1Q call highlights

研报英文原文证据摘录

1Q call highlights

Flash Note Health Care | Pharmaceuticals/Specialty

May 12, 2026

Halozyme Therapeutics, Inc Michael DiFiore, Pharm.D. 212-446-9485

HALO | $66.41 Michael.DiFiore@EvercoreISI.com

Outperform | Target Price/Base Case: $88.00

Commentary

HALO reported a solid 1Q yesterday after the close. Top and bottom line both came in +6%

ahead of Street estimates, with the topline beat being driven by product sales (royalty revenues

were in-line). Both FY26 and long-term guidance were reiterated. Mgmt. authorized a new $1B

share repurchase plan, $400M of which is expected to be deployed this year and none of which

is included in the current FY26 EPS guidance.

HALO seems very confident they could exceed their initial # of expected deals this

year –> 1-3 for ENHANZE + 1-2 for Hypercon.

- 1 ENHANZE deal already achieved w/GSK. HALO couldn’t comment on the

exclusivity status.

- 2 Hypercon deals with VRTX, Oruka were established in 2Q.

- HALO partly attributes the notable uptick in activity due to less MFN/IRA overhang

concerns among partner companies.

Mgmt. continues to lean into HALO’s longevity > 2029: 66% of royalty revenues from

HALO’s 10 current products out to 2032 are yet-to-be-realized.

- Reflects their projections of revenues for royalty streams during this time period. 25%

has already been generated through 2025.

Additionally, 13 new ENHANZE products are expected to be in development by YE’26

and should start to launch in 2029. Even though HALO’s COM IP expires in 2029, these

products will likely be protected by co-formulation IP, which often extends royalty terms

> the 10y minimum (could be up to 20y from filing), and in some cases, preserves original

royalty rates (no step down).

- 9/13 are currently in the clinic, including 1 undisclosed.