Rhythm Pharmaceuticals FY Conference Summary Company Overview - **Company**: Rhythm Pharmaceuticals (NasdaqGM:RYTM) - **Event**: FY Conference on November 12, 2025 Key Industry Insights - **Focus on Obesity Treatment**: Rhythm Pharmaceuticals is targeting the MC4 axis for treating various forms of obesity, including genetic and hypothalamic obesity [1][2][3] - **Biological Mechanism**: The MC4 pathway in the hypothalamus regulates satiety and energy expenditure. Disruptions in this pathway can lead to severe obesity [2][3] - **Research Expansion**: The company is exploring additional genetic defects beyond the classic POMC and leptin receptor defects, with a focus on a new M&A trial involving four different genes [3][4] Regulatory Updates - **PDUFA Date Extension**: The FDA extended the PDUFA date for Rhythm's drug by three months due to a major amendment request, which was triggered by new data submissions [6][8][9] - **Commercial Implications**: The delay may provide additional preparation time for the commercial launch of setmelanotide, particularly in the AHO (Adiposity Hyperphagia Obesity) setting [11][12] Market Dynamics - **Patient Population**: The estimated patient population for AHO has increased to approximately 10,000, with ongoing efforts to identify and confirm patients through literature and claims analyses [21][24] - **Comparison with Other Rare Diseases**: The launch dynamics for AHO are expected to differ from Bardet-Biedl syndrome (BBS) and Prader-Willi syndrome (PWS), with AHO having a higher rate of diagnosis but still presenting challenges in patient access and awareness [12][19][20] Competitive Landscape - **Differentiation from GLP-1s**: Rhythm's approach focuses on hormonal replacement via setmelanotide, contrasting with GLP-1s, which trigger weight loss indirectly. Clinical trials indicate that setmelanotide may provide a more significant weight loss response in AHO patients compared to GLP-1s [25][26][27] Future Developments - **Next-Generation Assets**: Rhythm is developing new compounds, including 718, which is designed to be more potent and specific than bivamelagon. The company aims to complete enrollment for the open-label study by Q1 2026 [40][42] Conclusion - **Outlook**: Rhythm Pharmaceuticals is positioned for a promising future with its focus on the MC4 pathway and the upcoming launch of setmelanotide. The company is actively preparing for market entry while navigating regulatory challenges and expanding its understanding of the patient population [45][46]

Core Viewpoint - Porsche's operating profit has plummeted dramatically, with a reported drop from €4.035 billion in the same period last year to just €40 million, marking a staggering 99% decline [2][5][37]. Group 1: Financial Performance - In the first nine months of the year, Porsche's operating profit fell to €40 million from €4.035 billion year-on-year, indicating a severe financial downturn [2][18]. - The company experienced a significant loss of €9.66 billion in the third quarter alone, which severely impacted its overall performance [5][15]. - The total global deliveries decreased by approximately 6%, with a notable decline in the Chinese market, which was once Porsche's largest single market [15][61]. Group 2: Market Dynamics - Porsche's deliveries in China dropped by 25.6% year-on-year, with a total of 32,195 vehicles delivered in the first nine months of the year [7][8]. - The European market also saw declines, with Germany's deliveries down by 16.2% and overall European deliveries down by 4.2% [11][12]. - The only market showing growth was North America, where deliveries increased by 4.8%, helping to mitigate some losses [12][15]. Group 3: Electric Vehicle Transition - Porsche has ambitious plans for electrification, aiming for over 50% of new cars to be electric by 2025 and over 80% by 2030 [20][46]. - However, the transition has faced significant challenges, including delays in electric vehicle production and a lack of competitive products in the market [30][32]. - The company has had to scale back its electric vehicle ambitions, with plans to focus on high-performance battery development rather than mass production [32][37]. Group 4: Strategic Adjustments - Porsche announced plans to cut 1,900 jobs by 2029, with an additional 2,000 temporary positions being eliminated this year [39][42]. - The company is shifting back to internal combustion engine vehicles, delaying the launch of new fuel models to maintain profitability [34][42]. - A strategic leadership change is also underway, with a new CEO set to take over in 2026, which may influence future directions [68][70].

Core Points - Porsche announced a significant leadership change with CEO Oliver Blume stepping down after ten years, to be succeeded by Michael Leiters, former CEO of McLaren, effective January 1, 2026 [4][19]. - The decision for this leadership transition was influenced by pressure from German unions and shareholders, who expressed concerns about Blume's ability to manage both Porsche and its parent company, Volkswagen Group, simultaneously [6][17]. Group 1: Leadership Change - Oliver Blume, who has been a frequent visitor to China and has held dual roles as CEO of both Porsche and Volkswagen Group, is stepping down due to concerns about his divided attention [3][7]. - Michael Leiters, the new CEO, has extensive experience within Porsche and has previously held significant positions at Ferrari and McLaren, indicating a strong background in luxury automotive management [21]. Group 2: Company Performance - Under Blume's leadership, Porsche achieved record sales and profitability, with 2015 global deliveries reaching 225,000 units, a year-on-year increase of 18.6%, and an operating profit of approximately €3.4 billion [12][14]. - However, recent performance has declined, with global deliveries in the first three quarters of 2023 totaling 212,509 units, a decrease of 6% year-on-year, and significant drops in key markets like China, where sales fell by 26% [23][24]. Group 3: Strategic Challenges - The company faces challenges in accelerating its electric vehicle transition, with electric models accounting for 35.2% of deliveries in the first three quarters of 2023, up 12.8 percentage points year-on-year [24]. - Financially, Porsche reported a revenue of €18.16 billion (approximately ¥150.2 billion) in the first half of 2023, down 6.7% year-on-year, with operating profit plummeting by 67.1% to €1.01 billion (approximately ¥8.35 billion) [24]. Group 4: Future Plans - Porsche aims to reclaim its position in the high-performance segment, with plans to launch a new model, the Panamera Turbo GT, designed to compete for the title of the fastest four-door car [27][30].

Porsche AG Q3 Update Summary Company Overview - **Company**: Porsche AG - **Event**: Pre-close call for Q3 delivery figures - **Date**: October 10, 2025 Key Industry Insights - **Global Deliveries**: Porsche delivered 212,500 vehicles globally from January to September, showing resilience in a challenging environment [5][6] - **Electrified Models**: Electrified models accounted for 35% of total deliveries, a 13% increase year-over-year, with 23% being fully electric and 12% plug-in hybrids [6] - **Regional Performance**: North America was the largest market with 64,000 units delivered, a 5% increase year-over-year. Deliveries in China totaled 32,000, reflecting a decline of 26% [6] Core Financial Highlights - **Market Share**: Porsche increased its market share in five out of six model segments despite intensifying competition [7] - **Production Capacity**: Production in Q3 is expected to reflect current demand, with a disciplined approach to inventory management in the US and China [9][11] - **Cash Flow**: The automotive net cash flow is expected to reflect a reduction in elevated inventories and production closures during summer [15][45] Strategic Developments - **Product Strategy Realignment**: Porsche is undergoing a strategic realignment, expecting incremental expenses of up to €1.8 billion in fiscal year 2025 due to product portfolio decisions [14][18] - **Inflationary Pressures**: The company anticipates continued inflationary pressures, particularly in material costs and compensation to BEV suppliers [15] - **Tariff Impact**: The forecast includes a 15% US import duty effective August 1, with mitigation measures being implemented [17][18] Upcoming Product Launches - **New Models**: The all-electric Cayenne will be unveiled at the upcoming Agnes of Porsche event in Dubai, with positive initial reactions [8] - **911 Turbo S**: Strong demand for the 911 Turbo S is noted, with expectations for significant contributions to unit sales in 2026 [40][42] Customer Demand and Individualization - **Order Book**: Customer demand remains robust, with a high level of individualization in orders, particularly for the 911 Turbo S [12][30] - **Pricing Adjustments**: Prices in the US have been increased by 2.4% to 3.6% per model, reflecting the impact of tariffs [39] Conclusion and Future Outlook - **Financial Guidance**: The group return on sales guidance for fiscal year 2025 includes extraordinary expenses related to strategic realignment and tariffs, with expectations for a slightly positive return on sales [19][22] - **Long-term Strategy**: Porsche is focusing on enhancing brand identity and product flexibility to ensure sustainable long-term success [21][22] Additional Notes - **Hedging Policy**: Porsche has a conservative hedging policy in place to mitigate currency fluctuations, which is expected to support financial stability [50][52] - **Investor Relations**: The third quarter results will be published on October 24, with an invitation to the upcoming Agnes of Porsche event in Dubai [22][23]

Deliveries Performance - Porsche's total deliveries YTD Q3 2025 reached 212,509 units, a decrease of 6% compared to 226,026 units in YTD Q3 2024 [10] - Macan sales experienced an 18% increase in the first three quarters of 2025 [8] - Approximately 35% of all vehicles delivered in the first three quarters of 2025 were electrified, with around 23% being fully electric [8] - Deliveries of the Cayenne model experienced a decrease, partly attributed to catch-up effects from the prior-year period [8] - The iconic 911 model saw a decline due to strong final sales of the predecessor model in 2024 and staggered product launches of new derivatives [8] - 718 sales decreased mainly due to limited model availability caused by EU cybersecurity regulations [8] Regional Performance - North America remains the strongest sales region, with a 5% increase compared to 2024, delivering 64,446 units YTD [14, 11] - Overseas and Emerging Markets achieved new all-time high deliveries [11] - China experienced a continued tense economic situation, especially in the luxury segment, with a focus on value-oriented sales [11] - Europe and Germany saw a decline partly due to a strong prior-year period with catch-up effects from 2023 [11] Strategic Realignment and Expenses - Porsche is taking final steps in the realignment of its product strategy and recalibration measures to secure long-term success, reflecting changing customer needs and a slower adaption of electric mobility [12] - Porsche expects incremental expenses of up to €1.8 billion in FY 2025, fully booked in Q3 2025, related to the strategic realignment, bringing the total to approximately €3.1 billion for the year [13]

Core Insights - Porsche has announced a significant strategic shift, delaying the launch of certain electric vehicle models and refocusing on fuel and hybrid vehicles due to declining sales and increasing profitability pressures [2][3] Group 1: Strategic Adjustments - The development of a new electric platform originally scheduled for the 2030s has been indefinitely postponed, with Porsche opting to collaborate with other brands within the Volkswagen Group to restructure its technology framework [2] - The flagship SUV series (internal code K1) will prioritize the release of fuel and plug-in hybrid versions, while the electric version's launch date remains uncertain [2] - The launch of the 718 electric version has been significantly delayed from 2026 to around 2035, and the fuel and hybrid versions of key models like Cayenne and Panamera will continue to be sold until around 2035 [2] Group 2: Market Challenges - Demand for luxury electric vehicles has not met expectations, with Porsche's electric vehicle sales dropping by 32% year-on-year in the first half of 2025, and the flagship Taycan experiencing a 41% decline [3] - Trade policies, such as the 27.5% tariff on imported cars in the U.S., have led to a 15% price increase for models like Macan, resulting in a 28% drop in sales in the U.S. market [3] Group 3: Competitive Landscape - Domestic electric vehicle manufacturers in China, such as BYD, NIO, and Xpeng, are rapidly gaining market share and posing a significant challenge to traditional luxury brands like Porsche [4][8] - The Chinese electric vehicle market is projected to exceed 12 million units in production and sales in 2024, maintaining its position as the world's largest market for ten consecutive years [4] - The top ten companies in China's electric vehicle market accounted for 85.6% of total sales, with Porsche not ranking among them [6]

Core Viewpoint - Porsche is undergoing a significant strategic shift in response to declining sales and increasing profitability pressures, moving back towards internal combustion engine (ICE) and hybrid models while postponing the launch of several electric vehicle (EV) models [4][6][10]. Group 1: Strategic Adjustments - Porsche is extending the production life of ICE and hybrid vehicles for the next decade, including popular models like the Panamera and Cayenne, which will continue to offer both hybrid and traditional powertrain options [6][10]. - The new SUV series, originally planned to be fully electric, will now only feature ICE and plug-in hybrid options, marking a clear retreat from previous electrification commitments [6][10]. - The company has confirmed that its next-generation EV platform will still receive an investment of up to €1.8 billion, indicating a continued commitment to electric mobility despite the strategic pivot [7][10]. Group 2: Financial Implications - The restructuring is expected to cost Volkswagen, Porsche's parent company, approximately €5.1 billion, with Porsche anticipating a loss of up to €1.8 billion in operating profit this year [6][7]. - Porsche has revised its sales return expectations for 2025 down to a maximum of 2%, significantly lower than the previous forecast of 5% to 7% [6][7]. Group 3: Market Challenges - The decision to adjust the product strategy is influenced by a slowdown in EV demand, a cooling luxury car market in China, and increased competition from local EV brands [12][14]. - The company faces additional pressures from a 27.5% import tariff in the U.S. and has expressed a desire for more flexibility regarding the EU's 2035 phase-out of new ICE vehicles [12][14]. - Porsche's previous plans to produce high-performance batteries in-house have been scrapped due to changing market conditions, further complicating its transition to electric vehicles [12][14]. Group 4: Industry Implications - Porsche's shift highlights broader challenges faced by luxury brands in the transition to electric vehicles, suggesting that high-performance hybrid technology will remain relevant for a longer period than previously anticipated [10][12]. - The move raises questions about whether other European luxury brands will follow suit and refocus on high-performance hybrid vehicles, impacting innovation in the ultra-high-end EV sector [15].

Electric Vehicle Industry - Porsche adjusts its battery strategy, focusing on battery cell and system development due to slowing electrification progress in China and the US [6] - The new Mercedes-AMG GT XX concept car sets a new electric vehicle endurance record, traveling 3,405 miles (approximately 5,480 kilometers) in 24 hours [9][10] - India's electronic manufacturing industry has seen sixfold growth over the past decade, with electronic product output expected to reach $129.9 billion by FY2025 [11][13] - Rivian plans to launch hands-free driving capabilities by the end of 2026, aiming to differentiate itself in the competitive electric vehicle market [24] Shared Mobility - Zoomcar partners with Google Cloud to integrate AI into its car-sharing platform, enhancing user experience and platform security [15][18] - BlueSG transitions its electric vehicles to long-term rentals with Tribecar, moving away from short-term rentals to meet market demand [28] Autonomous Driving - Lyft collaborates with Baidu to launch a robotaxi service in Europe by 2026, marking Baidu's entry into the European autonomous driving market [31][34] Policy and Regulation - Australia plans to implement a road usage fee to replace fuel taxes, with a focus on reducing fuel dependency and managing traffic congestion [35]