Royalty Pharma plc

Ladies and gentlemen, thank you for standing by. Welcome to the Royalty Pharma second quarter 2021 earnings conference call. I would now like to turn the call over to George Grofik, SVP, Head of Investor Relations and Communications. Please go ahead, sir.

Good morning and good afternoon to everyone on the call. Thank you for joining us to review Royalty Pharma's second quarter results. You can find the slides to this call on the investors page of our website at royaltypharma.com. Moving to slide three, I would like to remind you that information presented in this call contains forward-looking statements that involve known and unknown risks, uncertainties, and other factors that may cause actual results to differ materially. I refer you to our 10-K on file with the SEC for a description of these risks. With that, please advance to slide four. Our speakers on the call today are Pablo Legareta, Founder and Chief Executive Officer, Jim Reddick, EVP, Co-Head of Research and Investments and Chief Scientific Officer, Marshall Urist, EVP, Co-Head of Research and Investments, and Terry Coyne, EVP, Chief Financial Officer. Pablo will discuss the key highlights, after which Jim and Marshall will provide an update on our royalty portfolio and acquisitions. Terry will then review the financials, and after concluding remarks from Pablo, we will hold a Q&A session. Chris Height, our Vice Chairman, will also join the Q&A session. With that, I'd like to turn the call over to Pablo.

Thank you, George, and welcome to everyone on the call. I am delighted to report that Royalty Pharma continued to execute very well against our strategy in the second quarter. We continued to deliver double-digit bottom-line growth despite losses of exclusivity. We maintained our strong deal momentum with year-to-date transactions announced of $2.8 billion, and we completed an innovative bond issuance to strengthen our capital structure and expand our competitive advantage. Taken together, based on our strong business dynamics, we're again raising our guidance for adjusted cash receipts for full year 2021. On slide seven, you can see our financials in a little more detail. In the second quarter, we delivered 3% growth in adjusted cash receipts and 16% and adjusted cash flow, what we consider to be our top and bottom line, respectively. The continued business momentum puts us in a great position to deliver another year of strong financial performance in 2021. As Terry will speak to what he discusses are raised guidance for the current year. Slide eight takes a step back and sets out what we have achieved since our IPO in June 2020. I am particularly proud of this light as it really speaks to the strength of our business model and our competitive position. In just over a year, we have announced 4.7 billion in royalty acquisitions across nine transactions spanning four therapeutic categories and 17 therapies. Meanwhile, we have converted our top line efficiently to cash with an 85% adjusted cash flow margin over the period, and we have grown our bottom line by 25%. These milestones are a testament to our market leadership position in a rapidly growing royalty funding market and the innovative approach of our team. And as you will hear through the course of this presentation, our prospects for sustained long-term growth continue to be excellent. With that, I will hand over to Jim and Marshall to update you on a royalty portfolio.