Lupin Ltd

At Lupin, our unwavering focus has been on providing the best to the communities that we serve. This belief is reflected in our delivery of high quality healthcare offerings that enhance patient outcomes, and in our efforts to uplift communities through our social initiatives and beyond the pill programs. Driven by our commitment to business excellence and innovation, our goal is to be a trusted partner for quality medicines, transforming Hope into Healing.

This has been a pivotal year for Lupin. We have witnessed remarkable success, strategic progress, and significant advancement in our journey. While this has been the year of execution, we are confident of our plans and strategies to strengthen our position and drive sustainable growth.

I am very pleased to share that FY24 stands out as a stellar year for us in terms of both financial performance and growth. We continued to improve our operating margins and maintained growth momentum over the year. Our key regions, the U.S., India, EMEA, and APAC, have been the driving force behind our significant revenue growth. Overcoming multiple headwinds, we have consistently enhanced our operating margins, a testament to our strategic strength and agility.

In India, we achieved a growth of 25% higher than the Indian Pharma Market. Our core therapy areas, including Cardiology and Respiratory, have grown well ahead of the market, with our key products supporting the growth. We also ranked #1 in the industry for new introductions. Backed by a larger workforce and a pipeline of new products, we are deeply committed to further strengthen our position in India. Our U.S. business performed exceptionally well, contributing to half of the company's growth, backed by the launch of Tiotropium DPI, base business stabilization and multiple product launches in the generics market. With the continued ramp up of Tiotropium and new product launches in FY25, we expect to sustain and grow our U.S. business.

All other major regions recorded double-digit growth, driven by markets such as Germany, Australia, and the Philippines. Our acquisitions have expanded our footprint in Europe with complex injectables in France and respiratory brands in Europe and Canada. Our API Plus devision had a remarkable year, growing by 21%, backed by key product launches.

We have made strong strides in Quality and Compliance, with positive inspection outcomes, resolution of warning letters, and regulatory clearances. We continue to prioritize sustainable compliance across all our manufacturing units, further reinforcing our position as a trusted partner delivering high-quality medicines.

We have remained steadfast in our commitment to R&D and innovation, which will continue to be a strategic priority, with significant investments toward directed developing complex products in the inhalation and injectables space. Our robust new product pipeline, including several first-to-market products, puts us in a position of strength for future growth. In our quest to transform the lives of patients globally, we remain firm in our focus on patient-centricity and the community, with innovation, collaboration and sustainability being at the core of our culture.

Inspired by our Founder, Dr. Desh Bandhu Gupta, we prioritize responsible leadership. We embarked on our ESG journey four years ago, and 2024 has been a milestone year in this continuum. Our leap in the Dow Jones Sustainability Index with a score of 69 and inclusion in the

S&P Global Sustainability Yearbook is a reaffirmation of our commitment to ESG.

I thank our Board for its strategic leadership, our leadership team for their relentless pursuit of excellence, and every member of the Lupin family whose efforts contribute to our success. With the support of our partners and shareholders, we continue to strive to achieve our goals of enhancing patient outcomes and transforming Hope into Healing.

Warm Regards,

Chairman

Through the years, two aspects of our business have remained unchanged: our goal of enabling better health for communities that we serve across the globe and our commitment to providing access to high quality, affordable medicines. FY24hasbeen significant yearof achievements – Lupin has gone above and beyond in delivering on both these aspects and more. For patients and the communities that we serve globally, Lupin is a catalyst for good health, Transforming Hope into Healing.

We are very pleased to close FY24 on a strong note, continuing to improve our operating margins and maintaining the growth momentum. We made progress each quarter throughout FY24 on all key fronts. Our multi-pronged growth strategy has pivoted around enriching our portfolio to more complex products, commercial excellence, driving our agenda in quality and manufacturing, and delivering efficiencies across our business, thus laying the foundation for future margin expansion and sustainable growth. Over the last 2 years, we have navigated Lupin through a turnaround, executing on all critical imperatives to get our organization to its rightful position to deliver on our promise of sustained and profitable growth.

On a full year basis, our top line grew 20.8% to INR 196,563 Mn, and our EBITDA grew a strong 110% driven by continued growth in North America, India, and EMEA. We are at an inflection point, and with the plans we have in front of us, we are looking at an exciting journey ahead.

Reflecting on the highlights from FY24, we made substantial progress in our evolution to complex generics, a major step forward with gSpiriva (tiotropium), now commercialized in the U.S. and Canada. The Respiratory segment currently generates roughly a quarter of our global sales, and is now a material differentiator for our company, one of the main pillars of our strategy. Our U.S. business contributed significantly to the performance in the year, with products such as Tiotropium, Albuterol, GaviLyte, and Suprep driving a material part of the revenues. Complex generics in the U.S. now constitute around 40% of our sales. In India, we grew 25% faster than the Indian Pharmaceutical Market, with notable performance in the Cardiology and Respiratory therapy areas. Our growth in our internal portfolio of products has been commendable. Going forward, we are committed to also improving our performance in the diabetes segment, which has witnessed degrowth due to multiple factors, including loss of exclusivity in select brands and reduced margins. Overall, we aim to achieve an organic growth of 30% higher than the market. We are proud to be a partner of choice in India, ensuring we get the best in class solutions to our patients through our strong and diverse portfolio.

Our EMEA performance has been robust, with overall sales exceeding USD 200 Mn for the first time. Canada grew 17%, and Australia surpassed the AUD 100 Mn mark in revenues. Our businesses in South Africa and the Philippines achieved solid growth and have strong projections for the coming fiscal year, and our API Plus division saw a 21% increase in sales compared to FY23.

On the R&D front, we have continued to pivot to more complex products, especially inhalation and complex injectables where we have invested close to 50% of our R&D spend during the year. We intend to maintain our lead on the respiratory front by being the first to bring products on key platforms to developed markets. Complex products today constitute around 40% of our U.S. portfolio, which we expect to grow to above 50% in the next few years. In FY24, more than 80% of the new product sales in the U.S. were from non oral-solid products.

Our robust R&D efforts have resulted in 33 filings, 63 approvals, and 41 launches globally. Key product launches such as Tiotropium, Diazepam Rectal Gel and generic Prolensa in the U.S., Vilfuro-G and Difizma in India and complex product filings, including Risperidone Long

Acting Injection, highlight our commitment to delivering innovative and much needed solutions to our patients.

Enhancing our position in quality and compliance has been and continues to be a big part of our focus. While we faced regulatory challenges at certain facilities in the last few years, we have made impressive strides on the quality and compliance front successfully. We addressed the warning letter from the U.S. FDA with regard to our facilities in Pithampur and Goa. We are glad to share that all our facility inspections in the last 18 months have resulted in satisfactory outcomes. Going forward, we aim to achieve regulatory clearance for the two pending sites and attain a sustainable state of compliance across our entire manufacturing network. We aspire to be best in class on the quality and compliance front, a trusted partner for high quality medicines for all the patients and communities we serve.

In FY24, we acquired Medisol in France, expanding our complex injectables portfolio in Europe. Further, we strengthened our respiratory portfolio and Specialty business by acquiring two brands from Sanofi, Nalcrom in Europe and Aarane in Canada. We also strengthened our India portfolio through the strategic acquisition of diabetes brands Ondero and Ondero Met from Boehringer

Ingelheim, and the acquisition of five brands

Menarini.

Going beyond the pill, we have delivered better patient outcomes and holistic healthcare by addressing unmet needs and leveraging innovation in healthcare. Lupin Diagnostics has gained momentum with the highest percentage of NABL-accredited laboratories amongst peers in India and serves over 100,000 customers on a monthly basis. Our digital therapeutics platform, Lyfe, is gradually expanding its footprint in India, and Atharv Ability, our neuro-rehabilitation center in Mumbai, addresses a significant void to deliver transformative outcomes for patients.

We are guided by our Environmental, Social, and Governance principles, which form the cornerstone of our commitment to sustainability. We are proud to be in the top 5% of companies globally with a Corporate Sustainability Assessment score of 69, as per the Dow Jones Sustainability Index. Our inclusion in the S&P Global Sustainability Yearbook 2024 showcases our dedication to integrating sustainability into our business operations, transforming Hope into Healing for a lasting impact.

Since we embarked on a comprehensive digital transformation journey in 2021, we have continuously leveraged next-gen technologies to enhance data-driven decision making and agility in our business operations. We are now deploying transformative AI-led digital solutions across our manufacturing operations, supply chain, sales, finance, and HR, amongst others. The outcome of these initiatives has translated into better process efficiencies, improved regulatory compliance and enhanced business intelligence and transparency.

Reflecting on our progress, we are committed to continue to build on the momentum over the coming year. Our strong foothold in key regions and therapeutic areas, as well as sharp focus on our delivery, will be key levers while executing on our strategic vision to achieve sustainable growth.

Our success is made possible by the hard work and dedication of our teams, the trust of our investors, and the guidance of our stakeholders. As we embark on the next chapter of our journey, we remain committed to growth, quality, operational excellence and innovation. We aspire to evolve Lupin as a trusted partner for innovative and affordable medicines in the years ahead. We are grateful for your steadfast support and trust in Lupin. We are committed to pursue greater milestones, transforming Hope into Healing and creating sustainable value for all stakeholders.

Sincerely,