NASDAQ$RPRX

Royalty Pharma PLC · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Royalty Pharma's third quarter results demonstrated strong growth and strategic advancements.

Royalty Pharma reported a strong third quarter with a 17% increase in net cash from operating activities and a 12% increase in adjusted cash receipts. The company also increased its 2020 guidance for adjusted cash receipts and announced $2.3 billion in new acquisitions for the year.

  • Net cash provided by operating activities increased by 17% to $509 million.
  • Adjusted Cash Receipts increased by 12% to $472 million.
  • Adjusted Cash Flow grew by 27% to $394 million.
  • $2.3 billion of new acquisitions were announced in 2020, including $1.1 billion in the third quarter.

Headline financials

Total Revenue

$538M

Previous: $464M+16.0%
EPS (adj)

$0.48

Previous: $1.15-58.3%
Portfolio Receipts

$472M

Previous: $421M+12.1%
Free Cash Flow

$291M

No prior period
Net Income

$291M

Previous: $409M-28.9%
Operating Income

$511M

Previous: $532M-4.1%
Gross Profit

$400M

Previous: $342M+16.9%
Cash & Equivalents

$1.55B

No prior period
Total Assets

$16B

No prior period
Stock-Based Comp

$848K

No prior period

Revenue & EPS history

Royalty Pharma · Revenue · Quarterly

$538M

Q3 2020+16%vs Q3 2019
Beat estimate in 1 of 5 quarters(20%)
ActualEstimate

Revenue by segment

Royalty Pharma · $452M total across 8 segments · Q3 2020

  • Cystic Fibrosis Franchise
    $157M+35.3%
  • Imbruvica
    $78M+16.4%
  • Tysabri
    $77M-7.2%
  • Other Products
    $59M+0.0%
  • Promacta
    $40M+29.0%
  • Xtandi
    $38M+18.8%
  • Erleada
    $2M+0.0%
  • Trodelvy
    $1M

Forward guidance

Royalty Pharma updated guidance for full-year 2020, expecting Adjusted Cash Receipts (non-GAAP) excluding new transactions announced after the date of this release to be $1,780 million to $1,800 million. They also expect that payments for operating and professional costs will be approximately 10% of Adjusted Cash Receipts in 2020.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

-0.6%

Avg return

Earnings day

+0.1%

Avg return

5 days after

+0.9%

Avg return

30 days after

43%

10 / 23 earnings

Positive

+6.8%

Q3 2025

Best reaction

-8.1%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.0%+2.4%+10.7%
Q4 2025+0.1%+2.2%+3.3%
Q3 2025+6.8%+1.8%+5.0%
Q1 2025+0.9%+0.2%+3.1%
Q4 2024+1.7%+2.0%+3.0%
Q3 2024-3.7%-4.3%-5.9%
Q2 2024-3.6%-1.4%+5.3%
Q1 2024+0.4%+0.3%-1.9%
Q4 2023+2.1%+3.4%+2.7%
Q3 2023-0.5%-1.6%+3.7%
Q2 2023-0.9%-1.1%-6.4%
Q1 2023-4.7%-2.7%-2.8%
Q4 2022-2.0%-0.4%-8.8%
Q3 2022+1.6%+3.7%-0.1%
Q2 2022-0.9%+1.9%-1.8%
Q1 2022-8.1%-12.8%-6.2%
Q4 2021+3.6%+0.8%+1.7%
Q3 2021+1.5%+5.3%-4.6%
Q2 2021+2.7%+5.0%+5.6%
Q1 2021-2.2%-1.8%+12.4%
Q4 2020-2.1%+1.1%-1.5%
Q3 2020-1.6%+2.8%+10.3%
Q2 2020-3.0%-4.2%-5.9%
Q1 2020
Q4 2019
Q3 2019
Q2 2019
Q1 2019
Q3 2017
Q2 2017
Q1 2017
Q4 2016
Q3 2016
Q2 2016
Q1 2016
Q4 2015
Q3 2015
Q2 2015
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q3 2012
Q2 2012

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