Better Health for All

Royalty Pharma's core business involves funding the development and commercialization of biopharmaceutical products for serious diseases such as pancreatic cancer, non-small cell lung cancer, cystic fibrosis, and lupus.

These therapies are intended to provide transformative health benefits, with the company's entire portfolio of funded assets focused on health improvement. The company does not generate revenue from products with established negative health outcomes. Royalty Pharma has committed $250 million in R&D investment over six quarters for litifilimab, a drug for lupus, and has made other significant investments in therapies, including $3.3 billion for cystic fibrosis treatments and $405 million for cancer treatments. The company donated $20 million over five years to Mount Sinai's Institute for Health Equity Research (IHER) to support health equity initiatives, including supporting Black, Latino, and Native American research faculty. IHER also collaborates with Goldman Sachs on upskilling and training diverse hospital employees and is leading national efforts to expand church-affiliated mental health clinics.

Fair Money & Economic Opportunity

Royalty Pharma plc operates as a buyer of pharmaceutical royalties and a funder of innovation, providing capital to biopharmaceutical companies, research institutions, and inventors.

The company does not offer lending, deposit, or other financial services to consumers. Therefore, all KPIs under the 'Fair Money & Economic Opportunity' value, which are designed for consumer-facing financial institutions, are not applicable to its core business model. There is no evidence provided regarding consumer credit products, APRs, fee structures, loan books, or direct impact on individual customer credit scores or savings. Consequently, all KPIs are scored as 0, indicating 'Not applicable' or 'No direct impact' based on the rubric's definitions for a company whose core business lies outside consumer financial services.

Fair Pay & Worker Respect

Royalty Pharma's CEO to median employee pay ratio was 93:1 in 2024.

The company reported a voluntary employee turnover rate of 3.4% in 2021. In 2021, the company had 67 employees and zero contractors, indicating that 0% of its workforce was on insecure contracts.

Fair Trade & Ethical Sourcing

Royalty Pharma plc's business model involves acquiring royalty interests and funding innovation, rather than manufacturing or selling physical products. As such, the company does not procure or trade physical commodities, nor does it have a traditional supply chain for materials that would require fair-trade certifications, on-site audits for welfare, traceability of provenance data, or exposure to upstream labor practices like forced or child labor.

Consequently, there is no material sourcing of at-risk inputs. The company also does not have remediation processes required in the context of ethical sourcing violations related to physical goods. While a Supplier Code of Conduct is mentioned, no specific percentage of contracts covered by ethical-sourcing clauses is provided, and no data on supplier diversity spend is available.

Honest & Fair Business

The company has a whistleblower policy that encourages reports and promises protection against retaliation, and a hotline is mentioned.

Employees are required to report suspected violations to the Compliance Officer. However, there are no specific details on hotline statistics or investigation procedures. A comprehensive anti-corruption policy is in place, explicitly prohibiting bribery, including to foreign officials, and requires pre-approval for certain payments while emphasizing accurate record-keeping and identifying 'red flags' for third-party dealings. The policy covers dealings with third parties and mentions compliance with the UK Bribery Act 2010 and the US Foreign Corrupt Practices Act. However, there is no information on the frequency or effectiveness of training, or specific enforcement metrics.

Kind to Animals

Royalty Pharma is a buyer of pharmaceutical royalties and a funder of innovation, and does not conduct biopharmaceutical research, development, or manufacturing itself.

Therefore, many KPIs related to direct animal use or product attributes are not applicable. The company's Supplier Code of Conduct, updated in February 2022, states that animal testing should be performed after reasonable consideration to replace, reduce, or refine procedures, and that alternatives should be used wherever scientifically appropriate and acceptable to regulators. This policy prohibits discretionary testing by its suppliers, but legal mandates can still override alternatives.

No War, No Weapons

The provided articles, which are financial reports and company overviews, do not contain any information or specific data points related to the 'No War, No Weapons' ethical value.

Each article explicitly states that information for all relevant KPIs, such as revenue from arms contracts, dual-use technology, sales to embargoed regimes, or peacebuilding investments, is not found. Therefore, no KPIs can be scored based on the evidence provided.

Planet-Friendly Business

The provided articles do not contain specific, quantitative sustainability metrics for Royalty Pharma plc. The company's 2024 annual report explicitly states that no specific sustainability metrics are provided, and that potential climate change impacts are not currently material.

Other sources also indicate a lack of available quantitative sustainability data for the company.

Zero Waste & Sustainable Products

Royalty Pharma has not incurred any material fines or non-monetary sanctions for waste disposal violations during the reporting period, indicating no violations in the past three years.

The company has implemented several waste reduction initiatives in its office operations, including limiting single-use items by stocking facilities with reusable glassware, mugs, and utensils, using an ion water filtration system, and providing reusable water bottles. They also donate leftover catered meals to NY Common Pantry to prevent food waste and properly discard electronics. Royalty Pharma's Supplier Code of Conduct encourages environmental awareness among partners and reflects expectations for sustainable performance, but specific waste reduction and recyclability requirements for suppliers are not detailed beyond this.