Core Viewpoint - Indivior Plc's shares rose by 15.5% following the release of strong third-quarter results and an upgrade in full-year guidance, highlighting the success of its "Indivior Action Agenda" plan and the growth of its key medication, Sublocade [1] Group 1: Financial Performance - Indivior's management reported a 7% increase in U.S. Sublocade sales for the first nine months of 2025 compared to the same period in 2024 [3] - The updated full-year guidance for total Sublocade sales is now projected to be between $825 million and $845 million, an increase from the previous guidance of $765 million to $785 million [3] Group 2: Product Overview - Sublocade is indicated for treating moderate to severe opioid use disorder, offering a monthly dosage system that provides significant benefits over the daily regimen of buprenorphine [2] - The medication's unique delivery system is expected to yield more reliable outcomes for patients suffering from opioid use disorder [7] Group 3: Strategic Initiatives - Indivior aims to achieve $150 million in annual expense savings by 2026 through restructuring and consolidating its operations [5] - The company's three-phase plan includes accelerating Sublocade revenue growth in the U.S. and converting it into earnings and cash flow generation, followed by using the improved financial profile for growth through acquisitions [5][6]

Financial Data and Key Metrics Changes - Total net revenue for Q3 2025 was $314 million, a 2% increase year-over-year, driven by a 15% increase in SUBLOCADE net revenue to $219 million [18][19] - Adjusted EBITDA for Q3 2025 was $120 million, up 14% compared to the same quarter last year, attributed to higher net revenue and lower operating expenses [20] - The company raised its full-year 2025 total net revenue guidance to a range of $1.18 billion to $1.22 billion, reflecting better-than-expected performance [20][21] Business Line Data and Key Metrics Changes - SUBLOCADE experienced a strong 15% year-over-year growth, with dispense volume growth of 8% compared to the prior year [3][19] - The number of active SUBLOCADE prescribers grew by 11% year-over-year, indicating improved commercial execution [12] - SUBOXONE Film pricing remained stable, contributing to the overall revenue despite expected pricing pressure [18][19] Market Data and Key Metrics Changes - In the U.S., total net revenue grew by 2% year-over-year, with adjusted EBITDA increasing by 14% [4] - The market share for SUBLOCADE in the long-acting injectable (LAI) category remained stable at approximately 75% [12] - The company is optimizing its rest of world business, focusing on Australia, Canada, France, and Germany, which together generate 77% of forecasted rest of world net revenue [8] Company Strategy and Development Direction - The company is focused on completing Phase One of the Indivior Action Agenda, "Generate Momentum," and plans to enter Phase Two, "Accelerate," on January 1, 2026 [5][9] - Key priorities include growing SUBLOCADE in the U.S. and simplifying the organization to enhance operational efficiency [6][7] - A new direct-to-consumer campaign, "Move Forward in Recovery," was launched to raise awareness of SUBLOCADE as a treatment option [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in finishing 2025 with momentum and entering Phase Two with a strong position [9][25] - The company anticipates significant profitability and cash generation acceleration in 2026 [9][24] - Management emphasized the importance of maximizing the SUBLOCADE opportunity in the U.S. while ensuring essential investments [31] Other Important Information - The company has taken actions to reduce operating expenses by at least $150 million annually starting in 2026, primarily through headcount reduction and discontinuation of non-essential activities [6][30][23] - Non-GAAP operating expenses for Q3 2025 were $145 million, down 3% year-over-year [20] Q&A Session Summary Question: Can you break down the new $150 million OpEx cuts for 2026? - Management indicated that almost half of the $150 million savings is tied to labor, with a headcount reduction of over 32% and discontinuation of non-essential spending [30] Question: How does SG&A as a percentage of revenue compare to industry peers? - Management stated that the focus is on maximizing SUBLOCADE opportunities rather than targeting specific SG&A reductions [31] Question: Can you discuss the opportunity in commercial patients versus Medicaid? - Management highlighted efforts to grow both commercial and Medicaid channels, with a focus on improving commercial execution [37] Question: What are the expectations for SUBLOCADE growth in 2026? - Management is optimistic about maintaining double-digit year-over-year growth for SUBLOCADE, with a focus on commercial execution and direct-to-consumer campaigns [46] Question: What is the outlook for R&D spending going forward? - Management confirmed that R&D spending will be streamlined, focusing on Phase Two assets while preserving capabilities for potential Phase Three advancements [39][56]

Financial Data and Key Metrics Changes - Total net revenue for Q2 2025 was $300 million, an increase of 1% year-over-year, driven by record SUBLOCADE net revenue which offset pricing pressure on SUBOXONE Film [28][29] - Total SUBLOCADE net revenue reached $209 million, a 9% increase compared to Q2 2024 and a 19% increase sequentially [29] - Adjusted EBITDA for Q2 was $88 million, slightly down from the previous year due to increased marketing expenses [31] - The company raised its full-year 2025 net revenue guidance to a range of $1.03 billion to $1.08 billion, reflecting solid performance [33][34] Business Line Data and Key Metrics Changes - SUBLOCADE's dispense growth was 6% year-over-year and 9% sequentially, with market share in the U.S. remaining stable at approximately 75% [21] - The number of active SUBLOCADE prescribers increased by 14% year-over-year, indicating a solid base for future growth [22] - SUBOXONE Film outperformed expectations with a market share of 14% and benefited from stable pricing [29][30] Market Data and Key Metrics Changes - The company noted that the commercial channel represents a significant opportunity, with only 25% of SUBLOCADE volume coming from commercial patients despite 60% of covered lives being commercial [44][81] - Payer response to new dosing approaches for SUBLOCADE has been positive, with coverage reaching approximately 80% of covered lives [24] Company Strategy and Development Direction - The Indivior Action Agenda is a three-phased operational roadmap aimed at maximizing business potential and creating shareholder value, with Phase One focused on generating momentum for SUBLOCADE [10][12] - The company plans to simplify operations by eliminating non-essential activities and restructuring its R&D and medical affairs organizations [12][17] - Future phases aim to accelerate growth and profitability, with a focus on commercial stage acquisitions starting in 2026 [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed encouragement about the performance in the first half of 2025 but acknowledged the need for improvement in U.S. commercial execution [8][16] - The opioid crisis remains a significant focus, with management advocating for broader access to treatments for opioid use disorder [76][78] - The company is optimistic about the potential for SUBLOCADE, citing low long-acting injectable penetration rates as an opportunity for growth [42][78] Other Important Information - Indivior canceled its secondary listing on the London Stock Exchange to reduce costs and complexity [35] - The company was added to the U.S. Russell Indexes, enhancing its visibility among U.S. investors [35] Q&A Session Summary Question: Opportunity in commercially covered patients vs. Medicaid - Management emphasized the importance of both channels, noting that while Medicaid is crucial, there is significant potential in the commercial space where only 25% of SUBLOCADE volume currently comes from [39][44] Question: Criminal justice system channel strategy - Management acknowledged the criminal justice system as an opportunity and noted stability after previous challenges, indicating a focus on growth in this area [42] Question: Future R&D spending priorities - Management plans to reorganize R&D to maintain capabilities while focusing on essential programs, with a goal to transition successful programs into Phase 3 [41] Question: Price compression on Suboxone and SUBLOCADE growth expectations - Management has not seen signs of additional price erosion for Suboxone and expects demand-driven growth for SUBLOCADE in the second half of the year [50][52] Question: Cost savings from streamlining the business - Management indicated that significant reductions in the overall cost structure are expected, with a full-year effect anticipated in 2026 [56][57] Question: Long-term market share expectations for SUBLOCADE - Management expressed confidence in SUBLOCADE's market position and noted stabilization in market share, with a focus on increasing long-acting injectable penetration [58][59] Question: Aligning SG&A spend with industry peers - Management is assessing the organization to reduce complexity and high costs, with a focus on essential spending [66][67]

Financial Data and Key Metrics Changes - Total net revenue for the second quarter was $300 million, an increase of 1% year-over-year, driven by record SUBLOCADE net revenue which offset pricing pressure on SUBOXONE Film [29][30] - Total SUBLOCADE net revenue reached $209 million, a 9% increase compared to Q2 2024, and a 19% increase sequentially, reflecting a 9% increase in dispense volume [30] - Adjusted EBITDA for the quarter was $88 million, slightly down from the previous year due to increased marketing expenses [32] Business Line Data and Key Metrics Changes - SUBLOCADE's dispense growth was 6% year-over-year and 9% sequentially, with market share in the U.S. remaining stable at approximately 75% [21] - The number of active SUBLOCADE prescribers increased by 14% year-over-year, indicating a solid base for future growth [22] - SUBOXONE Film net revenue benefited from price stability and a modestly higher market share of 14% [30] Market Data and Key Metrics Changes - The commercial channel represents a significant opportunity, with 60% of covered lives being commercial patients, yet only 25% of SUBLOCADE volume coming from this segment [47][80] - The opioid crisis continues to drive demand, with LAI penetration currently at just under 8%, indicating substantial growth potential [44][76] Company Strategy and Development Direction - The Indivior Action Agenda is a three-phased operational roadmap aimed at maximizing business potential and improving execution, with Phase One focused on generating momentum for SUBLOCADE [10][11] - The company plans to simplify operations by eliminating non-essential activities and restructuring its R&D and medical affairs organizations [12][66] - Future phases aim to accelerate profitability and cash flow generation, with a focus on commercial stage acquisitions [15][16] Management's Comments on Operating Environment and Future Outlook - Management expressed encouragement about the performance in the first half of 2025 but acknowledged the need for improvement in U.S. commercial execution [8][39] - The company raised its full-year 2025 net revenue guidance to a range of $1.03 billion to $1.08 billion, reflecting solid year-to-date performance [35] - Management emphasized the importance of operational execution to generate momentum and achieve growth targets in 2026 [17][76] Other Important Information - Indivior canceled its secondary listing on the London Stock Exchange to reduce costs and complexity [36] - The company was added to the U.S. Russell Indexes, enhancing its visibility among U.S. investors [36] Q&A Session Summary Question: Opportunity in commercially covered patients vs. Medicaid - Management acknowledged the importance of both channels, emphasizing the need to capitalize on the commercial opportunity while maintaining focus on Medicaid [40][47] Question: Criminal justice system channel strategy - Management views the criminal justice system as a growth opportunity and plans to focus on it moving forward [44] Question: R&D spending priorities - Management indicated a significant reorganization of R&D is underway, focusing on maintaining capabilities for future programs while prioritizing essential activities [43] Question: Price compression on Suboxone - Management has not seen signs of additional price erosion for Suboxone but is factoring it into guidance [50][52] Question: Cost savings from streamlining the business - Management is focused on significant reductions in the overall cost structure, with expectations for benefits to be realized in 2026 [54][56] Question: Long-term market share expectations for SUBLOCADE - Management is optimistic about SUBLOCADE's market position and believes it will stabilize in the mid-70s percentage range [58]