#1CSL CSL Limited 45 Poplar Road Parkville Victoria 3052 Australia T +613 9389 1911 F +613 9389 1434 www.csl.com.au ASX Announcement For immediate release 29 May 2020 Webinar Presentation - Australian Shareholders' Association Please find attached a presentation used for a lunchtime Webinar presentation with the Australian Shareholder's Association today. This presentation is provided to the ASX for the information of all CSL's shareholders and contains no new or price sensitive information. Authorised by Fiona Mead Company Secretary For further information, please contact: Media: Christina Hickie Senior Manager Communications Telephone: +61 429 609 762 Email: [email protected] Investors: Bernard Ronchi Senior Manager Investor Relations Telephone: +61 3 9389 3470 Email: Bernard. [email protected] CSL Limited ABN 99 051 588 348#2CSL™ 10101010 0101010 CSL Limited Update on operations and future growth David Lamont, CFO ASA Webinar, 29 May 2020#3File View Help ▾ Audio Participating in the Webinar X ง Sound Check ? Computer audio Phone call Listen in through computer audio. Headset recommended. MUTED Transmit (3- Plantronics Savi 7xx) Speakers (3- Plantronics Savi 7xx) Handouts: 4 GoToWebinar Organizer Checklist 1057747... GoToWebinar-webinar-stats-you-should-k... gotowebinar-engaging-your-audience-ebo... notowebinar interact and annana brief ndf Questions Thank you for joining early! We will get started shortly! [Enter a question for staff] Be a GoToWebinar Pro Webinar ID: 103-063-403 GoToWebinar Attendee Control Panel Send or Select Phone Call to see the number to call, Access Code and PIN Type your questions or just say hello here. File View Help Audio Dial: Computer audio Phone call Access Code: 616-133-885 Audio PIN: 36 Already on the call? Press #36# now. Problem dialing in? 51 ?#4LEGAL NOTICE Forward looking statements The materials in this presentation speak only as of the date of these materials, and include forward looking statements about CSL Limited and its related bodies corporate (CSL) financial results and estimates, business prospects and products in research, all of which involve substantial risks and uncertainties, many of which are outside the control of, and are unknown to, CSL. You can identify these forward looking statements by the fact that they use words such as "anticipate," "estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “target," "may," "assume," and other words and terms of similar meaning in connection with any discussion of future operating or financial performance. Factors that could cause actual results to differ materially include: the success of research and development activities, decisions by regulatory authorities regarding approval of our products as well as their decisions regarding label claims; competitive developments affecting our products; the ability to successfully market new and existing products; difficulties or delays in manufacturing; trade buying patterns and fluctuations in interest and currency exchange rates; legislation or regulations that affect product production, distribution, pricing, reimbursement, access or tax; acquisitions or divestitures; research collaborations; litigation or government investigations, and CSL's ability to protect its patents and other intellectual property. CSL Group is also involved in multiple litigations in the ordinary course of business. The statements being made in this presentation do not constitute an offer to sell, or solicitation of an offer to buy, any securities of CSL. No representation, warranty or assurance (express or implied) is given or made in relation to any forward looking statement by any person (including CSL). In particular, no representation, warranty or assurance (express or implied) is given in relation to any underlying assumption or that any forward looking statement will be achieved. Actual future events may vary materially from the forward looking statements and the assumptions on which the forward looking statements are based. Subject to any continuing obligations under applicable law or any relevant listing rules of the Australian Securities Exchange, CSL disclaims any obligation or undertaking to disseminate any updates or revisions to any forward looking statements in these materials to reflect any change in expectations in relation to any forward looking statements or any change in events, conditions or circumstances on which any such statement is based. Nothing in these materials shall under any circumstances create an implication that there has been no change in the affairs of CSL since the date of these materials. Trademarks Except where otherwise noted, brand names designated by a are trademarks either owned by and/or licensed to CSL. TM or Ⓡ throughout this presentation 010101010xxx 3 | Driven by Our Promise™ 01010100 101010 BOR After struggling for years to get an accurate diagnosis, hereditary angioedema (HAE) patient Kathrin Schoen is working to ensure the next generation of patients doesn't have to wait so long. CSL™#5Overview CSL is a leading global biotech company that develops and delivers innovative biotherapies and influenza vaccines that save lives and help people with life-threatening medical conditions live full lives 60+ + Countries of operations around the world 4 | Driven by Our Promise™ US$8.5bn+ + in annual revenue (FY19) 8 Manufacturing sites across 6 countries + Australia China Germany Switzerland UK US Employees around the world 26,000+ US$3.3bn in R&D investments in the last 5 years advances exciting pipeline¹ 1,700+ A 257+ R&D employees Plasma collection centres across Europe and North America 1. FY15 to FY19 CSL#6CSL Today 3rd Largest Global Biotech Global #1 in plasma therapies • $30 billion industry Global #2 in influenza vaccines $1 • $1 • $6 billion industry Strong Market Position • • Revenue FY19 ~$8.5bn 8 major manufacturing sites in 6 countries Major capacity expansion underway Deep R&D pipeline fueling future growth Solid Financial Position • Net debt/EBITDA 1.4x • A3/A- credit rating (stable/stable) Current Industry Themes Plasma Supply Growth Robust lg demand Influenza Vaccine Technology Shift 5 | Driven by Our Promise™ CSL#7Values and Strategy Strategic Overview Patient Focus Core Values We deliver on our promise to patients 6 | Driven by Our Promise™ FOCUS INNOVATION • • . Immunology & Neurology Haematology & Thrombosis Transplant Respiratory Cardiovascular & Metabolic • Influenza • Products Delivery . • Services Technology EFFICIENCY & RELIABLE SUPPLY •Technology • Process Improvement Operational Excellence Capital Project Execution SUSTAINABLE GROWTH Growth Platforms: ⚫ Plasma • • Recombinants Cell & Gene Therapy Influenza Vaccines & Culture CSL people Patients and Public Health TRANSFORMATION Connected Healthcare • New Capabilities Innovation We turn innovative thinking into solutions Integrity We walk the talk Collaboration We are stronger together Superior Performance We take pride in our results CSL™#8Business Highlights Strong Business Performance Balanced Regional Growth Executing to Plan on New Launches 7 | Driven by Our Promise™ Ig Growth well Above Market Expanding Market Presence through New Affiliates Compelling real-world effectiveness influenza vaccine data CSL#92 2009 4 6 8 US$B 10 2010 Strong and Consistent Revenue Growth 8 | Driven by Our Promise™ 2011 2012 2013 2014 2015 CAGR 9% 2016 2017 2018 2019 CSL#100 1 2 FY09 5 Shareholder Returns US$ Earnings Per Share US cents Dividends 200 4 EPS 120 3 FY10 FY11 FY12 FY13 FY14 9 | Driven by Our Promise™ FY15 FY16 FY17 FY18 FY19 0 40 80 160 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 CSL™#11Shareholder Value A$ 350 300 250 200 150 100 50 Share Price 27%pa A$B Market Capitalisation 140 120 5 year CAGR 100 80 80 60 60 40 40 20 20 0 0 1996 2002 2008 2014 2020 CSL CBA BHP WBC NAB WES ANZ WOW TCL MQG 10 Driven by Our Promise™ CSL#12Global & Diverse Revenue Base FY19 Revenue US$8.5B Immunoglobulins $3,543m Seqirus $1,196m Specialty $1,572m Haemophilia Australia 8% Albumin $1,018m 11 | Driven by Our Promise™ $1051m North America 49% ROW 6% Asia 11% Europe 26% CSL#131H20 Performance A strong half year for CSL with revenue up 11%¹ and net profit after tax up 11%¹ reflecting: • Strong growth in immunoglobulin portfolio • Transition to own distribution model in China progressing well • • Continued evolution of the haemophilia portfolio Strong performance from Seqirus CSL BEHRING PRIVIGENⓇ +28%1 HIZENTRA® +37%¹ • ALBUMIN -33%1 (GSP IMPACT) AFSTYLAⓇ +30%¹ IDELVION® +21%1 ZEMAIRA® +31%1 SEQIRUS · Seasonal influenza +16%1 . FLUCELVAXⓇ launched in EU FLUADⓇ preferred recommendations in UK & Australia . Positive real world effectiveness evidence continuing Commenced aQIVc development 12 Driven by Our Promise™ 1. Growth percentages shown at constant currency to remove the impact of exchange rate movements, facilitating comparability of operational performance. See end note for further detail.#141H 20 Financial Highlights Half year ended Dec US$ Millions Total Revenue Gross Profit GP margin 1H19 Reported 1H20 Reported 1H20 Change at CC1 % 4,505 4,911 4,980 11%1 2,623 2,842 2,891 10%1 58.2% 57.9% 58.0% EBIT 1,553 1,632 1,679 8%1 NPAT 1,161 1,248 1,292 11%1 Cashflow from Operations 535 1,245 133% Capex 539 685 27% EPS ($ 2.56 2.75 2.85 11%1 0.85 DPS ($) 0.95 (A$1.47) 12% 22% 13 | Driven by Our Promise™ 1. Growth percentages shown at constant currency to remove the impact of exchange rate movements, facilitating comparability of operational performance. CSL#15Commitment to Research and Development R&D Spend US$m 900 832 750 702 667 614 600 466 463 450 300 150 0 FY14 FY15 FY16 FY17 FY18 FY19 New Product Development activities focus on innovative new therapies for life-threatening diseases Market Development strategies seek to bring therapies to new markets and new indications Life Cycle Management ensures continuous improvement of existing products New R&D Facilities Bio21 Institute, Melbourne ~ 4100m² of lab and office space Parkville precinct • • • Melbourne University, MRI's 4 major teaching hospitals SITEM1, Bern • 2000m² of lab and office space Bern University and Hospital campus Gene therapy, Pasadena • • • Expanding gene therapy expertise Research, QA, cell processing and manufacture Wet-lab space (non-GMP) tripled from 132 to 480 m² GMP space (330 m²) to engineering qualification level 1. SITEM - Swiss Institute for Translational and Entrepreneurial Medicine. 14 Driven by Our Promise™ CSL#16R&D Highlights Immunology and Neurology Haematology and Thrombosis . Respiratory Cardiovascular and Metabolic ✗ Transplant Influenza Vaccines • 15 Driven by Our Promise™ HIZENTRAⓇ granted Orphan Drug Exclusivity for CIDP HIZENTRAⓇ Dermatomyositis (DM) Phase III Study initiated Garadacimab (Anti-FXIIa) in Hereditary Angioedema (HAE) Phase II double blind period complete • CSL200 (CAL-H) in Sickle Cell Disease (SCD) Phase I Study initiated • CSL889 Hemopexin in SCD Phase I Study initiated • • CSL311 (Anti-Beta Common) Phase I study commenced Approval of convenient single-vial dosing for ZEMAIRAⓇ (Alpha1-Proteinase Inhibitor) in the US © CSL112 (ApoA-1) Phase III study (AEGIS-II) progressing well with >7000 patients recruited . CSL964 Alpha-1 Antitrypsin (AAT) for prevention of Graft versus Host Disease (GVHD) after Transplantation of Allogenic Hematopoietic Cell Transplantation (HCT) Phase III study actively recruiting and on track • First cell-based quadrivalent seasonal influenza vaccine, FLUCELVAX® TETRA, approved in Europe • AFLURIA® QUAD (quadrivalent influenza vaccine) granted expanded indication for use in children 6M+ in Australia ⚫aQIVC (MF59 plus FLUCELVAXⓇ antigen) new product development commenced CSL#17• · • COVID-19 Update Response Primary objective is to ensure safety and wellbeing of our staff, donors and continuity of supply of medicines to patients Business continuity plans implemented at all sites Expertise, technologies, equipment and materials are being provided to support the response to COVID-19 Providing additional southern hemisphere influenza vaccine doses to Australia ● • · • • Employees Health and welfare of staff are of primary importance to CSL Wherever possible, staff are strongly encouraged to work remotely Facilities are 'critical infrastructure/essential facilities' and excluded from most government shutdown processes On-boarding of critical staff positions accelerated International and domestic travel limited to business critical 16 Driven by Our Promise™ Evolving Pandemic CSL™#18Focused COVID-19 Response Prevention Treatment N Population Therapeutic Options CSL Assets & Capabilities Collaborators General public * Vaccines Adjuvant technology Scaled manufacturing University of Queensland/CEPI severity At-risk healthcare workers and infected patients * Hyperimmunes Polyclonal antibodies Process development Scaled manufacturing Hyperimmune: Alliance with Takeda and others Polyclonal: Sab Therapeutics * Monoclonal antibodies CSL312; CSL324 IL6; C1inhibitor Academic clinical researchers * CSL platform 17 Driven by Our Promise™ • COVID-19 CSL#19Growth Catalysts • • PLASMA PROTEINS Ongoing robust demand Commercialization of 5 global product launches Grow China business • R&D pipeline - CVD, Fc Multimer, transplant, gene therapy Outperformance Drivers INNOVATION INFLUENZA • • Product differentiation - FLUCELVAX® • Sales shifting towards FLUADⓇ and QIV EFFICIENCY & FLEXIBILITY Harness benefits from new technology investments Significant manufacturing capacity expansion EFFICIENCY * FLEXIBILITY • Opening 40 collection centres in FY20 18 | Driven by Our Promise™ CSL#20CSL Limited For in four pas Gel-Tok CSL CSL™