“For OI&E, we now expect annual income of approximately $250 million due to higher-than-anticipated royalties and favorable interest income and we're maintaining our full year tax rate guidance of approximately 18%.”

In context

“les of approximately $3 billion. We maintain our gross margin guidance at approximately 72% as some of our high-margin legacy brands are expected to continue to decline through the second half of the year. and Eliquis revenues to be more evenly phased throughout the year. We are adjusting our operating expense guidance to increase slightly to approximately $16.5 billion, reflecting investment behind recent business development deals, and additional investment opportunities within our growth portfolio. As previously guided, our operating expenses are anticipated to be higher in the second half of the year compared to the first half, reflecting timing of investments, including the recently signed BD deals. Our operating margin target of approximately 37% for the full year remains unchanged. For OI&E, we now expect annual income of approximately $250 million due to higher-than-anticipated royalties and favorable interest income and we're maintaining our full year tax rate guidance of approximately 18%. As a result of the strong performance year-to-date when excluding acquired and process R&D charges, the midpoint of our 2025 non-GAAP EPS guidance would have increased approximately $0.20 per share. After including these charges of $0.57 per share, primarily related to the BioNTech partnership, our expected EPS for 2025 is now projected to be between $6.35 and $6.65. This increase reflects a strong performance of our growth portfolio as well as better-than-anticipated sales from our legacy portfolio and accommodates recent business development and other growth-oriented investments. All in all, I'm pleased with the performance of the business year-to-date. I'd like to thank our colleagues around the world for their continued focus and execution. With that, I'll turn it back to Chuck to sta”