Slides
Page 1
5 August 2026 H1 2026 results SANDOZ 20 80 140 YEARS OF BIOSIMILARS YEARS OF ANTIBIOTICS YEARS OF HERITAGE
Page 2
Disclaimer This presentation contains forward-looking statements, which offer no guarantee with regard to future performance. These statements are made on the basis of management’s views and assumptions regarding future events and business performance at the time the statements are made. They are subject to risks and uncertainties including, but not confined to, future global economic conditions, exchange rates, legal provisions, market conditions, activities by competitors and other factors outside of the control of Sandoz. Should one or more of these risks or uncertainties materialise or should underlying assumptions prove incorrect, actual outcomes may vary materially from those forecasted or expected. Each forward-looking statement speaks only as of the date of the particular statement, and Sandoz undertakes no obligation to publicly update or revise any forward-looking statements, except as required by law. This presentation includes non-IFRS financial measures as defined by Sandoz. An explanation of non-IFRS measures can be found in the supplementary financial information of the Half-Year Report 2026. Certain figures contained in this presentation, including financial information presented in billions or millions, certain operating data and percentages describing financial information or market shares, have been subject to rounding. US dollar values and percentages may not agree to totals. JP Morgan Healthcare Conference
Page 3
Agenda 1. Highlights and business update Richard Saynor, CEO Financial performance and 2026 guidance Remco Steenbergen, CFO Wrap-up Richard Saynor, CEO Questions Richard Saynor, CEO | Remco Steenbergen, CFO 2. 3. 4. 3
Page 4
Highlights and business update Richard Saynor Chief Executive Officer
Page 5
Delivering strong results Excellent biosimilar growth across all regions 5 1 H1 financials Business Pipeline Strong net-sales growth: +5% at CC Biosimilars: a record 33% of net sales Core-EBITDA margin of 20.9%: +90 basis points Management free cash flow: USD 503 million Full-year 2026 guidance confirmed Industry-leading biosimilars pipeline - addition of four in-house assets - total of 361 EU approvals for insulin biosimilars FDA filing acceptance for tirzepatide ANVISA approval in Brazil: GLP-1 Now #2 biosimilars and generics company in North America2 Opened new state-of-the-art biosimilar development centre in Ljubljana Sandoz climate targets validated by Science Based Targets initiative CC: constant currencies. 1. Reflects agreement with Samsung Bioepis for up to five biosimilar assets, including vedolizumab. 2. March 2026 IQVIA MIDAS.
Page 6
Net-sales performance driven by 20% biosimilars growth Strong momentum in North America 6 1 H1 2026 net-sales regional mix H1 2026 net-sales business mix in USD billions 33% 67% Biosimilars +20% Generics -1% in USD billions 5.8 bn +5% 54% 23% 23% North America +15% International +1% Europe +3% All growth at constant currencies. 5.8 bn +5%
Page 7
>300 total assets in pipeline, targeting USD ~250 bn1 of originator sales: 66% coverage by value Generics: building on scale, launches and pipeline depth 7 LoE: loss of exclusivity. 1. Covers EU and US markets (2027–2036). Originator sales and LoEs based on internal analysis of data from multiple subscription da tabases (generics data: oral solids, GLP-1, injectables, others). . . Focused LoE coverage, centred on oral solids and injectables nintedanib (EU & US) dapagliflozin (US) sitagliptin and sitagliptin + metformin (US) Pipeline Portfolio strategy Notable recent launches 1 ANVISA approval for Sandoz’s first GLP-1 Launch of semaglutide planned for H2 2026 Historic milestone establishing presence in GLP-1 market Access to one of the world's largest semaglutide markets
Page 8
Hyrimoz: broadest payer coverage in US Pyzchiva: leading biosimilar in Europe1 1. Based on local country data Mar 26 IQVIA/ARIIMA. 2. Based on IQVIA Mar 2026 update (volume in standard units), data for key 37 markets. Sandoz adalimumab includes Hyrimoz and adalimumab-adaz. Hyrimoz data exclude Cordavis private-label sales. Market share among biosimilars. 3. Based on IQVIA MIDAS Mar 2026 update (volume in standard units). 8 1 Pyzchiva® (ustekinumab) global market share 3 Double-digit net-sales growth in H1 Leading biosimilar in Europe: #1 across all major European markets; 35% market share Adverse pricing in Germany reflecting short-term market dynamics Biosimilars participation (%) Sandoz market share Biosimilars participation 0 10 20 30 40 50 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 37% 36% 31% 24% 25% Double-digit net-sales growth in H1 Biosimilars participation growing alongside increasing global share US leadership position: broadest preferred payer coverage Hyrimoz® (adalimumab) global market share2 Biosimilars participation (%) 0 65 70 75 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 25% 21% 22% 21% 22% Sandoz market share Biosimilars participation 19% 26% 21%20%
Page 9
Tyruko® (natalizumab) European market share1 Tyruko: encouraging progress and additional launches Omnitrope: consistent leading market share Stable market share in Europe: robust sales growth anticipated Extended ramp-up in US primarily focusing on naïve patients Additional launches planned: Europe and International Sandoz market share (%) 1. Based on local-market data (volume in grams) and determined by Sandoz launch countries, including originator in intravenous and subcutaneous markets. 2. Based on IQVIA MIDAS Mar 2026 update (volume in grams), including originator products (once-daily); excludes Mexico. 9 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 7% 15% 16% 17% 16% 17% 17% Q1 2026 17% 1 20 years ago, Omnitrope was approved in Europe as world’s first- ever biosimilar Consistent market leader, with 37% global share2 Omnitrope® (somatropin) global market share2 Sandoz market share (%) Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 36% 35% 35% 35% 37% 36% 35% 37%
Page 10
Wyost & Jubbonti and Afqlir Successful launches; further strong contributions expected 10 1 Wyost® & Jubbonti® (denosumab) Excellent launch execution across Europe underway Now in 19 European markets, limited competition to date Supports improved patient access and more sustainable healthcare system US launch anticipated in Q4 20262 Afqlir® (aflibercept) #1 biosimilars in US: Jubbonti 64% biosimilar share1 Wyost 54% biosimilar share1 Broad US provider access and early wins with key payers Europe launch progressing extremely well: 27 countries on day 1 Strong rollouts in International: Brazil and Australia 1. Based on IQVIA Mar 2026 update; market share for Q1 2026. 2. Or earlier, in certain circumstances.
Page 11
Industry-leading biosimilars pipeline expanded with a further four in-house assets 11 IV: intravenous; SC: sub-cutaneous; HD: high dose. 1. Reflects agreement with Samsung Bioepis for up to five biosimilar assets, including vedolizumab. 2. See appendix for current status reflecting regulatory streamlining. Third-party trademarks are property of their respective owners. Published biosimilar pipeline references significant potential commercial opportunities across a range of markets. Assets in regulatory review/ yet to launch Assets in clinical development2 Assets in technical development2 Assets in early development Sandoz brand Originator brand 36 1 assets 1 Avzivi® (bevacizumab) Ondibta® (glargine) Dazparda® (aspart) Herwenda® (trastuzumab) Bysumlog® (lispro) Tecentriq® (atezolizumab) Opdivo® (nivolumab IV) Keytruda® (pembrolizumab IV) Ocrevus® (ocrelizumab IV) Yervoy® (ipilimumab) Perjeta® (pertuzumab) Skyrizi® (risankizumab) Ocrevus® (ocrelizumab SC) Enhertu® (trastuzumab deruxtecan) Darzalex® (daratumumab SC) Opdivo Qvantig® (nivolumab SC) Tremfya® (guselkumab) Dupixent® (dupilumab) Eylea HD® (aflibercept 8 mg) Crysvita® (burosumab) Vyvgart/Hytrulo® (efgartigimod alfa IV/SC) Ultomiris® (ravulizumab) Reblozyl® (luspatercept) Padcev® (enfortumab vedotin) Vabysmo® (faricimab) Keytruda Qlex® (pembrolizumab SC) Tezspire® (tezepelumab) Takhzyro® (lanadelumab) Winrevair® (sotatercept) Saphnelo® (anifrolumab) Polivy® (polatuzumab vedotin) Entyvio® (vedolizumab) NEW NEW NEW NEW
Page 12
Leap forward in biosimilar-development capabilities to capture next wave of growth 12 1 Ljubljana, Slovenia • Open: new USD 99 million state-of-the-art biosimilar development centre • Supports faster and more efficient progression from development to manufacturing • Fully digitally integrated, spanning ~10,000 m² and employing more than 200 scientists • Core component of biosimilar vertical integration: connected with development and manufacturing sites across Europe
Page 13
Remco Steenbergen Chief Financial Officer Financial performance and 2026 guidance
Page 14
Biosimilars growth of 20% at CC, led by recent launches and market-share gains All regions contributing with double-digit biosimilars growth Strong execution in H1 2026 drives growth, margin expansion and EPS accretion 14 2 CC: constant currencies; FCF: free cash flow. Net sales +5% at CC Core-EBITDA margin expansion of 0.9% basis points to 20.9% Margin improvement driven by favourable net-sales mix, cost discipline and operating leverage Core EBITDA +15% in USD USD 503 million: sustained net cash generation, even after additional capex investments Management FCF remained strong USD 1.71 Mainly driven by higher core net income Core diluted EPS +17% in USD
Page 15
Double-digit volume growth fuels strong H1 top line Net-sales growth 2 15 in USD billions Very strong North America biosimilar growth of +47% at CC, driven by successful Wyost & Jubbonti launches Europe and International also delivered double-digit biosimilar growth at CC Price erosion reflects short-term market dynamics in Germany and outstanding biosimilar performance in North America 5.2 0.5 H1 2025 Volume Price FX H1 2026 (0.3) 5.8 0.3 +10% in USD +5% at CC +5% CC: constant currencies. -5%+10%
Page 16
16 2 in USD billions 1.9 2.0 0.8 1.0 Q2 2025 Q2 2026 2.8 3.0 +7% All growth at constant currencies. in USD billions 3.7 3.9 1.5 1.9 H1 2025 H1 2026 5.2 5.8 +5% Biosimilars North America growth of 47% reflected launches of Wyost & Jubbonti International growth of 19% driven by Rixathon® (rituximab) and recent launches of Wyost & Jubbonti Europe growth of 10% partly a result of Afqlir launch Generics International performance reflected active portfolio rationalisation and market dynamics in Brazil and Japan H1 dynamics H1 Q2 Growth momentum accelerated in second quarter Net sales by business -1% +20% +1% +22%
Page 17
Regional growth led by North America Net sales by region 17 2 in USD billions 0.6 0.7 0.7 0.7 1.5 1.6 Q2 2025 Q2 2026 2.8 3.0 +7% in USD billions H1 dynamics Europe Strong biosimilars performance; generics returned to growth in Q2 International Strong biosimilars performance driven by Rixathon and recent launches. Generics decreased primarily due to active portfolio rationalisation and unfavourable market dynamics in Brazil and Japan North America Performance underpinned by strong biosimilars growth, including Wyost & Jubbonti launches. Generics reflected ongoing competitive pressures, primarily in paclitaxel H1 Q2 1.1 1.3 1.3 1.3 2.8 3.1 H1 2025 H1 2026 5.2 5.8 +5% +3% +1% +15% +5% +3% +18% All growth at constant currencies.
Page 18
H1 2026 Change USD % Change CC % Net sales 5,761 10 5 Core gross profit 2,865 11 6 Core gross-profit margin 49.7% Core EBITDA 1,206 15 9 Core-EBITDA margin 20.9% Core diluted EPS USD 1.71 17 11 Margin improvement driven by favourable sales mix, cost discipline and operating efficiencies 18 2 Summary core P&L in USD millions Favourable net-sales mix driven by double-digit biosimilar growth Core gross-profit margin expansion driven by mix and operating efficiencies despite price erosion Cost discipline supporting continued investment in future growth opportunities CC: constant currencies.
Page 19
Biosimilars momentum and productivity gains support operating-margin growth 19 2 Biosimilars-led mix improvement contributed two percentage points Price erosion reflects short-term market dynamics in Germany and outstanding biosimilar performance in North America Operating efficiencies from manufacturing and supply savings and higher functional- cost leverage % of net sales Core-EBITDA margin H1 2025 2.0% Mix -2.6% Price erosion 1.7% Operating efficiencies -0.2% FX & other H1 2026 20.0% 20.9% +0.9% pts
Page 20
20 Underlying one-off costs in line with expectations 2 in USD millions H1 2026 H1 2025 Manufacturing footprint (41) (54) Transformation (54) (6) Separation (47) (156) Total underlying one-off costs (142) (216) Legal-related (470) 28 Software-implementation-cost- accounting impacts (33) - Underlying one-off costs • Full-year 2026 view unchanged • Underlying one-off costs to decline to USD ~0.3 bn in 2026 Legal-related • Legacy-litigation settlements to resolve all US federal, state government and class- action claims • Includes agreement with 43 US states and territories Note: for a complete reconciliation and full list of adjustments, please refer to the H1 2026 report.
Page 21
Strong operating performance converted into attractive cash generation 21 2 Continued strong management free cash flow Capex expected to peak in current investment cycle Ongoing investments in Slovenia manufacturing and development capabilities H1 2026 free cash flow in USD millions 1,046 9 (91) (183) (278) 503 (296) 207 WC: working capital. FCF: free cash flow. 503 337 Core EBITDA (9) Inventory Other-WC & operating items (314) Interest and taxes (477) Capex Management FCF (166) One-off items Reported FCF 1,206 97 H1 2025
Page 22
Strong liquidity and stable net debt underpin financial flexibility 22 2 Gross debt increased due to Swiss bonds issuances in April 2026 Strong liquidity position provides significant financial flexibility Net debt stable Net debt to core EBITDA ratio of 1.4x (FY 2025: 1.5x) Net debt in USD billions June 2026 FX adjusted June 2026 Reported December 2025 Reported Gross debt 6.0 5.9 5.3 Liquidity 2.3 2.3 1.8 Net debt 3.7 3.5 3.6
Page 23
Maintaining strong investment-grade credit profile 1. As of 30 June 2026.23 2 Positive outlooks from both Moody’s and S&P Extended maturity profile of debt to 2036: average debt- maturity of around five years Annual interest rate on gross debt remains below 4% Credit ratings S&P: BBB Moody’s: Baa2 Targeted leverage Net debt to core EBITDA ratio below 2.0x in mid term Total financial debt incl. current portion by maturity1 in USD millions 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 1,000 500 Dual-tranche CHF bonds of CHF 550 million
Page 24
Mid-to high-single-digit Full-year 2026 guidance confirmed 24 Net-sales growth % at constant currencies Net sales +2% pts Core-EBITDA margin No material impact Price erosion of mid-single digit percentage Foreign-exchange impacts: based on spot rates1 Key assumption Expansion of around 100 basis pointsCore-EBITDA margin % of net sales 2 Note: no material contribution from any potential launch of generic semaglutide expected in 2026. Guidance excludes any impacts of unforeseen events or unconfirmed developments, including imposition of new tariffs emanating from US government. 1. Using recent spot rates and assuming they prevail for rest of year.
Page 25
Wrap-up Richard Saynor Chief Executive Officer
Page 26
26 3H1 performance - accelerating momentum 01 PIPELINE PROGRESS 36 biosimilar assets, GLP-1 regulatory approval in Brazil 02 STRENGTHENED MARKET POSITION #2 provider in North America 03 INCREASING CAPABILITY State-of-the-art Ljubljana development centre 04 FINANCIALS Strong growth, core-EBITDA margin expansion, and confirmation of full-year 2026 guidance
Page 27
01 Maximising value Focus on maximising Sandoz value in its golden decade for biosimilars 02 Hosted in London London Stock Exchange 8 September 2026, 13:30 UK; live webcast access available 03 Engaging with leadership Dedicated opportunity for investors and analysts to engage with Sandoz leadership 27 3Capital Markets Day 2026
Page 28
Questions Richard Saynor Chief Executive Officer Remco Steenbergen Chief Financial Officer
Page 29
Appendix
Page 30
Global biosimilars pipeline Key near-term launches and assets in regulatory review / yet to launch 30 Note: third-party trademarks are property of their respective owners. LoE: loss of exclusivity. 1. Originator sales (LoE-1) from internal analysis & Evaluate Pharma and LoE dates based on external databases e.g. IPD. 1/5 Own/targeted brand Originator net sales targeted (USD bn)1 In-house/partnered Current status LoE1 Herwenda® trastuzumab 2 Partnered Regulatory approval in EU Regulatory submission in US EU: expired US: expired Avzivi® bevacizumab 3 Partnered Regulatory approval in EU Regulatory approval in US EU: expired US: expired Ondibta® glargine 4 Partnered Approved in EU Regulatory submission in US EU: expired US: expired Dazparda® aspart 3 Partnered Approved in EU Regulatory submission in US EU: expired US: expired Bysumlog® lispro 2 Partnered Approved in EU Regulatory submission in US EU: expired US: expired Oncology Endocrinology
Page 31
Global biosimilars pipeline Assets in clinical development 31 Note: third-party trademarks are property of their respective owners. LoE: loss of exclusivity; IV: intravenous. 1. Originator sales (LoE-1) from internal analysis & Evaluate Pharma and LoE dates based on external databases e.g. IPD. 2. Winding down Phase III trial. 3. Modifying integrated Phase I and III trial to become a comparative pharmacokinetic trial. Own/targeted brand Originator net sales targeted (USD bn)1 In-house/partnered Current status LoE1 Keytruda® pembrolizumab IV 27 In-house In clinical development2 EU: 2031 US: 2028 Opdivo® nivolumab IV 9 In-house In clinical development2 EU: 2030 US: 2028 Perjeta® Pertuzumab 4 Partnered In clinical development2 EU: 2025 US: 2025 Tecentriq® Atezolizumab 4 In-house In clinical development3 EU: 2033 US: 2030 Yervoy® ipilimumab 3 Partnered In clinical development EU: 2026 US: 2025 Ocrevus® ocrelizumab IV 5 In-house In clinical development3 EU: 2029 US: 2029 Oncology Neurology 2/5
Page 32
Global biosimilars pipeline Assets in technical development 32 Note: third-party trademarks are property of their respective owners. LoE: loss of exclusivity; SC: sub-cutaneous; HD: high dose. 1. Originator sales (LoE-1) from internal analysis & Evaluate Pharma and LoE dates based on external databases e.g. IPD. Own/targeted brand Originator net sales targeted (USD bn)1 In-house/partnered LoE1 Darzalex® daratumumab SC 19 In-house EU: 2031 US: 2029 Enhertu® trastuzumab deruxtecan 18 In-house EU: 2036 US: 2033 Padcev® enfortumab vedotin 6 In-house EU: 2036 US: 2033 Opdivo Qvantig® nivolumab SC 4 In-house EU: 2030 US: 2028 Skyrizi® risankizumab 33 In-house EU: 2034 US: 2033 Tremfya® guselkumab 9 In-house EU: 2032 US: 2031 Entyvio® vedolizumab 6 Partnered EU: 2026 US: 2026 Eylea HD® aflibercept 8 mg 2 In-house EU: expired US: expired Ocrevus® ocrelizumab SC 5 In-house EU: 2029 US: 2029 Dupixent® dupilumab 26 In-house EU: 2033 US: 2031 Oncology Immunology Ophthalmology Neurology Dermatology 3/5
Page 33
Global biosimilars pipeline Assets in early development 33 Note: third-party trademarks are property of their respective owners. LoE: loss of exclusivity. IV: intravenous; SC: sub-cutaneous. 1. Originator sales (LoE-1) from internal analysis & Evaluate Pharma and LoE dates based on external databases e.g. IPD. Own/targeted brand Originator net sales targeted (USD bn)1 In-house/partnered LoE1 Keytruda Qlex® pembrolizumab SC 8 In-house EU: 2031 US: 2028 Vyvgart®/Vyvgart Hytrulo® efgartigimod alfa IV / SC 15 In-house EU: 2037 US: 2036 Ultomiris® ravulizumab 7 In-house EU: 2035 US: 2035 Takhzyro® lanadelumab 2 In-house EU: 2033 US: 2032 Vabysmo® faricimab 10 In-house EU: 2037 US: 2036 Reblozyl® luspatercept 4 In-house EU: 2034 US: 2033 Tezspire® tezepelumab 5 In-house EU: 2033 US: 2034 Oncology Immunology Ophthalmology Haematology Respiratory 4/5
Page 34
Global biosimilars pipeline Assets in early development 34 Note: third-party trademarks are property of their respective owners. LoE: loss of exclusivity. IV: intravenous; SC: sub-cutaneous. 1. Originator sales (LoE-1) from internal analysis & Evaluate Pharma and LoE dates based on external databases e.g. IPD. 5/5 Own/targeted brand Originator net sales targeted (USD bn)1 In-house/partnered LoE1 Crysvita® burosumab 2 In-house EU: 2033 US: 2032 Winrevair® sotatercept 5 In-house EU: 2039 US: 2041 Saphnelo® anifrolumab 2 In-house EU: 2034 US: 2035 Polivy® polatuzumab vedotin 3 In-house EU: 2033 US: 2033 Oncology Immunology Cardiovascular Endocrinology
Page 35
Upcoming investor events 35 Sandoz Capital Markets Day London 8 September Sandoz H1 European Roadshow London, Zurich, Stockholm 10, 21 & 23 September Morgan Stanley Global Healthcare Conference New York 15 September Sandoz H1 US Roadshow Boston, Chicago 16-17 September UBS Pharma Bus Tour Basel 21 September Bank of America Global Healthcare Conference London 21 September Baader Investment Conference Munich 22 September Sandoz 9M 2026 sales update Basel 28 October
Page 36
Investor Relations contacts 36 Tamara Hackl Silvia Siegfried Senior Director, IR Senior Director, IR Craig Marks Head of IR +44 7818 942 383 +41 79 790 52 17 +41 79 795 90 61 Katie Fischer Coordinator, IR +41 79 500 51 53 investor.relations@sandoz.com
Page 37
Pioneering access for patients