Profitability Delayed, but Royalty Streams & Catalysts Keep Us at Buy

Research evidence excerpt

Profitability Delayed, but Royalty Streams & Catalysts Keep Us at Buy

France | Pharmaceuticals

Medincell EquityJuneResearch24, 2026

TARGET CHANGEProfitability Delayed, but Royalty Streams &

RATING BUYCatalysts Keep Us at Buy

PRICE €25.06^

We update our model following FY25-26 results, delaying operational

profitability to FY27-28 (from FY26-27 prior), accounting for more adverse PRICE TARGET | % TO PT €38.00 (€43.00) | +52%

FX and higher OpEx, for PT -12%. We remain constructive, with LAI 52W HIGH-LOW €39.68 - €15.39

olanzapine FDA PDUFA 10 Oct in schizophrenia a key inflection point for FLOAT (%) | ADV MM (USD) 88.3% | 3.06

the stock, where potential REMS-free approval could unlock a material MARKET CAP €899.7M | $1.0B

commercial opportunity. We also think Teva could raise 2026 Uzedy sales TICKER MEDCL FP ^Prior trading day's closing price unless otherwise

guide to $280-300m from $250-280m. noted.

Path to profitability tangible, but delayed: Following FY25-26 results, we push out our FY (Mar) CHANGE TO JEFe JEF vs CONS

estimate for operational profitability from second semester of FY26-27 to FY27-28, most likely 2026 2027 2026 2027

falling in the second semester (Oct 2027 to March 2028). This reflects a number of moving REV -37% -14% NM -15%

parts including: 1) Anticipated increased OpEx to support investments in pipeline and new

EPS NA NA NA NA

formulations of BEPO; 2) Sustained USD weakness, weighting on reported Uzedy royalties in

€m; and 3) Lower near-term revenue visibility, particularly around the pace of Uzedy ramp and FactSet consensus as of 23 June 2026

timing of additional contributions. Despite these factors, we believe Teva could increase its

2026 Uzedy sales guide from $250-280m to around $280-300m, although possibly still below