Viatris (VTRS) Investor update summary

Strategic transformation, vision, and business evolution

• Merged two companies, divested four major businesses, and stabilized the base business, creating a focused, efficient, and future-ready organization.

• Transitioning to a more durable portfolio with higher-margin generics, value-added medicines, and established brands, while operating three core businesses: global generics, established brands, and innovative medicines.

• Strategic priorities include driving the base business, fueling the innovative portfolio, modernizing for sustainable growth, and global expansion.

• Completed foundational work from 2020-2025, including portfolio integration, divestitures, innovation investment, and leadership refresh.

• Well-diversified geographically, with a broad commercial footprint in 165+ countries and tailored regional strategies.

Financial targets and capital allocation

• 2030 targets: 5%-6% total revenue CAGR, 7%-8% adjusted EBITDA CAGR, 9%-10% adjusted EPS CAGR, and over $3 billion annual free cash flow.

• Base case targets: 3%-4% revenue CAGR, 4%-5% adjusted EBITDA CAGR, 6%-7% adjusted EPS CAGR, and over $2.7B free cash flow in 2030.

• Over $11 billion in cash available for deployment through 2030, with about 50% allocated to accretive business development and 50% to shareholder returns.

• More than $10 billion in debt reduction since 2021, maintaining an investment-grade profile and a leverage target of 2.8-3.2x.

• Identified $650M in gross cost savings over three years, with up to $250M to be reinvested and $400M net cost savings by 2028.

R&D and pipeline progress

• R&D portfolio spans generics, value-added medicines, and innovative assets, supported by ~3,500 professionals and 10 development centers.

• Focus on complex generics, GLP-1s, oligonucleotides, and respiratory medicines, with 95 approvals expected globally in 2024.

• Key late-stage assets include selatogrel (AMI), cenerimod (SLE), fast-acting meloxicam (acute pain), and novel contraceptive patches.

• Multiple phase 3 programs underway, with anticipated regulatory decisions and launches from 2026 onward.

• Innovative pipeline highlights selatogrel and cenerimod, both with blockbuster potential and pivotal trials underway.