ROYALTY PHARMA REPORTS Q4 2020 AND FULL-YEAR RESULTS Double-digit growth in Net cash provided by operating activities (GAAP) and Adjusted Cash Flow (2) $2.4 billion of acquisitions announced in 2020; maintained leading s

ROYALTY PHARMA REPORTS Q4 2020 AND FULL-YEAR RESULTS

NEW YORK, NY, February 17, 2021 - Royalty Pharma plc (Nasdaq: RPRX) today reported financial results for the

fourth quarter of 2020 and introduced full-year 2021 guidance for Adjusted Cash Receipts(1) (a non-GAAP financial measure).

Royalty Pharma achieved a number of major milestones in 2020, said Pablo Legorreta, Royalty Pharma founder and Chief Executive Officer.

We strengthened our competitive positioning with our IPO and inaugural debt offering, we delivered strong growth in our business and maintained our leading share of biopharma royalty funding in a record year. We executed on $2.4 billion

of transactions spanning five therapeutic areas, enhancing our long-term growth while adding a diversified mix of high-quality products. Based on our strong performance in 2020, coupled with the growing role of royalties in the biopharma ecosystem,

we are highly confident in our long-term growth prospects.

GAAP financial results demonstrate continued strong operating cash

flow and revenue growth

Non-GAAP financial results (on a pro forma basis) driven by

strong, broad-based growth across the portfolio

Expanded portfolio with

innovative, long duration therapies across diverse therapeutic areas

Financial guidance for 2021 (excludes contributions from new investments)

Fourth quarter of 2020 financial results

Amounts shown in the table may not add due to rounding.

Net cash provided by operating activities was $566 million in the fourth quarter of 2020, an increase of 18% compared to the same

period of 2019 on a pro forma basis, and $2,035 million for 2020, an increase of 22% compared to 2019 on a pro forma basis. The increase in the fourth quarter and the full year resulted from higher cash collections from financial royalty

assets, primarily from the cystic fibrosis franchise, Tysabri, and Imbruvica and a decline in interest paid due to a change in the timing of interest payments on debt from quarterly to semi-annual. This was partially offset by higher payments for

operating and professional costs in the fourth quarter of 2020 and the full year.

Total Royalty Receipts were $627 million

in the fourth quarter of 2020, an increase of 9% compared to the same period of 2019, and $2,344 million for 2020, an increase of 2% compared to 2019 on a pro forma basis. Strong growth in the fourth quarter was largely attributable to the

performance of the cystic fibrosis franchise, Imbruvica, the HIV franchise, Tysabri, Promacta and Xtandi and the addition of new royalties, partially offset by a decrease in royalties for Lyrica and Letairis (resulting from losses of exclusivity).

Year over year growth for the full year of 2020 was also negatively impacted by Tecfidera as the final milestone of $150 million was received in the first quarter of 2019.

Drivers of royalty receipts in the fourth quarter of 2020 and full year of 2020 are discussed

below, based on commentary from the marketers of the products underlying the royalties in the preceding quarter (as royalty receipts generally lag product performance by one calendar quarter).

non-controlling interest, which reduce royalty receipts to arrive at Adjusted Cash Receipts, were $143 million in the fourth quarter, an increase of 9% compared to the same period of 2019 on a pro

forma basis. Distributions to non-controlling interest were $544 million for 2020, an increase of 3% compared to 2019.

Adjusted Cash Receipts(1) were $484 million in the fourth quarter of 2020, an increase of 9% compared to the same period of 2019 on a pro forma basis, reflecting growth in Total Royalty Receipts offset by increased

distributions to non-controlling interest. Adjusted Cash Receipts were $1,800 million in 2020, an increase of 1% compared to 2019, driven by an overall increase in Total Royalty Receipts stemming from

performance of the CF franchise, Imbruvica, Xtandi, the HIV franchise and a full year of Promacta cash receipts, offset by increased distributions to non-controlling interest.

Adjusted EBITDA(5) is comprised of Adjusted Cash Receipts less payments for

operating and professional costs. In the fourth quarter of 2020, Adjusted EBITDA was $434 million, a 5% increase compared to Adjusted EBITDA of $413 million in the same period of 2019 on a pro forma basis:

Adjusted EBITDA was $1,621 million in 2020, a

slight decrease of 1% compared to 2019, which was largely attributable to an increase in payments for operating and professional costs incurred in connection with Royalty Pharma s IPO and debt refinancing as well as additional costs associated

with operating as a public company.

Adjusted Cash Flow(2) is

comprised of Adjusted EBITDA less ongoing development-stage funding payments, net interest paid and miscellaneous other items. In the fourth quarter of 2020, Adjusted Cash Flow was $423 million, a 22% increase compared to Adjusted Cash Flow of

$347 million for the same period of 2019 on a pro forma basis. The increase primarily resulted from the growth in Adjusted Cash Receipts as well as lower net interest paid and lower ongoing development-stage funding payments. Items in the

Flow was $1,483 million in 2020, an increase of 15%, compared to 2019 on a pro forma basis.

A more comprehensive discussion of

the non-GAAP measures utilized by Royalty Pharma to manage its business can be found in the section of this press release entitled Use of Non-GAAP Measures.

Key Developments Relating to the Portfolio

The key developments related to Royalty Pharma s royalty interests are discussed below:

Summary of Recent Royalty Acquisition

Liquidity and Capital Resources

2021 Financial Guidance

Royalty Pharma has provided guidance for full-year 2021 as follows:

Royalty Pharma expects Payments for operating and professional costs to be approximately 9% to 10% of Adjusted

Cash Receipts in 2021.

Royalty Pharma expects interest paid to be approximately $130 million for the full year of 2021. Based on

the semi-annual interest payment schedule of Royalty Pharma s existing bonds, interest paid is anticipated to be $64 million in each of the first and third quarters with a de minimis amount recorded in the second and fourth quarters. This

projection assumes no additional debt financing in 2021.

Royalty Pharma today provides this guidance based on its most up-to-date view on its prospects. This guidance assumes no major unforeseen adverse events and excludes the contributions from transactions announced subsequent to the date of

this press release. Furthermore, Royalty Pharma may amend its guidance in the event it engages in new royalty transactions which have a material near-term financial impact on the company.

Royalty Pharma has not reconciled its non-GAAP 2021 guidance to the most directly comparable GAAP measure,

net cash provided by operating activities, at this time due to the inherent difficulty in accurately forecasting and quantifying certain amounts that are necessary for such reconciliation, including, primarily, payments for operating and

professional costs, distributions from non-consolidated affiliates and interest received. Royalty Pharma is not able to forecast on a GAAP basis with reasonable certainty all adjustments needed in order to

project net cash provided by operating activities at this time.

2020 to 2025 Long-Term Outlook

Royalty Pharma has updated its long-term outlook for the period from 2020 to 2025 as follows:

Royalty Pharma today provides this long-term outlook based on its most up-to-date view on its prospects. This long-term outlook assumes no major unforeseen adverse events subsequent to the date of this press release. Furthermore, Royalty Pharma may amend its long-term outlook in

the event it engages in new royalty transactions.

Financial Results Call

Royalty Pharma will host a conference call and simultaneous webcast to discuss this financial results release today at 8:00 a.m., Eastern Time. A

live webcast may be accessed from the Investors page of the company s website at https://www.royaltypharma.com/investors/news-and-events/events. Please

allow at least five minutes to register and

access the presentation. A replay of the conference call and webcast will be archived on the company s website for at least 30 days.

To ask a question during the live broadcast or listen without internet access, please dial in at least 15 minutes in advance to ensure a timely

connection to the call. The conference call can be accessed live over the phone by dialing (833) 519-1253, or for international callers by dialing +1 (914) 800-3826. The

passcode to access the conference call is 7429609.

About Royalty Pharma plc

Founded in 1996, Royalty Pharma is the largest buyer of biopharmaceutical royalties and a leading funder of innovation across the

biopharmaceutical industry, collaborating with innovators from academic institutions, research hospitals and not-for-profits through small and mid-cap biotechnology companies to leading global pharmaceutical companies. Royalty Pharma has assembled a portfolio of royalties which entitles it to payments based directly on the

top-line sales of many of the industry s leading therapies. Royalty Pharma funds innovation in the biopharmaceutical industry both directly and indirectly - directly when it partners with companies to co-fund late-stage clinical trials and new product launches in exchange for future royalties, and indirectly when it acquires existing royalties from the original innovators. Royalty Pharma s current portfolio

includes royalties on more than 45 commercial products, including AbbVie and J&J s Imbruvica, Astellas and Pfizer s Xtandi, Biogen s Tysabri, Gilead s HIV franchise, Merck s Januvia, Novartis Promacta, and

Vertex s Kalydeco, Orkambi, Symdeko and Trikafta, and five development-stage product candidates.

Forward-Looking Statements

The information set forth herein does not purport to be complete or to contain all of the information you may desire. Statements

contained herein are made as of the date of this document unless stated otherwise, and neither the delivery of this document at any time, nor any sale of securities, shall under any circumstances create an implication that the information contained

herein is correct as of any time after such date or that information will be updated or revised to reflect information that subsequently becomes available or changes occurring after the date hereof.

This document contains statements that constitute forward-looking statements as that term is defined in the United States Private

Securities Litigation Reform Act of 1995, including statements that express the company s opinions, expectations, beliefs, plans, objectives, assumptions or projections regarding future events or future results, in contrast with statements that

reflect historical facts. Examples include discussion of Royalty Pharma s strategies, financing plans, growth opportunities and market growth. In some cases, you can identify such forward-looking statements by terminology such as

anticipate, intend, believe, estimate, plan, seek, project, expect, may, will, would, could or

should, the negative of these terms or similar expressions. Forward-looking statements are based on management s current beliefs and assumptions and on information currently available to the company. However, these forward-looking

statements are not a guarantee of Royalty Pharma s performance, and you should not place undue reliance on such statements. Forward-looking statements are subject to many risks, uncertainties and other variable circumstances, and other factors.

Such risks and uncertainties may cause the statements to be inaccurate and readers are cautioned not to place undue reliance on such statements. Many of these risks are outside of the company s control and could cause its actual results to

differ materially from those it thought would occur. The forward-looking statements included in this document are made only as of the date hereof. The company does not undertake, and specifically declines, any obligation to update any such

statements or to publicly announce the results of any revisions to any such statements to reflect future events or developments, except as required by law.

Certain information contained in this document relates to or is based on studies, publications, surveys and other data obtained from third-party sources and the company s own internal estimates and research. While the company

these third-party sources to be reliable as of the date of this document, it has not independently verified, and makes no representation as to the adequacy, fairness, accuracy or completeness of,

any information obtained from third-party sources. In addition, all of the market data included in this document involves a number of assumptions and limitations, and there can be no guarantee as to the accuracy or reliability of such assumptions.

Finally, while the company believes its own internal research is reliable, such research has not been verified by any independent source.

For further information, please reference Royalty Pharma s reports and documents filed with the U.S. Securities and Exchange Commission ( SEC ) by visiting EDGAR on the SEC s website at www.sec.gov.

Use of Non-GAAP Measures