Group 1: Vertex Pharmaceuticals - Vertex Pharmaceuticals' shares recently declined due to a clinical setback with its VX-993 treatment for acute pain, which did not perform well in a phase 2 study, and the decision to halt pursuit of a promising indication for its new pain medicine, Journavx [4] - Despite the recent drop, Vertex's overall business remains robust, with a 12% year-over-year revenue increase to $2.96 billion in the second quarter [5] - Vertex is the sole provider of cystic fibrosis (CF) medications, with its latest product, Alyftrek, generating $156.8 million in sales in the second quarter, highlighting its significant pricing power in the CF market [6] - The company has promising late-stage assets, including zimislecel for type 1 diabetes, with regulatory applications planned for next year [7] - Historically, Vertex has recovered from similar stock declines due to strong financial results and clinical progress, suggesting a potential rebound following the recent dip [9] Group 2: Netflix - Netflix has experienced strong revenue growth, with a 15.9% year-over-year increase to $11.1 billion in the second quarter, alongside profitable growth in margins and free cash flow [10] - The company anticipates significant subscriber growth, with management stating that hundreds of millions of potential new users remain, and increased engagement could enhance its advertising business [11] - Netflix estimates it has captured only about 6% of its revenue potential, indicating substantial long-term opportunities as streaming continues to replace cable [12] - Despite concerns about valuation, with the stock trading at around 48 times forward earnings compared to the average of 20 for communication services, Netflix's transformative impact on the entertainment industry makes it an attractive investment [12][13] - The company's long-term vision may take years to fully realize, but its vast addressable market supports the attractiveness of its stock [13]

Group 1 - Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX) experienced a price decline of approximately 20% over the past month, which aligns with the anticipated correction [1] - The decline was expected, but the specific reasons for the correction were not detailed in the article [1] Group 2 - The article mentions the author's background as a macroeconomist with over 20 years of experience in investment management, stock broking, and investment banking [1] - The author runs a profile called Long Term Tips (LTT), focusing on opportunities in the green economy, and leads an investing group named Green Growth Giants, which explores deeper opportunities in this sector [1]

Core Insights - Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX) has been previously analyzed, indicating a consistent interest in the company's performance and potential [1] - The author emphasizes the importance of patient investing and the accumulation of high-quality assets, suggesting a long-term investment strategy [1] Company Overview - Vertex Pharmaceuticals is recognized for its commitment to improving the world through its business practices, aligning with ethical investment principles [1] - The company is involved in transformative technologies, which may present high-risk, high-reward investment opportunities [1] Investment Philosophy - The investment approach combines steady accumulation of quality assets with opportunities in underappreciated turnaround plays [1] - The author advocates for dividend reinvesting as a method to enhance wealth creation over time [1]

Core Viewpoint - Investor sentiment is highly pessimistic, and U.S. pharmaceutical stocks are facing the most severe challenges in decades [1][3]. Group 1: Market Performance - Major biopharmaceutical companies experienced significant sell-offs during the recent earnings season, leading to a weak overall performance of the sector [1][3]. - The healthcare sector's weight in the S&P 500 index has dropped to its lowest point in decades [1][9]. - Vertex Pharmaceuticals and Eli Lilly faced substantial declines, with Vertex dropping 20.6% on August 4 due to setbacks in its pain medication project, while Eli Lilly recorded its largest drop since the dot-com bubble [4][7]. Group 2: Stock Volatility - The average volatility of healthcare stocks during this earnings season reached ±6%, marking one of the highest volatility records in history [3][9]. - Other major healthcare stocks, including Novo Nordisk, McKesson Corp, and UnitedHealth Group, saw declines of 10% to 20% post-earnings [3][7]. Group 3: Policy Uncertainty - Policy uncertainties, particularly regarding the Trump administration's Most Favored Nation pricing proposal and potential tariffs on the pharmaceutical industry, are major challenges for pharmaceutical stocks [8][9]. - Analysts are closely monitoring the potential announcement of pharmaceutical tariffs, expected in mid-August, which could further impact the sector [8][9]. Group 4: Company-Specific Developments - Despite the overall weak performance, some companies like Johnson & Johnson and Gilead Sciences showed strong results, with Gilead's stock rising 6% last week and a year-to-date increase of 30% due to robust HIV business growth [7]. - The weight loss drug sector has been particularly hard hit, with Eli Lilly losing $100 billion in market value due to disappointing data on its oral weight loss medication [7].

Summary of Key Points from the Conference Call Industry Overview - The conference call focuses on the **Biopharma** industry in **North America** with a comprehensive analysis of the **US drug market** as per **IQVIA Rx** data [1][6]. Core Insights - The **Total Prescription Year-over-Year (YoY) growth** for the week ending August 1, 2025, was reported at **+2.8%**, an increase from **+1.7%** the previous week and **+2.6%** over the past 12 weeks [1][6]. - For the week ended August 1, the **US total market weekly TRx YoY change** was **+2.8%**, compared to **+0.9%** a year ago. The **rolling 4-week TRx YoY** was **+2.9%** and the **rolling 12-week TRx YoY** was **+2.6%** [2]. Company-Specific Developments - **Bristol Myers Squibb (BMY)**: - The drug **Cobenfy** was approved for schizophrenia on September 26, 2024. The current scripts are approximately **2,010** for the week, up from **1,950** the previous week. To meet 2025 consensus expectations, Cobenfy's TRx needs to track at **~2-3x** the volumes from recent schizophrenia launches [3]. - The consensus estimate for Cobenfy has decreased from **$196 million** to **$171 million**, implying that approximately **129K TRx** are required to meet these estimates [3]. - **Vertex Pharmaceuticals (VRTX)**: - The drug **Journavx** was approved for acute pain on January 30, 2025, with current scripts at approximately **6,800**, up from **6,430** the previous week. It is noted that hospital scripts, which account for about **35%** of total scripts, are not captured by IQVIA [4]. - To achieve a sales target of **$78 million**, approximately **345K total scripts** are needed, assuming a **$225 net price per script** [4]. - **Gilead Sciences (GILD)**: - The launch comparison for **Yeztugo** (lenacapavir) shows current TRx at approximately **210**, down from **300** the previous week. The injectable formulation accounts for **50%** of total TRx [5]. Additional Insights - The **extended unit (EUTRx)** weekly YoY growth was reported at **+1.9%**, which is below the TRx YoY growth [2]. - The **sequential weekly TRx growth** was **-0.1%**, an improvement from **-1.2%** the week before [2]. - The **biopharma industry view** is categorized as **attractive**, while the major pharmaceuticals industry view is **in-line** [7]. Notable Trends - The **momentum of top outpatient drugs** indicates varying performance across different companies, with notable declines in some established drugs like **Humira** (AbbVie) showing a **-40%** YoY change, while newer drugs like **Mounjaro** (Eli Lilly) and **Zepbound** (Eli Lilly) show significant growth rates of **69%** and **257%** respectively [24]. Conclusion - The conference call highlights a positive trend in the US drug market with specific growth in total prescriptions. However, individual company performance varies significantly, with newer drugs showing strong growth potential while established drugs face declines. The insights provided can guide investment decisions in the biopharma sector.

Summary of Key Points from the Conference Call Industry Overview - **Industry**: Biopharma in North America - **Market Analysis**: The latest weekly Total Prescription (TRx) year-over-year (YoY) growth for the week ending July 25, 2025, was +1.7%, a decrease from +3.0% the previous week and +2.6% over the past 12 weeks [1][2][6] Core Company Insights Bristol Myers Squibb (BMY) - **Cobenfy Launch**: Approved for schizophrenia on September 26, 2024. Weekly scripts were approximately 1,950, down from 2,060 the previous week. To meet 2025 consensus expectations, Cobenfy TRx needs to track at 2-3 times the volumes of recent schizophrenia launches, requiring about 129K TRx at an estimated net price of $1,200 [3][14][16] Vertex Pharmaceuticals (VRTX) - **Journavx Launch**: Approved for acute pain on January 30, 2025. Weekly scripts were around 6,430, up from 6,240 the previous week. Hospital scripts, which are not captured by IQVIA, account for approximately 28% of total scripts. To achieve estimated sales of $65 million, about 289K total scripts are needed [4][19] Gilead Sciences (GILD) - **Yeztugo Launch**: Approved on June 18, 2025, with weekly TRx of approximately 300, an increase from 240 the previous week. The injectable formulation accounted for 45% of total TRx, while the oral formulation made up 55% [5][22] Eli Lilly (LLY) - **Mounjaro and Zepbound**: The launch of Mounjaro is showing strong growth, with a 69% increase in TRx YoY. Zepbound has seen a remarkable 268% increase in TRx YoY [9][26] Additional Insights - **Market Trends**: The extended unit (EUTRx) weekly YoY growth was +0.9%, indicating a more positive trend compared to TRx YoY growth. This suggests that physicians are increasingly writing longer-duration prescriptions [2][35] - **Key Product Performance**: The performance of major pharmaceutical products shows significant variations, with some experiencing substantial declines (e.g., Humira -41% YoY) while others like Sotyktu and Mounjaro are seeing strong growth [26][48] Important Metrics - **TRx Growth**: The overall TRx growth for the biopharma sector is showing signs of slowing down, with the latest figures indicating a need for companies to adapt their strategies to maintain growth [1][31] - **Sales Estimates**: Consensus estimates for various drugs have been adjusted, reflecting the dynamic nature of the market and the competitive landscape [3][4][5] Conclusion The biopharma industry in North America is currently experiencing mixed performance across different companies and products. While some new launches are showing promising growth, overall market trends indicate a slowdown in prescription growth, necessitating strategic adjustments by companies to meet evolving market demands.

Core Viewpoint - Vertex Pharmaceuticals experienced a significant stock sell-off despite reporting solid Q2 results, primarily due to two pipeline disappointments, which may present a buying opportunity for investors [1][2]. Group 1: Pipeline Developments - Vertex's VX-993 did not meet the primary endpoint in a phase 2 study for treating acute pain, and the FDA does not currently see a path for a broad label for suzetrigine in peripheral neuropathic pain [3]. - The company will not proceed with VX-993 as a monotherapy but continues to market Journavx for acute pain and is focusing on diabetic peripheral neuropathy (DPN) as its first indication for suzetrigine [4][5]. Group 2: Financial Performance - Vertex reported a 12% year-over-year revenue increase in Q2, reaching $2.96 billion, with adjusted profits of $1.2 billion, a significant recovery from a $3.3 billion loss in the previous year [7]. Group 3: Cystic Fibrosis (CF) Market Position - Vertex's position in the CF market is strengthened by the new drug Alyftrek, which is gaining traction, particularly among patients who have not previously used CFTR modulators [8]. - Alyftrek is expected to be the most profitable CF drug due to a lower royalty burden and patents extending through 2039 [9]. Group 4: Future Drug Approvals - Vertex anticipates filing for regulatory approvals for zimislecel for severe type 1 diabetes in 2026 and may seek accelerated approval for povetacicept in IgA nephropathy in the first half of next year [10]. Group 5: Regulatory Environment - Vertex is not expected to be significantly impacted by the Trump administration's tariffs on pharmaceutical imports or the most-favored-nation drug pricing policy, with CFO indicating an immaterial cost impact from tariffs [12][13]. Group 6: Valuation - The stock's price-to-earnings-to-growth (PEG) ratio is low at 0.58, suggesting that Vertex remains attractively valued despite recent pipeline setbacks [15].

Group 1 - Angelalign (06699) opened nearly 19% higher after a positive earnings forecast, driven by strategic price adjustments in its core Chinese business and continued growth in revenue outside China [1] - Songjing Technology (01079) resumed trading with an opening increase of over 40% [1] - Jingtai Holdings (02228) opened more than 9% higher after announcing a significant partnership with DoveTree, valued at approximately HKD 47 billion (USD 5.99 billion) for AI pharmaceutical development [1] Group 2 - Shunmei Co., Ltd. (02145) saw an early morning increase of over 5%, projecting a revenue of RMB 4.09 billion to RMB 4.11 billion for the first half of 2025, a year-on-year growth of 16.8%-17.3% [2] - Nine Dragons Paper (02689) rose over 10% following the successful commissioning of its PM56 production line, which can produce 250,000 tons of high-grade cultural paper annually [2] Group 3 - Giant Star Legend (06683) increased over 1% after announcing a collaboration with Jiushi Wen Chuan for a large-scale IP and cultural tourism project in Shanghai [3] - South Manganese Industry (01091) surged over 15%, expecting to turn a profit of at least HKD 150 million in the first half of 2025, compared to a loss of HKD 162.8 million in the same period of 2024 [3] Group 4 - China Shenhua (01088) rose over 3% after announcing plans to acquire significant assets from its controlling shareholder, which would enhance its coal production capacity by 74.5% [4] - Boya Interactive (00434) fell over 6% due to a profit warning, expecting a decrease of approximately 25%-35% in profit for the first half of 2025 compared to the same period in 2024 [4] Group 5 - Wuling Motors (00305) increased over 9% after announcing a projected net profit of approximately RMB 84 million for the first half of 2025, a significant increase from RMB 21.125 million in the same period of 2024 [5] Group 6 - Hims & Hers Health (HIMS.US) dropped 12.36% after reporting second-quarter sales of USD 545 million, below market expectations [6] - Palantir (PLTR.US) rose 7.85% after reporting second-quarter revenue of over USD 1 billion, a 48% year-on-year increase [6] Group 7 - Futu Holdings (FUTU.US) increased by 2.82% after UBS raised its target price, citing strong expected performance in the second quarter [7] - Daqo New Energy (DQ.US) rose 3.68% as market signals indicated positive changes in the photovoltaic polysilicon sector [7] Group 8 - Li Auto (LI.US) saw a slight increase in stock price after announcing adjustments to its electric vehicle model pricing [8] - Vertex Pharmaceuticals (VRTX.US) fell 20.60% after failing to meet key endpoints in a clinical trial [8] Group 9 - Chinese gaming stocks collectively rose, with Bilibili (BILI.US) up 2.07% following a report indicating a 14.08% year-on-year increase in the domestic gaming market [9] Group 10 - Taiwan Semiconductor Manufacturing Company (TSM.US) fell 2.70% amid reports of a potential technology leak involving its 2nm chip process [9] - Advanced Micro Devices (AMD.US) decreased by 1.40% despite reporting a 32% year-on-year revenue increase for the second quarter [10]

[Part I. Financial Information](index=3&type=section&id=Part%20I.%20Financial%20Information) [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) Unaudited condensed consolidated financial statements for Q2 and H1 2025 and 2024 show a significant net income increase in 2025, driven by the absence of a large 2024 AIPR&D expense, with growing assets and equity [Condensed Consolidated Statements of Income (Loss)](index=3&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income%20(Loss)) Q2 2025 net income of **$1.03 billion** contrasts sharply with a **$3.59 billion** net loss in Q2 2024, primarily due to the non-recurrence of a **$4.4 billion** AIPR&D expense Consolidated Income Statement Highlights (in millions, except per share data) | Metric | Q2 2025 | Q2 2024 | YoY Change | H1 2025 | H1 2024 | YoY Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **Total Revenues** | $2,964.7 | $2,645.6 | 12.1% | $5,734.9 | $5,336.2 | 7.5% | | **Income (Loss) from Operations** | $1,151.1 | $(3,514.7) | N/M | $1,781.2 | $(2,375.2) | N/M | | **Net Income (Loss)** | $1,032.9 | $(3,593.6) | N/M | $1,679.2 | $(2,494.0) | N/M | | **Diluted EPS** | $3.99 | $(13.92) | N/M | $6.48 | $(9.66) | N/M | - The significant net loss in Q2 and H1 2024 was primarily driven by a **$4.4 billion** Acquired In-Process R&D (AIPR&D) expense from the acquisition of Alpine Immune Sciences[10](index=10&type=chunk)[37](index=37&type=chunk) [Condensed Consolidated Balance Sheets](index=5&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets increased to **$24.04 billion** from **$22.53 billion** at year-end 2024, with cash and equivalents at **$12.03 billion** and shareholders' equity growing to **$17.18 billion** Balance Sheet Summary (in millions) | Metric | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | **Cash and cash equivalents** | $4,972.2 | $4,569.6 | | **Total current assets** | $10,427.9 | $9,596.4 | | **Total assets** | $24,036.7 | $22,533.2 | | **Total current liabilities** | $4,138.4 | $3,564.6 | | **Total liabilities** | $6,861.3 | $6,123.6 | | **Total shareholders' equity** | $17,175.4 | $16,409.6 | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) H1 2025 operating cash flow generated **$1.89 billion**, a significant improvement from **$2.45 billion** cash used in H1 2024 due to acquisition expenses, with financing activities using **$1.03 billion** for share repurchases Cash Flow Summary - Six Months Ended June 30 (in millions) | Activity | 2025 | 2024 | | :--- | :--- | :--- | | **Net cash provided by (used in) operating activities** | $1,892.0 | $(2,447.0) | | **Net cash used in investing activities** | $(540.3) | $(2,600.1) | | **Net cash used in financing activities** | $(1,029.6) | $(716.1) | | **Net increase (decrease) in cash** | $409.8 | $(5,781.3) | [Notes to Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail accounting policies and significant financial events, including the **$5.0 billion** Alpine acquisition's **$4.4 billion** AIPR&D charge in 2024, a **$379.0 million** intangible asset impairment in Q1 2025, and **$4.6 billion** remaining share repurchase authorization - The acquisition of Alpine Immune Sciences on May 20, 2024, for approximately **$5.0 billion** in cash was accounted for as an asset acquisition, leading to a **$4.4 billion** charge to Acquired in-process research and development (AIPR&D) in Q2 2024[36](index=36&type=chunk)[37](index=37&type=chunk) - In Q1 2025, the company recorded a full intangible asset impairment charge of **$379.0 million** after concluding that its VX-264 clinical program for type 1 diabetes will not advance further[78](index=78&type=chunk) - As of June 30, 2025, Vertex had a total of **$4.6 billion** remaining authorization under its share repurchase programs[81](index=81&type=chunk)[82](index=82&type=chunk) - A disagreement exists with a third party regarding the royalty rate for ALYFTREK, with Vertex believing the rate is **4%** while the third party claims it should be in the high-single digits, requiring discussions to resolve the matter[100](index=100&type=chunk)[102](index=102&type=chunk) Product Revenues, Net - Six Months Ended June 30 (in millions) | Product | 2025 | 2024 | | :--- | :--- | :--- | | TRIKAFTA/KAFTRIO | $5,086.6 | $4,932.8 | | ALYFTREK | $210.7 | — | | Other product revenues | $406.9 | $403.4 | | **Total** | **$5,704.2** | **$5,336.2** | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=25&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q2 2025 net product revenue growth to **$2.9 billion**, driven by strong demand and new launches, pipeline progress, the significant impact of the 2024 Alpine acquisition on expenses, and a strong liquidity position with **$12.0 billion** in cash and marketable securities [Overview and Business Updates](index=25&type=section&id=Overview%20and%20Business%20Updates) Vertex, a global biotechnology company with seven approved medicines, provides updates on expanded reimbursement for ALYFTREK and CASGEVY, strong initial uptake for JOURNAVX with over **110,000** prescriptions, and pipeline advancements for zimislecel, povetacicept, and suzetrigine, while discontinuing the VX-993 acute pain program - The company has seven approved medicines, including five for Cystic Fibrosis (CF), one for Sickle Cell Disease (SCD) and Beta Thalassemia (TDT), and one for acute pain[116](index=116&type=chunk) - Since its launch in March, the new acute pain drug JOURNAVX has had over **110,000** prescriptions written and filled, with covered access for nearly **150 million** individuals in the U.S[125](index=125&type=chunk) - Pipeline progress includes plans for global regulatory submissions for zimislecel (T1D) in 2026 and a potential accelerated approval filing for povetacicept (IgAN) in the first half of 2026[131](index=131&type=chunk)[140](index=140&type=chunk) - The company will not advance VX-993 in acute pain based on Phase 2 results but will prioritize suzetrigine for diabetic peripheral neuropathy, expecting to complete enrollment in two Phase 3 trials by the end of 2026[129](index=129&type=chunk)[134](index=134&type=chunk) [Results of Operations](index=31&type=section&id=Results%20of%20Operations) Total revenues for Q2 2025 increased 12% to **$2.96 billion**, driven by an 11% rise in net product revenues, with U.S. revenues growing 13% due to higher pricing and demand, while operating expenses were significantly lower due to the non-recurrence of the **$4.4 billion** AIPR&D charge from the Alpine acquisition, and R&D expenses for H1 2025 rose 12% to **$1.96 billion**, reflecting investment in the advancing pipeline, and SG&A expenses increased 15% in H1 2025 to support the launch of JOURNAVX Q2 2025 vs Q2 2024 Revenue Breakdown (in millions) | Product | Q2 2025 | Q2 2024 | YoY Change | | :--- | :--- | :--- | :--- | | TRIKAFTA/KAFTRIO | $2,551.1 | $2,449.2 | 4% | | ALYFTREK | $156.8 | — | N/M | | Other product revenues | $236.1 | $196.4 | 20% | | **Product revenues, net** | **$2,944.0** | **$2,645.6** | **11%** | - R&D expenses increased **12%** in H1 2025 to **$1.96 billion**, driven by advancing mid- and late-stage clinical programs, including those for povetacicept, CF, T1D, and pain[159](index=159&type=chunk)[162](index=162&type=chunk)[165](index=165&type=chunk) - SG&A expenses rose **14%** in Q2 2025 primarily due to increased commercial investment to support the U.S. launch of JOURNAVX[168](index=168&type=chunk) - The effective tax rate for H1 2025 was **16.6%**, compared to **(18.1)%** in H1 2024, with the 2024 rate distorted by the non-deductible **$4.4 billion** AIPR&D expense from the Alpine acquisition[85](index=85&type=chunk)[176](index=176&type=chunk) [Liquidity and Capital Resources](index=36&type=section&id=Liquidity%20and%20Capital%20Resources) Vertex ended Q2 2025 with a strong liquidity position, holding **$12.0 billion** in cash, cash equivalents, and marketable securities, up from **$11.2 billion** at year-end 2024, driven by **$1.9 billion** in cash from operations in H1 2025, partially offset by **$1.0 billion** used for financing activities, mainly share repurchases Financial Position (in billions) | Metric | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | **Total cash, cash equivalents & marketable securities** | $12.0 | $11.2 | | **Total working capital** | $6.3 | $6.0 | - Cash from operating activities was **$1.9 billion** in H1 2025, compared to a use of **$2.4 billion** in H1 2024, which was impacted by the Alpine acquisition[179](index=179&type=chunk)[180](index=180&type=chunk) - Financing activities in H1 2025 used **$1.0 billion**, primarily for share repurchases and payments related to employee stock plans[182](index=182&type=chunk) - Significant future capital requirements include operating expenses, income taxes, royalties, lease obligations, and potential milestone payments from business development activities[188](index=188&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=38&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section incorporates by reference the disclosures about market risk from the company's 2024 Annual Report on Form 10-K, with no new information provided - The company refers to its 2024 Annual Report on Form 10-K for information regarding quantitative and qualitative disclosures about market risk, indicating no material changes during the quarter[190](index=190&type=chunk) [Controls and Procedures](index=38&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, evaluated the company's disclosure controls and procedures and concluded they were effective as of June 30, 2025, with no material changes to the company's internal control over financial reporting during the quarter - Management concluded that as of June 30, 2025, the company's disclosure controls and procedures were effective[191](index=191&type=chunk) - No material changes occurred in the company's internal control over financial reporting during the second quarter of 2025[192](index=192&type=chunk) [Part II. Other Information](index=38&type=section&id=Part%20II.%20Other%20Information) [Legal Proceedings](index=38&type=section&id=Item%201.%20Legal%20Proceedings) The company reports that it is not currently subject to any material legal proceedings - As of the filing date, Vertex is not subject to any material legal proceedings[193](index=193&type=chunk) [Risk Factors](index=39&type=section&id=Item%201A.%20Risk%20Factors) This section states that there have been no material changes from the risk factors previously disclosed in the company's 2024 Annual Report on Form 10-K - There have been no material changes to the risk factors disclosed in the company's 2024 Annual Report on Form 10-K[194](index=194&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=40&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This section details the company's share repurchase activity during Q2 2025, with **868,730** shares repurchased at an average price of **$454.12** per share under its publicly announced programs Share Repurchases - Q2 2025 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | April 2025 | 211,469 | $485.93 | | May 2025 | 350,138 | $441.09 | | June 2025 | 307,123 | $447.07 | | **Total Q2** | **868,730** | **$454.12** | - As of June 30, 2025, the approximate dollar value of shares that may yet be purchased under the company's plans or programs is **$4.57 billion**[199](index=199&type=chunk) [Other Information](index=40&type=section&id=Item%205.%20Other%20Information) The company discloses the adoption of Rule 10b5-1 trading plans by two individuals during Q2 2025: EVP & CFO Charles F. Wagner, Jr. and Director Sangeeta Bhatia - During Q2 2025, EVP & CFO Charles F. Wagner, Jr. and Director Sangeeta Bhatia adopted Rule 10b5-1 trading plans for the sale of company securities[200](index=200&type=chunk)[201](index=201&type=chunk) [Exhibits](index=41&type=section&id=Item%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including CEO and CFO certifications under the Sarbanes-Oxley Act and XBRL data files

Shares of Vertex Pharmaceuticals sank 15% after the drugmaker announced a study showed its experimental pain medicine was not successful, and it would no longer move forward with its development. https://t.co/HZBNqkc09W ...