Good morning, good afternoon and good evening to everyone. Thank you for joining us to review Sanofi's first quarter 2023 results followed by a Q&A session. As usual, you can find the slides to this call on the Investors page of our website at sanofi.com. Moving to Slide 3, I would like to remind you that information presented in this call contains forward-looking statements that involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially. I refer you to our Form 20-F document on file with the SEC and also our Document d'Enregistrement Universel for a description of these risk factors. With that, please advance to Slide 4. Our speakers on the call today are Paul Hudson, Chief Executive Officer; Dietmar Berger, Global Head of R&D at Interim, the Global Business Unit Head, Bill Sibold, Thomas Triomphe, Olivier Charmeil and Julie Ongevalle; and Jean-Baptiste de Chatillon, Chief Financial Officer. For the Q&A, you have 2 options to participate. Option 1, click the raise hand icon at the bottom of your screen. Or option 2, submit your questions by clicking the Q&A icon at the bottom of the screen. And with that, I'd like to turn the call over to Paul.

Well, thank you, Eva, and thanks for joining our call today. Together with members of the executive team, I'll take you through Sanofi's business and financial performance in the first quarter of 2023. We had a strong start to the year, reporting first quarter sales of EUR 10.2 billion, an increase of 5.5% and delivering double-digit growth across 3 out of our 4 businesses. Our Specialty Care business continued to grow strongly driven by Dupixent across all geographies, indications and demographics. We also saw good business momentum from launches in the rare disease franchises with Nexviazyme, increasing its patient share in Pompe. The consistent performance in Specialty Care is expected to more than offset the decline of Aubagio following loss of exclusivity, which we expect to become more meaningful throughout the remainder of the year. Vaccines reported a particularly strong quarter as we keep delivering on our COVID-19 contracts in Europe. In addition, sales of travel and endemic vaccines continue to recover post pandemic. In General Medicines, we continue to execute on our strategy by investing in transplants and other growth assets, while rapidly divesting declining noncore products. Our GenMed core assets continued to grow, driven by solid demand. The Consumer Healthcare business delivered double-digit growth in the quarter across key franchises such as Digestive Wellness, Allergy and Cough & Cold. Advancing to Slide 7, I'd like to highlight and provide some context around important achievements of the quarter. We have just launched Altuviiio in the U.S., a best-in-class factor treatment for hemophilia A with the potential to set a new efficacy standard. The rollout is progressing well, and we continue to receive positive feedback from physicians and importantly patient communities. Bill will touch more on this in his section. For fitusiran, the Phase III results were published in the…

Thank you, Paul. Now starting on Slide 10, let me give you some additional insights into the recent progress we have made in advancing our innovative pipeline across core therapeutic areas. We are extremely proud of the progress we've made in immunology with the success of Dupixent and the leadership we have built in type 2 inflammatory diseases. Huge potential remains on Slide 11 to transform the practice of medicine for patients suffering from diseases driven by Type 2 inflammation. We are determined to expand our immunology portfolio beyond type 2 and to drive innovation by deploying disruptive technologies for the development of first and best-in-class medicines. On Slide 12, let me expand on Paul's earlier comments regarding the truly impressive results from BOREAS, a randomized Phase III double-blind, placebo-controlled trial, evaluating the efficacy and safety of Dupixent in 939 adults who were current or former smokers aged 40 to 80 years with moderate to severe COPD. All patients in the BOREAS trial had evidence of type 2 inflammation as measured by blood eosinophils of greater or equal to 300 cells per microliter. Importantly, they all were on triple standard therapy and still had uncontrolled disease. This means they still experience exacerbations and each exacerbations may leave behind permanent irreversible lung damage. During the 52-week treatment period, patients received Dupixent or placebo every 2 weeks added to their triple standard therapy. Double maintenance therapy was allowed if inhaled corticosteroids were contraindicated. Primary and all secondary endpoints of the study were met, validating the role type 2 inflammation plays in driving COPD in these patients. It also underscores Dupixent's unique profile. It is the first and only biologic to demonstrate clinically meaningful and statistically significant reduction in exacerbations compared to placebo. Exacerbations were reduced by 30%, a rate of reduction not…

Thank you, Dietmar. Now looking at our performance in Specialty Care, we had a strong start to the year. As you can see on Slide 19, Specialty Care delivered another quarter of solid double-digit growth with sales of EUR 4.3 billion, representing approximately 42% of total Sanofi sales in Q1. As mentioned by Paul earlier, Dupixent's stellar performance continues to be our core growth driver in 2023. Strong demand for Dupixent from launches in new indications across all geographies drove sales growth in the quarter, adding EUR 700 million in sales when compared to Q1 last year. We remain excited about our momentum in rare diseases, up 14.8%. Strong growth in the first quarter was driven by the launch execution of Nexviazyme and Xenpozyme, the steady increase in patient numbers across geographies as well as some positive phasing effects in the rest of the world region. In Oncology, Sarclisa continued its fast uptake in approved indications in Q1, capturing share in key markets and partially offsetting increased Jevtana competition as well as the deconsolidation of Libtayo. As anticipated, multiple generic versions of Aubagio have entered the U.S. market in the second half of March. We have previously communicated that generic competition is included in our plans, and we continue to expect a meaningful impact on our sales in the U.S. beginning in the second quarter. Now on Slide 20, let's focus on Dupixent. Six years into Dupixent's U.S. launch in its first approved indication, this unique medicine delivered another outstanding performance with 40% growth globally. Sales of EUR 2.3 billion in the first quarter give us great confidence in our ambition to achieve the EUR 10 billion sales milestone for the year 2023. At the same time, we keep making tremendous progress in achieving new development milestones, which will enable…

Thank you, Bill. Vaccine sales in Q1 were up 15% due to strong travel and endemic vaccine sales as they continue to recover and have now almost reached pre-pandemic level. In addition, sales in the other category, benefited from COVID-19 booster shipments, mostly to EU member states. By now, almost all existing COVID-19 countries supply arrangements have been fulfilled. In the PPH franchise, sales decreased 11%, following the discontinuation of the oral polio vaccine at the end of quarter 1 last year in addition to the favorable phasing of IPV. In China, Pentaxim sales grew in the quarter while Vaxelis in the U.S. continues to gain market share at the expense of Pentacel. A reminder, we do not consolidate Vaxelis sales, though it is booked in the line share of profit and loss of associates and JV. As for Influenza, our Q1 sales were up 6%, benefiting from improved time to market in the Southern Hemisphere. As presently mentioned, the relevance of Southern Hemisphere flu to predict the broader Northern Hemisphere season is very limited. With currently many moving parts influencing the flu market dynamic, we will be able to provide you with a flu outlook for the year at the Q2 earnings call. My second slide focuses on Beyfortus and our vaccine R&D engine. Across multiple studies in endpoints, the single dose of Beyfortus demonstrated consistent and high efficacy of around 80% against RSV, lower respiratory tract disease throughout the entire duration of the RSV season. Unlike maternal immunization, Beyfortus is the first and only preventive option designed to protect all infants against RSV regardless of the month of birth. In the U.S., we are progressing on multiple fronts. At the February ACIP meeting, we were encouraged by the committee's positive feedback on Beyfortus efficacy and safety. There was…

Thank you, Thomas. GenMed medicines sales in the first quarter were EUR 3.3 billion. Our core assets grew 1.6%, driven by the double-digit growth of Praluent, Rezurock, Thymoglobulin and Soliqua. Lovenox sales decreased in the quarter due to biosimilar competition and a high base in Q1 2022. Toujeo sales were up 4.4% with a strong performance in Europe and in the U.S. We remain committed to growing our core assets, mid-single-digit CAGR over the period of 2020 to 2025. We expect Lovenox sales will start to stabilize in the second half of 2023. We aim to establish Toujeo as a basal insulin of choice in China, so VBP wave 6 making it an important growth driver in 2023 and beyond. Sales of noncore assets decreased 20.5% in Q1 mainly due to lower Lantus sales and strategic product divestiture. The legacy oncology products were impacted by COVID driven overall slow start to the year in China. The EUROAPI spinoff will annualize in April, and we expect for full year 2023 GenMed sales to decline low single digits versus last year. Now moving to Slide 25. Let me summarize the strategic rationale of the acquisition of Provention Bio that we just closed. Tzield is the first and only disease-modifying treatment for the delay of Stage 3 type 1 diabetes in adults and children throughout starting from 8 years. Type 1 diabetes is a complex and substantial burden of disease on individuals and health care systems alike. Tzield is an innovative, first-in-class therapy with the potential to bring life-changing benefits to people at risk of developing Stage 3 type 1 diabetes, particularly to young people. The median age of diagnosis of type 1 diabetes is 12 to 14 years and life expectancy significantly impacted, reduced by up to 16 years. Less than 20%…

Thank you, Olivier. The OTC market continues to post sustained growth with the progressive conversions to historical growth levels. The growth is primarily driven by price due to the inflationary environment, along with positive volume contribution. The strong Cough & Cold category performance is the key growth driver of the market. In this environment, our absence in key Cough & Cold markets like the U.S. has impacted our growth versus market in recent months, yet our overall performance approximates that of the market. Our success is mainly driven by 3 key levers: first, growth in key categories such as our Digestive Wellness, which delivered another quarter of outstanding growth and continues to outpace well ahead of market. Second, Geo-expansion. Our strategy to expand key brands into new geographies is contributing positive early results. As an example, Allegra launched in the U.K. in February 2022 reached a #2 position in the category within just 9 months. Building on that success, we launched in Germany in January of this year, and we look forward to seeing similar performance there. Third, launching new brands. With the recent approval of Cialis Together in the U.K. We are entering the intimate wellness category, specifically erectile dysfunction. Cialis Together will launch in the second half of this year, bringing a new self-care solution for an estimated 8 million man in the U.K. suffering from erection difficulties. Moving to net sales. I'm proud to share that we have delivered our eighth consecutive quarter of growth. In Q1, we posted plus 11.2% growth versus prior year and actually 12.7% growth when excluding divestments. Most of our categories portfolios posted growth in Q1 with Cough & Cold, Digestive Wellness and Allergy up double digits. Q1 did benefit from higher stock and trade in the U.S. and Brazil ahead of…

Thank you. Thank you very much, Julie. Sanofi recorded a healthy sales growth, 5.5% this quarter, including the one-off payments we received from COVID-19 booster shipment. The gross margin increased 1.9 percentage points due to favorable product mix and was also supported by the EUROAPI deconsolidation. SG&A was up mainly due to launch costs in Specialty Care as well as increased cost for the standalone structure in CHC. We also recorded a high level of capital gains due to product divestment, EUR 75 million more than in the same quarter last year. As a reminder, Dupixent still benefit from the step-up in repayment of upfront development costs. EPS grew 11.9% in the quarter, helped also by increased short-term interest rates on our cash. On Slide 32, I want to take a moment to also look at the new CHC segment reporting. CHC sales were up 11%, also driven by higher stock in trade in advance of a change in ERP system in certain countries as just mentioned by Julie, and the gross margin increased plus 12% in good part due to price increases. Operating costs in CHC were up 10.2% this quarter, mainly driven by R&D cost savings versus last year on a higher standalone cost. The strong seasonality of consumer health drives a high level Q1 margin, even though it is lower than last year due to a lesser positive impact from divestments and higher cost due to the standalone ramp-up. Moving to Slide 33. Earlier this month, we made a significant step towards simplifying our Beyfortus collaboration. As you may recall, under the initial agreement, Sanofi and AZ were sharing the U.S. economics 50-50. AZ had subsequently transferred its economic rights to Sobi under a separate agreement in 2019. Starting Q2 2023, Sanofi will have full commercial control…

We will now open the call for your questions. As a reminder, we would like to ask you to limit your questions to 2 each. For the Q&A, you have 2 options to participate either click the raise hand icon at the bottom of your screen and you will be notified when your line is open to ask your question. At that time, please make sure you unmute your microphone. Or option 2, use the Q&A icon at the bottom of your screen. Can we have the first question?

Yes. First question from Luisa Hector from Berenberg. Luisa?

I wondered whether you could update us on Beyfortus and how price discussions are progressing around Europe. And then thank you for the detailed pipeline update today. It links well to my next question, which is, if we look from next year, we see a very clear runway for your topline in terms of LOEs and then we have the strong growth potential from the marketed assets and you highlight the impressive 10 billion milestone for Dupixent this year. So if we bring that together with the fact that you have expanded your early-stage pipeline significantly, how much confidence do you have that these pipeline assets will be making a meaningful contribution to your topline at the end of the decade?

Okay, Luisa, thank you. Well, maybe I'll start with Thomas on Beyfortus.

Thank you, Luisa, and thank you for starting with Beyfortus. We are very excited about the coming launch of Beyfortus. So where do we stand now? We foresee a launch in 2023, both in North America and in Europe. And that the launch dynamics is very positive. As you have seen during February at the ACIP. I think the burden of disease is very well understood, and there is a clear signal from the committee to move forward for all infant program as soon as 2023. Same thing. We've made great progress with recommendation in Europe. And as you've seen, there has been a couple of regional programs already announced for all infant protection in Spain. Now I think your question was leading more specifically to the pricing discussion. I think the burden of this is being well recognized. Our pricing policy has always been to have a product that is available for all infants. And therefore, we've signaled from the get go that we will go from innovative premium vaccines pricing. This is well understood, and I'm confident we're moving forward properly in this direction for 2023.

Thanks, Thomas and I've been taking phone calls myself from health ministers and others. It's really getting quite exciting. So the broader question is that -- to be honest for me, it's a great question to start because if you look at Beyfortus and the excitement, the excitement Bill showed on Altuviiio, this year alone, 2 first-in-class, best-in-class assets going to be in flight, last meaningful LoE Aubagio. And if you look carefully, I think demos shown also molecule TNF IL-13 TSLP to name just 2 really out of them because they come out of immunology. Our confidence in our ability to deliver these new assets to contribute significantly in the second half of the decade is really high -- I mean really high. You know between [indiscernible] or TNF [indiscernible] that we're going to be in a really strong shape about Tzield. And we say it internally, I'm happy to say it externally, by the end of this year, it's the new sort of steady-state Sanofi, all about launches, all about new data, all about the marketed first-in-class, best-in-class assets and really a new setup, and we build that confidence through this year. I think that's just very exciting. Thank you, actually, for a nice question to start, which is how we feel is how things are coming together, and we feel like we're becoming a very, very different company and still delivering financial performance with whatever else is going on and absorbing that LoE. So it's getting exciting for us.

Next question from Richard Vosser from JPMorgan.

Maybe on the oral anti-TNF, obviously, PSO is a very significant -- or has very significant competition. How do you see the target profile of the product? I mean anti-TNFs injectable have been superseded by other injectables, IL-23 and IL-17. So where do you think this fits? And can it be more efficacious than injectable anti-TNF? And then second question, just one for Thomas, I think, on the flu market. I was intrigued by the moving parts and lots of. So what are the different moving parts that are different this year to other years on the flu market?

I'll maybe start with Thomas and the annual moving parts. So Thomas, over to you.

Early flu season is a new season. Thanks for the question, Richard. As I was mentioning in the call, it's still a bit early given that the strong outlook for the coming Northern Hemisphere flu season due to the moving part. But let me give a bit more color and specificity -- sorry, about what I mean. I think from a tailwinds perspective, on one hand, I see positive momentum in terms of our own execution. When I look at first, the expansion of Efluelda in Europe. And only Efluelda, our best-in-class flu vaccine for seniors. Second point there, the continuous switch that we see of standard dose flu vaccines from trivalent to quadrivalent formulations in sizable volume countries like China or Mexico. And third, positive momentum in terms of execution and the solid ongoing supply execution that I see in our factories. On the other hand, when I look at the headwinds for the first, we have all observed some vaccination fitting in North America. In the U.S. flu vaccination coverage rate more specifically, remains for me the keynote for the coming season. So because of this back-and-forth movements, if you wish, we will give you an outlook more at Q2, including at that time the expected Q3 versus Q4 split for influenza assets.

Thanks, Thomas. I mean let's be clear, we literally played a win on flu every year. There are variables, there are every year, but we'll be well prepared to take advantage of what the opportunities are, we will. Maybe Bill, some headlines on the oral TNF.

Yes. Well, Richard, thank you for the -- thanks for the question. Look, as you know, TNFs have been a mainstay in immunology now for 25 years and we're getting into that range anyways. And the one question people always have is, can you make it a pill? Well, that is -- was the objective, and that appears where we're headed towards. Talking about kind of where the indications, where do you go? I mean, you know where the TNFs are. There's a broad group of indications. Clearly, with a program like this, if it becomes what we hope there would be a plan to go after a broad group of indications, which are, as I said, they're pretty well defined. So really excited about it. Stay tuned. We'll have a little bit more on this at an upcoming meeting in the future.

Yes. Thanks, Bill. I mean I think it's really interesting. I know a lot of companies have tried to make a small molecule type [indiscernible] Bill said. And of course, we think we cracked it, but it's a small study until we get the big data. We look forward to showing the data at the Congress later this year. I think what's really interesting is just on the competitive side, I mean there's -- if the efficacy and safety are right, you can compete with biologics. But remember, there's a big gap between, for example, in psoriasis there are tests and biologics. And tests as a mega blockbuster by being effectively not as good as biologics. It's a step through on the way to something else. So it's a good option for a lot of patients. So you end up with an efficacy somewhere between the 2 and a good tolerability profile, you really go to before everything else. Let's also remind ourselves that I think there are 2 IL-17s and 2 more to launch, an IL-12/23 and everything else are doing very well, all targeting the same effectively the patient population. There is lots of opportunity because biologic eligible penetrations are so low. I think it's 25% of those eligible in psoriasis. So there's an opportunity for everybody and for every patient to get what they need. Let's be clear. if we are ambitious for the product profile, if the profile delivers, it's a big deal. But of course, there's some way to go on that. But I think you appreciate. It's on its own uniquely in terms of what it can do. So we're excited. Maybe we'll share data later this year, as we said, at a congress and I feel we know immunology very well. And so we're in a good spot. Okay. Another question maybe.

The next question is from Peter Verdult from Citi. Peter?

Peter Verdult, Citi. Two questions, please, maybe starting with Julie. It feels a little bit like Groundhog Day when we asked this question, but the Cialis and Tamiflu Rx to OTC switch programs, just checking in to see whether there's been any progress made with the FDA in terms of getting these actually use those started? And then at a more high level, can you discuss the scope for BOI margin expansion at consumer with and without these OTC switches. And then a quick one for Paul, just a high level. Do we need to wait until the second Phase III COPD study before Sanofi provides an update on peak Dupixent sales? And I think -- the reason I'm asking this question, it sort of plays on to what your opening remarks. I mean you are free of LOEs for the rest of the decade after this year. You're offering more attractive growth versus your peers. So I'm just wondering are you now willing to move your sort of midterm targets to more revenue-based targets? Or will you be updating us on a margin basis going forward?

Okay. Peter, excellent questions. I think Julie, maybe we'll start with the update, U.S. Cialis and Tamiflu. And you did touch on it in the U.K. launch, but the U.K. launch is quite important for getting a sense of what the over-the-counter opportunity could be and the appetite to stop there.

We're obviously extremely happy to be able to launch in the U.K. in the coming month. On the U.S., I wish I had more to share if I had, I would. Basically, while we continue to work with the FDA on the OTC approval for Cialis in the U.S., we're advancing on the execution of our strategy to live the clinical hold and including the generation of the necessary data that was requested. So we're still moving. And same actually on Tamiflu, we're still moving as well. There is no specific update on the Tamiflu switch and we continue to work with the FDA to gain the important feedback on our program. So progress, but no new news.

Thanks, Julie. So I think not at risk of repeating myself, but I think we continue to have very active and encouraging dialogue with the FDA. I mean it's been quite a journey, but we still maintain a lot of confidence in getting there. And again, I think the U.K. experience will be a good bellwether to what the market opportunity could be of scale to the size of the U.S. So that's good. That's exciting. Your other question is into one. I mean we -- we -- the COPD data, I think, from what we've shared is extraordinary, and hopefully, we'll see you at ATS and the call will have right after that to go through in some detail. It is game changing. We know that. Look, we've been signaling, we signaled EUR 10 billion back in the day in 2019, and you know there's people smart, and we're going to annualize above that, and we're going to achieve more than that this year. We gave you a way point of EUR 13 billion, I think, plus COPD. And I think later this year, we really want to -- really sit down with everybody and go through the immunology pipeline broadly and really lay out the full data set on some of the assets that we've shared today and some yet to come. And help people understand what is the shape of our immunology piece? And then perhaps what Dupixent will play in that. But it's the overall that we're really very much interested in. As for the -- I think you said when we move to a topline story, I think you said that. I think we have to earn the right for that, to be honest. I think if our science wins out like we would like this year, I think you'll probably tell us before we tell you that you think we have enough going on that's exciting. We -- that's our goal. We just never put a time line on it because we have so much to do. So we will keep doing the job and delivering the guidance until the scientific news flow accumulation is enough for you to all say, we think there's something special going on here. I know it's been a long time coming for us, it feels like it's getting really close in terms of the scientific and news flow and credibility. So thanks for your question, Peter.

The next question is from Graham Parry from BofA. Graham?

So firstly, just going back to COPD. And could you just touch on the ability potentially to file in BOREAS alone? So have you actually met regulators? And is it fair to characterize this as 1 trial with great results. And if you have a highly significant p-value, could that be enough to get it over the line on a single trial given large unmet medical need? And then secondly, on the oral TNF, I just wanted to follow up on, I think it was Richard's question earlier. Just on target product profile, is best case here as good as an injectable TNF? Or are you thinking when you reference biologic-like efficacy, could we even see something in the IL-17 or IL-23 range, and it sounded to me correct me if I'm wrong, that your sort of best base case would be that this sits somewhere between Otezla and injectable TNF on efficacy?

Okay. Well, I'll let you start, Dietmar, with COPD.

Yes, sure. No, the -- thanks for the question, Graham. You've heard already that the BOREAS data is really unprecedented, right? We've spoken to opinion leaders about it and we've spoken to trialists about it. They call it a landmark in COPD treatment, and they actually urge us, right, to move this forward as quickly as possible. So we are obviously having the discussion with the FDA. The early interactions have been encouraging, but we're not going to go beyond that at this point in time. But really, this is a highly, highly interesting data set, and we're trying to bring it to patients as quickly as possible.

Thank you, I mean it is incredible. It's a landmark and I agreed. I like -- I like that word, Dietmar, thank you. And so we really -- we would hope on behalf of patients to make progress, but we take nothing for granted, of course. Bill, I think the second part of the question was around position of the Otezla.

Yes. Target product profile. Yes. Look, Graham, again, a first study small study, big program ahead of us potentially. I think, as Paul laid out, he said, if it were like biologics like efficacy, yes, that -- if you can have that exact level or in the range regardless of the biologic if it's a TNF, that is certainly a winner. But there are lots of steps between there as well that give a lot of flexibility for how this asset can ultimately be positioned. So I think as we're looking through it, it's going to be driven by the data driven by the studies. But we think that just given what we think we have, we've got a big range of potential outcomes that make the target product profile extremely, extremely attractive to the market.

Thanks, Paul. I mean, we'll go through the data later this year. But I think this is what's fascinating. Just to topple that back to Peter's question, maybe Luis' question just a little bit. This is what's so special. I think about the year, we accumulate the science. We pick really smart positioning, particularly of the data this year, where it can help patients with Tzield in flight, Altuviiio, Beyfortus. And I just want to be clear, in case everybody misunderstands, we will do all this and deliver our guidance. That's what we do. There'll be -- I think, earn credibility that we don't miss numbers whilst we reinvent the company. And that's nonnegotiable internally. So I just want to be really strict with me and you that you should expect that deliverable at the same time as hopefully changing the practice of medicine in some of these areas. And that's why it's so exciting in 2023. And the next question.

Next question from Seamus Fernandez from Guggenheim. Seamus?

This is Colleen on for Seamus. On flu, are there any updates to how you feel positioning following some of the competitor updates we've seen? And are you still on track for the mRNA flu candidate to enter Phase III this fall? And are quadrivalent targeting HA sufficient, or could we see a next-gen construct enter the clinic sometime this year? And separately, will the vaccine event this June provide meaningful updates on the path forward and plan for the 21-Valent Pneumococcal?

Okay. You come at it pretty strong there. I was expecting a lowball from [indiscernible], but okay. And Thomas, maybe we will give it to you.

No. So different questions related to flu, I get that part. So on the first part of the question, for the coming flu environment. That's pretty much what we're seeing before. We believe we have definitely the right assets. You know that Efluelda, as we said, called in Europe, is doing very well. We want to make sure that we keep our strategy of changing the standard of care in the 65 plus. That's extremely important. And that journey is ongoing in North America and in Europe, as you know very well. Execution is strong. Now we need to see where is the U.S. VCR. The second part of your question was much more related to the future of flu, mRNA flu, where are we? You've seen that some others have disclosed some results that are not convincing in terms of really challenging the standard of care. So as you alluded to, I think, in your question, you have part of the answer in the fact that we are going to have a vaccine event on June 29. And our goal, as I was sharing in the call before, is really to show you a significant amount of data. It will include RSV both Beyfortus and the RSV tolerant clinical data. It will include mRNA flu. It will include -- you are leading to it, our clinical conjugate 21,000 program as well as meningitis vaccine program, which people may not have realized, but we're going to have also some data to share there. So it's going to be a very complete review of our portfolio. So I really come and see the date set there. We feel very strong in terms of the progress we have made on R&D in the vaccine space, and we really want to share that with you. That will include mRNA flu and that will include PCV21.

Thank you, Tom. That's June the 29.

June the 29, indeed, in London, physical presence is much better because you can ask all the questions and more.

Relax. I'll take it apparently, Thomas. Okay. So next question, please.

Next question from Jo Walton from Credit Suisse. Jo?

We've talked a lot about R&D, and I do have one R&D question, but I'd like to go back to the outlook for the new commercial products. It's very difficult for us to assess how quickly we might see the uptake of something like Beyfortus or even Altuviiio because we have to think that some of the sales will presumably come from Eloctate. But the consensus at the moment, the company provided consensus for this year is around EUR 130 million for Altuviiio rising to EUR 370 million next year. And for Beyfortus, EUR 170 million this year rising to EUR 480 next year. I'm just wondering if you feel that together, we've got the sort of the cadence of that right appreciating that these will be very big products. There'll be a lot of focus on the speed at which you'll be able to do that ramp. And my second question is about the RIP kinase. So you're talking about those. You've now got at least 3 different RIP kinase drugs entering the clinic. Can you tell us what's different about them? Is there -- are you able to tweak them so that one is uniquely suitable for ALS and one is uniquely suitable for other conditions? Or why do you need so many of them?

Okay. Thanks, Jo. Well, then maybe there's 2 components to that. We're not going to comment on consensus for sure. We work hard to positively do a good job, but we can't comment on those numbers. Maybe, Thomas, a sort of feel for what you could expect from shape of curve if not numbers themselves.

So definitely not specific numbers, but there are a few things, as alluded to for the first question, I think, which was from Luisa. In terms of the qualitative part, clearly, we are all lined up to be ready to launch in 2023 in North America and in Europe. And so when it comes to North America, it's all about registration and it's CIP mean incoming as well as the inclusion of the product into VFC. If you remember that the inclusion to VFC is an important part for the curve definition of the U.S. program. Feeling strong in Europe with what we've seen in terms of recommendation. Now you know very well that having said that, for both North America and Europe, we are talking about changing national immunization calendar. And you also know that for -- like for every vaccines, even though it's a not antibody, it's used like vaccines -- it's appreciated like vaccines and it's goes very well on that pathway. So as for any vaccine that is being launched, there is a progressive uptake just because you're in preventive measures and we can in practice, practice after practice, which takes a bit of time. But again, feeling confident about moving forward on the trajectory of the launch, North America and Europe.

Yes. Thanks, Tom. We're obviously well prepared. There's a great deal of interest, fair to say. I think some of the interest, of course, is around the fact that it's quite unique that it would -- the value proposition is almost in the very first season. I think that's why we're seeing this level of excitement that is a bit different.

It's unique, and I really invite you to go at the ESPID, European Pediatric Infectious Disease Society Congress in May because, again, we need to remember that this is the #1 cause of hospitalization in newborns in those geographies. And you're going to see a first significant dataset in terms of efficacy against hospitalization for those newborns. So interesting data that you need really to have a look at, which is promising when it comes to those.

Yes, but I think that's why it is difficult to be precise. And I think that's why Jo's question is quite important because there's a real appetite, but there's still some unknowns. So we just -- the guidelines on one hand, there's also a shortage of pediatric ICU that's in general in that time, in that seasonal time. So we will see...

And as you've seen, from day one, we can solve these.

Well, I think that's an exciting thing. It's really about organization and Bill, Altuviiio?

Yes. Thanks, Jo. So Altuviiio, our first-in-class high sustained Factor VIII replacement therapy, we are really, really excited about that. Just to kind of go back a little bit to some of the comments made in the opening remarks. The switches that we're seeing and it's going to be a switch -- it's going to be switch product, right? People are going to be coming to it. We think, initially, it's going to be from the other factor products. However, what we're seeing in the early switch data is we're getting Hemlibra patients as well. Eloctate will absolutely be impacted as it should as all factors should because this is, we believe, just a far better product offering and potentially a new level of efficacy. So early feedback is very strong from the community. Physicians are excited. Patients are excited and they are depending on the practice, thinking about how to switch patients, either as patients are coming into their visits. Some are a little bit more proactive than that. We're still really early but incredibly encouraged. And just as we think about the sizes of the markets here, the hemophilia A non-inhibitor markets in about that EUR 8 billion range, and we expect it to grow to over EUR 10 billion. And of that EUR 8 billion, about EUR 5 billion of that is factor. So if you think of -- and that's on a global scale, and about 50% of that is U.S. related. So you think of those -- that opportunity with a product like this, and we see a very significant opportunity with Altuviiio.

Thank you. Dietmar. RIP kinase?

Yes. RIP kinase, thanks for paying attention to our portfolio really closely, right? The RIP kinase is an important pathway in an important inflammation pathway. It's involved in neurodegeneration, neuroinflammation also other types of inflammatory diseases. It's different from necrosis or apoptosis. We feel it's an important pathway to explore both from a research perspective and from a clinical perspective. And at this point, we have 2 RIP kinase inhibitors in the clinic, not 3, 2. We've spoken during this call about SAR120, right, which is the one that we're testing in ALS in amyotrophic lateral sclerosis and also in MS. We have a different molecule, SAR122 in immunology that you're also testing in different immunological indications. And obviously, we need 2 molecules because you require different pharmacological properties in these different types of diseases, for example, when it comes to brain penetrants, et cetera, et cetera. So I hope that answers the question.

Yes. Thank you, Dietmar. And Jo, thank you, right? Great to get a question about 2 launches in our pipeline. That's how we sort of like it.

Next question from David Risinger from SVB. David?

Great. So congrats on the progress, and thank you for the pipeline commentary and plans for additional pipeline updates this year. I have 2 questions. First, with respect to the tolebrutinib liver tox concerns, I'm sure the company must be frustrated that the FDA hasn't lifted the partial clinical hold after receiving the additional data. Is there any additional color you can provide about what concerns persist for the FDA? And what that may mean for the potential approvability of the drug? And then with respect to the PCV21 update on June 29. Obviously, you have the adult Phase II data in hand, but should we expect infant data as well?

Okay. Maybe [indiscernible] FDA partial hold, Dietmar?

Yes. Thanks for the question. So the FDA partial hold is still in place. But let me first say, it really only affects recruitment into the PERSEUS study, only into the PERSEUS study in the U.S. The other trials that we have, 3 out of 4 trials that we have in MS are fully recruited. And we're working to address the issues raised by the FDA, right? We continue to work closely with them. What they're looking for, obviously, is further understanding of the patient population, working closely to do that. We have our program ongoing with regards to a safe initiation of the drug with regards to really close monitoring. We have not seen any new cases of liver toxicity in the same way since we introduced that level of monitoring, which is important to understand, obviously, FDA is looking for more data on that. And FDA is also looking eventually then for benefit risk information, which we will have at the time when we will read out the study. In addition, what's important to understand is we just presented that data, and I also talked about it during the presentation here, that tolebrutinib is a potent drug. It acts fast. At the same time, we have these data about drug-induced liver injury and really rare cases of that drug-induced liver injury across different BTK inhibitor, which seems to really underline it. It appears that this drug-induced liver injury is more of a class effect and is not linked to potency. That's important also as -- we are the only company at this point that has studies in the progressive setting and especially in the SPMS setting where no other treatment for these patients is available at this point in time. So we are really confident about the potential of tolebrutinib, and we're really looking forward to work with FDA on the future of tolebrutinib in these patients.

Yes. I think it's worth adding is that, of course, that when you see partial hold, you automatically assume studies are stopped and milestones are missed. As Dietmar said, just not the case. Three studies fully enrolled and will be event-driven. So unlike pretty much everybody else, we're enrolled and the PERSEUS study, the primary progress study still recruiting excess, as you said. So our program is pretty much exactly where we needed to be. So I think there's -- we always get question about partial. What's more important probably is that before we get the readouts is that we have fully understood with the FDA, how to initiate a BTKI because that's going to be important. And as you said, after the change of protocol, no new cases. So it's quite clear that there are ways of doing monitoring. And then as you add the way of evidence, particularly SPMS, secondary progressive disease, which nobody has studied. It's worth us, I think, taking our time with the regulator to reach the very best outcome in anticipation of the results. Our time lines did not change, did not change at all. I think that's really important for everybody in there. So we're optimistic, and we really think of the other data that keeps amassing around how potent and effective this could be. And we now know that, that appears to be unrelated to safety. That really starts to get very compelling. Thomas, PCV21?

In shorter response, David, yes, 75% or more actually market is in pediatric. So we wouldn't want you to come in London on June 29 and be disappointed by not seeing pediatric data for PCV21. So yes.

Yes. Great. We're looking forward to seeing you, David in London at the meeting. Okay. Next question.

Next question from Gary Steventon from Exane. Gary?

So first, just a follow-up on tolebrutinib. You mentioned earlier, you see the observed liver tox and a class effect. So can you just talk to how you view perhaps the predictability and management of those events? And maybe any views you have on whether you think or have feedback that there may be any perceived impact on uptake or perception from neurologists? That's the first question. And then secondly, one on Tzield and the provention deal, please. So you flagged the up to EUR 2 billion of sales potential. So could you just help us understand how you split that between the opportunity and delaying the onset of Stage 3 type 1 versus the PROTECT opportunity? Big potential market, but screening and awareness are more challenging. So also any color on how you've addressed those points in that figure would also be helpful, too.

Look, I'll come to Olivier in a moment, and I think we've covered tolebrutinib perhaps a little bit back and forth, but it's not uncommon for monitoring initiation in MS, right? I think there's many drugs that have had that -- what matters is that you have great efficacy data and that it's worth monitoring. And so we know that's early monitoring at the early stage. That's what we're working through. As Dietmar said, there's been no new cases. So it would -- it's quite an interesting time for tolebrutinib because we look forward to the data. That's going to be the next most important thing. And then we'll share with you how we hope to approach the monitoring. But frankly, if the efficacy data is what we hope the monitoring is really not a barrier to uptake. Olivier, any news on Tzield and where you see that.

So we are thrilled now to bring on board Tzield within GenMed. We, of course, as you know, have been working in the last few months on a co-promotion agreement, and we have been impressed by the reception I've talked myself to many key opinion leaders and the feedback is very positive. We have always been very clear that for the first indication, the delay onset of Stage 3 for patients that are in Stage 2. We have always been very clear that it's going to be a slow burn, is going to be about a progressive screening. But what is amazing is that in the last few months, and we have seen that in the U.S. but also in other parts of the world and specifically in Europe. It's clear that there was no incentive to screen both young kids or young adolescents because there was no medicine. And we see a lot of traction now in the -- and momentum around screening. So this will take some time. On our hand, now we are going to focus for first, of course, not on general population, but we are going to focus on the first degree relative where the rebalance is 10x that in general population. So for us today is a great day, as the deal was just being closed. Regarding the second indication, which is a PROTECT study, we made our offer based on the first indication. So any good news on PROTECT would be, of course, an upside. Of course, with regard to PROTECT, it's about the delay in -- it's about early intervention for people that have been identified as having Type 1 diabetes. So the population is much more well defined. And yes, we are talking about 60,000 to 65,000 new incidents and new patients are getting type 1 diabetes. And of course, we would like to get a share of that part.

Thank you, Olivier. And I think you said it. But to be clear, there's really nothing coming to compete in the class or in this patient population. But before us, maybe at some point in our future, we'll see, but at least this decade, which gives us time to do the work to make sure that we get those patients who need it. So it's exciting -- it's exciting. And the another question maybe?

Yes. Next question from Emily Field from Barclays.

Maybe I'll just ask a quick one on financials. I was noting the slight improvement in gross margin that's expected for the year inside of the Aubagio LoE, I mean I believe consensus had been modeling for a little bit of compression. So maybe just any details on the driver of that? Is that just operating leverage from the growth of Dupixent or some of the new manufacturing process? Any color you could give would be great.

Okay. Thank you, JB, maybe you want to comment?

Thank you for the question. As I said, there are some pushes on June 23. And we are launching, we have a very good start in the year. But you're right. Of course, the growth of Dupixent will, of course, help grow profitability and take us to a nice place in spite of the LoE of Aubagio that will kick in from Q2 onwards. So nice situation. On the gross margin, it's mainly linked to this balance, which goes in the right direction. We are pursuing all our efforts to be able to finance more R&D. So efficiencies are still being delivered by all departments in the company.

Thank you. Jean-Baptiste. Next question.

Yes. Next question is from Peter Welford from Jefferies. Peter?

And just 2 quick ones. Firstly, just on the oral TNF again. Obviously, one of the indications where we are seeing oral TNF still be used and actually not facing the same competition as HS, where I think you've also got some other programs looking at as well. I was curious to get why necessarily the focus on psoriasis, which is a pretty competitive market. And again not some other potential statements as there are where perhaps less competition about the more amenable, therefore, put you to be an early entrant. And then just going back to the vaccines event again. I just wonder if you can just outline with regards to the 21-valent PCV vaccine. And will we get data, will where you look at as usual, as often with its early stage these data sets, it's highly extrapolatable to the commercial setting? And how you just talk about then the strains you're particularly looking at. How should we compare this to some of the other vaccines that are in development well that have higher valencies than past '21? I know you take advantage you're looking to get there.

Okay. Thomas, vaccine event on June, the 29.

I see we are starting to raise some interest, which is good news. When it comes to PCV21, our goal, to be very clear, is to -- because you're already alluding, Peter, to the competitive space. Our goal here is to be the first pediatric registered and used more conjugate vaccines with more than 20 valencies. And that's why we want to share with you at this event our Phase II data. Of course, it will include the strains, the results of those, our position and what are the next steps. So we really believe that it's going to be a competitive asset. Of course, we keep monitoring the environment. We know very well who are the payers, where are they going and what are their present cons. And we'd be happy to elaborate more together on June 29 on those.

And Peter, then back to your original question on -- or the first part of question, the oral TNF. I just think -- I think you said why do we start with psoriasis. I think -- just 2 things, one interest and maybe another disappoint. There is -- the biologic penetration of these incredibly distressing illnesses is still less than 30%. So even if there are 6, 7, 8 biologics, patients need something else or patients may not want to go to injectable, whatever it may be. That's why all of these medicines tend to do pretty well, some do better than others. When we embarked on the program with the oral TNF, one of the reasons we chose psoriasis is because from a proof of mechanism, we can move really quickly. If you start with an RA study, it takes longer. And so we wanted to see quickly whether we could be in the biologic ballpark and have the right safety in patients where it would be explicit and not even patient reported. So we're -- that's why we started there. But I think what it tells you -- I should tell you, I'm trying to remember the exact word on the slide that we started -- we start in psoriasis, I think that's how we say it, because our ambition and we'll update you as we go forward, is to go beyond it. Of course, our profile has to deliver. We have to feel confident. But I think you have to imagine, Peter, that if the profile holds together through a succession of TNF currently treated diseases, we should go there. So we -- give us a bit of time, and it's a good opportunity, I think, at an event in the second half of the year for us to update you very specifically about what that could mean. So thanks for question, it's an important question, but hopefully, it's just the beginning. Eva, where are we, near the end?

So we're near the end, but we have a question that came in online from Florence Cespedes on 2 questions. The first one is on Zantac. Could we have a quick update on the cases and the arbitration with BI? And the second one is on the ILR-13 TSLP. Why are you confident to show benefit with this product when RostanIF13 in 2017 with lebrikizumab.

Okay. Well, I would love to take the second part of that question. But Roy, maybe you have to take the first part of the first question on Zantac.

On the Zantac cases, you've seen the MDL ruling on Zantac, which we're very pleased with. And of course, we agree with. There are a number of cases now in state courts, where there are less cases here and there. We are not a defendant in all of those cases that are scheduled this year. I guess we'll be up next year. We're encouraged by the decision in [indiscernible] and hope that everything ends up that way, which is where we feel very strongly. On the arbitration, as you know, we have been expecting the outcome of this for a while now. We do believe it's going to be out in the coming weeks. What's more important is that given the strength of our case as proven by the overwhelming scientific evidence, we feel that regardless of the outcome of the arbitration, the potential exposure for Sanofi is manageable in the usual course of business, and it's not going to be something that will impact our delivery of our strategies or the pipelines that you have today.

Thanks, Roy. So regardless of the outcome of arbitration, we feel that it's absorbable in the normal course of business. I think an important point for everybody because as these things are, we get an announcement we put it out. I'd like people to anchor to what we've said today. So Roy, thank you very much for sharing that. It's, I guess, a nice last question, IL-13 TSLP. We -- I think the comment was about another medicine that had not done too well, I can't remember, maybe it was an IL-13. We know IL-13s worked quite well in AD quite well, better with an IL-4. We know they don't work so well in asthma. We know reciprocally TSLP works quite well in asthma, but it doesn't really work in AD. So one of the benefits of this nanobody excellence that we have is potentially creating a unique moment for almost potentially a synergistic effect, and we'll see. And we just look to ourselves to say, as I said earlier, there's room for many biologics in these diseases, number one. But number two, we set a high bar on our profile. And if we land it, then it's really compelling. I think maybe the difference to this to some other diseases is we know both those pathways have drugs that are approved for different diseases. So we know that the risk is a lot less, technically as long as our nanobody can really deliver. And if there is a synergistic benefit, then we're really in a good spot. It is, right? But if we're there, then there's a high degree of confidence. So we will see, and we will share data at the upcoming congress, Dietmer.

We'll share data at ATS, right? As we said during the presentation, we have the data in-house, right? We're moving into Phase II and on top of what Paul has said, which I absolutely agree to right, these are de-risked pathways where we have data in -- with the individual molecules. We have data in-house, and those data give us a lot of confidence.

Well, Dietmar, wow, I love it. Good place to finish. So maybe just -- I know people will be dropping off and have other places to be. But just while I can say it, back to Luisa's question, we did -- it's an important year for us. Scientific news flow is building really credible interesting first-in-class, best-in-class science, 2 best-in-class, first-in-class launches. The last LoE behind us by the end of the year and still putting together without wavering commitment to deliver guidance. So it's a good moment to reflect on how far we've come and proud of the team and the work done. But if you're looking at us carefully, I think you can feel [ Audio Gap ]. I look forward to rushing quickly through '23 and show people what we're capable of. So thanks, everybody, for connecting.