On January 9, 2023 Royalty Pharma plc (Nasdaq: RPRX) reported an update on its business performance, including recent key accomplishments and the full year 2022 outlook for Net cash provided by operating activities (GAAP financial measure) and Adjusted Cash Receipts(1) (non-GAAP financial measure). Pablo Legorreta, Royalty Pharma’s founder and Chief Executive Officer, will discuss these updates today as part of a webcast presentation at the 41st Annual J.P. Morgan Healthcare Conference to be held at 11:15 a.m. Eastern Time / 8:15 a.m. Pacific Time (Press release, Royalty Pharma , JAN 9, 2023, View Source [SID1234626103]).
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"Royalty Pharma delivered outstanding performance in 2022," said Pablo Legorreta. "We deployed substantial capital and added royalties on six new therapies, ranging from an approved, growing blockbuster to exciting development-stage therapies in areas of high unmet patient need. Further, we hosted our inaugural Investor Day, highlighting our talented team, the unique strength of our business model, and our strategy to drive long-term, compounding growth. Lastly, we expect to achieve the upper end of our 2022 financial guidance, putting us in a strong position to accelerate innovation in life sciences and transform patient lives globally."
Strong 2022 Financial Performance
Based on preliminary unaudited fourth quarter 2022 results, Royalty Pharma expects Net cash provided by operating activities (GAAP) to be approximately $2,140 million to $2,150 million for full year 2022. Additionally, Royalty Pharma now expects to deliver Adjusted Cash Receipts(1) (non-GAAP) for full year 2022 of approximately $2,785 million to $2,790 million, which is towards the upper end of its guidance range of $2,750 million to $2,800 million and represents growth of 31% year-over-year. This strong double-digit growth in Adjusted Cash Receipts reflects the strong performance of Royalty Pharma’s diversified royalty portfolio as well as the acceleration of payments related to Pfizer’s acquisition of Biohaven. Importantly, the growth in Adjusted Cash Receipts was achieved despite a significant decline in two of Royalty Pharma’s largest royalties in previous years, the HIV and DPP-IV franchises, highlighting the resilience of the business model with a unique ability to grow through royalty expirations.
Royalty Pharma’s preliminary unaudited fourth quarter 2022 results provided in this press release are subject to change in connection with the completion of the company’s final closing procedures, final adjustments and other developments that may arise in the course of the preparation or audit of its financial statements. Royalty Pharma’s management will host a conference call to discuss Royalty Pharma’s fourth quarter and full year 2022 results in February.