Royalty Pharma (RPRX) Q2 FY2022 earnings: revenue $536 million, down 3.4% on the year

Royalty Pharma plc (RPRX) reported revenue of $536 million for Q2 FY2022, the quarter ended 30 June 2022, down 3.4% on the same quarter a year earlier. Net income was $305 million, down 30.9% on the year, and diluted earnings per share $0.70. The figures are the company's own, from the 10-Q it filed with the SEC on 4 August 2022.

Revenue$536 milliondown 3.4%

Net income$305 milliondown 30.9%

Diluted EPS$0.70

QuarterQ2 FY2022ended 30 June 2022

The quarter, against the one before and a year earlier

Line	Q2 FY2022	Q1 FY2022	A year earlier	Change on the year
Revenue	536	562	n/a	n/a
Research and development	0.6	100	n/a	n/a
Operating income	378	220	n/a	n/a
Operating margin	70.5%	39.1%	n/a
Interest expense	47.0	47.1	n/a	n/a
Pre-tax income	492	128	n/a	n/a
Income tax	0.0	0.0	n/a	n/a
Effective tax rate	0.0%	0.0%	n/a
Net income	305	51.8	n/a	n/a
Net margin	56.8%	9.2%	n/a
Diluted EPS	$0.70	$0.12	n/a	n/a

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow and capital returned

Line	Q2 FY2022	Q1 FY2022	A year earlier	Change on the year
Operating cash flow	575	460	n/a	n/a
Cash from investing	-30.2	11.2	n/a	n/a
Cash from financing	-228	-221	n/a	n/a
Share-based compensation	0.5	0.5	n/a	n/a
Dividend per share	$0.19	$0.19	n/a	n/a
Diluted shares, weighted	607m	607m	n/a	n/a

Cash flow lines for the quarter; where the company files them year to date, the quarter is the difference between two filings.

Balance sheet at quarter end

Line	Q2 FY2022	Q1 FY2022	A year earlier	Change on the year
Shareholders' equity	10,408	10,142	n/a	n/a
Debt	7,106	7,101	n/a	n/a
Other liabilities	226	136	n/a	n/a
Total liabilities and equity	17,740	17,379	n/a	n/a
Intangible assets	0.0	0.0	n/a	n/a
Investments	427	304	n/a	n/a
Cash and equivalents	2,108	1,792	n/a	n/a
Other assets	15,206	15,283	n/a	n/a
Total assets	17,740	17,379	n/a	n/a

Questions

What was Royalty Pharma's revenue in Q2 FY2022?

Royalty Pharma (RPRX) reported revenue of $536 million for Q2 FY2022, the quarter ended 30 June 2022, down 3.4% on the same quarter a year earlier.

How much did Royalty Pharma earn in Q2 FY2022?

Net income for Q2 FY2022 was $305 million, down 30.9% on the year, and diluted earnings per share $0.70.

When did Royalty Pharma report Q2 FY2022 results?

Royalty Pharma filed its 10-Q for the quarter ended 30 June 2022 with the SEC on 4 August 2022.

Quarterly results, the last 20 quarters

	Q3 FY2021	Q4 FY2021 *	Q1 FY2022	Q2 FY2022	Q3 FY2022	Q4 FY2022 *	Q1 FY2023	Q2 FY2023	Q3 FY2023	Q4 FY2023 *	Q1 FY2024	Q2 FY2024	Q3 FY2024	Q4 FY2024 *	Q1 FY2025 †	Q2 FY2025 †	Q3 FY2025	Q4 FY2025 *	Q1 FY2026	Q2 FY2026
Revenue	586	576	562	536	573	566	684	538	536	596	568	537	565	594	568	579	609	622	631	674
R&D	90.5	104	100	0.6	25.5	50.5	0.5	0.5	50.5	0.5	0.5	0.5	0.5	0.5	50.5	300	50.5	50.5	39.8	97.9
Operating income	303	153	220	378	192	-483	479	249	151	613	-73.8	270	735	362	534	210	427	388	563	133
Operating margin	52%	27%	39%	70%	34%	-85%	70%	46%	28%	103%	-13%	50%	130%	61%	94%	36%	70%	62%	89%	20%
Interest expense	44.3	47.0	47.1	47.0	47.0	47.0	47.0	46.9	46.0	47.3	44.2	49.0	66.5	65.8	65.3	68.7	79.6	94.2	93.7	93.6
Pre-tax income	222	53.7	128	492	220	-610	509	351	122	718	-4.3	194	806	334	434	92.6	444	356	468	81.5
Tax rate	0%	0%	0%	0%	0%	n/a	0%	0%	0%	0%	n/a	0%	0%	0%	0%	0%	0%	0%	0%	0%
Net income	102	7.9	51.8	305	143	-456	341	228	72.1	494	4.8	102	544	208	239	32.2	288	214	295	17.9
Net margin	17%	1%	9%	57%	25%	-81%	50%	42%	13%	83%	1%	19%	96%	35%	42%	6%	47%	34%	47%	3%
Diluted EPS	$0.24	-$0.01	$0.12	$0.70	$0.32	n/a	$0.76	$0.50	$0.16	$1.11	$0.01	$0.23	$1.21	$0.46	$0.55	$0.07	$0.67	$0.49	$0.67	$0.04
Operating cash flow	470	490	460	575	539	570	1,034	608	574	773	665	658	704	743	596	364	703	827	718	728
Buybacks	n/a	n/a	n/a	n/a	0.0	n/a	n/a	n/a	140	n/a	0.0	80.0	97.0	52.6	709	292	146	80.5	50.1	44.6
Filing	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q	10-Q	10-K	10-Q	10-Q

Each quarter as filed, linked to its filing.

* The fourth quarter is the full year less the first three quarters, because the company files the year and not the quarter on its own. A blank figure marked on a quarter is one the filings do not give on their own: the quarters as filed do not add to the year the company filed, or the year and its quarters stand on different share counts. Each quarter's page says which. A quarter marked † is shown as the company last restated it in a later filing, so it compares with the quarters around it on one basis; rest on a figure for the one first filed. EPS is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and the share count are as they are. Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Cash flow lines filed year to date are the difference between two filings. Shares outstanding are at the period end where the balance sheet tags them, otherwise the count on the filing's cover page. A derived fourth-quarter EPS is left blank when a split in the year makes the arithmetic meaningless.

10-Q for the period ended 30 June 2022, filed 4 August 2022: the filing.