Luke Miels: Yes sure. Thanks. Thanks Emma. Thanks Peter. Look stocking levels are about 20% of what we’ve sold in. And if you remember we had that initial loading with the launch as you’d expect, you need to fill the shelves. But yes, now we’re at steady state. I think I agree with you in terms of shifting away from — I think we’re increasingly confident this is not going to be a seasonal vaccine and we’re working very hard to do that. I think the third is in data that we’ll get — in the middle of the year will also help to cement that. In terms of contract, as you can imagine, I’m going to be a little bit coy there because as we’ve said on the past call, people get up early to listen to these calls. So — but I would say we’re very pleased with the launch so far and the 2023 performance.
But our mindset is this is the first round of a multi-round fight. And in 2024 of course we’ve got a third boxer jumping into the ring to make things interesting. So, we’re very focused on it. We’re very confident and I think we’ve shown that we can compete with the best and our aim is to have another good year in 2024.
Emma Walmsley: Thanks Luke. Tony for oncology?
Tony Wood: Yes. Hi Peter. So, just to reiterate, first of all, Blenrep is not in the projections. For Jemperli as you’ve called out there are two areas and the way to think about this is the continued development of value from Jemperli in areas where the underpinning genetics of the cancer support its activity, for example, building on the results that we have with RUBY and looking at other areas which MMR or MSI high status are likely to generate transformative results. In addition we’ve taken a careful look back on what we might call opportunities for which the PD-1 class is showing some effect, but adjustments in the approach would deliver potential differentiated — long-term differentiated efficacy for Jemperli that would be in the third line head and neck.
And then broadly speaking, which — and you’ll hear more about this towards the end of the year is the data that we have in the CD226 as it begin to mature and we hold mid-management session is going to be associated with exploring our combinations with TIGIT in particular and that’s a question of how those data play out in lung and other opportunities like head and neck.
Emma Walmsley: Thanks, Tony. Next question please?
Nick Stone: Okay. So we’re going to take our next question from Jo Walton at UBS. Jo, over to you, please.
Emma Walmsley: Jo?
Nick Stone: You are silent or on mute at the moment, Jo. I’ll come back to you Jo. Bear with me. We’ll take our next question from James Gordon at JPMorgan. James, over to you, please.
James Gordon: Hello. James Gordon, JPMorgan. Thanks for taking the questions. First question was just about Arexvy and about the revaccination data that I think we’re going to get in the first half. So, I remember, one year there wasn’t a revaccination benefit even though the protection had fallen quite a long way. So my question is confidence that we are going to see a strong benefit and how strong a benefit do you need to see? What would be a clinically meaningful benefit that would justify vaccinating people at two years? And is it right that the 26% assumption is that there is a strong benefit from revaccinating people? So that’s the first question please. Second question was just on the longer-term margin. So I saw the comment about broadly stable operating margin and as Dolutegravir goes away and I understand it’s partly about productivity gains.
But can you just remind us — what is the headwind, how much are you losing? So I think when you did break out before in Dolutegravir when it was really just Dolutegravir, it was a margin north of 70%. And presumably the margin will be even higher as that business has grown and you’ve got more operating leverage. So, is that right that you’ll be losing a business that’s more than 70% EBIT margin when it goes away? And is part of it that you think there’s going to be a new pipeline that’s going to come in at a similarly high margin? Or am I overestimating the profitability you lose?
Emma Walmsley: Thanks, Jim. So we’ll come to Julie to give you a response on the building blocks to the margin. But first, Tony to comment on revaccination. And just to be clear the ’26 outlooks we haven’t given the specific ’26 outlook, but RSV. We’ve given the peak year sales for RSV and overall vaccines growth upgraded outlook to ’26 as well. But this is obviously a key asset and very excited with the efficacy of more data to come. So, Tony?
