Core Insights - Viatris Inc. will present at the 44th Annual J.P. Morgan Healthcare Conference on January 13, 2026, at 9 a.m. PT / 12 p.m. ET [1] - A live webcast of the presentation will be available, along with an archived version for a limited time [2] Company Overview - Viatris is a global healthcare company that bridges the gap between generics and brand-name medications, aiming to address healthcare needs worldwide [3] - The company provides access to high-quality medicines for approximately 1 billion patients annually, covering a wide range of health conditions from birth to end-of-life care [3] - Viatris has a diverse portfolio of medicines and a unique global supply chain, with headquarters in the U.S. and global centers in Pittsburgh, Shanghai, and Hyderabad [3]

Company Overview - Viatris Inc. is a healthcare company based in Canonsburg, Pennsylvania, providing a diverse portfolio of branded, generic, and complex medicines, with a market cap of $13.4 billion [1] - The company's product offerings cover major therapeutic categories, including cardiovascular, oncology, central nervous system, and infectious disease treatments [1] Market Position - Viatris is classified as a "large-cap stock" due to its market cap exceeding $10 billion, highlighting its size and influence in the drug manufacturing industry [2] - The company emphasizes operational efficiency and sustainable cash flow generation through a wide manufacturing and distribution network, focusing on access to affordable medicines [2] Stock Performance - Currently, Viatris is trading 7.7% below its 52-week high of $12.78, reached on December 16, 2024, while shares have increased by 22.9% over the past three months, outperforming the Dow Jones Industrial Average's 5.7% rise [3] - Over the past 52 weeks, Viatris has declined by 6.6%, underperforming the Dow Jones Industrial Average's 10.7% increase, and is down 5.3% year-to-date compared to the Dow's 14% return [4] Earnings Report - In Q3, Viatris reported total revenue of $3.8 billion, a marginal year-over-year increase that surpassed consensus estimates by 3%, despite an adjusted EPS of $0.67 declining by 10.7% from the previous year [5] - The stock experienced a nearly 6% drop following the earnings release, despite better-than-expected results [5] Competitive Landscape - Viatris has significantly lagged behind its competitor, Teva Pharmaceutical Industries Limited, which has seen an 83.3% increase over the past 52 weeks and a 37.2% increase year-to-date [6] - Analysts maintain a moderately optimistic outlook for Viatris, with a consensus rating of "Moderate Buy" and a mean price target of $12.47, indicating a 6.6% premium to its current price levels [6]

Group 1 - Viatris has signed definitive agreements to sell its equity stake in Biocon Biologics for $815 million, which includes $415 million in newly issued Biocon equity shares and $400 million in cash [1] - The newly issued shares will be listed on the National Stock Exchange of India and will have a six-month lock-up period [1] - The overall transaction value will be adjusted for applicable taxes [1] Group 2 - The agreements allow for an earlier end to the biosimilars non-compete restrictions, concluding at closing for markets outside the US, while remaining in effect in the US until November 2026 [2] - The deal is expected to be finalized in the first quarter of 2026, pending the fulfillment of all closing conditions [2] Group 3 - Viatris has appointed Citi as its financial advisor, with legal counsel from Cravath, Swaine & Moore and Khaitan & Co [3] - Viatris CEO Scott Smith emphasized the importance of monetizing the equity stake and regaining access to the global biosimilars market for future growth [3] - Viatris operates globally with headquarters in Pittsburgh, US, and additional centers in Hyderabad, India, and Shanghai, China [3] Group 4 - Viatris supplies medicines to a billion patients worldwide each year, offering a broad portfolio of generics and branded therapies [4] - The company supports healthcare needs through its global supply chain and scientific expertise [4] - In October 2024, Lexicon Pharmaceuticals entered into a licensing agreement with Viatris for exclusive rights to commercialize sotagliflozin outside the US and Europe [4]

Core Viewpoint - Viatris Inc. has entered into definitive agreements with Biocon Limited for the sale of its equity stake in Biocon Biologics, valued at $815 million, which includes $400 million in cash and $415 million in equity shares of Biocon [1][2] Group 1: Transaction Details - Biocon will acquire all of Viatris' convertible preferred equity in Biocon Biologics for a total consideration of $815 million [1][2] - The transaction consists of $400 million in cash and $415 million in newly issued equity shares of Biocon, which will be listed on the National Stock Exchange of India [2] - The shares are subject to a six-month lock-up period, and the transaction value will be subject to related taxes [2] Group 2: Strategic Implications - This agreement allows Viatris to monetize its equity stake in Biocon Biologics and regain access to the global biosimilars market, providing significant additional optionality for future growth [2] - The transaction accelerates the expiration of biosimilars non-compete restrictions previously placed on Viatris in 2022, which will expire immediately for all ex-U.S. markets and in November 2026 for U.S. markets [2] Group 3: Timeline and Advisors - The transaction is expected to close in Q1 2026, subject to the satisfaction of closing conditions [2] - Citi is acting as the financial advisor, while Cravath, Swaine & Moore LLP and Khaitan & Co. are serving as legal advisors to Viatris [3]

Core Insights - Viatris is viewed as three distinct businesses: a global generics footprint, established products from the Upjohn acquisition, and a growing innovative segment [2] Group 1 - The global generics business includes products from Mylan and features iconic brands such as Lipitor, Norvasc, Xanax, Viagra, and Celebrex [2] - The company faced self-inflicted challenges earlier in the year, particularly with the Indore situation [3]

Summary of Viatris Conference Call Company Overview - **Company**: Viatris - **Business Segments**: - Global generics footprint (originating from Mylan) - Established products (notable brands include Lipitor, Norvasc, Xanax, Viagra, Celebrex from Upjohn acquisition) - Growing innovative segment [2][3] Core Points and Arguments - **Strategic Review**: Viatris is undergoing an enterprise-wide strategic review to assess its structure and cost efficiency, aiming for sustainable revenue and earnings growth beyond 2026 [4][20] - **Financial Performance**: - The company has returned over $1 billion to shareholders through dividends and share repurchases this year [3] - Anticipates approximately $500 million in new revenues annually from the base business, with a net growth of around $200 million after accounting for losses and price declines [8] - Internal expectations for revenue growth are higher than market estimates, with a goal to achieve continuous earnings growth over the next three to five years [7][26] - **Operating Leverage**: The company aims to improve operating leverage, targeting a growth profile shift from 1% to 3-5% [9][10] Pipeline and Product Development - **Innovative Assets**: Viatris is focusing on developing innovative products, including fast-acting meloxicam, which shows a faster onset of action compared to competitors [38][39] - **CNS Assets in Japan**: The acquisition of Aculys added CNS assets to Viatris' portfolio, with a strategic focus on growing revenues in the challenging Japanese market [32][34] - **Upcoming Launches**: The company is preparing for the launch of several products, including meloxicam and antiplatelet drugs, with significant market potential [46][63] Market Dynamics and Challenges - **External Challenges**: The company has faced external challenges such as tariffs, policy changes, and FDA regulations, which have impacted operations [2][3] - **Cost Structure Review**: Viatris is reviewing its cost structure post-merger and divestitures, aiming for significant cost savings while ensuring that these savings are sustainable [20][21] Investment and Capital Allocation - **Capital Deployment**: Viatris generates approximately $2 billion in free cash flow annually, with plans to allocate capital evenly between shareholder returns and business development [28][29] - **Focus on High-Margin Assets**: The company is looking to acquire high-margin, revenue-generating assets, particularly in the U.S. and Japan [35] Other Important Insights - **Market Positioning**: Viatris is positioning its innovative products as differentiated solutions in the market, with a focus on addressing unmet medical needs [39][63] - **Long-Term Vision**: The management emphasizes a long-term vision for growth, with a commitment to maintaining a strong base business while investing in innovation [6][26] This summary encapsulates the key points discussed during the Viatris conference call, highlighting the company's strategic direction, financial performance, product pipeline, and market challenges.

Capital Deployment Strategy - The company maintains a balanced and disciplined capital allocation philosophy, aiming for a 50-50 split between capital deployment and capital return over a 3- to 5-year period [1] - In the current year, the company has prioritized capital returns, particularly share buybacks, due to operational circumstances and stock price considerations [1] - The approach to capital allocation may vary annually based on available opportunities, but the long-term goal remains a balanced investment strategy [1]

Summary of Conference Call Company Overview - The conference was held at the Piper Sandler Healthcare Conference featuring Doretta Mistras (CFO) and Philippe Martin (Chief R&D Officer) of the company [1][2] Capital Deployment Strategy - The company maintains a balanced capital allocation philosophy, aiming for a 50/50 split between capital deployment and capital return over a three to five-year period [2] - In the current year, the focus has been on capital returns, particularly share buybacks, due to operational circumstances and stock price considerations [2] - The company is actively pursuing innovative, branded, patent-protected assets to enhance near-term revenue and EBITDA growth, particularly in the US [3] R&D Focus - The current strategy emphasizes commercial-stage assets, with a focus on late-stage products like Cenerimod and Selatogrel [5] - Cenerimod is undergoing two large Phase III studies for systemic lupus erythematosus (SLE), with OPUS-2 fully enrolled and OPUS-1 expected to follow shortly [7] - The drug is positioned to be used alongside standard treatments without adding safety concerns, targeting a significant unmet need in SLE and lupus nephritis [8][15] Clinical Trials and Market Positioning - The Phase III trials for Cenerimod are designed to account for previous learnings, particularly focusing on patients with high interferon I levels, which showed the greatest treatment effect [9] - The company is optimistic about the potential of Cenerimod in lupus nephritis, having received positive feedback from regulatory bodies [11][12] - Selatogrel's Phase III global program for acute myocardial infarction is progressing well, with nearly 1,000 patients enrolled per month and full enrollment expected by the end of the year [16] Fast-Acting Meloxicam Product - The company is preparing for a pre-NDA meeting with the FDA to discuss filing and potential for accelerated review [20] - The fast-acting meloxicam product targets over 80 million acute pain cases annually, with a focus on outpatient and ambulatory surgical centers [22] - The product aims to provide a non-opioid alternative in a market where over 50% of acute pain cases still rely on opioids [22] Market Differentiation and Pricing Strategy - The company is exploring pricing strategies and market access for the fast-acting meloxicam, aiming for a balance between value proposition and broad patient access [24] - The product is expected to have a minimum of three years of exclusivity through the 505(b)(2) pathway, with ongoing efforts to extend this exclusivity [28] Presbyopia Opportunity - The company sees a significant market opportunity in presbyopia, with over 90% of adults over 45 affected, and aims to differentiate its product through a unique mechanism of action that avoids common side effects associated with other treatments [30][32] Enterprise-Wide Strategic Review - An enterprise-wide strategic review is underway to enhance long-term sustainable revenue and EBITDA growth, focusing on various operational aspects including R&D, manufacturing, and commercial infrastructure [34] Conclusion - The company is strategically positioned to leverage its R&D pipeline and capital deployment strategy to drive growth and address unmet medical needs across various therapeutic areas [34]

Core Insights - During market turbulence, investors often seek dividend-yielding stocks, which typically have high free cash flows and offer substantial dividends [1] Group 1: CVS Health Corp (NYSE:CVS) - CVS Health has a dividend yield of 3.31% [7] - Truist Securities analyst David Macdonald maintained a Buy rating and raised the price target from $92 to $95 on October 30, 2025, with an accuracy rate of 69% [7] - Morgan Stanley analyst Erin Wright maintained an Overweight rating and increased the price target from $82 to $89 on October 14, 2025, with an accuracy rate of 75% [7] - Recent news includes the appointment of David Joyner as Chair of the board of directors on November 20 [7] Group 2: Viatris Inc (NASDAQ:VTRS) - Viatris has a dividend yield of 4.49% [7] - Truist Securities analyst Srikripa Devarakonda initiated coverage with a Buy rating and a price target of $15 on October 15, 2025, with an accuracy rate of 67% [7] - Goldman Sachs analyst Matt Dellatorre initiated coverage with a Neutral rating and a price target of $10 on June 6, 2025, with an accuracy rate of 69% [7] - Recent news highlights Viatris posting upbeat earnings for the third quarter on November 6 [7] Group 3: Bristol-Myers Squibb Co (NYSE:BMY) - Bristol-Myers Squibb has a dividend yield of 5.04% [7] - Citigroup analyst Andrew Baum maintained a Neutral rating and reduced the price target from $48 to $45 on November 17, 2025, with an accuracy rate of 72% [7] - Wells Fargo analyst Mohit Bansal maintained an Equal-Weight rating and cut the price target from $62 to $53 on April 28, 2025, with an accuracy rate of 71% [7] - Recent news includes the European Commission's approval for expanding the use of CAR T Cell Therapy Breyanzi for Relapsed or Refractory Mantle Cell Lymphoma on November 24 [7]

Summary of Viatris 2025 Conference Call Company Overview - **Company**: Viatris (NasdaqGS: VTRS) - **Event**: Jeffries London Healthcare Conference - **Date**: November 18, 2025 Key Points Industry and Company Progress - **2025 Overview**: The year has been characterized by both challenges and significant progress, including strong commercial execution across multiple geographies [2][4] - **Pipeline Success**: Five out of six phase three studies were positive, with launches expected in 2026 and beyond [2][4] - **Capital Return**: Approximately $500 million in share buybacks completed, with over $1 billion anticipated in total capital return to shareholders for 2025 [3][4] Financial Strategy - **Cost Review**: An enterprise-wide strategic review is underway to identify cost savings and ensure the right organizational structure post-merger [4][6] - **Cost Savings**: Expected meaningful savings from the review, with a majority falling to the bottom line and a portion reinvested for growth [10][7] Regulatory and Operational Updates - **FDA Inspection**: Product reinspection by the FDA is anticipated in the first half of 2026, with over 90% of remediation completed [11][12] - **Manufacturing Strategy**: Efforts are being made to qualify other plants and find third-party vendors to ensure product supply regardless of inspection timing [12] Business Development and Capital Allocation - **Balanced Approach**: The capital allocation strategy emphasizes a balance between dividends, share buybacks, and investment in growth assets [13][14] - **Acquisition Focus**: Interest in in-market, high-margin revenue assets, with recent acquisitions in Japan to enhance the portfolio [14][16] Pipeline Highlights - **Upcoming Products**: Excitement around fast-acting meloxicam and Xulane low-dose patch, with launches expected in 2026 [18][19] - **Sotagliflozin**: Currently being registered globally, with strong enthusiasm noted for its potential [19][20] - **Market Opportunity**: The acute pain market in the U.S. is approximately 80 million cases, with a significant portion currently treated with opioids [26][27] Competitive Landscape - **Differentiation**: Fast-acting meloxicam is positioned as a unique offering with a significant opioid-sparing effect, differentiating it from competitors [20][26] - **Presbyopia Market**: Viatris is optimistic about its asset for Presbyopia, highlighting a favorable safety profile compared to competitors [34][35] Revenue Projections - **New Product Revenue**: Anticipated new product revenue for 2026 is projected between $450 million and $550 million, driven by recent approvals and upcoming launches [37][40] - **Overall Growth**: 2026 is expected to be a strong year for revenue growth, supported by both new product launches and a stable base business [42] Conclusion - **Outlook**: Viatris is preparing for a period of sustained growth, with a focus on leveraging its diverse portfolio and geographic presence to capitalize on upcoming opportunities in 2026 and beyond [4][42]