Novartis AG at JPMorgan Healthcare Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Richard Vosser - J.P. Morgan - Analyst : Fantastic, Vas. Any questions in the room? Maybe we can start then on some of the growth drivers that you talked about. And maybe just high level, of those ones, which is the most important to contribute to that growth that you outlined to '29? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JANUARY 14, 2025 / 4:15PM, NOVN.S - Novartis AG at JPMorgan Healthcare Conference

Question: Richard Vosser - J.P. Morgan - Analyst : And in Kisqali, what are you seeing in the market? I mean, that NBRx is pretty spectacular after three months with an incumbent in the market. Maybe break it down by those node zeros as well. But how are you doing?

Question: Richard Vosser - J.P. Morgan - Analyst : Any questions? And building on that franchise, that oncology franchise, obviously, that's got a relatively long pattern life and a long runway for growth. But how do you think about the next stages within breast cancer but also wider in oncology?

Question: Richard Vosser - J.P. Morgan - Analyst : Do you think if the degraders are successful -- well, they're not first generation but the ones that are closest to market, does that have any impact on Kisqali? Or as the data you've generated, they're not trialed with Kisqali, but the data you generated, do you think it has an effect? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. JANUARY 14, 2025 / 4:15PM, NOVN.S - Novartis AG at JPMorgan Healthcare Conference

Question: Richard Vosser - J.P. Morgan - Analyst : Makes sense. On RLTs, there was a very fast uptake of Pluvicto, and you've got demand outstripping supply to start with. Maybe you could talk about building that market and expanding it beyond some of the key centers.

Question: Richard Vosser - J.P. Morgan - Analyst : Do you think Actinium and Alpha sort of accelerates that move into the community? Is it easier to give? Do you think that could --

Question: Richard Vosser - J.P. Morgan - Analyst : Radiation has been used upfront when it's delivered by beam radiation. Where do you think the setting -- best setting is for an RLT? I mean, you're moving -- traditionally, we start late and move forward. Do you think that it is in the earlier settings?

Question: Richard Vosser - J.P. Morgan - Analyst : Any questions in the room? I wanted to pivot to Kesimpta, one of the other assets where you increased the peak sales. The CD20s have just dominated, I would say, the multiple sclerosis or the RMS space. Is there any pressure from more competitors or more competitor data like Roche going into subcutaneous? How do you see that

Question: Richard Vosser - J.P. Morgan - Analyst : Maybe pivoting to the pipeline, and let's start with remi. It's maybe not the most important but it's probably quite derisked. How do you see the potential there and broadening out from the CSU data that we've seen?

Question: Richard Vosser - J.P. Morgan - Analyst : Maybe on food allergy, I mean we've seen data from Xolair -- remibrutinib data versus Xolair is indistinguishable on the longer term, so pretty good data. And Xolair had pretty good data in food allergy. So that -- and it's accelerating Xolair quite a lot now. So just thoughts on that?

Question: Richard Vosser - J.P. Morgan - Analyst : I mean, just -- are you seeing that have an effect on Xolair in Europe as well?

Question: Richard Vosser - J.P. Morgan - Analyst : Okay. We'll move on. Clearly not. Maybe then on the pipeline, and a similar question before. I mean, you outlined a few assets that are coming. We've seen IT -- Zolgensma or OAV or whatever. But what's the most important that you see of those ones you listed?

Question: Richard Vosser - J.P. Morgan - Analyst : Is that the physicians adopt at the index event? And then is it testing-based where someone has a heart attack, then they have the index event and then they're tested? Is that how you think the market will evolve?

Question: Richard Vosser - J.P. Morgan - Analyst : So something like Leqvio and something like an --

Question: Richard Vosser - J.P. Morgan - Analyst : We mentioned Leqvio and it's not the pipeline, of course, but I mean, there is a cardiovascular outcome study. And maybe we can ask two questions here. I mean, it has accelerated and Europe or ex-US has really adopted this a little bit better than the US. So what's going on and how do we see it?

Question: Richard Vosser - J.P. Morgan - Analyst : And you touched on China. China has been an important growth driver for you. What are we seeing today? There's been some concern over the health of the Chinese market maybe because of macroeconomic conditions, maybe because of governmental intervention, but --

Question: Richard Vosser - J.P. Morgan - Analyst : Maybe one last question, just thinking about health care reform. We've got some of the adoptions of the IRA coming through this year. How do you see it affecting Novartis?

Question: Richard Vosser - J.P. Morgan - Analyst : Fantastic. Thanks, Vas. We're right on time.