Alkermes plc Reports Financial Results for the Fourth Quarter and Year Ended Dec. 31, 2023 and Provides Financial Expectations for 2024

Alkermes plc reported financial results for the quarter and year ended Dec. 31, 2023 and provided financial expectations for 2024.

  • Total Revenues of $1.66 Billion in 2023; Net Sales of Proprietary Products Increased Approximately 18% Year-Over-Year
  • GAAP Net Income of $356 Million and Diluted GAAP Earnings per Share of $2.10 for 2023
  • Company Expects to Generate 30% EBITDA Margin in 2024

DUBLIN, Feb. 15, 2024 /PRNewswire/ -- Alkermes plc (Nasdaq: ALKS) today reported financial results for the quarter and year ended Dec. 31, 2023 and provided financial expectations for 2024.

“We entered 2024 as a pure-play neuroscience company and are well positioned to deliver on our strategic priorities to drive growth of our proprietary commercial products, advance the clinical development of ALKS 2680 for the treatment of narcolepsy, and generate significant cash flow,” said Richard Pops, Chief Executive Officer of Alkermes. “Our financial expectations for 2024 reflect our sharpened strategic focus and our work to position the business for sustained profitability and growth. As we look ahead, 2024 will be an important year as we focus on maintaining strong momentum in the launch of LYBALVI® and advancing and expanding our development pipeline. We look forward to sharing our progress.”

Key Financial Highlights

Revenues

(In millions)

Three Months Ended
December 31,

Twelve Months Ended
December 31,

2023

2022

2023

2022

Total Revenues

$

377.5

$

304.7

$

1,663.4

$

1,111.8

Total Proprietary Net Sales

$

242.0

$

216.1

$

920.0

$

777.6

VIVITROL®

$

102.4

$

102.0

$

400.4

$

379.5

ARISTADA®i

$

83.4

$

79.2

$

327.7

$

302.1

LYBALVI®

$

56.2

$

34.9

$

191.9

$

96.0

Profitability

(In millions)

Three Months Ended
December 31,

Twelve Months Ended
December 31,

2023

2022

2023

2022

GAAP Net Income (Loss)

$

112.8

$

(28.3)

$

355.8

$

(158.3)

GAAP Net Income (Loss)
From Continuing Operations

$

160.6

$

17.2

$

519.2

$

(33.2)

Non-GAAP Net Income

$

37.4

$

24.2

$

243.7

$

57.9

Non-GAAP Net Income From
Continuing Operations

$

81.8

$

67.4

$

396.5

$

174.9

EBITDA

$

32.3

$

(1.2)

$

323.8

$

(84.0)

EBITDA From Continuing
Operations

$

72.8

$

34.6

$

486.3

$

50.6

Please refer to Note 2 below for details related to certain tax provisions recorded during the quarter ended Dec. 31, 2023 which impacted GAAP Net Income and Non-GAAP Net Income during the quarter.

Revenue Highlights

LYBALVI

- Revenues for the fourth quarter and year ended Dec. 31, 2023 were $56.2 million and $191.9 million, respectively.

- Fourth quarter revenues and total prescriptions grew 61% and 65%, respectively, compared to the fourth quarter of 2022.

ARISTADAi

- Revenues for the fourth quarter and year ended Dec. 31, 2023 were $83.4 million and $327.7 million, respectively.

- Fourth quarter revenues and total prescriptions (on a months of therapy basis) grew 5% and 4%, respectively, compared to the fourth quarter of 2022.

VIVITROL

- Revenues for the fourth quarter and year ended Dec. 31, 2023 were $102.4 million and $400.4 million, respectively.

Manufacturing & Royalties

- Royalty revenues from INVEGA SUSTENNA®/XEPLION®, INVEGA TRINZA®/TREVICTA® and INVEGA HAFYERA®/BYANNLI® for the fourth quarter and year ended Dec. 31, 2023 were $75.2 million and $486.1 million, respectively. 2023 royalty revenues included $195.4 million of back royalties and associated interest related to U.S. net sales of these products in 2022, following favorable resolution of the arbitration proceedings related to these products in the second quarter of 2023.

- VUMERITY® revenues for the fourth quarter and year ended Dec. 31, 2023 were $33.6 million and $129.3 million, respectively.

Key Operating Expenses

Please see Note 1 below for details regarding discontinued operations.

(In millions)

Three Months Ended
December 31,

Twelve Months Ended
December 31,

2023

2022

2023

2022

R&D Expense –
Continuing Operations

$

73.9

$

73.0

$

270.8

$

272.7

R&D Expense –
Discontinued Operations

$

21.5

$

31.6

$

116.2

$

121.1

SG&A Expense –
Continuing Operations

$

169.8

$

152.9

$

689.8

$

590.8

SG&A Expense –
Discontinued Operations

$

19.4

$

4.7

$

48.6

$

15.0

Year-over-year increase in SG&A expense related to continuing operations was driven primarily by investment in the LYBALVI direct-to-consumer advertising campaign and certain one-time expenses related to the successful resolution of legal proceedings including the Janssen arbitration and VIVITROL patent litigation.

Balance Sheet

At Dec. 31, 2023, the company recorded cash, cash equivalents and total investments of $813.4 million, compared to $740.1 million at Dec. 31, 2022. The company’s total debt outstanding as of Dec. 31, 2023 was $290.7 million.

Share Repurchase Program
On Feb. 15, 2024, the company’s board of directors approved a new share repurchase program, authorizing the company to repurchase up to $400 million of the company’s ordinary shares (exclusive of any fees, commissions or other expenses related to such repurchases). The program does not have an expiration date and can be discontinued at any time. Please refer to Note 3 below for further details.

Financial Expectations for 2024
All line items are according to GAAP, except as otherwise noted.

In millions

2024
Expectations

Total Revenues a

$1,500 – $1,600

VIVITROL Net Sales

$410 – $430

ARISTADAi Net Sales

$340 – $360

LYBALVI Net Sales

$275 – $295

Cost of Goods Sold

$230 – $250

R&D Expenses

$225 – $255

SG&A Expenses

$625 – $655

GAAP Net Income b

$350 – $390

Non-GAAP Net Income b

$465 – $505

EBITDA

$445 – $485

Effective Tax Rate

~17%

a Expected Total Revenues reflect expiration of the U.S. royalty related to INVEGA SUSTENNA in August 2024.

b Expected 2024 weighted average basic share count of approximately 169.0 million shares outstanding and a weighted average diluted share count of approximately 173.0 million shares outstanding.

Recent Events

- In November 2023, the company completed the separation of its oncology business into Mural Oncology plc, a new, independent, publicly-traded company.

- In December 2023, the company announced that it had entered into a definitive agreement to sell its development and manufacturing facility in Athlone, Ireland to Novo Nordisk. Under the terms of the agreement, upon closing of the transaction, Alkermes will be entitled to a one-time cash payment of $92.5 million for the facility and related assets, subject to customary adjustments in accordance with the agreement. The transaction is expected to close in mid-2024, subject to certain closing conditions.

- In January 2024, the company announced topline results from a phase 3, open-label extension study assessing the long-term safety, tolerability and durability of treatment effect of LYBALVI in patients with schizophrenia, schizophreniform disorder or bipolar I disorder for up to four years of treatment, following treatment received in prior LYBALVI studies.

- In January 2024, the company announced that it had completed the narcolepsy type 1 cohort in its phase 1b study of ALKS 2680, the company’s novel, investigational orexin 2 receptor agonist in development for the treatment of narcolepsy. The data supported dose selection of 4 mg, 6 mg, and 8 mg once daily for the planned phase 2 study in narcolepsy type 1, which the company plans to initiate in the first half of 2024.

Notes and Explanations

1. The company determined that upon the separation of its oncology business, completed on Nov. 15, 2023, the oncology business met the criteria for discontinued operations in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 205, Discontinued Operations. Accordingly, the accompanying consolidated financial statements for all periods presented have been updated to present the assets and liabilities associated with the oncology business as discontinued operations on the consolidated balance sheets, and the results of all discontinued operations reported as a separate component of loss in the consolidated statements of operations and comprehensive income (loss).

2. During the quarter ended Dec. 31, 2023, the company recorded a $102.2 million net tax benefit from continuing operations and an income tax provision of $6.9 million from discontinued operations driven by a $161.0 million tax benefit related to the partial release of a valuation allowance against certain Irish deferred tax assets, partially offset by

(i) an income tax expense related to a reduced foreign derived intangible income deduction following the publication of new guidance on the application of Section 174 of the U.S. Internal Revenue Code of 1986, as amended, and

(ii) a one-time charge related to the transfer of certain intellectual property in connection with the separation of the company’s oncology business.

The tax benefit related to the release of the valuation allowance was excluded from non-GAAP net income due to the one-time nature of the benefit.

3. Under the share repurchase program, the company may repurchase ordinary shares of the company from time to time in an aggregate amount of up to $400 million (exclusive of any fees, commissions or other expenses related to such repurchases), subject to general business and market conditions and other investment opportunities, through open market purchases, conducted through Rule 10b5-1 plans or 10b-18 plans pursuant to the Securities Exchange Act of 1934, as amended, or through other mechanisms permitted by the company’s constitution.

Conference Call
Alkermes will host a conference call and webcast presentation with accompanying slides at 8:00 a.m. EST (1:00 p.m. GMT) on Thursday, Feb. 15, 2024, to discuss these financial results and provide an update on the company. The webcast may be accessed on the Investors section of Alkermes’ website at www.alkermes.com. The conference call may be accessed by dialing +1 877 407 2988 for U.S. callers and +1 201 389 0923 for international callers. In addition, a replay of the conference call may be accessed by visiting Alkermes’ website.

About Alkermes plc
Alkermes plc is a global biopharmaceutical company that seeks to develop innovative medicines in the field of neuroscience. The company has a portfolio of proprietary commercial products for the treatment of alcohol dependence, opioid dependence, schizophrenia and bipolar I disorder, and a pipeline of clinical and preclinical candidates in development for neurological disorders. Headquartered in Dublin, Ireland, Alkermes has a research and development center in Waltham, Massachusetts; a research and manufacturing facility in Athlone, Ireland; and a manufacturing facility in Wilmington, Ohio. For more information, please visit Alkermes’ website at www.alkermes.com.

Non-GAAP Financial Measures
This press release includes information about certain financial measures that are not prepared in accordance with generally accepted accounting principles in the U.S. (GAAP), including non-GAAP net income and EBITDA. These non-GAAP measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies.

Non-GAAP net income adjusts for certain one-time and non-cash charges by excluding from GAAP results: share-based compensation expense; amortization; depreciation; non-cash net interest expense; change in the fair value of contingent consideration; certain other one-time or non-cash items; and the income tax effect of these reconciling items. EBITDA represents earnings before interest, tax, depreciation and amortization; earnings include share-based compensation expense.

The company’s management and board of directors utilize these non-GAAP financial measures to evaluate the company’s performance. The company provides these non-GAAP financial measures of the company’s performance to investors because management believes that these non-GAAP financial measures, when viewed with the company’s results under GAAP and the accompanying reconciliations, are useful in identifying underlying trends in ongoing operations. However, non-GAAP net income and EBITDA are not measures of financial performance under GAAP and, accordingly, should not be considered as alternatives to GAAP measures as indicators of operating performance. Further, non-GAAP net income and EBITDA should not be considered measures of the company’s liquidity.

A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables included in this press release.

Note Regarding Forward-Looking Statements
Certain statements set forth in this press release constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including, but not limited to, statements concerning: the company’s expectations concerning its future financial and operating performance, business plans or prospects, including its ability to grow its proprietary commercial products, generate cash and sustain profitability; the company’s expectations regarding advancement of its development pipeline, including plans and expected timelines for the ALKS 2680 clinical development program, including initiation of the phase 2 study; the company’s expectations regarding its share repurchase program; and the company’s expectations regarding the sale of its development and manufacturing facility in Athlone, Ireland. The company cautions that forward-looking statements are inherently uncertain. The forward-looking statements are neither promises nor guarantees and they are necessarily subject to a high degree of uncertainty and risk. Actual performance and results may differ materially from those expressed or implied in the forward-looking statements due to various risks and uncertainties. These risks and uncertainties include, among others: whether the company is able to sustain profitability; the unfavorable outcome of arbitration or litigation, including so-called “Paragraph IV” litigation and other patent litigation which may lead to competition from generic drug manufacturers, or other disputes related to the company’s products or products using the company’s proprietary technologies; clinical development activities may not be completed on time or at all; the results of the company’s development activities may not be positive, or predictive of final results from such activities, results of future development activities or real-world results; the U.S. Food and Drug Administration (FDA) or regulatory authorities outside the U.S. may not agree with the company’s regulatory approval strategies; the FDA or regulatory authorities outside the U.S. may make adverse decisions regarding the company’s products; the company and its licensees may not be able to continue to successfully commercialize their products or support revenue growth from such products; there may be a reduction in payment rate or reimbursement for the company’s products or an increase in the company’s financial obligations to government payers; the company’s products may prove difficult to manufacture, be precluded from commercialization by the proprietary rights of third parties, or have unintended side effects, adverse reactions or incidents of misuse; and those risks and uncertainties described under the heading “Risk Factors” in the company’s Annual Report on Form 10-K and in subsequent filings made by the company with the U.S. Securities and Exchange Commission (SEC), which are available on the SEC’s website at www.sec.gov. Existing and prospective investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Except as required by law, the company disclaims any intention or responsibility for updating or revising any forward-looking statements contained in this press release.

VIVITROL® is a registered trademark of Alkermes, Inc.; ARISTADA®, ARISTADA INITIO® and LYBALVI® are registered trademarks of Alkermes Pharma Ireland Limited, used by Alkermes, Inc. under license; BYANNLI®, INVEGA®, INVEGA HAFYERA®, INVEGA SUSTENNA®, INVEGA TRINZA®, TREVICTA® and XEPLION® are registered trademarks of Johnson & Johnson or its affiliated companies; and VUMERITY® is a registered trademark of Biogen MA Inc., used by Alkermes under license.

________________________________

i The term “ARISTADA” as used in this press release refers to ARISTADA and ARISTADA INITIO®, unless the context indicates otherwise.

(tables follow)

Alkermes plc and Subsidiaries
Selected Financial Information (Unaudited)

Condensed Consolidated Statements of Operations - GAAP

Three Months Ended

Three Months Ended

(In thousands, except per share data)

December 31, 2023

December 31, 2022

Revenues:

Product sales, net

$ 241,972

$ 216,117

Manufacturing and royalty revenues

135,500

88,546

Research and development revenue

3

11

Total Revenues

377,475

304,674

Expenses:

Cost of goods manufactured and sold

70,126

53,954

Research and development

73,933

73,011

Selling, general and administrative

169,789

152,852

Amortization of acquired intangible assets

8,996

9,165

Total Expenses

322,844

288,982

Operating Income

54,631

15,692

Other Income (Expense), net:

Interest income

9,749

3,921

Interest expense

(6,054)

(4,769)

Other expense, net

(10)

(258)

Total Other Income (Expense), net

3,685

(1,106)

Income Before Income Taxes

58,316

14,586

Income Tax Benefit

(102,236)

(2,589)

Net Income From Continuing Operations

160,552

17,175

Loss from Discontinued Operations — Net of Tax

$ (47,773)

$ (45,429)

Net Income (Loss) — GAAP

$ 112,779

$ (28,254)

GAAP Earnings (Loss) Per Share - Basic:

From continuing operations

$ 0.96

$ 0.10

From discontinued operations

$ (0.29)

$ (0.28)

Earnings (loss) per share

$ 0.68

$ (0.17)

GAAP Earnings (Loss) Per Share - Diluted:

From continuing operations

$ 0.94

$ 0.10

From discontinued operations

$ (0.28)

$ (0.27)

Earnings (loss) per share

$ 0.66

$ (0.17)

Weighted Average Number of Ordinary Shares Outstanding:

Basic — GAAP and Non-GAAP

166,898

164,336

Diluted — GAAP and Non-GAAP

170,138

169,304

An itemized reconciliation between net income from continuing operations on a GAAP basis and EBITDA is as follows:

Net Income from Continuing Operations

$ 160,552

$ 17,175

Adjustments:

Depreciation expense

9,225

10,013

Amortization expense

8,996

9,165

Interest income

(9,749)

(3,921)

Interest expense

6,054

4,769

Income tax (benefit) provision

(102,236)

(2,589)

EBITDA from Continuing Operations

72,842

34,612

EBITDA from Discontinued Operations

(40,537)

(35,777)

EBITDA

$ 32,305

$ (1,165)

An itemized reconciliation between net income from continuing operations on a GAAP basis and non-GAAP net income is as follows:

Net Income from Continuing Operations

$ 160,552

$ 17,175

Adjustments:

Share-based compensation expense

22,776

24,692

Depreciation expense

9,225

10,013

Amortization expense

8,996

9,165

Separation expense

19,084

1,355

Income tax effect related to reconciling items

22,011

4,847

Deferred tax valuation release

(160,953)

Non-cash net interest expense

115

116

Non-GAAP Net Income from Continuing Operations

81,806

67,363

Non-GAAP Net Loss from Discontinued Operations

(44,383)

(43,142)

Non-GAAP Net Income

$ 37,423

$ 24,221

Non-GAAP diluted earnings per share from continuing operations

$ 0.48

$ 0.40

Non-GAAP diluted loss per share from discontinued operations

$ (0.26)

$ (0.25)

Non-GAAP diluted earnings per share

$ 0.22

$ 0.14

Alkermes plc and Subsidiaries

Selected Financial Information (Unaudited)

Condensed Consolidated Statements of Operations - GAAP

Year Ended

Year Ended

(In thousands, except per share data)

December 31, 2023

December 31, 2022

Revenues:

Product sales, net

$ 919,998

$ 777,552

Manufacturing and royalty revenues

743,388

331,983

License revenue

2,000

Research and development revenue

19

260

Total Revenues

1,663,405

1,111,795

Expenses:

Cost of goods manufactured and sold

253,037

218,068

Research and development

270,806

272,702

Selling, general and administrative

689,751

590,751

Amortization of acquired intangible assets

35,689

36,363

Total Expenses

1,249,283

1,117,884

Operating Income (Loss)

414,122

(6,089)

Other Income (Expense), net:

Interest income

30,854

7,629

Interest expense

(23,032)

(13,040)

Change in the fair value of contingent consideration

(21,750)

Other (expense) income, net

(425)

2,122

Total Other Income (Expense), net

7,397

(25,039)

Income (Loss) Before Income Taxes

421,519

(31,128)

Income Tax (Benefit) Provision

(97,638)

2,024

Net Income (Loss) From Continuing Operations

519,157

(33,152)

Discontinued Operations — Net of Tax

(163,400)

(125,115)

Net Income (Loss) — GAAP

$ 355,757

$ (158,267)

GAAP Earnings (Loss) Per Share - Basic:

From continuing operations

$ 3.12

$ (0.20)

From discontinued operations

$ (0.98)

$ (0.76)

Earnings (loss) per share

$ 2.14

$ (0.97)

GAAP Earnings (Loss) Per Share - Diluted:

From continuing operations

$ 3.06

$ (0.20)

From discontinued operations

$ (0.96)

$ (0.76)

Earnings (loss) per share

$ 2.10

$ (0.97)

Weighted Average Number of Ordinary Shares Outstanding:

Basic — GAAP and Non-GAAP

166,223

163,742

Diluted — GAAP

169,730

163,742

Diluted — Non-GAAP

169,730

168,362

An itemized reconciliation between net income (loss) from continuing operations on a GAAP basis and EBITDA is as follows:

Net Income (Loss) from Continuing Operations

$ 519,157

$ (33,152)

Adjustments:

Depreciation expense

36,921

39,959

Amortization expense

35,689

36,363

Interest income

(30,854)

(7,629)

Interest expense

23,032

13,040

Income tax (benefit) provision

(97,638)

2,024

EBITDA from Continuing Operations

486,307

50,605

EBITDA from Discontinued Operations

(162,484)

(134,637)

EBITDA

$ 323,823

$ (84,032)

An itemized reconciliation between net income (loss) from continuing operations on a GAAP basis and non-GAAP net income is as follows:

Net Income (Loss) from Continuing Operations

$ 519,157

$ (33,152)

Adjustments:

Share-based compensation expense

92,719

87,676

Depreciation expense

36,921

39,959

Amortization expense

35,689

36,363

Separation expense

38,364

1,355

Income tax effect related to reconciling items

25,343

2,254

Final award in the Janssen arbitration (2022 back royalties and interest)

(197,092)

Deferred tax valuation release

(160,953)

Restructuring

5,938

Non-cash net interest expense

461

466

Reduction in the fair value of contingent consideration and other related assets

24,032

Legal settlement

15,905

Non-GAAP Net Income from Continuing Operations

396,547

174,858

Non-GAAP Net Loss from Discontinued Operations

(152,894)

(116,999)

Non-GAAP Net Income

$ 243,653

$ 57,859

Non-GAAP diluted earnings per share from continuing operations

$ 2.34

$ 1.04

Non-GAAP diluted loss per share from discontinued operations

$ (0.90)

$ (0.69)

Non-GAAP diluted earnings per share

$ 1.44

$ 0.34

Alkermes plc and Subsidiaries

Selected Financial Information (Unaudited)

Condensed Consolidated Balance Sheets

December 31,

December 31,

(In thousands)

2023

2022

Cash, cash equivalents and total investments

$ 813,378

$ 740,075

Receivables

332,477

287,967

Inventory

186,406

181,418

Contract assets

706

8,929

Prepaid expenses and other current assets

98,166

41,203

Property, plant and equipment, net

226,943

222,919

Intangible assets, net and goodwill

85,018

120,707

Assets held for sale

94,260

93,871

Assets from discontinued operations

40,087

Other assets

298,869

226,802

Total Assets

$ 2,136,223

$ 1,963,978

Long-term debt — current portion

$ 3,000

$ 3,000

Other current liabilities

512,678

488,898

Long-term debt

287,730

290,270

Liabilities from discontinued operations

4,542

19,386

Other long-term liabilities

125,587

118,671

Total shareholders’ equity

1,202,686

1,043,753

Total Liabilities and Shareholders’ Equity

$ 2,136,223

$ 1,959,436

Ordinary shares outstanding (in thousands)

166,980

164,377

This selected financial information should be read in conjunction with the consolidated financial statements and notes thereto included in
Alkermes plc’s Annual Report on Form 10-K for the year ended December 31, 2023, which the company intends to file in February 2024.

Alkermes plc and Subsidiaries

Amounts included in Discontinued Operations

Three Months

Three Months

Three Months

Three Months

Year

Ended

Ended

Ended

Ended

Ended

March 31,

June 30,

September 30,

December 31,

December 31,

(In thousands)

2023

2023

2023

2023

2023

Cost of goods manufactured and sold

$ 11

$ 11

$ 11

$ 6

$ 39

Research and development

29,867

32,563

32,262

21,485

116,177

Selling, general and administrative

6,644

9,502

13,073

19,368

48,587

Income tax (benefit) provision

(6,727)

(40)

(1,550)

6,914

(1,403)

Loss from discontinued operations, net of tax

$ 29,795

$ 42,036

$ 43,796

$ 47,773

$ 163,400

Three Months

Three Months

Three Months

Three Months

Year

Ended

Ended

Ended

Ended

Ended

March 31,

June 30,

September 30,

December 31,

December 31,

(In thousands)

2022

2022

2022

2022

2022

Cost of goods manufactured and sold

$ 10

$ 10

$ 10

$ 10

$ 40

Research and development

29,161

27,475

32,929

31,575

121,140

Selling, general and administrative

3,201

3,488

3,618

4,689

14,996

Income tax (benefit) provision

(22,883)

1,374

1,293

9,155

(11,061)

Loss from discontinued operations, net of tax

$ 9,489

$ 32,347

$ 37,850

$ 45,429

$ 125,115

Alkermes plc and Subsidiaries

Revenues for Calendar Year 2023 and 2022

Three Months

Three Months

Three Months

Three Months

Year

Ended

Ended

Ended

Ended

Ended

March 31,

June 30,

September 30,

December 31,

December 31,

(In thousands)

2023

2023

2023

2023

2023

Revenues:

VIVITROL

$ 96,659

$ 102,070

$ 99,305

$ 102,385

$ 400,419

ARISTADA

80,077

82,410

81,834

83,369

327,690

LYBALVI

37,991

46,997

50,683

56,218

191,889

Total Proprietary Sales

214,727

231,477

231,822

241,972

919,998

PARTNERED LONG-ACTING ANTIPSYCHOTICS (1)

24,543

326,380

90,993

81,461

523,377

VUMERITY

28,874

32,295

34,561

33,596

129,326

Key Commercial Product Revenues

268,144

590,152

357,376

357,029

1,572,701

Legacy Product Revenues

19,445

27,238

23,559

20,443

90,685

Research and Development Revenues

6

7

3

3

19

Total Revenues

$ 287,595

$ 617,397

$ 380,938

$ 377,475

$ 1,663,405

Three Months

Three Months

Three Months

Three Months

Year

Ended

Ended

Ended

Ended

Ended

March 31,

June 30,

September 30,

December 31,

December 31,

(In thousands)

2022

2022

2022

2022

2022

Revenues:

VIVITROL

$ 84,854

$ 96,105

$ 96,534

$ 101,985

$ 379,478

ARISTADA

72,485

74,622

75,719

79,226

302,052

LYBALVI

13,929

20,060

27,127

34,906

96,022

Total Proprietary Sales

171,268

190,787

199,380

216,117

777,552

PARTNERED LONG-ACTING ANTIPSYCHOTICS (1)

54,480

37,039

36,965

37,085

165,569

VUMERITY

30,595

26,170

26,250

32,481

115,496

Key Commercial Product Revenues

256,343

253,996

262,595

285,683

1,058,617

Legacy Product Revenues

20,095

22,117

(10,274)

18,980

50,918

License Revenue

2,000

`

2,000

Research and Development Revenues

107

106

36

11

260

Total Revenues

$ 278,545

$ 276,219

$ 252,357

$ 304,674

$ 1,111,795

(1) - Includes RISPERDAL CONSTA, INVEGA SUSTENNA/XEPLION, INVEGA TRINZA/TREVICTA and INVEGA HAFYERA/BYANNLI.

Alkermes plc and Subsidiaries

2024 Guidance — GAAP to EBITDA

An itemized reconciliation between projected net income on a GAAP basis and EBITDA is as
follows:

(In millions, except per share data)

Amount

Projected Net Income — GAAP

$ 370.0

Adjustments:

Net interest income

(16.0)

Depreciation expense

35.0

Amortization expense

1.0

Provision for income taxes

75.0

Projected EBITDA

$ 465.0

Projected Net Income on a GAAP basis and Projected EBITDA reflect mid-points within ranges
of estimated guidance.

Alkermes plc and Subsidiaries

2024 Guidance — GAAP to Non-GAAP Adjustments

An itemized reconciliation between projected earnings per share on a GAAP basis and projected earnings per share on a non-
GAAP basis is as follows:

(In millions, except per share data)

Amount

Shares

Earnings Per
Share

Projected Net Income — GAAP

$ 370.0

173.0

$ 2.14

Adjustments:

Share-based compensation expense

86.0

Depreciation expense

35.0

Amortization expense

1.0

Non-cash net interest expense

0.5

Income tax effect related to reconciling items

(7.5)

Projected Net Income — Non-GAAP

$ 485.0

173.0

$ 2.80

Projected GAAP and non-GAAP measures reflect mid-points within ranges of estimated guidance.

Alkermes Contacts:
For Investors: Sandy Coombs +1 781 609 6377
For Media: Katie Joyce +1 781 249 8927

Alkermes plc Logo (PRNewsfoto/Alkermes plc)

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/alkermes-plc-reports-financial-results-for-the-fourth-quarter-and-year-ended-dec-31-2023-and-provides-financial-expectations-for-2024-302062983.html

SOURCE Alkermes plc

Company Codes: NASDAQ-NMS:ALKS

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