GSK plc

Good afternoon, ladies and gentlemen, and welcome to the analyst call of QSK fourth quarter 2022 results. I will now hand you over to Nick Stone, head of global investor relations, who will introduce today's session.

Thank you, operator. Hello, everyone. Welcome to our full year in Q4 2022 conference call and webcast for investors and analysts. The presentation was sent to our distribution list by email earlier today, and you can also find details on Q4 2022. This is the usual safe harbour statements. We'll comment on our performance using constant exchange rates or CR unless stated otherwise. As a reminder, the consumer healthcare business was demurred on 18th of July 2022 to form Halian. So today we're presenting continuing operations for GSK. Please turn to slide three. Today's management presentation will last approximately 30 minutes with the remaining 30 minutes for your questions. And this is to ensure that we get you to your next call given it's such a busy day for those on the street. For those on the phone, please join the queue by pressing star one, and we request that you ask one to two questions so that everyone has a chance to participate. Our speakers are Emma Walters, Tony Woods, Luke Miles, Deborah Waterhouse, and Ian McKay. With David Redfern joining the rest of the team for Q&A. Please turn to slide four, and I'll now hand the call over to Emma.

Thanks, Nick, and welcome to everyone. Please turn to the next slide. 2022 was a landmark year for GSK. We successfully delivered the most significant corporate change in 20 years and began a new chapter of competitive and profitable growth. GSK is a global biopharma company with the ambition and purpose to unite science, technology and talent to get ahead of disease together. We are a world leader in the prevention and treatment of infectious diseases with an industry-leading vaccines franchise that continues to strengthen, an expertise in HIV that is pioneering in innovation, and we have an exciting emerging pipeline based on the science of the immune system. Through ongoing focus on R&D productivity and operating performance, we're unlocking the potential of this company. We are realizing our bold ambitions reflected in our commitment to attractive growth and a significant step change in delivery. And through the demerger of Halion, a world healthcare business in its own right, we've strengthened our balance sheet, creating additional flexibility to invest in continuing growth and innovation. Turning to slide six. I'm delighted with today's results, which demonstrate that our strategy is driving the step change in financial performance we committed to, with continued strong momentum as we enter 2023. In 2022, we delivered double-digit sales growth of 13%, 10% if you exclude COVID solutions, including the more than £2 billion sales of Zabudi, adjusted operating profit growth of 14%, 17% excluding COVID solutions, Adjusted EPS growth of 15% and strong free cash flow of 3.3 billion pounds, further strengthening our financial flexibility. This outstanding performance was driven by strong sales growth across both specialty medicines and vaccines, alongside continued pipeline progress and underpins our guidance today. In 2023, excluding COVID solutions, we expect sales to increase between 6% and 8%, adjusted operating profit to increase between 10% and 12%, and adjusted EPS growth between 12% and 15%. Please turn to slide 7. This strong delivery in 2022 and commitment to do so again this year support our increased confidence in all dimensions of these 26 outlooks and demonstrate the continuing successful momentum in our transformation of GSK. Our portfolio mix has meaningfully shifted to vaccines and specialty medicines, now approaching two-thirds of our sales in 2022 compared to 46% in 2017. This evolving portfolio shape and our prioritized investment in innovation and product launches with good cost discipline are reflected in our continuing margin expansion. Please turn to slide eight. Before handing over to Tony for more detail, I'd like to share a couple of headlines on our progress in reshaping and advancing our pipeline, our number one priority. We've built a pipeline of 69 vaccines and medicines, many with the potential to be first or best in class. We've also had over 20 new approvals in the last five years, now representing nearly a third of our 2022 sales, including COVID solutions, and we anticipate more regulatory decisions this year. Our 2020 achievements include the launch of Aptitude, the first and only long-acting injectable for HIV prevention, alongside Cabinetta, the first and only long-acting HIV treatment regimen. We intend to continue to lead in changing the landscape for people living with HIV around the world over the coming years. In vaccines, the key highlight was our exceptional RSV older adult data that led to a prompt regulatory submission and priority review acceptance by the US FDA. Our vaccine candidate has a potential best-in-class profile and represents a significant commercial opportunity with multi-billion Shingrix-like potential. We also made some important advances in the clinical development of two late-stage assets, jeptitidazine, a new novel antibiotic for uncomplicated UTIs, and beprovercin, which has the potential to provide a first-in-class functional cure for chronic hep B. Strategic business development also played an important role in reshaping our pipeline. The acquisitions of Sierra Oncology and Afinovax complement our portfolio, and in the case of Afinovax, give us access to not only a phase two next-gen 24-valent pneumococcal vaccine, but also the novel MAPS platform technology to target complex pathogens that have multiple serotypes. We have a world-leading profile in infectious diseases and an exciting portfolio and pipeline based on the science of the immune system that we're confident will sustain growth through this decade and beyond. I'll now hand it over to Tony for more details.