Ipsen delivers strong H1 2022 results and upgrades its full-year guidance

Paris (France), 28 July 2022 – Ipsen (Euronext: IPN; ADR: IPSEY), a global specialty-driven biopharmaceutical company, presents its financial results for the first half of 2022:

H1 2022 financial results

• Strong sales growth of 10.5% at CER¹ (15.2% as reported)
• Core operating margin of 39.6%; IFRS operating margin of 35.7%
• Core consolidated net profit of €420m, growing by 19.9%. IFRS net profit up by 30.0% to €394m
• Solid cash-flow generation and strong balance sheet (€2m closing net debt)

Strategic roadmap

• Agreement to acquire Epizyme, expanding Ipsen’s portfolio in oncology
• Completion of the divestment of Ipsen’s Consumer HealthCare business (CHC) to Mayoly Spindler
• Submission acceptance by U.S. FDA for New Drug Application (NDA) for palovarotene
  

Upgraded 2022 financial guidance

• Total-sales growth greater than 7.0% at CER¹ (prior guidance: >2.0%)
• Core operating margin greater than 36.0% (prior guidance: >35.0%)

David Loew, Chief Executive Officer, commented:

“In the first half of the year, the continuing execution of our strategy yielded strong results. Our innovative brands delivered double-digit growth, while sales of Somatuline remained stable. By divesting our consumer healthcare business, we are focusing Ipsen on Specialty Care. The transaction with Epizyme will further enrich our portfolio and pipeline in oncology. I am pleased with the recent positive regulatory developments for palovarotene.

The ongoing positive momentum at Ipsen is reflected in today’s upgraded sales and margin guidance. While we recognize an increasingly competitive environment for Somatuline in Europe and the U.S., our innovative brands will continue to deliver strong growth. With patients at the core of our purpose, we are well on track to execute on our four-pillar strategy, including the maximization of our brands and the replenishment of our pipeline.”

Consumer HealthCare: completion of divestment

Ipsen today announces the closing of its agreement to divest its CHC business to Mayoly Spindler, with which it had entered into exclusive negotiations in February 2022. The consideration represents an enterprise value of €350m, including an earnout contingent payment of €50m.

The combination of Ipsen’s and Mayoly Spindler’s respective CHC businesses will create a global consumer-healthcare platform with a critical size and the capacity to support its growth. This was a major step forward in the Company’s execution of its strategic roadmap, presented in December 2020, towards building a more-focused Ipsen, centring on Specialty Care.