Royalty Pharma plc Files 2024 10-K

TL;DR

Royalty Pharma dropped its 2024 10-K. Full financials are in.

AI Summary

Royalty Pharma plc filed its 2024 10-K on February 12, 2025, reporting on its fiscal year ending December 31, 2024. The company, headquartered in New York, operates in the pharmaceutical preparations sector. Key financial data and operational details for the fiscal year 2024 are presented in this filing.

Why It Matters

This filing provides investors and analysts with a comprehensive overview of Royalty Pharma's financial performance and strategic positioning for the fiscal year 2024, crucial for understanding its current valuation and future prospects.

Risk Assessment

Risk Level: low — This is a standard annual financial filing (10-K) and does not inherently present new risks beyond those already associated with the company's business operations.

Key Numbers

• 2024 — Fiscal Year End (Reporting period for the 10-K)
• 2025-02-12 — Filing Date (Date the 10-K was submitted to the SEC)

Key Players & Entities

• Royalty Pharma plc (company) — Filer of the 10-K
• 2024-12-31 (date) — Fiscal year end
• 2025-02-12 (date) — Filing date
• New York (location) — Company headquarters city
• 2834 (industry_code) — Standard Industrial Classification for Pharmaceutical Preparations

FAQ

Key Financial Figures

• $0.0001 — ed Class A ordinary shares , par value $0.0001 RPRX The Nasdaq Stock Market LLC Sec
• $2.8 billion — pportunity set. In 2024, we generated $2.8 billion of Portfolio Receipts (as defined below
• $1.1 — utical sales are projected to grow from $1.1 trillion in 2024 to $1.7 trillion in 20
• $1.7 — d to grow from $1.1 trillion in 2024 to $1.7 trillion in 2030, representing a compou
• $400 billion — ing to EvaluatePharma despite more than $400 billion in cumulative sales being lost to expec
• $1 — non-profit institutions will spend over $1 trillion in R&D, unprofitable biopharma
• $2 — harmaceutical companies will spend over $2 trillion in R&D. 2 Royalties play a
• $6.2 billion — for biopharmaceutical royalties reached $6.2 billion in transaction value in 2024. We have e
• $15.5 billion — ns with an aggregate announced value of $15.5 billion from 2020 through 2024, which represent
• $3.9 billion — eve our nearest competitor has executed $3.9 billion of transactions, representing an estima
• $500 million — actions each with an aggregate value of $500 million or more. We have executed 11 of these 1
• $10.5 billion — otal transaction value of approximately $10.5 billion of cash and an estimated market share o
• $1 billion — generated end-market sales of more than $1 billion in 2024, including seven therapies that
• $3 billion — that each generated end-market sales of $3 billion or more. The therapies within our portf
• $376.5 million — contractual receipts, paid dividends of $376.5 million and repurchased shares for $229.9 milli

Filing Documents

• rprx-20241231.htm (10-K) — 2482KB
• rprx-20241231ex42.htm (EX-4.2) — 39KB
• rprx-20241231ex191.htm (EX-19.1) — 105KB
• rprx-20241231ex211.htm (EX-21.1) — 6KB
• rprx-20241231ex231.htm (EX-23.1) — 4KB
• rprx-20241231ex311.htm (EX-31.1) — 9KB
• rprx-20241231ex312.htm (EX-31.2) — 9KB
• rprx-20241231ex32.htm (EX-32) — 5KB
• rprx-20241231_g1.jpg (GRAPHIC) — 70KB
• rprx-20241231_g2.jpg (GRAPHIC) — 31KB
• rprx-20241231_g3.jpg (GRAPHIC) — 98KB
• rprx-20241231_g4.jpg (GRAPHIC) — 87KB
• 0001802768-25-000010.txt ( ) — 11784KB
• rprx-20241231.xsd (EX-101.SCH) — 75KB
• rprx-20241231_cal.xml (EX-101.CAL) — 86KB
• rprx-20241231_def.xml (EX-101.DEF) — 423KB
• rprx-20241231_lab.xml (EX-101.LAB) — 804KB
• rprx-20241231_pre.xml (EX-101.PRE) — 589KB
• rprx-20241231_htm.xml (XML) — 1634KB

Risk Factors

Item 1A. Risk Factors 15

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 45

Cybersecurity

Item 1C. Cybersecurity 45

Properties

Item 2. Properties 46

Legal Proceedings

Item 3. Legal Proceedings 46

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 47 PART II Item 5. Market for the Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities 47

[ Reserved ]

Item 6. [ Reserved ] 49

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 49

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 75

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 77

Changes in and Disagreements with Accountants on Accounting and Financial Disclosures

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosures 113

Controls and Procedures

Item 9A. Controls and Procedures 113

Other Information

Item 9B. Other Information 113

Disclosure Regarding Foreign Jurisdictions That Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions That Prevent Inspections 113 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 114

Executive Compensation

Item 11. Executive Compensation 114

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 114

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 114

Principal Accountant Fees and Services

Item 14. Principal Accountant Fees and Services 114 PART IV

Exhibits and Financial Statement Schedules

Item 15. Exhibits and Financial Statement Schedules 115

Form 10-K Summary

Item 16. Form 10-K Summary 117

Signatures

Signatures 117 Special Note Regarding Forward-Looking Statements This Annual Report on Form 10-K contains statements reflecting our views about our future performance that constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify these statements by forward-looking words such as "may," "might," "will," "should," "expects," "plans," "anticipates," "believes," "estimates," "target," "forecast," "guidance," "goal," "predicts," "project," "potential" or "continue," the negative of these terms and other comparable terminology. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about us, our current and prospective assets, our industry, our beliefs and our assumptions. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements. You should evaluate all forward-looking statements made in this Annual Report on Form 10-K in the context of the numerous risks outlined in Part I under Item 1A. under "Risk Factors" in this Annual Report on Form 10-K. These risks and uncertainties include factors related to, among other topics: sales risks of biopharmaceutical products on which we receive royalties; the ability of RP Management, LLC (the "Manager") to locate suitable assets for us to acquire; uncertainties related to the acquisition of interests in development-stage biopharmaceutical product candidates and our strategy

BUSINESS

Item 1. BUSINESS Overview We are the largest buyer of biopharmaceutical royalties and a leading funder of innovation across the biopharmaceutical industry. Since our founding in 1996, we have been pioneers in the royalty market, collaborating with innovators from academic institutions, research hospitals and not-for-profits through small and mid-cap biotechnology companies to leading global pharmaceutical companies. We have assembled a portfolio of royalties which entitles us to payments based directly on the top-line sales of many of the industry's leading therapies, which includes royalties on more than 35 commercial products, including Vertex's Trikafta, GSK's Trelegy, Roche's Evrysdi, Johnson & Johnson's Tremfya, Biogen's Tysabri and Spinraza, AbbVie and Johnson & Johnson's Imbruvica, Astellas and Pfizer's Xtandi, Novartis' Promacta, Pfizer's Nurtec ODT, Gilead's Trodelvy, among others, and 14 development-stage product candidates. We fund innovation in the biopharmaceutical industry both directly and indirectly - directly when we partner with companies to co-fund late-stage clinical trials and new product launches in exchange for future royalties, and indirectly when we acquire existing royalties from the original innovators. Our industry leading royalty portfolio and capital-efficient business model drives our compounding growth. We have a focused strategy of actively identifying and tracking the development and commercialization of important new therapies, which allows us to move quickly to make acquisitions when opportunities arise. With a deep and experienced team of investment professionals, an exhaustive due diligence process and a focus on high-quality therapies that address significant unmet patient need, we sustain attractive returns above our cost of capital, which in turn propels our compounding growth. Our unique business model enables us to benefit from many of the most attractive characteristics of the biopharmaceutical industry, including

View Full Filing

View this 10-K filing on SEC EDGAR