on financial targets, with sector-leading EBITDA margins, 15%-20% ROCE, and a diversified business model with low loss of exclusivity risk.

• Over €3.5B invested in 37 business development and M&A deals since 2007, supporting both organic and inorganic growth.

• Experienced leadership team with a strong track record in value creation and disciplined cost management.

Financial Performance and Outlook

• 9M 2025 revenue reached €1,956.2M (+12.2% vs PY), with FY 2025 revenue guided just above €2.6 billion and EBITDA margin at 38%.

• Rare diseases segment achieved 42.6% EBITDA margin and 29.2% growth vs PY; specialty/primary care at 35% margin and 3.2% growth.

• FY 2025 revenue target set at €2,600–2,670M, EBITDA of €970–1,000M, and adjusted net income of €640–670M.

• FY 2027 targets unchanged: revenue €3,000–3,200M, EBITDA €1,140–1,225M, and adjusted net income €770–820M.

• FX headwinds expected to impact 2026 revenue by 3% and EBITDA by 2%, with margins reflecting increased U.S. investment and Isturisa costs.

Rare Disease Portfolio and Growth Drivers

• Over 20 orphan/ultra-orphan products across endocrinology, oncology, and metabolic, with global reach and €1 billion+ annual revenue.

• Hemato-oncology and endocrinology are key growth drivers, with significant expansion in North America and ongoing geographic investments.

• Isturisa’s U.S. label extension for Cushing’s syndrome opens a large new patient segment, with peak sales potential of at least €1.2 billion and investments ramping up to €40–50M/year.

• Enjaymo fully integrated, on track for €150 million revenue in 2025, with further growth from education and potential ITP indication.

• Targeted de-risked programs for new indications and further international expansion for existing products.