Read more Read more Read more Dear Shareholders and Partners, 2023 marked a pivotal year for Almirall: we are making significant progress towards our ambition of becoming a global leader in medical dermatology. Our strong performance, the continued investment in our dermatology pipeline, and the evolution of our company culture set us up for sustained success. We have also demonstrated our commitment to addressing significant unmet needs in dermatology and to improving patient outcomes. Dear Shareholders and Partners, 2023 marked a pivotal year for Almirall: we are making significant progress towards our ambition of becoming a global leader in medical dermatology. Our strong performance, the continued investment in our dermatology pipeline, and the evolution of our company culture set us up for sustained success. We have also demonstrated our commitment to addressing significant unmet needs in dermatology and to improving patient outcomes. Almost a decade ago, we took the strategic decision to focus on medical dermatology. Our progress towards achieving our ambition to become a leader in this area is clearly visible today. We now have a broad portfolio of over 50 products, which utilize a range of modalities to deliver against key dermatological diseases. The advancement of our R&D pipeline is another hallmark of strengthening our leadership position, and it will enable us to help even more patients and dermatologists in the future. We successfully delivered key launches in 2023, and an important milestone in 2023 was obtaining the European approval of EBGLYSS® (lebrikizumab), our new biological treatment for moderate-to-severe atopic dermatitis. Making it available to patients in Germany just one week after approval is testament to our dedication to bringing impactful innovations to patients. With a compelling benefit profile and a convenient dosing regime, this biological treatment represents a step change and is set to transform the treatment paradigm for atopic dermatitis, fundamentally transforming patients’ lives. Therefore, we are working on expanding its availability beyond the initial launch in Germany and introducing it to other European countries in 2024. Our other biologic, Ilumetri®, for the treatment of moderate-to-severe plaque psoriasis, continues to grow significantly across Europe –achieving +34% in sales compared to 2022. Its favorable profile has led to positive feedback from many dermatologists and patients since its launch. We expect combined peak sales of around $700 MM for both of our biological treatments in dermatology, an increase of more than five-fold compared to our existing franchises today. Significant unmet needs in dermatology continue to exist, yet breakthroughs in science and product innovation offer us an exceptional opportunity for us to develop further innovative medicines that can truly make a difference to people's lives. Our investment in R&D - more than 12% of our Net Sales in 2023- allows us to create new promising assets through in-house research, game-changing collaborations, and licensing deals. In 2023, our strategic partnership with EpimAb Biotherapeutics to develop bispecific antibodies and our collaboration with Absci to harness AI for developing novel treatments are strong examples for our commitment to pushing the boundaries of medical dermatology. Our multi-target alliance with etherna to develop mRNA-based therapies for severe skin diseases is an example of our commitment to innovating at the forefront of science and technology. It will also add a new modality to our already broad portfolio, which includes topicals, small molecules, and biologicals. A core part of our strategy is to identify and develop the optimal modality for every dermatological disease we focus on. Two other pipeline assets, the anti-IL-1RAP and the anti-IL-2 fusion mutein, are promising candidates in our quest to provide impactful technology solutions to treat chronic skin diseases that often represent a significant burden for their sufferers. In addition to our late-stage pipeline, we are actively progressing nine programmes in the discovery phase and three programmes in the early to mid-development stages. These include approaches to address high prevalence conditions, such as immune-mediated inflammatory diseases, such as atopic dermatitis, HS, alopecia areata, vitiligo, psoriasis, and non-melanoma skin cancer. We are also looking to innovate in the area of actinic keratosis to further build on our already strong presence with Klisyri®, Solaraze® and Actikerall®. We are also dedicated to finding innovative solutions for some of the over 1,000 rare dermatology diseases, as more than 90 percent of these currently have no available treatments. Innovative medicines will have a significant impact helping people living with skin conditions. The long-term view we have on our business and our contributions to dermatology and society are closely linked to our commitment to sustainability and environmental responsibility. 2023 has been an important milestone in our long-term sustainability roadmap, and it has set solid foundations for the development of our new 2030 Sustainability Strategy that aims to have a greater impact on our planet, our people, our patients and our partners. Our leadership in Europe, the broad and impactful portfolio of dermatology products that span a range of modalities and diseases, our financial strength, coupled with our deep skin expertise and passion for dermatology, are the foundation for expanding our leadership further, in Europe and other regions. In 2024, the 80th anniversary of our company, we will continue to dedicate our talent and efforts to helping even more patients in medical dermatology. And we are doing this by further building our corporate culture that encourages ingenuity and accountability, enabling our teams to be confident in their ability to make a difference. I am excited about Almirall’s future which we dedicate to our close partnership with patients and dermatologists to transform the lives of those living with skin diseases. We appreciate your trust in our exciting journey and are grateful for your ongoing support. Sincerely, Carlos Gallardo Piqué, Chairman and CEO