“We remain committed to achieving the expected $5.7 billion total net savings from our cost realignment program by 2026, at which time we will have met our savings commitment under the program.”

In context

“re based on current valuations of individual assets, overall, the Seagen portfolio is progressing ahead of our expectations. These decisions highlight our focus on delivering future growth as well as innovation. We are on track to deliver the majority of the anticipated $7.2 billion in total net cost savings from our productivity programs by 2026. We expect additional savings of $700 million in 2026 and $200 million in 2027 from phase one of the manufacturing program for a total of $1.5 billion in savings by 2027. In addition, we exceeded our savings target through 2025 from our cost realignment program. And as previously communicated, the R&D savings achieved in 2025 under the cost realignment program are expected to be reinvested in 2026 and are reflected in our 2026 R&D guidance range. We remain committed to achieving the expected $5.7 billion total net savings from our cost realignment program by 2026, at which time we will have met our savings commitment under the program. Going forward, we will continue to focus on identifying further productivity opportunities and efficiencies. Let me quickly touch upon our capital allocation strategy, which is designed to enhance long-term shareholder value. Our strategy consists of maintaining and over the long term growing our dividend, reinvesting in our business at the appropriate level of financial return, and in the future, the potential to make value-enhancing share repurchases. In 2025, we returned $9.8 billion to shareholders via the quarterly dividend, invested $10.4 billion in internal R&D, and invested approximately $8.8 billion in business development transactions, primarily reflecting the Metcera acquisition and the 3S bio licensing deal. As a reminder, our leverage is expected to end 2025 at near our 2.7x”