Elanco Animal Health Incorporated (NYSE:ELAN) Q4 2022 Earnings Call Transcript

Operator: We have no further questions in queue. I would like to turn the call back over to Jeff Simmons for closing remarks.

Jeff Simmons: Okay. Very briefly. Thank you for your time today. Coming off from a challenging environment in 2022, maybe 3 points to close as this next area of innovation and growth is really in front of us here in Elanco. We do see this challenging environment persisting into the first half of this year that came from ’22 into ’23, but I really leave it with one. We do have confidence in this ’23 guide that was shared our guidance. We do see our business returning to growth in the second half. But when we back up and look at the overall macro environment, our assumptions, it gives us confidence, we believe, that this guidance is the right guidance. And then second is really the 23 proof points. As highlighted, just in summary, sequential improvements in sell-out data, China returning to growth, OTC, early signals as well as FX.

And then the big drivers that will offset this environment is innovation, 2 to 3 percentage points of growth, price more than 2 and supply being better. And then I really end with the third point, which is just really the next area of innovation growth. Over the next 2 months we finish up the system, stand up, which really takes the complexity out of Elanco and really allows us to lean into this pipeline. 6 blockbusters as we add Bovaer now with a path to the first half of 2024, and that will again open the door for the next era of innovation and growth. So thank you for your time today. We look forward to engaging with you as we go through the quarter. Thank you.

Operator: This concludes today’s conference call. Thank you for your participation. You may now disconnect.