Slide 1: Royalty Pharma
ROYALTY PHARMA
Slide 2: Corporate Presentation August 2025
Corporate Presentation August 2025
Slide 3: Forward looking statements & Non-GAAP Measures
Forward looking statements & Non-GAAP Measures This presentation has been prepared by Royalty Pharma plc (the “Company”), is made for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy securities. The information set forth herein does not purpor
Slide 4: Our vision and mission
Our vision Our mission To be the leading partner By collaborating to funding innovation accelerate innovation, in life sciences we enable our partners to transform patient lives 4
Slide 5: Royalty Pharma: A unique way to invest in biopharma
Royalty Pharma: A unique way to invest in biopharma (Nasdaq: RPRX) Market leader and pioneer Compounding growth through value creation 29 ~56% 10%+ Low-teens years of compounding value share of pharmaceutical top-line CAGR expected % average unlevered IRR over royalty market(1) over this decade(2) m
Slide 6: Deep network across the biopharma ecosystem
Deep network across the biopharma ecosystem Leading provider of funding solutions for life sciences innovation Small / mid-cap biotechnology Global pharmaceuticals Academic institutions Non-profits 6
Slide 7: Advancing our partners' core mission with win-win solutions
Advancing our partners’ core mission with win-win solutions Structure Potential benefits to partner • Diversification of asset portfolio Existing • Non-dilutive funding for business growth and investment royalties • Upfront capital today in exchange for a long-dated stream of payments • Funding for
Slide 8: Simple and efficient business model focused on cash flow
Simple and efficient business model focused on cash flow Funding to Biopharma partners Return of capital New royalty (Dividends and share Sales of leading repurchases) therapies acquisitions Portfolio Cash generated % of sales Receipts(1) for deployment (“top-line”) Diversified portfolio of royaltie
Slide 9: Royalty Pharma is now an integrated public company
Royalty Pharma is now an integrated public company Externally managed from 1996 – May 2025 Previous structure Current structure Management fee ~6.5% of Portfolio Receipts(1) Integrated public company public private Significant cash savings Royalty Royalty Enhances returns Manager Strengthens alignme
Slide 10: Multiple benefits from internalizing the Manager
Multiple benefits from internalizing the Manager Benefits Cash savings are expected to be >$100m in 2026 and >$175m in 2030, compared to status quo, with cumulative savings of Savings >$1.6bn over ten years Financial Returns Extinguishment of the management fee enhances returns to shareholders on in
Slide 11: Strengthening alignment with shareholders
Strengthening alignment with shareholders Transaction results in significantly greater portion of management compensation in equity Current Post-internalization Equity received from internalization vests over 5 years Cash 2026 estimated compensation mix(1) CEO Cash Equity Equity Vast majority of equ
Slide 12: Internalization expected to result in significant cash savings
Internalization expected to result in significant cash savings Acquired the Manager for ~$1.1bn total consideration Benefits include significant savings expected to grow over time Cumulative cash savings >$1.6bn and growing Consideration Amount Details Cash ~$100m(1) - Annual savings of >$175m Assum
Slide 13: Internalization savings to drive increased Portfolio Cash Flow
Internalization savings to drive increased Portfolio Cash Flow % % % % $ in millions Q42025 Q2 2023 Change PR FY 2024 Change PR Internalization impact Royalty Receipts(1) 672 +11% 2,771 +13% No impact Milestones & other contractual 56 n/a 31 -95% No impact receipts(1) Portfolio Receipts 727 +20% 2,8
Slide 14: Delivering double-digit growth on average since IPO
Delivering double-digit growth on average since IPO Royalty Receipts (year/year growth; $ in millions) +15% +12% +8% +13% +11% +12% +15% +12% $788 +14% $732 $729 +11% +10% $705 +9% $672 +6% $651 +11% +16% +9% +12% $616 $637 $593 +7% $605 +14% +10% $581 $584 +35% $537 +11% $545 +12% +11% $500 $530 $5
Slide 15: Track record of delivering strong growth
Track record of delivering strong growth Portfolio Receipts(1) Capital Deployment (annual average) ~2.7x +59% $2.8bn $2.39bn $1.51bn $1.05bn 2012 2024 2012-2018 2019-2024 See slide 65 for additional information. 1. Portfolio Receipts for periods 2020 and earlier are pro forma for current non-control
Slide 16: Innovative business model supports biopharma ecosystem
Innovative business model supports biopharma ecosystem Fund Structure Ongoing Business Ongoing Business Public Company (IPO) in June 2020 1996 to 2003 2004 to 2011 2012 to 2020 Inaugural Bond Issuance in August 2020(1) 1.0 2.0 3.0 4.0 • Funded only with equity • Lowered cost of capital with • Develo
Slide 17: Internalizing the Manager is the next step in our evolution
Internalizing the Manager is the next step in our evolution Royalty Pharma evolution (1996 to present) Externally Integrated public managed company Expanded public investment company Ongoing scope business Fund Completed internalization in Q2 2025 structure 1996 to 2003 2004 to 2011 2012 to 2020 202
Slide 18: Strong competitive moat in biopharma royalty funding
Strong competitive moat in biopharma royalty funding Business model Scale Platform • Publicly traded company • Portfolio >45 products • Long-tenured team • Long royalty durations • Large investment capacity • Singular biopharma focus • ~7-8% cost of capital • Deep capital markets access • Long colla
Slide 19: Industry fragmentation and complexity drive royalty creation
Industry fragmentation and complexity drive royalty creation Academia / non-profit e Lic ns en (>5,000 labs) Lice se ies Ro alt yal Roy ties Large Pharma Biotechs Synthetic Synthetic royalties, royalties (~25 companies) (>8,000 companies) L&D capital Royalties L ic e nse & Partner, M&A L&D: launch &
Slide 20: Global funding of life sciences R&D
Global funding of life sciences R&D Cumulative R&D spend over next decade Global pharma market(2) >$100 billion annually >$1 trillion(1) by Third-party royalties academic, Third-party royalties non-profits (>5,000 labs) >$2 trillion(2) >$1 trillion Biopharma >$2 trillion by revenues (2035e) by profi
Slide 21: Royalty Pharma is the leader in royalty transactions
Royalty Pharma is the leader in royalty transactions Biopharma royalty market size and share by transaction value, 2012-2025 YTD(1) $18bn $12bn $27bn 7% 11% 83% 77% 21% 19% 53% 47% 26% 20% <$250m $250-500m >$500m Royalty Pharma #2 royalty buyer Other royalty buyer Royalty Pharma has maintained a maj
Slide 22: Royalty Pharma dominates large royalty transactions
Royalty Pharma dominates large royalty transactions Royalty transactions ≥$500m Market share of deals ≥$500m (announced value; $ in millions) (by count) Lead product Acquiror Post-IPO Transaction size Trikafta(1) 3,352 Tysabri 2,850 Trelegy(3) 1,653 Tremfya(4) 1,575 Evrysdi 1,500 Keytruda Other 1,29
Slide 23: Long duration portfolio consistently replenished
Long duration portfolio consistently replenished Duration of portfolio Duration of royalties acquired Duration of portfolio (At IPO) 2020-2024 (Today) (by present value) (by present value) (by present value) Beyond Beyond Beyond 2030 2030 2030 ~70% + ~95% = >90% ~13 year weighted average royalty por
Slide 24: Strong early performance from recent transactions
Strong early performance from recent transactions(1) Percent change in 2025 consensus sales(2) since acquisition Development-stage therapies (Transactions since 2020; approved therapies) (Transactions since 2020; select events) Therapy Indication Event Status 103% ecopipam Tourette’s syndrome Phase
Slide 25: Industry leading exposure to blockbuster products
Industry leading exposure to blockbuster products ~1.7x 15 9 Sales of $1-3bn(1) Sales >$3bn(1) ` Biopharma peers (median) Portfolio includes premier products and franchises backed by strong support from marketers Biopharma peers consist of Eli Lilly, Johnson & Johnson, Merck, Pfizer, AbbVie, Bristol
Slide 26: Unique ability to invest in multiple products in the same class
Unique ability to invest in multiple products in the same class Lipoprotein(a) Hematology Anti-TNFs olpasiran pelacarsen Cardiology Immunology Spinal Muscular Atrophy Multiple sclerosis Rare Disease Neuroscience frexalimab Royalty Prostate cancer Pharma Migraine Oncology Diabetes HIV Schizophrenia V
Slide 27: Repeat transactions highlight value of Royalty Pharma partnership
Repeat transactions highlight value of Royalty Pharma partnership , , aficamten, omecamtiv, CK-586 $300m total funding $1.16bn total funding Up to $1.13bn total funding Up to $2.15bn total funding 2x 2023, 2024 2x 2020, 2024 3x 2017, 2022, 2024 3x 2020, 2023, 2024 Fumapharm , BCX10013 , Zavzpret Up
Slide 28: Deploying substantial capital with repeat partners
Deploying substantial capital with repeat partners Multiple benefits to long-term partnerships Capital deployed with repeat partners (~$18bn of announced transaction value since 2020) Speed of Information execution edge Ability to transact Potentially in-depth quickly given strong access to product
Slide 29: Participating in most important waves of biopharma innovation
Participating in most important waves of biopharma innovation daraxonrasib – pancreatic cancer litifilimab - lupus aficamten - oHCM Next exciting wave frexalimab - MS trontinemab - AD of biopharma innovation pelacarsen/olpasiran - CV disease Cobenfy - schizophrenia Voranigo - brain cancer Trikafta -
Slide 30: Synthetic royalties are an attractive funding modality
Synthetic royalties are an attractive funding modality Benefits to biopharma partner Royalty Debt Equity Non-dilutive to equity / preserves equity upside Customized and tailored funding solutions Independent validation of therapy’s value to patients Share risk of development and/or commercialization
Slide 31: Synthetic royalty opportunity is large and rapidly growing
Synthetic royalty opportunity is large and rapidly growing Biotech industry funding(1,2) Record year for RP synthetic royalty transactions Past 5 years: >$310bn (Announced value)(3) ~2.5x Convertible Debt Existing royalties Private Credit Synthetic Royalties $925m (~3%) $775m $664m Licensing deals (
Slide 32: Providing needed capital for M&A transactions
Providing needed capital for M&A transactions Mid-cap M&A Large pharma M&A Divestitures Cash flow constraints historically Non-strategic assets at target Increasing FTC scrutiny of M&A Challenge have meant equity is the primary companies may significantly transactions may reduce funding source incre
Slide 33: New funding paradigm emerging for biopharma
New funding paradigm emerging for biopharma Company % capital raised Total Significant benefits of diversified capital ~$5.1bn(1) Financial flexibility tailored to company’s needs 43% Scale of capital needed may only be available through diversified sources 27% ~$4.2bn(2) Optionality during all mark
Slide 34: Unique Research & Investments team and process
Unique Research & Investments team and process Pioneering the royalty One Royalty Pharma team at the Open business model: tailored market for 29 years center of every transaction solutions and true partnerships Innovating new funding solutions, Long-tenured expert team Proud of partnerships that gro
Slide 35: Our framework focuses on key product success factors
Our framework focuses on key product success factors Strong Significant impact Conviction in probability of Mission and Strong marketer and scientific on patients and/or clinical and regulatory success execution-oriented global commercial rationale caregivers for pre-approval programs management tea
Slide 36: One Royalty Pharma team at the center of every transaction
One Royalty Pharma team at the center of every transaction Traditional business development Royalty Pharma process Business Corporate • Executive leadership R&D Commercial Legal Royalty Pharma • Research & Investments(1) Development M&A Deal Team • Legal Identify & Structure & Identify & Structure &
Slide 37: Extensive due diligence process sharpened over decades
Extensive due diligence process sharpened over decades Clinical Regulatory, IP, Commercial Contracts, Manufacturing Governance Physician diligence Non-clinical Intellectual property Claims analysis Market sizing Transactional • US/EU/Japan • Pharmacokinetics • US/EU/Japan and other • Patient diagnos
Slide 38: Leveraging the best internal and external expertise available
Leveraging the best internal and external expertise available Internal team(1) External support (# of employees) (# of experts) 4 86 9 49 aficamten Amplifying our team with 7 ~18x 87 the best external advice average available to drive high multiplier conviction investments 4 77 BCX9930 Paused projec
Slide 39: Our ambitious vision for Strategy & Analytics
Our ambitious vision for Strategy & Analytics Strategic search and evaluation Data and analytics Development Therapeutic area Monitoring Clinical trial meta- Medical claims Real world Sales & marketing Payor & formulary landscape scanning mapping emerging science analysis and design analysis evidenc
Slide 40: Announced $2.8 billion of royalty transactions in 2024
Announced $2.8 billion of royalty transactions in 2024 2024 Royalty Pharma investment activity >440 initial reviews 153 CDAs signed 99 in-depth reviews frexalimab aficamten 42 proposals submitted ecopipam CK-586 deucrictibant omecamtiv Executed 8 transactions for $2.8bn Maintained strong financial d
Slide 41: Strong Royalty Pharma pipeline trends given market backdrop
Strong Royalty Pharma pipeline trends given market backdrop Opportunity set increasing Robust royalty acquisition activity Initial reviews In-depth reviews +120% +147% >440 >400 99 93 >350 >300 >265 70 61 >200 50 40 2019 2020 2021 2022 2023 2024 2019 2020 2021 2022 2023 2024 Pre-IPO Post-IPO 41
Slide 42: Significant growth and diversity of development-stage pipeline
Significant growth and diversity of development-stage pipeline Pipeline evolution since IPO Strong diversity of pipeline Annual Capital Deployment (by number of therapies) (by number of therapies)(1) (~$25bn in cumulative Capital Deployment) 0 >5x Immunology 100% 64% 16 Rare disease Cardiology 9 Can
Slide 43: Strong track record of investing in development-stage therapies
Strong track record of investing in development-stage therapies Capital Deployment on development-stage therapies(1, 2) (since 2012) • Invested ~$10bn in development-stage Approved since acquisition therapies since 2012 7% Not ▪ Require strong proof of concept data approved ▪ Broad landscape of oppo
Slide 44: Unique and powerful approach to development-stage investing
Unique and powerful approach to development-stage investing Product selection Deal structure Post proof of concept with strong evidence of Risk mitigation strategies through clinical & regulatory clinical efficacy and safety milestones, royalty tiering, option periods, etc. Approach Partnering direc
Slide 45: On track to meet or exceed 5-year capital deployment target
On track to meet or exceed 5-year capital deployment target Investing in approved and development-stage royalties 5-year capital deployment target(3,4) (Transactions announced since January 1, 2022) (Transaction value; since January 1, 2022) 15 Approved ~$12.4bn Transaction value ($ in bn) $10-12bn
Slide 46: Important events expected over the next 12-18 months
Important events expected over the next 12-18 months 2025 2026 Select recent and expected upcoming events Q2 Q3 Q4 trontinemab Phase 1/2b results for Alzheimer’s disease(1) trontinemab Phase 3 “Go” achieved (TRONTIER 1 and 2)(2) Trodelvy, Keytruda Phase 3 results for 1L mTNBC (ASCENT-04)(3) Trodelvy
Slide 47: Big products with world class marketers and large royalties
Big products with world class marketers and large royalties Potential first- or Potential peak sales Potential peak Expected Therapy Lead indication Marketer best-in-class (non risk adjusted)(1) royalties launch year(2) frexalimab multiple sclerosis Sanofi >$5bn >$400m 2028 olpasiran cardiovascular
Slide 48: Capital allocation framework guides decisions
Capital allocation framework guides decisions Royalty Pharma’s capital allocation framework Substantial share repurchases in H1 2025 More attractive royalty opportunities Return of capital: ~$1.26bn Balanced approach More capital deployed Dividends Capital between royalties and on royalties $259m De
Slide 49: Balancing acquiring royalties and increasing return of capital
Balancing acquiring royalties and increasing return of capital Capital Deployment Share repurchases Dividend • Capital Deployment guidance of $2.0- • Board authorized new $3bn share • Current dividend of $0.88 annually, $2.5bn per year repurchase program ~2.4% dividend yield • Target returns maintai
Slide 50: Consistently attractive returns amplified by conservative leverage
Consistently attractive returns amplified by conservative leverage Royalty Pharma target returns Leverage benefit to target returns 25 High teens to low 20s % 20 Low teens Benefit of Teens % blended % conservative Low teens % 15 leverage average returns(1) High-single to low-double-digit % 10 Roughl
Slide 51: What does $1bn of investment mean for future top-line?
What does $1bn of investment mean for future top-line? Representative annual Portfolio Receipts(1,2) (“top-line”) from $1bn of investment - based on blend of historical acquisitions (As of May 2022 Investor Day) $300m Period of accelerated growth Period of reduced growth in latter- during product la
Slide 52: Well positioned in evolving interest rate environment
Well positioned in evolving interest rate environment Existing capital structure Future investments Long duration, low-cost debt an underappreciated asset Higher risk-adjusted returns • Fixed weighted-average coupon of ~3.1% • Higher royalty return expectations in on $7.8bn of investment grade bonds
Slide 53: Continuing to create value in changing market environment
Continuing to create value in changing market environment Lower interest rates Higher interest rates (2012-2021) (2022-today) Returns above cost of capital remain attractive with spreads maintained ~7-8% Adstiladrin (2) ~6% (1) Cost of Debt: ~5 - 7% Cost of Debt: ~3 - 4.5% Cost of capital Value crea
Slide 54: Maximizing industry strengths and minimizing challenges
Maximizing industry strengths and minimizing challenges Maximizing • Exposure to transformative therapies • Revenue and profit diversification • Therapeutic area breadth • Long weighted average portfolio duration Minimizing • Consistent and sustainable growth • Management team continuity • Early-sta
Slide 55: A unique way to invest in biopharma
A unique way to invest in biopharma Large biopharma(1) Growth Maximizing 2020-2030 top-line(2) CAGR 10% or more(2) ~5.6%(3) Scale Number of blockbusters(4) 15 9 Cost of capital Estimated WACC ~7-8% ~7-8% Post proof-of-concept to Pre-clinical to Risk Stage of development approved approved Return Hist
Slide 56: A simple investment proposition in a highly complex industry
A simple investment proposition in a highly complex industry Successful biopharma investing is extremely complex offers a simple solution Efficient business of collecting share of top- Drug line revenues on leading products pricing Competition, Legal innovation Strong track record of product selecti
Slide 57: Appendix
Appendix ROYALTY PHARMA
Slide 58: CF to remain important contributor regardless of triple scenario
CF to remain important contributor regardless of triple scenario Triple combination 2030 franchise sales Scenarios Components blended royalty(1) (As of August 8, 2023) 2030 PR from CF(3) Duration(4) Status quo elexacaftor ivacaftor tezacaftor ~9% ~$11.5bn ~$900m 2037 Vertex consensus(2) from ~$750m
Slide 59: Base business and deal activity expected to power growth
Base business and deal activity expected to power growth Portfolio Receipts evolution through 2030(1) Confident in sustaining double-digit growth CAGR(1) (2030 growth target provided at May 2022 Investor Day) • 2030 Portfolio Receipts target of >$4.7bn (2020-2030 CAGR 10%+ >10%) driven by base busin
Slide 60: Detailed calculation assumptions for CF triple scenarios
Detailed calculation assumptions for CF triple scenarios 2030 franchise sales Scenarios Product Blended royalty(1) Sales split (As of August 8, 2023) Royalty Receipts NCI % 2030 PR from CF(3) Status quo (Trikafta only) ~9% 100% ~$11.5bn(2) ~$1,050m (13%) ~$900m Trikafta ~9% 50% Alyftrek ~8% 50% $13b
Slide 61: Potential royalties on ~50 projects in late-stage development
Potential royalties on ~50 projects in late-stage development Phase 2 Phase 3 Registration CK-586 tulmimetostat (CPI-0209) omecamtiv mecarbil pelacarsen olpasiran aficamten Heart failure Blood cancer, solid tumors Heart failure Cardiovascular disease Cardiovascular disease oHCM Initial indication tr
Slide 62: Updates to non-GAAP measures
Updates to non-GAAP measures Previous New Comments Calculation of Portfolio Receipts will result in the same total as under Maximizing Adjusted Cash Receipts Portfolio Receipts previous presentation of Adjusted Cash Receipts (Non-GAAP) Individual royalties to be reported net of legacy non-controllin
Slide 63: Royalty Pharma Liquidity Summary
Royalty Pharma Liquidity Summary $ in millions FY 2024 FY 2023 FY 2022 FY 2021 FY 2020 FY 2019 (PF)(1) Portfolio Receipts 2,801 3,049 2,789 2,129 1,800 1,776 Payments for operating and professional costs (236) (243) (223) (185) (180) (145) Adjusted EBITDA (non-GAAP) 2,565 2,806 2,566 1,944 1,621 1,6
Slide 64: Royalty Pharma GAAP to non-GAAP reconciliations
Royalty Pharma GAAP to non-GAAP reconciliations $ in millions FY 2024 FY 2023 FY 2022 FY 2021 FY 2020 FY 2019 (PF)(1) Net cash provided by operating activities (GAAP) 2,769 2,988 2,144 2,018 2,035 1,673 Adjustments: Proceeds from available for sales debt securities 20 1 542 63 3 150 Distributions fr
Slide 65: Footnotes
Footnotes (1) To aid in comparability, growth in 2020 is calculated based on pro forma 2019 results, which adjusts certain cash flow line items as if Royalty Pharma’s Reorganization Transactions (as described in the Company’s final prospectus filed with the SEC on June 17, 2020 (“Prospectus”) and it