Befreiender Konzernabschluss Zum Geschäftsjahr Vom 01.01.2021 Bis Zum 31.12.2021 - Omega Pharma Deutschland GmbHHerrenberg

Omega Pharma Deutschland GmbH

Herrenberg

Befreiender Konzernabschluss zum Geschäftsjahr vom 01.01.2021 bis zum 31.12.2021

Perrigo Company plc

Dublin/Irland

From the CEO

“With our transformation complete, we are poised for turbocharged profitable growth.”

Fellow Shareholders,

It is an exciting time for Perrigo. I am pleased to say that, with the achievement of our three largest strategic milestones in 2021, we have completed our transformation from a healthcare to a consumer self-care company. This transformation is a testament to the tremendous work carried out by our Perrigo colleagues across the globe, and I am extremely proud of our team and how far we have come over the course of this journey.

I am especially proud of the fact that we accomplished our three key strategic objectives in 2021. Specifically, we:

•	Divested the generic prescription pharmaceuticals (Rx) business, which significantly reduces earnings volatility and simplifies our core operations and focus;
•	Reallocated the Rx divestiture sale proceeds to acquire a star consumer self-care asset in HRA Pharma, which significantly advances our self-care vision, bolsters our scale in key European markets and will turbocharge our growth; and
•	Reduced uncertainty by favorably settling the Irish Tax assessment, which not only removed a major overhang for the Company, but which was also entirely funded with proceeds from a favorable Belgian arbitration award.

With these actions complete, Perrigo now emerges as a focused consumer-centric self-care company with a bright future.

Importantly, these strategic milestones were achieved against the backdrop of another year of COVID-19 pandemic-related business disruptions that impacted many consumer companies, including Perrigo. These challenges included a historically weak cough/ cold season, which affected nearly 20 % of our business to start the year, and subsequent supply chain disruptions and material price inflation in the second half of the year. These external factors weighed on our full year financial results, but our team remained resolute and found ways to continue to deliver our affordable and reliable self-care products and, once again, grow our topline.

As we exited 2021, I was encouraged by the momentum in our business. Sales growth improved sequentially each quarter during the year, driven by a strong rebound in consumer demand as illness levels of cough, cold and flu rebounded. We also took meaningful actions to address supply chain disruptions in the U.S. during the second half of the year, allowing us to meet strong fourth quarter demand from our customers, albeit at a higher cost. Most importantly, the momentum that we carry into 2022 reflects the dedication and relentless efforts of the Perrigo team that, throughout the pandemic, has not missed a single shift in any of our manufacturing facilities worldwide. That, too, is an incredible achievement by the team.

As I further reflect on the year, I would be remiss if I did not thank our outgoing Board Chair, Rolf Classon, for his dedication and service to the Company over the past several years. His leadership and contributions have helped to transform Perrigo into the consumer self-care company it is today and I admire the commitment he has demonstrated to both our people and our shareholders. I look forward to working closely with Orlando Ashford and the rest of the Board of Directors as we continue to advance our self-care strategy.

I am confident in our future, and I could not be more excited to lead our team in 2022. We have a clear vision and a winning consumer self-care strategy. With our transformation complete, we are poised for turbocharged profitable growth as we make lives better by bringing Quality, Affordable Self-Care Products that consumers trust everywhere they are sold. Thank you for your partnership and belief in our great company.

Sincerely,

Continuing to Deliver Trusted Self-Care Products in Times of Need

At Perrigo, we are driven by our vision “To make lives better by bringing Quality, Affordable Self-Care Products that consumers trust everywhere they are sold.” Our vision is more important today than ever before given the pandemic-related challenges impacting both our industry and consumers around the globe. Since early in the pandemic, Perrigo has taken meaningful steps to prioritize the health and safety of our colleagues and to ensure the availability of self-care products that consumers need and trust.

As the pandemic continued to influence the way we operate, the Perrigo team consistently met consumer demand and continued developing new products. We also navigated new challenges this year, such as supply chain and logistical disruptions, as we continued to work within an operating environment complicated by the many different pandemic-related protocols necessary to keep our people and workplaces safe. These protocols required our teams in each region to remain flexible and assume new responsibilities as new variants and surges impacted our communities and ways of working. From wearing face coverings and social distancing to enhanced cleaning and sanitation processes, our teams remained steadfastly committed to keeping each other safe and ensuring that our facilities remained open. As a result, our worldwide manufacturing facilities have continued to operate without a missed shift since the start of the pandemic, making it possible for us to keep important products that society needs flowing to customers and consumers without interruption.

9,900 Energized team members

Our OTC Medicines provide

EXPANDED ACCESS TO 27M

U.S. consumers and millions more in the E.U.

Completing Our Transformation to a Consumer Self-Care Leader

Providing self-care solutions that consumers need has been highly important over the course of the pandemic, but it is not new for Perrigo; we have a storied history as one of the originators of the self-care market. Since our founding in 1887, Perrigo has been focused on providing accessible, reliable and affordable self-care products that consumers know and trust. As the self-care space has grown both in size and importance across the globe, we have evolved our strategic focus to capitalize on this trend. In 2021, thanks to the tireless work of the Perrigo team, we completed a massive three-year transformation to become a focused, consumer-centric self-care company. During the year, we completed the final three strategic milestones of our transformation framework.

THREE MAJOR STRATEGIC MILESTONES ACHIEVED IN 2021

Divested Generic Rx Business

Announced Acquisition of HRA Pharma

Expected to close by the end of Q2 2022

Irish Tax Assessment Resolved

Paid for with cash from a successful arbitration in Belgium

With the completion of these initiatives, Perrigo now emerges as a focused, consumer-centric self-care company at the forefront of the self-care movement. The self-care industry currently represents a $450 billion opportunity, and it is expected to see continued growth over the next decade. Perrigo is well positioned to capitalize on these growth trends with unique product offerings in both the U.S. and Europe. The addition of HRA Pharma, which remains on track to close by the end of Q2 2022, will enhance our scale and growth opportunities across multiple geographies, further advancing our self-care leadership position.

Developing Innovative Products

Evolution Through Innovation

To continue to grow and evolve, we must be constant innovators. We recognize that consumers want options not only for treatments, but they also want options for prevention and wellness products. We believe in innovation at every level, which translates into a wide array of concepts to help us enhance our product portfolio.

New Products

This innovation is represented by the new products we brought to market in 2021. We launched Probify probiotic products across the UK, an entire Burt’s Bees KidsTM line of science-based natural products in the United States, and our hypoallergenic formulas have helped us gain market share in the infant formula category. Similarly, we have seen fantastic results with our store brand oral electrolyte products.

Bright Future Ahead

We also introduced new flavors of nicotine lozenges and are bringing sustainability and a recycling element to our Plackers® flossers line. Following research and testing, we are introducing new science into our guaifenesin-based products and are eager to see them launched into that meaningful category. Our team is working on a robust new product pipeline and looks forward to offering consumers additional innovative self-care products in 2022 and beyond.

Our People, Environment and Communities

Diversity, Equity & Inclusion

Perrigo recognizes the importance of a strong, diverse team, not only for our own culture and the benefit of our employees, but also for the diverse consumers we serve. Fiscal year 2021 was the second year of our current three-year Diversity, Equity & Inclusion (DE&I) strategy, which remains a key priority for our team. In fact, we launched our first DE&I report to showcase the progress that we have made across our three key areas of focus:

Education and Awareness

We continued to inform and educate our team through global, company-wide events, bringing together colleagues and leaders of all backgrounds to learn from one another.

Talent Management Practices

Our 2021 new hire numbers evidence our commitment to inclusive talent practices; last year women made up 51 %, and people of color made up 24 %, of all Perrigo new hires.

Governance and Metrics

Leveraging the metrics established in 2020, we were able to accurately monitor progress towards our DE&I goals and identify areas for improvement. Our DE& report...