1

FIRST QUARTER 2020 REPORT PRESENTATIONThomas Eldered, CEO

Tobias Hägglöv, CFO

3

ROBUST START TO 2020ADAPTED BUSINESS AND DELIVERED PROFITABLE ORGANIC GROWTH

10.3%EBITA margin

267MSEK EBITA

43%Sales increase

1.8

2.6

Q1 19 Q2 Q3 Q4 Q1 20

Net salesSEK bn

171

267

Q1 19 Q2 Q3 Q4 Q1 20

EBITASEK m

Net sales of SEK 2,593 m, +43%

EBITA SEK 267 m, +56%

EBITA margin 10.3% (9.4)

Profit after tax SEK -230.4 m (79 m) reflecting acquisition and integration

Strong liquidity position SEK 1,437 m

4

CONTINUED OPERATIONAL PROGRESSINTEGRATING CONSORT WHILST MANAGING THE CHALLENGES OF COVID-19

Completed strategic acquisition of Consort Medical, consolidating our top 5 global status, integration progressing to plan

Rapidly adapted business operations and supply chains to minimise impact from effects of COVID-19

Internal reorganisation to four strategic segments completed

Delivered strong organic growth in three of the four segments against strong comparables

Double digit organic growth in Steriles from volume gains in lyophilised injectables and blow-fill-seal products

Oral Solids performed well; won additional contracts but suboptimal operating conditions as a result of COVID-19

Advanced Delivery Systems margin growth significantly ahead of sales growth offsetting sales rephasing and supply chain delays

Development and Licensing growth resulted from higher own product sales offset by decline in development services as a result of COVID-19

DEVELOPMENT & LICENSINGSOLIDS & OTHERS

Sales +12% EBITA +27%

STERILESADVANCED

DELIVERY SYSTEMS

Sales +49% EBITA +13%

Sales +120% EBITA +169%

Sales +23% EBITA +3%

5

DEEPENED GEOGRAPHIC FOOTPRINTSALES GROWTH Q1 2020

FRANCE +3%

Fontaine

Kaysersberg

Monts

Pessac

ITALY +26%

Brescia

Lainate

Masate

Paderno Dugnano

Pianezza

PORTUGAL +18%

Odivelas

Queluz

USA +96%

Research Triangle Park

SWEDEN +16%

Stockholm

Höganäs

Karlskoga

Solna

Strängnäs

Uppsala

Uppsala

ISRAEL +57%

Ness Ziona

INDIA +3%

Bengaluru

Karnal & Paonta Sahib

Manufacturing Development

EUROPE

UK +189%

Cambridge

Cramlington

Holmes Chapel

Kings’s Lynn

Milton Keynes

Nelson

Queenborough

GERMANY +179%

Monheim

Wasserburg

Zwickau

SPAIN -7%

Leganés

Parets Device development and manufacturing

6

COVID-19 RESPONSETHE ONGOING PANDEMIC PROVIDES UNCERTAINTY AND SHORT-TERM HEADWINDS

• Employee safety is the top priority; safety protocols enhanced

• No visitor and non-essential access to sites

• Video quality audit procedure launched

• Sub-optimal conditions in almost all factories

• Elevated levels of absenteeism, compensated by overtime

• Reorganized workflows to maximize social distancing

• Unplanned disruptions of work processes curtailing efficient execution

• Poor availability of consultants and technical support

• Temporary suspensions of manufacturing

• Transport disturbances and raw material supply delays

• Consort integration and synergy gain at slower pace but still on track to be achieved latest Q2 2021

• Recovery of the Cramlington site from incident mid 2019 will take longer

• Development projects have been postponed or cancelled

• However, most issues have been successfully mitigated

• Health care support opportunities

7

Annual savings

SEK 125m synergies

CONSORT INTEGRATION AND SYNERGIES

Integration programme prime objectives

Ensure Business Continuity post acquisition

Define and implement the new operating model

Identify and implement cost synergy savings, latest Q2 2021

Explore commercial synergies

Progress

Company delisted

Key stakeholder communication

Former Aesica businesses re-branded and operating according to Recipharm model

HQ and Aesica divisional personnel costs will be realised in Q3

Identifying savings on track – minor effect already in Q1 and total will be backloaded

Next phase focus areas

Procurement

IT

HR activities

8

CONSOLIDATING OUR GLOBAL POSITIONCREATED A LEADER IN INTEGRATED ADVANCED DELIVERY SYSTEMS

Completed acquisition of Consort Medical in February 2020

Progressing first phase of integration, delivering against 60 day plan to ensure continuity of business

Defined new operating model and identified cost and revenue synergy opportunities

Extensive group-wide customer engagement, demonstrating new and more innovative product proposition

Refined management and reporting structure to better align business for growth and drive synergy capture

Well positioned to take advantage of the many growth opportunities seen by the enlarged group

9

WELL POSITIONED FOR CONTINUED GROWTHSTRONG FOUNDATIONS

• As a leading CDMO, expertise and foundations allowed us to navigate a dynamic and

challenging Q1 and deliver organic growth

• Rapidly responded to short term challenges presented by Coronavirus

• adapted operations to ensure the health and safety of our work force

• controlled costs

• invested in our supply chain to meet our customers’ demand

• Notwithstanding short-term situation, CDMO Industry remains robust and is

underpinned by strong fundamentals

• Organisation is scaled and structured to execute against our long-term growth

strategy

• Still seeing many new opportunities to drive growth, profitability and materially

deleverage post acquisition

• Preparation for previously announced equity issues ongoing

10

FINANCIALS

Tobias Hägglöv, CFO

11

P&L DEVELOPMENT

*) Defined as Operating Cash Flow, including working capital changes and maintenance investments

MSEK Q1 2020 Q1 2019 2019 FY

Net sales 2,593 1,812 7,457

Organic 4% 2% 5%

Acquired 37% 14% 9%

Currency 2% 4% 3%

EBITA 267 171 788

EBITA margin 10.3% 9.4% 10.6%

Free Cash flow*) -91 168 374

Core EPS 1.56 1.27 7.09

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NEW SEGMENTS FROM Q1, 2020

STERILES

DEVELOPMENT & LICENSING SOLIDS & OTHERS

ADVANCED DELIVERY SYSTEMS

13

EBITA BRIDGE Q1 Y-O-Y

MSEK

307 354307

0

50

100

150

200

250

300

EBITA Q1 2019 AdvancedDeliverySystems

Steriles Solids & Others Development &Licensing

Discontinuedoperations

Other EBITA Q1 2020

267

171

+57

- 3+8 +15

+47+62

+133

+2

14

ADVANCED DELIVERY SYSTEMS

EBITA BRIDGE, JAN – MAR

SALES BRIDGE, JAN – MAR

MSEK EBITA

2019 37

Currency 3

Acquisitions 54

Organic 6

Total 62

2020 99

Sales, MSEK Sales, %

2019 229

Currency 7 3

Acquisitions 316 138

Organic -47 -20

Total 276 120

2020 505

0

100

200

300

400

500

600

Q1 2019 Currency Acquisitions Organicgrowth

Q1 2020

0

20

40

60

80

100

120

Q1 2019 Currency Acquisitions Organic Q1 2020

15

MANUFACTURING SERVICES – STERILES

EBITA BRIDGE, JAN – MAR

SALES BRIDGE, JAN – MAR

MSEK EBITA

2019 48

Currency 2

Acquisitions -

Organic 11

Total 13

2020 61

Sales, MSEK Sales, %

2019 588

Currency 16 3

Acquisitions - -

Organic 57 10

Total 73 12

2020 660400

500

600

700

Q1 2019 Currency Organic growth Q1 2020

0

20

40

60

80

Q1 2019 Currency Organic Q1 2020

16

MANUFACTURING SERVICES – SOLIDS & OTHERS

SALES BRIDGE, JAN – MAR

EBITA BRIDGE, JAN - MAR

Sales, MSEK Sales, %

2019 692

Currency 11 2

Acquisitions 321 46

Organic 9 1

Total 341 49

2020 1,034

MSEK EBITA

2019 60

Currency 1

Acquisitions 14

Organic -7

Total 8

2020 68

400

500

600

700

800

900

1 000

1 100

Q1 2019 Currency Acquisitions Organic

growth

Q1 2020

0

10

20

30

40

50

60

70

80

Q1 2019 Currency Acquisitions Organic Q1 2020

17

DEVELOPMENT & LICENSING

SALES BRIDGE, JAN – MAR

EBITA BRIDGE, JAN – MAR

Sales, MSEK Sales, %

2019 264

Currency 6 2

Acquisitions 35 13

Organic 20 8

Total 61 23

2020 325

MSEK EBITA

2019 72

Currency 1

Acquisitions 1

Organic 0

Total 2

2020 74

0

100

200

300

Q1 2019 Currency Acquisitions Organic

growth

Q1 2020

40

50

60

70

80

Q1 2019 Currency Acquisitions Organic Q1 2020

18

FINANCE NET

• Interest-expense increase due to higher volumes

• FX impact of -53 MSEK

• Non-recurring items of -36 MSEK

Finance Net (MSEK) Q1, 2020 Q1, 2019

Interest expenses -99 -33

FX impact -53 36

Non-recurring items -36 0

Other -7 -5

Total -195 -2

19

Q1 CASH FLOW

MSEK Q1 2020 Q1 2019 FY 2019

Operating Cash Flow 105 218 870

Total NWC changes -114 0 -62

Maintenance capex & other -82 -50 -434

Free cash flow -91 168 374

Expansion capex -16 -14 -69

Business combinations -5,957 - -244

Divestments 3 - 21

Cash flow after investing activities -6,062 154 81

Net Debt/EBITDA 8.7* 3.9 3.2

*) Includes only two months of EBITDA from former Consort Group

20

NET DEBT

Net Debt Q4, 2019 4,152

Business Combinations/Acquisition of shares in Consort Medical 5,957

Replacing existing debt in Consort Medical 2,071

Transaction/non-recurring payments and other 279

Net Debt Q1, 2020 12,459

MSEK

• Planned rights issue of 2,500 MSEK

• Recipharm will continue its strong track record of deleveraging and strengthening the balance sheet

21

FINANCIAL PROGRESS DELIVERED ROBUST ORGANIC REVENUE GROWTH

Completed reorganisation of financial reporting to the four strategic segments previously announced

Integrating finance team, aligned reporting and accounting principles across the enlarged group

Committed to responsible capital allocation, focused deleveraging post acquisition, banks remain supportive of deleveraging plan

Implemented value and synergy capture initiatives to support cash generation

COVID-19 means short-term headwinds, medium to long-term outlook remains in line with our previous expectations

CONCLUDING REMARKSThomas ElderedCEO

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COMMITTED TO NEW FINANCIAL TARGETSCOVID-19 IS PROVIDING A SHORT TERM HEADWIND

SALES

LONG-TERM GROWTH OF

≥11%CAGR

MARGIN EBITA ≥12%

CAPITALEFFICIENCY

RETURN ON OPERATING

CAPITAL

≥10%

Note. All measures are Alternative Performance Measures

24

SUMMARY Q1 2020PLATFORM FOR FURTHER ACCRETIVE GROWTH

10.3%EBITA margin

267MSEK EBITA

43%Sales increase

Completed transformational acquisition of Consort Medical

Integration and synergy capture plans progressing according to plan

Delivered organic EBITA growth ahead of sales growth

Demand from customers remains strong

High levels of liquidity to support business

Confident in medium and long term outlook

On track to significantly deleverage the business

Well positioned to benefit in a growing industry

25

Q&A

26

CONTACT INFORMATION

Thomas Eldered

CEO & Managing Director

+46 (0)8 602 52 10

Tobias Hägglöv

CFO & EVP

+46 (0)8 602 52 00, ir@recipharm.com