Q3'25 Earnings Presentation November 5, 2025 Disclaimer Forward-Looking Statements This presentation and the related conference call contain "forward-looking statements." All statements, other than statements of fact, that address activities, events or developments that we or our management intend, expect, project, believe or anticipate will or may occur in the future are forward-looking statements. Although we believe forward-looking statements are based upon reasonable assumptions, such statements involve ...

Core Insights - AnaptysBio, Inc. reported strong financial results for Q3 2025, with a net income of $15.1 million for the quarter, marking a significant improvement compared to a net loss of $32.9 million in Q3 2024 [14][23]. - The company announced its intent to separate its biopharma operations from its royalty assets by the end of 2026, aiming to unlock potential value for investors [5][16]. Financial Performance - Collaboration revenue for Q3 2025 was $76.3 million, up from $30.0 million in Q3 2024, driven primarily by Jemperli sales exceeding $750 million [17][23]. - Research and development expenses decreased to $31.4 million in Q3 2025 from $42.2 million in Q3 2024, while general and administrative expenses remained relatively stable [17][23]. - Cash and investments totaled $256.7 million as of September 30, 2025, down from $420.8 million at the end of 2024, primarily due to operating activities and share repurchases [17][20]. Business Updates - Jemperli sales grew to $785 million year-to-date in 2025, with a quarter-over-quarter growth of over 16% [5][6]. - Anaptys anticipates a one-time $75 million commercial sales milestone in Q4 2025 from GSK once Jemperli achieves $1 billion in worldwide net sales [5][6]. - The company is on track to report top-line Phase 2 data for rosnilimab in ulcerative colitis in November or December 2025 [5][13]. Strategic Initiatives - The planned separation will create two independent publicly traded companies, allowing investors to align their portfolios with distinct business objectives [6][16]. - The biopharma operations will focus on innovative immunology therapeutics, including rosnilimab, ANB033, and ANB101, while the royalty management company will handle royalties and milestone payments [6][16]. Clinical Development - Rosnilimab's Phase 2b data in rheumatoid arthritis was presented at ACR Convergence 2025, showing promising response rates [13]. - A Phase 1b trial for ANB033 in celiac disease has been initiated, with top-line data expected in Q4 2026 [5][13].

Leadership Changes - BD's CFO Chris DelOrefice will leave the company on December 5 to join Ulta Beauty as CFO, with a search for a permanent successor underway [1][2] - Vitor Roque, senior vice president of finance, will serve as interim CFO until a permanent replacement is found, having held various finance leadership roles at BD for two decades [3][4] Financial Performance - BD reported preliminary fiscal fourth-quarter revenue of approximately $5.9 billion, reflecting an 8.3% year-over-year increase, while the preliminary revenue for fiscal year 2025 is about $21.8 billion, up 8.2% [5] - Analysts from Stifel described the fourth-quarter results as "disappointing" and below consensus expectations, attributing the impact of a "dynamic macro environment" particularly in vaccines and academic and government research [5][6] Strategic Developments - BD is planning to separate its biosciences and diagnostics business from the rest of the company, with a deal valued at approximately $17.5 billion involving Waters [6] - The company will discuss its fiscal fourth-quarter and full-year earnings on a scheduled earnings call on November 6 [7]

Core Viewpoint - DuPont has announced the separation of its Electronics business, Qnity Electronics, Inc., with a pro rata dividend of Qnity shares to DuPont stockholders, effective November 1, 2025 [1][3][6] Group 1: Separation Details - The DuPont Board of Directors declared a pro rata dividend of all issued and outstanding shares of Qnity, with stockholders receiving one share of Qnity for every two shares of DuPont held [1][2] - The distribution date for the Qnity shares is set for November 1, 2025, with a record date of October 22, 2025 [1][3] - Qnity's Board declared a cash dividend of approximately $4.122 billion, along with a pre-funded interest deposit of about $66 million related to Qnity's debt obligations [2] Group 2: Trading Information - "When-issued" trading for Qnity common stock is expected to begin on October 27, 2025, under the symbol "Q WI," transitioning to regular trading on November 3, 2025, under the symbol "Q" [3][4] - DuPont common stock will have two markets during the transition: a "regular-way" market with rights to Qnity shares and an "ex-distribution market" without such rights [4] Group 3: Stockholder Actions - No action is required from DuPont stockholders to receive Qnity shares, but they are advised to consult financial and tax advisors regarding implications of the distribution [5][6] - The distribution is subject to customary conditions that DuPont expects to satisfy by the distribution date [6]

Group 1 - Johnson & Johnson reported better-than-expected third-quarter earnings with adjusted earnings of $2.80 per share, a 15.7% increase year over year, surpassing the consensus of $2.75 [1] - The company achieved sales of $23.99 billion, reflecting a 6.8% year-over-year growth and exceeding the consensus of $23.74 billion [1] - Operational growth was recorded at 5.4%, with adjusted operational growth at 4.4% [1] Group 2 - Johnson & Johnson affirmed its fiscal year 2025 adjusted earnings guidance of $10.80-$10.90, compared to the consensus of $10.87 [2] - The company raised its sales guidance from $93.2 billion-$93.6 billion to $93.5 billion-$93.9 billion, against the consensus of $93.44 billion [2] - Johnson & Johnson announced plans to separate its Orthopedics business to enhance strategic and operational focus [2] Group 3 - Following the earnings announcement, analysts adjusted their price targets for Johnson & Johnson [3] - B of A Securities raised the price target from $198 to $204 while maintaining a Neutral rating [5] - Morgan Stanley increased its price target from $178 to $190 with an Equal-Weight rating [5] - Raymond James raised its price target from $174 to $209 while maintaining an Outperform rating [5] - Stifel increased its price target from $165 to $190 with a Hold rating [5] - Citigroup raised its price target from $213 to $215 while maintaining a Buy rating [5]

Core Viewpoint - Johnson & Johnson is separating its orthopedics business into a standalone company named DePuy Synthes, allowing the company to concentrate on its pharmaceutical and MedTech segments [1][2]. Group 1: Business Separation - The orthopedics business generated over $9 billion in sales last year, and the split is intended to enable J&J to focus on higher-growth areas [2]. - The separation is expected to be completed within the next 18 to 24 months [2]. Group 2: Leadership and Market Performance - Namal Nawana, former CEO of Smith & Nephew, will lead the new orthopedics company [2]. - J&J reported better-than-expected third-quarter earnings and reaffirmed its adjusted earnings guidance for the year, although shares slipped more than $2 to $188.74 in premarket trading [3]. - J&J's shares have increased over 30% so far this year [3].

Core Insights - Johnson & Johnson reported Q3 2025 adjusted earnings of $2.80 per share, a 15.7% increase year over year, surpassing the consensus estimate of $2.75 [1] - The company achieved sales of $23.99 billion, reflecting a 6.8% year-over-year growth and exceeding the consensus of $23.74 billion [1] - The company affirmed its fiscal year 2025 adjusted earnings guidance of $10.80-$10.90 and raised sales guidance to $93.5 billion-$93.9 billion [5] Financial Performance - Innovative Medicine sales rose 6.8% to $15.56 billion, with operational growth at 5.4% and adjusted operational growth at 4.4% [1] - Cancer sales increased to $6.53 billion, up 21.3% year over year, while Immunology sales declined to $4.17 billion, a 9.8% decrease [3] - MedTech sales grew 6.8% to $8.43 billion, driven by advancements in Electrophysiology products and other medical technologies [4] Product Performance - Key growth drivers included Darzalex, Carvykti, Erleada, and Tremfya, while Stelara and Imbruvica negatively impacted sales [2][3] - Darzalex sales rose 21.7% to $3.67 billion, while Stelara sales fell 41.3% to $1.57 billion [3] Strategic Developments - The company plans to separate its Orthopedics business, establishing a standalone entity named DePuy Synthes, expected to complete within 18 to 24 months [6] - The Orthopedics business generated approximately $9.2 billion in sales for fiscal year 2024 and targets a $50 billion+ global market opportunity [7] - Namal Nawana has been appointed as Worldwide President of DePuy Synthes [8] Market Activity - Johnson & Johnson shares were down 0.63% at $189.69 during premarket trading, close to its 52-week high of $192.10 [9]

Core Insights - Polaris Inc. has announced the separation of Indian Motorcycle into a standalone business, selling a majority stake to Carolwood LP, a private equity firm [1][2] - The transaction is expected to enhance Polaris' adjusted EBITDA by approximately $50 million and adjusted earnings per share by about $1.00, with completion anticipated in Q1 2026 [2] - Polaris aims to focus on areas with the strongest growth potential, while Indian Motorcycle is expected to thrive under Carolwood's ownership [2] Polaris and Indian Motorcycle Separation - The decision to separate Indian Motorcycle allows Polaris to concentrate resources on more profitable growth areas [1] - Indian Motorcycle contributed approximately $478 million, or 7.0%, to Polaris' revenues for the trailing twelve months ending June 30, 2025 [1] - Polaris will maintain a small equity position in Indian Motorcycle post-transaction [2] Leadership Changes - Mike Kennedy has been appointed as the CEO of the new independent Indian Motorcycle organization, bringing over 30 years of experience in the motorcycle industry [3] - Mike Dougherty, Polaris President of On Road and International, will lead the transition until the deal closes and has announced his intent to retire afterward [6][7] Employee and Operational Continuity - Approximately 900 employees will transition to the new Indian Motorcycle Company, retaining key personnel including engineers and designers [5] - Indian Motorcycle will continue to operate independently, providing sales, service, and support through its global dealer network [5] Financial Performance and Future Outlook - Polaris is scheduled to report its Q3 2025 results on October 28, 2025, with preliminary sales expected to be at the high end of the guidance range of $1.6 billion to $1.8 billion [8][9] - Adjusted EPS for Q3 is anticipated to be between $0.31 and $0.41, significantly higher than previous expectations due to strong cost management and operational efficiency [9]

Separation Overview - Corteva plans to separate into two independent public companies by October 1, 2025 [1] - The separation aims to create two market-leading entities with distinct market opportunities and tailored business models [16, 17, 21] - The transaction is expected to be completed in H2 2026, subject to customary conditions [24] New Corteva (Crop Protection) - 2025E Revenue is projected to be $78 billion [21] - 2025E Operating EBITDA margin is expected to be approximately 17%, with $135 billion Operating EBITDA [21] - The company's business mix includes 49% Herbicides, 23% Insecticides, 15% Fungicides, 6% Biologicals, and 7% Other [29] - Differentiated products account for 65% in 2024A [31] SpinCo (Seed) - 2025E Revenue is projected to be $99 billion [21] - 2025E Operating EBITDA margin is expected to be approximately 26%, with $26 billion Operating EBITDA [21] - The company holds approximately 8000 patents [40] - The company holds leadership positions across geographies, including 1 in Corn in North America, EMEA, and APAC [38] Financial Performance - Corteva has delivered $7 billion to shareholders through June 2025 [13] - Total Shareholder Return is approximately 200% through June 2025 [13] - Cumulative R&D Investment is $89 billion [13] - Operating EBITDA Growth CAGR is 11% [13] - Operating EBITDA Margin Improvement is over 700 bps [13]

Core Viewpoint - AnaptysBio, Inc. plans to separate its business into two independent, publicly traded companies, "Royalty Management Co" and "Biopharma Co," to enhance value and align with different investment strategies [1][14]. Group 1: Business Separation - The separation aims to create two distinct entities, allowing investors to align their portfolios with the strategic opportunities of each company [1][14]. - Royalty Management Co will manage rights to royalties and milestone payments from collaborations, focusing on maximizing shareholder value [3][6]. - Biopharma Co will concentrate on developing innovative therapeutics for autoimmune and inflammatory diseases, including rosnilimab, ANB033, and ANB101 [10][13]. Group 2: Financial Collaborations and Royalties - Anaptys has financial collaborations with GSK and Vanda, which include substantial potential royalties and milestone payments [2][8]. - GSK's Jemperli has shown strong sales performance, with $262 million in Q2 2025 and projected peak sales exceeding $2.7 billion [4][5]. - The royalty structure from GSK includes tiered royalties based on net sales, with rates ranging from 8% to 25% depending on sales thresholds [5][6]. Group 3: Clinical Development Pipeline - Rosnilimab has completed a Phase 2b trial for rheumatoid arthritis and is in a Phase 2 trial for ulcerative colitis, with data expected in late 2025 [11][18]. - ANB033 is in a Phase 1b trial for celiac disease, while ANB101 is in a Phase 1a trial targeting autoimmune diseases [12][13]. - The outcomes of these clinical trials will influence the economic value allocation between the two new companies [11]. Group 4: Future Plans and Leadership - The separation is anticipated to be completed by the end of 2026, with Daniel Faga expected to lead Biopharma Co [14]. - Specific details regarding the transaction, board composition, and financial operations will be disclosed later [14][15].