Reckitt Benckiser : Rejuvenating Reckitt - Transformation Update

TRANSFORMATION FIRMLY ON TRACK: STRONGER BUSINESS WELL POSITIONED TO DELIVER MEDIUM-TERM TARGETS

Our six imperatives	1. GROW BRANDS	2. INVEST IN	3. DRIVE SUPERIOR	4. INCREASE	5. ACTIVELY MANAGE	6. EMBED
	AND INNOVATE	CAPABILITIES	EXECUTION	PRODUCTIVITY	THE PORTFOLIO	SUSTAINABILITY

WHAT WE SAID

WHAT WE HAVE ALREADY DELIVERED

1. GROW BRANDS AND INNOVATE	2-year		Percent of total
E-commerce:		net revenue:		25%
LFL stacked
				12%
	net revenue			10%
Strengthen our	>85% growth
leadership position		2019		2021 in next 5 yrs

17% ratings average >4.2*

LFL net revenue growth in 2021

R&D pipeline	+50% value**		2x*	>3,400 and filed*
Innovation:	*		OTC		*	PATENTS
	Pipeline	pipeline value
Reinvigorate		granted

Growth drivers:	Market share:
Market share	700 bps
New places	gains in
New spaces
US since
Penetration	2019

New places:		New		Penetration:
NEW		spaces:		11m households
			reached
MARKETS		Plant-based		52.8%	in 2021
76 since 2019		Dettol Tru Clean
ENTERED		products			brand
			penetration

*Please see September 2021 capital markets day presentation for details **Pipeline value represents the increased revenue opportunity from innovation in 2022 compared to 2021.

Definitions (including LFL): see 2021 Results Statement)

TRANSFORMATION FIRMLY ON TRACK: STRONGER BUSINESS WELL POSITIONED TO DELIVER MEDIUM-TERM TARGETS

Our six imperatives

1. GROW BRANDS	2. INVEST IN	3. DRIVE SUPERIOR	4. INCREASE	5. ACTIVELY MANAGE	6. EMBED
AND INNOVATE	CAPABILITIES	EXECUTION	PRODUCTIVITY	THE PORTFOLIO	SUSTAINABILITY

WHAT WE SAID

WHAT WE HAVE ALREADY DELIVERED

2. INVEST IN CAPABILITIES

Investment in growth:

Step-change in skills

P&L investment to drive growth:

>£1bn investment over 2020-21

growth enablers growth drivers

competitiveness

growth enablers - core capabilities growth drivers - go-to-market, marketing competitiveness - consumer value

Highlights:
Incremental c.£100m investment	15+ START-UPS
taking total to	c.£360m
in R&D		c.£80m invested in
vs. 2019

3. DRIVE SUPERIOR EXECUTION

Customer service:

Improve service levels

increase in			20% point
	46%	increase in
points of		markets rated
26%
distribution		top-tier
+61% vs 2019			by retailers*
* Advantage Survey

#1		SUPPLIER
	Survey	OF THE YEAR:

4. INCREASE PRODUCTIVITY

Productivity:

Realise £1.3bn

in savings by end of 2022

Ahead of plan:	£2 bn	New target
			by end 2023		c.14,000 INITIATIVES ACROSS THE ORGANISATION
	£1.3 bn			£1.1 bn	already achieved

TRANSFORMATION FIRMLY ON TRACK: STRONGER BUSINESS WELL POSITIONED TO DELIVER MEDIUM-TERM TARGETS

Our six imperatives

1. GROW BRANDS	2. INVEST IN	3. DRIVE SUPERIOR	4. INCREASE	5. ACTIVELY MANAGE	6. EMBED
AND INNOVATE	CAPABILITIES	EXECUTION	PRODUCTIVITY	THE PORTFOLIO	SUSTAINABILITY

WHAT WE SAID

5. ACTIVELY MANAGE

THE PORTFOLIO

Focus on

higher growth

6. EMBED SUSTAINABILITY

Across the business and supply chain

Carbon emissions:

TARGET -65% BY

2030**

**Carbon reduction from operations

WHAT WE HAVE ALREADY DELIVERED

Disposals of:

9%* portfolio turnover for higher growth

100%			£1 bn
renewable
electricity			in planned investments
purchased in		in sustainability
ALL manufacturing		over 10 years
less absolute	-66%
carbon in	Hit target
operations
since 2015	9 years early

• Total 2020 revenue of disposals (including proposed disposal of E45 and related sub-brands) plus annualised 2021 revenue of Biofreeze as a percentage of 2020 revenue plus Biofreeze

Acquisitions of:

Disposals of

IFCN China

and EnfaBebé

	TO	AA		A
Sustainability scores:	UPGRADED		FROM

	in April 2021
	S&P Global Gold Class
Top 15% of	Sustainability Award 2022
22.9 industry group

°	SCORE ON MSCI
IMPLIED TEMPERATURE RISE (ITR)*
1.38 C
*metric to show companies' implied temperature alignment with global goals