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At GSK, we unite science,
technology and talent to
get ahead of disease together.
We aim to p ositi vely impact the health of 2.5 billion people
by the end of the decade, as a successful, growing company
where people ca n thrive.
Contents

Strategic report |
Ahead Together | 0 1
2023 performance and key performance indicators | 0 2
Chair’s statement | 0 4
CEO’s statement | 0 6
Business model | 0 8
Our external environment | 10
Prevention | 13
Our culture and people | 14
Research and development | 16
Commercial operations: | 31
Performance: Vaccines | 33
Performance: Specialty Medicines | 37
Performance: General Medicines | 40
Operations: Manufacturing and supply | 43
Responsible business | 45
Risk management and disclosure statements | 57
2023 principal risks summary | 59
Climate-related financial disclosures | 62
Nature-related financial disclosures | 70
Non-financial and sustainability information statement | 75
Employees by gender | 75
Viability statement | 76
Group financial review | 77

Corporate governance |
The Board and GSK Leadership Team | 108
Chair’s governance statement | 114
Corporate governance architecture | 116
Ahead Together – Board oversight | 119
Continuous engagements and key decisions | 121
Board committee reports | 128
Remuneration Committee Chair’s annual statement | 139
Annual report on remuneration | 142
Directors’ report | 161
Financial statements |
Directors’ statement of responsibilities | 164
Independent auditor’s report | 166
Financial statements | 180
Notes to the financial statements | 184
Financial statements of GSK plc prepared under UK GAAP | 267

Investor information |
Financial record | 273
Product development pipeline | 277
Products, competition and intellectual property | 281
Principal risks and uncertainties | 284
Share capital and control | 295
Dividends | 297
Financial calendar 2024 | 298
Annual General Meeting 2024 | 298
Tax information for shareholders | 299
Shareholder services and contacts | 301
US law and regulation | 303
Group companies | 306
Glossary of terms | 315

Cautionary statement
See the inside back cover of this document for the cautionary statement regarding forward-looking statements.
Non-IFRS measures
We use a number of adjusted, non-International Financial Reporting Standards (IFRS) measures to report the performance of our business. Total reported
results represent the Group’s overall performance under IFRS. Adjusted results and other non-IFRS measures may be considered in addition to, but not as a
substitute for or superior to, information presented in accordance with IFRS. Adjusted results and other non-IFRS measures are defined on pages 82 and 83
and reconciliations to the nearest IFRS measures are on pages 93 to 95.
We are a focused biopharma
company with strong momentum
and big ambitions.
We prevent and treat disease with vaccines,
specialty and general medicines. We focus
on the science of the immune system and the
use of new platform and data tec hnologies,
investing in four core therapeutic areas
(infectious d iseases, HIV, respiratory/
immunology and oncology). Our Ahead
Together strategy means intervening early
to prevent and change the course of disease,
helping to protect people and support
healthcare systems.
We’re confident in our future. With our
strong momentum and improving outlook
for sustained growth through the decade,
we're confident in our ability to deliver
human health impact at scale, worldwide.
We’re committed to getting ahead of
issues that matter for society and for
the sustainability of our company, too –
including access to healthcare, diversity,
equity and inclusion, and the health of
our planet. We're sector leaders in ESG
performance, making an impact on some
of society’s most urgent challenges.
Our purpose puts our people at the heart
of our success. Core to our Ahead Together
ambition is to make GSK a place wher e
talented people thrive. Our culture of being
ambitious for patients, accountable for
impact and doing the right thing is the
foundation for how, together, we deliver for
our patients, shareholders and GSK people.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023

1
Financial
We delivered strong performance and upgraded our growth outlooks. Broad-based performance drove
sales, profits and earnings growth.

Group turnover (£bn) |  |  | Turnover by product area (£bn) |

£30.3bn | AER 3% CER 5% |

2023 growth excluding COVID-19 solutions 12% AER 14% CER

l | Vaccines
£9.9bn AER 24% CER 25%
l | Specialty Medicines
£10.2bn AER (9)% CER (8)%
l | General Medicines
£10.2bn AER 1% CER 5%

Total operating profit (£bn) |  |  | Adjusted operating profit (£bn) |

£6.7bn | AER 5% CER 10% |  | £8.8bn | AER 8%1 CER 12%1 |

2023 growth excluding COVID-19 solutions 12% AER 16% CER

Total continuing earnings per share (p) |  | Adjusted earnings per share (p) |
121.6p | AER 10% CER 16% |  | 155.1p | AER 11%2 CER 16%2 |

2023 growth excluding COVID-19 solutions 16% AER 22% CER

Cash generated from operations (£bn) |  |  | Free cash flow (£bn) |

£8.1bn |  |  | £3.4bn |

We use a number of adjusted, non-IFRS, measures to report the performance of our business. Adjusted results and other non-IFRS measures may be considered
in addition to, but not as a substitute for or superior to, information presented in accordance with IFRS. Adjusted results and other non-IFRS measures are
defined on pages 82 and 83. AER – actual exchange rate; CER – constant exchange rate. Excluding COVID-19 solutions as defined on page 85.
(1) Adjusted operating profit +12% (with further positive impact of +4% excluding COVID-19 solutions) at CER.
(2) Adjusted EPS +16% (with further positive impact of +6% excluding COVID-19 solutions) at CER.

| Key performance indicator attributable to continuing operations |  | Linked to executive remuneration. See pages 142 to 149 for more details

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
2023 performance and key performance indicators

2
Research and development
We continued to strengthen the late-stage pipeline with organic R&D delivery and targeted business
development, supporting future growth.

£10bn |  | 4 |  | 18
innovation sales of products launched or with major lifecycle innovation expansion in the last five years |  | major approvals including in infectious diseases, HIV and oncology |  | assets in phase III/registration
71 |  | 6 |  | 12
assets in the pipeline |  | major business development deals |  | at least 12 major product launches planned from 2025 1

Pipeline value and progress are not reported externally because of their commercial sensitivity.

Responsible business

We continue to be recognised for our environmental and sustainability leadership. Our ESG Performance
Rating is on track based on 95% of all performance metrics being met or exceeded. The metrics cover
our six focus areas: access to healthcare, global health and health security, environment , diversity,
equity and inclusion , ethical standards, and product governance (see pages 45 to 55).

1st |  | 11 |  | 10%
in the pharmaceuticals industry in the S&P Global Corporate Sustainability Assessment, with a score of 84 (as of 24 November 2023) |  | Global Health pipeline assets progressed to address priority World Health Organization (WHO) diseases |  | reduction in operational carbon emissions (Scope 1 and 2)

Culture

Culture progress – ambitious for patients, accountable for impact and do the right thing – is measured
through our employee surveys. Our employee engagement score remained high at 81% in 2023.
+ Read more on page 14

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
2023 performance and key performance indicators continued

3
(1) Planned launches of products with non-risk adjusted peak year sales of >=£2 billion. See 'Guidance and outlooks, assumptions and basis of
preparation related to 2024 guidance, 2021-26 and 2031 outlooks' on inside back cover and FY 2023 results slides on gsk.com.
The programme of change Emma
and her team are delivering is
fundamentally improving GSK’s
competitiveness: sharpening
operational execution and cost
discipline; strengthening the pipeline;
enhancing the Group’s capital
allocation capacity; and shifting
GSK’s culture to combine high integrity
with performance.
As is a lso clear from this report, GSK is
developin g a distinctive role and voice
in prevention of disease, offering clear
benefits to patients, healthcare
systems and wider society.
Strategic progress
In 2023, we saw further evidence
of the success of this transformation.
Operationally, GSK is performing
better – and crucially more
consistently and competitively –
than at any point in the last 20 years.
Group sales and operating profits
grew strongly in 2023 and well ahead
of the outlooks for more than 5 and
10% CAGR (excluding COVID-19
solutions) previously set for the
period to 2026. GSK’s progress
and momentum is such that we
have now upgraded these outlooks
to more than 7 and 11%1 respectively.
Growth is being driven by very strong
performance across all areas of the
business, especially Vaccines and
Specialty Medicines, including in HIV
and respiratory, where the company
has built significant leadership
positions and competitive advantage.
The exceptional launch of the world’s
first RSV vaccine, Arexvy, in the US was
a clear stand out achievement for the
year.
Cost discipline across the Group
continues to improve. Following
a period of n ecessary investment
in product launches, management
is now focused on deliv ering further
improvements in operating margin
over the coming years.
As I have previously discussed,
the demerger of Haleon in 2022
fundamentally reset and strengthened
GSK’s balance sheet. During 2023 we
monetised £1.8 billion of our holding in
Haleon to enable further investment in
the pipeline and the future growth of
the company.
We have also confirmed our
commitment to shareholder returns
through a progressive dividend policy.
The Board agreed to pay shareholders
an increased dividend of 58p per
share for 2023, up 3p per share 2 on
a comparable basis.
R&D progress
Executing the company’s late-stage
pipeline and strengthening our earlier-
stage R&D and technological
capabilities, remains the company’s
number one priority. This continues to
receive significant attention from the
Board, including through our Science
Committee, which undertook detailed
reviews during 2023 of several
research areas, including vaccines
& RNA technology, antimicrobial
resistance (AMR). oligonucleotides,
antibody-drug conjugates (ADCs)
and liver disease (NASH).
Improving R&D productivity is
inevitably a long-term programme.
But I was pleased to see good
progress made during the year, both
organically and through targeted
business development. In total we
deployed approximately £2 billion to
R&D business development, including
acquisitions and partnerships during
the year.
As Emma sets out in her letter on
pages 6 to 7, GSK now has significant
and potentially very valuable late-
stage R&D programmes in vaccines/
infectious diseases, HIV, respiratory
and specific areas of oncology.
Successful progression of these
programmes is vital to support the
Group’s growth outlook in the second
half of the decade and beyond.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Chair's statement

4
In 2023 GSK continued
to make significant
progress on its strategic
transformatio n.
(1) See 'Guidance and outlooks, assumptions and basis of preparation related to 2024 guidance,
2021-26 and 2031 outlooks' on the inside back cover and FY 2023 results slides on gsk.com
(2) GSK group dividend in 2022 was 55p, this is GSK related only and excludes the dividend related to
Consumer Healthcare in H1 2022.
Culture and responsibility
I believe that one of the strongest
drivers of GSK’s long-term
performance is the culture shift that
Emma and her team are driving.
We are seeing significant change here,
with the focus on developing a clear
purpose, strengthening leadership,
and embedding business-relevant
values and behaviours.
Ensuring environmental, social and
governance considerations are also
properly embedded into our strategy
remains very important. I was
delighted to see the company
ranked first in the sector in S&P’s
2023 assessment of Corporate
Sustainability.
GSK also continues to lead in our
approach to ensuring global access
to our products and in developing
new medicines and vaccines for
diseases such as malaria and TB
which disproportionately affect the
poorest countries in the world.
2023 was also the second year of
operation of our new remuneration
policy. This is designed to support
achievement of outperformance
across strategic, f inancial and ESG
goals, and I believe it is helping to
drive the strong performance
culture and deep commitment to
responsibility that is evident at GSK.
Shareholder returns
The Board remains focused on
delivering strong shareholder returns
and valuation for GSK over the long
term.
It is clear from the extensive meetings
and discussions I have had with
shareholders over the year, that they
recognise the significant performance
improvements that have been
delivered. Emphasis has now moved
from the shorter-term outlooks to
2026, to the medium term to 2031.
The upgraded outlooks we have given
for both periods show the confidence
of the Board and Management in
GSK’s future.
The uncertainty around Zantac
(ranitidine) litigation has clearly
impacted GSK’s share price
performance over the 18 months.
We continue to vigorously defend
ourselves against the remaining
claims in the US, including the
ongoing proceedings in Delaware
and hope to see greater clarity on
the litigation during 2024.
Board evolution
The composition and maturity of the
Board continues to improve to ensure
we have the relevant skills and
experience to provide good oversight
and support, and constructively
challenge management as GSK’s
business develops as a pure
biopharma company.
I was pleased to welcome Wendy
Becker to the Board in October.
Wendy is a highly experienced
non-executive director and brings
excellent business, technology and
life sciences experience.
She will also succeed Urs Rohner
as Chair of the Remuneration
Committee when he steps down
at the May 2024 AGM. I would like
to thank Urs for his contribution to
the GSK Board, particularly the
development of our new
remuneration policy, approved
in 2022, to incentivise and reward
management performance. He has
been a consistent and determined
supporter of GSK and has provided
huge support to Emma and I.
I was also pleased to welcome Julie
Brown as Chief Financial Officer
(CFO) in May last year. Julie brings
huge experience in life sciences and as
a CFO of large UK-based companies.
The GSK Board now has excellent, in
many cases world-leading, experience
and expertise including in human
genetics, vaccines, respiratory and
infectious disease; advanced
technologies including in AI and ML;
biopharma commercial and financial
expertise and US payer, HCP and
patient understanding.
GSK is performing better than it has
done for many years and has an
increasingly positive outlook, and this
is due to the energy, commitment and
leadership of Emma and her team in
support of the company’s ambitious
programme of change.
Finally, I would also like to thank all
of our people, partners, customers
and shareholders for their support
and commitment through the last year
and I look forward to another year of
progress in 2024 for GSK.
Sir Jonathan Symonds
Chair

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Chair's statement continued

5
The excellent performance we
delivered in 2023 provides us with
clear momentum and we expect to
deliver another year of meaningful
growth in 2024, as we continue to
focus on prevention and changing
the course of disease.
Delivering on our commitments
In 2021, we set out a series of
commitments to shareholders,
including for a 'step-change' in
performance, following the significant
transformation in GSK’s structure,
strategy, capital allocation and
culture.
Since then, we have delivered 10
quarters of consecutive sales growth
(excluding COVID-19 solutions), and
around two-thirds of sales are now
generated from Vaccines and
Specialty Medicines, a key strategic
priority.
At the same time, we have continued
to strengthen our pipeline. We now
have 71 vaccines and medicines in
clinical development and the majority
of the late-stage assets we highlighted
in 2021 have moved forward positively.
Since 2021, we have also added
multiple new opportunities through
targeted business development,
securing more than 16 acquisitions
and alliances for innovative assets
and new technologies.
We have achieved all of this whilst
maintaining a continued sharp focus
on operating margins and cash flow –
mindful of the need to both invest for
the future and to deliver attractive
returns to shareholders.
Strong 2023 performance
As set out on pages 2 to 3, our
performance for 2023 demonstrated
this progress, with sales excluding
COVID-19 solutions and both total and
adjusted profits growing at double-
digit levels at CER.
A clear highlight for the year was the
exceptional launch of Arexvy, the
world’s first vaccine for RSV, which
contributed £1.2 billion of sales in its
first year. More than 10% of American
adults aged 60 years and older have
now been vaccinated against RSV,
and over two-thirds of those have
been vaccinated with Arexvy. Over
time we expect Arexvy to generate
annual sales of more than £3 billion
and 2024 sales to be driven by further
penetration, initial roll out of the
vaccine in Europe and Japan and
expansion of Arexvy’s indication to at
risk individuals aged 50-59 years.
Our shingles vaccine, Shingrix,
also delivered another very strong
performance in 2023, with £3.4 billion
of sales. In Specialty Medicines, our
HIV business grew strongly, up 13%
CER, driven by acceleration in our oral
two-drug and long-acting injectable
regimens for treatment and
prevention. We also saw good
progress in respiratory with our
market-leading IL-5, Nucala, up 18%
CER. Lupus treatment Benlysta was
also a major contributor up 19% CER.
Overall, sales from new products
launched since 2017 contributed more
than £11 billion.
This level of performance helped us to
generate free cash flow of £3.4 billion.
As a consequence of this performance
and momentum, we were also pleased
to increase the dividend for the year to
58 pence per share.
Pipeline strengthening
In R&D, we continued to make
progress in 2023 both organically and
through business development, as set
out on pages 16 to 30. We delivered
four major product approvals during
the year: Arexvy; Apretude in HIV
prevention; Ojjarra for myelofibrosis
and Jemperli in first-line endometrial
cancer. With 18 assets now in phase III
or registrational studies, we are looking
forward to further significant late-
stage R&D milestones in 2024.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
CEO’s statement

6
GSK is delivering on
its commitments and
performing to a new
standard.
Targeted business development also
continued to strengthen the pipeline
and support future growth. Our activity
in 2023 included the acquisition of
Bellus Health and Aiolos Bio 1, which
both further strengthen our respiratory
pipeline, and the signing of licence
agreements with Janssen and Hansoh
Pharma, in infectious diseases and
oncology.
Upgrading our outlooks
In 2024, we expect another year of
meaningful growth of sales, adjusted
operating profit and EPS. We have
also upgraded the outlooks we
previously gave for the period
2021-2026, and 2031.2
This is all because of the progress we
have made to develop our portfolio
and pipeline.
Alongside our current growth drivers,
we are now planning for at least 12
major product launches from 2025,
most of which will be in the next four
years.
This includes new potential
vaccines for meningitis, influenza,
pneumococcal disease and herpes
simplex virus (HSV); potential
medicines for long-acting HIV
treatment and prevention; a potential
functional cure for hepatitis B,
bepirovirsen; and a new portfolio of
potential anti-infective treatments,
including gepotidacin. We also have
potential new medicines for respiratory
diseases with high burden and unmet
need: depemokimab and camlipixant.
And finally, in oncology, we have
further potential indications for
Jemperli and potentially CD226
targeting a variety of cancer types.
Our upgraded outlook for 2021-2026
is for sales to grow more than 7% and
adjusted profit by more than 11%, on
a CAGR basis. And by 2031, we now
believe we can deliver more than
£38 billion of sales. This is an increase
of £5 billion versus the estimate we
gave in 2021 of more than £33 billion,
and represents a marked acceleration
as, in effect, we now expect to reach
our original 2031 goal by 2026, five
years earlier.
We will continue to focus strongly on
margin improvements, while retaining
flexibility to invest in growth. And we
will keep working to deliver more, as
it is important to emphasise that none
of our forecasts include anticipated
business development, further progress
in our early-stage pipeline, or
additional productivity improvements.
All of that points to a strong outlook
for GSK with sustained growth through
the decade.
Building trust
We are committed to making GSK
a place where talented people can
thrive, with a culture where we are all
ambitious for patients, accountable for
impact and do the right thing. It was
very positive that engagement scores
remain high, at 81%, in our latest
employee engagement survey.
Operating responsibly remains core
to GSK. We aim to continue delivering
sector-leading ESG performance, as
recognised in our latest ranking as
sector leaders of the S&P’s Global
Corporate Sustainability Assessment.
This reflects strong progress across our
six core ESG areas: Access to
healthcare, Global health and health
security, Environment, Diversity, Equity
and Inclusion, Ethical standards and
Product governance.
We have long-term goals and key
metrics in place for all these areas,
and our overall performance rating for
2023 was ‘on track,’ based on 95% of
metrics being met or exceeded.
Highlights for the year included,
moving to phase III development for
our low-carbon Ventolin inhaler
programme, achieving our leadership
diversity aspirations two years early,
and Gavi confirming the roll out of our
malaria vaccine, Mosquirix, in up to 12
countries in Africa. Further details are
set out on pages 45 to 55 and in our
published standalone ESG
Performance Report.
Clear momentum as we look ahead
In conclusion, GSK has strong
momentum and improving outlooks.
As a standalone biopharma company,
with expertise in developing innovative
vaccines and medicines, we have
enormous opportunity to prevent and
change the course of disease for
hundreds of millions of people.
All of this bodes well. Equally, we also
know there is much to be done. We
remain very focused on delivering this
potentia l – and more – at continued
pace for patients, for shareholders
and for our people.
Finally, as ever, it is our people who
fuel this momentum and I want to
thank them for all they have achieved
during 2023. I am very optimistic for
the future and excited by what we can
achieve, to get ahead of disease,
together.
Emma Walmsley
Chief Executive Officer

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
CEO's statement continued

7
(1) Closed in early 2024.
(2) See 'Guidance and outlooks, assumptions and basis of preparation related to 2024 guidance,
2021-26 and 2031 outlooks' on the inside back cover and FY 2023 results slides on gsk.com
We unite science, technology and talent to get ahead of disease together for
health impact, shareholder returns and thriving people.

Central to our success are our people: experts in science, technology, manufacturing, regulation, intellectual property and commercialisation...

70,200 |  | >75 |  | 22,000
GSK people |  | countries worldwide |  | suppliers working directly with GSK
£6.2bn |  | 37 |  | 4
R&D investment in 2023 – up 13% AER, 14% CER 1 |  | manufacturing sites |  | global R&D centres in the US, UK, Belgium and Italy

...who are identifying, researching, developing and testing ground-breaking discoveries, and manufacturing and commercialising...

Vaccines
Our broad vaccines portfolio targets
infectious diseases at every stage of
life, helping to protect people from
meningitis, shingles, RSV, flu, polio
and many more.
Specialty Medicines
Our specialty medicines prevent
and treat diseases, from HIV and
respiratory diseases, to immune-
inflammation diseases like lupus, to
cancer. Many are first or best-in-class.
General Medicines
We have a portfolio of more than
150 primary care medicines, including
our inhaled medicines for asthma and
COPD, and antibiotics for infect ions.

...products that prevent and treat disease, improving the health of millions of people around the world in our core therapeutic areas...

Infectious diseases
Our infectious diseases
portfolio is the broadest in
the industry and, including
HIV, accounts for two thirds
of our pipeline.
HIV
We are leaders in HIV,
focused on ending the
global epidemic. We
have an industry-leading
pipeline, driven by patient
insights.
Respiratory/
immunology
We’re pushing the frontiers
of respiratory science and
harnessing the science of
the immune system to
transform patient outcomes
in areas of unmet need,
based on decades of
innovative research.
Oncology
We have an emerging
portfolio focused on blood
and women's cancers,
and are seeking to
make transformative
breakthroughs in
immuno-oncology.

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Business model

8
(1) Total R&D expenditure includes intangible asset amortisation and impairments plus immaterial amounts of major restructuring and other costs.

...powered by technology...

Pipeline
We are leve ragin g new platform and
data technology at every step of the
R&D process to be faster, more
effective, and more predictive in
discovering and developing innovative
new medicines and vaccines.
Performance
We use technology to enable
more productive and efficient
manufacturing processes, supply chain
reliability and returns on investment.
People and productivity
Technology is also core to how we
work. We ensure our people have
the tools, analytical capabilities
and resources to make data-driven
decisions and do their best work.

...steered by our long-term priorities...

Innovation
We develop and launch new
medicines and vaccines where
they are needed, with better
and faster R&D.
Performance
Our bold ambitions for patients are
reflected in our upgraded growth
outlooks to 2026 and 2031.
Trust
We focus on issues where we can
have the greatest impact and reduce
pressure on health systems including
tackling health challenges and
inequities, protecting the environment
and taking action on diversity, equity
and inclusion.

...and creating value for:

Patients |  | Shareholders |  | Society
2.3bn |  | 58p |  | £1.3bn
packs of medicines and doses of vaccines delivered |  | per share dividend |  | corporate income tax paid; in addition we pay duties, levies, transactional and employment taxes

The economy
Disease prevention and earlier intervention to improve health can lessen pressure
on health systems and support economic productivity.
Our people
We support all our people to grow, be well and do work that really matters.
Reinvestment
The returns we make enable us to reinvest in discovering and developing new vaccines
and medicines so we can continue getting ahead of disease.

Company directors are required by law to promote the success of their organisation for the benefit of both shareholders
and their wider stakeholders, including employees, suppliers and the community. Information on the issues, factors and
stakeholders that the Board considers relevant to complying with Section 172 (a) to (f) of the Companies Act 2006 is in the
Section 172 statement of the Corporate governance section on page 123.
+ Our business model is supported by our ESG strategy, described on page 46
+ Our strategy is supported by a robust framework for monitoring
and managing risk, see page 57

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Business model continued

9
Five major themes influenced our external environment in 2023.
Here, we set out what they mean for us and how we are responding.

Economic growth shows resilience but pressure continues on public finances

The global economy proved to be
more resilient than expected in 2023.
But the recovery remained relatively
fragile and uneven, with prospects
diverging between regions.
Many countries continued to grapple
with persistent inflation, driven by
factors including tight labour markets.
Several major central banks
responded by increasing interest rates,
adding to the burden of rising costs for
consumers and businesses. Despite
sticky inflation and a consequent
tightening of monetary policy, the
global economy continued to expand,
albeit at a slower rate.
There were notable pockets of
strength. America’s economy grew in
2023, buoyed by sustained consumer
spending and robust government
spending associated with
infrastructure investment legislation
passed in 2021 and 2022. But this
resilience was not always mirrored
elsewhere. For example, forecasts for
the eurozone were revised downwards,
as the region continued to feel the
impact of weaker demand and
higher costs.
Amid rising levels of debt and political
volatility, global growth prospects
remain tepid.
Public spending – including on health
– remains under strain. Governments
face unprecedented pressure on their
finances due to a string of economic
shocks, sustained sluggish growth and
higher debt. Higher interest rates are
now making it more challenging to
service those debts. This is compelling
governments to make tough choices
about where to direct spending.

Geopolitical tensions fuel shifting alliances

Fragmentation and regionalisation
continued to grow in 2023, with
ongoing conflicts in Ukraine and
the Middle East focusing ever more
attention on political alliances.
Tensions between China and the US
remained, with new export controls
and investment screening mechanisms
emerging on both sides, particularly
focused on critical minerals, AI,
semiconductors and biotechnologies.
But there were signs of relations
improving between the two nations,
with their presidents meeting for the
first time in a year on the sidelines
of the Asia-Pacific Economic
Cooperation summit.
New alliances also emerged,
potentially shifting the weight and
influence of various blocs. A summit
in August saw the BRICS group of
countries widen its membership, for the
first time since 2010, inviting six further
countries, including Saudi Arabia and
Iran, to join.
As countries look to diversify and de-
risk their supply chains in strategic
sectors including biopharmaceuticals,
many are looking towards India as
an alternative supplier to China.
Yet against this backdrop, activity in
China's biopharmaceutical sector is
resilient, recognising the acceleration
of Chinese innovation and growth
potential.
More low and middle-income
countries capitalised on global policy
forums, such as the UN General
Assembly, to set the agenda on issues
related to health, new technologies
and industrial development. With more
diverse voices on global platforms,
inequality is seen as a critical issue
where governments must collectively
make progress. In healthcare, there
are debates around the best measure
of widening access, with attention
on equitable distribution of the
infrastructure, capability and know-
how to make health products, while
protecting intellectual property rights
and efficient supply chains.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Our external environment

10
3%
Global growth was forecast
to slow to 3% in 2023.1
>25%
In August 2023, six further
countries were invited to join
the BRICS group. The
combined economies of an
enlarged group would be
worth more than $28.5 trillion
– more than a quarter of the
world's economy.2
(1) https://www.imf.org/en/Blogs/Articles/2023/10/10/resilient-global-economy-still-limping-along-with-growing-divergences.
(2) https://www.bbc.co.uk/news/world-66525474

Changing demographics create opportunity for innovation and prevention

Pressures on health systems continued
into 2023 amid ongoing efforts to
recover and rebuild in the aftermath of
the COVID-19 pandemic. Populations
are ageing, bringing more complex
health needs. Chronic diseases are
taking an increasing toll while infectious
diseases remain a significant threat.
The individual impact of changing
demographics and disease patterns
extends to societies and economies at
large. Poor health is a significant drag
on economic growth. Every year, poor
health costs around 15% of global real
GDP from premature deaths and lost
productive potential among working
age people 1. In the UK alone, 131
million working days are estimated
to be lost each year due to illness.2
Despite the potential to improve
individual outcomes and boost
economic productivity through
investing in health, particularly through
prevention and earlier intervention,
governments continued to look for cost
savings in health systems. The US
progressed implementation of the
Inflation Reduction Act (IRA). This
included selecting the first 10 drugs
for potential price cuts under a new
programme enabling Medicare to
negotiate the price of some of the
costliest medicines. While this could
potentially limit future innovation and
access to currently available
medicines, the IRA does bring
meaningful benefits to certain
Medicare patients, such as access
to vaccines without having to bear
part of the cost.
The EU also took forward legislation
that could test pharmaceutical
innovation and competitiveness.
Meanwhile, the UK agreed a five-year
deal aimed at reducing medicine costs
for the NHS by setting an annual limit
on the allowed growth in sales value of
branded medicines.
Even as governments sought ways to
cut medicine costs, they continued to
look to the biopharma industry to be
a driver of innovation and economic
growth, with the US President's State
of the Union address underlining an
appetite for more and better
treatments, particularly in cancer.
This highlights the potential for the
biopharma industry to be a partner
in recovery, harnessing science and
technology to provide solutions that
help prevent and change the course of
disease and bring value to individuals,
health systems and societies.

Balancing potential of tech and data with appropriate use

Rapid advances in science and
technology continue to shape the life
sciences sector and R&D. Established
technologies such as small molecules
and vaccines remain key. Emerging
technologies, such as MAPS and
DNA/RNA therapeutics, including
oligonucleotides, are gaining ground
and building market share. Major
biopharma companies continue to
increase their focus on artificial
intelligence and machine learning (AI/
ML) to accelerate drug discovery.
Progress hinges on diverse patient
data being available for
computational research, in particular
genomic data, linked to health
information held in clinical records.
Revolutions in data and technological
capabilities open up new possibilities
for patients through advances in drug
discovery, as well as enhancing
manufacturing and supply of
medicines. But the possibilities for
improving health outcomes need to be
balanced with appropriate regulation
that supports innovation and ensures
responsible use by those who develop
the technology, as well as those who
use and apply it. During the year, the
debate around regulation of AI
gathered pace as governments
stepped up their efforts to examine the
technology’s promise and risks.
In the first legislation of its kind, the EU
passed the AI Act in June 2023, taking
a stringent approach that does not
consider context-specific use of AI in
healthcare. The US and the UK
continue to consider how to place
appropriate guardrails around the use
of AI, while supporting innovation and
considering implications for specific
sectors. At a landmark summit in
November 2023, the UK, EU, US,
Australia and China all agreed to work
together on AI safety research.

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Our external environment continued

11
1.6bn
Societies are ageing, bringing
different health challenges.
The number of people aged 65
years or older worldwide is
projected to more than double,
rising from 761 million in 2021
to 1.6 billion in 2050.3
$45bn
In the last five years, biopharma
has entered into collaborations
with AI companies which are
estimated to be worth more than
$45 billion.4
(1) www.mckinsey.com/industries/healthcare/our-insights/how-prioritizing-health-could-help-rebuild-economies
(2) www.cbi.org.uk/media-centre/articles/boosting-workforce-health-can-help-the-uk-achieve-economic-growth-ambitions-says-cbi/
(3) www.un.org/development/desa/dspd/wp-content/uploads/sites/22/2023/01/WSR_2023_Chapter_Key_Messages.pdf - Chapter Key
Messages_WSR 2023 (un.org)
(4) www.accenture.com/content/dam/accenture/final/accenture-com/document-2/Accenture-Tech_Vision_Biopharma_Accenture-Merging
%20atoms%20and%20bits%20in%20Life%20Sciences_V14.pdf

Pressure increasing on climate and nature action

Economic pressures and political
realignments are influencing how
countries approach global challenges
that need collective action, including
climate change and nature loss. The
Intergovernmental Panel on Climate
Change issued a 'final warning' in
March 2023 to keep the 1.5°C degrees
target within reach,1 setting out the
urgency for sufficient and swift climate
action. Some regions see the need for
climate action as an opportunity to
use green policies as a lever for
growth. For example, the European
Commission set out a Green Deal
industrial plan to make Europe a
centre for clean technology and
innovation.
But as policy makers tackled rising
inflation and increased living costs,
climate targets came under pressure.
The UK softened its net zero policies
and EU environment ministers did not
increase their target for reducing
greenhouse gas emissions, after
opposition from some member
countries.
At the international climate
conference COP28 in Dubai, countries
committed to transition away from
fossil fuels and to triple renewable
energy capacity. It also saw the
climate-health agenda given more
prominence than ever before, with 123
governments endorsing the COP28
Declaration on Climate and Health.
Companies continue to take action to
reduce their climate impact and protect
their business model, taking steps to
ensure their products and supply chains
remain resilient to the consequences of
climate change. Scientific evidence of
the link between climate change and
human health means we continue to
see high expectations of the healthcare
sector to both reduce carbon emissions
and respond to the health impacts of
climate change. During the year,
biopharma companies stepped up their
commitments, including to strengthen
locally led adaptation and health
resilience programmes for vulnerable
communities affected by climate
change.
There's also a growing focus on
limiting nature loss. The Taskforce on
Nature-related Financial Disclosures
released its final recommendations in
2023, providing a risk management
and disclosure framework for
organisations to report and act on
evolving nature-related risks.
See the Responsible Business section
on page 45 and Nature-related
Financial Disclosures on page 62.

Our position

In a challenging economic and
political landscape, it's critical that
we invest in a pipeline of vaccines
and medicines that prevent and
change the course of disease, to
meet changing and unmet healthcare
needs. At the same time, we have to
work with governments, regulators and
industry partners to make sure these
medicines and vaccines can reach
patients at scale, bringing value to
both the people who need them and
to payers.
Scientific innovation is a critical lever
to improve health, boost productivity
and economic growth, and ease the
strain on health systems. We continue
to work with our peers and
governments to make sure that the
policy and regulatory environment
stimulates and sustains innovation.
This includes, for example, advocating
for appropriate IP protections; a
balanced regulatory framework that
supports the discovery and delivery of
vaccines and medicines developed
through emerging technologies; and
reinforcing the importance of global,
diversified supply chains.
As the pricing environment becomes
tougher, we believe we’re well placed
to offer a differentiated, high-value
pipeline across prevention and
treatment of disease. This is built on
using transformational new technology
and techniques to make our R&D
faster and smarter. Demand for data
and real-world evidence to support
continued reimbursement of new
products is likely to increase.
We continue to work with payers to
design innovative solutions that
manage their risk and uncertainty,
while also recognising the full health,
social and economic value of
innovative medicines and vaccines.
Populations are ageing, infectious
diseases are still spreading and
chronic diseases are taking a greater
toll. All of this is creating unsustainable
pressure on health systems. More than
ever, we believe that getting ahead of
disease is the best investment – for
patients, carers, communities, health
systems and economies.
We’ll continue to work with
governments, payers and partners
to move towards new models of care
that enable earlier action to prevent,
diagnose and treat disease. Together,
we have an opportunity to rethink
health – not just to treat sickness, but
to invest in keeping people well.

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Our external environment continued

12
100
In further evidence of a
growing investor interest in
nature, ‘Nature Action 100’
aims to mobilise institutional
investors to establish a
common agenda for
corporate action on nature. It
will focus on eight sectors,
including biotechnology and
pharmaceuticals.
(1) https://sciencebasedtargets.org/blog/
ipcc-releases-final-warning-to-keep-1-5-
c-within-reach
For more on why and how prevention
underpins our purpose to get ahead
of disease, see page 13
Prevention is at the heart of getting ahead of disease – preventing ill health
in the first place and stopping disease in its tracks.

| Why is prevention important? |
| Health systems are stretched and health needs are evolving as demographics and disease patterns change. |
| >3 million |
| premature deaths among people under 75 could have been avoided through better prevention and healthcare interventions across OECD countries in 2019. This amounts to over a quarter of all deaths. (source: OECD) |
| $1 trillion |
| loss in productivity each year in the G20 from preventable conditions among people aged 50-64. (source: ilcuk) |
| $7 trillion |
| In the US alone, health spending is projected to reach almost $7 trillion by 2030. (source: CMS) |
| Prevention and earlier intervention offer a solution to these challenges, helping to improve people's health outcomes – and bring benefits to health systems and economies. |
| $12 trillion |
| could be added to global GDP by 2040 by improving health. Around half of the annual economic benefits would come from a larger and healthier workforce. (source: McKinsey) |

What does prevention mean to us? |
Preventing and changing the course of disease is at the heart of what we mean by getting ahead of disease together. By harnessing our science and technology, we have an | opportunity to prevent disease in the first place, as well as change the course of a disease – helping to prevent or slow progression of an illness and limit long-term complications. |
Prevention is a focus across our pipeline and portfolio including: |
|  | Vaccines We’ve built one of the broadest vaccine portfolios in the industry to help protect people at all stages of life, from childhood to older age. With our wide range of vaccine technologies like MAPS, mRNA and adjuvants, we can take a targeted approach, allowing us to develop tailored vaccines for different diseases and individuals – see page 18. |
|  | HIV For decades, we’ve transformed the lives of people living with HIV by making breakthroughs in treatment and prevention. We’re focusing research on novel treatment options that allow people living with HIV to take fewer drugs or take them much less often, and we’ve also developed a long-acting regimen that can prevent HIV – see page 22. |
|  | Severe asthma Our decades of experience in respiratory care have led us to create treatments that could bring patients closer than ever before to remission for severe asthma. This could free them from exacerbations (attacks) that cause cumulative lung damage and could potentially avoid hospitalisation – removing the need for oral corticosteroids, stabilising lung function and controlling symptoms – see page 23. |
|  | Hepatitis B Using the latest AI/ML techniques, our scientists have identified biomarkers to help work out which treatment combinations fit which patients. This potentially increases the likelihood of achieving 'functional cure' – when the virus is no longer present in the blood, and liver functions have normalised, stopping any future damage – see page 19. |
We believe that preventing and getting ahead of disease is the best investment for everyone – for patients, carers, communities, health systems and economies. | We want to work with patients, policy makers and our peers to stop disease in its tracks, creating the right conditions to champion prevention and enable timely, proactive access to preventative interventions. |

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At GSK, we believe prevention is the best medicine

13
Our purpose – to unite science, technology and talent to get Ahead
of disease Together – puts our people at the heart of our success.
Our culture
We are committed to making GSK a place where people
can thrive, with a culture where we are all ambitious for
patients, accountable for impact, and do the right thing.
This means we support our people to do things better and
faster, focusing on what matters most. It means setting clear
objectives, creating accountability for results and giving
everyone the support and space they need to succeed.
It means doing everything responsibly with integrity and
care, because people and patients around the world count
on us. Our culture is embedded in everything we do from
our recruitment and onboarding, training and development,
to our assessments of performance and promotion.
Our Code sets out our culture as well as the commitments
GSK and our people make so we can deliver on our
ambition in the right way. Our people sign up to
The Code annually and personally commit ‘I’m in’.
+ See The Code on gsk.com 1
Helping people thrive
Making GSK a place where people thrive is core to our
Ahead Together ambition. While thriving is different for
each individual, there are common themes that matter
to everyone. Firstly, a belief in our purpose and a desire to
live our culture and contribute to delivering our ambition.
Secondly, feeling included and able to be yourself with
opportunities to keep growing, with the support, feedback
and space needed to succeed. And finally, feeling good,
with positive mental, physical, financial and social wellbeing.
This means GSK should be a place where people feel
welcome and valued, in an environment (including our
policies, workplaces and ways of working) that enables and
supports them to deliver at their best.
Welcoming and developing outstanding people
We are committed to developing outstanding people and
giving them opportunities to grow. We expect all our people
to have an agreed development plan, regardless of grade
or role, based on a conversation to understand what space
and support they need to succeed. We continue to invest in
learning and development initiatives which everyone can
access through our Keep Growing Campus, our training
and knowledge sharing platform.
Digital and technology remain core to our purpose and
delivery of our ambitions. We have built our people's skills
in this area with global events such as DataCon, where all
employees can experience immersive sessions to see first-
hand how to apply digital, data and tech tools including
generative AI to become more digitally fluent. This year,
more than 7,000 employees took part from every business
unit and 28 countries. In our Data Academy, employees
can access resources and online training. We've run
programmes to develop our senior leaders' leadership
skills in the digital age. We've also piloted a career hub
using AI to match employees with mentors, projects and
potential job opportunities. We will scale this up in 2024.
In 2023, we enhanced our onboarding experience for new
joiners by introducing monthly live virtual sessions with our
CEO and other senior leaders. By having access to senior
global leaders from the beginning of their career with us,
we aim to provide a more intimate connection to GSK and
the patients we serve, creating emotional connection with
our purpose, strategy and culture, to complement ongoing
local onboarding activities.
Supporting our people managers
Our people managers play a crucial role in helping their
teams to thrive and connecting the contributions the team
makes to the patient and GSK's broader impact. We expect
people managers to motivate, focus, care for and develop
their teams and we deliver training anchored in these four
areas. In 2023 all of our VPs were invited to attend a four
day in-person event called Leading Leaders, a programme
to help leaders bring out the best in their teams and foster
the culture we need to succeed together. We also continue
to invest in growing the next generation of senior leaders to
support our talent and succession needs through bespoke
development interventions, equipping them with leadership
skills for the future.

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Our culture and people

14
(1) https://www.gsk.com/en-gb/company/governance/compliance/#the-code
Maintaining momentum on diversity, equity
and inclusion
We are continuing our focus on building a more diverse
organisation and an equitable and inclusive culture so that
everyone feels welcome, valued and included. By taking
steps to ensure equal opportunity and non-discrimination,
we are delivering on our ambition to make our leadership
and teams more diverse and inclusive. We support
development for all with numerous offerings for our
employees, including an award-winning leadership
development programme, Accelerating Difference.
Also, all our people complete a mandatory DEI module
as part of our annual training, this year focused on how to
create an inclusive workplace so all our people can thrive.
For more details on our DEI aspirations, see the Responsible
Business section on page 52.
Health, wellbeing and volunteering
Our health and wellbeing benefits support people through
different life stages and are fair and inclusive. These include:
a global minimum standard of 18 weeks’ parental leave
for primary and secondary carers for all forms of family, a
global minimum standard for care of a family member for
end of life or serious health emergencies, insured benefits
to include same-sex partners wherever possible, and mental
health training – available to everyone. We have also
enhanced our financial wellbeing support for employees by
introducing the ‘nudge’ financial education platform in over
50 countries, helping people manage their finances and
achieve their financial goals.
In 2023 we reignited volunteering across the company,
focused on our ambition and charitable investment themes
(Health for people, Health for the planet, Innovators for
the future). All employees can volunteer for one or two
days each year by taking part in team-based hands-on
‘Together Days’ or through skills-based volunteering. A
smaller number of people can volunteer up to four days
each year for selected skills-based volunteering projects.
Performance with Choice
Performance with Choice, our approach to hybrid working
for those in office-based roles (about a quarter of our
people), allows the right balance of on-site and remote
working. We are clear in our expectations that people take
accountability to spend enough time together in person,
while maintaining flexibility, to help us continue to build
our sense of community and connectedness, enable
development and achieve our Ahead Together ambitions.
Data from our annual employee survey shows broad
support for our approach and expectations.
Recognising and rewarding our people
Sharing our success and recognising and rewarding our
people equitably, not just on the progress we have made
but how we have made it, continues to be an important part
of our culture. In addition to our bonus scheme that rewards
performance across the company, each year we award
10% of our people with extra ‘Ahead Together’ awards for
delivering exceptional performance in line with being
accountable for their impact, ambitious for patients and
doing the right thing. And we identify 5% of people as
having missed performance for those not delivering on
their objectives or living the culture.
How our people experience GSK
To ensure we continue to listen to our people, we regularly
measure their experience of GSK as a place to work.
This includes an annual survey for all employees featuring
questions on engagement, confidence, inclusivity, our
culture focus areas and trust priorities. We are proud
that our engagement levels remained high at 81% in 2023.
We also continue to see high scores with positive upward
trends in confidence in delivery of our strategy and our
culture focus areas – ambitious for patients, accountability
for impact and doing the right thing – as well as measures
of inclusion. In 2023 we expanded analysis of the survey
to understand differences in employee experience across
diverse characteristics. We continue to make good progress
in creating a culture and workplace where people feel a
sense of belonging and can thrive.
To measure the effectiveness of our global managers, their
teams provide feedback through an annual One80 survey
and managers receive anonymised aggregate feedback.
In 2023, 78% of our managers were rated as highly effective
by their teams.

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Our culture and people continued

15

Research and development |  | We combine the science of the immune system with technology and outstanding talent to find new ways to prevent and treat the most challenging diseases, better and faster.

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16
Highlights
71
vaccines and medicines
in the pipeline
18
in phase III/registration
4
major approvals

| – Arexvy, the world’s first RSV vaccine for older adults, approved in the US, EU and Japan – Apretude, long-acting preventative treatment for HIV, approved as the first and only HIV prevention option in Europe – Ojjaara/Omjjara approved in the US, EU and UK as the first and only treatment for both newly diagnosed and previously treated myelofibrosis patients with anaemia – Jemperli approved in the US, EU and UK as the only frontline immuno-oncology treatment, in combination with chemotherapy, for patients with dMMR/MSI-H primary advanced or recurrent endometrial cancer |  | – Shingrix vaccine for shingles approved for people at risk over 18 in Japan and positive data from first efficacy trial in adults aged 50 and over in China – Positive phase III data for our MenABCWY vaccine candidate, supporting filing in 2024 – US FDA Fast-Track designation for gonorrhoea vaccine candidate – Targeted business development including acquisition of Bellus Health and Aiolos Bio 1 (respiratory), licence agreements with Janssen (infectious diseases) and Hansoh Pharma (oncology) |

Our R&D approach
Our R&D purpose is to unite science, technology and talent
to get ahead of disease. This is how we discover and
develop the vaccines and medicines that will transform
people’s lives.
In 2023, our R&D expenditure was £6.2 b illion, up 13% AER
and 14% CER on 2022, driven by investment across the
portfolio. We’ve also strengthened our pipeline and
technology capabilities through business development,
seeking out new, differentiated opportunities in diseases
with high patient need. We now have 19 vaccines and 52
medicines in development, many with the potential to be
first-in-class or best-in-class.
In a revolutionary era of science and technology, we’re
making the most of rapid advances to drive the discovery
and development of vaccines and medicines. Across our
pipeline, we consider not just how we can prevent disease in
the first place, but also intervene and treat earlier to change
its course, preventing or slowing progression of an illness
and limiting longer-term complications.
Focusing on execution, technology and culture
Our priorities in R&D are:
– execution, to accelerate our pipeline, including with
business development, to deliver innovative vaccines
and medicines, see pag e 18
– technology, to deliver more innovation, better and faster,
using new platform and data technologies that speed
discovery and development and improve the chance
of success, see page 27
– culture, to create an agile, innovative environment that’s
ambitious for patients and attracts the best people,
scientists and partners, see page 29.

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Research and development

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For more on why and how prevention
underpins our purpose to get ahead
of disease, see pag e 13
(1) Closed in early 2024.

Execution

Pipeline acceleration and business development for
transformational vaccines and medicines.
Our broad portfolio and pipeline, based on the science of
the immune system and the use of new platform and data
technologies, continues to strengthen, with key milestones
across our core therapeutic areas in 2023. This positive
momentum, together with further business development,
underpins our confidence in delivering our upgraded growth
outlooks for the medium and long term.
Across all phases, our pipeline now has 71 vaccines and
medicines. More than 70% modulate the immune system
and a similar proportion are based on genetic evidence.
In 2023, we began eight phase I programmes, moved
14 assets into phase II and three into phase III. Since 2016
our development cycle times have shortened by 20%, or
3.7 years, with a median of 9.6 years, compared to the
industry's 11.4 years.
We’re investing heavily in our late-stage pipeline to
drive growth in line with our therapeutic area strategies.
We rigorously evaluate our early-stage portfolio to back
the right programmes to maximise our impact on health
and unlock pipeline value.
Reflecting our progress in 2023, we are now planning for
at least 12 major product launches from 2025.
In 2023, we reinforced our status as a world leader in
infectious diseases. We gained approvals in the US, EU
and Japan for our world-first respiratory syncytial virus
(RSV) vaccine for older adults, Arexvy, and in Japan for
our shingles vaccine, Shingrix, for people at risk over 18.
In HIV, we’re reshaping treatment and prevention by
delivering long-acting regimens, such as Apretude,
approved in Europe for HIV prevention in 2023. In oncology,
we’re optimising our portfolio, focusing on blood and
women's cancers, and breakthroughs in immuno-oncology.
In 2023, there were approvals for Ojjaara, the first treatment
specifically indicated for myelofibrosis patients with
anaemia and Jemperli, our frontline treatment for
endometrial cancer. We also had positive phase III results
for Blenrep, our treatment for multiple myeloma.
Business development is a critical contributor to growth,
creating extra value for patients, partners and shareholders.
Major deals include our acquisition of Bellus Health and
Aiolos Bio 1 and new collaborations including with Janssen
and Hansoh Pharma which we believe will bolster our
existing strengths across our therapeutic areas.
We focus on four therapeutic areas:
– infectious diseases, see below
– HIV, see page 22
– respiratory/immunology, see page 23
– oncology, see page 25.

Infectious diseases

Infectious diseases affect everyone, everywhere,
putting a major strain on societies and healthcare systems.
Our combined expertise in vaccines and medicines means
we can focus on both prevention and treatment of
infectious diseases, resulting in significant public health
benefits, reduced deaths and increased productivity. Two
thirds of the vaccines and medicines in our pipeline address
infectious diseases (including HIV), and we’re a world
leader in this area.
– Infectious diseases are responsible for an estimated
one in six deaths globally.
– Around one billion people are infected every year by
viruses like RSV, influenza virus and SARS-CoV-2 and
many need hospital treatment.
– Millions more struggle with bacterial and fungal infections
or live with chronic viral conditions like hepatitis B (hep B)
and HIV.
– Vaccine-preventable diseases impose significant medical
and economic costs related to treatment and to cover
resulting productivity losses.
For over 70 years, we’ve pioneered novel research methods
and technologies to help protect people against infectious
diseases including: chronic infections (hepatitis B, HIV,
shingles), seasonal infections (RSV, influenza), common
childhood diseases (measles), rare but devastating
conditions (meningitis) and a range of bacterial infections
made more challenging by antimicrobial resistance (AMR);
as well as diseases which predominantly affect lower-
income countries (malaria, TB, rotavirus). Of the more
than 2.5 billion people we reach this decade, a significant
majority will be through our infectious disease portfolio,
which is the broadest in the industry.
In 2023, key highlights have included approvals for Arexvy,
our world-first RSV vaccine for adults aged 60 and above,
and positive phase III data for our pentavalent meningitis
vaccine candidate.

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(1) Closed in early 2024.
Tackling RSV with the world's first Arexvy vaccine
– Around 470,000 older people each year face hospital
stays because of RSV.
– People with underlying conditions like chronic obstructive
pulmonary disease (COPD), asthma, diabetes and heart
disease are at increased risk of the severe outcomes of
RSV, such as pneumonia.
– Around 14,000 people a year die from RSV in the US,
and in the EU the figure is closer to 20,000.
In 2023, Arexvy was approved in the US, EU, Japan and
several other countries for the prevention of lower
respiratory tract disease caused by RSV in adults aged 60
and older. This followed positive phase III data published
in the New England Journal of Medicine which showed
exceptional efficacy in older people, including those with
certain underlying medical conditions, and against severe
RSV. In 2023, we reported data from season two of our
ongoing phase III trial showing vaccine efficacy over two
complete RSV seasons. The clinical development
programme will continue to evaluate longer-term follow-up
and the optimal timing for potential revaccination.
In the US, following approval by the US Food and Drug
Administration (FDA), the US Centers for Disease Control
and Prevention’s Advisory Committee on Immunisation
Practices recommended that adults 60 years of age and
older may receive a single dose of the vaccine using shared
clinical decision-making.
A rexvy is now available across the US, Canada and multiple
European countries. Regulatory reviews in other countries
are ongoing, with approvals and launches expected
throughout 2024 and beyond.
In 2023, we also reported positive preliminary data from a
clinical trial in people aged 50 to 59 at increased risk of RSV
showing non-inferior immune responses compared to adults
aged 60 and older. Based on these data, in February 2024,
the US FDA accepted a regulatory application under
Priority Review to extend the vaccine's indication for adults
aged 50-59 at increased risk. Regulatory submissions for
adults aged 50-59 were also accepted by the European
Medicines Agency and the Japanese Ministry of Health,
Labour and Welfare. In 2024, we expect to generate further
data in people aged 18 and older at increased risk of RSV,
as well as from trials exploring co-administration with other
adult vaccines including for shingles and pneumococcal
disease.
Expanding the use of our shingles vaccine
– One in three people develop shingles in their lifetime,
sometimes with serious consequences like long-term
nerve pain and loss of vision.
Shingrix, our vaccine to protect people from shingles, has
launched in 40 countries for people over 50 and for people
over 18 at increased risk of shingles. Shingrix was specifically
designed to combine one of our adjuvants with an antigen
selected to enhance a protective immune response, based
on our understanding of the virus that causes shingles. This
formulation helps overcome the natural age-related decline
in immunity that can make protecting older people from
infectious diseases challenging.
In 2023, Shingrix was approved in Japan for the prevention
of shingles in people over 18 at increased risk, for instance
due to immune suppression or immune deficiency. The
vaccine has been approved in Japan for people aged
50 and older since 2018. The latest approval followed six
clinical trials with people aged 18 or older at increased risk
of shingles, including those who had undergone stem cell
transplants or kidney transplants, or who had blood cancer,
solid tumours or HIV. A regulatory application for this
patient group was also accepted for review by the China
National Medical Products Administration in February 2024.
In 2023, we reported data from the first-ever efficacy trial of
Shingrix in China, which demonstrated 100% vaccine efficacy.
These results come from the phase IV trial (ZOSTER-076),
which evaluated the efficacy and safety of the vaccine in
preventing shingles in adults aged 50 and older.
Progressing towards a 5-in-1 meningitis vaccine
– Around 1.2 million people contract invasive
meningococcal disease (IMD) each year, and one in six
people diagnosed with it will die.
– At least one in five IMD survivors will have long-term
disabilities including brain damage, deafness and nervous
system problems.
Our meningitis ACWY vaccine Menveo and meningitis B
vaccine Bexsero together protect against most forms of
IMD. Our first-generation 5-in-1 vaccine candidate
combines these vaccines, aiming to protect against the
serotypes that cause most disease globally in a single
vaccine. In 2023, we presented preliminary phase III data
to the European Society for Paediatric Infectious Diseases
showing the vaccine candidate performed statistically as
well as Bexsero and Menveo in people aged 10 to 25. It’s
currently the only investigational 5-in-1 vaccine with data
to show immunological effectiveness against 110 diverse
meningitis B invasive strains in a trial.
Multivalent vaccines of this kind have the potential to
support the WHO's strategy to eradicate meningitis by
2030. We also have a second generation 5-in-1 vaccine in
phase II development, which aims to improve protection
against B strains in broader age groups.
Trials for our investigational medicine for chronic
hepatitis B (CHB)
– Around 300 million people are living with CHB.
– Only about 10% of these people have a diagnosis, 5%
receive treatment and almost a million die each year.
– Currently, patients take nucleoside/nucleotide analogues
(NA), often for life, because they suppress the virus but
rarely clear it.
For 35 years, we’ve been a leader in hepatitis B vaccination.
Bepirovirsen, our triple-action antisense oligonucleotide, has
the potential to be the cornerstone of functional cure for
patients with CHB. It could eliminate the need for continued
therapy, ultimately reducing the long-term risk of developing
liver complications.

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19
Bepirovirsen is the only single agent in phase III development
that has shown a clinically meaningful functional cure
response for patients with CHB receiving NA therapy,
as demonstrated in the B-Clear and B-Sure clinical trials.
As well as developing bepirovirsen in our phase III trials
for patients receiving NAs, we are also exploring potential
sequential therapy options with the aim of helping more
patients achieve functional cure.
In October 2023 we announced an exclusive licence
agreement for a phase II small interfering RNA-based
therapeutic, originally developed by Arrowhead
Pharmaceuticals. This provides a further opportunity
to develop a potential novel sequential regimen to
benefit a broader group of patients and potentially
drive higher functional cure rates.
Other infectious diseases
Pneumococcal disease
– Pneumococcal disease is the name for any illness caused
by the Streptococcus pneumoniae bacterium, which is a
leading cause of acute bacterial diseases and an
important area of growing antimicrobial resistance.
– Multiple licensed pneumococcal vaccines are available,
however the burden of pneumococcal disease remains
significant.
– In the US alone, it is estimated that pneumococcal
pneumonia causes 150,000 hospitalisations every year.
– The WHO estimates that about one million children die
of pneumococcal disease every year.
Our novel 24-valent vaccine candidate (currently in phase II
development) and 30 plus-valent pneumococcal vaccine
candidate (currently in pre-clinical development), added to
our pipeline through our 2022 acquisition of Affinivax, both
incorporate innovative MAPS platform technology.
MAPS potentially enables higher antibody responses
against more disease-causing serotypes for broader and
stronger protection (see page 27). We continue to examine
potential acceleration options in the 24- and 30-plus valent
programmes for infants and adults.
Herpes simplex virus
– Genital herpes is a chronic sexually transmitted infection
caused by herpes simplex type 1 (HSV-1) and herpes
simplex type 2 (HSV-2) viruses.
– Worldwide, an estimated 683 million people aged 15 to 49
are living with HSV-2 or genital HSV-1 infection.
– Many patients suffer frequent outbreaks along with
psychological morbidity, stigma and a threefold increase
in the risk of acquiring HIV.
GSK 3943104 is our candidate against HSV that contains
HSV antigens complemented with an adjuvant, designed to
stimulate immune responses in people already infected with
HSV. Following the successful completion of a phase I first-
time-in-humans study, a phase II first-time-in-patients proof
of concept trial started in late 2023 and is assessing two
formulations in adults with a history of genital herpes
outbreaks. If successful, we hope that this could help better
control symptomatic outbreaks and viral shedding while
mitigating the associated emotional burden and improving
quality of life for people living with genital herpes.
Influenza
– Influenza remains one of the world’s greatest public
health challenges.
– Every year, there are an estimated one billion cases
around the world, many resulting in severe illness
and death.

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Research and development continued

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Hope against hepatitis B
'I didn’t know anything about hepatitis B until after
my husband and I adopted our daughter, Maren,
when she was just a few months old,' said Maureen,
a hepatitis B caregiver and advocate.
'My heart broke as I watched my baby cry while
receiving the injections and endure the resulting
side effects.
There is no doubt that chronic hepatitis B can be
scary – and the stigma makes it more so, but it
doesn’t have to be a lifelong burden – there is
reason for hope.
I’m energised by ongoing research into new
treatment options that could alleviate the burden
of frequent and often invasive treatments for the
management of chronic hepatitis B. There are
people, including scientists at GSK, who are
working towards finding a functional cure.'
Maureen and Maren
Our adjuvanted pandemic influenza vaccine has been
extensively studied and consists of egg-based antigen and
pandemic adjuvant AS03. We have agreements with the
US, Canada, Europe and the WHO to provide at least 200
million doses of pandemic influenza vaccine in the event
of a global health emergency.
Egg-based influenza vaccines are the backbone of
worldwide efforts to limit the impact of seasonal influenza.
Different platforms and technologies will continue to be
needed in the future and we’re committed to playing our
part in meeting an important patient need.
We’re exploring opportunities to develop mRNA-based
influenza vaccines through our collaboration with CureVac.
Building on positive phase I results for modified monovalent
mRNA vaccine candidates that target COVID-19 and
monovalent flu, we’re developing a next-generation
multivalent mRNA flu vaccine to protect against multiple
influenza virus strains. Phase I/II trials are underway.
COVID-19
Now that the acute phase of the COVID-19 pandemic
is over, our focus is on next-generation platforms and
combination vaccines that have the potential to protect
against multiple seasonal respiratory viruses. In 2023, our
COVID-19 mRNA development programme with CureVac
progressed to a phase II clinical trial and we recently
reported positive interim data for both the monovalent
and bivalent vaccine candidates.
Human papillomavirus
Human papillomavirus (HPV) is a common sexually
transmitted infection affecting around 14 million people
a year in the US alone. It often has no symptoms but can
cause genital warts and several types of cancer. HPV is
associated with nearly all (99%) cases of cervical cancer,
which is the fourth most common cancer among women
globally and causes an estimated 342,000 deaths each
year. HPV also accounts for about 5% of all cancers
worldwide, including 90% of anal cancers and 70% of
oropharyngeal cancers. We’re working with Innovax on
a next-generation adjuvanted vaccine to protect against
more types o f HPV.
Antibiotics and antimicrobial resistance
Antimicrobial resistance (AMR) is one of the world’s top
10 health threats. It’s estimated that, without action, AMR,
including antifungal resistance, could contribute to 10 million
deaths per year by 2050 and cause an economic loss of
£100 trillion. Across our medicines and vaccines pipeline,
we have more than 30 projects relevant to AMR, 12 of them
targeting pathogens deemed ‘critical’ or ‘urgent’ by the
WHO.
Moving towards a potential treatment for uncomplicated
urinary tract infections and urogenital gonorrhoea
– Over half of women are affected by uncomplicated
urinary tract infections (uUTI) in their lifetime, with
over a quarter suffering recurring disease.
– Despite concern over rising resistance to existing
treatments, there’s been no new class of antibiotics
in uUTI for over two decades.
Our investigational antibiotic gepotidacin is a novel
mechanism triazaacenaphthylene antibiotic for uUTI
and gonorrhoea, discovered and developed by us, and
part-funded by our partnership with the US Biomedical
Advanced Research and Development Authority (BARDA).
In 2023, positive phase III data showed it has the potential
to be the first in a new class of oral antibiotics for uUTI in
over 20 years. In the EAGLE-2 and EAGLE-3 phase III trials,
which were stopped early for efficacy in November 2022
following a planned interim analysis, gepotidacin performed
as well as nitrofurantoin, an existing first-line treatment for
uUTI. In the EAGLE-3 trial, gepotidacin demonstrated
statistically significant superiority over nitrofurantoin.
Treating complicated urinary tract infections with
tebipenem
Through our partnership with Spero Therapeutics, Inc.,
we have an exclusive licence agreement for tebipenem HBr,
a late-stage oral carbapenem antibiotic with the potential
to treat complicated urinary tract infections (cUTIs). In
December 2023, the first patient was dosed in PIVOT-PO,
our pivotal phase III trial for tebipenem. If approved,
tebipenem HBr will address an unmet medical need
for a novel oral antibiotic as an alternative to intravenous
hospital therapy for drug-resistant cUTIs.
Vulvovaginal candidiasis
In 2023, we also signed an exclusive licence agreement with
Scynexis to develop and further commercialise Brexafemme,
a US FDA-approved first-in-class antifungal treatment for
vulvovaginal candidiasis (VVC) and for reducing the
incidence of recurrent VVC. Brexafemme complements
gepotidacin and tebipenem, and reinforces our
commitment to developing new antibiotic and antifungal
treatments in areas of high unmet medical need.
Fast-tracking our gonorrhoea vaccine
– Gonorrhoea is the second-most prevalent bacterial
sexually transmitted infection worldwide, with an
estimated 82 million new cases each year.
– AMR to gonorrhoea has increased over the past 80 years,
rendering many classes of antibiotics to treat the disease
ineffective and making a vaccine even more important to
the global effort to tackle AMR.
Our investigational Neisseria gonorrhoeae (NgG) vaccine,
based on our generalised modules for membrane antigens
(GMMA) technology, aims to protect people aged 16 and
older. Currently in an ongoing phase I/II efficacy trial, NgG
received a Fast-Track designation from the US FDA in 2023,
accelerating its path to FDA submission. .

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Research and development continued

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HIV

For decades, we’ve transformed the lives of people living
with HIV by making breakthroughs in treatment and
prevention. Our work to develop long-acting injectable
medicines means that many only need therapy a few times
a year, instead of once a day.
– The WHO estimates there were approximately 1.3 million
new HIV infections globally in 2022, with the burden
greatest in sub-Saharan Africa.
– In the US, about two-thirds of people living with HIV are
virally suppressed and there were more than 36,000 new
diagnoses in 2021.
– There remains a pressing need for new approaches to
treatment and prevention.
We work on HIV through ViiV Healthcare, which we
majority own, with Pfizer and Shionogi as shareholders.
ViiV Healthcare is the only company that is 100% focused
on the treatment and prevention of HIV. Our goal is to
leave no person living with HIV behind.
We’ve focused research on transforming the experience
of people living with HIV through novel treatment options
that allow them to take fewer drugs or take them much less
often. We’ve also developed a long-acting regimen that can
prevent HIV.
Transforming patients’ lives with
long-acting regimens
Cabenuva (cabotegravir; rilpivirine) is the world’s first and
only complete long-acting injectable regimen to treat HIV.
It means some patients have treatment only six times a year
instead of taking medicine orally every day. Our SOLAR
study data, announced in 2023, showed Cabenuva is as
effective as daily Biktarvy tablets for treating HIV. The 12-
month findings also showed that nine out of ten participants
switching from Biktarvy to Cabenuva preferred the long-
acting regimen.
Apretude (long-acting cabotegravir), launched in 2022, is
the world’s first and only long-acting injectable pre-exposure
prophylaxis (PrEP) to reduce the risk of sexually transmitted
HIV. Two large phase III studies demonstrated that Apretude
was superior to daily oral PrEP (TDF/FTC) in men and
women. And, in the open label phase, when given the choice,
the majority of study participants chose Apretude over oral
TDF/FTC.
The European Commission authorised Apretude in 2023 in
injectable and tablet form. This followed a positive opinion
from the European Medicines Agency's (EMA) Committee
for Medicinal Products for Human Use (CHMP). Apretude
is also approved in Australia and South Africa, among
many others.
Looking to the future of long-acting treatment
and prevention
Through a new formulation (reformulated CAB), we’re
now focused on progressing to injectable doses every
four months, doubling today’s interval for cabotegravir
for treatment and PrEP, which would halve visits to the
clinic to three times a year.

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Research and development continued

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The 40-year fight against HIV
The official start of the AIDS epidemic is considered to
be June 1981, when the Morbidity and Mortality Weekly
Report noticed that a rare pneumonia was being seen
in previously healthy men who have sex with men.
It would be several years before HIV was identified as
the underlying cause. Marty St Clair and other
scientists at Burroughs Wellcome – a predecessor
company to GSK – urgently began a search for a
potential new medicine to treat HIV and AIDS. The
group went on to develop Zidovudine, the first
medicine, which was approved in the US in 1987.
Nearly 40 years on, Marty continues to work to treat
and prevent HIV transmission in her role as clinical
director for ViiV Healthcare. She is optimistic about
the outlook for innovation in HIV.
'We’ve pretty much given people their lives back,' said
Marty. 'It’s a hopeful time.'
ViiV Positive Action outreach
We aim to make this a reality for prevention by 2026, with
a registrational study starting in 2024. For treatment, we aim
to deliver by 2027, by evaluating possible combinations of
reformulated CAB with rilpivirine or our broadly neutralising
antibody, N6LS. In 2023, we completed a study that
combined N6LS with Halozyme’s recombinant
hyaluronidase (PH20) technology, which allows delivery
of a larger volume of drug through subcutaneous dosing.
This showed it’s possible to deliver a single subcutaneous
dose that’s well-tolerated and can last up to four months.
Beyond this, six-monthly doses are our goal by the end
of the decade by partnering our new integrase inhibitors,
VH184 or VH310, with new-mechanism-of-action agents
such as capsid inhibitors.
Moving towards self-injected long-acting
treatment
Our other main aim is to develop the world’s first long-
acting treatment that people living with HIV can inject
themselves. This will allow individuals to dose at home and
reduce the number of clinic visits. We are targeting dosing
every two to three months, with efficacy and tolerability
similar to Cabenuva.
In short, our goal is to develop new agents for HIV treatment
and prevention that reduce the burden of treatment and
allow people to have improved quality of life.

Respiratory/immunology

We’ve been leaders in delivering medicines that help
manage asthma and COPD for over 50 years. Our research
looks to harness the science of the immune system to
develop medicines that reduce signs and symptoms of
disease, address treatment resistance and slow the
progression of immune-mediated conditions. These include
lupus, severe asthma with an eosinophilic phenotype and
other inflammatory diseases. We help millions of people
with respiratory and immune conditions worldwide with
our current portfolio.
Advancing the science and treatment of IL-5
mediated diseases
For more than 25 years we have been leaders in researching
the roles that eosinophils (a type of white blood cell) and
interleukin-5 (IL-5) play in health and disease.
– Eosinophil-driven diseases are associated with
heightened levels of eosinophils. When eosinophils
infiltrate certain tissues, they can cause inflammation and
organ damage which, over time, can affect patients’ day-
to-day life.
– IL-5 is the major cytokine responsible for the proliferation,
activation and survival of eosinophils, making it a proven
treatment target for patients with higher levels of
eosinophils.
– IL-5 mediated conditions encompass a range of diseases
for which there have been few, if any, effective treatments.
These include respiratory conditions like severe asthma
with an eosinophilic phenotype, COPD and chronic
rhinosinusitis with nasal polyps (CRSwNP), and rarer
conditions like eosinophilic granulomatosis with
polyangiitis (EGPA) or hypereosinophilic syndrome (HES).
Our research aims to redefine treatment goals across these
conditions, going beyond optimal management of daily
symptoms, to modify the course of disease. This could slow
or halt disease progression, reduce the risk of organ
damage and even mean some people could achieve
clinical remission.
Nucala is a first-in-class anti-IL5-biologic (monoclonal
antibody) that targets and directly inhibits IL-5. It is the only
treatment in the US and Europe with indications in four IL-5
mediated diseases: severe asthma with an eosinophilic
phenotype, CRSwNP, EGPA and HES. In 2023, the Japanese
Ministry of Labour, Health and Welfare accepted for review
a supplementary new drug application for Nucala to treat
CRSwNP in adults. This submission is based on data from
the pivotal phase III MERIT trial studying the safety and
efficacy of Nucala in people with CRSwNP.
In January 2024, the China National Medical Products
Administration approved Nucala as an add-on maintenance
treatment for severe asthma with an eosinophilic phenotype.
Nucala is the first targeted IL-5 treatment in China for adult
and adolescent patients with the condition.
Depemokimab is our novel monoclonal antibody developed
for its affinity for IL-5 and long-acting inhibition of the IL-5
pathological process, which includes suppression of
eosinophil activity. It is the first potential ultra-long-acting
anti-IL-5 biologic that treats a range of IL-5 mediated
diseases. Our phase III programme continues to make
progress across diseases including severe asthma, CRSwNP,
HES and EGPA.
Currently, approved IL-5 inhibitors are dosed every four or
eight weeks, while depemokimab is designed to be
administered every six months, addressing the challenges
commonly associated with more frequent dosing including
adherence anxiety and emotional burden.
Reaching a broader range of asthma patients
In early 2024, we acquired Aiolos Bio, Inc. The acquisition
adds AIO-001, a phase II-ready, long-acting antibody that
targets the clinically validated TSLP pathway to our
respiratory pipeline. This could redefine the standard of care
for asthma patients with dosing every six months. AIO-001
has the potential to expand our reach to a broader portion
of asthma patients, including the 40% of severe asthma
patients with low T2 inflammation where treatment options
are still needed. In addition to the treatment of adult
patients with asthma, AIO-001 also has the potential for

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Research and development continued

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additional indications including chronic rhinosinusitis with
nasal polyps.
Progress towards a treatment for refractory
chronic cough with camlipixant
– Approximately 28 million people suffer from chronic
cough, with about 10 million worldwide suffering from
refractory chronic cough (RCC) for over a year.
– RCC is a cough that persists for more than eight weeks
and doesn’t respond to treatment for an underlying
condition or is otherwise unexplained.
– For decades there have been no effective treatments for
RCC, with patients often suffering from depression, urinary
incontinence, rib fractures and loss of sleep.
In 2023, we acquired Bellus Health, which included
camlipixant, a potential best-in-disease and highly selective
oral P2X3 antagonist currently in phase III development as a
first-line treatment for adults with RCC. Current clinical data
show that by selectively inhibiting P2X3 receptors,
camlipixant may reduce cough frequency for patients
suffering from RCC with a relatively low incidence of
dysgeusia. This is the taste disturbance associated with
other medicines that broadly target the P2X2/3 receptor.
We expect data in 2025 from the phase III CALM
development programme, evaluating the efficacy and
safety of camlipixant.
Trea ting systemic sclerosis with Benlysta
We continue to work to realise the full potential of Benlysta,
our anti-B Lymphocyte stimulator (BLyS) monoclonal
antibody, so that people affected by a range of immune-
mediated conditions beyond lupus and lupus nephritis (LN)
can benefit from its targeted mode of action, and reassuring
safety profile.
Systemic sclerosis (SSc) is a rare autoimmune disease that
causes atypical growth of connective tissues and can affect
the musculoskeletal system, heart, lungs, kidneys, skin and
other organs. Interstitial lung disease (ILD), marked by
inflammation and scar tissue build-up in the lungs, affects
as many as half of people living with SSc. Current treatment
options are limited.
In 2023, the US FDA granted Orphan Drug Designation
(ODD) to Benlysta as a potential treatment for SSc. The
ODD is a special status granted to support development
and evaluation of potential medicines to treat, diagnose
or prevent rare diseases or disorders affecting fewer than
200,000 people in the US. We began a phase II/III trial for
SSc-associated ILD in 2023. We will be exploring other
potential studies in a wider range of potential indications
in 2024.
Benlysta remains the first and only approved biologic for
both systemic lupus erythematosus (SLE) and LN in more
than 50 years. Its robust efficacy and long-term safety have
been recognised in updated recommendations from the
European Alliance of Associations for Rheumatology
(EULAR) for the management of SLE and LN, endorsing
earlier use in the treatment pathway. We plan a phase IV
study in early 2024 to further inform the proactive
management of lupus to prevent organ damage.
Benlysta has been approved for use in over 75 countries
to treat adults with SLE. This has been extended to include
children aged five and older with SLE in the US, Japan, the
EEA countries, the UK and over 15 other countries.
Benlysta is currently approved to treat adults with LN in the
US, all EEA countries, the UK and over 15 further countries. In
the US, this indication includes children aged five and older
with LN, and reviews for this continue in other countries.

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Remission could be possible for severe asthma
Shelby Gorman, a GSK employee, knows all too well
the negative impact of severe asthma on a child’s life.
‘The doctor said to us – when was the last time you
had a day when you felt good all day?’, Shelby says.
‘My daughter could not remember one day when she
felt well ever, in her life.’
After many years of frequently being hospitalised due
to exacerbations, Shelby’s daughter, Joelle, received
a more accurate diagnosis and started on an
appropriate targeted treatment. For the first time she
was able to live her life without respiratory infections
and no daily antihistamines.
With our expertise in respiratory disease and deep
understanding of the immune system, our scientists
along with other global specialists are developing
solutions to help some people with severe asthma
achieve clinical remission.
Shelby and Joelle

Oncology

Cancer, one of the world’s major causes of death, is a field
where patients’ needs are still widely unmet and treatment
options remain limited. We have an emerging portfolio in
oncology that is focused on seeking solutions for blood and
women's cancers, and making transformative break-
throughs in immuno-oncology.
Ojjaara (momelotinib), Blenrep (belantamab mafodotin),
Jemperli (dostarlimab) and Zejula (niraparib) are the strong
foundation of our work in blood and women's cancers. Our
goal is to realise the full potential of our existing medicines,
as well as expand our portfolio in areas of high unmet need.
In 2023, we received approval in the US for Ojjaara our
treatment for myelofibrosis. Omjjaara was then approved in
the EU and UK in January 2024. We also received approval
in the US, EU and UK for our immuno-oncology therapy
Jemperli plus chemotherapy as a first-line treatment for
endometrial cancer patients with a certain biomarker.
We continue to evaluate dostarlimab in studies that further
reinforce our ambition for it to become the backbone of
our ongoing immuno-oncology research and development
programme.
Blood cancers
Ojjaara: helping myelofibrosis patients with anaemia
– Myelofibrosis (MF) is a rare blood cancer affecting
around 25,000 people in the US.
– Nearly all MF patients will eventually develop anaemia,
requiring regular blood transfusions and leading over
30% to stop treatment with established therapies.
– In addition to anaemia, patients can experience
debilitating symptoms like night sweats, fatigue
and bone pain, as well as an enlarged spleen
(splenomegaly), bringing pain and inflammation
and frequent infection risk.
Ojjaara, taken orally once a day, is the only medicine
specifically indicated for newly diagnosed and previously
treated MF patients with anaemia. It treats anaemia, along
with the constitutional symptoms and enlarged spleen that
accompany the disease. This means it potentially offers a
new standard of care for patients, as established treatments
can further exacerbate anaemia.
In September 2023, the FDA granted broad, line-agnostic
approval for Ojjaara for the treatment of primary or
secondary MF in adults with anaemia, regardless of
previous MF therapy. This was followed by a positive CHMP
opinion in November 2023 and approval by the European
Commission, as well as MHRA approval, in January 2024.
We’ve also submitted a new drug application in Japan.
Blenrep: our treatment for multiple myeloma
– Multiple myeloma is the third most common blood
cancer globally and is generally considered treatable
but not curable.
– Approximately 176,000 new cases of multiple myeloma
are diagnosed globally each year.
– Research into new therapies is needed, as multiple
myeloma commonly becomes refractory to available
treatments.
Blenrep is our antibody-drug conjugate treatment for
relapsed/refractory multiple myeloma. Our DREAMM
(Driving Excellence in Approaches to Multiple Myeloma)
clinical development programme continues to evaluate the
potential of Blenrep to address unmet need in early lines of
treatment and in combination with novel therapies and
standard of care treatments.
In November 2023, we announced positive phase III results
from the DREAMM-7 trial, showing potential for Blenrep
combination therapy to benefit patients in earlier treatment
lines. Interim analysis of DREAMM-7 showed that patients
receiving Blenrep in combination with bortezomib and
dexamethasone (BorDex) lived longer without their disease
progressing than those receiving daratumumab plus
BorDex, an existing standard of care combination therapy.
We are sharing this data with health authorities and the
scientific community as we await the results from
DREAMM-8, another phase III combination trial exploring
Blenrep’s potential in earlier therapy lines.
Also during 2023, health authorities continued to review
existing monotherapy indications for Blenrep in later therapy
lines based on the results of previous studies. This included
in December 2023, the EMA recommending against
renewal of the conditional marketing authorisation for its
existing fourth line and later monotherapy indication.
Women's cancers
Jemperli: a backbone immuno-oncology therapy
– Endometrial, or uterine, cancer is the sixth most common
cancer in women worldwide, with an estimated 417,000
new cases and 97,370 deaths in 2020.
– About 30% of endometrial cancer cases have a
biomarker known as dMMR/MSI-H.
– Patients with this type of endometrial cancer have faced
significant unmet need and typically experience poor
long-term outcomes with standard of care chemotherapy.
In 2023, Jemperli became the only immuno-oncology
treatment approved in the US, EU and UK in the frontline
setting in combination with chemotherapy for patients with
mismatch repair deficient or microsatellite instability-high
(dMMR/MSI-H) primary advanced or recurrent endometrial
cancer. In the RUBY trial supporting these approvals,
Jemperli plus chemotherapy showed a 71% reduction in
the risk of disease progression or death compared to
chemotherapy alone.

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In 2023 we announced two additional positive data
readouts for the RUBY phase III trial. In part 1 of the trial,
Jemperli plus chemotherapy showed statistically significant
and clinically meaningful overall survival benefit compared
to chemotherapy in the overall population of patients with
primary advanced or recurrent endometrial cancer. Jemperli
is the only immuno-oncology combination regimen to
achieve this. Part 2 of the RUBY trial, which evaluated
Jemperli plus chemotherapy followed by Jemperli plus
Zejula for the treatment of primary advanced or recurrent
endometrial cancer, demonstrated significantly improved
progression-free survival compared to chemotherapy alone
in both the overall and mismatch repair proficient/
microsatellite stable (MMRp/MSS) patient populations.
Jemperli is also approved as a stand-alone treatment
for certain types of endometrial cancer. Earlier in 2023, the
FDA converted the accelerated approval for Jemperli
as a second-line treatment into a full approval as a
monotherapy for adult patients with dMMR recurrent or
advanced endometrial cancer, as determined by an
FDA-approved test, that has progressed on, or following,
a prior platinum-containing regimen in any setting,
and who aren’t candidates for surgery or radiation.
The European Commission's conditional approval for
Jemperli as a monotherapy for adult patients in the same
patient population was also converted to full approval.
Zejula: our PARP inhibitor for ovarian cancer and beyond
We continue to develop Zejula in multiple pivotal trials,
assessing activity in gynaecologic cancers and other solid
tumours and evaluating several potential combinations of
Zejula with other therapeutics. Aiming to address the unmet
medical needs of patients, the ongoing development
programme includes the FIRST phase III trial assessing the
potential for niraparib in combination with dostarlimab in
first-line ovarian cancer maintenance and the ZEAL phase
III trial evaluating niraparib in combination with standard of
care for the maintenance treatment of first-line advanced
non-small cell lung cancer. In addition, based on promising
early clinical data for niraparib in glioblastoma in November
2023, we are exploring next steps for its clinical
development in this type of cancer.
Other cancers
Colorectal cancer
– Cancers that start in the colon or in the rectum, both
of which are distinct sections of the large intestine,
are classified as colorectal cancers.
– Colorectal cancer is the second leading cause of cancer-
related death and the third most common cancer
worldwide, accounting for approximately 10% of all
cancer cases.
– In 2020, it was estimated that worldwide, there were more
than 1.9 million new cases of colorectal cancer and more
than 930,000 deaths.
In January 2023, the US FDA granted dostarlimab Fast-
Track designation for the treatment of dMMR/MSI-H locally
advanced rectal cancer.
We also started our AZUR clinical trial programme studying
dostarlimab in certain colorectal cancer indications.
AZUR-1 is a global, open-label, phase II clinical trial to
investigate the efficacy and safety of dostarlimab as
monotherapy – replacing chemotherapy, radiation and/or
surgery – for treatment-naïve patients with dMMR/MSI-H
locally advanced rectal cancer. If successful, there’s
potential to transform the treatment of some patients with
locally advanced rectal cancer.
The trial aims to confirm results generated in a separate
ongoing investigator-initiated trial by researchers at
Memorial Sloan Kettering Cancer Center. In 2023, this trial
reported that all participants treated with dostarlimab
achieved clinical complete responses, enabling them to
avoid surgery, chemotherapy and radiotherapy.
We also began our AZUR-2 trial, a phase III trial that
evaluates the efficacy of perioperative dostarlimab
monotherapy compared with standard of care adjuvant
chemotherapy in patients with high-risk early stage dMMR/
MSI-H colon cancer. If approved, this could give patients
a new chemotherapy-free option that reduces the risk of
disease progression through dostarlimab treatment in
both neoadjuvant and adjuvant settings.
Lung cancer
– Lung cancer is the second most common cancer globally
and the most common cancer in men.
– In 2020, there were more than 2.2 million new cases
of lung cancer worldwide.
– The majority of lung cancers fall into a category called
non-small cell lung cancer (NSCLC). While this form of
lung cancer progresses more slowly, 40% of NSCLC cases
will have spread beyond the lungs by diagnosis.
In 2023, we published data from our phase II PERLA clinical
trial showing a favourable numerical trend in overall survival
results for dostarlimab plus chemotherapy compared to
pembrolizumab plus chemotherapy in first-line metastatic
NSCLC. Data from the PERLA trial supports our ambition for
dostarlimab to become a backbone immuno-oncology
therapy when used alone and in combination with standard
of care and future novel cancer therapies, including targets
along the CD226 axis.
We have access to antibodies targeting all three known
CD226 checkpoints – CD96, PVRIG and TIGIT. Our goal
of studying these immune checkpoints in combination with
dostarlimab is aimed at increasing the proportion of
patients who respond to therapy and improving the
durability of response. In 2023, our CD226 axis development
programme continued with several early-phase trials
underway, including GALAXIES Lung-201, our phase II
platform study in first-line metastatic NSCLC that combines
dostarlimab with belrestotug, our TIGIT antibody partnered
with iTeos Therapeutics. GALAXIES Lung-201 will also
explore a triplet combination with dostarlimab, belrestotug,
and GSK6097608, our CD96 antibody.
In addition, our two phase III trials in NSCLC continued in
2023 with readouts expected in 2024:
– COSTAR Lung, our phase III, randomised, open-label
three-arm trial is comparing investigational compound
cobolimab plus dostarlimab plus docetaxel to

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dostarlimab plus docetaxel to docetaxel alone in
patients with advanced NSCLC who have progressed
on prior anti-PD-L1 therapy and chemotherapy.
– ZEAL, our phase III, randomised, double-blind trial is
assessing niraparib in combination with standard of care
for the maintenance treatment of first-line advanced
NSCLC.
Pipeline growth through business development
In October 2023, we announced an exclusive licence
agreement with the Chinese company Hansoh Pharma for
HS-20089, its B7-H4-targeted ADC. This supports our work
in developing treatments for ovarian and endometrial
cancers, as well as solid tumours.
The B7-H4 surface antigen is over-expressed in ovarian
and endometrial cancers and often associated with poor
prognosis. As well as targeting B7-H4, HS-20089 uses
clinically validated ADC technologies such as
topoisomerase inhibitor payload (TOPOi). T his is a validated
mechanism of action in approved anti-canc er medicines
and a proven standard of care in treating breast and
ovarian cancers.
In December 2023, we added to our oncology portfolio of
clinical-stage ADCs by entering a second exclusive licensing
agreement with Hansoh Pharma for HS-20093.
HS-20093, a B7-H3 targeted ADC also utilising a clinically
validated TOPOi payload, has shown promising initial
clinical activity in lung cancer with potential to address
unmet medical need in broader solid tumour indications
including colorectal cancer.

Technology

New platform and data technology are fundamentally
transforming how we discover and develop vaccines and
medicines, speeding up discovery and development and
improving the chance of success.
Technology makes us more effective at every stage of the
discovery and development process, so that we progress
vaccines and medicines that are the first or best of their
kind. Our early investment in these capabilities is already
leading to differentiated, high-impact vaccines and
medicines including a new vaccine for RSV, long-acting
HIV prevention, and the prospect of a functional cure for
chronic hepatitis B.
We combine the power of genetic data and genomic
insights with the speed and scale of AI to make better
predictions and increase the probability of new vaccines
and medicines becoming available for patients. Our AI
team – one of the largest in the industry – works with our
genomics team to improve how we select disease targets,
determine the best technology approach, and identify
groups of patients where a treatment might work best.
We’re not doing this alone. We partner with the world’s
best minds across academia and the tech and biotech
industries – from large companies to small start-ups. This
collaboration leads to new ways of thinking, so that together
we can strive for the most innovative solutions for patients.
Using platform technologies to discover and
develop novel vaccines and medicines
One of the major challenges in addressing diseases where
no vaccines or medicines currently exist is that they are
difficult to treat with small molecules or biologics.
We’re overcoming this challenge by investing in both our
own innovation and in external collaborations to develop
a range of platform technologies. With platform technology,
we pair disease targets with the best treatment modalities,
addressing diseases once thought to be too difficult to
target with drug discovery.
These expand our ability to identify novel vaccine and
medicine options to prevent
or treat these diseases.
We are investing in platform technologies including:
Multiple antigen presenting system (MAPS), which allows
us to develop multivalent vaccines for complex bacterial
infections by introducing T-cell mediated, disease-specific
anti-protein immunity. This potentially enables broader
coverage against certain disease types and higher
immunogenicity than current vaccines, as well as higher
antibody responses. We are developing MAPS through our
2022 acquisition of Affinivax. We’ve mainly directed MAPS
at preventing pneumococcal disease, and it’s part of our
24-valent pneumococcal vaccine candidate in phase II
development (see page 20). This platform also shows
promise against other pathogens, including those that
cause hospital-acquired infections.
mRNA, which enables protein synthesis in the human body,
carrying the information required for cells to produce
proteins. By using mRNA technology for vaccine
development, specific proteins, or antigens, can be
produced by the body’s own cells and elicit both humoral
and immune responses, enabling the human immune
system to prevent or fight disease. We’re developing mRNA
in-house in parallel with our collaboration with CureVac, a
biopharmaceutical company developing therapies based
on mRNA. We’re currently developing RNA vaccines based
on CureVac’s second-generation mRNA backbone, with
monovalent and bivalent COVID-19 vaccine candidates
in phase II. A multivalent seasonal influenza vaccine
candidate to protect against multiple strains is also
in phase I/II (see page 20).
Small molecule design, paired with our own small molecule
generative AI tools. Our system has the advantage of using
known chemical reactions and building blocks to create
large 'virtual libraries' of potential drug molecules for
specific biological targets.

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The molecules comprising these virtual libraries have the
advantage of being easily synthesised and free from many
of the known problems associated with small molecule
drugs since they are filtered by a series of machine-learned
molecular property models based on GSK historical data
and clean public sources.
Oligon ucleotides, which are short strands of DNA or RNA
that can reduce, restore or modulate RNA through several
mechanisms, giving them a unique capability to address a
wide range of genomic targets in multiple therapeutic areas
for the first time. Oligonucleotides currently in our pipeline
include bepirovirsen for chronic hepatitis B; and GSK
4532990, a phase II programme for non-alcoholic
steatohepatitis (NASH).
We also have two collaborations to build a leading
oligonucleotide platform:
– In 2022, we entered a collaboration with Wave Life
Sciences, which pairs our genetic expertise with Wave’s
PRISM, the only oligonucleotide platform offering three
RNA-targeting modalities (editing, splicing and silencing,
including siRNA and antisense). The collaboration helps
us accelerate drug discovery for newly identified targets,
by matching them to the best therapeutic modality.
– In 2023, we announced a partnership with Elsie
Biotechnologies, Inc. The collaboration combines
our expertise in DNA encoded library technologies with
Elsie's drug discovery platform. Throughout the
collaboration, we can exercise an option on a non-
exclusive licence from Elsie for its discovery platform
and P(V) chemistry technologies to use in our own
oligonucleotide drug discovery research.
Monoclonal antibodies, are produced by a single clone of
cells or cell lines and consist of identical antibody molecules
that are meant to modulate a patient’s immune system.
We have all the platforms needed to make best-in-class
monoclonal antibodies (like Nucala), bispecific antibodies,
and antibody-drug conjugates (like Blenrep). We are also
developing generative design capabilities based on
increased use of next generation sequencing as well as
public and proprietary protein structure tools. The structures
designed using these tools are then realised using highly
automated antibody synthesis, isolation, and purification
processes.
Adjuvants, substances that enhance the body’s immune
response to antigens, which we use in Arexvy and Shingrix,
our vaccines for RSV and shingles, and our HSV vaccine
candidate, GSK 3943104. We are also working with Xiamen
Innovax Biotech on a next-generation adjuvanted vaccine
to protect against more types of HPV.
Using genetic data to better understand
disease and choose the right solutions for
the right patients
With data technology, we combine AI/ML with human
genetics and functional genomics to understand patients,
human biology and disease mechanisms. This makes us
better at choosing and prioritising targets, designing trials
and bringing new vaccines and medicines to patients.
The combined power of biology and technology is profound
and is reshaping the way science is done. For example, we
now generate more data in one quarter than in our
company’s 300-year history and, by the end of 2024, we
aim to bring predictive, real-time insight to inform 90% of
our progression and development decisions in our research.
Combining AI, genetic and genomics for unexpected
possibilities
We have built in-house teams dedicated to genomics
and AI, including at our key R&D sites in London, Tel Aviv,
San Francisco, Seattle, Philadelphia and Boston. Their
expertise helps us collect more data, generate more ideas
and arrive at unexpected possibilities. They’re bringing us
closer to finding vaccines and medicines for diseases that
once felt outside our reach, making our research process
faster, more effective, and more predictable.
We have invested to build a world-class research data
platform, which includes one of the world’s most
comprehensive large language models on genetic disease.
It brings over 700 billion data points into a single place
to map gene expression and function activity. This enables
our scientists to run experiments and get answers to
questions in a matter of hours, a process that once took
weeks or months.
Genetics and genomics
We are using a combination of genetics, functional
genomics and genetic engineering techniques like CRISPR
(Clustered Regularly Interspaced Short Palindromic
Repeats) to enable us to screen and validate hundreds
of genetic targets in parallel, instead of one at a time.
Through the screening process we can discover causal
genes through genomics and link to biomarkers that may
predict disease. In 2023, we had 53 targets with strong
genetic evidence in our pipeline, an increase from 45 in
2022.
Applying data tech to our clinical research
At the clinical stage of development, AI/ML and genomics
are helping us assess how certain patient profiles might
respond, so we’ll be able to make sure we have the right
people in the right trials. This offers the potential to have
shorter, less expensive clinical trials with greater chances
of success.
An example of this is our research on our antisense
oligonucleotide bepirovirsen for chronic hepatitis B. Using
ML, we developed algorithms that helped us categorise
patients into five distinct subtypes based on their response
to treatment. This almost doubled our ability to correctly
predict future patient outcomes, compared to using the
traditional methods. This is significant because it will help
inform sequential and combination therapy options,
potentially leading to better outcomes and ultimately
helping more people living with hepatitis B experience
functional cure.

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Collaborating to change the course of
disease for patients
By working with others we achieve more, better and faster
to address disease areas of high unmet need and for as
many people as possible.
Our collaborations with UK Biobank, 23andMe and FinnGen
have given us access to large genetic datasets to deepen
understanding of diseases and improve drug discovery.
We’re also a founding partner of Our Future Health, a UK
initiative setting out to recruit up to five million people to
capture genetic and medical information. And we work
with Genes & Health and Discover Me South Africa to make
sure we have a diverse genetic representation of diseases.
In January 2024, we also announced we'd joined the
Alliance for Genomic Discovery, further expanding our
access to diverse genetic datasets.
Other collaborations in functional genomics give us insights
to help select targets that are more likely to become
medicines. We continue to work with genomics research
centres like the Broad Institute, affiliated with MIT and
Harvard University in Boston, and the Altius Institute in
Seattle. In the UK, our partners include the consortium
Open Targets, which we co-founded.
This work complements technolog y and biology projects
underway at the Laboratory for Genomic Research, which
we co-founded in 2019 with researchers at the University of
California in San Francisco. These projects are automating
and advancing CRISPR for new discoveries of disease
mechanisms for immunology, oncology and neurology.
Other collaborations are helping make advances in multiple
fields of human health.
– With King’s College London, we’re using tumour models
alongside digital pathology and AI to develop personalised
immuno-oncology treatments for solid cancers.
– With PathAI, we’re working to accelerate R&D in oncology
and NASH.
– We established the Oxford-GSK Institute of Molecular and
Computational Medicine (IMCM) with Oxford University in
2021. It combines human genetics with functional
genomics and ML to focus on diseases including
amyotrophic lateral sclerosis (ALS), Alzheimer’s and
Parkinson’s.
– Our work with precision medicine company Tempus has
focused on using data to further enable clinical trial
designs and target selections in oncology.

Culture

We create an agile, innovative environment that’s
ambitious for patients and attracts the best people,
scientists and partners.
To get ahead of disease, we need the best people –
scientists, researchers, trial specialists, technologists and
more – and an environment where they can thrive and
make the most of their expertise, inside the company or
as partners. Our R&D people work together in an inclusive
environment to foster new ideas and make connections,
including our scientists, technologists and data engineers
working side by side. 27% of our R&D leadership team
started their roles in the past two years, bringing 56 years
of combined experience, adding to our leadership and
delivering against key priorities.
Our culture unites us in being ambitious for patients and
accountable for impact, and always doing the right thing.
This culture encourages teams to focus on what matters
most, take smart risks and make informed decisions at pace.
It also helps them take ownership of objectives, seize
opportunities and solve problems together.
To support this, in 2023 we’ve taken steps to focus even
more intently on our core therapeutic areas, strengthen
decision-making with clearer ownership and simplified,
agile governance, and embed technology more deeply
in our work.
We’ve created three research units dedicated to vaccines
and infectious diseases, respiratory and immunology, and
oncology. Reporting directly to the Chief Scientific Officer,
they use their expertise to pick the right targets for the right
patients, leading clinical development through to phase II
and making recommendations on phase III programmes.
These research teams complement our ongoing research
in HIV, through ViiV Healthcare.
Close collaboration between R&D, commercial,
manufacturing and medical leaders makes sure we match
scientific potential with unmet patient need to maximise
our impact on disease and deliver competitive commercial
value. We’ve also created one research technologies
organisation, bringing together platform and data groups
to create a scaled engine for identifying and progressing
targets for ourselves and our partners.

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Pipeline overview
We have 71 assets in development, of which 18 are late-stage.

Phase III/Registration
Arexvy (Recombinant protein, adjuvanted)1 RSV older adults (50-59 YoA)3
gepotidacin (BTI inhibitor) 1 Uncomplicated UTI 2
bepirovirsen (Antisense oligonucleotide)1 Chronic HBV infection 2
Bexsero (Recombinant protein, OMV) Meningitis B (infants US)
MenABCWY vaccine (Recombinant protein, OMV, conjugated vaccine) MenABCWY, 1stGen
tebipenem pivoxil (Antibacterial carbapenem)1 Complicated UTI
ibrexafungerp (Antifungal glucan synthase inhibitor)1 Invasive candidiasis
Nucala (Anti-IL5 antibody) COPD
depemokimab (Long-acting anti-IL5 antibody)1 Asthma 2
latozinemab (Anti-sortilin antibody)1 Frontotemporal dementia 2,4
camlipixant (P2X3 receptor antagonist) Refractory chronic cough
Low carbon version of MDI 5, Ventolin (Beta 2 adrenergic receptor agonist) Asthma 6
Ojjaara/Omjjara (JAK1, JAK2 and ACVR 1 inhibitor)3,7
Jemperli (Anti-PD-1 antibody)1 Endometrial cancer 2
Zejula (PARP inhibitor)1 Ovarian cancer 2
Blenrep (Anti-BCMA ADC)1 Multiple myeloma
cobolimab (Anti-TIM-3 antibody)1 Non-small cell lung cancer
linerixibat (IBAT inhibitor) Cholestatic pruritus in primary biliary cholangitis
Phase II
3437949 (Recombinant protein, adjuvanted) 1 Malaria fractional dose
4406371 (live, attenuated) MMRV new strain
3536852 (GMMA)1 Shigella
3528869 (Viral vector with recombinant protein, adjuvanted) 1 Chronic HBV infection 2,8
4023393 (Recombinant protein, OMV, conjugated vaccine) MenABCWY, 2ndGen 8
4178116 (Live, attenuated) Varicella new strain
5101956 (MAPS)1 Adult pneumococcal disease, 24-valent
5101955 (MAPS)1 Paediatric pneumococcal disease, 24-valent
4106647 (Recombinant protein, adjuvanted)1 Human papillomavirus 8
4348413 (GMMA) Gonorrhoea 8
4382276 (mRNA)1 Seasonal flu
4396687 (mRNA)1 COVID-19
3993129 (Adjuvanted recombinant subunit) Cytomegalovirus 8
3943104 (Recombinant protein, adjuvanted)1 Therapeutic herpes simplex virus 8
5637608 (Hepatitis B virus-targeted siRNA)1 Chronic HBV infection
4077164 (Bivalent GMMA)1 Invasive non-typhoidal salmonella 2
ganfeborole 3036656 (Leucyl t-RNA synthetase inhibitor)1 Tuberculosis
sanfetrinem cilexetil (Serine beta lactamase inhibitor)1 Tuberculosis
alpibectir BVL-GSK098 (Ethionamide booster)1 Tuberculosis
3810109 (Broadly neutralizing antibody)1 HIV
3739937 (Maturation inhibitor) HIV
4004280 (Capsid protein inhibitor) HIV
4011499 (Capsid protein inhibitor) HIV
4524184 (Integrase inhibitor)1 HIV 9
Benlysta (Anti-BLys antibody) Systemic sclerosis associated interstitial lung disease

3858279 (Anti-CCL17 antibody)1 Osteoarthritis pain 2
1070806 (Anti-IL18 antibody) Atopic dermatitis
4527226 (Anti-sortilin antibody)1 Alzheimer’s disease
belrestotug (Anti-TIGIT antibody)1 Non-small cell lung cancer 2
4532990 (HSD17B13 siRNA)1 Non-alcoholic steatohepatitis
Phase I
3536867 (Bivalent conjugate)1 Salmonella (typhoid + paratyphoid A)
2556286 (Mtb cholesterol dependent inhibitor)1 Tuberculosis
3186899 (CRK-12 inhibitor)1,10 Visceral leishmaniasis
3494245 (Proteasome inhibitor)1 Visceral leishmaniasis
3772701 (P. falciparum whole cell inhibitor)1 Malaria
4024484 (P. falciparum whole cell inhibitor)1 Malaria
3882347 (FimH antagonist)1 Uncomplicated UTI
3923868 (PI4K beta inhibitor) Viral COPD exacerbations
3965193 (PAPD5/PAPD7 inhibitor) Chronic HBV infection 8
5251738 (TLR8 agonist)1 Chronic HBV infection
cabotegravir (Integrase inhibitor) HIV
3888130 (Anti-IL7 antibody)1 Autoimmune disease
3915393 (TG2 inhibitor)1 Pulmonary fibrosis
3862995 (Anti-IL33 antibody) COPD
5462688 (RNA-editing oligonucleotide)1 Alpha-1 antitrypsin deficiency
4347859 (Interferon pathway modulator) Systemic lupus erythematosus
4381562 (Anti-PVRIG antibody)1 Cancer
6097608 (Anti-CD96 antibody)1 Cancer
XMT-2056 11 (STING agonist ADC)1 Cancer
belantamab (Anti-BCMA antibody) Multiple myeloma
4524101 (DNA polymerase theta inhibitor)1 Cancer 8
5733584 (ADC-targeting B7-H4)1 Gynecologic malignancies
4172239 (DNMT1 inhibitor)1 Sickle cell disease
Assets are ordered by therapy area within each phase: infectious diseases, HIV, respiratory/immunology, oncology and opportunity driven. Only the most advanced indications are shown for each asset. (1) In-licence or other alliance relationship with third party (2) Additional indications or candidates also under investigation (3) In registration (4) Phase III trial in patients with progranulin gene mutation (5) Metered dose inhaler (6) Phase III start expected in 2024 (7) Approved in US and EU (8) In phase I/II study (9) Phase II study start imminent (10) Transition activities underway to enable further progression by partner (11) GSK has an exclusive global licence option to co-develop and commercialise the candidate RSV: respiratory syncytial virus; UTI: urinary tract infection; HBV: hepatitis B virus; ADC: Antibody drug conjugate; COPD: chronic obstructive pulmonary disease; MMRV: measles, mumps, rubella & varicella; OMV: outer membrane vasicle; siRNA: small interfering RNA GMMA: generalised modules for membrane antigens; YoA years of age

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Research and development continued

30

Commercial operations |  | In 2023 we delivered strong and sustained performance momentum, with successful commercial launches, supported by our integrated global supply chain.

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31
Highlights
£30.3 bn
total sales
+3%
AER
+5%
CER
+14%
CER excluding COVID
Sales contribution by product area (£bn)1

l |  | Vaccines | l |  | Speciality Medicines | l |  | General Medicines

Sales contribution by region (£bn)1

l |  | US | l |  | Europe | l |  | International

(1) Bar charts: excluding COVID-19 solutions
Absolute values at AER; changes at CER, unless stated otherwise
Strong operational performance
In 2023 we've continued to focus on operational
performance, with strong growth across all product areas
and regions. This builds on good progress in 2022 and
demonstrates strong, sustained performance momentum.
It means we are confident in delivering our upgraded
growth outlooks for the period 2021-26, and for 2031.
Strong performance in 2023 was driven by a continued
step-change in commercial execution. This was
underpinned by a focus on leadership, developing
outstanding people, and building meaningful connections
with healthcare professionals (HCPs) and patients –
supported by data and technology – to give us strong
insights into how we can best meet their needs.
For details on our performance and drivers of growth see:
– Vaccines performance, page 33
– Specialty Medicines performance, page 37
– Gen eral Medicines performance, page 40.

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Commercial operations

32
+10%
+24%
+10%
+15%
+14%
+5%
+8%
+16%
+14%
+15%
Our broad vaccines portfolio targets
infectious diseases at every stage of
life, helping to protect people from
meningitis, shingles, RSV, flu, polio
and many more.
Turnover
£9.9bn
+24% AER, +25% CER

l |  | Established £3.3 bn
l |  | Shingles £3.4 bn
l |  | Meningitis £1.3 bn
l |  | RSV £1.2bn
l |  | Influenza £504 m
l |  | Pandemic £150 m

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Performance: Vaccines

33

Double-digit growth for Vaccines
Successful launch of Arexvy in the US
Continued strong uptake of Shingrix in International and Europe

Key products
Product | Disease | Total revenue | Key information
Shingrix | Herpes zoster (shingles) | £3.4bn +16% AER; +17% CER | Market-leading recombinant, adjuvanted vaccine indicated for the prevention of shingles in adults. Launched in 40 markets
Arexvy | RSV | £1.2bn | World's first approved RSV vaccine for adults, approved in 39 countries
Bexsero | Meningitis group B | £849m +13% AER; +14% CER | Approved in over 50 countries for the prevention of invasive meningococcal disease (IMD) caused by Neisseria meningitidis serogroup B
Boostrix | Diphtheria, tetanus, acellular pertussis booster | £614m +3% AER; +4% CER | Available in 78 countries and market leader in the US
Rotarix | Rotavirus | £614m +17% AER; +18% CER | Market-leading pediatric vaccine in 132 countries. Increased share in the US since launch of liquid formulation in 2022
Fluarix, FluLaval | Seasonal influenza | £504m -29% AER; -29% CER | Quadrivalent influenza vaccines, available in 38 countries
Infanrix, Pediarix | Diphtheria, tetanus, pertussis, polio, hepatitis B, haemophilus influenza type B | £554m -7% AER; -6% CER | DTPa vaccine available in 77 countries. Pediarix is one of the leading brands by volume in the US
Engerix, Twinrix, Havrix | Hepatitis | £611m +7% AER; +8% CER | Growing hepatitis portfolio leadership through increased coverage and strengthened recommendations
Menveo | Meningitis group A, C, W and Y | £380m +10% AER; +12% CER | Menveo helps protect against IMD caused by Neisseria meningitidis serogroups A, C, Y and W and is available in over 60 countries
Synflorix | Invasive disease, pneumonia, acute otitis media | £275m -10% AER; -10% CER | Synflorix, a vailable in 100 countries, including WHO pre- qualification. Acquisition of MAPS technology is expected to enable greater serotypes and disease coverage
Priorix, Priorix Tetra, Varilrix | Measles, mumps, rubella and chickenpox | £265m +41% AER; +41% CER | Priorix continues to gain share in the US. Priorix is available in 97 countries, Varilrix in 86 countries, and Priorix Tetra in 60 countries
Cervarix | Human papilloma virus | £120m +3% AER; +5% CER | An important option against HPV. Cervarix two-dose schedule for girls aged 9-14 launched in China in 2023

Sales perfor mance
Vaccines sales grew 24% AER, 25% CER to £9.9 billion total
and 23% AER, 24% CER to £9.7 billion excluding COVID-19
solutions.
Shingrix grew 16% AER, 17% CER to £3.4 billion on increased
demand and favourable pricing, with Q4 2023 representing
the highest ever quarter of sales. Growth was driven by
public funding expansion and strong private uptake in
International and Europe.
Meningitis vaccine sales grew 13% AER ,14% CER to
£1.3 billion, largely delivered by Bexsero, primarily driven by
inclusion in National Immunisation Programmes in Europe.
Menveo grew due to the favourable impact of a US CDC
(Center for Disease Control) stockpile replenishment.
Arexvy achieved more than £1.2 billion in sales driven by
strong uptake and leading market share, delivering an
outstanding launch. Almost all sales were in the US where
Arexvy is available in all major retail pharmacies with
competitive contracting in place.
Influenza (Fluarix/FluLaval) sales declined in line with
expectations by 29% at AER and CER, to £504 million.
This was driven by competitive pressure and lower market
demand, primarily in the US.
Established Vaccines grew 6% AER, 7% CER to £3.3 billion
driven by Rotarix favourable US CDC stockpile movements,
MMR/V vaccines increased supply in International, and
hepatitis vaccine performance related to the travel market
recovery.

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Performance: Vaccines continued

34
Our strategy for growth
Our portfolio of more than 20 marketed vaccines is one of
the industry’s broadest. We deliver approximately 1.5 million
doses of our vaccines every day; and 4 out of 10 infants born
each year receive at least one GSK vaccine. Our vaccines
portfolio targets infectious diseases at every stage of life,
helping to protect people from RSV, meningitis, shingles,
flu, polio and many more.
Vaccines are critical to delivering our growth plans. Our
focus is on strong execution in key markets with Shingrix
and our existing portfolio, and on delivering the value of our
pipeline with new launches, particularly our world-first RSV
vaccine, Arexvy, so we can bring our vaccines to as many
patients as possible.
Vaccines are complex and highly technical to develop and
manufacture. This helps to protect our portfolio from
potential disruption from new technologies. There’s no
established generic industry and vaccines don’t generally
face the so-called ‘patent cliff’. This longer lifecycle means
vaccines can remain in use for decades after their initial
authorisation. For example, Boostrix, Infanrix, Priorix and
Engerix remain important parts of our portfolio in terms of
contribution to performance.
Our established platform technologies, and the new
platforms we’re building, such as the MAPS and mRNA
technologies, are a key part of our vaccines growth strategy
and are enabling us to tackle the most complex diseases
from birth throughout adulthood (see page 27).
Drivers of growth across the portfolio
Our launch of Arexvy supports our market leadership
ambition and has multi-billion-pound sales potential.
Approximately 6 million of the 83 million US adults aged
60 and older at risk have been vaccinated with Arexvy.
Launches are also underway across Europe and Canada,
and the vaccine has been approved in Japan and several
other countries. We’re strengthening relationships with
retailers, given our expertise in the older adult population
through Shingrix. We’re also drawing on our expertise in
respiratory diseases and the experience of our primary care
sales force. With further approvals and launches expected
in 2024, and increasing awareness of the impact of RSV
on adults at increased risk, we look forward to seeing the
impact this vaccine will have on helping to prevent the
severe consequences of RSV globally.
Shingrix continued to grow and is now available in 40
countries, with less than 4% penetration in the majority
of those markets. In the US 35% of the 120 million adults
recommended to receive Shingrix have now been
vaccinated. 70 million people are already protected with
Shingrix and our ambition is to vaccinate more than 100
million people by 2026. To support this, in 2023 we entered
into an exclusive agreement with Chongqing Zhifei
Biological Products, Ltd. (Zhifei) with a value of £2.5 billion
for an initial three-year period to co-promote Shingrix in
China. Zhifei will import and distribute Shingrix in China,
promoting the vaccine through its network of over 30,000
vaccination points. The partnership will significantly extend
the availability of Shingrix, supporting the rapid expansion
of patient access to the vaccine and future potential
indications.
We continue to lead the meningitis market driven by
Bexsero (MenB) and Menveo (MenACWY), as we prepare
for the transition to our pentavalent MenABCWY vaccine
that combines these established vaccines. Continuing to
invest in Bexsero remains integral to strengthening our
leadership by securing key National Immunisation
Programmes (NIP) in countries like Germany and
Switzerland. We’ll do this by building our real-world
evidence base, and by helping to improve immunisation
rates globally, focusing on the US adolescent population.
To improve our competitiveness, we’ll look to drive future
growth with multiple lifecycle innovations in the coming
years, including launching Menveo in a convenient liquid
formulation in additional countries.
Our established vaccines remain a key priority for growth,
representing a third of our total vaccines business. Our core
vaccines continue to grow strongly as we seek to maximise
uptake in those who need them. We achieve this by
prioritising specific segments for growth opportunity, such
as a return to travel and strengthened recommendations for
hepatitis in the adult segment, and increasing awareness
of the importance of vaccination. We’re also working to
maintain our strong performance in key markets by making
sure we resource our teams for success and that we can
deliver against our supply commitments.
Meeting the needs of ageing populations by
prioritising prevention
By focusing on prevention, we can reduce the burden of
disease and create a healthier, thriving world. Vaccination
is a critical element for prevention of infectious diseases,
especially for children and older adults.
From the age of around 50, our immune system starts to
decline and becomes less effective, leading to increased
risk from infectious diseases. We focus our efforts on helping
to keep older adults healthy, moving from ‘sick care’ to true
healthcare by prioritising prevention and making adult
immunisation the standard of care. With the help of
vaccination, adults can remain active, healthy participants
in society and the economy – prolonging productivity,
contributing to local economies and reducing healthcare
costs. To improve uptake of adult immunisation, we are
working to build the investment case for vaccination, ease
access, and increase belief in the importance of vaccines.

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Performance: Vaccines continued

35
To support healthcare professionals to routinely initiate
vaccination conversations with their patients and build
broader belief in the importance of vaccination, we held
Vaccine Virtual Days 2023. These bring together healthcare
professionals and experts from the international vaccine
community to discuss and present important updates,
data and trends in adult immunisation. We’ve also
continued our series of Vaccinology Master Classes, helping
to better equip healthcare professionals for conversations
with their patients about vaccines.
Adult immunisation rates in the US still haven’t recovered
fully after the COVID-19 pandemic. In 2023, we
commissioned a report, published with the IQVIA Institute
for Human Data Science and the Global Coalition on Aging.
It estimated that around 100 million fewer doses of some
adult vaccines (excluding COVID-19 solutions) were
administered in 2021 and 2022 than anticipated.
To help address this, we launched the COiMMUNITY
Initiative in the US which commits $1 million in grant funding
to national, state and local non-profit organisations to
address long-term barriers to immunisation, particularly
among older adults susceptible to declining immune
systems.
This year we commissioned research that spotlights
hyperlocal factors contributing to – or inhibiting – adult
immunisation uptake in five diverse, geographically
representative cities across the world. This research builds
upon existing global frameworks and progresses vital
initiatives, such as the UN Decade on Ageing and WHO
Age-Friendly Cities Network.
As part of COiMMUNITY, we’re also supporting public
health efforts by making data on vaccination trends
available through the Vaccine Track platform and
sharing tools and resources with healthcare organisations
to help them address gaps in adult immunisation.
The COiMMUNITY initiative builds on recent regulatory and
industry changes in the US that make vaccines more
available and easier to access for Medicare and Medicaid
beneficiaries and support community vaccine infrastructure.

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Performance: Vaccines continued

36
We continue to be global leaders
in infectious diseases, respiratory
and HIV medicines and have an
emerging portfolio of cancer
medicines.
Turnover
£10.2bn
-9% AER, -8% CER

l |  | HIV £6.4 bn
l |  | Respiratory/immunology and other £3.0 bn
l |  | Oncology £731 m
l |  | Pandemic £44 m

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Performance: Specialty Medicines

37

Specialty Medicines growth (excluding COVID-19 solutions) of 14% AER, 15% CER
Continued growth momentum in HIV
Growth acceleration in both oncology and respiratory/immunology

Key marketed products
Product | Disease | Total revenue | Key information
Dovato | HIV treatment | £1.8bn +32% AER; +33% CER | Dolutegravir-based two-drug regimen. Now launched in over 55 markets
Nucala | Respiratory eosinophil- driven diseases | £1.7bn +16% AER; +18% CER | The only treatment to be indicated in the US and Europe for use across four IL-5 mediated diseases (see page 23)
Triumeq | HIV treatment | £1.5bn -14% AER; -14% CER | Dolutegravir-based fixed-dose combination tablets. Marketed in over 65 countries
Tivicay | HIV treatment | £1.4bn flat % AER; +2% CER | Dolutegravir tablet for use in combination with other antiretroviral agents. Marketed in over 70 countries
Benlysta | Lupus and lupus nephritis | £1.3bn +18% AER; +19% CER | Only biologic approved to treat both SLE and LN, in the US, Europe and elsewhere
Cabenuva (Vocabria + Rekambys in Europe and Japan) | HIV treatment | £708m >100% AER;>100% CER | First and only complete long-acting injectable regimen (cabotegravir, rilpivirine). Marketed in over 25 countries
Juluca | HIV treatment | £661m +4% AER; +4% CER | Dolutegravir-based two-drug regimen. Marketed in 30 countries
Zejula | Ovarian cancer | £523m +13% AER; +15% CER | PARP inhibitor commercially available in 1L maintenance in 37 markets and in 2L maintenance in 31 markets
Apretude | HIV prevention | £149m >100% AER; >100% CER | First and only long-acting injectable (cabotegravir) for HIV prevention. Launched in the US in 2022
Jemperli | Endometrial cancer | £141m >100% AER; >100% CER | PD-1-blocking antibody available in 25 countries that is continuing to be investigated for future monotherapy and combination regimens in multiple tumour types
Rukobia | HIV treatment | £117m +43% AER; +44% CER | Extended-release tablets for people living with multi-drug resistant HIV-1 for use in combination with other antiretrovirals. Launched in 16 markets
Xevudy | COVID-19 treatment | £44m -98% AER; -98% CER | Monoclonal antibody for the early treatment of COVID-19
Blenrep | Blood cancer – multiple myeloma | £36m -69% AER; -69% CER | An antibody-drug conjugate for patients with relapsed or refractory multiple myeloma
Ojjaara/Omjjara | Myelofibrosis | £33m | Approved in the US, EU and UK as the first and only treatment specifically indicated for myelofibrosis patients with anaemia
Jesduvroq/Duvroq | Anaemia due to chronic kidney disease (CKD) | £26m 18% AER; 27% CER | Approved in the US in 2023 for the treatment of anaemia of chronic kidney disease (CKD) in adult patients on dialysis

Sales perf ormance
While reported Speciality Medicines sales were down 9%
AER, 8% CER at £10,224 million total, excluding COVID-19
solutions they grew 14% AER, 15% CER at £10,200 million.
HIV sales grew 12% AER, 13% CER to £6.4 billion, primarily
driven by a 2 percentage point increase in market share
within a broadly flat global treatment market, attributable
to patient demand for the oral two-drug regimen (Dovato,
Juluca) and long-acting medicines (Cabenuva, Apretude).
Oral two-drug regimen and long-acting medicine sales
grew 40% to £3.3 billion now representing 55% of the total
HIV portfolio.
Respiratory/immunology and other sales were up 16% AER,
18% CER to £3 billion with consistent and sustained double-
digit growth for both Benlysta and Nucala. Nucala grew 18%
to £1.7 billion with continued strong growth in all regions
reflecting high patient demand in severe eosinophilic
asthma and from the new indications. Benlysta grew 19% to
£1.3 billion representing strong demand in US and Europe
and continued market expansion.
Oncology sales grew 23% to £731 million, driven by strong
growth from Jemperli and Zejula and uptake of Ojjaara post
US launch in Q3 2023, partially offset by the impact of
Blenrep withdrawal from the US market in November 2022.
Growth of Jemperli continued to accelerate particularly in
the US following approval in Q3. Zejula sales grew 15% to
£523 million with strong growth from all regions. US growth
in the first line indication more than offset the reduction in
use in second line following the update to US prescribing
information agreed with the FDA in Q4 2022.

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Performance: Specialty Medicines continued

38
Our strategy for growth
Our portfolio of Specialty Medicines focuses on four
therapeutic areas: infectious diseases, HIV, respiratory/
immunology and oncology. We are reinforcing our strength
and leadership in infectious diseases, respiratory and HIV,
and building our emerging capabilities in oncology to
drive growth.
34% of sales come from Specialty Medicines, which we
expect to provide durable and profitable growth over the
next five years. We drive growth by accelerating our pipeline
as well as prioritising business development, targeting
acquisitions and partnerships to strengthen and
complement our core therapy areas, and helping to
deliver above and beyond our current long-term outlooks.
Our acquisition of Bellus Health, announced in April 2023,
for example, builds on our respiratory expertise and
complements our broader respiratory pipeline. We’re
increasingly confident that this will be a major source
of new long-term growth.
Drivers of growth across the portfolio
In HIV, our strategy for growth is built on our innovative
portfolio of medicines that are transforming HIV treatment
and prevention with strong competitive execution.
Launched in 2019, our dolutegravir-based oral two-drug
regimen, Dovato, continues to perform strongly, enabling
people living with HIV to remain virally suppressed with
fewer medicines.
Our long-acting portfolio of medicines are central to our
growth and are delivering strong results as they launch
across our markets.
Cabenuva, the world’s first and only complete long-acting
regimen for HIV treatment is available in the US, Europe,
Japan, China and Australia. Two-monthly Cabenuva
addresses the challenges associated with daily oral therapy,
including fear of disclosure, adherence anxiety and pill
fatigue.
Apretude is the world’s only long-acting medicine for HIV
prevention offering superior efficacy to daily oral prevention
(FTC/TDF tablets) and two-monthly dosing. In 2023
Apretude expanded beyond the US with approval in Europe
and several sub-Saharan Africa countries as an important
lever to end the global epidemic.
In respiratory/immunology, our market-leading medicines
Nucala and Benlysta continued to deliver double-digit
growth.
Nucala, the only targeted biologic therapy approved for use
across four IL-5 mediated diseases (eosinophil disease),
continues to drive growth. Consistent evidence across
multiple indications combined with market-leading safety
data reinforce Nucala as the biologic of choice for HCPs.
The severe asthma market continues to grow in the US and
in other markets, which offer opportunities for Nucala to
help more patients.
Benlysta remains the only biologic approved for both
systemic lupus erythematosus and lupus nephritis In 2023,
Benlysta saw consistent growth across all major markets,
with over 14,000 US patients starting therapy in 2023.
We’re focused on helping to identify and treat patients
earlier, before lupus progresses and organ damage occurs
(see page 24).
In oncology, Jemperli continues to demonstrate its potential
as the backbone of our ongoing immuno-oncology-based
research and development programme. Used alone and in
combination with standard of care and future novel cancer
therapies, it has the potential to transform patients’ lives
across multiple tumour types, including endometrial cancer.
In 2023, Jemperli plus chemotherapy was approved in the
US, EU and UK as the first and only immuno-oncology
regimen for the treatment of frontline primary advanced
or recurrent dMMR/MSI-H endometrial cancer. These
approvals have been a significant driver of performance
and sales growth in oncology.
Ojjaara/Omjjara, a JAK- and ACVR1-inhibitor, acquired
through the purchase of Sierra Oncology in April 2022, is
now approved in the US, EU and UK to treat myelofibrosis
with anaemia. This makes Ojjaara the only medicine
specifically indicated for both newly diagnosed and
previously treated myelofibrosis patients with anaemia
that addresses the anaemia, constitutional symptoms and
splenomegaly (enlarged spleen) that are the hallmarks of
this complex blood cancer. The line-agnostic label was
broader than anticipated, expanding the opportunity to
reach more patients with a novel treatment option.
Additional regulatory filings were initiated in 2023, with an
aim in 2024 to expand access to patients in other markets.
In ovarian cancer, Zejula continues to provide a significant
opportunity for first-line maintenance therapy, reaching
more than 15,000 patients every month. We’re working to
develop other combination therapies with Zejula in women's
cancers and other solid tumours.
To ensure we focus on areas where we can make the
biggest impact for patients, we’ve withdrawn our filing for
Jesduvroq in the EU, and will stop filing in other markets
because other medicines are already available for patients
living with anaemia of CKD.

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Performance: Specialty Medicines continued

39
From antibiotics to inhaled
medicines for asthma and COPD,
we have over 150 general medicine
products, many of them leaders in
their class, making life better for
millions of people worldwide.
Turnover
£10.2bn
+1% AER, +5% CER

l |  | Respiratory £6.8bn
l |  | Other General Medicines £3.4bn

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Performance: General Medicines

40

Growth driven by both respiratory and other general medicines
Ongoing strong demand for Trelegy in all regions; Anoro in Europe and International
Continued post pandemic recovery of the antibiotic market in Europe and International regions

Key marketed products
Product | Disease | Total revenue | Key information
Trelegy Ellipta | COPD, asthma | £2.2bn +27% AER; +29% CER | Most prescribed single inhaler triple therapy (SITT) worldwide, reaching an estimated 8.6 million patients since launch
Seretide/Advair | Asthma, COPD | £1.1bn -2% AER; +1% CER | One of the market-leading ICS/LABA 1 treatments worldwide by sales value
Relvar/Breo Ellipta | Asthma, COPD | £1.1bn -4% AER; -2% CER | One of the leading ICS/LABA treatments worldwide by sales value
Ventolin | Asthma, COPD | £749m -3% AER; — CER | Global market-leading SABA 2 reliever by sales value
Augmentin | Common bacterial infections | £628m +9% AER; +17% CER | Global leader in oral antibiotics by sales value, available in over 95 countries
Anoro Ellipta | COPD | £557m +15% AER; +16% CER | Global market leader in the LAMA/LABA 3 class by volume (unit sales), approved in over 70 countries
Avodart & Duodart | Benign prostatic hyperplasia (BPH) | £345m +5% AER; +7% CER | Market leaders by sales value in the global dutasteride and dutasteride+tamsulosin FDC 4 market respectively, and approved in over 101 and 88 countries respectively
Avamys/Veramyst | Allergic rhinitis | £299 m -7% AER; -4% CER | Global leader in the inhaled corticosteroids prescription class by sales value
Dermovate, Betnovate, Cutivate, Eumovate | Inflammatory skin conditions | £195m -3% AER, +6% CER | Global leader in topical corticosteroids across 60 markets globally by value of sales, excluding the US

(1) ICS/LABA: inhaled corticosteroid/long-acting beta agonists
(2) SABA: short-acting beta agonist
(3) LABA/LAMA: long-acting beta agonists/long-acting muscarinic antagonists
(4) FDC: fixed-dose combination
Key information source IQVIA
Sales performance
General Medicines sales grew 1% AER, 5% CER to
£10.2 billion, reflecting growth of Trelegy and the single
inhaler triple therapy class across all regions, and of Anoro
in Europe and International.
Trelegy grew 27% AER, 29% CER to £2.2 billion with growth
delivered across all regions, reflecting increased patient
demand, growth of the SITT market and penetration
of the class.
Seretide/Advair sales decreased 2% AER but increased
1% CER at £1.1 billion, primarily reflecting favourable US
pricing. However this was offset by generic erosion impacts
in Europe and certain International markets.
Other General Medicines decreased 5% AER, but grew
2% CER at £3.4 billion reflecting ongoing post pandemic
demand for anti-infectives in Europe and International,
and certain third party manufacturing arrangements.
Overall growth in this product group continues to be
impacted by ongoing generic competition.
Our strategy for impact
Our General Medicines portfolio includes medicines that
are typically prescribed in primary care. In 2023, General
Medicines contributed over one third of GSK's sales, helping
to fund growth and investment in R&D and returns to
shareholders.
We expect our combination of more than 150 products,
several of which are market leaders, to have a positive
impact on the lives of hundreds of millions of patients over
the next 10 years. We supply our products in more than
100 countries, and they comprise over 80% of our total
medicines and vaccines supply volume. Every day, these
medicines improve health and make life better for millions
of people all over the world.
Together, respiratory and infectious diseases therapeutics
generate 73% of our General Medicines revenue. With
expected growth from Trelegy, Anoro and the established
products portfolio in emerging markets, we are committed
to positively impacting more lives every day.
We focus investment in our brands that are growing strongly
to maximise returns, while managing the expected decline
of other products in mature markets as they lose their
exclusivity.

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Performance: General Medicines continued

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Drivers of growth across the portfolio
Our main sources of growth in General Medicines in 2023
were Trelegy, Anoro and Augmentin.
Trelegy, our SITT for asthma and COPD, delivered sales
of over £2 billion for the first time in 2023. Trelegy has
continued to accelerate strongly, with growth in all regions
including the US, and is the third biggest growth driver in
our portfolio. Trelegy is licensed in 60 countries for COPD,
with dual indications for asthma and COPD in 19 countries,
including the US and Japan 1. We received several new
approvals in 2023, further expanding Trelegy’s availability to
asthma patients in Turkey, Hong Kong, Bahrain and Kuwait.2
Trelegy is the number one SITT globally, selling over 21
million packs – more than twice the volume of the nearest
competitor 3. Trelegy is the market leader in our two largest
markets, the US and Japan, with market shares significantly
exceeding the next-largest competitor (83% and 67%,
respectively). In November 2022, the Global Initiative for
Chronic Obstructive Lung Disease (GOLD) guidelines
recommended triple therapy over ICS/LABA for
exacerbating patients. This has helped to continue the
growth of the SITT market which, six years after first launch,
is still growing at 41% year on year. We expect Trelegy
to be a key driver of growth in General Medicines in the
coming years.
Anoro is approved in approximately 70 countries to treat
symptomatic COPD. Anoro remains the global market
leader in the LAMA/LABA class by volume (unit sales)4,
with continued growth in global sales (excluding US). Anoro
has a robust clinical data profile, which includes head-to-
head data in the LAMA/LABA class and versus other
common initial maintenance therapy options, such as
LAMA.
Augmentin is a global leader in oral antibiotics by sales
value 4 and is available in 95 countries. It has reached over
2.65 billion patients since launching more than 40 years ago
and continues to grow strongly across regions. Augmentin
grew 9% AER, 17% CER to £628 million with strong ongoing
demand across all regions.
Since its launch in 1969, Ventolin remains an important
medicine for patients in more than 100 countries.
A significant proportion of our carbon emissions come from
our Ventolin metered dose inhalers (MDIs). We have started
an R&D programme to redevelop our Ventolin MDIs with a
lower global warming potential (GWP) propellant, which is
now in clinical assessment. If successful, this could reduce
greenhouse gas emissions from our rescue MDIs by
approximately 90%.

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Performance: General Medicines continued

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(1) Regulatory Data on File. Latest update 25 August 2023 for Asthma and
July 2022 for COPD
(2) Regulatory Data on File, Latest update 25 August 2023
(3) IQVIA Patient Volume Data as of 6 October 2023
(4) Source: IQVIA
Our global supply chain is critical
to the successful manufacture and
supply of our vaccines and medicines.
It enables us to deliver reliable,
high-quality products to meet
patients’ needs and maintain
our performance.
In 2023, we made significant progress in bringing together
our vaccines and medicines supply chains to create one
global supply chain. This integration helps drive efficiency
and ensures we have the capacity and capabilities,
including the best digital and technology capabilities,
to deliver our new products.
Our global network of 37 vaccines and medicines
manufacturing sites delivered more than 500 million vaccine
doses and 1.8 billion packs of medicines to help make a
positive impact on the health of millions of people.
Investing for future productivity
We are investing in our manufacturing and supply chain
to increase productivity and efficiency. In 2023 we opened
a $100 million adjuvant manufacturing facility in Hamilton,
in the US. It means we can produce the QS-21 adjuvant
in-house, contributing to our RSV, shingles, malaria and
cervical cancer vaccines.
In late 2022, we opened a manufacturing and testing
facility at Jurong in Singapore to produce a cytotoxic agent
for antibody drug conjugates needed for next-generation
cancer treatments. And at our Tuas site, also in Singapore,
we’ve begun building a new vaccine manufacturing facility
for our hepatitis B vaccines which will feature the latest
advanced technology and be sustainable by design.

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At Ware in the UK, we opened a new oral solid dose facility,
bringing together R&D and supply chain specialists to use
new technologies and rapid knowledge transfer to deliver
new medicines faster and more efficiently.
And at our Wavre site in Belgium, we’ve started building
a €250 million freeze-drying centre, using automation
and robotics, to create more capacity for adult vaccines.
At Barnard Castle in the UK, our multi-million-pound Q
Block smart manufacturing facility started commercial
production in 2023, and immunology products are now
being shipped to patients around the world. The facility
uses digital technology and robotics to make production
more efficient.
We are exceeding targets in our ongoing programme of
productivity and efficiency improvements. This year, the
programme delivered £101 million in savings across
Medicines and Vaccines.
Site productivity increased by 9.3% during the year.
Promoting quality, safety and reliability
Quality, safety and reliable supply are critical to meeting
patients’ needs, and to creating competitive advantage.
Our reliability remains strong, with an on-time, in-full (OTIF)
measure of 99.3% for Specialty Medicines, 98.4% for
General Medicines and 92.3% for Vaccines. Our deviation
rates improved for Medicines and increased marginally for
Vaccines with clear action plans for improvement in 2024.
For information on product governance, see the Responsible
Business section on page 55.
We’ve also received external recognition. In 2023, we
featured in Gartner’s Top 25 Supply Chain companies,
based on financial metrics, ESG criteria, and opinion from
industry analysts and experts.
Supporting innovation
Our global supply chain plays a central role in bringing our
innovations to patients as quickly, efficiently and effectively
as possible. The teams are involved early in product
development, working with R&D to make sure that what
works in clinical trials can be produced commercially at
scale.
In 2023 we supplied our RSV vaccine Arexvy in record time
to more than 20 countries, including the US, the EU and
Canada, following regulatory approvals.
We are also bringing on additional capacity to deliver
Jemperli to more patients around the world following
regulatory approvals in the US and Europe.
And we worked with external manufacturing partners to
deliver supply chain excellence for the US launch of Ojjaara.
Embracing technology and data
By harnessing the power of technology and data, we
are transforming our manufacturing and supply chain.
By identifying and implementing the best digital and
technology capabilities, we can unlock growth for patients,
shareholders and our people.
We are also working to industrialise new platform
technologies such as oligonucleotides in medicines and
mRNA and MAPS in vaccines. As MAPS clinical trials
continue at the new Binney Street site in Cambridge, US,
we plan to scale up production and bring MAPS to market.
We’re using digital twins to simulate processes, anticipate
issues and use what we learn to accelerate manufacturing.
The technology helps increase production yields for both
our vaccines and medicines.
We’re also investing in automation and robotics at our sites,
improving ergonomics, increasing efficiency and helping us
to deliver more medicines and vaccines to patients around
the world.
Increasing our environmental sustainability
Our manufacturing sites have a key role in our contribution
to a net zero, nature positive, healthier planet, and
environmental sustainability is a fundamental part of our
global supply chain strategy. See our Responsible Business
section on page 45 for more information on carbon
emissions, water use and waste. We’re also investing in
plans to improve natural habitats, protect biodiversity
and improve soil and water quality near our sites.
+ For more on our approach to sustainability and progress made at our sites,
see our ESG Performance Report

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Operations: Manufacturing and supply continued

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Responsible business |  | ESG is embedded in our strategy. It helps us deliver our purpose and supports our sustainable performance and long-term growth.

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45
Our approach
We are a global biopharma company with a purpose
to unite science, technology and talent to get ahead of
disease together. To deliver our purpose, we need to
consider ESG impacts across everything we do, from the lab
to the patient. That’s why ESG is embedded in our strategy
and supports our sustainable performance and long-term
growth. It helps us to build trust with and generate value for
our stakeholders, reduce risk to our operations and create
positive social impact.
We have identified six ESG focus areas that address what is
most material to our business and the issues that matter the
most to our stakeholders. These focus areas are core to our
strategy and are where we can have the greatest positive
impact on some of society’s most urgent challenges,
including those set out in the UN Sustainable Development
Goals (UN SDGs). They are:
– Access to healthcare
– Global health and health security
– Environment
– Diversity, equity and inclusion (DEI)
– Ethical standards
– Product governance.
These focus areas were informed by our most recent
materiality assessment in 2022, which reaffirmed that
the most material issues for our business were well aligned
with our six ESG focus areas. We recognise that being
a responsible business is not a static requirement. This
means that we will continue to evolve our approach in
response to the rapidly changing operating environment
and strive for continuous improvement to ensure we
maintain strong ESG performance.

Our ESG Performance Rating

Our ESG Performance Rating helps us integrate ESG into
the delivery of our strategy and allows us to measure and
verify the progress we are making. The rating is one of our
corporate KPIs and measures progress against key metrics
aligned to each of our six focus areas. In 2023, this included
22 metrics, which are summarised in our ESG Performance
Report.
We continue to evolve our ESG Performance Rating to ensure
it meets the expectations of our stakeholders. The executive
leadership team and the Board, via the Corporate
Responsibility Committee, review the metrics that make
up this Rating each year to ensure they are sufficiently
challenging and ambitious. This year, we have removed two
metrics, relating to Access and Ethical standards, and added
one relating to anti-microbial resistance (AMR). We met one
of our 2022 metrics relating to Access by developing and
publishing pricing and access principles. We have also
removed one of our Ethical standards metrics that tracks the
number of employees leaving GSK for misconduct. Increases
or decreases in this number could indicate either a higher/
lower number of breaches or stronger/weaker enforcement
of our processes, so setting a threshold is not an effective
measure for success in upholding our standards. We continue
to monitor this data internally and publish it externally.
We have three additional metrics which provide a strong
measure of our commitment to ethical standards. We have
added a metric within Global health and health security,
focused on AMR. AMR is an urgent public health threat, and
we have seen increased stakeholder interest in our approach.
We updated our biodiversity target as we achieved it in 2022.
Our new target focuses on deforestation free sourcing of
paper and palm oil.
How we assess performance
The GSK Leadership Team (GLT) is accountable for
delivering progress against the metrics and regularly reviews
performance along with the Board’s Corporate
Responsibility Committee (CRC). Each individual metric is
assessed as either: on track (metric met or exceeded); on
track with work to do (at least 80% of metric has been
achieved); or off track (metric missed by more than 20%).
In addition, in order to calculate the overall ESG
Performance Rating, performance across all metrics is
aggregated to a single score to illustrate whether we are
on track, on track with work to do, or off track. This rating
is defined below:
On track: 70% or more of all metrics are on track
On track with work to do: more than 50% of all metrics
are either on track, or on track with work to do
Off track: more than 50% of all metrics are off track
2023 ESG Performance Rating
Our 2023 ESG Performance Rating is on track, based on
95% of all performance metrics being met or exceeded.
Assessment of performance against our annual targets
has been reviewed, and the overall ESG Performance
Rating score has been subject to independent limited
assurance for 2023.
+ For full details of progress against our six focus areas, our ESG Performance Rating and 22 metrics and independent limited assurance reports, see our ESG Performance
Report

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Responsible business

46
External benchmarking
Detailed below is how we perform in key ESG ratings
that we are frequently asked about by investors:
– Access to Medicines: Ranked 1st in the Access to
Medicines Index in 2022 and an industry leader in the
2021 Antimicrobial Resistance Benchmark
– S&P Corporate Sustainability Assessment: Ranked 1st
in the pharmaceuticals industry with a score of 84 (as of
24 November 2023) and included in the DJSI World and
Europe indices
– FTSE4Good: Member of FTSE4Good Index since 2004
– CDP: A- in Climate change, A- in Water security,
B in Forests (palm oil) and B in Forests (timber)
– Sustainalytics: Low risk rating
– MSCI: AA rating
– Moody's Analytics: ESG Overall Score of 62 (out of 100;
sector average 38)
– ISS Corporate Rating: B+ rating

Access

We aim to positively impact the health of 2.5 billion people
by the end of 2030. We will do this by making our vaccines
and medicines available as widely as possible, through
responsible pricing, strategic access programmes and
partnerships.
Our commitment
Make our products available at value-based prices that
are sustainable for our business and implement access
strategies that increase the use of our medicines and
vaccines to treat and protect underserved people
Our ESG Performance Rating metric
– Progress towards our 2030 goal of reaching 1.3 billion
people in lower income countries with our products
Progress in 2023
Putting the right value on innovation
We set responsible prices in line with the benefits we
bring to patients and health systems, measured by clinical,
economic and social outcomes. We compare our offer to
what is already available for patients and we generate
evidence from clinical trials to establish the added value
provided by our medicines and vaccines. We adjust our
pricing in line with the socio-economic status of a country
to ensure affordability and availability.
We operate under robust pricing approvals, developing
access plans informed by payers. We also work to create
stability and predictability for payers and our business,
engaging proactively on upcoming product launches for
budget planning, and adjusting prices to account for
inflation. In the US in 2023, our combined average net price
(after discounts, rebates or other allowances) for our
pharmaceutical and vaccines portfolio increased by 0.4%,
while the average list price increased by 3.2%, compared
with 5.4% (list) for the industry. Over the past five years,
the average net price for our products increased by 0.3%
annually, while the average list price rose by 3.3%,
compared with 4.7% (list) for the industry.
Providing access for patients in lower income countries
We collaborate with global health partners, including
NGOs and generic manufacturers, to increase our reach
to patients in lower income countries. In 2023, we reached
89 million people with our vaccines and antiretrovirals in
lower income countries.
Vaccines
We reserve our lowest vaccine prices for Gavi, the vaccine
alliance, and similar organisations. We have partnered with
Gavi since its foundation in 2000 and have supplied more
than one billion vaccine doses to date at our lowest prices
to the lowest income countries.
In 2023, through our partnership we significantly increased
our supply to deliver around 5 million doses of Cervarix,
a critical vaccine in lower income countries for addressing
cervical cancer.
In 2023, we supplied around 41 million doses of our
pneumococcal vaccine, Synflorix, to eight Gavi-eligible
countries at our lowest price. Our vaccine against rotavirus,
Rotarix, reaches children across 25 Gavi-eligible countries
and four former Gavi countries. We have offered vaccines
to civil society organisations serving refugees and working
in other emergency situations through the Humanitarian
Mechanism since 2017. We are also a long-standing supplier
of oral polio vaccines through UNICEF and, in 2023 alone,
supplied around 130 million doses to help eradicate polio.
Neglected tropical diseases
In 2023, we donated 615 million albendazole tablets to help
tackle lymphatic filariasis (LF), soil transmitted helminths
and echinococcosis, taking the total we have donated to
over 11 billion.
We remain committed to supplying albendazole to endemic
countries until LF is eliminated everywhere. So far, LF has
been eliminated in 19 countries including Bangladesh and
Lao PDR, who announced elimination of the disease in 2023
– significant milestones in our collaborative effort to get
ahead of disease together. The number of tablets we are
donating is declining each year, given the gradual
eradication of the neglected tropical diseases (NTDs) that
the medicine is targeting.

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The programme has benefited over 935 million people
since it began, according to WHO data.
HIV
In 2023, Aurobindo, Cipla and Viatris, three generic
manufacturers, signed sub-licences of ViiV Healthcare’s
licence with the Medicines Patent Pool (MPP) to develop,
manufacture and supply generic versions of cabotegravir
long-acting for HIV pre-exposure prophylaxis (cabotegravir
LA for PrEP) in 90 countries, subject to obtaining regulatory
approvals. ViiV Healthcare also works with global health
agencies, NGOs, governments and community partners to
plan for and support the introduction of ViiV-manufactured
cabotegravir LA for PrEP introduction into national
programmes. In late 2023, our first orders of cabotegravir
LA for PrEP were delivered to a global partner for
programmatic use in low- and middle-income countries.
ViiV Healthcare also has voluntary licensing agreements
with 15 generic manufacturers to produce and sell low-cost
single or fixed-dose combination products containing our
HIV medicine dolutegravir for adults. These agreements
cover 95 low- and middle-income countries, with one direct
licence and the others via the MPP. There are similar
agreements with 14 generic manufacturers for children,
covering 123 countries, as well as separate agreements
to enable greater access to dolutegravir in certain upper
middle-income countries. In total, around 24 million people
living with HIV across 128 countries had access to a generic
product containing dolutegravir by the end of 2023. This is
more than 90% of people living with HIV on antiretrovirals
in generic-accessible low- and middle-income countries.
Malaria
To date, over two million children in Ghana, Kenya and
Malawi have been reached with at least one dose of
Mosquirix (RTS,S/AS01E) through the WHO-coordinated
Malaria Vaccine Implementation Programme. Developed
by GSK and our partners, Mosquirix is a significant scientific
breakthrough – it is the world’s first malaria vaccine and first
vaccine against any human parasite.
In July 2023, Gavi announced that up to nine more African
countries are to be allocated doses of Mosquirix from early
2024. We have committed to supply a total of 18 million
doses to Gavi-eligible countries between 2023 and 2025,
with a plan to produce 15 million doses annually from 2026
to 2028.
In 2023, a landmark study by the London School of Hygiene
& Tropical Medicine showed that combining Mosquirix with
antimalarial drugs in areas of Africa with seasonal malaria
reduced malaria cases and deaths in young children over
a period of five years.
These findings confirm the potential of seasonal vaccination
to provide a high level of protection over the first five years
of life, when this protection is much needed.
Helping to strengthen healthcare systems
In 2023, GSK and ViiV Healthcare joined forces with The
Global Fund to pledge $7.5 million over three years to create
the Gender Equality Fund, which will support community-
based and -led organisations that are working to deliver
lasting changes in health policies and programmes focusing
on TB, HIV and malaria for women and girls in all their
diversity. The Bill & Melinda Gates Foundation has
committed to match this donation. We also renewed our
partnership with Save the Children for another five years.
Building on learnings over the last decade, we are focusing
our partnership on reducing the number of ‘zero dose’
children – those who have never received a vaccine –
in Ethiopia and Nigeria, which represent more than a third
of the zero-dosed children in Africa.
+ For full details of our progress in our six focus areas, please see our ESG
Performance Report

Global health and health security

We want to help address the biggest health challenges
faced by people around the world.
Our commitment
To develop novel products and technologies to treat and
prevent priority diseases, including pandemic threats
Our ESG Performance Rating metrics
– Progress six Global Health pipeline assets to address
priority WHO diseases
– Progress eight active R&D projects that address
pathogens prioritised by WHO and CDC as posing
the highest level of concern due to drug resistance
(critical and/or urgent threats)
Progress in 2023
Global health R&D
In 2022, with ViiV Healthcare, we announced an investment
of £1 billion over 10 years to accelerate global health R&D.
By the end of 2023, we had invested 21%1 of this and
progressed 11 Global Health pipeline assets to address
priority WHO diseases, including climate-aggravated
diseases that have a disproportionate impact on lower
income countries.
Promising avenues for tuberculosis prevention and
treatment
GSK is committed to tackling tuberculosis (TB), one of the
world’s deadliest diseases. We have developed a promising
candidate vaccine, M72/AS01E, up to proof of concept
(phase IIb). Building on our long-standing, successful history
of working with external partners we have partnered with
the Bill and Melinda Gates Medical Research Institute (MRI)
for its further development.

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(1) Budget phasing is not linear across the 10 year period.
Gates MRI is well positioned to lead the large and complex
phase III study required. In June 2023, Wellcome and the
Bill and Melinda Gates Foundation announced funding of
up to $550 million for phase III trials. If these trials are
successful, M72/AS01E could be the first new vaccine to
help prevent pulmonary TB in over a century.
Breakthroughs in malaria research and treatment
In August 2023, we announced that GSK scientists had
discovered a strain of a naturally occurring bacterium that
could potentially help eradicate the disease. The Tres
Cantos 1 (TC1) strain of the Delftia tsuruhatensis bacterium
significantly reduces the load of P. falciparum malaria
parasites in mosquitoes. This could potentially inhibit
transmission of the parasite to humans. We continue to
pursue this ground-breaking research while engaging with
global health institutions and partners to identify the most
effective and sustainable approach for development and
mobilisation if successful.
Supporting innovation through capacity and capability
building
Through our Africa Open Lab initiative, launched in 2014, we
support early-career scientists based in sub-Saharan Africa
focusing on infectious diseases that disproportionately
affect sub-Saharan populations, such as malaria, TB and
AMR. In 2023, we agreed grants to ten researchers in six
countries in sub-Saharan Africa and announced a further
call for proposals in November. We are also working with
African academic institutions to provide grantees with
supplemental training in areas including epidemiology,
statistics and clinical research.
Strengthening health security
There are many factors that can jeopardise our health
security – from new and emerging infectious diseases to
the rise of AMR. Our primary contribution to strengthening
health security is through our innovation to prevent and
mitigate infectious disease.
We have more than 30 R&D projects across medicines and
vaccines that are relevant to AMR, ranging from early- to
late-stage development, with 12 R&D projects targeting
pathogens deemed ‘critical’ or ‘urgent’ by the WHO and
the US Centers for Disease Control and Prevention.
These include gepotidacin, which could be the first novel
oral antibiotic treatment for uncomplicated urinary tract
infections (UTIs) in over 20 years. Positive phase III data
from the EAGLE-2 and EAGLE-3 trials were presented at the
European Congress of Clinical Microbiology and Infectious
Diseases in Copenhagen in April 2023.
In March 2023, we announced an exclusive licence
agreement with Scynexis for Brexafemme (ibrexafungerp
tablets), a first-in-class antifungal for the treatment of
vulvovaginal candidiasis (VVC) and for reduction in the
incidence of recurrent VVC.
Progressing vaccines against enteric diseases to reduce
the burden of antimicrobial resistance
Antimicrobial resistance (AMR) is a major threat to health
globally, and it is particularly prevalent in low-resource
settings. We continue to progress candidate vaccines
against several enteric diseases which contribute to the
burden of AMR, including invasive non-typhoidal
salmonella, klebsiella, shigella, typhoid and paratyphoid
fever. In 2023, it was announced that we are partnering
with LimmaTech Biologics for the further development of
a candidate vaccine against shigellosis, while we continue
to develop another candidate vaccine against the disease
which uses our vaccine platform technology, GMMA.
Currently, there are no vaccines to help prevent shigellosis,
a disease which causes 600,000 deaths each year.
See page 17 for more about our R&D pipeline.
+ For full details of our progress in our six focus areas, please see our ESG
Performance Report

Environment

Climate change and nature loss are an urgent threat to
human health, as well as a risk to business resilience. To get
ahead of disease and to help ensure long-term business
success, we need to take action on climate and nature.
Our commitment
Commit to a net zero, nature positive, healthier planet
with ambitious goals set for 2030 and 2045
Our ESG Performance Rating metrics 1
– Operational emissions reduction (Scope 1 and 2 market-
based emissions)
– Industrialisation of low-carbon Ventolin initiated, and
clinical and non-clinical data available to support
regulatory submissions
– Percentage of carbon offset volume in project pipeline
– Average of the percentage of GSK sites and suppliers
compliant with wastewater active pharmaceutical
ingredient limits and the percentage of suppliers that
are compliant with the AMR Industry Alliance Common
Antibiotic Manufacturing Framework and discharge limits
– Percentage of paper and palm oil deforestation free
– Operational waste and material reduction at our sites

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(1) These metrics are related to the ESG Performance Rating outlined in
our ESG Performance Report 2023. We also measure and report
performance against our public environmental sustainability targets,
which we publish on gsk.com
Progress in 2023
Climate
We have a clear pathway to a net zero impact on climate
with ambitious goals for 2030 and 2045.
In 2023, the Science Based Targets initiative (SBTi)
approved GSK’s net zero target for 2045 in line with its
Corporate Net-Zero Standard, the world’s only framework
for corporate net zero target setting in line with climate
science.
Our value chain carbon footprint 1 is made up of:
– Scope 1 and 2 emissions from our own operations (7%)
– Scope 3 emissions from our supply chain (31%)
– Scope 3 emissions from patients using our products (57%),
mostly metered-dose inhalers (MDIs)
– Scope 3 emissions from logistics (4%)
– Scope 3 emissions from the disposal of our products (1%)
Targets 2
– 80% absolute reduction in greenhouse gas emissions
from a 2020 baseline, across all scopes, and investment in
nature-based solutions for the remaining 20% of our
footprint by 2030
– 100% imported renewable electricity by 2025 and 100%
renewable electricity (imported and generated) by 2030
(Scope 2)
– Net zero greenhouse gas emissions across our full value
chain by 2045: 90% absolute reduction in emissions from
a 2020 baseline, across all scopes, and all residual
emissions neutralised
P erformance
In 2023, we reduced our Scope 1 and 2 carbon emissions by
10% compared with 2022, and by 27% compared with our
2020 baseline. This was primarily from energy efficiency
measures and increasing the amount of renewable
electricity we use. As a member of the RE100 initiative, we
have committed to reach 100% of our imported electricity
from renewable sources by 2025 and 100% of all electricity
we generate and import from renewable sources by 2030.
In 2023, we reached 83% imported renewable electricity,
an increase of 10% from 2022.
We signed a power purchase agreement to source
renewable electricity to cover 50% of our electricity demand
for our sites in Europe from mid-2026. Two additional wind
turbines and the new solar farm at our manufacturing
facility in Irvine, Scotland began generating renewable
energy.
Our overall Scope 3 emissions are 10% lower than our
baseline year of 2020, although there was a 4% increase
in 2022 (our latest available data) compared to 2021.
This was primarily driven by higher sales of metered dose
inhaler (MDI) products. Although overall Scope 3 emissions
increased from 2021 to 2022, in the same period, we
reduced upstream Scope 3 emissions from our suppliers.
The goods and services we buy to make our medicines and
vaccines, and additional upstream emissions, account for
approximately 31% of our total emissions footprint. In 2023,
our supply chain emissions fell by 2%.
The use of our medicines and vaccines makes up 57% of
our total footprint. Most of this is from the propellant used in
MDIs for asthma and chronic obstructive pulmonary disease
(COPD).
GSK’s rescue MDI medication, Ventolin (salbutamol) is an
essential medicine prescribed to approximately 35 million
people with respiratory conditions worldwide. Patient use of
the inhaler, due to the current propellant, accounts for just
under half (48%) of our carbon footprint. We are investing
in a low-carbon programme with the potential to reduce
greenhouse gas emissions from the inhaler by 90% by
transitioning to a next generation, lower carbon propellant.
Phase III trials will begin in 2024 and, if successful,
regulatory submissions will start in 2025. This is to
supplement our existing low carbon dry powder inhalers.
See pages 62 to 70 for our disclosure on climate risk and
resilience in line with the Task Force on Climate-related
Financial Disclosures (TCFD) framework.
Nature
In 2023, we shared more detail on our plan for contributing
to a nature-positive world, in line with the goal of the Global
Biodiversity Framework to halt and reverse biodiversity loss
by 2030.
It sets out how we approach nature through four focus
areas – freshwater, land, oceans and atmosphere –
including the biodiversity of living species across these
areas.3 We aim to deliver our contribution in three ways:
avoiding or reducing our impact on nature, protecting and
restoring nature, and helping to accelerate collaborative
action. This approach is aligned with the work of the
Taskforce on Nature-related Financial Disclosures (TNFD)
and the Science Based Targets Network (SBTN).
In May 2023 we were selected to be part of the first group
of companies to participate in the initial target validation
process with SBTN to set validated science-based targets
for nature, starting with targets for freshwater and land,
followed by targets for oceans and biodiversity.
We have already started to implement the final TNFD
recommendations in our 2023 disclosure, which you can
read on page 70.

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(1) Based on 2022 data
(2) The target boundary includes biogenic land-related emissions and
removals from bioenergy feedstocks
(3) We previously reported our Nature targets grouped by water, waste
and materials, and biodiversity. In 2023, we updated our target
categories to align with the four areas of nature as defined by TNFD
and SBTN, with underlying targets on waste and materials. The targets
remain the same
Fr eshwater
We continue to work towards our existing water targets.
Targets
– Achieve good water stewardship at 100% of our sites
by 2025
– Reduce overall water use in our operations by 20%
by 2030
– Be water neutral in our own operations and at key
suppliers in water-stressed regions by 2030
– Zero impact API levels 1 for all sites and key suppliers
by 2030
Performance
We achieved our overall water reduction target in 2022.
In 2023, we reduced overall water use in our operations
by an additional 1% compared with 2022 and by 6% in sites
in high water stress regions. This is a decrease of 24% for
overall water use and 11% for sites in high water stress
regions against our 2020 baseline.
For our sites and key suppliers located in water-stressed
areas, we are developing catchment-level water
replenishment, restoration and regeneration projects,
including partnering with NGOs to deliver our water
neutrality target.
In 2023, 87% of all sites and key suppliers were compliant
with AMR Alliance and API Wastewater discharge limits.
This is down from 94% in 2022, primarily due to a scope
expansion. This is driven by us expanding our scope to
include more API suppliers which led to a decrease in the
percentage of key suppliers that were confirmed to be
within Wastewater API discharge limits.
Our work to strengthen responsible manufacturing of
antibiotics was highlighted as an example of good practice
in a 2023 report on the issue from the Access to Medicine
Foundation’s AMR Benchmark.
Land
We continue to deliver on our existing land targets.
Targets
– Positive impact on biodiversity at all sites 2 by 2030
– 100% of agricultural and forestry-derived materials
sustainably sourced and deforestation free by 2030
Performance
During 2023 we completed baseline assessments for six of
our sites, meaning we have now assessed all our sites, using
the Natural England Biodiversity Net Positive methodology.
In parallel, we have plans in place to improve biodiversity at
nine of our manufacturing sites from 2022.
We set out ambitious new Sustainable Sourcing Standards
for suppliers who provide us with materials that are highly
dependent on nature, like lactose, gelatine and soy.
We have roadmaps in place to achieve 100% sustainably
sourced paper packaging and palm oil by 2025. In 2023,
86% of our paper packaging was derived from certified
sources or from recycled raw materials and 98% of our core
palm oil materials were certified by third-parties as being
from sustainable sources.
While working with suppliers is a key part of our goal to
reduce our impact on nature, where appropriate we will
also look at opportunities to reduce or avoid the use of some
natural materials, including through process efficiencies and
synthetic alternatives. For example, we are working on a
process improvement to deliver a significant yield increase,
reducing our nature impact and improving supply resilience.
Oceans
We continue to deliver on our existing ocean target
(set out below), and will apply the relevant science-based
methodology on oceans when it becomes available.
Target
– 100% of marine-derived materials sustainably sourced
by 2030
Performance
Our impacts and dependencies on oceans come primarily
from marine-derived materials that are a critical part of
manufacturing vaccines and medicines. For example, we
use horseshoe crab blood, which is an important substance
that is required by some regulators to be used in
pharmaceutical and biomedical quality control processes
to ensure the quality and safety of medicines, vaccines
and devices. We continue to make progress on volume
reductions, and we are advancing a pilot across five of our
sites to test the use of non-animal alternatives. At the same
time, we are engaging with regulators to support wider
uptake of these alternatives.
While we make progress on reducing volumes and moving
to synthetic alternatives, we are working with our suppliers
to improve sustainability. Our new Sustainable Sourcing
Standards include a specific Marine Sustainable Sourcing
Standard which outlines the requirements that our suppliers
of marine-derived materials must adhere to. As part of this,
we conducted physical site audits of key suppliers in 2023.
Atmosphere
Air pollution is a significant risk to human health, particularly
for patients with respiratory conditions like asthma and COPD.
Performance
Our approach to air pollution includes reducing pollutants
linked to burning of fossil fuels that will be addressed via our
SBTi-aligned climate targets (set out on page 50), as well as
looking more broadly at our air pollution footprint. We are
members of the Alliance for Clean Air through the Clean Air
Fund and the World Economic Forum. We have done an
initial assessment to establish an air pollution footprint in our
operations and our supply chain. We are creating reduction
plans that are aligned to our pathway to net zero and which
aim to have a positive impact on air quality.

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(1) Below the predicted no-effect level
(2) GSK-owned sites
Waste and materials
The overuse of natural resources and the generation of
waste and pollution are key drivers of climate change and
nature loss.
Targets
Our approach to product stewardship means that we
consider and aim to address impacts on nature and climate
at every stage of the product lifecycle, from discovery,
design, sourcing and manufacturing through to product use
and disposal. We have set a target to help accelerate the
adoption of this approach:
– 25% environmental impact reduction for our products
and packaging by 2030
We have also set targets to reduce operational and supply
chain waste:
– Zero operational waste 1, including eliminating single use
plastics 2 by 2030
– 10% waste reduction from supply chain by 2030
P roduct stewardship
Our approach to product stewardship across both new
and existing products is built on a scientific method for
environmental footprinting called Life Cycle Assessment
(LCA).
Since 2022 we have completed an LCA analysis of 22
products using the LCA methodology which has enabled
us to identify where we need to improve the manufacturing
design, to assess potential savings from design changes
and provide product-level information to key customers on
specific products. 100% of GSK sites are now manufacturing
PVC-free secondary and tertiary packaging.
Waste
In 2023, we reduced operational waste by 1% since last
year, a total of 21% since 2020. We increased the amount
of materials recovered by circular routes by 53%.
We have maintained zero operational waste to landfill
and we continue to build on our long-standing operational
waste management programme to identify opportunities
to find more beneficial uses for waste.
+ For full details of our progress in our six focus areas, please see our ESG
+ Performance Report

Diversity, equity and inclusion

We want to be an inclusive business where all our people
can thrive, which ensures diversity in our clinical trials and
supports diverse communities.
Our commitment
Create a diverse, equitable and inclusive workplace;
enhance recruitment of diverse patient populations in
our clinical trials; and support diverse communities
Our ESG Performance Rating metrics
– 100% of phase III trials initiated in 2023 will have proactive
plans in place designed to enrol appropriately diverse trial
participants, consistent with disease epidemiology
– Improve year-on-year spend with US-based certified
diverse-owned suppliers
– Update towards 2025 people aspirations through fair and
equitable opportunities:
– aspire to have women hold at least 45% of VP-and-
above roles globally by the end of 2025
– aspire to have at least 30% ethnically diverse leaders in
our roles at VP-and-above in the US by the end of
2025, and increase the percentage of Black or African
American, and Hispanic or Latinx VP-and-above
leaders year on year
– aspire to have at least 18% ethnically diverse leaders in
our roles at VP-and-above in the UK by the end of
2025, and increase the percentage of Black VP-and-
above leaders year on year
Progress in 2023
Clinical trial diversity
We continue to make progress in advancing clinical trial
diversity. We met our objective of 100% of the phase III
interventional trials initiated in 2023 having proactive
diversity plans. We also are challenging ourselves to actively
monitor patient recruitment in real time to ensure that we
reach our diversity goals.
In February 2023, we published a study of 17 years of GSK
and ViiV Healthcare US clinical trial diversity data. It showed
that enrolling participants to clinical trials based on real-
world disease epidemiology data, rather than census data,
would ensure that those trials reflect the populations
affected by different diseases. By publicly sharing this
research, we hope to advance the discussion around clinical
trial diversity and improve how the pharmaceutical sector
approaches the issue of clinical trial diversity.
Supporting diversity in our supply chains
By engaging with and mentoring small and diverse-owned
businesses in our supply chain, we can help them identify
potential areas for growth. In 2023, we increased our spend
annually with US-based certified diverse-owned suppliers.
This year, we expanded our successful US supplier diversity
programme to the UK. Groups which benefit from this
programme include women, ethnic minorities, members
of the LGBTQ+ community, people with disabilities and
military veterans, as well as small businesses in high-
unemployment, low income communities.

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(1) Including a 20% reduction in routine hazardous and non-hazardous
waste
(2) Where regulatory obligations allow, and excluding plastics which are
critical to product discovery and development and health & safety
Ensuring diversity in our workplaces
We are fundamentally committed to equal employment
opportunity and non-discrimination for all employees and
we want all our leadership to reflect our GSK people and
our people to reflect the communities we work and hire in.
At the end of 2023, women held 45% of VP-and-above roles
globally, compared with 42% in 2022. Women made up
48% of all employees in 2023, and 50% of all management
roles. In the UK at the end of 2023, we had 18.4% ethnically
diverse leaders at VP-and-above, compared with 14.3% in
2022. We had 1.9% Black leaders at VP-and-above
compared with 1.6% in 2022. In the US, at the end of 2023,
we had 35.7% ethnically diverse leaders at VP-and-above,
compared with 31.3% in 2022. We had 8.1% Black or African
American leaders at VP-and-above compared with 8.6% in
2022. We had 6.4% Hispanic or Latinx leaders at VP-and-
above compared with 6.4% in 2022.
We remain committed to the application of fair and
equitable pay practices to ensure equal opportunities and
equal pay for equal work. Our 2023 gender pay gap for all
permanent UK-based GSK employees is -0.50% (mean),
compared to the national average of 13.2%. We are also
publishing our second UK ethnicity pay gap comparing the
average pay of our White and Ethnically Diverse employees.
Our 2023 UK ethnicity pay gap for all permanent UK-based
GSK employees is -0.74% (mean), compared with 0.06% in
2022.
In addition, within our 2023 UK ethnicity pay gap report we
are also sharing the pay gaps comparing the average pay
of our White employees with those in the ethnic groupings
of Black, Mixed, Asian and Other. This is with reference to
the UK government’s recently published guidance to
provide a more granular view.
This year, we added Disability Confidence training into our
First Line Leader training, aimed at all our people managers.
This training is designed to develop inclusive leaders that
are able to promote disability confidence within their teams.
We continue to work to make sure that our LGBTQ+
colleagues feel welcome, valued and included. We were
once more recognised as a Gold employer in Stonewall’s
Top Global Employers Index.
We also relaunched our Mental Health Matters training.
Available globally, it is designed to help our people spot
the signs of poor mental health, know how to start a
conversation with others, and signpost resources to support
everyone’s wellbeing.
Supporting diverse innovators for the future
In the UK, we launched a £6 million, ten-year STEM equity
programme, targeting 11–25-year-old girls and young
women, black people and people from low socio-economic
backgrounds. The programme includes nationwide STEM
mentoring, delivered in partnership with established
mentoring organisations. In its first three years, we aim to
reach approximately 4,000 young people through this
programme.
+ For full details of our progress in our six focus areas, please see our ESG
Performance Report

Ethical standards

Our culture guides our people to behave in an ethical way,
to do the right thing and Speak Up about any concerns
they have. We expect everyone who works for us to live
up to this, and we expect the same of our suppliers.
Our commitment
Promote ethical behaviour across our business by
supporting our employees to do the right thing and
working with suppliers that share our standards and
operate in a responsible way
Our ESG Performance Rating metrics
– 100% of employees and complementary workers
complete GSK’s 2023 mandatory training
– Percentage of employees who believe they ‘can and do
Speak Up if things don’t feel right’ is above the general
industry benchmark 1
– 80% of direct high-risk suppliers that achieve GSK’s
minimum EcoVadis score or have an improvement
plan in place
Progress in 2023
Supporting GSK people to do the right thing
Our Code of Conduct (The Code) reflects our purpose
to unite science, technology and talent to get ahead of
disease together. It sets out the commitments we make
as a company and to each other to deliver on our purpose
and ambition.
The Code is supported by additional global policies
and standards. We also have an accompanying global
mandatory learning curriculum, Living our Code, which all
our people are required to complete. In 2023, 100% of our
employees and 99% of complementary workers completed
this training where due by year-end.
We also have anti-bribery and corruption (ABAC) training
for our people in certain high-risk roles or geographic
regions. This helps them identify and mitigate any potential
ABAC risk – especially in third-party relationships – and to
recognise, report and manage conflicts of interest. In 2023,
100% of employees and 99% of complementary workers
completed this training.

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(1) The general industry benchmark is 66% according to 2023 research
by KornFerry
Reporting and investigating concerns
In 2023, we saw an overall decrease in the number of
employees who had concerns raised against them,
employees disciplined for policy violations and open cases
at year end. This is reflective of several factors including
external geopolitical and economic issues affecting some
countries which changes the nature of concerns raised and,
internally, our continued emphasis on appropriate
management and closure of cases.
Our commitment to human rights
We are signatories to the UN Global Compact and our
Human Rights Position Statement lays out our commitment
to the UN Guiding Principles on Business and Human Rights.
We have a cross-business Human Rights Steering Group,
which reports to the GLT and Board’s Corporate
Responsibility Committee, and drives progress on human
rights impacts and risks across the business.
In 2023, we carried out human rights training for priority
suppliers, aimed at ensuring a good understanding of
human rights and labour principles and aligned with
international standards. We also continued our human
rights training for procurement and third-party engagement
leads, to better equip them to spot human rights issues
when visiting suppliers. We conduct audits and site visits
covering Environment, Health and Safety (EHS) and labour
rights for our priority suppliers.1 Some of the top issues
identified during supplier visits in 2023 related to policy,
wages and compliance. All observations have action plans
in place to drive improvement.
We are committed to fair and equitable pay, ensuring that
all employees globally receive pay that is competitive in
their local markets and sufficient to support a sustainable
standard of living. In 2023, the Fair Wage Network certified
GSK as a Living Wage employer, after it reviewed the global
gap analysis we conducted in 2022. It confirmed that all
GSK workers are paid at or above the living wage in their
relevant markets. We have also developed a consistent
approach to how GSK will manage global fair wage analysis
annually, as well as a methodology for the Fair Wage
Network to use to continue to assess us.
Working with third parties
We expect our third parties to comply with applicable laws
and regulations and to adopt, at minimum our ABAC and
labour rights principles and, where relevant, to comply with
our standards on quality, patient safety, health and safety,
and the environment. In 2023, we performed over 7,500
assessments of our high-risk third parties across 17 risk areas.
Across the organisation, we give additional support on EHS
risks to our largest suppliers, including those who supply
globally medically-critical products, as well as those who
are critical to our R&D, and those largest by spend.2
We visit sites, in person or virtually, to help suppliers better
understand and control their EHS risks. This year, we
conducted 73 physical visits across 63 priority suppliers.3
We conducted 47 supplier audits following industry
standard Pharmaceutical Supply Chain Initiative guidelines.
We trained more than 1,000 supplier employees on EHS,
strengthened EHS contractual obligations and have worked
with suppliers to help them improve their EcoVadis scores.
Using data responsibly
Data is an essential foundation to realising our ambitions
for patients. Advances in artificial intelligence (AI) and
machine learning (ML) technologies present tremendous
opportunities, but the technologies must be approached
correctly, responsibly and ethically. Increases in the volume
of data processed through AI/ML use have resulted in a
greater focus on data governance and the ethical use of
personal information, over and above compliance with data
privacy laws. We take our responsibility for data privacy
seriously and we exercise high standards of integrity in
dealing with personal information.
Our Digital and Privacy Governance Board oversees our
overall data ethics and privacy operating model, supported
by digital and privacy legal experts and compliance
professionals. We monitor and mitigate new and emerging
cyber threats to protect ourselves from cyber security risks.
We have additional governance boards that oversee the
use of our data in the research, development, manufacture
and supply of our products to ensure we follow regulations
and meet ethical obligations.
In 2023, we created a cross-functional AI Governance
Council to oversee our AI strategy and to ensure responsible
adoption of AI/ML. This is complemented by an internal
policy to ensure AI/ML adoption is safe and aligned with
GSK's culture by establishing AI Principles underpinned by
the ethical standards set out in the GSK Code.
Political engagement
At GSK, we seek to contribute to public policy debate,
especially in relation to life sciences and healthcare. We are
committed to the highest ethical standards and legislative
requirements in all of our political engagements. We do not
make corporate political contributions, nor do we sponsor
party political meetings anywhere around the world.
+ For full details of our progress in our six focus areas, please see our ESG
Performance Report

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(1) Our largest suppliers, including those who supply globally medically
critical products, are critical to our R&D, and those largest by spend
(2) GSK maintains a list of globally medically critical products. These are
drug products approved to treat a life-threatening disease or medical
condition for which there is no other adequately available alternative
and of which GSK is the only provider
(3) Our EHS priority suppliers are API suppliers who are, or will be,
medically-, R&D-, or revenue-critical to GSK, or are high spend suppliers

Product governance

Our commitment
We commit to maintaining robust quality and safety
processes, and using data and new technologies
responsibly.
Our ESG Performance Rating metrics
– Average number of critical and major findings per
inspection by FDA/MHRA/EMA regulators 1
– Percentage of inspections from all regulators with no
critical findings or official action indicated
– Number of FDA warning letters
– Total number of Class I/II external product recalls across
all markets
– Register and disclose all human subject research of GSK
products. Specifically, register protocol summaries for
studies initiated in 2023; and disclose results summaries
for studies with results due in 2023
Progress in 2023
Maintaining quality across GSK
We have a detailed and specific quality framework that
describes how we comply with regulatory requirements and
other standards across our markets. This addresses global
and local regulations across manufacturing and distribution
processes, and is based on principles defined by the
International Council for Harmonisation of Technical
Requirements for Pharmaceuticals for Human Use.
Our GSK quality function is responsible for managing quality
and for ensuring a quality mindset is embedded throughout
the organisation at all levels. It brings together an extensive
global network of quality and compliance professionals
within each of our business units, from site level to senior
management.
Our quality management depends upon comprehensive
and ongoing patient safety and quality process training.
The Quality Management System details the training
required by GSK people, including induction, hygiene, safety
and technical skills training, as well as good distribution and
manufacturing practice training. Employees who carry out
specific, quality-critical or sensitive activities are subject to
additional training as necessary.
Inspections, recalls and audit
In 2023, we had 114 regulatory inspections at our
manufacturing sites and local operating companies,
compared with 122 in 2022. We received zero warning
letters from the United States Food and Drugs
Administration (FDA) or critical findings from the Medicines
Healthcare products Regulatory Agency (MHRA) and
European Medicines Agency (EMA) regulators in 2023.
We respond to and learn from all inspection findings,
taking the necessary action to address them.
Throughout 2023, we had two Class I product recalls
and there were fewer Class II recalls compared with 2022.2
If necessary to protect patients, we will not hesitate to
recall products voluntarily.
Quality management along our supply chains
In 2023, we conducted 1,081 quality audits of contract
manufacturers and suppliers to verify that they comply with
GSK standards. We have a comprehensive quality oversight
model that is aligned to our Quality Management System. It
uses a risk-based approach to assess, qualify, manage and
monitor our third-party suppliers on an ongoing basis,
driving continuous performance.
Pharmacovigilance at all times
We have a well-established and rigorous worldwide system
to monitor and review the safety of our products throughout
clinical development and after regulatory approval. We
expect our partners to meet the same high standards of
safety and governance. We conduct reviews of third-party
safety systems, monitoring of contractual obligations and
fostering collaboration through the lifecycle of the
relationship.
Tackling counterfeit medicines and vaccines
Falsified products put the health of patients at risk and
threaten our brand and reputation. We report all cases of
confirmed counterfeit products to the WHO and to relevant
regulatory authorities. We actively participate in legal
proceedings against illegal actors, and support customs
and local authorities with regular training. We also monitor
online marketplaces and social media to request takedowns
of sites illicitly selling prescription-only medicines.
Clinical data transparency
As part of our commitment to transparency, we have made
7,988 protocol summaries and 6,734 summaries of results
available since the GSK trial register was set up in 2004.
We have also listed 2,669 clinical trials for data sharing via
www.vivli.org.
+ For full details of our progress against our six focus areas, please see our ESG
Performance Report

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(1) We consider any observations from the US FDA as major
(2) Class I recalls are triggered by a reasonable probability that the use of
or exposure to a violative product will cause serious adverse health
consequences or death. Class II recalls address the use of or exposure
to a violative product which may cause temporary or medically
reversible adverse health consequences, or where the probability of
serious adverse health consequences is remote. Class III recalls relate
to the use of or exposure to a violative product which is not likely to
cause adverse health consequences
Risk management
and disclosure
statements

In this section |
Risk management | 57
2023 principal risks summary | 59
Climate-related financial disclosures | 62
Nature-related financial disclosures | 70
Non-financial and sustainability information statement | 75
Employees by gender | 75
Viability statement | 76

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56
We can only deliver our bold ambitions for patients if we maintain
a well-embedded risk management and internal control framework
overseen and evaluated by our Board.
Controls and guidance to manage risk effectively
Our well-embedded risk management and internal control
framework gives our Board the ability to evaluate and
oversee how the company manages principal and emerging
risks in line with our strategy and long-term priorities.
Our company-wide policy sets out the requirements, roles
and responsibilities for the management and governance
of risks and controls, as well as supporting guidance on the
essential elements of our internal control framework. We
routinely evaluate our risk management and internal control
framework for improvements.
Board oversight setting the 'tone from the top'
The Board oversees our system of risk management and
internal control and establishes our risk appetite, supported
by the Audit & Risk Committee (ARC). The Corporate
Responsibility Committee (CRC) and Science Committee
further assess the effectiveness of risk management
strategies that fall within their defined remits. Both the ARC
and the Board oversee our cyber security risks. For more
details on the Board and its committees’ responsibilities and
remit, see page 116. Our Risk Oversight and Compliance
Council (ROCC), co-chaired by our Group General Counsel
and our Chief Compliance Officer, helps the ARC, CRC and
Science Committee to oversee the risks, and the strategies
used to address them. Also, risk management and
compliance boards (RMCBs) across the Group promote
the ‘tone from the top’, establish our risk culture and oversee
the effectiveness of risk management activities, while also
communicating information about internal controls.
Management is held accountable for delivering on its
objectives in line with the established risk appetite
pertaining to principal risks. The Disclosure Committee has
the responsibility for considering the materiality of
information and determining the disclosure of this
information in a timely way. An enterprise risk owner is
responsible for each principal risk, overseen by a GLT
member. Risk owners report risk and mitigation to ROCC
and the appropriate Board committee each quarter.
Significant risks or issues can also be escalated to the GLT,
RMCB, or appropriate risk governance forum (e.g., Global
Safety Board) throughout the year as needed. Legal &
Compliance support these efforts by advising on our
business strategies, activities, risks and controls. Audit &
Assurance provides assessments of the adequacy and
effectiveness of our framework.
Considering the likelihood, impact
and timescale of risks
Our enterprise risk assessment methodology is the
mechanism by which we assess all risk, including our
principal risks. Our enterprise risk assessment methodology
considers the likelihood and impact of risks, and the
timescale over which a risk could occur based on the most
probable scenario and considering our existing internal
controls. Our impact assessments include considerations
across patient safety, quality and supply; environment,
health and safety; legal; people; regulatory; reputation;
strategic objectives; and finance, incorporating materiality
thresholds. As well as considering current and evolving risks,
we evaluate emerging risks that could affect our ability to
achieve our long-term priorities over the three-year horizon,
in line with our viability statement. We also define risks as
‘emerging’ if we need to know more about how likely they
are to materialise, or what impact they would have if they
did. We further evaluate emerging risks and their impact
on the company to assess whether they should be elevated
to a principal risk. Our risk management and compliance
boards at all levels identify emerging risks on an ongoing
basis, and ROCC discusses evolving and emerging risks at
each meeting. At the same time, we scan the risk horizon
throughout the year to identify external trends that may
be opportunities and/or emerging risks and monitor our
business activities and internal environment. ROCC
conducts an annual risk review to assess principal and
emerging risks for the company. This review is supported
by extensive analysis of external trends and insights,
senior-level interviews and recommendations from risk
management and compliance boards and risk owners.
ROCC shares this annual review with the ARC and Board
for assessment and agreement, forming the basis for the
following year’s risk management focus.
Our business strategy, results of operations and financial
condition have not been materially affected by risks from
cyber security threats, including as a result of previous cyber
security incidents, but we cannot provide assurance that
they will not be materially affected in the future by such
risks and any future material incidents.

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Risk management

57
Our risk management and internal control
framework
Our risk management and internal control framework is
aligned to industry standards and legal and regulatory
requirements. It defines the essential elements we expect
and helps us to identify, assess, manage, report and oversee
risk relevant to our business activities. This framework helps
to ensure our risks are proportionately managed in line with
our risk appetite throughout the year in a timely and
transparent manner to support our strategic objectives.
For our principal risks, which include information and cyber
security, we define enterprise risk plans that include a
description of the risk, its context, our assessment, risk
appetite, how we will treat the risk, and the actions
businesses will take in line with our internal control
framework to mitigate the risk. These plans enable our
Board committees to assess the effectiveness of our risk
management strategies. We report on our principal risks
and emerging risks to ROCC and the respective Board
committees every quarter, to drive more dynamic, data-
driven discussions, agile risk management strategies
and oversight. We report on existing control measures,
implementation, emerging risks, external insights and key
risk indicators with risk reporting thresholds aligned to risk
appetite. We include risks and mitigations associated with
relevant events around us, such as geopolitical tensions.
Our Code sets out the overarching expectations for our
employees and complementary workers. We aim to do
the right thing with integrity and care as part of our culture.
Our risk management framework complements our culture
and Speak Up processes in making sure that we identify
and mitigate risks effectively. We monitor our most
important risks and take action to address issues. Our
annual confirmation exercise with General Managers, Site
Directors, senior leaders and GLT, checks that key risks are
well managed, and that actions are in place to address
gaps. Our principal risks include controls for responding
to problems within their risk plans. We also have business
continuity planning embedded in our framework and our
critical processes, so we can continue business operations
in the event of a crisis.
Reporting our current risks
The table starting on page 59 shows our current principal
risks and respective trends, assessments and mitigation
activities for the year. These are not in order of significance.
For full risk definitions, potential impact, context and
mitigating activities, see Principal risks and uncertainties on
page 284. Other risks, not at the level of our principal risks,
related to ESG, including environmental sustainability and
climate change, are managed through our six focus areas,
as described in our ESG Performance Report. Additional
information on climate-related risk management is in our
climate-related financial disclosures, on page 62.
Changes to our risks for 2024
In our December 2023 annual risk review, the ARC agreed
to ROCC’s recommendation of our principal risks for 2024,
which remain largely unchanged. The emerging risk of data
management will continue to be evaluated during the year.
+ Viability statement – see page 76
+ ARC report – see page 133
+ Internal control framework – see page 134
+ Legal proceedings – see page 263
+ Environment – see page 49
+ Climate-related financial disclosures – see page 62

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Risk | Trend versus prior year | Assessment and mitigation activities
Patient safety | → External | The external risk environment remains stable. Our pharmacovigilance function, like those across the industry, contends with a challenging legal and regulatory environment. Even with an optimised, state-of-the-art pharmacovigilance system we cannot predict all issues impacting safety and efficacy that could potentially result in regulatory action and/or litigation. This is particularly true of issues not based on robust scientific evidence of the ongoing benefit/risk assessment for our products.
| → GSK | Our internal risk environment remains stable in 2023. We continue to focus on ensuring an optimised benefit/risk profile for all vaccines and medicines through appropriate safety expertise and oversight. We successfully completed a significant transition to a simplified third-party support model for global pharmacovigilance operational activities.
Product quality | → External | The external risk environment is stable, yet remains high. In May 2023, regulatory agencies ended their emergency COVID-19 measures and resumed on-site inspections of our sites (both planned and unannounced) to make sure they meet product quality expectations. Increased nationalism following the pandemic has driven a broader spectrum of regulatory requirements. This continues to rapidly evolve with new pharmaceutical, chemical and environmental expectations for our products. The focus on data governance and data integrity remains. The application of AI/ML to improve manufacturing and quality is in its infancy, with uncertainty about how this will be regulated in the GxP arena. The US FDA is working with industry to understand its application and develop guidance.
| → GSK | Our risk exposure remains stable. Our ongoing inspection readiness programme ensures preparedness for regulatory authority inspections. We continue to invest in technology to strengthen our data management controls and modernise our quality processes. We are proactive in anticipating regulatory expectations and continue to work at an industry level to refine quality standards and build new competencies to assure product quality.
Legal matters | ↑ External | The external risk environment is increasing. The wide-ranging regulatory environment remains challenging, due to uncertainty, volatility and sometimes conflicting requirements, influencing the ability to determine exact requirements in each market. Government agencies, and notably the US, are increasingly looking to use competition law to tackle perceived issues with access to medicine, pricing and acquisitions. Governments are continuing to enforce anti-corruption laws and regulations, including a nationwide one-year campaign to fight corruption in healthcare in China. Sanctions continue to be complex in the current geopolitical environment, particularly those concerning Russia.
| → GSK | Our risk exposure is stable due to robust internal systems, processes and monitoring to ensure proactive and timely response to changes by adapting our internal controls, which are designed to accommodate external regulatory fluctuations and changing risks.
Financial controls and reporting | → External | The external risk environment remains challenging due to political uncertainty, proposed increases in the obligations of directors and auditors, increasing threats of cyber attacks and fraud, and increasing disclosure requirements including ESG and non-financial information.
| → GSK | Our risk exposure remains stable due to our ongoing focus on the resilience of personnel and the testing of our internal control framework. We implement optimal risk mitigation through transformational programmes, technology, centralised processes, and risk and control assessments, and maintain effective tax and treasury strategies. We continually strengthen our control frameworks and collaborate with external bodies on setting standards.
Commercial practices | → External | The external risk environment is stable. Governments remain focused on initiatives to drive down medicine and vaccine costs for consumers. The passing of the US Inflation Reduction Act (IRA) of 2022 introduces new Medicare inflation-based drug rebates and a drug pricing negotiation programme which could have an overall negative effect on us. Also, macroeconomic factors such as inflationary pressure contribute to a challenging environment for all stakeholders. Competitive pressure remains intense across therapy areas and market segments.
| → GSK | Our risk exposure remains stable. We have a mature and robust control environment that has evolved to match the competitive enhancements to our commercial and digital practices, including significantly higher volumes of engagement with healthcare professionals. This has been supported by embedding an end-to-end speaker engagement system, eliminating zero-value contracts, enhanced case study training on the medical commercial interface, implementing a new tenders procedure, and implementing enhanced interactive digital media channel oversight.

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59

Risk | Trend versus prior year | Assessment and mitigation activities
Scientific and patient engagement | ↑ External | The external risk environment is changing. The diversity of engagement platforms continues to increase, while digital health technologies and generative AI advance rapidly. Also, the environment continues to be characterised by complex, dynamic disease areas and treatments with increased volume of patient-centric activities during all phases of the product lifecycle.
| → GSK | Our risk exposure remains stable. We continue to build innovative digital capability and improve our engagement practices and internal controls to mitigate risk in the rapidly evolving environment. We use data and systems to monitor for emerging risks associated with scientific and patient engagement activities.
Data ethics and privacy | ↑ External | The external risk environment continues to increase as the global landscape of data protection, privacy and cyber laws develops. Given that the current pace of technology-focused innovation is expected to continue, companies need to be mindful of relevant potential legislation and regulations. The increasing trend for data sovereignty could affect healthcare companies in their ability to drive medical innovation and operate internationally. Global regulators (such as the EU, UK, US and China) are also introducing legislation around the use of AI and ML which is closely aligned with privacy regulations. These regulations will play a key role in safeguarding privacy by ensuring responsible data usage, transparency and ethical use of data, while preventing biases and managing international data flows.
| ↑ GSK | Our internal risk exposure is increasing given our focus on data in an uncertain external environment. Our data ethics and privacy operating model has been transformed to make sure it is flexible enough to adapt to emerging privacy laws in the US, EU, UK, China and India, including addressing restrictions imposed by regulators in relation to international data transfer mechanisms. We have focused on simplifying of principles and processes, while allowing flexibility around the deployment of our model in different territories and business functions.
Research practices | ↑ External | The external risk environment is increasing as technology-focused innovation accelerates the discovery and development of medicines and vaccines. Advances in technology, expanded use of data and digital footprints, more sophisticated cyber security threats, the rising trend for data sovereignty and developing global landscape of quality standards, data protection, privacy and cyber laws, and new entrants to the sector continue to influence the environment. Companies should consider the relevant emerging legislation and regulations and impact on their ability to drive innovation and operate internationally.
| ↑ GSK | Our risk exposure is increasing as we adopt new technologies and scale our adoption of AI in the discovery and development of medicines and vaccines. We continue to adapt our internal business processes to enable innovation and to meet ethical, societal and regulatory expectations.
Environment, health and safety (EHS) | → External → GSK | The external risk environment remains stable. There are currently no external EHS risk factors that reduce our ability to discover and manufacture our vaccines and medicines safely.
Our risk exposure remains stable. We've continued safety leadership training, embedding our Life Saving Rules, and adhering to our EHS standards. We have initiated a Contractor Safety programme that will deliver improvements to reduce the risk profile associated with using contractors across all business units and are strengthening our driver safety programmes.
Information and cyber security | ↑ External | External risk continues to rise as digital footprints increase and threats from cyber security become more sophisticated, including threat actors having access to more sophisticated AI capabilities. Continued geopolitical conflicts have also increased cyber security risk to large corporations.
| ↑ GSK | Our risk exposure continues to increase as we adopt new technologies and scale our adoption of AI across GSK. We remain on track to deliver our multi-year Cyber Maturity Programme (CMP) and other risk mitigation programmes including China, High Risk Jurisdiction, and processes and accountabilities for data management, to improve our controls and governance to identify, protect, detect, respond to, and recover from cyber security incidents.

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Supply continuity | → External | The external risk environment remains stable. In 2023, there have been cyber attacks on two of our third-party logistics providers, which has tested our business continuity planning. The constraints seen on sourcing bioscience materials in 2022 has abated, however a new constraint is emerging on third-party sterile manufacturing capacity, which increases competition for contract manufacturing operations. Extreme weather events continue to present challenges across the industry for facilities worldwide.
| → GSK | Our risk exposure remains stable, maintained through a combination of well-defined supply chain management processes, clear escalation pathways to ensure supply continuity and clear succession plans in place for critical supply chain roles. Our Supply Chain 2030 initiative and the integration of the Medicines and Vaccines supply chains into one organisation demonstrate our commitment to evolving our technology platforms and product portfolio without affecting supply continuity, which remains consistently high.

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61
Our climate-related financial disclosures are consistent with
the recommendations and recommended disclosures of the
Task Force on Climate-related Financial Disclosures (TCFD)
including the TCFD all-sector guidance, and in compliance
with the requirements of LR 9.8.6R.(8) (UK Listing Rules).
The disclosures are in compliance with the Companies
(Strategic Report) (Climate-related Financial Disclosure)
Regulations 2022 of the Company Act 2006. In 2023 we
have updated our risk assessments to reflect changes in
the supply chain and the progression of our sustainability
transformation programme.
Governance
The board’s oversight of climate-related risks
and opportunities
Board
The Board considers climate-related matters throughout the
year. This includes assessing risk management processes,
challenging and endorsing the business plan and budgets,
including overseeing major capital expenditures,
acquisitions and divestments. In 2023, the Board approved
progression to the next phase of development of the low
carbon Ventolin programme.
The Corporate Responsibility Committee (CRC) exercises
oversight, provides guidance and reviews our ESG
performance, including climate-related risks and
opportunities, and environmental performance against
targets.
The CRC receives quarterly updates on environmental
sustainability, including climate. Regular attendees
include the CEO, and the President Global Supply Chain.
See page 116 for further details of the Board architecture.
In 2020 the CRC reviewed and approved GSK’s twin goals
on climate and nature. Following the demerger of the
consumer healthcare business in July 2022, the CRC
approved that GSK would submit updated refreshed
targets to the Science Based Targets initiative (SBTi) that
are aligned to a 1.5°C pathway, and to align to the SBTi Net
Zero Standard, to reduce carbon emissions by 80% by 2030
and 90% by 2045.
In 2023 the CRC met five times and discussed climate-
related issues on three separate occasions with
management.
It focused on:
– progress in delivering against our climate ambitions
including low carbon Ventolin and Nature Plan updates
– implications of the geopolitical landscape
– key milestones and decisions required to achieve net zero
targets
– mid-year performance for key environmental metrics,
including climate-related metrics, as part of reviewing the
interim ESG Performance Rating for 2023
– approved our climate disclosure statement and final ESG
Performance Rating for 2022 and other public
environmental reporting and disclosures
Management’s role in assessing and managing climate-
related risks and opportunities
GSK Leadership Team (GLT)
The GLT meets regularly, giving members an opportunity to
discuss strategic, financial and reputational matters.
The President, Global Supply Chain, a GLT member, has
management responsibility for environmental sustainability,
which includes climate change. He is responsible for
governance and oversight of risks and opportunities and
makes sure there is an effective framework to manage the
risks and opportunities across each of our business units,
along with delivering on our commitments to a net zero,
nature positive, healthier planet, with ambitious goals set
for 2030 and 2045 across our entire value chain.
In 2023 GLT reviewed and discussed the mid-year
performance for key environmental metrics, including
climate-related ones (see page 49) as part of reviewing
GSK’s ESG Performance Rating.
GSK Sustainability Council
The Sustainability Council, held quarterly, is attended by
senior leaders from across the business. Members include
leaders from procurement, finance, HR, compliance, R&D,
manufacturing and corporate affairs. The Council is co-
chaired by the President Global Supply Chain and the VP
Sustainability and supported by the global Sustainability
team and external third parties, who provide specialist
expertise and advice to the business.
In 2023 the Council:
– approved the annual targets for the climate Key
Performance Indicators (KPI) of the sustainability
programme
– reviewed monthly performance and escalations of any
potential concerns or issues
– approved the annual climate risk review and approach
for risk disclosure
– agreed that the newly formed ESG Reporting Hub
would be accountable for assurance of environmental
data in 2023
– reviewed progress of the core programmes to improve
the sustainability of our supply chain
– reviewed progress towards securing a portfolio of carbon
credits in support of our 2030 commitment

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62
Other business support
The Sustainability Council is supported in assessing and
managing climate-related risks and opportunities by:
– the sustainability programme steering team, which is
chaired by the VP Sustainability that meets monthly
and co-ordinates the sustainability programme and
associated workstreams. This team monitors programme
performance and the progress of the enablers required
to deliver the sustainability programme
– sustainability councils within each business, which meet
quarterly to review their business unit performance and
delivery against the company sustainability ambition.
These are chaired by senior leaders within the business
who also attend the GSK sustainability council
– the Metered Dose Inhaler steering team, which is
attended by senior leaders from across the commercial,
supply chain, regulatory and R&D businesses aligned to
our respiratory business. This team is chaired by the
President Global Supply Chain, who also chairs the
Sustainability Council and is the decision-making body for
the programme to reduce the climate impact of metered
dose inhalers which contribute to approximately 50% of
GSK’s total GHG emissions
– the Capital Allocations Board (CAB), which is chaired
by the CFO and includes the Group Financial Controller,
reviews climate-related capital expenditure as part of its
annual planning and capital allocation process
– the ESG Reporting Hub, which was established in 2023,
provides oversight and assurance of ESG performance
data, including carbon emissions data
– The carbon offset programme steering committee, which
includes the Group Financial Controller and the VP
Sustainability, who also attends Sustainability Council,
reviews the due diligence outcomes of potential carbon
offset projects, the performance of established
investments and makes new investment decisions
– A cross-functional team from the Sustainability, Finance,
Supply Chain and Procurement functions performs an
annual review of climate risks to monitor previously
identified climate risk and escalate new or emerging
climate risks to the Sustainability Council
– Results of climate scenario modelling are shared with
business unit Risk Management Control Boards (RMCB)
Strategy
The climate-related risks and opportunities we have
identified over the short, medium, and long term
Climate-related risks and opportunities are considered
in three different time horizons:
1. short term (less than three years) aligning with financial
planning timeframes
2. medium term (three to ten years) aligning with long-term
business forecasting timeframes
3. long term (more than ten years) to enable us to explore
the uncertainties in changes to weather, disease patterns
and societal responses to climate change across the
globe
We have identified and prioritised these climate-related
risks and opportunities:
Risks:
– changes to regulations governing the supply of high
global warming potential (GWP) substances by the EU,
UK and US governments could restrict our ability to
manufacture metered dose inhalers
– future regulatory policy responses to address climate
change could lead to the imposition of carbon taxes by
countries where we manufacture and source goods from
third parties
– increasing levels of water stress could lead to interruptions
to supply of water to our and third-party supply sites
– inc reasing frequency and impact of extreme weather
events that could disrupt to GSK and third-party
supplier sites
– nature-based projects might not deliver sufficient
volumes of carbon credits to offset 2 million tonnes CO 2 e
per year from 2030, requiring us to buy additional credits
at higher cost
Opportunities:
– At COP28 in 2023, more than 70 countries committed to
provide low-carbon healthcare systems. This could lead to
increasing demand for low-carbon medicines and
vaccines
– Several reports exploring the impact of climate change
and health have shown that climate change affects
water- and vector-borne diseases. This could lead to
increasing demand for new medicines and vaccines
The processes for identifying and assessing climate-related
risks and opportunities are set out in the Risk Management
section. We will continue to monitor for emerging risks and
new data to include in future assessments.
The impact of climate-related risks and opportunities
on our business, strategy and financial planning
Our commitment to work towards a net zero, nature positive,
healthier planet with ambitious goals set for 2030 and 2045
is embedded in our strategic long-term priorities, always
considering the social, environmental and governance
impacts of everything we do from laboratory to patient.
Our near-term carbon reduction target is an 80% reduction
in Scope 1 & 2 and Scope 3 carbon emissions by 2030.
Our long-term carbon reduction target is a 90% reduction
in Scope 1 & 2 and Scope 3 carbon emissions by 2045.
Both targets are measured against a 2020 baseline.
These targets are aligned to the 1.5°C pathway and
were approved by the Science Based Targets initiative
(SBTi) during 2023.

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T ransition plan
We are taking action to reduce emissions across our full
value chain, prioritising the highest-impact areas. We will
invest around £1 billion from 2020-30 to deliver emissions
reductions and removals to achieve our targets though the
activities outlined below.
Beyond 2030 we expect we will be left with the harder-
to-tackle emissions from across our supply chain, our
own operations, logistics, and disposal. In many cases,
addressing these residual emissions is likely to depend
on technologies, infrastructure and regulatory frameworks
that require broad public/private collaboration. So our
decarbonisation plan is interdependent with the broader
economic transition and follows a similar timeframe.
Our progress in reducing carbon emissions can be found
on pa ge 50.
Direct operations
In order to continue reducing Scope 1 & 2 emissions across
our operations by 2030, we are focusing on:
– maximising energy efficiency in our sites through our
long-standing energy efficiency programme
– transitioning to 100% imported renewable electricity
by 2025 by investing in power purchase agreements,
supplemented by the purchase of energy attribute
certificates
– increasing the use of electric vehicles by our sales fleet
Risks and uncertainties
In some markets where we operate, such as Singapore,
accessing renewable electricity will be challenging because
of the limited generation capacity and the market boundary
rules governing imported electricity.
There are uncertainties in the transition to renewable heat.
High-temperature heat produced by electricity is not
generally commercially available today. Biogas can replace
natural gas without introducing major changes to facilities
but is not widely available in the locations where we
operate. The use of biomass as fuel could introduce issues
of land use change and impacts on local air quality.
The transition to 100% electric vehicles by 2030 could be
restricted by vehicle availability, lack of charging
infrastructure and sourcing of key materials for battery
production.
Supply chain
Our Sustainable Procurement Programme requires our
suppliers to disclose emissions and set carbon reduction
targets aligned with a 1.5°C reduction pathway. We also
work with suppliers, particularly those with the largest
footprint, to encourage them to adopt new sustainability
measures.
Supply chain emissions are a shared challenge across our
sector, and we are working with our peers on collaborative
initiatives such as:
– the Activate programme to help Active Pharmaceutical
Ingredients (API) suppliers accelerate decarbonisation
initiatives
– the Energize programme to encourage the use of
renewable energy throughout the pharmaceutical sector’s
supply chain
– the Manufacture 2030 initiative to encourage suppliers
to measure, manage and reduce their emissions
– the Pharma LCA consortium is a group of eight global
pharmaceutical that have come together via the
Pharmaceutical Environment Group with support from
the Sustainable Markets Initiative to co-develop a shared
way of measuring and reporting environmental
product footprints
Risks and uncertainties
Pharmaceutical manufacturing processes are highly
regulated by different agencies across the world which may
slow down the implementation of some decarbonisation
initiatives.
Our supply chains are complex and can involve several
intermediate stages of production that are highly product-
specific. Our volume demand on specific materials is quite
low which can reduce our ability to influence where we only
purchase a small share of a supplier's production.
Many suppliers are based in regions where renewable
electricity and heat is less available than elsewhere.
Measuring Scope 3 emissions is complex and challenging
and there is a lack of primary data from suppliers.
Methodologies involve using spend-based estimates mixed
in with activity-based data, industry average data and
extrapolations based on subjective choices and judgments.
As data systems, processes and controls mature and more
primary data becomes available, there may be the need to
restate reported emissions data in the future.
Product impact
The use of our products makes up 57% of our carbon
footprint. Patient use of GSK’s rescue metered dose inhaler
(MDI) medication, Ventolin (salbutamol), accounts for just
under half (48%) of our carbon footprint. We are investing
in an R&D programme and a large factory upgrade project
to redevelop this inhaler by transitioning to a lower-carbon
propellant. Recent data from early clinical trials has
supported the decision to progress to phase III and dosing
of first patients is planned in the first half of 2024. If
successful, regulatory submissions will begin in 2025.
Risks and uncertainties
Metered dose inhalers are complex devices, and any new
medical propellant must meet a specific range of technical
performance characteristics to be safe and efficacious for
patients.
We are engaging with medical regulators such as the US
Food and Drug Administration (FDA), European Medicines
Agency (EMA) and the UK Medicines and Healthcare
Products Regulatory Agency (MHRA) on how advances
in pharmaceutical product design can reduce the
environmental impact of medicines.

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64
Carbon credits
While we are focused on emissions reductions to meet our
carbon targets, we are also investing in high quality nature
protection and restoration projects that support our net-
zero and nature positive goals and deliver co-benefits to
human health to generate carbon credits to offset annually
the 20% of our baseline value chain carbon footprint from
2030. The volume of credits required will taper down to 10%
as we continue to reduce our emissions, aiming to achieve
net zero emissions across our full value chain by 2045.
Our criteria for high quality projects include avoidance of
harm, transparency, additionality, permanence, mitigation
of leakage, project monitoring, reporting and verification
of claims and avoidance of double counting.
For our 2030 target we are prioritising carbon removal
credits, but we will also secure a proportion of carbon
avoidance and reductions credits in recognition of their
critical role in conserving existing carbon stocks and
protecting nature. For our 2045 Net Zero target, we will
aim to secure only carbon removal credits.
Risks and uncertainties
We recognise that this is a fast-moving field, and that
methodologies and guidelines will likely evolve as we
implement our plans. We commit to remaining flexible
and transparent about our progress and learning.
There is a risk that the nature-based projects do not deliver
sufficient volumes of carbon credits to meet our needs in a
given year and that we may need to purchase of more
credits at higher cost.
Cl imate scen arios
We use climate scenarios to inform management about
climate risks, reporting the results to Risk Management
Control Boards (RMCB) in the business as well as to the
Sustainability Council.
We have developed modelling tools with the support of
third parties that enable us to model the impacts of physical
and transition risks where our sites and supply chains are
located. For example we have modelled the probability of
an interruption from an extreme weather event at our key
sites and supplier sites and the subsequent financial impact
of that interruption assuming the inventory levels carried
under existing business continuity plans. We have modelled
the impact of future carbon taxes, such as direct taxes on
energy-related emissions, emissions trading schemes
and taxes from carbon border adjustment mechanisms
assuming we deliver our carbon reduction glidepath to
2030 and beyond.
In 2022, we reviewed and updated our climate scenarios
first developed in 2019. We intend to review the scenarios
again in 2025 to make sure they'll remain up to date..
Net zero scenario (SSP 1 – RCP 1.9)
This scenario sets out a narrow but achievable pathway for
the global energy sector to achieve net zero CO 2 emissions
by 205 0 1. It does not rely on emissions reduction from
outside the energy sector to achieve its goal. The scenario is
consistent with limiting the global temperature rise to 1.5°C
without a temperature overshoot. Net zero means h ug e
declines in the use of coal, oil and gas and a shift to
renewable energy sources.
Low-carbon scenario (SSP 1 – RCP 2.6)
In this scenario, all current net zero pledges are achieved in
full and there are extensive efforts to realise near-term
emissions reductions; advanced economies reach net zero
emissions by 2050, China around 2060, and all other
countries by 2070 at the latest 2. The scenario is consistent
with limiting the global temperature rise to below 2°C. With
some level of net negative emissions after 2070, the
temperature rise could be reduced to 1.5°C in 2100.
Current trajectory scenario (SSP2 – RCP4.5)
This scenario sets out to show to what extent announced
ambitions and targets are on the path to deliver the
emissions reductions required to achieve net zero emissions
by 2050 3. The temperature rise will exceed 2°C by 2100,
with a more noticeable shift to happen in the latter half of
the century. A net zero pledge for emissions within the
scenario does not necessarily mean that CO 2 emissions from
the energy sector need to reach net zero, but there is an
allocation for carbon offsetting within the pledges.
Breach of planetary boundaries scenarios (SSP 5 – RCP 8.5)
This scenario is not aligned to any of the pledges laid out in
the Paris Agreement and is one where countries are unable
to meet the United Nations Sustainable Development Goals.
This scenario will have the most severe physical
consequences for the planet. The temperature rise will
exceed 4°C by 2100, leading to high loss of biodiversity and
species extinction.
Risk management
Our processes for identifying and assessing climate-related
risks
The nature of the risks and opportunities from climate
change depends not only on the physical aspects of climate
change, but also regulatory and commercial changes in the
markets in which we operate, including pressures to reduce
the climate impact of our metered dose inhaler medicines.
Our risk management policies are designed to address all
types of risks, including the Group principal risks and
uncertainties. Climate risk management follows the same
policy and framework. Risks from climate change at Group
level fall under the governance of the CRC with the support
of the Sustainability Council. Individual risks from climate
change are raised with appropriate business unit or
functional Risk Management Control Boards to make sure
we integrate these risks into business risk management
processes.

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65
(1) IEA Net Zero emissions scenario, https://www.iea.org/reports/global-
energy-and-climate-model/net-zero-emissions-by-2050-scenario-nze
last accessed 17 November 2022
(2) IEA World Energy Outlook 2021, Chapter 2, p94, download report from
https://www.iea.org/reports/world-energy-outlook-2021/overview, last
accessed 17 November 2022
(3) IEA Announced Pledges, https://www.iea.org/reports/global-energy-
and-climate-model/announced-pledges-scenario-aps last accessed
17 November 2022
A specific and dedicated environmental sustainability risk
management plan was put in place in 2020. The risk
management plan covers expectations that we are
addressing our impact on the environment, and that the
environment has increasing impacts on operational
resilience, such as access to energy, water and the natural
resources used in products, along with any anticipated cost
increases from regulatory changes or environmental taxes.
We review developments in policy and regulations at global
and national level, receiving quarterly monitoring reports.
We have procedures to identify risks from climate change
when factors evolve, for example to assess the climate
impact of merger and acquisition activity, or the
construction of new buildings. We use a shadow carbon
price of $100 per tonne CO 2 e to inform decision-making on
investments in major capital expenditure to understand the
implications on potential carbon offset costs for the carbon
emissions from our value chain in 2030. This value is based
on the recommendation by the Carbon Pricing Leadership
Coalition that concluded in 2017 that the explicit carbon
price level required to drive change to restrict temperature
increases to below 1.5°C is at least US$50–100/tCO 2 by
2030 1. We monitor the value used for internal carbon pricing
against estimates for the future costs of carbon credits.
Our processes for managing climate-related risk
For the purposes of this disclosure, we differentiate between
'physical' and 'transition' climate-related risks.
Physical risks are typically identified at the asset or project
level and are managed depending on the level of risk
assessed. We use climate scenario analysis to model the
potential impacts of our prioritised physical risks which helps
us understand the resilience of our supply chains against
climate change.
Transition risks are typically risks associated with changes to
regulations or societal expectations during the transition to
a lower-carbon economy. They are identified at enterprise
level and at market level. We manage transition risks
through our investment decisions, our sustainability
transformation programme and our procedures. For
example, we manage risks which may arise from product
claims based on environmental performance by using
external accreditation processes and organisations to
review the evidence used to support these claims.
Our Communications and Government Affairs team
manages corporate reputation by identifying and
monitoring of climate-related issues and undertaking
both proactive and reactive engagement with relevant
stakeholder groups to communicate our position.
Details of how we manage our prioritised risks are in
the Risk Table.
How our processes for identifying, assessing and managing
climate related risks are integrated into overall risk
management
On an annual basis, a cross-functional team from
Sustainability, Finance, Supply Chain and Procurement
functions reviews climate risks. Climate-related risks are
considered from a strategic and operational perspective
to make sure we maintain a comprehensive view of the
different types of climate risks we face and the different
time horizons in which they may affect us. The team review
previously identified climate risks, plus new or emerging risks
and opportunities, and make recommendations in a paper
to the Sustainability Council. Risk assessment papers are
prepared for the prioritised risks, considering the likelihood
and financial impact on us of each risk under different
climate scenarios.
Each risk and opportunity is analysed to understand how
we are managing them, the metrics and targets being used
and the potential impact on our total profit using a low
(<£100 million), medium (£100 million – £250 million) or high
(£250 million) threshold.
The impact assessments are approved by the VP
Sustainability and a Finance VP from our Global Supply
Chain business unit. The results are shared with Business
Unit Risk Management and Compliance Boards (RMCB)
and the Finance RMCB to make sure risks are both
contextualised with other business risks and managed
appropriately. This allows management to take a holistic
view and optimise risk mitigation responses, to ensure that
responses to climate-related risks are properly integrated
into the relevant business unit and function activities.
The resilience of our strategy, considering different climate-
related scenarios, including a 2°C or lower scenario
We used the climate scenarios described above to stress
test the resilience of the organisation by considering the
impacts of potential physical and transition risks and
opportunities on the locations where we operate as
described in the table below. The modelling did not identify
any material impact to our business resilience.

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(1) Report of the High-Level Commission on Carbon Prices, Carbon Pricing
Leadership Coalition, 2017, p10, https://
www.carbonpricingleadership.org/report-of-the-highlevel-commission-
on-carbon-prices/

Physical risk/ description | GSK response | Scenario |  | Potential financial impact/ timeframe |  | Metrics |  | Targets
The risk from increasing levels of water stress leading to interruptions to supply of water to our sites and third-party supply sites. We and our third-party suppliers use freshwater as the main source of water to manufacture medicines and vaccines. If water availability was restricted at a factory, operations would be interrupted. | We have identified three water basins in water- stressed areas in Algeria, India and Pakistan where we have manufacturing sites, and where we aim to be water neutral. At our manufacturing facility in Nashik, India we have built plants for rainwater harvesting. The climate scenario analysis has identified a number of sites and supplier sites located in water basins that could become water stressed by 2050, which have been added to a watch list. We will monitor changes to the risk levels and update our site water risk assessments appropriately. The financial impact assumes we manage inventory in our supply chain to the same levels as in 2023, and water stress could lead to a three-month supply interruption as a worst case. | Current trajectory |  | Medium (£100M- £250M)/ long term (> 10 years) |  | Sites that have achieved water stewardship Total supplied water |  | Achieve good water stewardship at 100% of our sites by 2025 Reduce overall water use in our operations by 20% by 2030 Be water neutral in our own operations and at key suppliers in water- stressed regions by 2030
Breach of planetary boundaries |  | Medium (£100M- £250M)/ long term (> 10 years) |  |
Increasing frequency of extreme weather events causing disruption to our and third-party supplier sites. Extreme weather events from any one of precipitation (rainfall), flood from precipitation, riverine flood, extreme wind, wildfire, and extreme heat can result in short- term interruptions to manufacturing at our or supplier sites. | The climate scenario modelling indicated that, of the seven physical perils, flood from rainfall presents the highest likelihood of an acute interruption. However, the risk of flooding from rainfall and from the other extreme weather events is expected to remain very low. We have performed risk assessments for our manufacturing and other operations and have business continuity plans which we review annually to respond to the impacts of extreme weather events, including adopting appropriate mitigation plans. We have a well-established loss prevention and risk engineering programme to identify a range of risks that could impact our sites and, where flood risks exist, we have taken action to mitigate them. The financial impact assumes we manage inventory in our supply chain to the same levels as in 2023, and an extreme weather event could lead to a three-month supply interruption as a worst case. | Current trajectory scenario |  | Medium (£100M- £250M)/ long term (> 10 years) |  | Business continuity plans are reviewed annually |  | Where climate- related risks to business continuity are identified, we have taken action to mitigate the risk
Breach of planetary boundaries scenario |  | Medium (£100M- £250M)/ long term (> 10 years) |  |
Transitional risk/ description | GSK response | Scenario |  | Potential financial impact/ timeframe |  | Metrics |  | Targets
Regulations governing the use of high GWP substances are being updated in the EU and UK and were updated recently in the US. This could lead to increasing costs and restrict the ability to manufacture our metered dose inhaler (MDI) products that use a high GWP propellant (HFA134a). | We are investing in a R&D programme and a large manufacturing site upgrade project to redevelop our Ventolin (salbutamol) inhaler by transitioning to a lower-carbon propellant that could potentially reduce its carbon emissions by up to 90%, if the clinical trials are successful. We already have a portfolio of Dry Powder Inhaler products that do not use propellants that are not affected by this risk. The financial impact assumes the reformulated product is approved by regulators and launched according to plan. | Current trajectory scenario |  | High (> £250M)/ medium term (3-10 years) |  | On/off track against delivery of key milestones on the R&D programme plan |  | 80% and 90% absolute reduction in greenhouse gas emissions from a 2020 baseline across all scopes by 2030 and 2045, respectively

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Transitional risk/ description | GSK response | Selected Scenario |  | Potential financial impact/ timeframe |  | Metrics |  | Targets
Future regulatory policy responses to address climate change could lead to the imposition of carbon taxes by countries where we manufacture and source goods from third parties. | We are managing this risk by reducing our value chain carbon emissions in line with our transition plan described above. The financial impact assumes we deliver an 80% reduction in carbon emissions by 2030 and assumes carbon tax values are as per IEA scenarios, supplemented by data from policy pledges for a small number of countries. | Net zero |  | Medium (£100M-£250M) /medium (3-10 years) and long term (> 10 years) |  | Scope 1 & 2 carbon emissions Scope 3 carbon emissions |  | 80% and 90% absolute reduction in greenhouse gas emissions from a 2020 baseline across all scopes by 2030 and 2045, respectively
Low-carbon |  | Medium (£100M-£250M) /medium term (3-10 year) falling to low (< £100M)/long term (> 10 years) |  |
|  | Current trajectory |  | Low (< £100M)/ in the medium term (3-10 years) and long term (> 10 years) |  |  |  |
Nature-based projects fail to deliver the anticipated volumes of carbon credits from lower-than-expected growth or the result of a natural catastrophe. This could lead to buying more carbon credits at higher cost to make up the shortfall. | We established a governance framework to manage each project with our external partners. Any issues are escalated to the carbon offset programme steering committee. We assume a future cost of £70 per tonne CO 2 e by 2030. For the lower-than-anticipated growth scenario we assume a 25% under-delivery in a single year as the issues will have been identified early enough to take other preventative actions. For a natural catastrophe scenario, we assume 25% of the projects will be affected and the impact will last five years. | Lower-than- anticipated growth scenario |  | Low (<£100M) / medium term (3-10 years) |  | In development |  | 80% and 90% absolute reduction in greenhouse gas emissions from a 2020 baseline across all scopes by 2030 and 2045, respectively
Natural catastrophe scenario |  | Medium (£100M -£250M)/ medium term (3-10 years) |  |
Opportunities | GSK response | Scenario |  | Potential profit impact/ timeframe |  | Metrics |  | Targets
At COP28 in November 2023, more than 70 countries committed to provide low-carbon healthcare systems. This could lead to increasing demand for low-carbon medicines and vaccines. | We are reducing our own Scope 1 & 2 carbon emissions, which in turn reduces the Scope 3 footprint of our customers and suppliers. We have an Eco-design programme to reduce the impacts of all our products and packaging. We are investing in an R&D programme to reduce greenhouse gas emissions from metered dose inhalers used to treat asthma and COPD and have made good progress towards reformulating an alternative gas that could potentially reduce the climate impact by up to 90% if the clinical trials are successful. We have a portfolio of dry powder inhaler products that have low carbon footprints. We are part of a consortium of eight global pharmaceutical companies to co-develop a shared way of measuring and reporting environmental product footprints. Financial impact is based on research performed for us in 2022 on the details of published commitments to transition to low-carbon healthcare in major markets. | Net zero |  | Low (< £100M)/ Long term (> 10 years) |  | Scope 1 & 2 and 3 carbon emissions Total waste and materials |  | 80% and 90% absolute reduction in greenhouse gas emissions from a 2020 baseline across all scopes by 2030 and 2045, respectively. Zero operational waste
Low carbon |  |  |
Current trajectory |  |  |

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Metrics and targets
The metrics we use to assess climate-related risks and opportunities in line with our strategy and risk management process.

a. Disclose the metrics used by the organisation to assess climate risks and opportunities in line with its strategy and risk management process | We have considered the key metrics following the TCFD guidance of Tables A1.1 and A1.2 as well as the metrics consistent with cross-industry, climate-related metrics. Based on that, our strategic metrics are: – Scope 1 & 2 emissions (market-based and location-based approach), described in the table below – Scope 3 emissions, described in the table below – % renewably sourced electricity, described in the table below – Total supplied water, described in the table below – Total waste and materials, described in the table below – ESG composite metric, as part of our senior leaders‘ remuneration policy – see page 149 – Sites that have achieved water stewardship, described in the table below Our ESG Performance Report includes more metrics used to support the strategic metrics listed above.
b. Disclose Scope 1, 2 and if applicable Scope 3 GHG emissions and related risks | In energy and carbon emissions, see table below: – Scope 1 emissions from energy – Scope 1 emissions from other sources – Scope 2 emissions (market-based) – Scope 2 emissions (location-based) – Scope 3 emissions metrics – Scope 1 & 2 emissions intensity metrics Prioritised physical and transition risks are included in the Risk Table above.
c. Describe the targets used by the organisation to manage climate- related risks and opportunities and performance against targets | Our targets (measured against a 2020 baseline where applicable) are: – 80% absolute reduction in greenhouse gas emissions from a 2020 baseline, across all scopes, and investment in nature-based solutions for the remaining 20% of our footprint by 2030 – Net zero greenhouse gas emissions across our full value chain by 2045: 90% absolute reduction in emissions from a 2020 baseline, across all scopes, and all residual emissions neutralised – 100% renewable electricity by 2025 (Scope 2) – Achieve good water stewardship at 100% of our sites by 2025 – Reduce overall water use in our operations by 20% in 2030 – Zero operational waste 1, including eliminating single use plastics 2 by 2030 – Be water neutral in our own operations and at key suppliers in water-stressed regions by 2030 The performance against our targets is on page 50.3

(1) Including a 20% reduction in routine hazardous and non-hazardous waste
(2) Where regulatory obligations allow, and excluding plastics which are critical to product discovery and development and health & safety
(3) See Basis of Reporting 2023 in the ESG resources section of GSK.com (https://www.gsk.com/en-gb/responsibility/esg-resources/) for detailed
methodologies for measuring and reporting all GSK environmental KPIs
We commit to a net zero, nature positive, healthier planet, with ambitious goals set for 2030 and 2045 across our entire
value chain. We report progress in reducing Scope 1 & 2 carbon emissions, Scope 3 carbon emissions, energy use, water,
waste annually towards these targets on page 50, in our ESG Performance Report and in our public responses to the CDP
Climate, Water and Forest questionnaires.

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Metrics data

Carbon emissions 1,2

Carbon emissions ‘000 tonnes CO 2 e | 2023 | 2022 | 2021
Scope 1 emissions (from energy) | 301 | 320 | 333
Scope 1 emissions (other 3 ) | 279 | 306 | 300
Scope 2 emissions (market-based) | 64 | 88 | 131
Scope 2 emissions (location-based) | 240 | 265 | 285
Scope 3 emissions 4 | – | 8,995 | 8,624
UK Scope 1 & 2 emissions | 102 | 111 | 126

Other metrics | 2023 | 2022 | 2021
Scope 1 and 2 emissions from energy/sales revenue (tonnes CO 2 e/£m) | 12.0 | 13.9 | 18.8
Scope 1 and 2 emissions from energy/FTE (tonnes CO 2 e/FTE) | 5.2 | 5.9 | 6.5
Total energy used (GWh) | 2,636 | 2,759 | 2,871
UK energy used (GWh) | 711 | 735 | 807
% renewably sourced electricity | 83% | 73% | 63%
Total supplied water million m 3 | 7.4 | 7.5 | 7.9
Total supplied water in areas of high water stress million m 3 | 0.3 | 0.3 | 0.3
Total waste and materials ‘000 metric tonne 5 | 49.7 | 50.2 | 55.
% sites that have achieved water stewardship | 100% | 100% | 100%

(1) All data reported excludes our previous Consumer Healthcare business unless otherwise specified
(2) Carbon emissions are calculated according to the Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (revised edition). We use
market-based Scope 2 emissions for reporting purposes and report Scope 3 emissions across all 15 categories in our ESG Performance Report. We ask
external assurance providers, Deloitte, to provide limited assurance to ISAE 3000 for energy, Scope 1, 2 and selected Scope 3 carbon emission data, water
and wastewater data. Methodologies for reporting and measurements are provided in the Basis of Reporting 2023 in the ESG resources section of gsk.com
(https://www.gsk.com/en-gb/responsibility/esg-resources/)
(3) ‘Other’ refers to emissions from sales force vehicles, propellant emissions released during manufacture of inhalers (the majority of propellant emissions,
released during patient use, are included in Scope 3 carbon emissions), on-site waste, or wastewater treatment and refrigerant gas losses
(4) We collect and publish Scope 3 data across 15 categories. The most recent Scope 3 data available is for 2022 as the process of compiling the 2023 data is
not yet complete, except for 2023 Scope 3 emissions from patient use of inhalers, which are disclosed in the ESG Performance Report. We will publish this
data once it becomes available and it will be included in the 2024 ESG Performance Report
(5) Data for 2021 and 2022 have been restated. See our ESG Performance Report

Nature-related financial disclosures

At GSK we are committed to playing our part to minimise
our impact and dependencies on nature, as well as helping
to protect and restore nature.
Human health relies on the fundamentals of nature: clean
air and fresh water. Nature loss has a range of negative
impacts on health, for example, reduced air quality
increases the incidence and severity of respiratory diseases
and habitat degradation and deforestation are increasing
the risk of new human pathogens and pandemics.
To protect human health and get ahead of disease,
we need to protect nature.
GSK is an active member of the working groups of the
Taskforce on Nature-related Financial Disclosures (TNFD).
We have committed to make a full disclosure against the
TNFD framework in early 2026 based on 2025 data.
However, we are making an initial disclosure that is not fully
compliant to the framework to show the progress of our
nature programme.
Governance
The board’s oversight of nature-related dependencies,
impacts, risks and opportunities
As described on pag e 62.
Management’s role in assessing and managing nature-
related dependencies, impacts, risks and opportunities
In addition to the disclosure on page 63, the Sustainability
Council reviewed GSK’s Nature Strategy, ensuring alignment
with ways of working required for Science Based Targets for
Nature (SBTN) and that longer term budgetary
requirements had been considered.
Our human rights policies, engagement activities and
oversight with respect to indigenous peoples, local
communities, affected and other stakeholders
Our position on human rights is published on GSK.com. We
have a responsibility to respect human rights through our
engagements with patients, our employees, our suppliers
and the communities in which we live and operate.

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We are at the beginning of our nature journey, and we are
working to further formalise policies and procedures related
to stakeholders’ engagement and human rights specifically
in relation to our assessment of impacts and our action
on nature.
– Protecting and restoring nature is a key part of our
climate and nature strategy. As nature investments are
always context dependant, it is key for us to work with
expert partners and NGOs to ensure project
implementation includes local experts and local
communities
– Before we make decisions on protection and restoration
projects, we run a human rights assessment as part of
our broader due diligence. The assessment allows us to
understand the local context and history, the process that
partners use or plan to use to engage and involve local
communities (including Free, Prior and Informed Consent
(FPIC) and grievance mechanisms) and the how benefits
will be shared
– The connection between nature projects and health
benefits has not been consistently included in nature
projects and we have worked with third-party experts
to develop and publish a toolkit to enable project
developers and investors to do that
Strategy
The nature-related dependencies, impacts, risks and
opportunities we have identified over the short, medium
and long term
Impacts and dependencies
Water
Water is essential for the production of our vaccines and
medicines. We have mapped our water footprint and
calculated the volume of water we use in our value chain
and in our own operations and have improved our
understanding as to where in the world we have the
biggest impact on water.
Our primary operational impact on water availability is
through our own manufacturing sites that are located in
areas of water stress. Using water risk data from the World
Resources Institute and the World Wildlife Fund, we have
identified five sites located in water-stressed areas across
Algeria, India and Pakistan, which face increasing water
availability and quality risks.
Releases of Active Pharmaceutical Ingredients are a priority
focus for us regarding water quality.1 Pharmaceutical
residues may sometimes pass into the environment as
part of the normal biological process following patient use.
To a lesser extent, pharmaceuticals can also enter the
environment from unused medical products or factory
discharges.
There are concerns that long-term exposure to
pharmaceuticals in the environment can pose a risk to
environmental species, including aquatic life. The presence
of antibiotics in the environment, and its potential impact
on driving antibiotic resistance as well as reducing microbial
biodiversity, is a growing concern for many stakeholders
and an active area of research.
While clinical and agricultural practices are generally
recognised as the dominant sources of antibiotics entering
the environment, unregulated manufacturing practices may
also contribute to anti-microbial resistance 2.
Land
Our primary dependency on land is due to the natural
materials we source, some of which derive from agricultural
commodities, a key driver of deforestation and land use
change, globally. The supply chains for some of these
commodities are often long and complex and may be many
tiers removed from our direct engagement. Our operational
land holdings are relatively small, although two of our R&D
sites, one in Belgium and one in Spain, are located in Key
Biodiversity Areas.
Oceans
Our impacts and dependencies on oceans come primarily
from marine-derived materials that are a critical part of
manufacturing vaccines and medicines. This includes, for
example, horseshoe crab blood which is an important
substance that is required by some regulators to be used in
pharmaceutical and biomedical quality control processes to
ensure the quality and safety of medicines, vaccines and
devices.
Atmosphere
As a leader in medicines and vaccines for respiratory health,
we want to play our part in improving air quality. We have
done an initial assessment to establish an air pollution
footprint in our operations and our supply chain. This
showed that, directly, we are having a relatively low impact
on air quality, and that the largest proportion of our
emissions sits in our supply chain.
Waste and Materials
Our approach to product stewardship means that we
consider and aim to address impacts on nature and climate
at every stage of the product lifecycle, from discovery,
design, sourcing and manufacturing through to product
use and disposal. We have set a target to help accelerate
the adoption of this approach.
The effect nature-related dependencies, impacts, risks and
opportunities have on our business model, value chain,
strategy and financial planning, as well as any transition
plans or analysis in place.
We are committed to have a net positive impact on nature
by 2030 by reducing our environmental impacts across
water, waste and materials, biodiversity and by investing in
nature protection and restoration. We set targets in 2020
with a focus on the realms of nature, as well as supportive
targets on waste and materials. We report progress against
our nature plan and targets annually.

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(1) For more information see our public policy: https://www.gsk.com/
media/8867/gsk-position-on-pharmaceuticals-in-the-environment-
march-2022.pdf
(2) Read more about our position on antimicrobial resistance in our public
policy
In 2023 we were selected to be one of the first group
of companies to work with the Science Based Targets
Network (SBTN) in the pilot to develop and set validated
science-based targets for nature, starting with targets
for freshwater and land, followed by targets for oceans
and biodiversity. These targets will focus on locations
across our value chain where nature is particularly under
pressure. We aim to have pilot science-based targets
for nature in 2024.
The resilience of our strategy to nature-related risks and
opportunities, taking into consideration different scenarios
We manage organisational resilience to nature related
risks through the implementation of our sustainability
programme. Our delivery plan will evolve as external
guidance continues to evolve,
The locations of our direct operations that meet the criteria
for priority locations
Freshwater
We have identified three initial water basins in water-
stressed areas where we have manufacturing sites,
including across India, Pakistan and Algeria, which we
have prioritised for investment in water neutrality to achieve
a measurable and positive impact in water-stressed
basins on availability, quality and accessibility.
Land
Our operational land holdings are relatively small, although
two of our R&D sites, one in Belgium and one in Spain, are
located in Key Biodiversity Areas.
In 2021, we piloted our approach to biodiversity with a
baseline assessment and action plans at three sites to
improving habitats, protecting species and improving soil
and water quality. We have now commenced biodiversity
uplift projects at our three largest R&D facilities –
Stevenage in the UK and Upper Providence and Upper
Merion in Pennsylvania in the US.
We are addressing 12 critical agricultural, forestry and
marine-derived materials. We have engaged with
associated suppliers and external independent experts
to map the full supply chains involved, understand existing
sustainability standards, identify gaps and establish
improvement plans.
Oceans
We committed to restore mangroves in Indonesia, through
community-led projects. Mangroves play a crucial role in
climate regulation and climate change mitigation because
of their carbon sequestration potential. Mangroves make
the local population more resilient to flooding, improve the
local fish ecosystem, water quality and contribute to the
health and livelihood of local communities.
Risk & impact management
Our processes for identifying, assessing and prioritising
nature-related dependencies, impacts, risks and
opportunities in our direct operations and value chain
Since 2020 we have deepened our understanding of our
full value chain nature impacts and dependencies and
continued to align with evolving practices and guidance.
We are following the TNFD LEAP (Locate, Evaluate, Assess
and Prepare) methodology to better understand our
nature-related risks and opportunities and are involved
in the pilot working with the Science Based Targets Network
(SBTN) to set validated science-based targets for nature,
starting with targets for freshwater and land, followed by
targets for oceans and biodiversity.
Our processes for managing nature-related dependencies,
impacts, risks and opportunities
We set targets in 2020 with a focus on the realms of
nature, as well as supportive targets on waste and materials.
We report progress against our nature plan and targets
annually.
Water
Across all of our sites, we maintain high quality water
infrastructure to ensure there is no leakage, and we reduce
our overall water use through water-efficiency projects,
including behaviour change programmes and introducing
water-efficient cleaning procedures.
Today, all GSK sites complete a GSK water stewardship
assessment, aligned to the Alliance for Water Stewardship
(AWS) standard, and implement action plans to comply
with our standard. For our sites located in water-stressed
areas, we aim to secure certification under the AWS
standard.
Land
While we work on avoiding or reducing impact by assessing
opportunities to improve efficiency, material changes or
switching to alternatives, we have set ambitious standards
for suppliers who provide us with materials that are highly
dependent on nature, such as sugar, paper, palm oil,
lactose, gelatine and soy.
These standards, developed in collaboration with third-
party experts, aim to support these suppliers to assess,
improve, and verify their approach to addressing a range
of nature impacts – and associated climate and social
impacts – including land use, water stewardship and
biodiversity.
As a first stage, we are addressing the 12 most critical
materials, including paper and palm oil. We have roadmaps
in place with an aim to achieve 100% sustainable sourced
paper and palm oil by 2025. We have engaged with
associated suppliers to map the full supply chains involved,
understand existing sustainability standards, identify gaps
and establish action plans.
We are committed to having positive impact on biodiversity
at all our operational sites. We used the Integrated
Biodiversity Assessment Tool (IBAT) and have worked with
ecological experts to complete mapping and baseline
biodiversity assessments for 80% of our sites. We are now
implementing biodiversity action plans across our estate
with an aim to improve habitats, protect species and
improve soil and water quality.

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Oceans
To reduce our impact on oceans, we are implementing our
Marine Sustainable Sourcing Standard which outlines the
specific requirements that our suppliers of marine-derived
materials must adhere to.
As part of our approach to product stewardship, we are
working to reduce the volume of marine-derived materials,
for example, through process efficiencies. In the longer term,
we are seeking to transition to alternatives to marine-
derived materials, wherever possible from both a technical
and regulatory perspective.
Atmosphere
The outcome of an initial air quality assessment highlighted
opportunities for reductions in emissions linked to on-site
electricity generation and use of solid fuels, car use and
move to electric fleet, as well as indicating opportunities
in our value chain for the sourcing of plastic and glass
products.
We are creating reduction plans around these key areas
that are aligned to our pathway to net zero and which aim
to have a positive impact on air quality.
We are conducting an additional air quality assessment,
working with Stockholm Environment Institute (SEI) and the
University of York, broadening the suite of air pollutants to
be taken into consideration to understand their impact
across our value chain and their connection to human
health.
To help accelerate collective action on air pollution, we are
members of the Alliance for Clean Air through the Clean Air
Fund (CAF) and the World Economic Forum, which aims to
drive corporate action on clean air to accelerate climate
action and create healthy communities around the world.
The collective measurement of direct and value chain
emissions across the Clean Air Fund membership aims to
build a picture of the activities that give rise to poor air
quality globally and intends to enable policy makers and
industries to make informed decisions, considering the
broader global impacts on health from poor air quality.
Waste and materials
Embedding our approach to product stewardship to reduce
our impact on nature means working to minimise the waste
and materials used, and the waste and pollution generated,
from delivering our medicines and vaccines across the full
product lifecycle. We have already achieved zero
operational waste to landfill and we continue to build on our
long-standing operational waste management programme
to identify opportunities to achieve more beneficial use from
waste. However, there is a risk that circular routes of
recovery for all our waste streams may still not exist by 2030.
For our supply chain, we’re working on a waste footprint
assessment to help with supplier engagement on waste
reduction, and on product design so we can build in
circularity and reduce waste by design.
How our processes for identifying, assessing, prioritising
and monitoring nature-related risks are integrated into
and inform our overall risk management processes
We are a part of the first group of companies to be working
with the Science Based Targets Network (SBTN) to set
validated science-based targets for nature, starting with
targets for freshwater and land, followed by targets for
oceans and biodiversity. These targets will focus on
locations across our value chain where nature is particularly
under pressure. We aim to have science-based targets for
nature in 2024.
We continue to work towards our existing targets while we
work through the SBTN pilot. Our delivery plan will continue
to evolve as we go through SBTN target validation, as
external guidance continues to evolve, and our data is
developed, primarily through greater supply chain
traceability.
Metrics and targets
We report performance against our existing targets using
metrics for water use and waste and materials see table
on page 70.

Realm | Key performance indicator
Freshwater | Average of the percentage of GSK sites and suppliers compliant with wastewater active pharmaceutical ingredient limits and the percentage of suppliers that are compliant with the AMR Industry Alliance Common Antibiotic Manufacturing Framework and discharge limits
Land | The percentage of paper and palm oil that is deforestation free
Waste and materials | The reduction in routine operational hazardous and non-hazardous waste

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GSK sets the following targets for managing our nature commitments:

Focus area | Target
Freshwater | – 100% of our sites to achieve good water stewardship by 2025 and reduce overall water use by 20% by 2030 – Water neutral in operations and with key suppliers in water-stressed regions by 2030 – Zero impact active pharmaceutical ingredient levels 1 for all our sites and key suppliers by 2030 2
Land | – Positive impact on biodiversity at all sites 3 by 2030 – 100% of agricultural and forestry derived materials sustainably sourced and deforestation free by 2030 2,4
Oceans | – 100% of marine-derived materials sustainably sourced by 2030
Atmosphere | – 100% renewable electricity by 2025 (Scope 2)2 – 80% reduction in carbon emissions across our full value chain by 2030 2 – Net zero carbon emissions across our full value chain by 2045 2
Waste and materials | – Zero operational waste 5 10, including eliminating single use plastics 6 by 2030 2 – 10% waste reduction from supply chain by 2030 – 25% environmental impact reduction for our products and packaging by 2030

(1) Below the predicted no-effect level
(2) Linked with the remuneration of our senior leaders
(3) GSK sites
(4) Target updated in December 2021 to reflect priority materials
(5) Including a 20% reduction in routine hazardous and non-hazardous waste
(6) Where regulatory obligations allow, and excluding plastics which are critical to product discovery and development and health & safety

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Nature-related financial disclosures continued

74
The following aligns to the non-financial reporting requirements contained in sections 414CA and 414CB of the Companies
Act 2006.

Description of the business model

Business model 8

Social matters

Access 47
Global health and health security 48

Employees

Our culture and people 14
Employee engagement 15
Wellbeing and development 15
Diversity, equity and inclusion 52
Gender pay gap 53
Ethical standards 53
Board diversity 130

Human rights

Human rights 54
Working with third parties 54
Data and engagement 54

Anti-bribery and corruption

Ethical standards 53
Reporting and investigating
concerns 54

Environmental matters

Environment 49
Climate-related financial
disclosures 62
Nature-related financial disclosures 70

Policy, due diligence and outcomes

Risk management 57
Viability statement 76
Audit & Risk Committee report 133
Principal risks and uncertainties 284

Non-financial key performance indicators

2023 performance and key
performance indicators 2

Our policies

All of our public policies, codes and
standards are available on gsk.com

Employees by gender

| Male | Female | Total
Board 1 | 7 | 5 | 12
Management 1,2 | 8,682 | 8,788 | 17,470
All employees 3 | 36,510 | 33,702 | 70,212

(1) Headcounts as of 31 December 2023
(2) Senior managers as defined in the Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013
(3) ‘Total’ calculated as full-time equivalent employees (FTEs) as of 31 December 2023. ‘Male’ and ‘female’ calculated by applying ‘all employees’ gender
diversity percentages to ‘total’ FTE number

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Non-financial and sustainability information statement

75
In accordance with provision 31 of the 2018 revision of the
Code, GSK has assessed the prospects of the Group over
a longer period than the 12 months required by the ‘Going
Concern’ provision. The Directors confirm that they have
a reasonable expectation that GSK will continue to operate
and meet its liabilities, as they fall due, over the next three
years. The Directors’ assessment has been made with
reference to GSK’s current position and prospects, our
strategy, the Board’s risk appetite and GSK’s principal risks
and how these are managed, as detailed on pages 57 to 61
in the Strategic report.
The Board reviews our internal controls and risk
management policies and approves our governance
structure and code of conduct. It also appraises and
approves major financing, investment and licensing
decisions, and evaluates and monitors the performance
and prospects of GSK as a whole. The focus is largely on
improving our long-term financial performance through
delivery of our company’s business strategies and aligned
priorities.
The Board reviews GSK’s strategy and makes significant
capital investment decisions over a long-term time horizon,
based on a multi-year assessment of return on capital, the
performance of the company, and the market opportunities
in medicines and vaccines. This approach is aligned to
GSK’s model of achieving balanced growth by investing in
high quality, innovative products for patients and healthcare
providers. However, since many internal and external
parameters become increasingly unpredictable over longer
time horizons, GSK focuses its detailed, bottom-up Plan on
a three-year cycle. The Plan is reviewed at least annually
by the Directors, who approve business forecasts showing
expected financial impact. The Directors believe that a
three-year assessment period for the Viability statement
is most appropriate as it aligns with the Group’s well
established business planning processes that balance the
long-term nature of investments in medicines and vaccines
with an assessment of the period over which analysis of
near-term business performance is realistically visible.
The Plan has been stress tested in a series of robust
operational and principal risk downside scenarios as part
of the Board’s review on risk. The Plan assumes the next
several years to be challenging for the healthcare industry
with continued pressure on pricing of pharmaceuticals and
uncertain economic conditions prevailing across many
markets in which GSK operates. GSK assumes no premature
loss of exclusivity for key products over the period and for
all anticipated launches to proceed as planned.
The downside scenarios consider GSK’s cash flows,
sustainability of dividends, funding strategy, insurance
provision and recovery as well as other key financial ratios
over the period. These metrics have been subject to
sensitivity analysis, which involves flexing a number of the
main assumptions underlying the forecasts both individually
and in combination, along with mitigating actions that
could realistically be taken to avoid or reduce the impact
or occurrence of the underlying risk.
The following hypothetical downside scenarios have been
evaluated:
Scenario 1: Business performance risks. These include key
performance risks, including lower sales from new products,
greater adverse impact from generic competition and other
competitive launches to other GSK products, as well as
possible supply and manufacturing challenges.
Scenario 2: External and macroeconomic risks. This scenario
reflects incremental risks to the business driven by outside
factors, such as more intense competition, increased pricing
pressure in both the US and Europe as well as the potential
impact of material negative changes in the macro-
economic and healthcare environment.
Scenario 3: Principal risks. This scenario includes a severe
assessment of the potential loss impact from the principal
risks related to patient safety, product quality, supply chain
continuity, information and cyber security and
environmental harm as well as anti-bribery and corruption
and any consequent regulatory actions, fines or significant
litigation, all of which could fundamentally threaten our
operations. These risks are managed through mitigating
activities described on pages 284 to 294.
Scenario 4: Put option exercise. This scenario evaluates
the additional funding requirements assuming the earliest
potential exercise of the outstanding put option held by
Pfizer Inc.
The three-year review also makes certain assumptions
about the normal level of capital recycling likely to occur
and considers whether additional financing facilities will
be required and the respective level of funding flexibility
and headroom.
The results of this stress testing show that certain
combinations of these hypothetical scenarios could increase
funding demands on GSK and require mitigating changes
to the Group’s funding strategy. However, in light of the
liquidity available to the Group and based on this analysis,
the Directors have a reasonable expectation that, even
under these most severe stress tests, the Group will be able
to continue in operation and meet its liabilities as they fall
due over the three-year period of assessment.

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Viability statement

76
Group financial
review

In this section |
Summary full year results | 78
Financial performance summary | 81
Reporting framework | 82
Financial performance | 86
Adjusting items | 93
Cash generation and conversion | 97
Financial position and resources | 98
Approach to tax | 103
Treasury policies | 104
Critical accounting policies | 105

|  |  |  |  |  |  |  | GSK Annual Report 2023

77

Summary full year results

| Full year 2023 £m | Growth AER % | Growth CER % | Full year 2022 £m | Full year 2021 £m
Results summary |  |  |  |  |
Turnover | 30,328 | 3 | 5 | 29,324 | 24,696
Turnover excluding COVID-19 solutions | 30,134 | 12 | 14 | 26,951 | 23,291
Total continuing operating profit | 6,745 | 5 | 10 | 6,433 | 4,357
Total operating margin | 22.2% | 0.3ppts | 1.0ppts | 21.9% | 17.6%
Total continuing EPS | 121.6p | 10 | 16 | 110.8p | 82.9p
Adjusted operating profit | 8,786 | 8 | 12 | 8,151 | 6,493
Adjusted operating margin | 29.0% | 1.2ppts | 1.8ppts | 27.8% | 26.3%
Adjusted EPS | 155.1p | 11 | 16 | 139.7p | 110.3p
Cash flow |  |  |  |  |
Cash generated from operations | 8,096 | 2 |  | 7,944 | 7,249
Free cash flow | 3,409 | 2 |  | 3,348 | 3,301

(2023 Financial results unless otherwise stated, growth % and commentary at CER. Ex COVID is excluding COVID-19 solutions as defined on page 85).
Delivering a step-change in financial
performance in 2023
In 2023 our sales were £30,328 million, an increase of 5%
overall reflecting continued strong business performance with
strong growth in Vaccines (Arexvy and Shingrix) and HIV,
excluding COVID-19 solutions sales grew 14%. Total operating
profit increased 10% to £6,745 million, driven by overall
performance and favourable contingent consideration
liabilities (CCL) movements. Adjusted operating profit grew
12% to £8,786 million (with further positive impact of +4%
excluding COVID-19 solutions). Adjusted operating margin
increased to 29%, driven largely by favourable product mix
and operational efficiencies, as well as increased royalties.
The reconciliation of Total to Adjusted results is included on
page 93.
Total and adjusted cost of sales as a percentage of sales
decreased in the full year reflecting reduced sales of lower
margin Xevudy compared to 2022. Total and adjusted SG&A
growth was focused on investment in Vaccines, including
disease awareness and the launch of Arexvy, together with
Shingrix, long-acting HIV, Jemperli and Ojjaara. R&D costs
increased due to investment in late-stage programmes in
Vaccines, Respiratory/Immunology and Infectious diseases.
Total continuing EPS grew 16%, reflecting strong profit growth
and lower charges related to the remeasurement of
contingent consideration liabilities, partly offset by a fair value
loss on the retained stake in Haleon plc compared to a fair
value gain in the same period in the prior year. In addition,
there is an unfavourable comparison due to upfront income
received from the settlement with Gilead Sciences Inc. in 2022.
Adjusted EPS grew 16% overall (with further positive impact of
+6% excluding COVID-19 solutions), benefiting from a lower
net finance expense, which decreased 15% following debt
restructuring. The effective adjusted tax rate was 15.5% in line
with 2022 and our guidance.
Improved 2023 operating margins
Total operating profit margin was higher in 2023 due to
profitable growth across the portfolio, favourable movements
in contingent consideration liabilities, partly offset by an
unfavourable comparison due to upfront income received
from the settlement with Gilead Sciences Inc. in 2022.
Adjusted operating profit margin improved primarily due to
reduced sales of lower-margin Xevudy. Excluding COVID-19
solutions, Adjusted operating profit margin improved due to
product mix, productivity improvements and increased royalty
income. Growth in SG&A reflected investment in Vaccines,
including disease awareness and the launch of Arexvy,
together with Shingrix, long-acting HIV, Jemperli and Ojjaara.
Royalty income also contributed to margin improvement.

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Group financial review

78
GSK delivered an excellent performance in
2023 with sales of £30.3 billion and double
digit a djusted operating profit and
adjusted EPS per share growth at CER. As
a consequence of this performance, we
were also pleased to increase the dividend
for the year. In 2024, we expect another
year of meaningful growth for GSK, driven
by a continued focus on execution,
strengthening our pipeline and capital
allocation.
2023 cash flow performance
Our total full year Cash Generated From Operations
increased to £8,096 million despite annualising the Gilead
Sciences Inc. settlement in Quarter 1 2022 (£0.9 billion) due to
higher Adjusted operating profit, favourable timing of Xevudy
cash flows and lower UK pension contributions partly offset by
higher receivables from Arexvy sales. Net capital investment
increased primarily due to lower proceeds from asset
disposals than in 2022 resulting in Free Cash Flow from
continuing operations increasing to £3,409 million.
Net Debt improvement
Our net debt position decreased to £15 billion by the end of
2023. We look to deploy funds to enhance growth and deliver
attractive shareholder returns. We started the year with net
debt of £17.2 billion and strong free cash generation, in
addition to the monetisation of our stake in Haleon plc,
supported £3.8 billion of investment in targeted business
development and capital expenditure and £2.2 billion was
returned to shareholders via the dividend.
Capital deployment supports business growth and shareholder returns
(1) Free Cash Flow (FCF) is £3.4bn, including the capital expenditure (net of disposal proceeds for plant, property & equipment) and intangibles of £1.3bn and £1.0bn
(2) Other includes dividend and distribution income, exchange on net debt and other financing items
Capital allocation framework to support
investment and returns
Priority is to invest for growth, coupled with attractive
shareholder returns
(1) GSK group dividend in 2022; GSK related only and excludes dividend related to
Consumer Healthcare in H1-2022; FY 2022 dividend 61.25p/share
Our capital allocation framework to support
investment and returns
Our capital allocation framework means our first priority
remains to invest in the business, with capital allocated
towards development of the pipeline, both organic and
targeted business development.
We also remain committed to delivering attractive returns to
shareholders and pursuing a progressive dividend policy,
guided by a 40 to 60 percent pay-out ratio through the
investment cycle. In setting its dividend policy, GSK considers
the priorities of the Group and its investment strategy for
growth, alongside the sustainability of the dividend.
Consistent with this, and reflecting strong business
performance during the year, GSK now expects to declare an
increased dividend of 58.00p per share for full year 2023. The
expected dividend for 2024 is 60.00p.
In the event of s urplus cash, the excess would be returned to
shareholders. We remain committed to maintaining a
balance sheet with a strong investment grade credit rating.

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79
2024 guidance at CER (excluding COVID-19
solutions)
For 2024, we expect another year of meaningful growth for
GSK, our guidance is provided at CER and excludes the impact
of COVID-19 solutions. Sales are expected to increase between
5 and 7 per cent, Adjusted operating profit is expected to
increase between 7 and 10 per cent with Adjusted earnings per
share expected to increase between 6 and 9 per cent.
This guidance is supported by the following turnover
expectations for full year 2024:
– For Vaccines, we expect high single digit to low double-
digit percent growth
– For Specialty Medicines, we expect a low double-digit per
cent growth
– For General Medicines, we expect sales will decrease by a
mid-single-digit per cent
Adjusted Operating profit is expected to grow between 7 to
10 per cent at CER, despite a 6 percentage point impact to
Operating Profit growth following the loss of Gardasil royalties
effective from the beginning of 2024. GSK expects to deliver
leverage at a gross margin level due to improved product mix
from Vaccines and Specialty Medicines growth and
continued operational efficiencies. In addition, GSK
anticipates further leverage in Operating Profit due to a step
down in SG&A growth to a low single-digit increase. R&D is
expected to increase broadly in line with sales to support
growth of the pipeline.
Adjusted Earnings per share is now expected to increase
between 6 to 9 per cent at CER, reflecting higher operating
profit and more favourable net finance costs. Expectations for
non-controlling interests remain unchanged relative to 2023,
and GSK anticipates, as previously communicated, an
increase in the adjusted effective tax rate to around 17%
following implementation of a global minimum corporate
income tax rate aligned with the Organisation for Economic
Co-Operation and Development ‘Pillar 2’ initiative.
COVID-19 solutions
We do not anticipate any future revenue from COVID-19
solutions and this will reduce sales growth by 1% and Adjusted
operating profit growth by 2% in 2024.
Currency impact
If exchange rates were to hold at the closing rates on 24
January 2024 ($1.27/£1, €1.17/£1 and Yen 188/£1) for the rest
of 2024, the estimated impact on 2024 Sterling turnover
growth for GSK would be -3% and if exchange gains or losses
were recognised at the same level as in 2023, the estimated
impact on 2024 Sterling Adjusted Operating Profit growth for
GSK would be -5%.
2021-26 and 2031 Outlooks at CER
In January 2024, GSK announced upgraded outlooks, from
those previously given, for the period 2021-2026 and for 2031.
For the period 2021-2026, GSK now expects sales to grow
more than 7% on a CAGR basis and adjusted operating profit
to increase more than 11%, on the same basis. This compares
to previous outlooks of more than 5% and more than 10%
respectively. Adjusted operating profit margin in 2026 is now
expected to be more than 31%.
By 2031, GSK now expects to achieve sales of more than £38
billion on a risk-adjusted basis and at CER. GSK expects to
maintain a continued strong focus on margin improvements,
while retaining flexibility to invest in future growth.
Recognising that GSK will likely face loss of exclusivity for
dolutegravir during 2028 to 2030 in the US and EU, with the
majority of impact 2029 to 2030, GSK stated that it expects
operating margins to be broadly stable through this period.
GSK expects an effective transition within its HIV portfolio
towards new long-acting treatment and prevention therapies,
margin mix benefit from growth in higher operating margin
Vaccine and Specialty Medicine products, and a continued
focus on achievable productivity gains, notably in supply
chain and in SG&A.
All expectations, guidance and outlooks regarding future
performance and dividend payments should be read together
with ‘Guidance and outlooks, assumptions and cautionary
statements’ on inside back cover.

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Group financial review continued

80

Financial performance summary

The Total results of the Group are set out below.

|  | 2023 |  | 2022 | Growth
| £m | % of turnover | £m | % of turnover | £% | CER%
Turnover | 30,328 | 100 | 29,324 | 100 | 3 | 5
Cost of sales | (8,565) | (28.2) | (9,554) | (32.6) | (10) | (10)
Gross profit | 21,763 | 71.8 | 19,770 | 67.4 | 10 | 13
Selling, general and administration | (9,385) | (30.9) | (8,372) | (28.6) | 12 | 14
Research and development | (6,223) | (20.5) | (5,488) | (18.7) | 13 | 14
Royalty income | 953 | 3.1 | 758 | 2.6 | 26 | 26
Other operating income/(expense) | (363) | (1.3) | (235) | (0.8) |  |
Operating profit | 6,745 | 22.2 | 6,433 | 21.9 | 5 | 10
Net finance costs | (677) |  | (803) |  |  |
Share of after tax profits/(losses) of associates and joint ventures | (5) |  | (2) |  |  |
Profit/(loss) on disposal of interest in associates and joint ventures | 1 |  | – |  |  |
Profit before taxation | 6,064 |  | 5,628 |  | 8 | 14
Taxation | (756) |  | (707) |  |  |
Profit after taxation from continuing operations | 5,308 |  | 4,921 |  | 8 | 14
Profit after taxation from discontinued operations and other gains/(losses) from the demerger | – |  | 3,049 |  |  |
Remeasurement of discontinued operations distributed to shareholders on demerger | – |  | 7,651 |  |  |
Profit after taxation from discontinued operations | – |  | 10,700 |  | (100) | (100)
Total profit after taxation for the year | 5,308 |  | 15,621 |  |  |
Profit attributable to non-controlling interests from continuing operations | 380 |  | 460 |  |  |
Profit attributable to shareholders from continuing operations | 4,928 |  | 4,461 |  |  |
Profit attributable to non-controlling interests from discontinued operations | – |  | 205 |  |  |
Profit attributable to shareholders from discontinued operations | – |  | 10,495 |  |  |
| 5,308 |  | 15,621 |  | (66) | (64)
Total profit attributable to non-controlling interests | 380 |  | 665 |  |  |
Total profit attributable to shareholders | 4,928 |  | 14,956 |  |  |
| 5,308 |  | 15,621 |  | (66) | (64)
Earnings per share from continuing operations (pence) | 121.6p |  | 110.8p |  | 10 | 16
Earnings per share from discontinued operations (pence) | – |  | 260.6p |  | (100) | (100)
Total earnings per share (pence) | 121.6p |  | 371.4p |  | (67) | (65)
Earnings per ADS from continuing operations (US$) | 3.02 |  | 2.75 |  |  |
Earnings per ADS from discontinued operations (US$) | – |  | 6.46 |  |  |
Total earnings per ADS (US$) | 3.02 |  | 9.21 |  |  |

The Adjusted results for the Group are set out below. Reconciliations between Total results and Adjusted results for 2023 and 2022
are set out on pages 93 to 94.

|  | 2023 |  | 2022 | Growth
| £m | % of turnover | £m | % of turnover | £% | CER%
Turnover | 30,328 | 100 | 29,324 | 100 | 3 | 5
Cost of sales | (7,716) | (25.4) | (8,741) | (29.8) | (12) | (11)
Selling, general and administration | (9,029) | (29.8) | (8,128) | (27.7) | 11 | 13
Research and development | (5,750) | (19.0) | (5,062) | (17.3) | 14 | 14
Royalty income | 953 | 3.2 | 758 | 2.6 | 26 | 26
Adjusted operating profit | 8,786 | 29.0 | 8,151 | 27.8 | 8 | 12
Adjusted profit attributable to non-controlling interest | 572 |  | 595 |  |  |
Adjusted profit attributable to shareholders | 6,283 |  | 5,625 |  |  |
Adjusted profit after taxation | 6,855 |  | 6,220 |  | 10 | 15
Adjusted earnings per share (p) | 155.1p |  | 139.7p |  | 11 | 16

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Group financial review continued

81

Reporting framework

Total and Adjusted results
The Group financial review discusses the operating and
financial performance of the Group, its cash flows and financial
position and our resources. The results for each year are
compared primarily with the results of the preceding year.
Total results
Total reported results represent the Group’s overall
performance.
GSK also uses a number of adjusted, non-IFRS, measures to
report the performance of its business. Adjusted results and
other non-IFRS measures may be considered in addition to,
but not as a substitute for or superior to, information presented
in accordance with IFRS. Adjusted results are defined below
and other non-IFRS measures are defined on page 83.
GSK believes that Adjusted results, when considered together
with Total results, provide investors, analysts and other
stakeholders with helpful complementary information to
understand better the financial performance and position of
the Group from period to period, and allow the Group’s
performance to be more easily compared against the majority
of its peer companies. These measures are also used by
management for planning and reporting purposes and when
determining compensation. They may not be directly
comparable with similarly described measures used by other
companies.
GSK encourages investors and analysts not to rely on any
single financial measure but to review GSK’s Annual Reports,
including the financial statements and notes, in their entirety.
Adjusted results
Adjusted results exclude the profits from discontinued
operations from the Consumer Healthcare business (see
details on page 238) and the following items in relation to our
continuing operations from Total results, together with the tax
effects of all of these items:
– amortisation of intangible assets (excluding computer
software and capitalised development costs)
– impairment of intangible assets (excluding computer
software) and goodwill
– Major restructuring costs, which include impairments of
tangible assets and computer software, (under specific
Board approved programmes that are structural, of a
significant scale and where the costs of individual or related
projects exceed £25 million) including integration costs
following material acquisitions
– transaction-related accounting or other adjustments related
to significant acquisitions
– proceeds and costs of disposals of associates, products
and businesses; significant settlement income; significant
legal charges (net of insurance recoveries) and expenses on
the settlement of litigation and government investigations;
other operating income other than royalty income, and other
items
Costs for all other ordinary course smaller scale restructuring
and legal charges and expenses are retained within both Total
and Adjusted results.
As Adjusted results include the benefits of Major restructuring
programmes but exclude significant costs (such as
amortisation of intangible assets except for computer software
and capitalised development costs, significant legal, major
restructuring and transaction items), they should not be
regarded as a complete picture of the Group’s financial
performance, which is presented in its Total results. The
exclusion of other Adjusting items may result in Adjusted
earnings being materially higher or lower than Total earnings. In
particular, when significant impairments, restructuring charges
and legal costs are excluded, Adjusted earnings will be higher
than Total earnings.
GSK has undertaken a number of Major restructuring
programmes in response to significant changes in the Group’s
trading environment or overall strategy or following material
acquisitions. Within the Pharmaceuticals sector, the highly
regulated manufacturing operations and supply chains and
long lifecycle of the business mean that restructuring
programmes, particularly those that involve the rationalisation
or closure of manufacturing or R&D sites are likely to take
several years to complete. Costs, both cash and non-cash, of
these programmes are provided for as individual elements are
approved and meet the accounting recognition criteria. As a
result, charges may be incurred over a number of years
following the initiation of a Major restructuring programme.
Significant legal charges and expenses are those arising from
the settlement of litigation or government investigations that
are not in the normal course and are materially larger than
more regularly occurring individual matters. They also include
certain major legacy matters.
Reconciliations between Total and Adjusted results, providing
further information on the key Adjusting items for 2023, 2022
and 2021, are set out on pages 93 to 95.
GSK provides earnings guidance to the investor community on
the basis of Adjusted results. This practice is in line with peer
companies and expectations of the investor community,
supporting easier comparison of the Group’s performance with
its peers. GSK is not able to give guidance for Total results as it
cannot reliably forecast certain material elements of the Total
results, particularly the future fair value movements on
contingent consideration and put options that can and have
given rise to significant adjustments driven by external factors
such as currency and other movements in capital markets.

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82
Historical record of Adjusting items
The reconciliations between Total and Adjusted operating profit from continuing operations over the last three years can be
summarised as follows:

| 2023 £m | 2022 £m | 2021 £m
Total operating profit from continuing operations | 6,745 | 6,433 | 4,357
Intangible amortisation | 719 | 739 | 761
Intangible impairment | 398 | 296 | 347
Major restructuring | 382 | 321 | 424
Transaction-related items | 572 | 1,750 | 1,143
Divestments, significant legal and other items | (30) | (1,388) | (539)
Adjusted results | 8,786 | 8,151 | 6,493

The analysis of the impact of transaction-related items on operating profit for each of the last three years is as follows:

| 2023 £m | 2022 £m | 2021 £m
Contingent consideration on former Shionogi-ViiV Healthcare JV (including Shionogi preferential dividends) | 934 | 1,431 | 1,026
ViiV Healthcare put options and Pfizer preferential dividends | (245) | 85 | 48
Contingent consideration on former Novartis Vaccines business | (187) | 193 | 27
Contingent consideration on acquisition of Affinivax | 44 | 17 | –
Other adjustments | 26 | 24 | 42
Transaction-related items | 572 | 1,750 | 1,143

Full reconciliations between Total and Adjusted results for 2021 –2023 including continuing and discontinued operations are set out
on pages 93 to 95. Further explanations on the Adjusting items for 2023 are reported on page 96.

Other non-IFRS measures

Free cash flow
Free cash flow is defined as the net cash inflow/outflow from
continuing operating activities less capital expenditure on
property, plant and equipment and intangible assets,
contingent consideration payments, net finance costs, and
dividends paid to non-controlling interests, contributions from
non-controlling interests plus proceeds from the sale of
property, plant and equipment and intangible assets, and
dividends received from joint ventures and associates (all
attributable to continuing operations). It is used by
management for planning and reporting purposes and in
discussions with and presentations to investment analysts and
rating agencies. Free cash flow growth is calculated on a
reported basis. A reconciliation of net cash inflow from
continuing operations to free cash flow from continuing
operations is set out on page 97.
Working capital
Working capital represents inventory and trade receivables
less trade payables.
CER and AER growth
In order to illustrate underlying performance, it is the Group’s
practice to discuss its results in terms of constant exchange
rate (CER) growth. This represents growth calculated as if the
exchange rates used to determine the results of overseas
companies in Sterling had remained unchanged from those
used in the comparative period. CER% represents growth at
constant exchange rates. £% or AER% represents growth at
actual exchange rates.
Return on capital employed
Return on capital employed is calculated as total profit before
taxation as a percentage of average net assets over the year.
Total net debt
Net debt is defined as total borrowings less cash, cash
equivalents, liquid investments, and short-term loans to third
parties that are subject to an insignificant risk of change in
value. Please see Note 30 ‘Net Debt’ for the calculation of net
debt.
Total Operating Margin
Total operating margin is operating profit divided by turnover.
Adjusted Operating Margin
Adjusted operating margin is Adjusted operating profit divided
by turnover.
Compound Annual Growth Rate (CAGR)
CAGR is defined as the compound annual growth rate and
shows the annualised average rate of revenue growth between
a number of given years, assuming growth takes place at an
exponentially compounded rate.

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83
Non-controlling interests in ViiV Healthcare
Trading profit allocations
As ViiV Healthcare is a subsidiary of the Group, 100%
of its operating results (turnover, operating profit, profit after
tax) are included within the Group income statement and then
a portion of the earnings is allocated to the non-controlling
interests owned by the other shareholders, in line with their
respective equity shareholdings (Pfizer, Inc. (Pfizer) 11.7% and
Shionogi & Co. Ltd (Shionogi) 10%). Each of the shareholders,
including GSK, is also entitled to preferential dividends
determined by the performance of certain products that each
shareholder contributed. As the relative performance of these
products changes over time, the proportion of the overall
earnings allocated to each shareholder also changes. In
particular, the increasing proportion of sales of dolutegravir-
and cabotegravir-containing products has a favourable
impact on the proportion of the preferential dividends that is
allocated to GSK. Adjusting items are allocated to
shareholders based on their equity interests. GSK was entitled
to approximately 84% of the Total earnings and 83% of the
Adjusted earnings of ViiV Healthcare for 2023.
Remeasurements of the liabilities for the preferential dividends
allocated to Pfizer and Shionogi are included within other
operating income/(expenses).
Acquisition-related arrangements
As consideration for the acquisition of Shionogi’s interest in the
former Shionogi-ViiV Healthcare joint venture in 2012, Shionogi
received the 10% equity stake in ViiV Healthcare and ViiV
Healthcare also agreed to pay additional future cash
consideration to Shionogi, contingent on the future sales
performance of the products being developed by that joint
venture, dolutegravir and cabotegravir. Under IFRS 3 `Business
combinations’, GSK was required to provide for the estimated
fair value of this contingent consideration at the time of
acquisition and is required to update the liability to the latest
estimate of fair value at each subsequent period end. The
liability for the contingent consideration recognised in the
balance sheet at the date of acquisition was £659 million.
Subsequent re-measurements are reflected within other
operating income/(expenses) and within Adjusting items in the
income statement in each period.
Cash payments to settle the contingent consideration are
made to Shionogi by ViiV Healthcare each quarter, based on
the actual sales performance and other income of the relevant
products in the previous quarter. These payments reduce the
balance sheet liability and hence are not recorded in the
income statement, but are included in the cash flow. The cash
payments made to Shionogi by ViiV Healthcare in 2023 were
£1,106 million.
As the liability is required to be recorded at the fair value of
estimated future payments, there is a significant timing
difference between the charges that are recorded in the
Total income statement to reflect movements in the fair value of
the liability and the actual cash payments made to settle
the liability.
The cash payments are reflected in the cash flow statement
partly in operating cash flows and partly within investing
activities. The tax relief on these payments is reflected in the
Group’s Adjusting items as part of the tax charge. The part of
each payment relating to the original estimate of the fair value
of the contingent consideration on the acquisition of the
Shionogi-ViiV Healthcare joint venture in 2012 of £659 million is
reported within investing activities in the cash flow statement
and the part of each payment relating to the increase in the
liability since the acquisition is reported within operating cash
flows.
Movements in contingent consideration payable to Shionogi
were as follows:

| 2023 £m | 2022 £m
Contingent consideration at beginning of the year | 5,890 | 5,559
Remeasurement through income statement and other movements | 934 | 1,431
Cash payments: operating cash flows | (1,106) | (1,031)
Cash payments: investing activities | – | (69)
Contingent consideration at end of the year | 5,718 | 5,890

Of the contingent consideration payable (on a post-tax basis)
to Shionogi at 31 December 2023, £1,017 million (31 December
2022: £940 million) is expected to be paid within one year.
Exit rights
Pfizer may request an IPO of ViiV Healthcare at any time and if
either GSK does not consent to such IPO or an offering is not
completed within nine months, Pfizer could require GSK to
acquire its shareholding. Under the original agreements, GSK
had the unconditional right, so long as it made no subsequent
distribution to its shareholders, to withhold its consent to the
exercise of the Pfizer put option and, as a result, in accordance
with IFRS, GSK did not recognise a liability for the put option on
its balance sheet. However, during Q1 2016, GSK notified Pfizer
that it had irrevocably given up this right and accordingly
recognised the liability for the put option on the Group’s
balance sheet during Q1 2016 at an initial value of £1,070
million. Consistent with this revised treatment, at the end of Q1
2016 GSK also recognised liabilities for the future preferential
dividends anticipated to become payable to Pfizer and
Shionogi on the Group’s balance sheet.
Pfizer has the right to require GSK to acquire its shareholding in
ViiV Healthcare in certain circumstances at any time. A put
option liability is therefore recorded on the Group’s balance
sheet as a current liability. It is measured on the gross
redemption basis derived from an internal valuation of the ViiV
Healthcare business.
The closing balances of the liabilities related to Pfizer’s
shareholding are as follows:

| 2023 £m | 2022 £m
Pfizer put option | 848 | 1,093

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84
Under the original agreements, Shionogi could also have
requested GSK to acquire its shareholding in ViiV Healthcare in
six-month windows commencing in 2017, 2020 and 2022. GSK
had the unconditional right, so long as it made no subsequent
distribution to its shareholders, to withhold its consent to the
exercise of the Shionogi put option and, as a result, GSK did not
recognise a liability for the put option on its balance sheet.
However, during Q1 2016, GSK notified Shionogi that it had
irrevocably given up this right and accordingly recognised the
liability for the put option on the Group’s balance sheet during
Q1 2016 at an initial value of £926 million. In Q4 2016, Shionogi
irrevocably agreed to waive its put option and, as a result, GSK
de-recognised the liability for this put option on the Group’s
balance sheet directly to equity. The value of the liability was
£1,244 million when it was de-recognised.
GSK also has a call option over Shionogi’s shareholding in ViiV
Healthcare, which under the original agreements was
exercisable in six-month windows commencing in 2027, 2030
and 2032. GSK has now irrevocably agreed to waive the first
two exercise windows, but the last six-month window in 2032
remains. As this call option is at fair value, it has no value for
accounting purposes.

Reporting definitions

COVID-19 solutions
COVID-19 solutions include the sales of pandemic adjuvant
and other COVID-19 solutions including vaccine
manufacturing and Xevudy and the associated costs but does
not include reinvestment in R&D. This categorisation is used by
management and we believe is helpful to investors through
providing clarity on the results of the Group by showing the
contribution to growth from COVID-19 solutions.
Turnover excluding COVID-19 solutions
Turnover excluding COVID-19 solutions excludes the impact of
sales of pandemic adjuvant within Vaccines and Xevudy within
Specialty Medicines related to the COVID-19 pandemic.
Management believes that the exclusion of the impact of these
COVID-19 solutions sales aids comparability in the reporting
periods and understanding of GSK’s growth including by region
versus prior periods and also 2024 Guidance which excludes
any contributions from COVID-19 solutions.
Adjusted operating profit excluding COVID-19
solutions
Adjusted operating profit excludes the impact of Commercial
Operations COVID-19 solutions for Xevudy and pandemic
adjuvant.
Adjusted earnings per share excluding COVID-19
solutions
Adjusted earnings per share excludes the impact of
Commercial Operations COVID-19 solutions for Xevudy and
pandemic adjuvant.
General Medicines
General medicines are usually prescribed in the primary
care or community settings by general healthcare practitioners.
For GSK, this includes medicines in inhaled respiratory,
dermatology, antibiotics and other diseases.
Specialty Medicines
Specialty Medicines are typically prescription medicines used to
treat complex or rare chronic conditions. For GSK, this
comprises medicines in infectious diseases, HIV, Oncology,
Respiratory/Immunology and Other.
Share Consolidation
Following completion of the Consumer Healthcare business
demerger on 18 July 2022, GSK plc Ordinary shares were
consolidated to maintain share price comparability before and
after demerger. Shareholders received 4 new Ordinary shares
with a nominal value of 31¼ pence each for every 5 existing
Ordinary shares which had a nominal value of 25 pence each.
Earnings per share, diluted earnings per share, adjusted
earnings per share and dividends per share were retrospectively
adjusted to reflect the Share Consolidation in all the periods
presented.
Earnings per share
Earnings per share has been retrospectively adjusted for the
Share Consolidation on 18 July 2022, applying a ratio of 4 new
Ordinary shares for every 5 existing Ordinary shares.
Total Earnings per share
Unless otherwise stated, Total earnings per share refers to Total
basic earnings per share.
RAR (Returns and Rebates)
GSK sells to customers, both commercial and government
mandated contracts, with reimbursement arrangements that
include rebates, chargebacks and a right of return for certain
pharmaceutical products principally in the US. Revenue
recognition reflects gross-to-net sales adjustments as a result.
These adjustments are known as the RAR accruals and are a
source of significant estimation, uncertainty and fluctuation
which can have a material impact on reported revenue from
one accounting period to the next.
Total Operating Margin
Total Operating margin is Total operating profit divided by
turnover.
Adjusted Operating Margin
Adjusted operating margin is Adjusted operating profit divided
by turnover.
Discontinued operations
Consumer Healthcare was presented as a discontinued
operation from Q2 2022. The demerger of Consumer
Healthcare was completed on 18 July 2022. The Group Income
Statement and Group Cash Flow Statement distinguish
discontinued operations from continuing operations.
Percentage points
Percentage points of growth which is abbreviated to ppts.
Non-controlling interest
Non-controlling interest is the equity in a subsidiary not
attributable, directly or indirectly, to a parent.
Brand names and partner acknowledgements
Brand names appearing in italics throughout this document are
trademarks of GSK or associated companies or used under
licence by the Group.

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85

Financial performance

Group turnover

Group turnover was £30,328 million in the year, up 3% at
AER, 5% at CER. In 2023 sales grew 12% at AER, 14% CER
excludin g COVID-19 solutions.
Group turnover by business

l | Vaccines
£9.9bn
AER growth 24% CER growth 25%
l | Speciality Medicines
£10.2bn
AER decline -9% CER decline -8%
l | General Medicines
£10.2bn
AER growth 1% CER growth 5%

Group turnover by geographic region

l | US
£15.8bn
AER growth 9% CER growth 9%
l | Europe
£6.6bn
AER growth 3% CER growth 2%
l | International
£7.9bn
AER decline -6% CER growth 1%

GSK reports results under two segments namely Commercial
Operations and Total R&D. See Note 6, 'Turnover and segment
information' to the consolidated financial statements for more
details.
The Commercial Operations segment has three product groups
of Vaccines, Specialty Medicines, and General Medicines.
– Vaccines products, which includes sales of Shingrix and
Arexvy
– Specialty Medicines products which includes GSK’s marketed
products for HIV, oncology, respiratory/immunology and
other specialty medicines (including Nucala)
– General Medicines products, which include products
previously reported as Established Pharmaceuticals and sales
of Trelegy Ellipta and Anoro Ellipta (previously reported within
the Respiratory category under Specialty products). These
products are typically accessed by patients through primary
care settings

Vaccines

Turnover (£bn)

£9.9bn | AER growth | CER growth
24% | 25%
32% of Group turnover |  |

Vaccines turnover
Vaccines turnover excluding COVID-19 solutions
£9.7bn
AER growth 23% CER growth 24%
Pandemic turnover
£0.2bn
AER growth >100 CER growth >100
Double-digit growth for Vaccines in the full year was driven by
the successful launch of Arexvy in the US and continued strong
uptake of Shingrix in International and Europe. Pandemic
vaccines sales mostly include GSK’s share of 2023 contracted
European volumes related to a COVID-19 booster vaccine co-
developed with Sanofi.
Shingles

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Shingles | 3,446 | 2,958 | 16 | 17

Shingrix, a vaccine against herpes zoster (shingles), grew 16%
AER, 17% CER on increased demand and favourable pricing.
Growth was driven by public funding expansion and strong
private uptake in International and Europe. These regions
represented 45% of global turnover, compared to a third in
2022, with Shingrix launched in 39 markets outside of the US,
most of which have cumulative immunisation rates below 4%.
International sales were driven by launch uptake across several
markets, strong momentum and channel inventory build in
China due to transition between distributors, and a new public
programme in Australia. Sales in Europe included deliveries for
the UK National Immunisation Programme which began
offering Shingrix vaccination in September 2023. In the US,
retail demand grew 7% while overall sales declined 4% versus a
challenging comparator period in which there was a higher
non-retail purchasing. The US cumulative immunisation
penetration at the end of Q3 2023 reached 35% of the more
than 120 million US adults(1) who are currently recommended to
receive Shingrix, up 7 percentage points since the same time
last year.
(1) United States Census Bureau, International Database, Year 2023

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86
Meningitis

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Meningitis | 1,260 | 1,116 | 13 | 14

Double-digit Meningitis vaccine sales growth was largely
delivered by Bexsero, a vaccine against meningitis B, primarily
driven by inclusion in National Immunisation Programmes in
Europe. Menveo, a vaccine against meningitis ACWY, grew due
to the favourable impact of a US CDC (Center for Disease
Control) stockpile borrow in Q3 2022 and replenishment in Q4
2023. Meningitis growth benefitted from the favourable impact
of CDC stockpile movements by 6 percentage points.
RSV

| 2023 £m | 2022 £m | Growth £% | Growth CER%
RSV (Arexvy) | 1,238 | – | – | –

Arexvy, the world’s first approved respiratory syncytial virus
(RSV) vaccine for older adults, achieved more than £1.2 billion in
sales driven by strong uptake and leading market share,
delivering an outstanding launch. Almost all sales were in the
US where Arexvy is available in all major retail pharmacies with
competitive contracting in place. Retailers administered more
than 90% of doses, and Arexvy achieved more than two-thirds
of the share of retail vaccinations. Approximately 6 million of
the 83 million US adults(1) aged 60 and older at risk have been
vaccinated with Arexvy.
Influenza

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Influenza | 504 | 714 | (29) | (29)

Fluarix/FluLaval sales declined in 2023 in line with expectations
driven by competitive pressure and lower market demand
primarily in the US.
Established Vaccines

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Established Vaccines | 3,266 | 3,085 | 6 | 7

Established Vaccines growth was driven by Rotarix favourable
US CDC stockpile movements, MMR/V vaccines increased
supply in International, and Hepatitis vaccine performance
related to the travel market recovery. Established Vaccines
growth excluding the impact of CDC stockpile movements was
4%.
(1) United States Census Bureau, International Database, Year 2023

Specialty Medicines

Turnover (£bn)

£10.2bn | AER decline | CER decline
-9% | -8%
34% of Group Turnover |  |

Specialty Medicines turnover
Specialty turnover excluding COVID-19 solutions
£10.2bn
AER growth 14% CER growth 15%
Pandemic turnover
£0.04 bn
AER decline -98% CER decline -98%
Specialty Medicines growth (excluding COVID-19 solutions) of
14% AER, 15% CER reflected continued growth momentum on
the HIV portfolio, and growth acceleration in both Oncology
and Respiratory/Immunology and Other. COVID-19 solutions
negatively impacted growth by 23 percentage points.
HIV

| 2023 £m | 2022 £m | Growth £% | Growth CER%
HIV | 6,444 | 5,749 | 12 | 13

The growth of HIV was primarily driven by a 2 percentage point
increase in market share within a broadly flat global treatment
market, attributable to patient demand for the Oral 2DR
(Dovato, Juluca) and Long-Acting medicines (Cabenuva,
Apretude). Growth was driven by patient demand of ten
percentage points, with the remainder from favourable pricing
dynamics and tender growth. Dovato continues to be the
highest selling product in the HIV portfolio.
Oral 2DR and Long Acting

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Oral 2DR and Long Acting | 3,337 | 2,392 | 40 | 40

Oral 2DR (Dovato, Juluca) and Long-Acting medicine
(Cabenuva, Apretude) sales growth continues and by the end of
the year represented 55% of the total HIV portfolio compared
to 46% for Q4 2022, driven by market share growth of 4
percentage points versus Q4 2022.

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87
Respiratory/Immunology and other

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Respiratory/Immunology and Other | 3,025 | 2,609 | 16 | 18

This therapy area includes sales of Nucala and Benlysta, and
Jesduvroq in the US and Duvroq in Japan for patients with
anaemia due to chronic kidney disease. There was consistent
and sustained double-digit growth in both Benlysta and
Nucala.
Nucala

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Nucala | 1,655 | 1,423 | 16 | 18

Nucala, is an IL-5 antagonist monoclonal antibody treatment
for severe asthma, with additional indications including chronic
rhinosinusitis with nasal polyps, eosinophilic granulomatosis with
polyangiitis (EGPA) and hypereosinophilic syndrome (HES).
Continued strong growth in all regions reflected high patient
demand in severe eosinophilic asthma, and additionally from
increasing sales and growth contributions from the new
indications.
Benlysta

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Benlysta | 1,349 | 1,146 | 18 | 19

Benlysta, a monoclonal antibody treatment for Lupus, continues
to show consistent growth representing strong demand in US
and Europe, with bio penetration and volume uptake in certain
International markets, particularly in Japan and China.
Oncology

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Oncology | 731 | 602 | 21 | 23

Oncology demonstrated strong growth driven by Jemperli and
Zejula performance, and uptake of Ojjaara post US launch in
Q3 2023, partially offset by the impact of Blenrep withdrawal
from the US market in November 2022.
Zejula

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Zejula | 523 | 463 | 13 | 15

Zejula, a PARP inhibitor treatment for ovarian cancer, grew 15%
with strong growth from all regions, with US growth in the first
line indication more than offsetting the reduction in use in
second line following the update to US prescribing information
agreed with the FDA in Q4 2022.

General Medicines

Turnover (£bn)

£10.2bn | AER growth | CER growth
1% | 5%
34% of Group turnover |  |

Growth was driven by both Respiratory and Other General
Medicines, with ongoing strong demand for Trelegy in all
regions, Anoro in Europe and International, and a continued
post pandemic recovery of the antibiotic market in Europe and
International regions.
Respiratory

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Respiratory | 6,825 | 6,548 | 4 | 6

Performance reflected growth of Trelegy and the single inhaled
triple therapy class across all regions, and of Anoro in Europe
and International.
Trelegy

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Trelegy | 2,202 | 1,729 | 27 | 29

Trelegy is the most prescribed single inhaler triple therapy (SITT)
treatment worldwide for COPD and asthma. Strong growth was
delivered across all regions, reflecting increased patient
demand, growth of the SITT market and penetration of the
class. Growth momentum continues, supported by the outputs
of recently updated primary care guidelines from the Global
Initiative for Chronic Obstructive Lung Disease.
Seretide/Advair

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Seretide/Advair | 1,139 | 1,159 | (2) | 1

Seretide/Advair is an ICS/LABA treatment for asthma and
COPD. Seretide/Advair sales growth increased 1% primarily
reflecting favourable US pricing. However this was offset by
generic erosion impacts in Europe and certain International
markets. In the US, growth was impacted by unfavourable RAR
adjustments and the impact of US of channel inventory
reduction ahead of 2024 price changes.
Other general medicines

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Other general medicines | 3,395 | 3,570 | (5) | 2

Decline of 5% at AER reflects adverse currency impacts. Low
single digit growth of 2% reflected ongoing post pandemic
demand for anti-infectives in Europe and International, and
certain third party manufacturing arrangements. Overall growth
in this product group continues to be impacted by ongoing
generic competition.

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88
Turnover by regions
US

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total | 15,820 | 14,542 | 9 | 9
Excluding COVID | 15,810 | 13,714 | 15 | 16

Sales growth was adversely impacted by 7 percentage points
due to decreased sales of Xevudy.
Vaccines grew strongly driven by Arexvy launch uptake and
leading market share, partly offset by competition and lower
market demand for Influenza vaccines. Growth benefitted from
favourable US CDC stockpile movements by 4 percentage
points.
Specialty Medicines grew driven by a strong HIV performance,
Benlysta and Nucala continued growth, and strong Oncology
growth despite partial offset from the impact of the withdrawal
of Blenrep in November 2022.
General Medicines growth was largely driven by Trelegy from
increased patient demand and growth of the SITT market,
partially offset by Established Respiratory and Other General
Medicines.
Europe

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total | 6,564 | 6,348 | 3 | 2
Excluding COVID | 6,431 | 5,835 | 10 | 8

COVID-19 solutions impacted growth by 6 percentage points.
Excluding the impact of COVID-19 solutions, Europe delivered
strong growth of 10% AER, 8% CER.
Vaccines growth reflected Shingrix national immunisation
programme initiation in the UK and launch uptake across
several markets, together with Bexsero national immunisation
campaigns in France and Spain, and ongoing travel vaccine
recovery.
Specialty Medicines double digit growth was driven by growth
in HIV, Oncology, Benlysta and Nucala including the impact of
new indication launches.
General Medicines low single digit growth was maintained.
International

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total | 7,944 | 8,434 | (6) | 1
Excluding COVID | 7,893 | 7,402 | 7 | 15

COVID-19 solutions impacted growth by 14 percentage points.
Excluding the impact of COVID-19 solutions, International
continued to grow by 7% AER, 15% CER, with strong growth
across all product groups.
Vaccines double digit growth was driven by Shingrix launch
uptake across several markets, strong momentum and channel
inventory build in China, and a new public programme in
Australia. Established and Meningitis vaccines also contributed
to the growth.
Specialty Medicines grew in HIV, Nucala, Benlysta and Zejula.
General Medicines growth was driven by Trelegy and growth
across Established Respiratory. Other General Medicines
growth was driven by Augmentin on strong post pandemic
antibiotic demand.

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89
Cost of sales

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total cost of sales | (8,565) | (9,554) | (10) | (10)
% of sales | 28.2% | 32.6% | (4.3) | (4.6)
Adjusted cost of sales | (7,716) | (8,741) | (12) | (11)
% of sales | 25.4% | 29.8% | (4.4) | (4.6)

Total and Adjusted cost of sales as a percentage of sales
decreased primarily reflecting lower sales of lower margin
Xevudy compared to 2022. Excluding Xevudy, the year
benefitted from an increasing margin contribution from
Vaccines sales, particularly the launch of Arexvy in Q3 2023 in
the US and Shingrix outside the US. In addition, Specialty
Medicines, particularly HIV, contributed to the improved margin,
as well as continued operational efficiencies. This was partly
offset by adverse inventory provision adjustments in the year as
well as inflationary impact on input costs.
Selling, general and administration

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total selling, general and administration | (9,385) | (8,372) | 12 | 14
% of sales | 30.9% | 28.6% | 2.4 | 2.3
Adjusted selling, general and administration | (9,029) | (8,128) | 11 | 13
% of sales | 29.8% | 27.7% | 2.1 | 1.9

Growth in Total and Adjusted SG&A in 2023 primarily reflected
increased investment for growth in Vaccines, including disease
awareness, launch and global market expansion for Arexvy, and
investment behind global market expansion and disease
awareness for Shingrix. In Specialty Medicines, increased
investment was targeted behind long-acting injectables in HIV
and the launch of Ojjaara for myelofibrosis in Oncology. This
was partly offset by the continuing benefit of restructuring and
tight control of ongoing costs. 2023 also reflected the Zejula
royalty dispute in Q1 2023. Total SG&A also included an
increase in significant legal costs (see details on page 96).
Research and development

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total research and development | (6,223) | (5,488) | 13 | 14
% of sales | 20.5% | 18.7% | 1.8 | 1.5
Adjusted research and development | (5,750) | (5,062) | 14 | 14
% of sales | 19.0% | 17.3% | 1.7 | 1.4

R&D operating expense growth in 2023 was driven by
investment across the portfolio.
In the late stage, increased investment in Vaccines was driven
by continued acceleration and progression of the pipeline
including RSV, pneumococcal, mRNA and therapeutic HSV
vaccines.
Respiratory/Immunology investment continued in
depemokimab in the Phase III programmes in asthma and
nasal polyps together with camlipixant a new asset for
refractory chronic cough, Nucala in COPD, paediatric Benlysta
and CCL 17 in osteo arthritic pain. This was offset by decreased
expense in the completion of the clinical programme for
otilimab.
Infectious Diseases investment in bepirovirsen for treatment of
chronic hepatitis B increased to support both monotherapy and
combination programmes. Investment in key assets in oncology
continued such as Jemperli and Ojjaara but were offset by
reduction in the terminated Cell and Gene Therapy programme.
In the early-stages, investment increased in IL18 for atopic
dermatitis, and in the HIV portfolio, focused on next generation
long-acting treatments and preventative medicines.
Total R&D included higher impairment charges compared with
2022.
Royalty income

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total royalty income | 953 | 758 | 26 | 26
Adjusted royalty income | 953 | 758 | 26 | 26

Growth in Total and Adjusted royalty income primarily related
to Gardasil royalties, which were £472 million in 2023, as well as
Kesimpta and Biktarvy royalties. The overwhelming majority of
the income from Gardasil royalties ceased at the end of 2023.
Other operating income/(expense)

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Other operating income/ (expenses) | (363) | (235) | (54) | (54)

Other operating expenses reflected a charge of £546 million
(2022: £1,726 million) arising from the remeasurement of
contingent consideration liabilities and the liabilities for the
Pfizer put option, and a fair value loss of £17 million (2022: £229
million gain) on the retained stake in Haleon plc, partly offset by
£200 million (2022: £306 million) of other net income primarily
related to equity investments and milestone income (including
£49 million dividends received from the retained investment in
Haleon plc). In Q1 2022 upfront income of £0.9 billion was
received from the settlement with Gilead Sciences Inc.

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Financial performance continued |  |  |

90
Operating profit

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total operating profit | 6,745 | 6,433 | 5 | 10
% of sales | 22.2% | 21.9% | 0.3 | 1.0
Adjusted operating profit | 8,786 | 8,151 | 8 | 12
% of sales | 29.0% | 27.8% | 1.2 | 1.8

Total operating profit margin was higher in 2023 due to
profitable growth across the portfolio as well as favourable
movements in contingent consideration liabilities, partly offset
by an unfavourable comparison due to the £0.9 billion upfront
income received from the settlement with Gilead Sciences Inc.
in Q1 2022.
Adjusted operating profit benefitted from strong sales,
favourable product mix and increased royalty income partly
offset by increased investment behind product launches and in
R&D. It also included increased legal charges primarily relating
to the Zejula royalty dispute.
In 2023 the adverse impact of lower sales of COVID-19 solutions
was 5 percentage points of Total operating profit growth at
AER (6 percentage points at CER), with an impact in Total
operating profit margin of 0.5 percentage points.
In 2023 the adverse impact of lower sales of COVID-19 solutions
was 4 percentage points of Adjusted operating profit growth,
with an impact in Adjusted operating profit margin of 0.4
percentage points.
Adjusted operating profit by business

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Commercial operations | 14,656 | 13,590 | 8 | 10
% of sales | 48.3% | 46.3% | 2.0 | 2.1
R&D | (5,607) | (5,060) | 11 | 11

Commercial Operations Adjusted operating profit benefitted
from strong sales and favourable product mix (with minimal
Xevudy sales) and increased royalty income, partly offset by
increased investment in growth and launch assets as well as an
increase in legal provisions in 2023.
The R&D segment operating expenses growth was driven by
progression of the late stage in Vaccines, Respiratory/
Immunology and Infectious Diseases. This included
pneumococcal and mRNA programmes together with the
newly acquired camlipixant and ongoing investment in key
programmes such as depemokimab and bepirovirsen.
Net finance costs

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total net finance cost | 677 | 803 | (16) | (15)
Adjusted finance cost | 669 | 791 | (15) | (15)

Total net finance costs were £677 million compared with £803
million in 2022. Adjusted net finance costs were £669 million
compared with £791 million in 2022. The decrease was mainly
driven by the net savings from maturing bonds including the
Sterling Notes repurchase in Q4 2022 and higher interest
income on cash, partly offset by higher interest on short-term
financing.
Share of after tax profits of associates and joint
ventures
The share of after tax loss of associates and joint ventures was
£5 million (2022: £2 million share of loss).
Profit on disposal of interest in associates
In 2023, the Group also reported a profit on disposal of interests
in associates and joint ventures of £1 million.
Profit before tax
Taking account of net finance costs, the share of profits or
losses of associates and profit or loss on disposal of interest in
associates, profit before taxation was £6,064 million compared
with £5,628 million in 2022.
Taxation

| 2023 £m | 2022 £m
UK current year charge | 207 | 200
Rest of world current year charge | 1,371 | 1,351
Charge/(credit) in respect of prior periods | 43 | (60)
Total current taxation | 1,621 | 1,491
Total deferred taxation | (865) | (784)
Taxation on total profits | 756 | 707

The charge of £756 million represented an effective tax rate on
Total results of 12.5% (2022: 12.6%) and reflected the different
tax effects of the various Adjusting items. Tax on Adjusted profit
amounted to £1,257 million and represented an effective
Adjusted tax rate of 15.5% (2022: 15.5%). Issues related to
taxation are described in Note 14, 'Taxation' to the financial
statements. The Group continues to believe it has made
adequate provision for the liabilities likely to arise from periods
which are open and not yet agreed by tax authorities. The
ultimate liability for such matters may vary from the amounts
provided and is dependent upon the outcome of agreements
with relevant tax authorities.
Non-controlling interests (NCI)

| 2023 £m | 2022 £m | Growth £% | Growth CER%
Total continuing | 380 | 460 | (17) | (17)
Adjusted | 572 | 595 | (4) | (4)

The decrease in Total profit from continuing operations
allocated to NCIs was primarily driven by lower ViiV Healthcare
profits with an allocation of £374 million (2022: £416 million), as
well as lower net profits in some of the Group's other entities.
The decrease in Adjusted profit from continuing operations
allocated to NCIs reflected lower net profits in some of the
Group's other entities with NCIs, partly offset by higher profits in
ViiV Healthcare with an allocation of £566 million (2022: £551
million).

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Financial performance continued |  |  |

91
Earnings per share from continuing operations

| 2023 £m | 2022 £p | Growth £% | Growth CER%
Total continuing earnings per share | 121.6p | 110.8p | 10 | 16
Adjusted earnings per share | 155.1p | 139.7p | 11 | 16

In 2023, the increase in Total continuing EPS primarily reflected
lower charges related to the remeasurement of contingent
consideration liabilities, partly offset by a fair value loss on the
retained stake in Haleon plc compared to a fair value gain in
the same period last year. In addition, there is an unfavourable
comparison due to upfront income received from the settlement
with Gilead Sciences Inc. in Q1 2022.
Adjusted EPS reflected the growth in Adjusted Operating profit
as well as lower finance costs. Growth also reflected a
favourable benefit from lower non-controlling interests.
Lower sales from lower margin COVID-19 solutions reduced
Adjusted EPS by six percentage points.
Currency impact on results

| 2023 £m/£p | 2022 £m/£p | Growth £% | Growth CER%
Turnover | 30,328 | 29,324 | 3 | 5
Total continuing earnings per share | 121.6p | 110.8p | 10 | 16
Adjusted earnings per share | 155.1p | 139.7p | 11 | 16

The adverse currency impact primarily reflected weakening of
emerging market currencies and the Yen against Sterling and
strengthening of Sterling against the US Dollar, partly offset by
weakening of Sterling against the Euro. Exchange gains or
losses on the settlement of intercompany transactions had a
minimal impact on Adjusted EPS.
Dividends
The Board has declared four interim dividends resulting in a
total dividend for the year of 58.00p per share. The 2022
dividend per share was 61.25p retrospectively adjusted for the
share consolidation. The GSK group dividend in 2022 was
55.00p per share, this is GSK related only and excludes the
dividend related to Consumer Healthcare in H1 2022. Please
refer to Note 16, 'Dividends' to the financial statements.
Dividend policy
Dividends remain an essential component of total shareholder
return and GSK recognises the importance of dividends to
shareholders. On 23 June 2021, at the GSK Investor Update,
GSK set out that from 2022 a progressive dividend policy will be
implemented guided by a 40 to 60 percent pay-out ratio
through the investment cycle. Consistent with this, and
reflecting strong business performance during the year, GSK
declared an increased dividend of 16.00p for Q4 2023 and
58.00p per share for full year 2023. The expected dividend for
2024 is 60.00p. In setting its dividend policy, GSK considers the
capital allocation priorities of the Group and its investment
strategy for growth alongside the sustainability of the dividend.

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Financial performance continued |  |  |

92

Adjusting items

Adjusted results reconciliation 31 December 2023 | Total results £m | Intangible asset amortisation £m | Intangible asset impairment £m | Major restructuring £m | Transaction- related £m | Divestments, significant legal and other items £m | Adjusted results £m
Turnover | 30,328 |  |  |  |  |  | 30,328
Cost of sales | (8,565) | 647 |  | 164 | 13 | 25 | (7,716)
Gross profit | 21,763 | 647 |  | 164 | 13 | 25 | 22,612
Selling, general and administration | (9,385) |  |  | 216 | 13 | 127 | (9,029)
Research and development | (6,223) | 72 | 398 | 2 |  | 1 | (5,750)
Royalty income | 953 |  |  |  |  |  | 953
Other operating (expense)/income | (363) |  |  |  | 546 | (183) | –
Operating profit | 6,745 | 719 | 398 | 382 | 572 | (30) | 8,786
Net finance costs | (677) |  |  | 1 |  | 7 | (669)
Share of after-tax losses of associates and joint ventures | (5) |  |  |  |  |  | (5)
Profit/(loss) on disposal of interest in associates | 1 |  |  |  |  | (1) | –
Profit before taxation | 6,064 | 719 | 398 | 383 | 572 | (24) | 8,112
Taxation | (756) | (154) | (94) | (83) | (100) | (70) | (1,257)
Tax rate | 12.5% |  |  |  |  |  | 15.5%
Profit after taxation from continuing operations | 5,308 | 565 | 304 | 300 | 472 | (94) | 6,855
Profit attributable to non-controlling interests from continuing operations | 380 |  |  |  | 192 |  | 572
Profit attributable to shareholders from continuing operations | 4,928 | 565 | 304 | 300 | 280 | (94) | 6,283
| 5,308 | 565 | 304 | 300 | 472 | (94) | 6,855
Earnings per share from continuing operations | 121.6p | 13.9p | 7.5p | 7.4p | 6.9p | (2.2)p | 155.1p
Weighted average number of shares (millions) | 4,052 |  |  |  |  |  | 4,052

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93

Adjusted results reconciliation 31 December 2022 | Total results £m | Profit from discontinued operations £m | Intangible asset amortisation £m | Intangible asset impairment £m | Major restructuring £m | Transaction- related £m | Divestments, significant legal and other items £m | Adjusted results £m
Turnover | 29,324 |  |  |  |  |  |  | 29,324
Cost of sales | (9,554) |  | 648 |  | 102 | 45 | 18 | (8,741)
Gross profit | 19,770 |  | 648 |  | 102 | 45 | 18 | 20,583
Selling, general and administration | (8,372) |  |  |  | 180 | 13 | 51 | (8,128)
Research and development | (5,488) |  | 91 | 296 | 39 |  |  | (5,062)
Royalty income | 758 |  |  |  |  |  |  | 758
Other operating (expense)/income | (235) |  |  |  |  | 1,692 | (1,457) |
Operating profit | 6,433 |  | 739 | 296 | 321 | 1,750 | (1,388) | 8,151
Net finance costs | (803) |  |  |  | 2 |  | 10 | (791)
Share of after-tax profits of associates and joint ventures | (2) |  |  |  |  |  |  | (2)
Profit before taxation | 5,628 |  | 739 | 296 | 323 | 1,750 | (1,378) | 7,358
Taxation | (707) |  | (150) | (64) | (87) | (242) | 112 | (1,138)
Tax rate | 12.6% |  |  |  |  |  |  | 15.5%
Profit after taxation from continuing operations | 4,921 |  | 589 | 232 | 236 | 1,508 | (1,266) | 6,220
Profit after taxation from discontinued operations and other gains/(losses) from the demerger | 3,049 | (3,049) |  |  |  |  |  |
Remeasurement of discontinued operations distributed to shareholders on demerger | 7,651 | (7,651) |  |  |  |  |  |
Profit after taxation from discontinued operations | 10,700 | (10,700) |  |  |  |  |  |
Total profit after taxation for the year | 15,621 | (10,700) | 589 | 232 | 236 | 1,508 | (1,266) | 6,220
Profit attributable to non-controlling interests from continuing operations | 460 |  |  |  |  | 135 |  | 595
Profit attributable to shareholders from continuing operations | 4,461 |  | 589 | 232 | 236 | 1,373 | (1,266) | 5,625
Profit attributable to non-controlling interest from discontinued operations | 205 | (205) |  |  |  |  |  |
Profit attributable to shareholders from discontinued operations | 10,495 | (10,495) |  |  |  |  |  |
| 15,621 | (10,700) | 589 | 232 | 236 | 1,508 | (1,266) | 6,220
Total profit attributable to non-controlling interests | 665 | (205) |  |  |  | 135 |  | 595
Total profit attributable to shareholders | 14,956 | (10,495) | 589 | 232 | 236 | 1,373 | (1,266) | 5,625
| 15,621 | (10,700) | 589 | 232 | 236 | 1,508 | (1,266) | 6,220
Earnings per share from continuing operations | 110.8p |  | 14.6p | 5.8p | 5.9p | 34.1p | (31.5)p | 139.7p
Earnings per share from discontinued operations | 260.6p | (260.6)p |  |  |  |  |  |
Total earnings per share | 371.4p | (260.6)p | 14.6p | 5.8p | 5.9p | 34.1p | (31.5)p | 139.7p
Weighted average number of shares (millions) | 4,026 |  |  |  |  |  |  | 4,026

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94

Adjusted results reconciliation 31 December 2021 | Total results £m | Profit from discontinued operations £m | Intangible asset amortisation £m | Intangible asset impairment £m | Major restructuring £m | Transaction- related £m | Divestments, significant legal and other items £m | Adjusted results £m
Turnover | 24,696 |  |  |  |  |  |  | 24,696
Cost of sales | (8,163) |  | 660 |  | 102 | 28 | 27 | (7,346)
Gross profit | 16,533 |  | 660 |  | 102 | 28 | 27 | 17,350
Selling, general and administration | (7,070) |  |  |  | 277 | 9 | 35 | (6,749)
Research and development | (5,019) |  | 101 | 347 | 45 |  | 1 | (4,525)
Royalty income | 417 |  |  |  |  |  |  | 417
Other operating (expense)/income | (504) |  |  |  |  | 1,106 | (602) |
Operating profit | 4,357 |  | 761 | 347 | 424 | 1,143 | (539) | 6,493
Net finance costs | (755) |  |  |  | 2 |  | 1 | (752)
Loss on disposal of interest in associates | (36) |  |  |  |  |  | 36 |
Share of after-tax profits of associates and joint ventures | 33 |  |  |  |  |  |  | 33
Profit before taxation | 3,599 |  | 761 | 347 | 426 | 1,143 | (502) | 5,774
Taxation | (83) |  | (153) | (81) | (79) | (179) | (343) | (918)
Tax rate | 2.3% |  |  |  |  |  |  | 15.9%
Profit after taxation from continuing operations | 3,516 |  | 608 | 266 | 347 | 964 | (845) | 4,856
Profit after taxation from discontinued operations and other gains/(losses) from the demerger | 1,580 | (1,580) |  |  |  |  |  |
Profit after taxation from discontinued operations | 1,580 | (1,580) |  |  |  |  |  |
Total profit after taxation for the year | 5,096 | (1,580) | 608 | 266 | 347 | 964 | (845) | 4,856
Profit attributable to non-controlling interests from continuing operations | 200 |  |  |  |  | 241 |  | 441
Profit attributable to shareholders from continuing operations | 3,316 |  | 608 | 266 | 347 | 723 | (845) | 4,415
Profit attributable to non-controlling interest from discontinued operations | 511 | (511) |  |  |  |  |  |
Profit attributable to shareholders from discontinued operations | 1,069 | (1,069) |  |  |  |  |  |
| 5,096 | (1,580) | 608 | 266 | 347 | 964 | (845) | 4,856
Total profit attributable to non-controlling interests | 711 | (511) |  |  |  | 241 |  | 441
Total profit attributable to shareholders | 4,385 | (1,069) | 608 | 266 | 347 | 723 | (845) | 4,415
| 5,096 | (1,580) | 608 | 266 | 347 | 964 | (845) | 4,856
Earnings per share from continuing operations | 82.9p |  | 15.2p | 6.6p | 8.7p | 18.1p | (21.2)p | 110.3p
Earnings per share from discontinued operations | 26.7p | (26.7)p |  |  |  |  |  |
Total earnings per share | 109.6p | (26.7)p | 15.2p | 6.6p | 8.7p | 18.1p | (21.2)p | 110.3p
Weighted average number of shares (millions) | 4,003 |  |  |  |  |  |  | 4,003

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Financial performance continued |  |  |

95
Intangible asset amortisation
See page 210 for description and information on Intangible
asset amortisation.
Intangible asset impairment
See page 210 for description and information on Intangible
asset impairment. No individual intangible asset accounted for
a material impairment.
Major restructuring and integration
Within the Pharmaceuticals sector, the highly regulated
manufacturing operations and supply chains and long life cycle
of the business mean that restructuring programmes,
particularly those that involve the rationalisation or closure of
manufacturing or R&D sites are likely to take several years to
complete.
Major restructuring costs are those related to specific Board-
approved Major restructuring programmes and are excluded
from Adjusted results. Major restructuring programmes,
including integration costs following material acquisitions, are
those that are structural and are of a significant scale where the
costs of individual or related projects exceed £25 million. Other
ordinary course smaller-scale restructuring costs are retained
within Total and Adjusted results.
Total Major restructuring charges incurred in 2023 were £382
million (2022: £321 million), analysed as follows:

|  |  | 2023 |  |  | 2022
| Cash £m | Non- cash £m | Total £m | Cash £m | Non- cash £m | Total £m
Separation preparation restructuring programme | 199 | 117 | 316 | 177 | 110 | 287
Significant acquisitions | 65 | 1 | 66 | 20 | – | 20
Legacy programmes | (1) | 1 | – | 9 | 5 | 14
| 263 | 119 | 382 | 206 | 115 | 321

The Separation Preparation programme incurred cash charges
of £199 million primarily from the restructuring of some
commercial and administrative functions as well as Global
Supply Chain. The non-cash charges of £117 million primarily
reflected the write-down of assets in administrative and
manufacturing locations.
The benefit in the year 2023 from restructuring programmes
was £0.2 billion, primarily relating to the Separation Preparation
restructuring programme. The programme is now largely
complete and has delivered its target of £1.1 billion of annual
savings, with total costs still expected at £2.4 billion, with slightly
higher cash charges of £1.7 billion but lower non-cash charges
of £0.7 billion.
Costs of significant acquisitions relate to integration costs of
Sierra Oncology Inc (Sierra) and Affinivax Inc. (Affinivax) which
were acquired in Q3 2022 and BELLUS Health Inc. acquired in
Q2 2023.
Transaction-related adjustments
Transaction-related adjustments from continuing operations
resulted in a net charge of £572 million (2022: £1,750 million),
the majority of which related to charges/(credits) for the
remeasurement of contingent consideration liabilities, the
liabilities for the Pfizer put option, and Pfizer and Shionogi
preferential dividends in ViiV Healthcare.

Charge/(credit) | 2023 £m | 2022 £m
Contingent consideration on former Shionogi-ViiV Healthcare Joint Venture (including Shionogi preferential dividends) | 934 | 1,431
ViiV Healthcare put options and Pfizer preferential dividends | (245) | 85
Contingent consideration on former Novartis Vaccines business | (187) | 193
Contingent consideration on acquisition of Affinivax | 44 | 17
Other adjustments | 26 | 24
Total transaction-related charges | 572 | 1,750

The £934 million charge relating to the contingent
consideration for the former Shionogi-ViiV Healthcare joint
venture represented an increase in the valuation of the
contingent consideration due to Shionogi, driven by £534
million from updated future sales forecasts and exchange rates,
and the unwind of the discount for £400 million.
The £245 million credit relating to the ViiV Healthcare put
option and Pfizer preferential dividends represented a reduction
in the valuation of the put option as a result of updated
exchange rates, sales forecasts and cash balances. The ViiV
Healthcare contingent consideration liability is fair valued
under IFRS. An explanation of the accounting for the non-
controlling interests in ViiV Healthcare is set out on page 84.
The £187 million credit relating to the contingent consideration
on the former Novartis Vaccines business primarily relates to
changes to future sales forecasts.
The £44 million charge relating to the contingent consideration
on the acquisition of Affinivax primarily relates to the unwind of
the discount..
Divestments, significant legal charges and other
items
Divestments, significant legal charges, and other items primarily
included £200 million of net income from dividends and
milestones related to investments, including £49 million of
dividends received from the retained investment in Haleon plc,
partly offset by £17 million fair value losses on the investment in
Haleon plc. Legal charges provide for all significant legal
matters, including Zantac, and are not broken out separately by
litigation or investigation. Significant legal charges in the year
primarily reflected increased legal charges for Zantac of which
the vast majority relate to the prospective legal costs for the
defence of the litigation.

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Financial performance continued |  |  |

96

Cash generation and conversion

A summary of the consolidated cash flow statement is set out
below.

| 2023 £m | 2022 £m
Total net cash inflow from operating activities | 6,768 | 7,403
Total net cash (outflow) from investing activities | (1,595) | (8,772)
Total net cash inflow/(outflow) from financing activities | (5,641) | 823
Decrease in cash and bank overdrafts | (468) | (546)
Cash and bank overdrafts at beginning of year | 3,425 | 3,819
Exchange adjustments | (99) | 152
Decrease in cash and bank overdrafts | (468) | (546)
Cash and bank overdrafts at end of year | 2,858 | 3,425
Cash and bank overdrafts at end of year comprise: |  |
Cash and cash equivalents | 2,936 | 3,723
Overdrafts | (78) | (298)
| 2,858 | 3,425

Reconciliation of net cash inflow from continuing
operating activities to free cash inflow
A reconciliation of net cash inflow from operating activities,
which is the closest equivalent IFRS measure to free cash flow, is
shown below.

| 2023 £m | 2022 £m
Net cash inflow from continuing operating activities | 6,768 | 6,634
Purchase of property, plant and equipment | (1,314) | (1,143)
Purchase of intangible assets | (1,030) | (1,115)
Proceeds from sale of property, plant and equipment | 28 | 146
Proceeds from sale of intangible assets | 12 | 196
Net finance costs | (651) | (784)
Dividends and disposal proceeds from joint ventures and associates | 12 | 6
Contingent consideration paid (reported in investing activities) | (11) | (79)
Contribution from non-controlling interests | 7 | 8
Distributions to non-controlling interests | (412) | (521)
Free cash inflow | 3,409 | 3,348

Capital expenditure and financial investment
Cash payments for tangible and intangible fixed assets
amounted to £2,344 million (2022: £2,258 million) and disposals
realised £40 million ( 2022: £342 million). Cash payments to
acquire equity investments amounted to £123 million (2022:
£143 million) and sales of equity investments realised £1,832
million (2022: £238 million).
Free cash flow
Free cash flow is the amount of cash generated by the Group
after meeting our obligations for contingent consideration,
interest, tax and dividends paid to non-controlling interests,
and after capital expenditure on property, plant and equipment
and intangible assets.

| 2023 £m | 2022 £m
Free cash inflow | 3,409 | 3,348

Total cash payments to Shionogi in relation to the ViiV
Healthcare contingent consideration liability in the year were
£1,106 million (2022: £1,100 million), all of which was recognised
in cash flows from operating activities. These payments are
deductible for tax purposes.
Future cash flow
Over the long term, we expect that future cash generated from
operations will be sufficient to fund our operating and debt
servicing costs, normal levels of capital expenditure, obligations
under existing licensing agreements, expenditure arising from
restructuring programmes and other routine outflows including
tax, pension contributions and dividends, subject to the
‘Principal risks and uncertainties’ discussed on pages 284 to
294. We may from time to time have additional demands for
finance, such as for acquisitions. We have access to multiple
sources of liquidity from short and long-term capital markets
and financial institutions for such needs, in addition to the cash
flow from operations.

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97

Financial position and resources

| 2023 £m | 2022 £m
Assets |  |
Non-current assets |  |
Property, plant and equipment | 9,020 | 8,933
Right of use assets | 937 | 687
Goodwill | 6,811 | 7,046
Other intangible assets | 14,768 | 14,318
Investments in associates and joint ventures | 55 | 74
Other investments | 1,137 | 1,467
Deferred tax assets | 6,049 | 5,658
Other non-current assets | 1,584 | 1,194
Total non-current assets | 40,361 | 39,377
Current assets |  |
Inventories | 5,498 | 5,146
Current tax recoverable | 373 | 405
Trade and other receivables | 7,385 | 7,053
Derivative financial instruments | 130 | 190
Current equity investments | 2,204 | 4,087
Liquid investments | 42 | 67
Cash and cash equivalents | 2,936 | 3,723
Assets held for sale | 76 | 98
Total current assets | 18,644 | 20,769
Total assets | 59,005 | 60,146
Liabilities |  |
Current liabilities |  |
Short-term borrowings | (2,813) | (3,952)
Contingent consideration liabilities | (1,053) | (1,289)
Trade and other payables | (15,844) | (16,263)
Derivative financial instruments | (114) | (183)
Current tax payable | (500) | (471)
Short-term provisions | (744) | (652)
Total current liabilities | (21,068) | (22,810)
Non-current liabilities |  |
Long-term borrowings | (15,205) | (17,035)
Corporation tax payable | (75) | (127)
Deferred tax liabilities | (311) | (289)
Pensions and other post-employment benefits | (2,340) | (2,579)
Other provisions | (495) | (532)
Contingent consideration liabilities | (5,609) | (5,779)
Other non-current liabilities | (1,107) | (899)
Total non-current liabilities | (25,142) | (27,240)
Total liabilities | (46,210) | (50,050)
Net assets | 12,795 | 10,096
Total equity | 12,795 | 10,096

Property, plant and equipment
Our business is science-based, technology-intensive and highly
regulated by governmental authorities. We allocate significant
financial resources to the renewal and maintenance of our
property, plant, equipment and vehicles to minimise risks of
interruption to production and to ensure compliance with
regulatory standards. A number of our processes use hazardous
materials.
The total cost of our property, plant and equipment at
31 December 2023 was £19,279 million , with a net book value of
£9,020 million. Of this, land and buildings represented £2,895
million, plant, equipment and vehicles £4,033 million and assets
in construction £2,092 million. In 2023 , we invested £1,295
million in new property, plant and equipment. This was mainly
related to a large number of projects for the renewal,
improvement and expansion of facilities at various worldwide
sites to support new product development and launches as well
as to improve the efficiency of existing supply chains. Property is
mainly held freehold. New investment is financed from our liquid
resources. At 31 December 2023, we had contractual
commitments for future capital expenditure of £762 million. We
believe that our property and plant facilities are adequate for
our current requirements.
Right of use assets
Right of use assets amounted to £937 million at 31 December
2023 compared with £687 million at 31 December 2022. The
increase in the year reflected the impact of additions through
business combinations of £1 million and other additions of £499
million partly offset by depreciation of £190 million, disposals
and impairments amounting to £30 million.
Goodwill
Goodwill decreased to £6,811 million at 31 December 2023, from
£7,046 million primarily as a result of an exchange rate loss of
£313 million, partially offset by an increase of £109 million from
acquisitions-related transactions.
Other intangible assets
Other intangible assets include the cost of intangibles acquired
from third parties and computer software. The net book value of
other intangible assets as at 31 December 2023 was £14,768
million (2022: £14,318 million). The increase primarily reflected
additions, net of disposals and write-offs of £2,476 million partly
offset by impairment losses, net of reversals and amortisation of
£1,630 million and exchange rate losses of £431 million.

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98
Investments in associates and joint ventures
We held investments in associates and joint ventures with a
carrying value at 31 December 2023 of £55 million (2022:
£74 million). See Note 21, 'Investments in associates and joint
ventures' to the financial statements, for more details.
Current equity investments
Current equity investments amounted to £2,204 million at
31 December 2023 (2022: £4,087 million). Current equity
investments comprise equity investments which the Group holds
with the intention to sell and which it may sell in the short term.
Where acquired with this intention, they are measured at fair
value through the profit and loss (FVTPL). They are initially
recorded at fair value plus transaction costs and then
remeasured at subsequent reporting dates to fair value.
Unrealised gains and losses are recognised in the income
statement. The investment of £2,204 million (2022: £4,087
million) represents the shares held in Haleon plc after the
demerger. During 2023, disposals of Haleon plc shares resulted
in gross proceeds of £1,863 million (2022: £nil).
Other investments
At 31 December 2023 we held other investments with a carrying
value of £1,137 million (2022: £1,467 million). The most significant
of these investments held at 31 December 2023 were in Crispr
Therapeutics AG, Vir Biotechnology Inc. and SR One Capital
Fund I-B, LP. These investments had a fair value at
31 December 2023 of £158 million (2022: £109 million), £67
million (2022: £180 million) and £102 million (2022: £211 million)
respectively. The other investments included equity stakes in
companies with which we have research collaborations, and
which provide access to biotechnology developments of
potential interest and interests in companies that arise from
business divestments.
Derivative financial instruments: assets
We held current derivative financial assets at fair value of £130
million (2022: £190 million). The majority of these financial
instruments related to foreign exchange contracts both
designated and not designated as accounting hedges.
Inventories
Inventories amounted to £5,498 million (2022: £5,146 million ) at
31 December 2023.
Trade and other receivables
Trade and other receivables amounted to £7,385 million (2022:
£7,053 million ) at 31 December 2023. The increase is mainly
driven by Arexvy sales in the US.
Deferred tax assets
Deferred tax assets amounted to £6,049 million (2022: £5,658
million) at 31 December 2023.
Derivative financial instruments: liabilities
We held current derivative financial liabilities at fair value of
£114 million (2022: £183 million). This is primarily related to
foreign exchange contracts both designated and not
designated as accounting hedges.
Trade and other payables
At 31 December 2023, trade and other payables were £15,844
million compared with £16,263 million at 31 December 2022. The
decrease was primarily driven by lower accruals relating to
profit share collaborations partly offset by higher customer
return and rebates accruals. See Note 29, 'Trade and other
payables' to the financial statements.
Provisions
We carried deferred tax provisions and other short-term and
non-current provisions of £1,550 million at 31 December 2023
(2022: £1,473 million). Other provisions at the year-end included
£267 million (2022: £218 million) related to legal and other
disputes and £282 million (2022: £351 million) related to Major
restructuring programmes. Provision has been made for legal
and other disputes, indemnified disposal liabilities, employee
related liabilities and the costs of the restructuring programme
to the extent that at the balance sheet date a legal or
constructive obligation existed and could be reliably estimated.
Pensions and other post-employment benefits
We account for pension and other post-employment
arrangements in accordance with IAS 19. The net deficits were
£763 million (2022: £1,356 million) on pension arrangements
and £943 million (2022: £994 million) on unfunded post-
employment liabilities. See Note 31, 'Pensions and other post-
employment benefits' to the financial statements.
Other non-current liabilities
Other non-current liabilities amounted to £1,107 million at
31 December 2023 (2022: £899 million).
Contingent consideration liabilities
Contingent consideration amounted to £6,662 million at
31 December 2023 (2022: £7,068 million), of which £5,718 million
(2022: £5,890 million) represented the estimated present value
of amounts payable to Shionogi relating to ViiV Healthcare,
£516 million (2022: £501 million) represented the estimated
present value of contingent consideration payable to the former
shareholders of Affinivax and £424 million (2022: £673 million)
represented the estimated present value of contingent
consideration payable to Novartis related to the Vaccines
acquisition.
The liability due to Shionogi was £267 million in respect of
preferential dividends. An explanation of the accounting for the
non-controlling interests in ViiV Healthcare is set out on page
84.
Of the total contingent consideration payable (on a post-tax
basis) at 31 December 2023, £1,017 million (2022: £940 million) is
expected to be paid within one year to Shionogi. The
consideration payable is expected to be paid over a number of
years. As a result, the total estimated liabilities are discounted to
their present values, on a post-tax basis using post-tax discount
rates.
The Shionogi-ViiV Healthcare contingent consideration liability
is discounted at 8%, the Affinivax contingent consideration
liability is discounted at 8.5%, and the Novartis Vaccines
contingent consideration liability is discounted partly at 7.5%
and partly at 8.5%.

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Group financial review continued
Financial position and resources continued |  |  |

99
Maturity profile of bond debt
£m equivalent
Net debt

| 2023 £m | 2022 £m
Liquid investments | 42 | 67
Cash and cash equivalents | 2,936 | 3,723
Short term borrowings | (2,813) | (3,952)
Long term borrowings | (15,205) | (17,035)
Net debt the end of the year | (15,040) | (17,197)

At 31 December 2023, net debt was £15.0 billion, compared with
£17.2 billion at 31 December 2022, comprising gross debt of
£18.0 billion and cash and liquid investments of £3.0 billion.
Net debt decreased by £2.2 billion primarily due to £3.4 billion
free cash inflow, £1.9 billion proceeds from the disposal of
investments, including the partial sale of the retained stake in
Haleon plc, and net favourable exchange impacts of £0.6
billion from the translation of non-sterling denominated debt.
These were partly offset by dividends paid to shareholders of
£2.2 billion and the net acquisition cost of BELLUS Health Inc.
for £1.5 billion.
At 31 December 2023, GSK had short-term borrowings
(including overdrafts and lease liabilities) repayable within
12 months of £2.8 billion and £1.6 billion repayable in the
subsequent year.
At 31 December 2023, GSK’s cash and liquid investments were
held as follows:

| 2023 £m | 2022 £m
Bank balances and deposits | 1,942 | 1,324
US Treasury and Treasury repo only money market funds | 155 | 146
Liquidity funds | 839 | 2,253
Cash and cash equivalents | 2,936 | 3,723
Liquid investments – government securities | 42 | 67
| 2,978 | 3,790

Cash and liquid investments of £2.2 billion (2022: £3.1 billion)
were held centrally at 31 December 2023.
The analysis of cash and gross debt after the effects of hedging
is as follows:

| 2023 £m | 2022 £m
Liquid investments | 42 | 67
Cash and cash equivalents | 2,936 | 3,723
Gross debt– fixed | (16,898) | (19,214)
– floating | (1,120) | (1,773)
Net debt | (15,040) | (17,197)

Movements in net debt

| 2023 £m | 2022 £m
Total net debt at beginning of year | (17,197) | (19,838)
Decrease in cash and bank overdrafts | (468) | (7,597)
Decrease in liquid investments | (72) | (1)
Net decrease/(increase) in long-term loans | (79) | 569
Net decrease in short-term loans | 2,449 | 4,053
Repayment of lease liabilities | 197 | 202
Debt of subsidiary undertaking acquired | 50 | (24)
Exchange adjustments | 554 | (1,531)
Other non-cash movements | (474) | (207)
Decrease/(increase) in net debt from continuing operations | 2,157 | (4,536)
Decrease/(increase) in net debt from discontinued operations | – | 7,177
Total net debt at end of year | (15,040) | (17,197)

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Financial position and resources continued |  |  |

100
Total equity
At 31 December 2023, total equity had increased from
£10,096 million at 31 December 2022 to £12,795 million.
A summary of the movements in equity is set out below:

| 2023 £m | 2022 £m
Total equity at beginning of year | 10,096 | 21,342
Total comprehensive income for the year | 4,991 | 14,790
Non-cash distribution to non-controlling interests | – | (2,960)
Deconsolidation of former subsidiaries | – | (3,045)
Dividends to shareholders | (2,247) | (3,467)
Ordinary shares issued | 10 | 25
Changes in non-controlling interests | – | (20)
Non-cash dividends to shareholders | – | (15,526)
Hedging gain/loss transferred to non-financial assets | 36 | 9
Share-based incentive plans | 307 | 357
Tax on share-based incentive plans | 7 | (8)
Contributions from non-controlling interests | 7 | 8
Distributions to non-controlling interests | (412) | (1,409)
Total equity at end of year | 12,795 | 10,096

Share purchases
At 31 December 2023, GSK held 197.1 million shares as Treasury
shares (2022: 217.1 million shares), at a cost of £3,447 million
(2022: £3,798 million), which has been deducted from retained
earnings.
No ordinary shares were repurchased in the period 1 January
2023 to 27 February 2024 and the company does not expect to
make any ordinary share repurchases in the remainder of 2024.
In 2023, 20 million Treasury shares were transferred to the
Employee Share Ownership Plan (ESOP) Trusts. Shares are held
by the Trusts to satisfy future exercises of options and awards
under the Group share option and award schemes.
A proportion of the shares held by the Trusts are in respect of
awards where the rules of the scheme require GSK to satisfy
exercises through market purchases rather than the issue of
new shares. The shares held by the Trusts are matched to
options and awards granted.
At 31 December 2023, the ESOP Trusts held 58.8 million
(2022: 59.9 million) GSK shares against the future exercise
of share options and share awards and for the Executive
Supplemental Savings plan. The carrying value of
£288 million (2022: £353 million) has been deducted from other
reserves. The market value of these shares was £853 million
(2022: £861 million).
Contractual obligations and commitments
Financial commitments are summarised in Note 36,
'Commitments' to the financial statements.
The following table sets out our contractual obligations and
commitments at 31 December 2023 as they fall due for
payment.

| Total | Under 1 yr | 1-3 yrs | 3-5 yrs | 5 yrs+
| £m | £m | £m | £m | £m
Loans | 16,900 | 2,660 | 2,913 | 3,101 | 8,226
Interest on loans | 5,446 | 547 | 973 | 848 | 3,078
Finance lease obligations | 1,207 | 156 | 348 | 202 | 501
Future finance charges on leases | 254 | 41 | 67 | 50 | 96
Lease contracts that have not yet commenced | 5 | 1 | 2 | 2 | –
Intangible assets | 16,329 | 386 | 835 | 1,956 | 13,152
Property, plant & equipment | 762 | 587 | 175 | – | –
Investments | 153 | 63 | 73 | 17 | –
Purchase commitments | 31 | 4 | 9 | 3 | 15
Total | 41,087 | 4,445 | 5,395 | 6,179 | 25,068

Commitments in respect of loans and future interest payable on
loans are disclosed before taking into account the effect of
derivatives.
We have entered into a number of research collaborations to
develop new compounds with other pharmaceutical
companies. The terms of these arrangements can include
upfront fees, equity investments, loans and commitments to
fund specified levels of research. In addition, we will often agree
to make further payments if future ‘milestones’ are achieved.
As some of these agreements relate to compounds in the early
stages of development, the potential obligation to make
milestone payments will continue for a number of years if the
compounds move successfully through the development
process. Generally, the closer the product is to marketing
approval, the greater the probability of success. The amounts
shown above within intangible assets represent the maximum
that would be paid if all milestones were achieved.
There was an increase in the commitments in 2023 mainly
attributable to new R&D collaborations resulting in higher
intangible assets commitments.

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Financial position and resources continued |  |  |

101
In connection with the demerger of Consumer Healthcare, the
31 December 2020 pension scheme valuations identified cash
funding or technical provisions deficits in three GSK UK Pension
Schemes. Scottish limited partnerships (“SLPs”) were established
to provide a funding mechanism for each of GSK’s UK defined
benefit pension schemes. The SLPs together held shares
representing 7.5% of the total issued share capital of Haleon
plc.
Each pension scheme, through its SLP interest, was entitled to
receive a distribution from that SLP in an amount equal to the
net proceeds of sales of Haleon plc shares, and to receive
dividend income on Haleon plc shares, until it had received an
aggregate amount equal to an agreed threshold (“Proceeds
Threshold”). The Proceeds Thresholds total £1,080 million (as
increased by notional interest on the remaining balance from
time to time), and payment of this amount would fully fund the
cash funding or technical provisions deficits in the three
schemes shown by the 31 December 2020 valuations. Once the
Proceeds Threshold has been reached, the GSK-controlled
General Partner of each SLP is entitled to sell the remaining
Haleon plc shares held by the SLP and distribute the proceeds
to GSK. As at 31 December 2023, total cash contributions
totalling £353 million (2022: £691 million) were made towards
the Proceeds Threshold leaving no further outstanding amount
due to the UK pension schemes. The cash contributions
included £17 million of distributions of dividends on Haleon plc
shares from the SLPs to the Schemes.
Contingent liabilities
Other contingent liabilities are set out in Note 35, 'Contingent
liabilities' to the financial statements.
The following table sets out contingent liabilities, comprising
performance guarantees, letters of credit and other items
arising in the normal course of business, and when they are
expected to expire.

| Total | Under 1 yr | 1-3 yrs | 3-5 yrs | 5 yrs+
| £m | £m | £m | £m | £m
Guarantees | 14 | 9 | 3 | 1 | 1
Other contingent liabilities | 18 | 6 | – | 9 | 3
Total | 32 | 15 | 3 | 10 | 4

In the normal course of business, we have provided various
indemnification guarantees in respect of business disposals
in which legal and other disputes have subsequently arisen. A
provision is made where an outflow of resources is considered
probable and a reliable estimate can be made of the likely
outcome of the dispute and this is included in Note 32, 'Other
provisions' to the financial statements.
We provide for the outcome of tax, legal and other disputes
when an outflow of resources is considered probable and a
reliable estimate of the outflow may be made. At 31 December
2023, other than for those disputes where provision has been
made, it was not possible to make a reliable estimate of the
potential outflow of funds that might be required to settle
disputes where the possibility of there being an outflow was
more than remote.
The ultimate liability for such matters may vary significantly
from the amounts provided and is dependent upon
negotiations with the relevant tax authorities and the outcome
of litigation proceedings, where relevant. This is discussed
further in ‘Principal risks and uncertainties’ on pages 284 to 294
and Note 47, 'Legal proceedings' to the financial statements.

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Group financial review continued
Financial position and resources continued |  |  |

102

Approach to tax

Business makes a major contribution to the public purse
through its tax contribution. This includes direct taxes (such as
corporate income tax) and indirect taxes (such as VAT and
customs duties) as well as other taxes (such as employment
taxes and property taxes). It is therefore important that
companies explain their approach to tax. This helps inform
dialogue about tax and tax policy.
We are supportive of efforts to ensure companies are
appropriately transparent about how their tax affairs are
managed. As part of that, our Tax Strategy is set out in detail
within the Public policies section of our website.
We support the exchange of country-by-country reporting
(CBCR) data between tax authorities as, validated against
existing information held on taxpayers, it will support their ability
to ensure multinational groups pay the right amount of tax in
the right places.
As a global biopharmaceutical company, we have a substantial
business and employment presence in many countries around
the world and pay a significant amount of tax. This includes
corporate income tax and other business taxes, and tax
associated with our employees. We also collect a significant
amount of tax on behalf of governments along our supply
chain, including from our employees.
We are subject to taxation throughout our supply chain. The
worldwide nature of our operations means that our cross-
border supply routes, necessary to ensure supplies of medicines
into numerous countries, can result in conflicting claims from tax
authorities as to the profits to be taxed in individual countries.
This can lead to double taxation (with profits taxed in more
than one country).
Profits are recognised in territories by reference to the activities
performed there and the value they generate. To ensure the
profits recognised in jurisdictions are aligned to the activity
undertaken there, and in line with current OECD guidelines, we
base our transfer pricing policy on the arm’s length principle
and support our transfer prices with economic analysis and
reports.
We do not engage in artificial tax arrangements – those
without business or commercial substance. We do not seek to
avoid tax by the use of ‘tax havens’ or transactions we would
not fully disclose to a tax authority. We have a zero-tolerance
approach to tax evasion and the facilitation of tax evasion.
Tax risk in all countries in which we operate is managed through
robust internal policies, processes, training and compliance
programmes. Our Board of Directors and the Audit & Risk
Committee are responsible for approving our tax policies and
risk management arrangements as part of our wider internal
control framework.
We seek to maintain open and constructive relationships with
tax authorities worldwide, meeting regularly to discuss our tax
affairs and real time business updates wherever possible.
We also monitor government debate on tax policy in our key
jurisdictions so that we can understand and share an informed
point of view regarding any potential future changes in tax law,
in support of a transparent and sustainable tax system. Where
relevant, we provide pragmatic and constructive business input
to tax policy makers either directly or through industry trade
bodies, advocating reform to support economic growth and job
creation as well as the needs of our patients and other key
stakeholders.
In 2023, the Group corporate tax charge was £756 million
(2022: £707 million) on profits before tax of £6,064 million
(2022: £5,628 million) representing an effective tax rate of 12.5%
(2022: 12.6%). We made cash tax payments of £1,328 million in
the year (2022: £1,310 million). In addition to the taxes we pay
on our profits, we pay duties, levies, transactional and
employment taxes.
The Group’s Total tax rate for 2023 of 12.5% (2022: 12.6%) was
lower than the Adjusted tax rate reflecting the different tax
effects of various Adjusting items.
Our Adjusted tax rate for 2023 was 15.5% (2022: 15.5%). The
rate has benefited from innovation incentives available in key
territories in which we operate, such as the UK and Belgium
Patent Box regimes. During 2023 the UK Government enacted
legislation introducing a global minimum corporate income tax
rate, to have effect from 2024 in line with the Organisation for
Economic Co-operation and Development’s (OECD) Pillar Two
model framework. We anticipate that the rules will restrict our
ability to benefit from innovation incentives and consequentially
our effective Adjusted tax rate is forecast to increase to around
17% for 2024.
Further details about our corporate tax charges for the year are
set out in Note 14 'Taxation' to the financial statements.

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Group financial review continued

103

Treasury policies

We report in Sterling and pay dividends out of Sterling cash
flows. The role of Treasury is to monitor and manage the
Group’s external and internal funding requirements and
financial risks in support of our strategic objectives. GSK
operates on a global basis, primarily through subsidiary
companies, and we manage our capital to ensure that our
subsidiaries are able to operate as going concerns and to
optimise returns to shareholders through an appropriate
balance of debt and equity. Treasury activities are governed by
policies approved annually by the Board of Directors, and most
recently on 11 October 2023. A Treasury Management Group
(TMG) meeting, chaired by our Chief Financial Officer, takes
place on a regular basis to review Treasury activities. Its
members receive management information relating to these
activities.
Treasury operations
The objective of GSK’s Treasury activities is to minimise the
post-tax net cost of financial operations and reduce its volatility
in order to benefit earnings and cash flows. GSK uses a variety
of financial instruments to finance its operations and derivative
financial instruments to manage market risks from these
operations. Derivatives principally comprise foreign exchange
forward contracts and swaps which are used to swap
borrowings and liquid assets into currencies required for Group
purposes, as well as interest rate swaps which are used to
manage exposure to financial risks from changes in interest
rates.
Derivatives are used exclusively for hedging purposes in relation
to underlying business activities and not as trading or
speculative instruments.
Capital management
GSK’s financial strategy, implemented through the Group’s
financial architecture, supports GSK’s strategic priorities and is
regularly reviewed by the Board. We manage the capital
structure of the Group through an appropriate mix of debt and
equity. We continue to manage our financial policies to a credit
profile that particularly targets ratings of at least A2/A
(Moody's/S&P), through the cycle.
GSK’s long-term credit rating with Standard and Poor’s is A
(stable outlook) and with Moody’s Investor Services (‘Moody’s’)
is A2 (stable outlook). Our short-term credit ratings are A-1 and
P-1 with Standard and Poor’s and Moody’s respectively.
Liquidity risk management
GSK’s policy is to borrow centrally in order to meet anticipated
funding requirements. Our cash flow forecasts and funding
requirements are monitored by the TMG on a regular basis. Our
strategy is to diversify liquidity sources using a range of facilities
and to maintain broad access to financial markets.
Each day, we sweep cash to or from a number of global
subsidiaries to central treasury accounts for liquidity
management purposes.
Interest rate risk management
GSK’s objective is to minimise the effective net interest cost and
to balance the mix of debt at fixed and floating interest rates
over time. The policy on interest rate risk management limits the
net amount of floating rate debt to a specific cap, reviewed
and agreed no less than annually by the Board.
Foreign exchange risk management
Our objective is to minimise the exposure of overseas operating
subsidiaries to transaction risk by matching local currency
income with local currency costs where possible. Foreign
currency transaction exposures arising on external and internal
trade flows are selectively hedged. GSK’s internal trading
transactions are matched centrally and we manage inter-
company payment terms to reduce foreign currency risk. Where
possible, we manage the cash surpluses or borrowing
requirements of subsidiary companies centrally using forward
contracts to hedge future repayments back into the originating
currency.
In order to reduce foreign currency translation exposure, we
seek to denominate borrowings in the currencies of our principal
assets and cash flows. These are primarily denominated in US
Dollars, Euros and Sterling.
Borrowings can be swapped into other currencies as required.
Borrowings denominated in, or swapped into, foreign currencies
that match investments in overseas Group assets may be
treated as a hedge against the relevant assets. Forward
contracts in major currencies are also used to reduce exposure
to the Group’s investment in overseas Group assets. The TMG
reviews the ratio of borrowings to assets for major currencies
regularly.
Commodity risk management
Our objective is to minimise income statement volatility arising
from fluctuations in commodity prices, where practical and cost
effective to do so. The TMG is authorised to approve the
execution of certain financial derivatives to hedge commodity
price exposures.
Counterparty risk management
We set global counterparty limits for each of our banking and
investment counterparties based on long-term credit ratings
from Moody’s and Standard and Poor’s. Usage of these limits is
actively monitored and any breach of these limits would be
reported to the Chief Financial Officer immediately.
In addition, relationship banks and their credit ratings are
reviewed regularly so that, when changes in ratings occur,
changes can be made to investment levels or to authority limits
as appropriate. All banking counterparty limits are reviewed at
least annually.

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Group financial review continued

104

Critical accounting policies

The Group consolidated financial statements have been
prepared in accordance with UK-adopted international
accounting standards in conformity with the requirements of
the Companies Act 2006 and the International Financial
Reporting Standards (IFRS) as issued by the International
Accounting Standard Board (IASB).
We are required to make estimates and assumptions that
affect the amounts of assets, liabilities, revenue and expenses
reported in the financial statements. Actual amounts and results
could differ from those estimates.
The critical accounting policies relate to the following areas:
– Turnover
– Taxation (Note 14)
– Legal and other disputes (Notes 47)
– Contingent liabilities (Note 35)
– Pensions and other post-employment benefits (Note 31)
Information on the judgements and estimates made in these
areas is given in Note 3, 'Critical accounting judgements and
key sources of estimation uncertainty' to the financial
statements.
Turnover
In respect of the turnover accounting policy, our largest
business is US Commercial Operations, and the US market has
the most complex arrangements for rebates, discounts, and
allowances. The following briefly describes the nature of the
arrangements in existence in our US Commercial Operations:
– We have arrangements with certain indirect customers
whereby the customer is able to buy products from
wholesalers at reduced prices. A chargeback represents the
difference between the invoice price to the wholesaler and
the indirect customer’s contractual discounted price. Accruals
for estimating chargebacks are calculated based on the
terms of each agreement, historical experience and product
growth rates
– Customer rebates are offered to key managed care and
Group Purchasing Organisations and other direct and
indirect customers. These arrangements require the customer
to achieve certain formulary status, performance targets
relating to the value of product purchased or pre-determined
market shares relative to competitors. The accrual for
customer rebates is estimated based on the specific terms in
each agreement, historical experience and product growth
rates
– The US Medicaid programme is a state-administered
programme providing assistance to certain poor and
vulnerable patients. In 1990, the Medicaid Drug Rebate
Program was established to reduce state and federal
expenditure on prescription drugs. In 2010, the Patient
Protection and Affordable Care Act became law. We
participate by providing rebates to states. Accruals for
Medicaid rebates are calculated based on the specific terms
of the relevant regulations or the Patient Protection and
Affordable Care Act
– Cash discounts are offered to customers to encourage
prompt payment. These are accrued for at the time of
invoicing and adjusted subsequently to reflect actual
experience
– We record an accrual for estimated sales returns by applying
historical experience of customer returns to the amounts
invoiced, together with market-related information such as
stock levels at wholesalers, anticipated price increases and
competitor activity
A reconciliation of gross turnover to net turnover for US
Commercial Operations is as follows:

| 2023 | 2022 | 2021
| £m | Margin % | £m | Margin % | £m | Margin %
Gross turnover | 32,359 | 100 | 29,814 | 100 | 24,432 | 100
Market-driven segments | (8,874) | (27) | (8,275) | (28) | (6,875) | (28)
Government mandated and state programmes | (6,385) | (20) | (6,218) | (21) | (5,134) | (21)
Cash discounts | (566) | (2) | (536) | (2) | (438) | (2)
Customer returns | (344) | (1) | (255) | (1) | (253) | (1)
Prior year adjustments | 591 | 2 | 780 | 3 | 855 | 4
Other items | (961) | (3) | (768) | (2) | (673) | (3)
Total deductions | (16,539) | (51) | (15,272) | (51) | (12,518) | (51)
Net turnover | 15,820 | 49 | 14,542 | 49 | 11,914 | 49

Market-driven segments consist primarily of managed care and
Medicare plans with which we negotiate contract pricing that is
honoured via rebates and chargebacks. Mandated segments
consist primarily of Medicaid and federal government
programmes which receive government-mandated pricing via
rebates and chargebacks.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Group financial review continued

105
Overall sales deduction as a percentage of sales is consistent
year over year with sales growth coming primarily from Trelegy,
Arexvy and Specialty Products including HIV. Deductions within
the year were split approximately as follows: General Medicines
67%, Specialty Medicines 21% and Vaccines 12%.
At 31 December 2023, the total accrual for discounts, rebates,
allowances and returns for US Commercial Operations
amounted to £5,951 million (2022: £5,855 million).
A monthly process is operated to monitor inventory levels at
wholesalers for any abnormal movements. This process uses
gross sales volumes, prescription volumes based on third party
data sources and information received from key wholesalers.
The aim of this is to maintain inventories at a consistent level
from year to year based on the pattern of consumption.
On this basis, US Commercial Operations inventory levels at
wholesalers and in other distribution channels at 31 December
2023 were estimated to amount to approximately four weeks of
turnover. This calculation uses third party information, the
accuracy of which cannot be totally verified, but is believed to
be sufficiently reliable for this purpose.
Legal and other disputes
In respect of the accounting policy for legal and other disputes,
the following briefly describes the process by which we
determine the level of provision that is necessary.
In accordance with the requirements of IAS 37, ‘Provisions,
contingent liabilities and contingent assets’, we provide for
anticipated settlement costs where an outflow of resources is
considered probable and a reliable estimate may be made of
the likely outcome of the dispute and legal and other expenses
arising from claims against the Group.
We may become involved in significant legal proceedings, in
respect of which it is not possible to meaningfully assess
whether the outcome will result in a probable outflow, or to
quantify or reliably estimate the liability, if any, that could result
from ultimate resolution of the proceedings. In these cases,
appropriate disclosure about such cases would be included in
the Annual Report, but no provision would be made.
This position could change over time and, therefore, there can
be no assurance that any losses that result from the outcome of
any legal proceedings will not exceed by a material amount the
amount of the provisions reported in the Group’s financial
statements.
Like many pharmaceutical companies, we are faced with
various complex product liability, anti-trust and patent litigation,
as well as investigations of our operations conducted by various
governmental regulatory agencies. Throughout the year, the
General Counsel of the Group, as head of the Group’s legal
function, supported by the Senior Vice President and Head of
Global Litigation for the Group, who is responsible for all
litigation and government investigations, routinely brief the
Chief Executive Officer, the Chief Financial Officer and the
Board of Directors on the significant litigation pending against
the Group and governmental investigations of the Group.
These meetings, as appropriate, detail the status of significant
litigation and government investigations and review matters
such as the number of claims notified to us, information on
potential claims not yet notified, assessment of the validity of
claims, progress made in settling claims, recent settlement
levels and potential reimbursement by insurers.
The meetings also include an assessment of whether or not
there is sufficient information available for us to be able to
make a reliable estimate of the potential outcomes of the
disputes. Often, external counsel assisting us with various
litigation matters and investigations will also assist in the
briefing of the Board and senior management. Following these
discussions, for those matters where it is possible to make a
reliable estimate of the amount of a provision, if any, that may
be required, the level of provision for legal and other disputes is
reviewed and adjusted as appropriate. These matters are
discussed further in Note 47, 'Legal proceedings' to the financial
statements.

Strategic report

The Strategic report was approved by the Board of Directors on
27 February 2024
Julie Brown
Chief Financial Officer
27 February 2024

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Group financial review continued
Critical accounting policies continued |  |  |

106
Corporate
governance

In this section |
The Board and GSK Leadership Team | 108
Chair’s governance statement | 114
Corporate governance architecture | 116
Ahead Together – Board oversight | 119
Continuous engagement and key decisions | 121
Board committee reports | 128
Remuneration Committee Chair's annual statement | 139
Annual report on remuneration | 142
Directors’ report | 161

|  |  |  |  |  |  |  | GSK Annual Report 2023

107

Sir Jonathan Symonds, CBE Non-Executive Chair Age: 64 Nationality: British Appointed: 1 September 2019 | Skills and experience Jon has extensive international financial, life sciences and governance experience. Jon served as an Independent Non-Executive Director of HSBC Holdings plc from April 2014 and as Chairman of the Group Audit Committee from 1 September 2014 and Deputy Group Chairman from August 2018, until his retirement from the Board in February 2020. He was previously Chairman of HSBC Bank plc, Chief Financial Officer of Novartis AG, Partner and Managing Director of Goldman Sachs, Chief Financial Officer of AstraZeneca plc, and a Partner at KPMG. Jon is a Fellow of the Institute of Chartered Accountants in England and Wales. External appointments Non-Executive Director, Genomics England Limited having previously served as its Chairman; Non-Executive Chair, Energy Aspects; Member, European Round Table for Industry; Senior Advisor to Chatham House.
Dame Emma Walmsley Chief Executive Officer Age: 54 Nationality: British Appointed: 1 January 2017 Chief Executive Officer from 1 April 2017 | Skills and experience Before being appointed as GSK’s CEO, Emma was the CEO of GSK Consumer Healthcare, a joint venture between GSK and Novartis, from its creation in March 2015. Emma joined GSK in 2010 from L’Oreal, having worked there for 17 years in a variety of roles in Paris, London, New York and Shanghai. Emma was previously a Non-Executive Director of Diageo plc. Emma’s position as an Independent Director of Microsoft, Inc., further supplements the technology and cyber security experience she brings to the Board. Emma holds an MA in Classics and Modern Languages from Oxford University. External appointments Independent Director, Microsoft, Inc.
Julie Brown Chief Financial Officer Age: 61 Nationality: British Appointed: 3 April 2023 Chief Financial Officer from 1 May 2023 | Skills and experience Julie has an extensive financial and life sciences background, having been the Group CFO of Smith & Nephew from 2013 to 2017 and serving as a Non-Executive Director and Audit Chair of Roche Holding AG from 2016 to 2022. Before this, Julie was Interim Group CFO of AstraZeneca plc, having worked in a wide range of commercial, strategic and financial positions across three continents over a 25 year period. Julie was also Chief Operating Officer and CFO and Executive Director of Burberry Group plc from 2017 to 2023, where her responsibilities included Finance, Transformation, Information Technology and oversight of cyber security. Julie is a Fellow of the Institute of Chartered Accountants and the Institute of Tax. External appointments Co-Chair, CFO Leadership Network, Accounting for Sustainability (part of the King Charles III Charitable Fund Group of Companies); Patron, Oxford University Women in Business; Non- Executive Director and Chair of the Audit Committee, Diageo plc (effective 5 August 2024).
Elizabeth (Liz) McKee Anderson Independent Non-Executive Director Age: 66 Nationality: American Appointed: 1 September 2022 | Skills and experience Liz brings significant experience in commercial biopharmaceuticals and is a seasoned biotech board member. Her significant experience in commercial biopharmaceuticals, both operationally and at Board level, as well as her deep understanding of the biotechnology sector and application of technology, are invaluable to GSK as a pure biopharma company. Before her current roles, Liz served as Worldwide Vice President and commercial leader in infectious diseases and vaccines and also for immunology and oncology at Janssen Pharmaceuticals, and as Vice President and General Manager at Wyeth Vaccines. Liz was also previously a Board member of Huntsworth Plc and a Board Member and Chair of the Science, Technology and Investment Committee of Bavarian Nordic A/S. Liz has a degree in Engineering and Technical Management and an MBA in Finance. External appointments Board Member, BioMarin Pharmaceutical, Inc; Board Member, Revolution Medicines, Inc; Board Member, Insmed, Inc; Trustee, The Wistar Institute; Director, Aro Biotherapeutics Company, a private company.

Key |  | Committee Chair |  | Corporate Responsibility |  | Science |  | Nominations & Corporate Governance |  | Audit & Risk |  | Remuneration

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
The Board

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Charles Bancroft Senior Independent Non-Executive Director Age: 64 Nationality: American Appointed: 1 May 2020 Senior Independent Non-Executive Director from 18 July 2022 | Skills and experience Charlie has a wealth of financial and management experience in global biopharma. Charlie retired from a successful career at Bristol Myers Squibb (BMS) in March 2020 where he held a number of leadership roles in commercial, strategy and finance. Beginning his career at BMS in 1984, he held positions of increasing responsibility within the finance organisation and had commercial operational responsibility for Latin America, Middle East, Africa, Canada, Japan and several Pacific Rim countries. He was appointed Chief Financial Officer in 2010, Chief Financial Officer and Executive Vice President, Global Business Operations in 2016 and Executive Vice President and Head of Integration and Strategy & Business Development in 2019. As Chief Financial Officer, Charlie had line management responsibility for Information Technology, including cyber security. Charlie successfully steered BMS through a period of strategic transformation, including its $74 billion acquisition of Celgene. Charlie also served as a member of the Board of Colgate-Palmolive Company from 2017 until March 2020. External appointments Board Member, Kodiak Sciences Inc; Board Member, BioVector Inc; Advisory Board Member, Drexel University’s LeBow College of Business. The Board determined that Charlie has recent and relevant financial experience and agreed that he has the appropriate qualifications and background to be an audit committee financial expert.
Dr Hal Barron Non-Executive Director Age: 61 Nationality: American Appointed: 1 January 2018 Chief Scientific Officer and President, R&D from 1 April 2018 Transitioned to the role of Non-Executive Director on 1 August 2022 | Skills and experience Hal has had a distinguished career in biosciences, with a strong track record of research and development (R&D). He joined the Board of GSK in 2018 as Chief Scientific Officer and President, R&D, where he brought a new approach to R&D which focused on science related to the immune system, the use of human genetics and advanced technologies to help identify the next generation of transformational medicines. In August 2022, he transitioned to a Non-Independent Non-Executive Director, with additional responsibilities to support R&D. Before joining GSK, Hal was President, R&D at Calico LLC (California Life Company), an Alphabet-funded company that uses advanced technologies to increase understanding of lifespan biology. Hal was previously Executive Vice President, Head of Global Product Development, and Chief Medical Officer of Roche, responsible for all the products in the combined portfolio of Roche and Genentech. At Genentech, he was Senior Vice President of Development and Chief Medical Officer. Hal was a Non-Executive Director and Chair of the Science & Technology Committee at Juno Therapeutics, Inc until March 2018, when it was acquired by Celgene Corporation. He previously served as a Non-Executive Board Director of GRAIL, Inc and an Advisory Board Member of Verily Life Sciences LLC. External appointments CEO and Board Co-Chair, Altos Labs Inc; Associate Adjunct Professor, Epidemiology & Biostatistics, University of California, San Francisco.
Dr Anne Beal Independent Non-Executive Director Age: 61 Nationality: American Appointed: 6 May 2021 | Skills and experience Anne brings extensive healthcare experience to the Board as a physician and entrepreneur, and combines this with a passion for patient advocacy. She is a recognised health policy expert in the development of global and national programmes for improving healthcare access for all patient groups and for ensuring the voice of patients is reflected in research programmes. Before her current roles, Anne spent six years at Harvard Medical School and Massachusetts General Hospital, where she was an instructor in paediatrics. She has also held leadership roles at the Commonwealth Fund and the Aetna Foundation. Anne was previously Deputy Executive Director and Chief Engagement Officer for The Patient-Centered Outcomes Research Institute in the US and Chief Patient Officer and Global Head of Patient Solutions at Sanofi. External appointments Founder and CEO, AbsoluteJOI Skincare; Board Member, AcademyHealth; Board Member, Prolacta Bioscience.

Key |  | Committee Chair |  | Corporate Responsibility |  | Science |  | Nominations & Corporate Governance |  | Audit & Risk |  | Remuneration

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
The Board continued

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Wendy Becker Independent Non-Executive Director Age: 58 Nationality: American Appointed: 1 October 2023 | Skills and experience Wendy is a highly experienced Non-Executive Director and has held significant leadership positions in a wide range of global businesses in public, private and non-profit sectors. She possesses a wealth of strategic and consumer marketing expertise in particular across the technology and life sciences sectors. Wendy has strong executive management experience, having been Chief Executive Officer at Jack Wills Limited, Group Chief Marketing Officer at Vodafone Group plc and Partner at McKinsey & Company. Wendy’s interest in science, healthcare and medical research dates to her time at McKinsey, where she worked with a range of healthcare clients in the US and Europe. This was furthered during the years that she served on the Board of Cancer Research UK. More recently, Wendy spent time as a Non-Executive Director of NHS England and as Chair of the British Heart Foundation. Wendy has held several Non-Executive Director roles, amongst others, as Chair of the Remuneration Committees of Great Portland Estates plc and Ocado Group plc and as a member of the Remuneration and Audit Committees of Whitbread plc. Through her current and prior roles in technology companies, Wendy adds to the Board’s experience in cyber security. External appointments Chair of Logitech International S.A.; Board member and Chair of the Compensation Committee, Sony Group Corporation; Senior Independent Director and Chair of the Remuneration Committee, Oxford Nanopore Technologies plc; Member of the governing bodies of the University of Oxford.
Dr Harry (Hal) C Dietz Independent Non-Executive Director and Scientific & Medical Expert Age: 65 Nationality: American Appointed: 1 January 2022 | Skills and experience Hal brings extensive experience in the field of human genetics which is central to GSK’s approach to R&D. He is a former President of the American Society of Human Genetics and is recognised as the world’s leading authority on the genetic disorder known as Marfan Syndrome. He also brings experience in developing novel therapies, particularly in relation to disease-modifying treatments for fibrotic and neurodegenerative diseases. In total, Hal has authored 282 original publications in peer-reviewed journals during his career. As a physician scientist, he has dedicated his entire career to the care and study of individuals with heritable connective tissue disorders with primary perturbations of extracellular matrix homeostasis and function. His lab has identified the genes for many of these conditions, for which he uses model systems to explain disease mechanisms. Hal has received many prestigious awards including the Curt Stern Award from the American Society of Human Genetics, the Colonel Harland Sanders Lifetime Achievement Award in Medical Genetics, the Taubman Prize for excellence in translational medical science, the Harrington Prize from the American Society for Clinical Investigation and the Harrington Discovery Institute, the Pasarow Award in Cardiovascular Research, the InBev-Baillet Latour Health Prize from Belgium, and the Research Achievement Award from the American Heart Association. He is an inductee of the American Society for Clinical Investigation, the American Association for the Advancement of Science, the Association of American Physicians, the National Academy of Medicine, and the National Academy of Sciences. External appointments Victor A. McKusick Professor of Paediatrics, Medicine, and Molecular Biology & Genetics in the Department of Genetic Medicine, The Johns Hopkins University School of Medicine; Investigator, Howard Hughes Medical Institute; Non-Executive Board Director, Altius Institute for Biomedical Sciences; Independent Chair, GSK’s Human Genetics Scientific Advisory Board.

Key |  | Committee Chair |  | Corporate Responsibility |  | Science |  | Nominations & Corporate Governance |  | Audit & Risk |  | Remuneration

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
The Board continued

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Dr Jesse Goodman Independent Non-Executive Director and Scientific & Medical Expert Age: 72 Nationality: American Appointed: 1 January 2016 | Skills and experience Jesse brings scientific and public health expertise to the Board’s deliberations. He has a wealth of experience spanning science, medicine, vaccines, regulation and public health, and has a proven record in addressing pressing public health needs in both the academic and federal sectors. Jesse previously served in senior leadership positions at the US Food and Drug Administration (FDA), including most recently as the FDA’s Chief Scientist and previously as Deputy Commissioner for Science and Public Health and as Director of the Center for Biologics Evaluation and Research (CBER). Jesse played a leadership role in developing the FDA’s Regulatory Science and Medical Countermeasures Initiatives and has worked collaboratively with industry, academia, government and global public health and regulatory partners to prepare for and respond to major public health threats, including emerging infectious diseases, disasters and terrorism. He led the FDA’s response to West Nile Virus and to the 2009 H1N1 influenza pandemic and served on the Senior Leadership Team for the 2010 White House Medical Countermeasure Review. Jesse was previously a member of both the Scientific Advisory Committee and the Regulatory and Legal Working Group of the Coalition for Epidemic Preparedness Innovations (CEPI). External appointments Professor of Medicine and Attending Physician, Infectious Diseases, Georgetown University and directs the Georgetown University Center on Medical Product Access, Safety and Stewardship (COMPASS); Board Member (formerly President), United States Pharmacopeia (USP); Board Member, Scientific Counselors for Infectious Diseases, Centers for Disease Control and Prevention (CDC); Board Member, Intellia Therapeutics Inc; Member, US National Academy of Medicine; Board Member, Adaptive Phage Therapeutics, Inc.
Urs Rohner Independent Non-Executive Director Age: 64 Nationality: Swiss Appointed: 1 January 2015 | Skills and experience Urs has a broad business, banking and legal background and extensive senior level experience at multinational companies. Urs has served as Chairman on a number of Boards, most recently for Credit Suisse Group from 2011 until April 2021. Before joining Credit Suisse in 2004, Urs served as Chairman of the Executive Board and CEO of ProSieben and ProSiebenSat.1 Media AG. This followed a number of years in private practice at major law firms in Switzerland and the US, having been admitted to the bars of the canton of Zurich in Switzerland in 1986 and the state of New York in the US in 1990. As a founding partner and Chair of Vega Cyber Associates AG, he brings current technology and cybersecurity experience to the Board, further supplemented by digital transformation during his time as Chair of Credit Suisse. External appointments Member, International Advisory Board, Investcorp; Chair, Vega Cyber Associates AG.
Dr Vishal Sikka Independent Non-Executive Director Age: 56 Nationality: American Appointed: 18 July 2022 | Skills and experience Vishal has a distinguished background in technology, particularly in Artificial Intelligence (AI) and Machine Learning (ML), which are central to GSK’s approach to R&D. He also brings a deep understanding of cyber security to the Board. He is the founder and CEO of Vianai Systems, Inc, a Silicon Valley-based company that provides advanced technological software and services in AI and ML to large enterprises around the world. Before founding Vianai Systems in 2019, Vishal served as CEO of Infosys Limited, where he led an innovative strategy to help clients renew existing IT landscapes, using automation, design thinking and next-generation technologies to transform customer experiences. He also served as a member of the Executive Board of SAP SE, prior to which he was its Chief Technology Officer. Vishal has a PhD in AI from Stanford University and has co-authored several research abstracts related to AI, technology and database management. External appointments Founder and CEO, Vianai Systems, Inc; Board Member, Oracle Corporation; Member, Supervisory Board, BMW AG; Member of the Advisory Board of Stanford University's AI Center (Center for Human-Centered Artificial Intelligence).

Key |  | Committee Chair |  | Corporate Responsibility |  | Science |  | Nominations & Corporate Governance |  | Audit & Risk |  | Remuneration

Directors departing during 2023
Iain Mackay | 14 January 2019 to 1 May 2023 | Stepped down from the Board on 1 May and retired from the company on 31 December 2023.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
The Board continued

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| Skills and experience
Emma Walmsley Chief Executive Officer | Emma joined GSK in 2010 and the GLT in 2011. See Board biographies on pages 108 to 111.
Julie Brown Chief Financial Officer | Julie joined GSK and the GLT in 2023. See Board biographies on pages 108 to 111.
Diana Conrad Chief People Officer | Diana was appointed Chief People Officer and member of the GLT in April 2019. She was previously Senior Vice President, HR, Pharmaceuticals R&D from 2016 where she played a key strategic role as leader of the R&D people and culture agenda to support its transformation. Diana joined GSK Canada’s HR team in 2000 where she held several roles of increasing responsibility before becoming Senior Vice President, HR for Consumer Healthcare in 2009. Prior to joining GSK, she held HR roles in companies including GE Capital, Gennum Corporation and Zenon Environmental Laboratories. Diana has an Honours Bachelor of Arts from McMaster University in Canada.
James Ford SVP & Group General Counsel, Legal and Compliance | James joined the GLT in 2018, when he was appointed Senior Vice President and Group General Counsel, later taking responsibility for Compliance, Corporate Security and Investigations in 2021. He joined GSK in 1995 and has served as General Counsel Consumer Healthcare, General Counsel Global Pharmaceuticals, Vice President of Corporate Legal and was Acting Head of Global Ethics and Compliance. Prior to GSK, James was a solicitor at Clifford Chance and DLA. He holds a law degree from the University of East Anglia and a Diploma in Competition Law from King's College. He is qualified as a solicitor in England and Wales and is an attorney at the New York State Bar. James is based in London and has practised law and lived in the US, Singapore and Hong Kong. James was co-chair of the US-based Civil Justice Reform Group 2019-2022, and is a director of the European General Counsel Association and the Association of Corporate Counsel.
Sally Jackson SVP, Global Communications and CEO Office | Sally joined the GLT in March 2019 as Senior Vice President, Global Communications and CEO Office. She leads our Communications and Government Affairs function globally and is also the CEO’s Chief of Staff. Prior to this, Sally was Senior Vice President, Office of the CEO and CFO and she previously served as Head of Investor Relations. She joined GSK in 2001. Sally holds a degree in Natural Sciences from the University of Cambridge.
Luke Miels Chief Commercial Officer | Luke joined GSK and the GLT in 2017. As Chief Commercial Officer he is responsible for our commercial portfolio of medicines and vaccines. Luke also co-chairs the Portfolio Investment Board with Tony Wood and is a member of the ViiV Healthcare Board. Outside of GSK, Luke is a member of the Singapore Economic Development Board. He previously worked for AstraZeneca as Executive Vice President of their European business and, prior to that, was Executive Vice President of Global Product and Portfolio Strategy, Global Medical Affairs and Corporate Affairs. Before that, he was head of Asia for Roche, based in Shanghai and then Singapore. Prior to that he held roles of increasing seniority at Roche and Sanofi-Aventis in the US, Europe and Asia. Luke holds a Bachelor of Science degree in Biology from Flinders University in Adelaide and a MBA from the Macquarie University, Sydney.
Shobie Ramakrishnan Chief Digital and Technology Officer | Shobie joined the GLT in 2021 when she was appointed Chief Digital and Technology Officer. She joined GSK in 2018 and has deep and broad experience in both biotech and hi-tech companies and, most recently, has led Digital and Technology for GSK’s Global Commercial organisation, transforming the company’s capabilities in digital, data and analytics and playing a pivotal role in establishing a more agile commercial operating model. Before joining GSK, Shobie held senior technology leadership roles in organisations including AstraZeneca, Salesforce, Genentech and Roche. She is a Non-Executive Director at Deliveroo. She is Board Member Emeritus at SustainableIT.org and was formerly a member of the board of directors at Remediant. Shobie holds a Bachelor’s degree in Electronics Engineering from Vellore Institute of Technology, University of Madras, India.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
GSK Leadership Team (GLT)

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| Skills and experience
David Redfern President, Corporate Development | David joined the GLT as Chief Strategy Officer in 2008 and is responsible for corporate development and strategic planning. Previously, he was Senior Vice President, Northern Europe with responsibility for GSK’s pharmaceutical businesses in that region and, before that, he was Senior Vice President for Central and Eastern Europe. He joined GSK in 1994. David was appointed Chairman of the Board of ViiV Healthcare Limited in 2011 and a Non-Executive Director of the Aspen Pharmacare Holdings Limited Board in 2015. He has a Bachelor of Science degree from Bristol University and is a Chartered Accountant.
Regis Simard President, Global Supply Chain | Regis joined the GLT in 2018, when he became President, Pharmaceuticals Supply Chain. He is responsible for the manufacturing and supply of GSK’s medicines and vaccines. In addition, he leads Quality and Environment, Health, Safety and Sustainability at a corporate level. Regis joined GSK in 2005 as a Site Director in France, rising to become Senior Vice President of Global Pharmaceuticals Manufacturing before his current role. Previously, he held senior positions at Sony, Konica Minolta and Tyco Healthcare. He is a member of the Board of ViiV Healthcare. He is a mechanical engineer and holds an MBA.
Phil Thomson President, Global Affairs | Phil joined the GLT in 2011. He was appointed President, Global Affairs in 2017, and has responsibility for the Group’s strategic approach to stakeholder engagement, reputation and policy development. Previously, Phil was Senior Vice President, Communications and Government Affairs. He joined Glaxo Wellcome as a commercial trainee in 1996. Phil holds a degree in English, History and Russian Studies from Durham University.
Deborah Waterhouse CEO, ViiV Healthcare and President, GSK Global Health | Deborah was appointed to the GLT in January 2020. She became Chief Executive Officer of ViiV Healthcare in April 2017. In addition to ViiV, Deborah also leads GSK’s Global Health organisation. Deborah joined GSK in 1996 and, prior to ViiV, was the Senior Vice President of Primary Care within GSK’s US business. She has a strong track record of performance in both specialty and primary care. Deborah led the HIV business in the UK before heading the HIV Centre of Excellence for Pharma Europe and held roles as General Manager of Australia and New Zealand and Senior Vice President for Central and Eastern Europe. Deborah is a Non-Executive Director of Schroders plc and holds a degree in Economic History and English Literature from Liverpool University.
Tony Wood Chief Scientific Officer | Tony was appointed Chief Scientific Officer (CSO), Head of R&D and a member of GLT on 1 August 2022, following his appointment as CSO designate on 19 January 2022. He joined GSK from Pfizer in 2017 as Senior Vice President, Medicinal Science and Technology, responsible for all science and technology platforms driving the delivery of new innovation. Tony has led large-scale global organisations in drug discovery and development in multiple therapeutic areas, including immunology, oncology and infectious diseases. During his time at Pfizer, Tony was responsible for the invention of a new antiretroviral medication used to treat HIV infection. He is a Fellow of the Academy of Medical Sciences, an Honorary Fellow of the Royal Society of Chemistry (RSC), the highest honour given by the RSC, and a Fellow of the Royal Society of Biology. Tony has a BSc in chemistry and PhD in organic synthesis from the University of Newcastle, and was a postdoctoral fellow at Imperial College, London. He is also currently a visiting professor at IMCM Oxford.

GLT members departing during 2023
(1) Iain Mackay was a member of the GLT and CFO until 1 May 2023. He stepped down from the Board on 1 May and retired from the company on 31
December 2023.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
GSK Leadership Team (GLT) continued

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Board evolution
The Board’s compo sition will continue to evolve, but is now
tailored to the pure biopharma company that we are now. We
have the relevant skills and experience with deep industry and
scientific expertise, as well as broad pharma business and
commercial experience.
At the heart of the business is science and the choices we make.
We are well equipped with Drs Hal Dietz, Hal Barron and Jesse
Goodman who provide a breadth and depth of scientific
knowledge which combines well with Vishal Sikka’s deep
expertise in technology, artificial intelligence and machine
learning (AI/ML). Liz Anderson provides strong commercial
expertise and Dr Anne Beal brings a strong focus on patients
and the patient experience. Charlie Bancroft’s extensive
expertise as a pharma company executive and CFO means
that our Board now meets the needs of GSK today.
At the management level we transitioned CFO from Iain
Mackay, who guided us through the separation of Haleon,
to Julie Brown, who has deep industry expertise.
Board industry experience

l |  | 2022 pre-biopharma Board
l |  | 2023 biopharma Board

Non-Executive Director tenure

l |  | Up to 3 years: 50%
l |  | 3-6 years: 20%
l |  | 6-9 years: 20%
l |  | Over 9 years: 10%

2023 Board priorities
Focus on value creation, governance and oversight of
Ahea d Toget her strategy
Delivery of performance ta rg ets
Execution of R&D pipeline and business development
Long-term R&D strategy and approach
End-to-end business impact of AI/technology
People/Talent/Culture
ESG leadership
Zantac litigation – defence and mitigation
Focus on shareholder value creation
Board succession
Two succession processes began in 2023. Urs Rohner, who has
chaired the Remuneration Committee since May 2015, reaches
just over nine years of service at the 2024 AGM. He will be
succeeded following the AGM by Wendy Becker who joined the
Board in October 2023. Wendy has a strong background in
science, life sciences and technology, but is also a very
experienced Remuneration Committee Chair with an
understanding of global corporates. She will oversee the next
iteration of the Remuneration policy that will be presented at
the 2025 AGM.
Our second succession planning focus has been for continued
refreshment of the Board’s scientific expertise. Dr Laurie
Glimcher, who stepped down from the Board in October 2022,
was not replaced as we were unsure of precisely what
additional skills we needed. As our focus deepens on RNA and
oligonucleotides we have undertaken a detailed search for a
scientist with deep experience in RNA.
A successor to Dr Jesse Goodman, who is due to retire after
nine years’ service at our 2025 AGM, will be sought in 2024. His
expertise in public health, infectious diseases and regulation
has been invaluable and necessary.
Board priorities and focus
GSK is now delivering meaningful and consistent improvement
in performance which needs to be sustained through effective
capital allocation and strategic choices. This was reflected in
the recent upgrade to our longer-term outlooks announced at
the beginning of the year.
The Board and management agendas are completely aligned
with clear focus on the three time periods that management
communicate on – financial performance to 2026, pipeline
progress and business development to support the growth
ambitions to 2031 and the science and technologies that
support the long-term growth of the business beyond 2031.
The primary focus of the Board’s work in 2023 was on building
confidence on the growth outlooks to 2031. The significant
opportunities that can come from AI/ML have been a theme
running through every Board meeting.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Chair’s governance statement
In 2023 GSK continued to make significant progress as a pure biopharma company. The Board has the skills and capabilities to challenge and support GSK’s performance and long-term success.

114
The Board supported the modular communication plan for
2023, which included deep insights into vaccines and infectious
disease, HIV, respiratory, immunology and oncology. The Board
reviewed all of the strategies and priorities prior to
communication to the market. The revised outlooks presented
with the 2023 annual results were also reviewed extensively in
the second half of the year along with the longer-term strategic
plan. In terms of business development, the Board and Science
Committee work alongside Emma and the management team
to understand the scientific rationale, competitiveness of the
asset under consideration and potential returns and value
creation. This was a significant activity of the Board in 2023.
Board visits are an important element of our Board programme.
In March the Board spent three days visiting our Vaccines site in
Wavre, Belgium. Board members had a deep immersion in the
vaccines business and the work at the site and were inspired by
the passion and commitment of the group of around 150
employees they spent time with during the visit. Similarly, the
Board will be holding its March meeting in 2024 in North
Carolina for an immersive briefing on our HIV business.
R&D progress and Technology
The longer-term future of the company comes from deep
sustainable productivity of internal and externally sourced R&D
and from our investment in technology. The path we set out on
five years ago was routed in our commitment to transform our
productivity through the use of technology.
Last year the Board’s R&D updates centred on antibody drug
conjugates, Oligonucleotides, AMR, Vaccines and RNA and
liver disease. These discussions were supported and validated
by prior deep-dives by the Science Committee.
Embracing the potential of AI/ML in every part of the business
is crucial to our medium and long-term success. We deliberately
have a wealth of tech experience on the Board ranging from Dr
Hal Barron’s R&D experience at Verily and Google, to Vishal
Sikka’s unique tech vantage point and expertise in AI and ML.
Our CEO also brings unique insights from her role at Microsoft,
along with my own experience of the use of technology in
biotechs and through the UK’s national genomics programmes.
Collectively the deep appreciation of the tremendous potential
that technology can unlock give us the reassurance to execute
with confidence. While our biggest investment has of course
been in R&D, every part of GSK now has technology built into
optimising their priorities.
Culture & responsibility
The Board receives regular briefings on our people, talent and
culture. At every Board interaction, wherever we are, the Board
meets between 50 to 100 members of local employee talent.
This enables us to get a first hand impression of our culture and
the mood of employees and to hear their views of the company.
Similarly, wherever I go in GSK, and this year my travels included
the US, China, the Middle East and Europe, I take the
opportunity to meet with local employees at all levels in small
groups. It is impressive to hear those I meet all talk with pride in
our purpose and our mission towards prevention and improved
human health.
ESG continues to be right at the very heart of GSK and its
ambition. We are particularly proud of the progress that we are
making in DEI in terms of our people, and in the diversity of our
clinical trials.
Shareholder perspectives and engagement
The Board and I believe in the importance of maintaining a
continuous level of engagement with shareholders. During the
year I continued to meet with a range of investors; combined
they represented approximately 30% of our share register. This
year all our Non-Executive Board members attended our
Annual Governance Meeting to hear shareholders views first
hand. The feedback shareholders provide is invaluable to the
shaping of the Board’s work. We appreciate the clarity and
efficiency that direct engagement brings and we continue to
welcome the opportunity to engage with investors directly on all
aspects of GSK and the Board’s work.
We welcome the approach taken by the Financial Reporting
Council in its updated UK Corporate Governance Code to
encourage Boards to be bolder in choosing the right approach
for their business and explaining why it is important to do so if
necessary.
Shareholder value
We have made progress in 2023 but there is, and will always be,
more to do. The key to improved returns is consistency of
performance, and consistency in communication. During 2023, I
believe management delivered on both, but this all has to be
translated into sustained shareholder value creation. We are
acutely aware that has not happened yet.
In terms of the Zantac litigation, the Board is deeply involved in
the overall strategy with the CEO and General Counsel. In
addition, every quarter the Audit & Risk Committee reviews the
disclosures with our Auditor to ensure that they are complete,
fair and that the accounting judgments are appropriate.
I believe 2023 was a year of significant progress across all of
the time periods to 2026, 2026 to 2031 and beyond 2031. We
have a clear and aligned work programme for 2024. The Board
is very different to what it was two years ago. I am really
delighted not just with the progress Emma and the
management team have made, but the performance of the
Board too.
I encourage you to read my Board colleagues' committee
updates (which follow on pages 128 to 138) and provide greater
detail on their work during 2023.
Thank you for your continued support and I look forward to
connecting with you during the year, whether at our Annual
General Meeting in May, or otherwise.
Sir Jonathan Symonds
Chair
27 February 2024

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Chair’s governance statement continued

115
Our corporate governance architecture is a framework designed to improve the Board's effectiveness and to support its oversight of
the GSK Leadership Team (GLT) as it delivers the company's strategy. This framework continues to evolve to support our
infrastructure and priorities as a pure biopharma business.
GSK’s internal control and risk management arrangements are integral to our overall corporate governance framework and are
described on pages 57 to 76 and pages 134 and 135.
To ensure the framework's optimal effectiveness, it has:
– a clear division of responsibilities for individual and collective Board roles, as described on page 117
– the appropriate distribution of workload to the Board committee with the requisite focus and skills
– highly committed Board Directors who are motivated to carry out their roles and responsibi lities for the success of the company

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Corporate governance architecture

116

Committee roles |  |
Committee | Role and focus | Membership | Committee report on page
Chairs’ | Acts on behalf of the Board between its scheduled meetings to take decisions on urgent matters in accordance with matters and authority delegated to it by the Board from time to time | Sir Jonathan Symonds (company Chair) Senior Independent Director Chairs of the Board's committees | –
Corporate Responsibility | Considers GSK's Trust priority and has oversight of our responsible business approach and ESG strategy, performance and reporting. This reflects the most important issues for responsible and sustainable business growth. Has oversight of the views and interests of our internal and external stakeholders, and reviews issues that could have a serious impact on GSK’s business and reputation | Dr Anne Beal (Chair) Dr Jesse Goodman Dr Vishal Sikka | 128-129
Science | Supports the Board in its understanding of business development transactions and the key strategic themes on which the company's R&D strategy is based, by reviewing underlying scientific assumptions in detail and giving the Board technical assurance. Has in-depth oversight of R&D-related risks | Dr Hal Dietz (Chair) Dr Jesse Goodman Dr Hal Barron | 129-130
Nominations & Corporate Governance | Reviews the structure, size and composition of the Board, the appointment of members to Board committees and the appointment of corporate officers. Makes recommendations to the Board as appropriate. Plans and assesses orderly succession for Executive and Non- Executive Directors and reviews management's succession plan to ensure its adequacy Is responsible for overseeing, monitoring and making recommendations to the Board on corporate governance arrangements. Reviews Board and GLT conflicts of interest | Sir Jonathan Symonds (Chair) Charles Bancroft Dr Anne Beal Urs Rohner | 131-132
Audit & Risk | Reviews the financial reporting process, the integrity of the company’s financial statements, the external and internal audit process, the system of internal control, and the identification and management of risks such as Information and cyber security, and the company’s process for monitoring compliance with laws, regulations and ethical codes of practice Oversees ESG data reporting and assurance. Initiates audit tenders, the selection and appointment of the external auditor, setting the auditor's remuneration and overseeing its work | Charles Bancroft (Chair) Elizabeth McKee Anderson Wendy Becker Urs Rohner | 133-138
Remuneration | Sets the company’s Remuneration policy having regard to GSK’s workforce remuneration so that GSK is able to recruit, retain and motivate its executives Regularly reviews the Remuneration policy to make sure that it is consistent with the company’s scale and scope of operations, supports the business strategy and growth plans, is aligned to the wider workforce and helps drive the creation of shareholder value (The Chair and the CEO are responsible for evaluating and making recommendations to the Board about remuneration arrangements and policy for the Non-Executive Directors) | Urs Rohner (Chair) Wendy Becker (Chair Designate) Charles Bancroft Dr Anne Beal Elizabeth McKee Anderson | 139-160
Each Board committee has written terms of reference that are approved by the Board and reviewed at least annually to make sure they comply with the latest legal and regulatory requirements and reflect best practice developments. Terms of reference of each Board committee are available at gsk.com.

| Leadership Chair Jonathan Symonds – leads and manages the business of the Board – provides direction and focus – ensures a clear structure for the Board and its committees to operate effectively – maintains a dialogue with shareholders about the governance of the company – sets the Board agenda and ensures sufficient time is allocated to promote effective debate to support sound decision-making – ensures the Board receives accurate, timely and clear information – meets regularly with each Non-Executive Director to discuss individual contributions and performance, and training and development needs – shares peer feedback that is provided as part of the Board evaluation process – meets regularly with all the Non-Executive Directors independently of the Executive Directors + The Chair’s role description is available at gsk.com Chief Executive Officer Emma Walmsley – manages the Group and its business – develops the Group’s strategic direction for the Board's consideration and approval – implements the agreed strategy – is supported by the GLT – maintains a continuous dialogue with shareholders in respect of the company’s performance + The Chief Executive Officer’s role description is available at gsk.com |

| Independent oversight and rigorous challenge Senior Independent Director Charles Bancroft – acts as a sounding board for the Chair and a trusted intermediary for other Directors – together with the Non-Executive Directors, leads the annual review of the Chair’s performance, taking into account the views of the Executive Directors – discusses the results of the Chair’s effectiveness review with the Chair – leads the search and appointment process and makes the recommendation to the Board for a new Chair – acts as an additional point of contact for shareholders. Maintains an understanding of their issues and concerns through meetings with shareholders and briefings from the Company Secretary and Investor Relations + GSK's Senior Independent Non-Executive Director’s role description is available at gsk.com Non-Executive Directors – provide a strong independent element to the Board – constructively support and challenge management and scrutinise its performance in achieving agreed deliverables – shape proposals about strategy and offer specialist advice to management – each has a letter of appointment setting out the terms and conditions of their directorship – devote such time as is necessary to the proper performance of their duties – are expected to attend all meetings as required Independence statement The Board considers all its Non-Executive Directors who are identified on pages 108 to 111 – except Dr Hal Barron – to be independent after being assessed against Provision 10 of the Financial Reporting Council's (FRC) UK Corporate Governance Code (Code) + GSK's Non-Executive Directors' role description is available at gsk.com |

Company Secretary Victoria Whyte | – is secretary to the Board and all Board committees – supports the Board and Committee Chairs to plan future agendas and annual programmes – ensures information is made available to Board members in a timely fashion – supports the Chair to design and deliver Board inductions – coordinates continuing business awareness and training for the Non-Executive Directors – undertakes internal Board and committee evaluations at the Chair's request – advises the Directors on Board practice and procedures and corporate governance matters – chairs the Group's Disclosure Committee – operates a Board-approved appointments policy that reflects the Board and external appointment requirements of the Code – is a point of contact for shareholders on all corporate governance matters

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117
2023 Board and committee attendance
FRC UK Corporate Governance Code
Financial experience
In accordance with the FRC's Code, the Board determined
that Charles Bancroft has recent and relevant financial
experience. It has also agreed that he has the appropriate
qualifications and background to be an audit committee
financial expert as defined by the Sarbanes-Oxley Act of
2002, and has determined that he is independent within the
meaning of the Securities Exchange Act of 1934, as amended.
Members of the Audit & Risk Committee also have financial
and industry experience, details of which can be found in their
biographies on pages 108 to 111.
Compliance statement
The Board is pleased to report that in 2023 it was in full
alignment with the provisions of the FRC's Code.
The Board is also pleased to report that it has consistently
applied the principles of the FRC's Code, as set out on the
pages of this Corporate Governance report. A copy of the
Code is available on the FRC’s website at www.frc.org.uk.
Board appointments policy
All our Non-Executive Directors are expected to devote such time as is necessary for the performance of their duties. Each Director
is required to attend a minimum of 75% of scheduled Board and committee meetings. However, it is recognised that there may be
rare occasions when this is not possible, as explained above in the attendance table. Special allowance is also given during the first
year of Board membership while calendars are aligned.
Our Board Directors’ external appointments are governed by a Board-approved policy. It is considered that external appointments
can help Board and GLT members widen their expertise and knowledge, and hence perform their roles more effectively. When
proposing new Non-Executive Director appointments to the Board for approval, the Board considers the other demands on the
individuals’ time. Before being appointed to the Board, an individual is required to disclose the significant commitments they may
have with an indication of the time involved.
Subsequently, all additional prospective external appointments for serving Board Directors are considered and approved by the
Board, noting the nature of the role and type of organisation, time commitment and any potential conflicts that could arise.
The Company Secretary maintains a register of commitments and potential conflicts. The Board is satisfied that given Directors’
other interests, each has sufficient time to carry out their role with GSK. Our Executive and Non-Executive Directors may undertake a
maximum of one or up to four other listed-company directorships respectively.

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|  | Board |  | Chairs’ |  | Corporate Responsibility |  | Science |  | Nominations & Corporate Governance |  | Audit & Risk |  | Remuneration
Total number of routine meetings |  | 6 |  | 3 |  | 4 |  | 3 |  | 5 |  | 6 |  | 5
Current members |  | Attended |  | Attended |  | Attended |  | Attended |  | Attended |  | Attended |  | Attended
Sir Jonathan Symonds |  | 6 |  | 3 |  |  |  |  |  | 5 |  |  |  |
Emma Walmsley |  | 6 |  |  |  |  |  |  |  |  |  |  |  |
Julie Brown (from 1 May) |  | 4 (4) |  |  |  |  |  |  |  |  |  |  |  |
Elizabeth McKee Anderson |  | 6 |  |  |  |  |  |  |  |  |  | 6 |  | 5
Dr Hal Barron |  | 6 |  |  |  |  |  | 3 |  |  |  |  |  |
Charles Bancroft |  | 6 |  | 3 |  |  |  |  |  | 5 |  | 6 |  | 5
Dr Anne Beal |  | 6 |  | 3 |  | 4 |  |  |  | 5 |  |  |  | 5
Wendy Becker (from 1 October) |  | 2 (2) |  |  |  |  |  |  |  |  |  | 2 (2) |  | 2 (2)
Dr Harry Dietz |  | 6 |  | 3 |  |  |  | 3 |  |  |  |  |  |
Dr Jesse Goodman |  | 6 |  |  |  | 4 |  | 3 |  |  |  |  |  |
Urs Rohner |  | 6 |  | 1 |  |  |  |  |  | 5 |  | 6 |  | 5
Dr Vishal Sikka |  | 4* |  |  |  | 2 |  |  |  |  |  |  |  |
Retired members |  |  |  |  |  |  |  |  |  |  |  |  |  |
Iain Mackay (until 1 May) |  | 2 (2) |  |  |  |  |  |  |  |  |  |  |  |
Number of additional meetings |  | 4 |  | – |  | 1 |  | 6 |  | – |  | 3 |  | 1
For those Directors who served for part of the year, the numbers in brackets show the number of meetings the Directors were eligible to attend. Details of committee members’ skills and experience are included in their biographies on pages 108 to 111. There was a high attendance record at scheduled Board and committee meetings for all our Directors who served during 2023, as set out above. In January 2024, Urs Rohner has reached nine years of service and will step down from the Board at the 2024 AGM as planned. He continues to demonstrate all the characteristics of independence expected by the Board in carrying out his role on the Board. *Dr Vishal Sikka joined the Board in July 2022. During his first year on the Board he was unable to attend two Board meetings because of pre-existing external board commitments. He contributed fully to the Board’s work during 2023. He met regularly with the Chair to provide his input on Board and Committee materials. He inputted on technology and AI discussions at the Audit & Risk Committee. He also spent time with our Chief Digital and Technology Officer and her team during the year, sharing his expertise and perspectives.

The Board carries out its responsibilities through an annual programme of meetings
The Board seeks to optimise its effectiveness by setting its annual meeting programme to focus on priorities agreed for the year to
support delivery of the company's short-, medium- and long-term strategy. The Board and its committees' programmes of work are
set to complement each other and avoid unnecessary duplication. During the year the Board received papers and presentations
and actively discussed progress with management and our people. These materials and discussions help the Board make effective
decisions, and contribute to its oversight of business performance and ensure good governance.
The key areas the Board considered in 2023 are highlighted bel ow:

Areas of focus in 2023 | The Board's work in 2023 included:
Building momentum as a pure biopharma company | Overseeing GSK as a pure biopharma business and delivery of performance included:
– setting and approving the Board's 2023-2024 priorities
– discussing and scrutinising strategic plans for GSK and assessing the potential to upgrade our longer-term outlook
– scrutinising updates on R&D strategy, progress and progression of the company's pipeline
– discussing GSK's overall commercial strategy and in particular for China
– discussing end-to-end business opportunities and the impact of AI and other advanced technologies for performance and patients
Ahead Together – further strengthening the fundamentals of value creation | Overseeing the fundamentals of commercial execution, cost-base management, capital allocation, pipeline and culture included:
– receiving regular reports from the CEO, CFO and CSO including the assessment of delivery of performance targets
– receiving updates on R&D strategy, approach and pipeline progress
– assessing the product area strategy reports on Vaccines, Speciality Care (including HIV), Oncology and General Medicines
– reviewing GSK's capital allocation priorities to ensure investment for growth to deliver improved returns for shareholders
– evaluating business development transactions, acquisitions and strategic partnerships with third parties including BELLUS Health, Zhifei, Hansoh, Aiolos Bio, Arrowhead Pharmaceuticals and Janssen Pharmaceuticals
– scrutinising the Group's financial performance, shareholder value creation and development of Investor Relations Roadmap
– reviewing Zantac litigation strategy
– approving the monetisation of the retained shares in Haleon post demerger of the Consumer Healthcare business
Enhancing ESG leadership | Overseeing culture and embedding ESG at our core included:
– assessing ESG performance and reviewed plans for low-carbon Ventolin, including clinical and non-clinical data available to support regulatory submissions
– approving the ESG Performance Report
– oversight of the company's Pricing and Access Policy principles
– reviewing stakeholder perception research
Regular corporate governance oversight | The Board’s programme of governance included:
– reviewing the quarterly financial results, dividend proposals, earnings guidance, investor materials, results announcements and 2022 Annual Report and Form 20F and receiving related reports from the external auditor
– setting the annual budget and the forward-looking three-year plan and long-range forecast
– conducting an annual review of the enterprise risk responsibility framework and enterprise-wide risks
– undertaking an annual Board evaluation and implementing its agreed outcomes
– receiving reports on Board committee work and reviewing and continuing to evolve the Board’s governance architecture
– evaluating the CEO’s 2023 performance, and setting her 2024 objectives
– reviewing culture, talent and succession plans annually
– engaging with GSK's stakeholders and people to gather and understand their views about the company’s activities, operations and culture
– reviewing the employee pulse survey results
– receiving reports on wider corporate governance and regulatory developments, and the Company Secretary’s report
– approving the company's modern slavery statement and gender pay gap positioning

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Board performance

The Board evaluates its performance, and that of its
committees, every year.
The evaluation is normally carried out externally every third
year. The most recent external evaluation was facilitated in
2022 by Jan Hall of No 4, a business advisory company that
does not have any other connection with GSK.
The 2023 Board and committee evaluation was conducted
internally by the Company Secretary who:
– provided a questionnaire to Board members
– drew together responses and themes from the responses to
discuss outcomes and recommendations with each
Committee Chair
– following discussion with each committee and the Board as a
whole, identified areas of focus and improvement for the
Board and committees, which are set out below
Action points
After due consideration and discussion, the following action
points to further improve performance in 2024 were agreed:
– the key priorities for the Board's focus and programme of
meetings for the year ahead
– given the fundamental importance of culture, the Board
wished to ensure it too fully embodied GSK's culture and
would therefore undertake the culture training provided to
employees
– additional opportunities to increase informal engagement
between the Board and management
– the removal of unnecessary duplication in the Board and its
committees' work would be continued. This programme aims
to further simplify papers and create time to have deeper
discussions in meetings
Board committee evaluations
The review of the Board committees focused on potential
opportunities to further support GSK's momentum as a pure
biopharma company, to help remove duplication and support
the delivery of the Board's priorities identified for 2024. In
addition, each committee reviewed its committee members'
tenure, expertise and diversity.
Each committee was considered to have operated effectively
and the following enhancements were agreed:
– Corporate Responsibility Committee: has a wide remit and
was performing well. Consideration would be given to
additional routes to identify potential emerging issues within
the Committee's area of responsibility for its review. In
addition, the Committee would continue to seek external
perspectives to provide challenge
– Science Committee: was working effectively. Opportunities to
further enhance effectiveness were considered. In particular
the Committee's 2024 programme would focus on R&D's
Tech strategy. The capacity to undertake more deep dives on
specific areas of R&D activity and to input earlier into new
projects would be explored
– Nominations & Corporate Governance Committee: was
working effectively. A successor to Dr Jesse Goodman was
being sought ahead of his retirement from the Board in 2025.
The Committee would undertake a review of the Board and
committee architecture and membership in 2024 to ensure it
remained aligned to Board priorities
– Audit & Risk Committee: was considered to be effective. The
work to appropriately streamline material reviewed by the
Committee has made good progress and will continue as an
area of opportunity. In the year ahead the Committee will
also continue to give focus on tech, cyber security and the
use of AI
– Remuneration Committee: had operated effectively during
2023 despite a challenging environment. The focus for 2024
would be to determine the right business imperatives for
GSK's next remuneration policy to ensure it was globally
competitive and rewarded delivery of outperformance
Chair's evaluation
The Senior Independent Director (SID) carried out the Chair's
evaluation. He sought feedback on the Chair's performance
from the Directors individually and collectively. From this review,
they concluded that the Chair was leading the Board
appropriately and effectively. The Chair and SID discussed the
results of the review.

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Ahead Together – Board oversight continued

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Prioritising continuous engagement

Our stakeholders rightly have high expectations of us, and the
company's dynamic operating environment presents many
challenges and opportunities. As a Board we aim to make sure
that being commercially successful is balanced and aligned
with meeting our stakeholders’ expectations, upholding our
reputation, maintaining our licence to operate and building
trust. We engage with or are briefed about our stakeholders'
views to make sure we identify and respond to their
expectations effectively and appropriately.
How we engage with our main stakeholder groups – including
patients, shareholders, consumers, customers and our people –
across the company is covered in the pages of the Strategic
report.
Patients and our people are two stakeholders at the heart of
our culture, with all our people ambitious for patients,
accountable for outcomes and committed to doing the right
thing. Our culture is described on pages 14 and 15 of the
Strategic report.
The influence and importance of different stakeholder groups
can vary, depending on the matter being considered. Certain
stakeholders’ interests can be in conflict, meaning that we, as a
Board, need to make balanced judgements.
Continuous stakeholder engagement and feedback helps us
identify emerging issues. It also enables us to make decisions in
the context of what is relevant and important to each of them.
Our principal Board committees, and the GLT, undertake
engagement on the Board’s behalf according to their remit.
This means that they can build a detailed understanding of how
our actions or plans are affecting or might affect stakeholders.
These insights are then shared with the Board.
In particular, the Board receives briefings on stakeholders’
perspectives from the work of the Corporate Responsibility
Committee, which is discussed on pages 128 and 129.
Board members regularly receive:
– the CEO’s Board report
– a specific external stakeholder insights report. This provides
strategic insights based on an analysis of key developments,
achievements and risks affecting our reputation and the
perceptions of all our external stakeholders
– a regular investor relations report which summarises investor
perceptions
– regular corporate governance, litigation and regulatory
updates
The Board also learns of stakeholders' views through:
Engagement and feedback events: such as quarterly investor
results calls, the Annual General Meeting, employee survey
reports, the Board’s workforce engagement activities, and from
experts presenting at Board or committee meetings. The Chair
also holds regular investor check-in meetings, which the SID,
Charlie Bancroft, sometimes joins, and is available for individual
meetings with investors.
Other opportunities: Board members also gain wider
stakeholder views during the annual strategy meeting with the
GLT, as part of the yearly review of strategy, budget and
planning processes. This also includes a review of specific
aspects of the company’s policies or strategy. In addition, Board
members are encouraged to meet individually with employees,
shareholders and other key stakeholders during their induction,
and then on an ongoing basis. They are encouraged to report
to the Board on such experiences where relevant and material.
Engaging with our people
We have well-established and strong engagement mechanisms
with our employees, which are described on pages 14 and 15,
and which the Board monitors regularly. Four key governance
channels help the Board understand what our people are
thinking:
– regular Board updates from our Chief People Officer and the
CEO on culture and talent
– feedback from an annual employee engagement survey,
including questions on engagement, confidence and
inclusivity
– a range of pulse surveys of different-sized employee groups
to help check sentiment on a quicker and more frequent
basis, and to provide valuable insights on the impact of major
initiatives, events or communications
– direct engagement by the Board
Workforce engagement: Before the company's demerger, the
Board reviewed its formal workforce engagement
arrangements. It was decided to move from a specific
Workforce Engagement Director model and to apply an
‘alternative arrangement’ to the three methods set out in the
FRC’s Code.
Given that the new GSK Board was recently refreshed in terms
of tenure, with more than half the independent Non-Executive
Directors having served for less than three years, and given
GSK's renewed purpose and focus as a global biopharma
company, it was considered important to adopt a collective
Board engagement model. This was agreed to be the most
effective approach to ensure newer Board members meet
employees and hear their views.
This new model operated in 2023 through:
– direct in-person receptions with local employees during
Board site visits, including in Wavre, Belgium (as one of our
two global Vaccines hubs), Boston, US, and our global
headquarters in Brentford
– the Chair's site visits, including to the Wavre and Singapore
Vaccine manufacturing sites, and the Philadelphia
Commercial site
– the Chair's attendance at management meetings, including
China Commercial employees, the Commercial Core
Leadership team in the UK, China regional general managers
and Commercial talent and Saudi Arabia general
management team
– the Chair and Corporate Responsibility Committee Chair
convene and attend ongoing meetings with leaders of the
company's employee resource groups to talk about how they
experience GSK, how they think the DEI agenda and
ambitions are progressing and sharing their suggestions to
further enhance our DEI agenda
– utilising a variety of bespoke engagements that have
enabled a broad and open dialogue and facilitated first-
hand engagement discussions between the NEDs and our
people individually and as part of small groups,
encompassing perspectives on our strategy, purpose and
Ahead Together culture, and DEI

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Engaging with our shareholders
As a Board we aim to directly engage with and be directly
accountable to institutional investors and private retail
shareholders. We do this in several ways, including regular
communications, the Annual Governance Meeting, our Annual
General Meeting, and through the work of our Investor Relations
team, the Chair, Jonathan Symonds, and our Company
Secretary, Victoria Whyte. Our SID, Charlie Bancroft, is another
point of contact for our shareholders.
Each quarter, our CEO, Emma Walmsley, and CFO, Julie Brown,
give results presentations to institutional investors, analysts and
the media by webcast. They are also regularly joined by the
CSO, the Chief Commercial Officer (CCO), and CEO, ViiV. They
are able to provide investors with more detailed insights into
their specific areas of responsibility.
Through regular meetings, they each have an ongoing and
active dialogue with institutional shareholders about the
company's performance, plans and objectives. In 2023,
– CEO: 103 engagements, representing 38% of the company's
share register
– The current and previous CFO: 60 and 51 engagements,
comprising 33% and 31% of the register
– CSO: 90 engagements, representing 31% of the register
– CCO: 80 engagements, representing 39% of the register
– CEO, ViiV: 61 engagements with 39% of the register
Our Chair maintains a consistent dialogue with shareholders
too – including fund and portfolio managers – and regularly
engages with governance and ESG professionals. During 2023
and up to the date of publication of this Annual Report, Jon
held over 30 individual engagements with a range of
institutional shareholders, which make up approximately 30% of
the company’s share register. This enables him to gain a current
understanding of shareholders' views, insights and perspectives
of the company. He also discusses the continual evolution of
the many aspects of Board governance, performance oversight
and succession.
This year our Chair, CEO and the rest of the Board and key GLT
members focused on communicating the strong ongoing
performance of GSK as a global biopharma business, the
successful launch of Arexvy, the world's first RSV vaccine, and
progressing our pipeline across the core therapy areas of
infectious diseases, HIV, respiratory/immunology.and oncology.
Annual Governance Meeting
This year’s hybrid meeting was held in central London.
Institutional shareholders, key investment industry bodies and
proxy advisory firms were invited. 15 representatives of various
institutional shareholders and proxy advisers attended the
event, comprising approximately 25% of the company's share
register.
The meeting had a new format to make it as interactive as
possible. It began with Jon sharing with investors the Board's
priorities and focus for 2023 and beyond, with Charlie then
providing his reflections on the year. Jon, Charlie and our Non-
Executive Directors then held an informal and open discussion
of those issues on shareholders' minds, which helped foster a
richer dialogue.
The key themes covered included the:
– Board changes and succession planning arrangements
– work of and challenges for the Board over the last year
– company's current and future momentum and excellent
execution of our key priorities
– harnessing of digital, technology and talent, driven by our
Ahead Together purpose
– positive signs of the influence of our culture of being
ambitious for patients, accountable for impact and doing the
right thing
The meeting and its new format were well received and
shareholder feedback was shared with the full Board.
Annual General Meeting
We were pleased to hold the company's hybrid AGM at the
Sofitel Heathrow in May 2023. 72 shareholders joined the
meeting in person and 49 shareholders joined virtually via the
Lumi platform to watch or listen to updates from our Chair and
the CEO, and to vote. Shareholders were able to ask questions
during the meeting in person and virtually. All our proposed
resolutions were approved by shareholders, with majorities
ranging from 89% to 99%.
Our hybrid AGM this year will be held at a new venue, Royal
Lancaster Hotel in Central London, which is located close to our
new global headquarters. For more details see page 298.

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Section 172 statement

Board members are required by law to promote the success of their company for the benefit of both shareholders and wider
stakeholders, including employees, suppliers and society. This statement meets the requirement, as set out in Section 172 and
Section 414CZA of the Companies Act 2006 (Act). It summarises how, during 2023, our Directors addressed the matters set out in
Section 172(1) (a) to (f) of the Act when performing their duties.
The Board considers that this statement focuses on those risks and opportunities that are strategically important to GSK, consistent
with the Group’s size and complexity. This allows it to properly understand the potential effects of the decisions it makes on all
stakeholders.
The details of our engagement with our main stakeholder groups, including our patients, shareholders, consumers, customers and
employees across the organisation, is summarised generally throughout the pages of our Strategic report. The Board's continuous
engagement with the company's shareholders and people in particular is set out in this section on pages 121 to 127. Our corporate
governance architecture and processes are summarised on pages 116 to 118.
The Board seeks to consider all relevant matters when making decisions, most especially when these are to continue to drive
performance and momentum for GSK into the future.

(a) Long-term results

The likely consequences of any decision in the long term
In a challenging economic and political landscape, the Directors
recognise the criticality of investing in a pipeline of vaccines and
medicines to prevent disease as well as meeting the changing
and unmet healthcare needs in support of GSK’s purpose, our
Ahead Together strategy and ultimately the long-term success
and sustainability of GSK. At the same time, GSK works with
governments, regulators and industry partners to ensure our
medicines and vaccines can reach patients at scale, bringing
value to both the patients who need them and to payers
Our Directors appreciate that assessing the consequences of
their long-term decisions in this environment can be
multifaceted, finely balanced and invariably involves a trade-
off between competing stakeholder interests
To support their decision-making, Directors are provided with
papers/information that, as a minimum, describe the long-term
proposal under consideration and comment on how it:
– fits with/strengthens or otherwise impacts the business
strategy, budget and the three-year plan if relevant
– is aligned with our Ahead Together ambition and outlooks
Our Directors are also apprised of success and risk factors and,
if appropriate, alternatives considered and the rationale for
the proposed choice, highlighting any relevant stakeholder
impacts of the proposal under consideration, whether positive
and/or negative. The Directors then have all the relevant
factors for consideration during their decision-making process
Papers/information relevant to this duty are normally submitted
by the CEO; CFO; Chief Scientific Officer; Chief Commercial
Officer; President, Corporate Development; President, Global
Affairs, or other GLT members and/or their direct reports for
input, challenge and decision or awareness of the Directors
Matters considered by our Directors include:
– Pipeline progression reviews
– Budget planning
– Business development deals
– Capital allocation priorities
– Commercial (Vaccines, General Meds and Specialty) reviews
– Dividend policy
– ESG ambitions, including our six areas of ESG focus
For more specific details see our Ahead Together and business
model disclosures on pages 1, 8 and 9

(b) Our workforce

Interests of our people
Our Directors understand that our people are at the core of our
Ahead Together ambition, helping to power our purpose and
delivering on our strategy and seek to create and oversee an
environment at GSK in which outstanding people can thrive.
A positive employee experience is critical to attract, retain and
motivate the best people
Papers/information relevant to this duty are normally submitted
to the Board by the Chief People Officer or Head of Reward for
input, challenge and decision or awareness by our Directors
Matters considered by our Directors include:
– Culture progress
– Talent pipeline
– Diversity, equity and inclusion ambitions
– Ethnicity and gender pay gap data, trends and reporting
– Employee engagement practices and feedback
– Health and safety risks
– Pay fairness and benefits
– Performance with choice and the workplace environment
For more specific details see our culture and people, diversity,
equity and inclusion and engaging with our people disclosures
on pages 14 and 15, 52 and 53 and 121

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(c) Our business relationships

The importance of developing the Group’s business relationships with suppliers, customers and others
Patients are placed by GSK at the heart of our purpose and
culture, where we are all ambitious for patients, accountable for
our impact and do the right thing
Our suppliers and other key stakeholders – including
governments, NGOs, healthcare authorities, healthcare
professionals, R&D joint venture partners, affiliate companies
and others – help us research, develop, manufacture, regulate,
provide access and distribute the medicines, vaccines and other
products that patients need
A key imperative for our Directors, as custodians of a
responsible business, is to ensure the company develops and
monitors these relationships and partnerships to ultimately
serve patients. In line with our Code of Conduct, our suppliers
are expected to meet our Anti-bribery and corruption and
labour rights standards and to comply with our standards on
quality, health and safety, and the environment (which are
explored in further detail below). In helping to foster good
relations with suppliers we offer preferential payment terms to
designated smaller suppliers in the UK and US
Papers/information relevant to this duty are normally submitted
by the CEO; CFO; President; Global Supply Chain; Chief
Commercial Officer; Chief Scientific Officer; President, Global
Affairs and/or their direct reports for input, challenge and
decision or awareness by our Directors
Matters considered by our Directors include:
– Access to healthcare
– Ethical standards
– Global health and health security
– Human rights
– Modern slavery act statement
– Product governance
– Scientific and patient engagement
– Supplier payment policy
– Third-party risk management programme
– Working with third parties policy
For more specific details see our responsible business
disclosures on pages 45 to 55

(d) The community and the environment

The impact of the Group’s operations on the community and our environment
The environment is one of our principal ESG focus areas. ESG is
embedded in our strategy and fundamental to our success. To
get ahead of disease and to help ensure this long-term success,
our Directors recognise that as a responsible business we need
to consider ESG impacts across everything we do. This extends
from the lab to patients, by taking action on climate and nature
Our manufacturing sites have a key role in our contribution to a
net zero, nature positive, healthier planet, and environmental
sustainability is a fundamental part of our global supply chain
strategy. Supplier action will in turn help GSK achieve its
environmental goals on climate and nature. This is embodied in
GSK’s Sustainable Procurement Programme which, in its first full
year in operation, has seen our suppliers take action on carbon,
power, heat, transport, water, waste, and sustainable,
deforestation-free sourcing of materials in support of our
environmental sustainability goals
Our Directors believe the company should be reflective of and
support the diversity in the local communities in which we serve.
In doing so, we are strengthening early STEM education
investments to further support a long-term diverse talent pool
and increase the positive impact of volunteering activities within
our communities. We are also investing in plans to improve
natural habitats, protect biodiversity and improve soil and water
quality near our manufacturing sites
Papers/information relevant to this duty are normally submitted
by the President, Global Affairs; President, Global Supply; and
Chief People Officer and/or their direct reports for input,
challenge and decision or awareness by our Directors
Matters considered by our Directors include:
– Community investment and donations policy
– Clinical trial diversity planning and enrolment
– Diversity, equity and inclusion strategy
– Environment, net zero and nature positive goals
– Environment, health and safety risks
– Emerging climate and environmental legislative/regulatory
reviews
For more specific details see our responsible business and
climate and nature-related financial disclosures on pages 45 to
55 and 62 to 75

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(e) Our reputation

Our desire to maintain our reputation for high standards of business conduct
As a responsible company, GSK seeks to be a force for good,
with ambitious targets for positive impact on the health of
people, society and the planet. The company manages risks
effectively, takes action if things go wrong and seeks to respect
human rights. Our Directors periodically review the continuing
appropriateness of the frameworks underpinning our high
standards of business, such as our Code of Conduct, including a
range of policies and standards, and the architecture of our
corporate governance arrangements
Papers/information relevant to this duty are normally submitted
by the CEO; CFO; General Counsel; Chief Commercial Officer;
President, Global Affairs; Chief People Officer; Chief Digital and
Technology Officer; Chief Compliance Officer; the Company
Secretary; and Head of Audit & Assurance for input, challenge
and decision or awareness by our Directors
Matters considered by our Directors include:
– Audit & Assurance plan
– Code of Conduct
– Corporate and financial statements
– Corporate governance and regulatory updates
– Enterprise risk assessments
– ESG ambitions, including our six areas of ESG focus
– Emerging ESG legislative/regulatory reviews
– Internal control and risk effectiveness reviews
– Speak Up and internal investigations
For more specific details see our responsible business and
corporate governance architecture disclosures on pages 45 to
55 and 116 to 118, and our separate ESG Performance Report

(f) Fairness between our shareholders

Our aim to act fairly as between members of the Group
Our Directors seek to act fairly between the interests of all
shareholders – major and retail shareholders alike. There is
regular and constructive dialogue with shareholders to
communicate our strategy and performance to receive investor
views and perspectives, promote investor confidence, ensure
our continued access to capital and inform our Directors'
decision-making on strategic matters. As they do so, our
Directors navigate and weigh up a range of shareholder
opinion to arrive at decisions that support the long-term
success of the company
Papers/information relevant to this duty are normally submitted
by the CEO, CFO, President, Global Affairs, Head of Investor
Relations and the Company Secretary for input, challenge and
decision or awareness by our Directors
Matters considered by our Directors include:
– Annual general meeting
– Annual governance meeting
– Capital markets days and meet the management events
– Group and individual Director shareholder meetings
– Investor and analysts perception surveys
– Investor relations plan
– Remuneration policy proposals
For more specific details see our shareholder engagement and
shareholder information disclosures on pages 122 and 295 to
314

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Key decisions
In its decision-makin g, the Board focuses on GSK's priorities as a pure biopharma company with strong momentum and big
ambitions, whilst balancing the interests of our stakeholders. Selected examples of some of the key decisions taken by the Board in
2023 and January 2024 to drive our purpose, momentum and strategy include:

Decision | How the Board/Committee regarded stakeholder interests | Stakeholder groups and other section 172 duties considered
Upgraded ambition for growth The Board considered upgrades to the new and long-term ambitions for GSK, through investing for the future and delivering attractive returns to shareholders | In June 2021, GSK articulated to shareholders an outlook for the period to 2026 and 2031. Given GSK’s improved performance and strong momentum as a focused biopharma company, the Board and Audit & Risk Committee agreed that an update to investor expectations was appropriate In January 2024, following thorough review, GSK published new upgraded outlooks to the market for 2021-26 for sales to grow more than 7% and adjusted profit by more than 11% on a CAGR basis, and by 2031 to deliver sales of more than £38 billion. This represents an increase of £5 billion versus the estimate given in 2021 and a marked sales acceleration. This also provided clear visibility to shareholders, our people and other key stakeholders of the building blocks of future growth for the company | Stakeholders: Patients, employees and investors Other s172 duties: Our long-term results, workforce, fairness between shareholders and business relationships
Progressive dividend policy The Board and Audit & Risk Committee considered the application of the progressive dividend policy in line with capital allocation priorities | The Board recognises the importance of dividends to shareholders. In December, the Audit & Risk Committee and the Board considered how GSK's progressive dividend policy should best be applied in line with the agreed capital allocation priorities of the Group and its investment strategy for growth alongside the sustainability of the dividend This resulted in an increased dividend of 16p for Q4 2023 (Q4 2022: 13.75p) and 58p for the full year 2023 (2022: 61.25p). The expected dividend for 2024 is 60p | Stakeholders: Investors, patients and our workforce Other s172 duties: Our long-term results, workforce and business relationships and reputation, and fairness between our shareholders
Capital allocation framework The Board considered an updated capital allocation framework to best support growth and sustainable returns to shareholders | The Board approved an updated capital allocation framework, with the priority of investing in the business, focussed towards development of the pipeline through both the organic R&D portfolio, and targeted business development. This will be achieved through an increased focus on ROI for these investments Ultimately, the Board determined that the updated framework would continue to support investing in growth and delivering sustainable returns to shareholders, underpinned by a strong balance sheet. It is also consistent with GSK's strategic priorities and supports the company's commitment to deliver long-term profitable growth | Stakeholders: Patients, employees and investors Other s172 duties: Our long-term results, workforce, fairness between shareholders and business relationships
Business development The Science Committee considered the scientific merits of business development opportunities and where relevant for late stage assets commercial reviews, prior to the Board's review and approval | The Board, with support from the Science Committee and commercial reviews for late stage assets, reviewed many business development opportunities during the year. Those leading to concluded transactions included: – licence agreements with Hansoh Pharma for two antibody-drug conjugates with potential across several solid tumour indications to support our work in developing cancer treatments – agreement with Chongqing Zhifei Biological Products to co-promote Shingrix in China, which will significantly extend the availability of the vaccine and support patient access – acquisitions of BELLUS Health and Aiolos Bio to expand and strengthen GSK's respiratory portfolio These deals were considered in the context of their potential to help GSK deliver transformational medicines to patients and drive growth through accelerating the pipeline | Stakeholders: Patients, employees and investors Other s172 duties: Our long-term results, workforce and business relationships

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Decision | How the Board/Committee regarded stakeholder interests | Stakeholder groups and other section 172 duties considered
Artificial intelligence and workforce culture The Board considered the approach to and impact of adopting AI on an end-to- end basis across the business | The Board reviewed and provided feedback on the strategy to integrate and responsibly scale AI across the business to accelerate the pipeline, amplify performance and drive productivity The Board recognises the significant potential of AI, particularly in the context of interpreting datasets to develop medicines with a higher probability of success. However, with support from the Audit & Risk Committee, the Board also considered the associated risks of AI, as described on pages 133 and 134. The Board approved the establishment of the AI Governance Council, co-chaired by the General Counsel and CDTO to help manage these risks across the Group Close attention was also paid to the impact of adopting AI on the workforce, including wellbeing gains enabled through increased efficiency and the benefits of further upskilling and building AI capabilities | Stakeholders: Patients and employees Other s172 duties: Our long-term results, workforce and business relationships
Low-carbon Ventolin strategy The Corporate Responsibility Committee and Board reviewed plans for progression to the next phase of development of the low- carbon Ventolin programme | During the year, the Corporate Responsibility Committee endorsed and the Board reviewed and approved plans to progress the transition from a metered dose inhaler to new-generation low-carbon inhalers, to significantly contribute to GSK's carbon reduction targets for 2030 and 2045. Phase III trials will begin in 2024 and, if successful, the programme has the potential to reduce greenhouse gas emissions from use of the inhaler by approximately 90% The Board and Corporate Responsibility Committee carefully considered the needs of patients who rely on Ventolin, the complexity of the clinical development process as well as the investment required in new manufacturing facilities. If successful, the programme could lead to regulatory submissions in 2025, supporting the health of asthma and COPD patients and making a significant positive impact on GSK's transition to a more environmentally sustainable future | Stakeholders: Patients, employees and investors Other s172 duties: Our long-term results, workforce and business relationships

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Corporate Responsibility Committee report

Dr Anne Beal
Corporate Responsibility Committee
I am pleased to present this report, which is my second as Chair
of the Corporate Responsibility Committee (the Committee).
This is the first full year for GSK operating as a global
biopharma company, with a renewed purpose to unite science,
technology and talent to get ahead of disease together. To
deliver this purpose, the company needs to consider ESG
impacts across everything it does. The Committee oversees the
six ESG focus areas that address what is most material to the
business and the issues that matter the most to stakeholders.
As we worked through our programme of activities this year, my
Committee’s focus was to ask management fundamental
questions concerning:
– how well the company is performing against and making an
impact on the six ESG areas embedded in the company’s
strategy
– how this supports our sustainable performance and long-
term growth
– how further improvements can be identified and
implemented
To support this, we undertook a number of ESG performance
deep-dives.
Access
The Committee reviewed progress towards the company’s aim
to improve the health of 2.5 billion people by 2030 through
ensuring access to our vaccines and medicines, including
reaching 1.3 billion people in lower-middle income countries
(L/LMICs). In particular, we discussed:
– the flexible and tailored operating model to driving access in
L/LMICs, depending on need
– working with partners with the right capabilities and
geographical footprint to deliver interventions, which may
include donations, affordable supply and licensing, to make
sure people have access to the vaccines and medicines they
need
– investing £1 billion over 10 years in our Global Health R&D
pipeline and contributing to building resilient health systems
Global Health & Security
Anti-Microbial Resistance (AMR): The Committee reviewed the
external AMR landscape and trends, which are a major threat
globally, and considered the company’s holistic and innovative
investment approach to addressing this AMR threat. We were
pleased to note that this approach has resulted in the largest
relevant AMR vaccine R&D pipeline in the industry.
We discussed with management the steps needed to help
leverage this leadership position, in conjunction with the support
and expertise of the Science Committee. This included growing
our business development strategy and improving pathogen
surveillance capabilities. Given AMR is an urgent public threat
and stakeholders are increasingly interested in GSK’s approach
to it, we agreed that it was appropriate to include AMR as one
of our ESG Performance Rating metrics for the first time.
Environment
Carbon reduction plan: There is a very strong case for making
the transition to low-carbon inhalers. Salbutamol is an essential
rescue/reliever medicine, and GSK's Ventolin (salbutamol)
metered dose inhaler (MDI) is used by 35 million patients
globally. Use of the inhaler, due to the high global warming
potential (GWP) of the current propellent, accounts for half of
GSK’s carbon footprint. Management updated the Committee
about developing proposed plans to transition the inhaler to a
next-generation low-carbon propellant which, if successful, will
significantly contribute to GSK's carbon reduction targets for
2030 and 2045. However, developing this low-carbon inhaler is
complex and involves clinical and non-clinical programmes, as
well as establishing new manufacturing facilities.
Having examined these and other key considerations behind
investing in a low-carbon transition programme – which could
reduce greenhouse gas emissions from the inhaler by 90% – we
endorsed management’s R&D MDI transition programme
investment case to the Board, submitted after the read-outs
from latest early clinical data had been received and
evaluated. This supported the Board’s decision in November to
progress to phase III trials in 2024. If these trials are successful,
they could lead to regulatory submissions in 2025.
Nature plan review: The Committee received an update on
current performance against the company’s Nature positive
goal by 2030, which will be achieved by reducing the
company’s environmental impacts across water, waste and
materials, and biodiversity and by investing in protecting and
restoring nature. The Committee was satisfied that these Nature
goals and targets remain appropriate and industry leading.
We also noted that standards for assessing and verifying
companies' nature approach continued to strengthen. We were
pleased that GSK was actively helping to shape this
environment as a source of competitive advantage. Science
Based Targets Network for Nature (SBTN) set the first science-
based targets for a nature framework to validate companies’
nature targets, which was similar to the regulatory approach
previously adopted for climate-based targets. Given the relative
maturity of our Nature positive programme, the company is
pleased to be selected in the first group of 17 companies
globally to go through the target validation process, to accredit
our nature targets when the SBTN methodology was finalised.
Additionally, GSK has also committed to disclosing our
arrangements against the Taskforce on Nature-related
Financial Disclosures framework in our 2025 Annual Report.
Diversity, Equity and Inclusion
Delivery against People DEI aspiration: The Committee heard
from the Chief People Officer (CPO) on progress over the
company’s workstreams to drive increased leadership diversity,
build a diverse talent pipeline and foster an inclusive culture.
We were pleased with the excellent progress that had been
made to date and discussed the challenges and opportunities
to maintain future progress in these areas.

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Clinical trial diversity: The Chief Scientific Officer (CSO)
outlined the approach to broadening clinical trial diversity and
how this connects with our patient impact. The Committee
strongly agreed that the company’s clinical trials must be
accessible and inclusive to ensure our clinical development
programmes reflect the diversity of the patient populations
impacted by the disease under study including, but not limited
to, age, race, ethnicity, sex and gender. In doing so, we noted
the importance of reflecting epidemiological profile rather than
census profile as the benchmark from which to plan
appropriate patient representation and of working through
community groups to build trust, awareness and participation in
clinical trials.
ESG Performance Rating
The ESG Performance Rating (Rating) helps us integrate ESG
into the delivery of our strategy and allows us to measure and
verify the progress we are making. This is the second year that
the Rating has been used and the Committee continues to
oversee its evolution to make sure it meets the expectations of
key stakeholders.
We discussed with management the rationale for removing one
of the ESG metrics relating to Access. We also scrutinised how
the new AMR metric was formulated, reviewed, and set, to
make sure that it was a suitably stretching and strategically
relevant metric. We were joined by the CPO and CSO to discuss
the status of the five DEI metrics and any other measures
needed to progress performance against these metrics.
Separately, the Committee was kept informed of the work being
led by the CFO to assure the data underlying the ESG metrics
and Rating which has been overseen by the Audit & Risk
Committee.
We monitored and evaluated the company’s progress against
these metrics and the Rating at the half and full year. We then
recommended to the Board publishing a final 'on track' ESG
Performance Rating alongside the other ESG disclosures in this
Annual Report and our ESG Performance Report.
For more details, see page 46 of the Strategic report and in the
ESG Performance Report – both of which are available at
gsk.com.
Dr Anne Beal
Corporate Responsibility Committee Chair
27 February 2024

Science Committee report

Dr Hal Dietz
Science Committee
I am pleased to present my first report as Chair of the Science
Committee (the Committee) on our activities during 2023.
I joined the Committee in January 2022, and succeeded
Dr Jesse Goodman as Chair on 1 January 2023.
Jesse had been Chair of the Committee since it was created
seven years ago and made an outstanding contribution to
defining and implementing the Committee’s role. He remains an
important member of the Committee and offers vital insights to
our work.
The Committee’s key activities in 2023 were split into three
important areas:
– pipeline reviews: monitoring of GSK’s pipeline
– business development: undertaking technical reviews and
assurance of the underlying science of potential business
development transactions
– scientific deep-dives: discussing and analysing the key
scientific and technology themes which drive the company’s
R&D strategy
Pipeline progress
During 2023 the Committee continued to monitor the progress
of R&D. Our CSO, Dr Tony Wood, provided regular updates on
progress across the company’s four therapeutic areas:
infectious diseases, HIV, respiratory/immunology and oncology.
A particular pipeline highlight during 2023 was the launch of
Arexvy, GSK’s world-first RSV vaccine for older adults. During
the year, the vaccine gained approvals in the US, EU, Japan
and several other countries. Arexvy marked a turning point in
efforts to reduce the burden of the RSV, a respiratory virus
which has evaded prevention or therapeutic advances for over
60 years. It also heralds the next wave of vaccine innovation at
GSK.
In oncology, Jemperli, in combination with chemotherapy,
received approval in the US and EU as the first new frontline
treatment option in decades for patients with dMMR/MSI-H
primary advanced or recurrent endometrial cancer. These
approvals reinforced the potential of Jemperli to redefine
cancer treatment as the backbone of immuno-oncology
therapy.
A number of other key regulatory milestones were also achieved
during the year:
– Shingrix vaccine for shingles approved for people at risk over
18 in Japan and positive data from first efficacy trial in China
– Apretude, a long-acting preventative treatment for HIV,
approved as the first and only HIV prevention option in
Europe
– Ojjaara/Omjjara, approved in the US, EU and UK as the first
and only treatment for both newly diagnosed and previously
treated myelofibrosis patients with anaemia
– gonorrhoea vaccine candidate received US FDA fast-track
designation

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The Committee was pleased with the progress made to
accelerate the pipeline during the year, both in terms of
investment in the late-stage pipeline to drive growth, as well as
through rigorous decision-making with the early stage pipeline
to maximise its potential impact on patients.
R&D leadership changes
Continuing to accelerate the pipeline relies on attracting the
best people and fostering a culture that is ambitious for
patients, accountable for impact and always does the right
thing. That is why the Committee was pleased with the R&D
leadership changes made this year, including creating three
dedicated Research Units: vaccines and infectious diseases,
respiratory and immunology, and oncology. HIV research
operates as part of our global specialist HIV company, ViiV
Healthcare.
These changes mean the company can better focus on its core
therapeutic areas and more easily identify the targets that will
have the best outcomes for patients. Supporting these new
teams is a single research technologies organisation, which
brings together platform and data groups to integrate
technology more effectively across GSK's workflow.
Business development transactions
Since the demerger, the CSO and his team have worked hard to
accelerate business development to complement GSK’s organic
pipeline. This called upon our Committee to devote nearly twice
as much time in our meetings to critically vet business
development proposals and transactions, compared with last
year.
Transactions reviewed by the Committee during the year
include:
BELLUS Health: the acquisition of BELLUS, a late-stage
biopharmaceutical company working to better the lives of
patients suffering from refractory chronic cough (RCC). The
acquisition provided GSK with access to camlipixant, a
potential best-in-class treatment in phase III development for
the first-line treatment of RCC. This acquisition aligned to GSK’s
expertise in and prioritisation of respiratory medicines.
Hansoh Pharma: two exclusive licence agreements for
antibody-drug conjugates: HS-20089, with best-in-class
potential in ovarian and endometrial cancer and HS-20093,
with promising initial clinical activity in lung cancer with the
potential to address unmet medical need in broader solid
tumour indications.
Aiolos Bio: acquisition of Aiolos, which closed in February 2024,
adds AIO-001 to GSK's respiratory biologics portfolio. AIO-001 is
a phase II-ready long-acting antibody that could redefine the
standard of care for asthma patients, with dosing every six
months. It also has the potential to expand the company's
reach to a broader range of asthma patients.
Arrowhead Pharmaceuticals and Janssen Pharmaceuticals:
the transfer of exclusive worldwide rights to further the
development and commercialisation of an investigational
therapeutic to treat chronic hepatitis B. GSK plans to evaluate
this drug in a sequential regimen with bepirovirsen (GSK’s
investigational antisense oligonucleotide) for the treatment of
chronic hepatitis B. The transaction has the potential to
redefine the treatment paradigm for chronic hepatitis B by
enabling more patients to achieve functional cure.
As a Committee, we are confident that these transactions have
strong scientific justification and look forward to seeing them
develop in the next few years.
Deep-dives into innovative science
During the year the Committee has continued to undertake
scientific deep-dives into some of the highly innovative
technologies currently being explored by the CSO and his team.
Deep-dives undertaken in 2023 included, but were not limited
to, both liver disease and oligonucleotide strategy.
GSK’s expertise in infectious disease, immunology and human
genetics has driven research into chronic hepatitis B. In 2023,
new data presented for bepirovirsen has improved
understanding of the heterogeneous nature of hepatitis B
infections. Insights – from the B-Clear and B-Together phase
IIb trials for bepirovirsen – will help GSK progress towards a
comprehensive functional cure for people living with chronic
hepatitis B, a common cause of chronic liver disease.
Our deep-dive into oligonucleotide-based therapeutic
strategies positions GSK to achieve leadership in this field.
Oligonucleotides have a unique ability to address a wide range
of genomic targets across many therapeutic areas, which
means they offer enormous potential to help patients with
diseases that have historically been difficult to treat.
The company’s collaboration with Wave Life Sciences, initiated
in 2022, brought together Wave’s PRISM TM platform and GSK’s
expertise in genetics and genomics to progress up to eight
preclinical programmes. The collaboration also granted GSK
the exclusive licence for Wave’s preclinical programme to treat
alpha-1 antitrypsin deficiency, complementing GSK’s own
clinical-phase oligonucleotides, including bepirovirsen.
Committee changes
Since I became Chair, there have been no changes to the
Committee’s composition during 2023. Work is underway by the
Nominations & Corporate Governance Committee to refresh
the Board’s scientific expertise including a successor to Dr Jesse
Goodman, who is due to retire from the Board in 2025. I look
forward to providing an update on this next year.
Dr Hal Dietz
Science Committee Chair
27 February 2024

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Nominations & Corporate Governance Committee report

Jonathan Symonds
Nominations & Corporate Governance Committee
I am pleased to present my fifth report as Chair of the
Nominations & Corporate Governance Committee (the
Committee).
Evolving the Board and pipeline of talent
In my Corporate governance statement on page 114, I discussed
the important Board appointment processes that have been
undertaken recently. Julie Brown, our new CFO, was appointed
in September 2022 and joined the Board in 2023. Wendy
Becker, our new Remuneration Committee Chair designate, was
appointed and joined the Board in the second half of 2023. A
transition process is underway to enable Wendy to succeed Urs
Rohner as Remuneration Committee Chair at the close of the
2024 AGM. These appointments are tailored to the biopharma
company we now are.
The Committee seeks to follow best practice in all the searches
it makes and appointments it recommends to the Board,
agreeing the criteria for each role, the most appropriate diverse
interview panel and considering a comprehensive and diverse
longlist of candidates. Shortlisted candidates are interviewed
and assessed against the chosen criteria. Due diligence is then
undertaken before the Committee makes its final
recommendation. Executive search firms are appointed
according to the company’s procurement policy and based on
their expertise relative to each role.
The Committee only engages search firms that are signatories
to the Voluntary Code of Conduct of Executive Search Firms on
gender diversity and best practice.
The Committee worked with a number of executive search firms
in 2023. They also provided additional consultancy services to
the company: Korn Ferry (general recruitment, executive search
and assessment services and other HR-related services); Egon
Zehnder (executive search, assessment and coaching services
to specific senior executives); Russell Reynolds (executive
search services).
The Committee reviewed the potential for conflicts of interest
and judged that there were appropriate safeguards against
such conflicts. I look forward to reporting on the Committee's
continued work and progress to evolve the Board further in next
year's report.
The Committee also continues to review our diverse talent and
succession pipelines and the development plans for key
management roles and their successors. During the year, we
undertook a deep-dive of the emerging senior talent that the
GLT had identified – people who were exceeding expectations
or exceptionally talented, and who have the potential to take
on a GLT role in the future. This included reviewing the strategic
approach to talent development planning. The Board seeks to
meet with these individuals at employee receptions and
through other Board engagement opportunities.
Board and GLT diversity
We are committed to the diversity of our Board and its
committees, just as GSK is committed to equal opportunities for
all employees at every level of the company. The Board and
management seek to support and encourage a diverse and
inclusive culture throughout the company.
An effective Board includes a range and balance of skills,
experience and knowledge as well as diversity of ethnicity,
gender, sexual orientation, professional and social-economic
background, disability, age and independence, with individuals
who are prepared to challenge each other collaboratively. This
mix is complemented by a diversity of personal Board
attributes, including character, intellect, judgement, honesty
and courage.
The Committee is responsible for developing measurable
objectives, in line with the relevant regulatory and best practice
targets, and monitoring their progress – which is part of
implementing the Board’s diversity policy (Policy). This includes
gender and ethnicity diversity targets, and applying it to our
Board committees. As a minimum, we seek to align our Policy
objectives with the Financial Conduct Authority (FCA), FTSE
Women Leaders Review and Parker Review diversity targets
(Regulatory and Best Practice Targets) and ensure that they
are consistent with our public DEI aspirations. We currently
meet or exceed our policy objectives and the Regulatory and
Best Practice Targets shown on the next page.
Board and GLT diversity data collection
This year, diversity data has been gathered directly on a self-
identified basis as follows:
– Board members: using a questionnaire
– GLT members: individual election held on GSK's HR database
All diversity data published in the following section of the report
are as at 31 December 2023 and the date of publication. We
also continue to oversee the developing pipeline of direct
reports to the GLT by gender and from ethnically diverse
backgrounds.
Full details of GSK’s representation of women and ethnically
diverse leaders is covered on page 53, as part of the diversity of
our global workforce. The pleasing progress against our DEI
commitments, including gender and ethnicity, is illustrated in
our ESG Performance Report on gsk.com. This good progress
has been boosted since introducing a DEI measure in 2022 as
part of the Annual bonus arrangements for our Executive
Directors and other GLT members.
Sir Jonathan Symonds
Nominations & Corporate Governance Committee Chair
27 February 2024

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Diversity, equity and inclusion

Ethnicity |  | Gender
|  | % female composition 1

l |  | Ethnically diverse: 17%
l |  | White: 83%

l |  | Current/historic
l |  | Expected

(1) Target female representation on the Board is 40%. Data from the GSK Annual Report published in the first quarter of each year. Current female
representation is 42% and includes one of the very few all-female Executive Boards running a FTSE 100 company. This is expected to rise to 45% in May
2024, after Urs Rohner retires from the Board
Board and GLT diversi ty objecti ves
FCA UK Listing Rule diversity reporting

|  | Number of Board members | Percentage of the Board | Number of senior positions on the Board (CEO, CFO, SID and Chair) | Number in Executive Management | Percentage of executive management
| Gender identity or sex |  |  |  |  |
| Men | 7 | 58% | 2 | 6 | 50%
| Women | 5 | 42% | 2 | 6 | 50%
| Not specified/preferred not to say | — | — | — | — | —
| Ethnic background |  |  |  |  |
| White British or other White (including minority white groups) | 10 | 83.3% | 4 | 10 | 83.3%
| Mixed/Multiple Ethnic Groups | — | — | — | — | —
| Asian/Asian British | 1 | 8.3% | — | 1 | 8.3%
| Black/African/Caribbean/Black British | 1 | 8.3% | — | — | —
| Other ethnic group, including Arab | — | — | — | — | —
| Not specified/preferred not to say | — | — | — | 1 | 8.3%

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At least: | Status of objective | Performance
– 40% of Board positions held by women | Met | 42%
– one woman in a senior Board position (CEO, CFO, SID and/or Chair) by the end of 2025 | Exceeded | Two Directors (CEO and CFO)
– 40% of GLT positions held by women | Exceeded | 50%
– one Board Director is ethnically diverse | Exceeded | Two Directors
– one GLT member ethnically diverse by the end of 2025 | Met | One GLT member

Audit & Risk Committee report

Charles Bancroft
Audit & Risk Committee
I am pleased to present this report, which is my third as Chair of
the Audit & Risk Committee (the Committee), and in the
following pages I aim to share insights into the activities
undertaken or overseen by the Committee during the year.
2023 was GSK’s first full year as a focused global biopharma
company. The Committee reviewed key operational features
and risks of the governance platform that underpin our purpose
to unite science, technology and talent to get ahead of disease
together. I am also pleased to report on progress against the
Committee's expanded remit to oversee and review ESG data
assurance.
This Committee continues to have primary oversight for the
Zantac litigation through regular legally privileged updates and
review of the related accounting, disclosure and
communication requirements. The Committee also reviews the
current indicative timeline of cases. I report and summarise the
key matters for the Board for its awareness, input or decision.
We continue to defend all claims brought vigorously based on
the science.
Based on the work the Committee has done or inspected, GSK
continues to exhibit a strong compliance culture, with a
consistent tone and engagement from the top that runs
throughout the organisation. Our financial reporting and
controls framework remains robust and required no
fundamental changes during the year.
Science
Strategic vaccine partnership in China: In Q3 2023, the
company entered into an exclusive agreement with Chongqing
Zhifei Biological Products, Ltd (Zhifei) to co-promote Shingrix in
China to support accelerated market penetration for our
innovative vaccine. The Committee scrutinised this
arrangement before it was concluded. A significant amount of
time and resources were devoted to due diligence of this
arrangement, and key controls were introduced to ensure our
compliance expectations would be met to mitigate risks.
The Committee was satisfied that the ongoing governance
framework – with monthly reviews and monitoring
arrangements – was appropriate. Experienced compliance
personnel were also allocated to support the partnership.
Chief Patient Officer: A new role of Chief Patient Officer was
established from the beginning of 2024. The Committee
assessed the controls and governance arrangements for this
new role. The Chief Patient Officer's primary role is to provide
medical leadership as part of one overarching GSK asset and
disease strategy. The Chief Patient Officer reports to the Chief
Commercial Officer to ensure patients treated with GSK
products benefit from robust, compliant scientific information, in
line with our commitment to patients.
We also satisfied ourselves that key areas of medical ethics,
safety and execution of clinical trials have clear lines of
escalation to our Chief Medical Officer. This further enhanced
the company’s Internal Control Framework and Independent
Business Monitoring protocols.
Technology
Data privacy and ethics: This is a rapidly evolving principal risk
for the Committee’s oversight. The number of privacy laws and
regulations, often based on the EU General Data Protection
Regulations, is increasing in a number of territories around the
world. Consequently, the Committee was interested to further
understand the regulatory approaches being adopted in some
of our biggest markets, including the US, India and China, and
how they may affect GSK’s operations, including our R&D
operations.
The Committee receives regular reports on the robust and
integrated governance framework GSK operates to monitor and
govern the use of data generally. GSK's framework is made up
of specialist governance boards that include representative
members from relevant internal functions. This framework has
been further augmented with a team from the Legal and
Compliance function with expertise to advise on global digital,
privacy and cyber security matters.
The Committee discussed the tenets of the new enhanced
flexible data privacy model being introduced. This is expected
to comprise global privacy principles and standardised global
controls meeting the EU standards. The reward would be
flexibility to adopt different standards where local laws are
incompatible with GSK's standardised global controls, provided
they meet GSK's global privacy principles.
More details of the measures taken during the year to mitigate
this risk are described on page 60.
Information and cyber security: This is a principal risk for GSK
and an area that remains a standing agenda item which is
discussed at each of our scheduled meetings.
The Chief Digital and Technology Officer (CDTO), Chief
Information and Security Officer (CISO) and Chief Compliance
Officer (CCO) present updates on information and cyber
security, as well as assessments of the status of their associated
key risk indicators.
The CDTO’s skills and experience, especially those related to
cyber security, are set out on page 112. Our CISO has spent his
career building and leading technology teams across several
functional areas, including cyber security and IT infrastructure
for digital communications and healthcare companies. He was
also responsible for establishing the cyber security function for
Haleon plc prior to its demerger.
Our CCO focuses on ensuring that a consistent and cohesive
approach to information and cyber security operates across all
aspects of the business and enterprise risk management. The
CCO is also responsible for the Risk Analytics and Monitoring
organisation. He has previous experience in creating a
dedicated Global Risk Office that combines enterprise risk
management and reporting activities for GSK.
During the year, the Committee reviewed progress against the
first full year of our updated multi-year Cyber Security Plan
(Plan) which was benchmarked against the National Institute of
Standards and Technology Cyber Security Framework (NIST-
CSF). At the end of 2023, to help validate how the company’s
capabilities had improved, the Committee examined the results
of an internal NIST assessment that was undertaken jointly by
our Tech and Audit & Assurance functions. In 2024, building on
this assessment, the Committee will review the scheduled
external NIST review by specialist independent cyber experts.
I look forward to providing an update on the results of this
independent review in my report next year.

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The Committee has also been closely following the
development, finalisation and introduction of the Securities and
Exchange Commission’s (SEC) new cyber security rules (Rules)
effective from the end of 2023. We are satisfied that the
company, as a foreign private issuer, has taken the necessary
governance steps to ensure compliance with these
requirements.
The Committee assesses the adequacy of GSK's insurance risk
coverage arrangements annually, including the information and
cyber security risk, as part of its insurance risk programme
review. I then communicate the Committee’s recommendation
to the Board before implementation.
Also on our agenda was cyber security training for GLT – which
included cyber security simulation exercises and learnings –
and for the wider workforce. We discussed mandatory training
for new joiners and regular phishing-simulation exercises.
I highlighted previously the relevant cyber security expertise my
Board colleague, Dr Vishal Sikka, brings to our deliberations.
We are looking to further strengthen our oversight in this area
by running bespoke cyber incident training sessions for all
Directors. Their cyber-related experience is included in the
Board biographies on pages 108 to 111.
Further details of the other measures taken during the year to
mitigate this risk are described on page 60.
Artificial Intelligence (AI): The rapid advancement of AI, in
particular generative technology and its potential application
across the company, presents significant opportunities to drive
innovation, growth and productivity and, in doing so, to
accelerate our purpose. To this end, the Board is reviewing
opportunities to scale use of AI for potential competitive
advantage. Balanced against this is the awareness that there is
a lack of harmonisation from new and emerging regulations
that govern ethical and responsible use of AI. These new trends
may impact the risk profile of our Research practices, Scientific
and patient engagement, Data ethics and privacy, and
Information and cyber security principal risks, and could have a
future impact on GSK’s value chain. Therefore, these
developments were being monitored very closely by
management and the Committee.
To this end, the Board approved the establishment of the AI
Governance Council (Council), co-chaired by the General
Counsel and CDTO and comprising cross-functional experts. In
particular, the Council is assessing business activities against
the current risk environment through our internal control
framework. Importantly, the Council is fully connected to the key
data management boards for data ethics and privacy and
information and cyber security. I am pleased to report that the
Council has approved and implemented a suite of written
standards, controls for adopting new AI tools, and training
tailored for developers, procurers and users of AI.
The Committee and our auditor have a shared goal to leverage
technology as appropriate. We were particularly interested in
and discussed with the auditor how they can use AI to deliver
increased effectiveness and efficiency in their audit. We are
also keen to better understand the opportunities for GSK to use
scalable AI-enabled innovations to improve the speed and
performance of its tracking and detection capabilities. This is a
key part of staying ahead of the increasingly sophisticated
threats to the Group and our third parties. This will be an area
we continue to focus on.
ESG data assurance
The Committee oversaw the creation and implementation in Q3
2023 of a new dedicated ESG data assurance hub in our
Finance organisation. This formally established a consistent
approach to governance, processes and controls which have
been developed to further improve assurance of ESG data in
support of the company’s performance against key ESG metrics.
Meanwhile, our Corporate Responsibility Committee, on behalf
of the Board, continues to oversee ESG strategy, performance
assessment and reporting.
The hub's initial focus is on environmental data. Later, as its
processes and capabilities develop, the hub will look at social
and governance areas too. Soon the Committee will also
oversee the development and implementation of technology
solutions to automate information gathering and to supplement
the level of process and control standards that surround ESG
performance data.
Looking forward, the Committee will continue to review
upcoming regulations that might affect our future ESG
assurance and reporting obligations, which have been
highlighted by the hub’s horizon-scanning activities. In
particular, the Committee discussed the initial results of the
ongoing impact assessment that is underway for the Corporate
Sustainability Reporting Directive. This directive could become
partially effective from our 2025 reporting year, and would be
fully effective at a consolidated reporting level for GSK by 2028.
We are also aware that reporting arrangements to reflect the
published SEC Climate regulations are expected to become
effective from the 2026 financial year.
Internal control framework
The Board recognises its obligation to present a fair, balanced
and understandable assessment of GSK’s current position and
prospects. It is accountable for evaluating and approving the
effectiveness of GSK’s internal controls, including financial,
operational and compliance controls, and risk management
processes.
We ensure the reliability of our financial reporting, and
compliance with laws and regulations, through our internal
control framework. This is a comprehensive enterprise-wide risk
management model, which supports the Board to identify,
evaluate and manage the Group’s principal and emerging risks,
as required by the FRC’s Code. The framework is designed to
manage the risk of GSK not achieving its business objectives.
A fit-for-purpose framework – complemented by our corporate
culture and Speak Up processes – ensures that the risks
associated with our business activities are actively and
effectively controlled in line with our agreed risk appetite. We
believe GSK’s framework provides reasonable, but not absolute,
assurance against material misstatement or loss.
The Board mandates the Group’s Risk Oversight and
Compliance Council (ROCC) of senior leaders to support the
Committee in overseeing risk management and internal control
activities. It also provides the business with a framework for risk
management and escalation of significant risks. Risk
management and compliance boards (RMCBs) across the
Group promote the ‘tone from the top’ and establish our risk
culture, and ensure effective oversight of internal controls and
risk management processes.

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Each principal risk has an assigned risk owner, drawn from
senior management, who is accountable for managing the
principal risk with oversight from a GLT member, which includes
setting and implementing risk mitigation plans. Risk owners
report quarterly on their respective risk management approach
and progress at the ROCC and the appropriate Board
committee. Our Compliance function assists the ROCC and
RMCBs. Compliance is responsible for advancing enterprise-
wide risk management and for developing risk-based and
ethically sound working practices. It also actively promotes
ethical behaviours by enabling all employees to operate in line
with our culture and comply with applicable laws and
regulations.
Our Audit & Assurance (A&A) function provides independent
assurance to senior management and the Board on the
effectiveness of risk management Group-wide, in line with an
agreed assurance plan. This helps senior management and the
Board to meet their oversight and advisory responsibilities to
fulfil GSK’s strategic objectives and build trust with patients and
other stakeholders. A&A has a dual reporting line to the CFO
and the Committee.
As a Committee we receive regular reports from principal risk
owners, Compliance and A&A on areas of significant risk to the
Group and on related internal controls. These reports assess the
internal control environment within each principal risk area,
including enhancements to strengthen controls. Once we have
considered these reports, the Committee reports annually to the
Board on the effectiveness of GSK’s internal controls.
In 2023, through the authority delegated to the Committee, the
Board conducted a robust assessment of the Group’s principal
risks. This assessment in line with the FRC’s Code included
consideration of the nature and extent of risk the Board is
willing to take to achieve GSK’s strategic objectives.
The Board, via the Committee, also oversaw the effectiveness of
our internal control environment and risk management
processes across the Group for the whole year, up to the
approval date of this Annual Report.
More detail about the review of the Group’s risk management
approach is further discussed in the Risk management section
of the strategic report on pages 57 to 76.
The management of each principal risk is explained in ‘Principal
risks and uncertainties’ on pages 284 to 294. The Group’s
viability is discussed in the Strategic report on page 76.

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Significant issues relating to the financial statements
In considering GSK’s quarterly financial results announcements and the financial results in the 2023 Annual Report, the Committee
reviewed the significant issues and management judgements in determining those results. It reviewed management papers setting
out the key areas of risk, actions taken to quantify the effects of the relevant issues, and judgements made by management on the
appropriate accounting required to address those issues in the financial statements.
The significant issues considered in relation to the financial statements for the year ended 31 December 2023 are set out in the
following table, with a summary of the financial outcomes where appropriate. The Committee and the external auditor have
discussed the significant issues addressed by the Committee during the year and the areas of particular audit focus, as described in
the Independent Auditor’s Report on pages 166 to 179.

Significant issues considered by the Committee in relation to the financial statements | How the issue was addressed by the Committee
Going concern basis for the preparation of the financial statements | The Committee considered the outcome of management’s half-yearly and year-end reviews of current and forecast net debt positions and the various financing facilities and options available to the Group. The Committee also considered management’s review of the impacts of both the current economic environment and climate change. Following consideration of these assessments, which included stress testing and viability scenarios, sources of liquidity and funding, forecasts and estimates, the Committee confirmed that the application of the going concern basis for the preparation of the financial statements continued to be appropriate.
Revenue recognition, including returns and rebates (RAR) accruals | The Committee reviewed management’s approach to the timing of recognition of revenue and accruals for customer returns and rebates. The RAR accrual for US Commercial Operations was £6 billion at 31 December 2023 and the Committee reviewed the basis on which the accrual had been made and concurred with management’s judgements on the amounts involved. A fuller description of the process operated in US Commercial Operations in determining the level of accrual necessary is set out in ‘Critical accounting policies’ on pages 191 and 192.
Provisions for legal matters, including investigations into the Group’s commercial practices | The Committee received detailed reports on actual and potential litigation from both internal and external legal counsel including the Zantac litigation, together with a number of detailed updates on investigations into the Group’s commercial practices. Management outlined the levels of provision and corresponding disclosure considered necessary in respect of potential adverse litigation outcomes and also those areas where it was not yet possible to determine if a provision was necessary, or its amount. At 31 December 2023, the provision for legal matters was £0.3 billion; see Note 32 to the financial statements, ‘Other provisions’ for more details.
Provisions for uncertain tax positions | The Committee considered current tax disputes and areas of potential risk and concurred with management’s judgement on the levels of tax contingencies required. At 31 December 2023, a tax payable liability of £0.6 billion, including provisions for uncertain tax positions, was recognised on the Group’s balance sheet.
Impairments of intangible assets | The Committee reviewed management’s process for reviewing and testing goodwill and other intangible assets for potential impairment. The Committee accepted management’s judgements on the intangible assets that required writing down and the resulting impairment losses of £421 million in 2023. See Note 20 to the financial statements, ‘Other intangible assets’ for more details.
Valuation of contingent consideration in relation to ViiV Healthcare | The Committee considered management’s judgement that it was necessary to increase the liability to pay contingent consideration primarily as a result of updated exchange rate assumptions as well as increases in sales forecasts and the unwind of the discount. After cash payments of nearly £1.1 billion in the year, at 31 December 2023 , the Group's balance sheet included a contingent consideration liability of £5.7 billion in relation to ViiV Healthcare. See Note 33 to the financial statements, ‘Contingent consideration liabilities’ for more details.
ViiV Healthcare put option | The Committee reviewed and agreed the accounting for the Pfizer put option and concurred with management’s judgement on the valuation of the put option of £0.8 billion at 31 December 2023.

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Effectiveness and quality of external audit
process
The Committee is committed to making sure that GSK receives
a high-quality and effective external audit. In evaluating
Deloitte’s performance during 2022, prior to making a
recommendation on its reappointment in early 2023, the
Committee reviewed the effectiveness of its performance
against the criteria which it agreed with management at the
beginning of 2022.
The detailed criteria used to judge Deloitte's effectiveness as
external auditor are available at gsk.com. These are based on
the audit approach and strategy, ensuring a high-quality
independent audit, effective partnership and value for money.
The Committee monitors engagements with external
stakeholders relevant to our areas of oversight, including the
FRC and Securities and Exchange Commission.
We sought to ensure that Deloitte would deliver a smooth,
thorough and efficiently executed audit for 2023 and so
considered:
– the overall quality of the audit
– the independence of Deloitte
– whether Deloitte showed an appropriate level of challenge
and scepticism in its work
Deloitte’s length of tenure was not taken into account when
assessing its independence and objectivity, given it only
commenced its role as auditor in 2018. However, the Committee
did consider how effectively it had assumed its role as auditor.
The Committee also considered feedback on the 2023 external
audit, through a survey of Committee members and the
financial management team at corporate and business unit
level. The survey covered the:
– effectiveness of the auditor’s challenge
– integrity of Deloitte
– transparency of its reporting to management and the
Committee
– the auditor's effective use of technology
– clarity of the auditor’s communications and ways of working
– quality of the audit team’s leadership
– skills and experience of the audit team
As Committee Chair, I regularly meet independently with the
audit partner. We also meet with the auditor privately at the
end of each Committee meeting to discuss progress, as
appropriate.
Having reviewed the above feedback, and noted any areas of
improvement to be implemented by the audit team for 2024,
the Committee was satisfied with the:
– effectiveness of the auditor and the external audit process
– auditor’s independence, qualifications, objectivity, expertise
and resources
We agreed to recommend to the Board Deloitte's
reappointment at the next AGM, and did so free from the
influence of any third party.
Auditor’s reappointment
External auditor

External auditor appointment |
Last tender | May–December 2016
Transition year | 2017
First shareholder approval of current auditor | May 2018
First audited Annual Report and 20-F | Year ending 31 December 2018
New lead audit engagement partner | 2023
Next audit tender required by regulations | 2025/2026 (to take effect from 2028)

There were no contractual or similar obligations restricting the
Group’s choice of external auditor.
Audit partner rotation
The external auditor is required to rotate the audit engagement
partner for GSK every five years.
Our previous audit partner stepped down in March 2023 after
the audit of GSK’s financial statements for 2022 was concluded.
After a robust review process by the Committee, together with
the former CFO, the new audit partner was selected. The
Committee approved the appointment with effect from the
start of the 2023 financial year.
We were satisfied that Deloitte managed an orderly handover
to the new audit engagement partner. This resulted in a
seamless transition and maintenance of high levels of audit
quality and effectiveness throughout the reporting year.
Audit tender
The Committee considers that, during 2023, the company
complied with the mandatory audit processes and audit
committee responsibility provisions of the Competition and
Markets Authority Statutory Audit Services Order 2014.
As Deloitte continues to maintain its independence and
objectivity, and the Committee remains satisfied with its
performance, GSK does not intend to tender the external
auditor contract before the end of the current required period
of 10 years identified above and considers that this is in the best
interests of shareholders. The Committee was mindful that there
were appointments of a new CFO for GSK and audit partner for
Deloitte during the 2023 financial year, which is helpful in
further mitigating the risks of any over-familiarity between the
company and the auditor.

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Non-audit services
Management operates on the presumption that other
accountancy firms will ordinarily provide non-audit services to
GSK. However, where the external auditor’s skills and experience
make it the only suitable supplier of non-audit support – such
as for audit-related matters, tax and other services – it may be
used, in the best interests of the company.
In line with GSK’s non-audit services policy, the Committee
ensures that auditor objectivity and independence are
safeguarded by reviewing and pre-approving the external
auditor’s provision of such services. The company policy
complies with the FRC’s 2019 Revised Ethical Standard and the
Sarbanes-Oxley Act of 2002. It observes the following core
policy features on engaging the external auditor for non-audit
services:
GSK non-audit services policy, key features:

Process: | All non-audit services over £50,000 are put to competitive tender with other financial services providers, in line with the Group’s procurement process, unless the skills and experience of the external auditor make it the only suitable supplier.
Safeguards: | Adequate safeguards are established so that the objectivity and independence of the Group audit are not threatened or compromised.
Fee cap: | The total fee payable for non-audit services should not exceed 50% of the annual audit fee, except in special circumstances where there would be a clear advantage in the auditor undertaking the additional work.
Prohibitions: | GSK’s policy includes a ‘whitelist’ of permitted non-audit services in line with the relevant regulations. Any service not on this list is prohibited.
Pre-approval: | All non-audit services require pre-approval as set out in the table below to ensure services approved are consistent with GSK’s non-audit policy for permissible services. This process ensures all services fall within the scope of services permitted and pre-approved by the Committee and does not represent a delegation of authority for pre-approval.
| Value More than £50,000 Between £25,000 and £50,000 Under £25,000 | Pre-approver Committee Chair and CFO Group Financial Controller Designate of the Group Financial Controller

Audit a nd other s ervices co mparison (£m)

l | Audit services
l | Other Assurance services
Further fees payable to Deloitte for non-audit services relating to the Consumer Healthcare demerger were £4.4 million in 2022 and £2.4 million in 2021, as set out on page 115 of the 2021 Annual Report and page 128 of the 2022 Annual Report respectively. A fee of £0.2 million was paid to the auditor in respect of GSK pension schemes in each of 2021, 2022 and 2023

The fees paid to the company's auditor and its associates are
set out above. Further details are given in Note 8 to the
financial statements, ‘Operating profit’ on page 198.
The Committee considered the level of non-audit services
incurred as part of its annual review of Deloitte’s independence
set out on the previous page and was satisfied that the auditor
continued to be independent and exercised objectivity
throughout 2023.
Fair, balanced and understandable assessment
The need for an annual report to be fair, balanced and
understandable is one of the key compliance requirements for a
company’s financial statements. To ensure that GSK’s Annual
Report meets this requirement, we have a well-established and
documented process governing the coordination and review of
Group-wide contributions to the publication. This runs in parallel
with the process followed by the external auditor. The
Committee received a summary of management’s approach to
GSK’s 2023 Annual Report to ensure it met the requirements of
the FRC’s Code. This enabled the Committee, and the Board, to
confirm that GSK’s 2023 Annual Report as a whole is fair,
balanced and understandable and provides the necessary
information for shareholders to assess the company’s position
and performance, business model and strategy.
Code of Conduct and reporting lines
We have a number of well-established policies (including a new
Code of Conduct), which are available on gsk.com, together
with details of our confidential Speak Up lines for reporting and
investigating unlawful conduct.
Charles Bancroft
Audit & Risk Committee Chair
27 February 2024

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Board committee reports continued

138
Dear Shareholder,
On behalf of the Remuneration Committee, I am pleased to
present our Remuneration Report for 2023. This includes my
Annual Statement, explaining the Committee’s work this year
and our Annual Report on remuneration for 2023. A summary of
our Remuneration Policy, which was approved by shareholders
at the 2022 AGM, is available on pages 158 to 162 of the 2022
Annual Report and at gsk.com.
Context for 2023 remuneration and outcomes
As outlined earlier in this report, GSK delivered very strong
performance in 2023, with sales, adjusted operating profit and
adjusted EPS all growing at double-digit levels for the year
(excluding COVID-19 solutions). There was also strong pipeline
progress with four major product approvals, including the
world's first RSV vaccine, Arexvy.
Overall, the company is delivering the step change in
performance in the commitments it has previously made to
shareholders.
2023 was the second year of operation of the company's new
Remuneration policy. This is a fundamental part of the
architecture of GSK post-separation to ensure we build a
performance culture and generate sustained delivery of
shareholder value.
Our policy better links executive remuneration to delivery of
outperformance, with the Annual Bonus opportunity
significantly reduced for below target performance, and
increased for exceptional outperformance. Under the new
scheme, the increase in the Bonus opportunity does not
increase the potential cash reward for executives, as any
incremental award is delivered in the form of shares, deferred
for three years.
2023 Annual Bonus
It is against this delivery that the Committee reviewed the Bonus
outcomes for the CEO and CFO.
In terms of the two financial measures, the company delivered
sales growth of 14% and adjusted operating profit growth of
16% (excluding COVID-19 solutions). This was significantly
higher than both the guidance the company provided at the
start of the year and market expectations, and strongly
supports delivery of GSK’s growth outlooks for the period
2021-26.
This very strong performance led to an overall payout under the
financial elements of the Bonus of 190% of salary. The 2023
targets were set after consideration of analyst consensus, and
the Committee is comfortable that the payout is representative
of very strong performance.
The Committee also reviewed performance against the non-
financial measures previously disclosed, together with
executives’ delivery against their specific individual strategic
and operational measures.
When this performance was combined the overall payout
against a maximum of 300% was 288% of salary for the CEO
(of which 188% of salary is delivered in deferred shares) and
264% of salary for the CFO (197.5% of salary, after proration for
the period she was employed in 2023; of which 99% of salary is
delivered in deferred shares).
Long-term incentive (LTI) awards
69.95% of the grant under the 2021 Performance Share Plan
(PSP) award vested based on performance to the end of 2023.
The award vested in three out of four measures.
There was full vesting of the Pipeline Progress measure and
almost full vesting under our Innovation Sales measure (20%
and 19.95% respectively). The Cash Flow measure also vested in
full (30%).
We remain disappointed that we have not yet achieved vesting
under our Relative TSR measure. In part this reflects the adverse
share price reaction to Zantac litigation in the period, but we
also recognise there have been relative concerns on the
strength of the company’s pipeline. We are confident that the
progress we are making to develop our portfolio, together with
our improving longer-term outlooks for growth, will be
increasingly reflected in GSK’s valuation.
Summary of incentive outcomes
Following a review of contextual factors including previous
payouts, the Committee believes that the outcomes
appropriately reflect performance in the round having
considered the experience of all stakeholders including
shareholders and our employees.
The incentive awards in relation to 2023 were all made in
accordance with the 2022 Remuneration policy. I also confirm
that following careful review the Committee did not deem it
necessary to exercise discretion.
Remuneration policy implementation for 2024
Annual Bonus and LTI
The Committee has determined that no changes will be made
to our Bonus and LTI measures for 2024. The total sales growth
and adjusted operating profit growth targets exclude the
commercial benefit from COVID-19 solutions.
Annual Bonus measures will continue to be based on:
– annual total sales growth (30%)
– annual adjusted operating profit growth (30%)
– personal performance against strategic and operational
measures (30%)
– ESG: diversity, equity and inclusion (DEI) (10%)
PSP measures will remain as:
– relative TSR (30%)
– total sales growth over three years (20%)
– adjusted operating profit growth over three years (20%)
– pipeline progress (20%)
– ESG: environment composite scorecard (10%)
The performance targets were also calibrated to consider a
number of internal and external reference points, in particular
analyst consensus. These were used to challenge the metrics
and with input from our Science and Corporate Responsibility
committees where relevant. The Committee is therefore
satisfied that the targets set for 2024 are suitably stretching.
Salary
The Committee noted that a 4% increase has been agreed for
the wider workforce in the UK. After careful consideration,
including a review of the market and the CEO and CFO’s
competitive positioning, it was agreed that they should each
receive salary increases of 4% for 2024.

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Remuneration report
Committee Chair's annual statement

139
Workforce fairness
In setting executive pay it is important that the Committee does
so with a good understanding of the Group’s wider workforce
approach to pay, with an emphasis on fairness and equity. To
that end, on an annual basis, I meet with senior Human
Resources Leaders from across the company to understand
their perspectives on pay and GSK’s remuneration
arrangements for the wider workforce globally. This year was
the fifth such annual meeting held. Details of this important
check are given on page 122.
Board changes
As announced in September 2022, Julie Brown joined the Board
on 1 May 2023 as CFO, at which point Iain Mackay stepped
down from the Board. Details of the joining and leaving
arrangements for this transition were described in last year’s
report.
Remuneration Committee Chair succession
Finally, I will be retiring as a Non-Executive Director of GSK at
the 2024 AGM and this will therefore be my final report as Chair
of the Committee.
I was delighted to welcome Wendy Becker, who joined the
Committee on 1 October 2023. Since then, Wendy and I have
been working on a smooth transition and handover before she
succeeds me as Committee Chair in May 2024. She has a
wealth of experience chairing remuneration committees and is
looking forward to chairing the Committee and leading our
2025 Policy review.
The Committee is planning to undertake a review of the
effectiveness of our remuneration arrangements in advance of
the scheduled Policy renewal at the 2025 AGM. Wendy and
Jonathan Symonds, our Chair, are looking forward to engaging
with investors to ensure we are clear on your perspectives as we
work to update our Remuneration policy.
Thank you
I would like to take this opportunity to thank both my fellow
Committee members and shareholders for your support and
engagement during my tenure as Committee Chair.
I welcome all further feedback and look forward to receiving
your support for this report at our Annual General Meeting on
8 May 2024.
Urs Rohner
Remuneration Committee Chair
27 February 2024

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Committee Chair's annual statement continued

140
2023 Total Remuneration
E mma Walmsley, C EO
Jul ie Brown, CFO (from 1 May 2023)(1)

| (1) |  | See details of CFO joining arrangements on page 142
| l |  | Fixed pay – salary, benefits, pensions and other
| l |  | Performance pay – annual bonus and vested LTIs

2023 Pay for performance

2023 Annual bonus outcome

Financial measures | Target | Delivered
Total sales growth* | 7.0% | 13.9%
Adjusted operating profit growth* | 11.0% | 16.4%
Non-Financial measures | Overall Strategic and Operational measures | ESG DEI
Emma Walmsley | Exceeded | Met in full
Julie Brown | Exceeded | Met in full

20 23 Annual bo nus delivery

l |  | Shares deferred for 3 years | (1)For service from employment on 3 April 2023
l |  | Cash

2021 PSP outc ome

l |  | Vested | l | Lapsed

2 024 Remun erat ion implementation

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Remuneration at a glance

141

Pay for Performance Bonus and LTI measures remain as follows | Alignment to strategy | Annual bonus |  | LTIs (PSP)
Total sales growth* | In line with sales growth ambitions | 30% |  | 20%
Adjusted operating profit growth* | In line with adjusted operating profit growth ambitions | 30% |  | 20%
Strategic and operational | Individual accountability for delivery of our strategy and public ambitions | 30% |  | –
Pipeline | Emphasis on Innovation – rewards acceleration and strengthening of pipeline | – |  | 20%
Relative total shareholder return | Alignment with shareholders | – |  | 30%
ESG ambitions | Nature and Climate ambitions 2024 – DEI Priorities | – |  | 10%
10% |  | –
*excluding COVID-19 solutions

CEO
Overall bonus
288% of
salary
CFO(1)
Overall bonus
197.5% of
salary
Overall
vesting
69.95%
Relative TSR
0% of 30%

Base salary | 4% increase for UK employees and Executive Directors
Benefits and pensions | No changes

Fixed pay | Pay for performance |  |
Salary |  |  |  | Total remuneration
Pension | Annual Bonus | LTI awards (2021 PSP award vesting) |
Benefits |  |  |  |
Read more on |  |  |  |
page 143 | pages 144 and 145 | pages 146 and 147 |  | below

2023 Total remuneration (audited)

The following sections from this page to page 160 provide details of each element of 2023 ‘Total remuneration’ and how the
Committee implemented the company’s shareholder-approved 2022 Remuneration policy during the year in terms of fixed and
performance pay.
2023 Tot al remuneration (audit ed)

|  |  | Emma Walmsley, CEO |  | Julie Brown, CFO (from 1 May 2023) |  | Iain Mackay, former CFO (to 1 May 2023)
|  |  | 2023 £000 | 2022 £000 |  | 2023 £000 | 2022 £000 |  | 2023 £000 | 2022 £000
| Fixed pay |  |  |  |  |  |  |  |  |
| Salary |  | 1,310 | 1,260 |  | 635 | — |  | 305 | 915
| Benefits |  | 212 | 131 |  | 50 | — |  | 82 | 291
| Pension |  | 94 | 253 |  | 44 | — |  | 22 | 183
| Other(1) |  | — | — |  | 2,411 | — |  | — | —
| Total fixed pay |  | 1,616 | 1,644 |  | 3,140 | — |  | 409 | 1,389
| Pay for performance |  |  |  |  |  |  |  |  |
| Annual bonus (2) (3) |  | 3,774 | 3,143 |  | 1,687 | — |  | 728 | 2,082
| Vesting of PSP LTI awards (4) (5) (6) |  | 7,328 | 3,662 |  | — | — |  | 5,294 | 1,854
| Total pay for performance |  | 11,102 | 6,805 |  | 1,687 | — |  | 6,022 | 3,936
| Total remuneration |  | 12,718 | 8,449 |  | 4,827 | — |  | 6,431 | 5,325

(1) Other: Represents the sum paid to Julie Brown, the CFO, as part of her Buyout arrangements in relation to leaving Burberry, as set out in full on page 149
of the 2022 Annual Report. In setting the Buyout arrangements, which are staged over a two year period, the Committee sought to ensure she was
compensated on a like-for-like basis as far as possible. In fulfilment of these arrangements, the CFO purchased 22,500 shares in June 2023
(2) Deferred Annual Bonus Plan (DABP): The mandatory DABP bonus deferrals for 2022 and 2023 are set out on page 156
(3) Annual bonus: T he 2023 bonus payment for Iain Mackay represents bonus earned in respect of the period from 1 January to 1 May 2023. Details of the
bonus paid in respect of the remainder of the year can be found in the Leaving Directors section on page 154. The 2023 bonus payment for Julie Brown
represents bonus earned in respect of the period from 1 May to 31 December 2023. Bonus for the full period of her employment in 2023 is shown on
page 144
(4) 2020 PSP vesting in 2 023: The Total remuneration figure for the CEO in 2022 included vesting of the top-up award made in May 2020 which did not
vest until May 2023. The final actual value received has been updated, bringing the total value to £3.662 million (previously reported as £3.666 million)
(5) 2021 PSP vesting in 2024: For the CEO, the figure has been valued based on the vesting prices on 9 February 2024 of £16.60. The share price on 10
February 2021, the date of grant, was £12.77. Of the vested amounts for the Executive Directors, 23.1% of the value was attributable to share price
appreciation over the performance period. The Committee did not exercise any discretion in relation to the vesting of the awards or share price
changes
(6) The PSP vesting value for the former CFO is unreduced and is an illustrative amount as the award will not vest until January 2025 in accordance with
the t erms of the Executive and Senior Management Recoupment Policy (Recoupment Policy). His award will then remain subject to the two-year
holding period which started from the original vesting date of the award in February 2024. The actual value received will be updated in the 2024
Annual Report. Further details of the former CFO’s leaving arrangements are set out in the Leaving Directors section on page 154
(7) The CEO and CFO each contribute the maximum of £250 and £125 a month into the Share Save plan and to buy shares under the Share Reward plan
respectively. Further details of these HM Revenue & Customs (HMRC) approved all-employee plans are set out on page 147
(8) Malus and clawback: The C ommittee may in specific circumstances, and in line with stated principles, apply malus/clawback, as it determines
appropriate. Following due consideration by the Committee, there has been no recovery of sums paid (clawback) or reduction of outstanding awards or
vesting levels (malus) applied during 2023 in respect of any of the CEO, CFO or the former CFO

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Annual report on remuneration

142
=
+
+

Fixed pay (audited)

Salary
The Committee is very aware o f the sensitivity amongst stakeholders to levels of pay. Before setting or reviewing salary, it considered
t he average increases awarded to employees below Executive Directors and the multiplier effect of increases in base salaries on
total remuneration opportunity. The Committee considered the wider economic context, individual performance and market
positioning of the increases awarded. The table below sets out the base salaries and increases agreed for 2023 and 2024 of the
Executive Directors compared to increases of the UK workforce.

| 2023 effective date |  | % change |  |  |  | Salary £000
| 2024 | 2023 |  | 2024 | 2023 | 2022
UK employees | 1 April | 4 | 5 |  |  |  |
Emma Walmsley | 1 January | 4 | 4 |  | 1,363 | 1,310 | 1,260
Julie Brown | 1 May | 4 | 4 |  | 990 | 952 | —

Julie Brown's salary on the announcement of her appointment in September 2022 was set in line with her predecessor, given her extensive experience as a CFO.
Her salary upon joining was increased to reflect the increases awarded to UK employees and the CEO in early 2023.
Benefits
This table provides an analysis of total benefits (grossed up
for tax) received by the Executive Directors in 2023 and 2022.
The UK remuneration reporting regulations require the
company to add into each Executive Director’s total benefits
all items which are deemed by tax authorities to be a taxable
benefit for them. These include employee benefits as well as
business-related services provided to employees to assist or
enable them to carry out their role, which a tax authority has
deemed to be a taxable “benefit” to the individual. Because
these are business expenses, the company meets the tax which
arises on them and therefore the items are shown grossed up
for tax.

|  |  | Benefits £000
| 2023 |  | 2022
Emma Walmsley |  |  |
Benefits available to employees | 118 |  | 66
Business-related services | 94 |  | 65
Total benefits | 212 |  | 131

Julie Brown |  |  |
Benefits available to employees | 25 |  | —
Business-related services | 25 |  | —
Total benefits | 50 |  | —

Pensions
From 1 January 2023, pension arrangements for Executive Directors were aligned to the wider workforce. They received GSK pension
contributions or cash supplements of 7% of base salary and matching contributions of up to 3% on the first £26,666 of salary to 31
March 2023 and on the first £66,666 of salary for the rest of 2023.
The table shows the breakdown of the pension values included in 2023 Total remuneration on page 142. They are calculated as set
out in the UK Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008 (as amended)
(Remuneration regulations).

Pension remuneration values | Emma Walmsley |  | Julie Brown (from May 2023)
2023 | 2022 |  | 2023 | 2022
UK defined contribution | 6 | 3 |  | — | —
Employer cash contributions | 88 | 250 |  | 44 | —
Pension | 94 | 253 |  | 44 | —

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Annual report on remuneration continued
2023 Total remuneration (audited) continued |  |  |

143

Pay for performance (audited)

Annual Bonus

l | Financial Measures: 60% | l | Non-Financial Measures: 40%

2023 Annu al Bon us performance
The following table shows the Annual Bonuses earned compared to the bonus opportunity for 2023:

|  |  | 2023 Bonus opportunity | 2023 Bonus outcome
|  | Target (% of salary) | Maximum (% of salary) | 2023 salary £000 |  |  | Paid as (£000)
|  | % of Maximum Bonus | % of Salary | Cash | Shares (DABP Award)
| Bonus
| Emma Walmsley | 100 | 300 | 1,310 | 96 | 288 | 1,310 | 2,463
| Julie Brown | 952 | 66 | 197 | 940 | 940

Details of the mandatory deferral by Executive Directors into the DABP for the 2023 bonus are set out on page 156. See page
154 for details of Iain Mackay's 2023 bonus arrangements following his retirement from the company. Julie Brown's bonus has
been pro-rated to reflect the period for which she was employed in 2023. The table on page 142 provides the details of her
bonus from 1 May when she became an Executive Director.
20 23 Fin a n cial m e a sures
Total sales growth Adjusted operating profit growt h
These targets were set following consideration of analyst consensus as well as internal budgets. Threshold and maximum
performance was at 1% below and 5% above target growth respectively. The total sales growth and adjusted operating profit
growth targets and outcomes for the purposes of the Annual Bonus calculation are based on CER and excluding the
commercial benefit from COVID-19 solutions.

| Overview of performance against financial performance measures
| – GSK delivered strong performance in 2023 with sales, adjusted operating profit and adjusted EPS all growing at double- digit levels for the year (excluding COVID-19 solutions). This was significantly higher than the guidance provided at the start of the year, and strongly supports delivery of GSK’s growth outlooks for the period 2021-26 – Delivered full-year reported Group sales of £30.3 billion (+3% AER, +5% CER, +14% excluding COVID-19 solutions) – Vaccines growth was 23% AER, 24% CER, with Arexvy sales of £1.2 billion since launch in Q3 2023 and Specialty growth was 21% AER, 23% CER (all excluding COVID-19 solutions) – Adjusted Group Operating profit CER growth of 16% excluding COVID-19 solutions, driven by higher sales supported by prioritised increased investment in R&D and new product launches – Adjusted EPS of 155.1p (+11% AER, +16% CER, +22% excluding COVID-19 solutions) was ahead of updated guidance

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Annual report on remuneration continued

144
Total sales
growth
30%
Adjusted
operating profit
growth
30%
Strategic and
operational
measures
30%
E SG:
DEI
10%
Annual Bonus
+
+
+
=
2023 Strategic and operational measures
The Committee received and considered a performance assessment report for each Executive Director showing the extent of their
achievement against the individual personal strategic and operational measures agreed by the Committee for them to support the
delivery of our strategic commitments during 2023. As with the financial elements of the Annual Bonus, the Committee was satisfied
that the scale of Executive Directors’ achievements this year was excellent. These achievements focus on the pipeline, commercial
execution and continued evolution of our culture.

| Achievement during 2023 | Performance assessment
Emma Walmsley
Innovation | – Delivered pipeline progression above target with four major product approvals in RSV prevention, HIV prevention and Oncology – Delivered innovation sales through successful launches including Arexvy. New products launched since 2021 contributed £2.3 billion to sales in 2023 – Upgraded long-term outlooks for sales and profits with 2021-2026 outlooks for sales now more than 7% and adjusted operating profit growth now more than 11% CAGR (excluding COVID-19 solutions). 2031 sales outlook increased to more than £38 billion (CER using 2023 average rates) | Exceeded
Performance | – Delivered the financial plan exceeding guidance set for 2023 – with Sales +14% excluding COVID-19 solutions and adjusted operating profit up 12% with further positive impact of +4% excluding COVID-19 solutions, and adjusted EPS grew 16% with further positive impact of +6% excluding COVID-19 solutions (All at CER). Group sales were £30.3 billion | Exceeded
Trust | – Sector leader in S&P Global Corporate Sustainability Assessment – Access and Global Health – 89 million people in lower income countries reached through access partnerships. Malaria vaccine roll out in up to 12 countries. 11 global health pipeline assets progressing – Environmental Sustainability – progress on all KPIs, including progression of low carbon Ventolin inhaler programme to phase III development – Diversity, Equity & Inclusion – 2025 aspirations for gender diversity and UK and US 2025 ethnicity aspirations at VP and above achieved | Exceeded
Culture | – Annual survey of employee engagement reported increase to 81% | Exceeded
The Committee determined that the CEO clearly exceeded her individual objectives and that 78% out of the 90% maximum should be attributed to her overall bonus
Julie Brown
Demonstrate financial leadership | – Deep review of pipeline forecasting to support upgrading of long-term outlooks to 2031 and beyond – Design of new investor engagement programme, including development of an Investor Relations Roadmap and communication of long-term outlooks | Exceeded
Cost discipline and cash flow management | – Deep review of capital allocation and pipeline value ‘unlocks’ to support investment in organic R&D and Business Development; and to maximise returns to shareholders – Initiated work to drive P&L efficiency with a focus on SG&A and operating margin improvement | Exceeded
Demonstrate strong culture and leadership | – Successfully integrated into GSK and established strong partnership working with CEO and members of GLT, with notable output to support R&D and the Commercial organisations | Met
The Committee determined that the CFO clearly met her individual objectives and that 54% out of the 90% maximum should be attributed to her overall bonus

2023 ESG: DEI aspirations

| Emma Walmsley | Julie Brown | Payout level
| Enterprise targets not met | Directorate targets not met | Nil (0%)
| Enterprise targets met, but not all directorate targets | Personal directorate targets met | Target (10%)
| Enterprise and all directorate targets met | Maximum (20%)
Outcome achieved | Maximum payout – 20% | Maximum payout – 20% |

Overview of performance against DEI aspirations
Our ESG: DEI measure reinforces delivery of our commitment to create a diverse, equitable and inclusive workplace. Our broader
DEI commitments are set out on page 52. As part of our effort to meet our 2025 Aspirational Targets for diversity of senior
leadership, the Committee agreed interim, annual aspirational targets for 2023 including global gender representation and US and
UK race and ethnicity representation aspirations at an enterprise level for the CEO and at a directorate level for the CFO. An
internal governance team audited performance against these aspirations for the Committee.
Delivery: These interim aspirations were met in 2023. At the year end the GSK Enterprise performance was 45% gender
representation and 35.7% US ethnicity and 18.4% UK ethnicity in our VP and above employee population. Julie Brown's directorate
also met its 2023 aspirations.

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Pay for performance (audited) continued |  |  |

145
Vesting of PSP LTI awards
O verview of Performance
In line wit h the Committee’s agreed principles, actual performance against each measure is carefully reviewed and adjustments
are made, as appropriate. This ensur es that the vesting outcome reflects genuine underlying business performance and has
been delivered in line with our culture and values. The Committee did not deem it necessary to exercise any discretion in relation
to the vesting of the awards or due to share price changes. Overall, 69.95% of the 2021 PSP awards vested against the targets
set out below. During the 2021-23 performance period, significant progress was achieved in accelerating the delivery of our
pipeline. Near full vesting was achieved under Innovation sales, reflecting increases in the performance of Trelegy, Nucala,
Dovato and Benlysta during the period. Strong performance was evidenced with full vesting under the Adjusted free cash flow
and Pipeline progress elements; however, disappointingly there was nil-vesting under Relati ve TSR. The percentage of award
values vesting below have been rounded down to whole numbers for presentational purposes.
202 1 PSP Outcomes

|  |  |  |  |  |  |  | Outcome and vesting level
| Performance measures and relative weighting | Performance targets |  | Outcome |  | % of maximum | % of award
| Pipeline progress (20%) | Targets strengthening our pipeline through progression of high quality assets into pivotal trials and the achievement of regulatory approvals in major markets. The points are allocated on achievement of these two equally weighted elements of 10% |  |  |  |  |
|  | Measure | Threshold 25% | 50% | 75% | Maximum 100% |  |  |  |  |
|  | Pivotal Trial starts | 12 | 14 | 16 | 17 |  | 18 points |  | 100 | 20
|  | Major regulatory approval milestones | 13 | 15 | 17 | 19 |  | 20 points |  | 100
| Innovation sales (20%) | Recognises the importance of launching new products successfully and that driving their performance is key to our commercial success. This measure aggregates three-year sales for new innovative products launched in the three- year performance period and the preceding two years, i.e. 2019-23 |  | £18.65 billion |  | 99.8 | 19
|  |  | Innovation sales (billion) | % vesting |  |  |  |  |
|  | Maximum |  | £18.67 | 100 |  |  |  |  |
|  |  |  | £16.97 | 75 |  |  |  |  |
|  |  |  | £16.12 | 50 |  |  |  |  |
|  | Threshold |  | £15.27 | 25 |  |  |  |  |
|  |  |  | <£15.27 | 0 |  |  |  |  |
| Adjusted free cash flow (AFCF) (30%) | In line with the company’s agreed principles, the AFCF figures included adjustments for a number of material distorting items, including legal settlements, exchange rate movements and special pension contributions |  | £9.81 billion |  | 100 | 30
|  |  | Revised target (billion)(1) | % vesting |  |  |  |  |
|  | Maximum | £6.54 | 100 |  |  |  |  |
|  |  | £6.26 | 75 |  |  |  |  |
|  |  | £5.69 | 50 |  |  |  |  |
|  | Threshold | £5.52 | 25 |  |  |  |  |
|  |  | <£5.52 | 0 |  |  |  |  |
|  | (1) The revised target has been further adjusted since the 2022 Annual Report as noted below |  |  |  |  |
| Relative TSR (30%) |  | TSR ranking within comparator group (10 companies) | % vesting |  | Ranked 9th |  | 0 | 0
| Maximum |  | 1st, 2nd, 3rd | 100 |  |  |  |  |
|  |  |  | 4th | 70 |  |  |  |  |
|  |  |  | 5th | 40 |  |  |  |  |
|  | Threshold(2) |  | Median | 25 |  |  |  |  |
|  |  |  | 6th to 10th | 0 |  |  |  |  |
|  | (2) The median vesting threshold falls between two companies. The Relative TSR comparator group is set out on page 152 |  |  |  |  |
| Total vesting in respect of 2021 PSP awards |  |  |  |  |  |  |  | 69

The AFCF measure target, threshold and associated vesting scales for the 2021 PSP awards have been further adjusted since being restated in the
2022 Annual Report. The net overall impact is an increase in the revised target from £5.64 billion to £5.69 billion for the 2021 PSP awards. The
adjustment takes into account revised timings of restructuring payments linked to the Future Ready program me.

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Pay for performance (audited) continued |  |  |

146
Pipeline
Progress
20%
Innovation
Sales
20%
Adjusted Free
Cash Flow
30%
Relative Total
Shareh older Return
30%
Total Vested LTI
+
+
+
=
2021 PSP vest ing

|  | Granted | Vested (1) | Value of vested shares (1) (£000)
| Emma Walmsley | 550,757 | 441,309 | £7,328

(1) T he number of shares which vested and the value they represented at vesting includes dividend reinvestments during the performance period. These
are based on the vesting price of £16.60 on 9 February 2024
(2) The PSP award for Dr Hal Barron vested and was adjusted for time worked during the performance period, including dividend reinvestments. 153,505
shares vested at a value of $4.492 million. Shares were sold for tax and will be held for two years under the terms of the Recoupment Policy
(3) The Committee is aware of the guidance from investor bodies regarding the potential executive benefit arising from share award grants around the
time of the stock market fall at the onset of COVID-19 in March 2020. Our Remuneration policy contains sufficient flexibility to reduce the vesting of
awards if required. No reduction was required in respect of the awards granted in February 2021. In making this determination, the Committee
considered the share price at the time of the February 2021 award of £12.77, over the final quarter of 2023 of £14.46 and at the time of the previous
award in February 2020 of £16.81. Whilst there have been upward and downward movements in GSK's share price over the period, taking these points
into consideration the Committee was satisfied that there was no risk of windfall gain s
2023 LTI gr ants
The 2023 DABP awards, in respect of the deferral of 2022 bonus, and the 2023 PSP awards are set out below.

|  |  | 2023 DABP awards |  |  | 2023 PSP awards
|  | % of total 2022 bonus deferred | Number of shares | Face value of award(1) £000 |  | Award level as % of base salary | Number of shares | Face value of award(2)(3) £000
| Emma Walmsley | 60 | 125,482 | 1,883 |  | 575 | 501,927 | 7,534
| Julie Brown | — | — | — |  | 400 | 264,026 | 3,808
| Iain Mackay | 56 | 77,751 | 1,167 |  | — | — | —

(1) The face value of the DABP awards has been calculated based on a share price of £15.01, being the closing price on 8 February 2023 (the day before
grant). These are nil-cost options for the Executive Directors. No performance conditions are attached to the DABP awards, as they reflect the
mandatory three-year deferrals in respect of the Annual Bonus for 2022
(2) The face values of the PSP awards have been calculated based on a share price of £15.01 for Emma Walmsley and £14.422 for Julie Brown, being the
closing price on 8 February 2023 and 26 April 2023 respectively (the days before the respective grants). The unreduced PSP award for Julie Brown was
granted in conjunction with her joining arrangements as detailed on page 149 of the 2022 Annual Report. These are conditional shares, based on the
performance measures above. Iain Mackay did not receive a PSP award due to his retirement from the company
(3) Performance period for the 2023 PSP awards is from 1 January 2023 to 31 Dece mber 2025. Aw ards vest at 25% of maximum for threshold performance.
Please see the 2022 Directors Remuneration Report for details of the measures and targets for the 2023 awards
Histori cal vesting for LTI plans
The following table summarises LTI vesting by performance measure for GSK over the last ten years.

| 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021
Relative TSR | 0 | 0 | 0 | 15 | 0 | 0 | 0 | 0 | 0 | 0
Adjusted free cash flow | 0 | 0 | 0 | 21 | 26 | 33 | 33 | 33 | 30 | 30
Innovation sales (previously R&D new product) | 7 | 21 | 33 | 33 | 33 | 33 | 33 | 25 | 8 | 19
Pipeline progress |  |  |  |  |  |  |  |  | 14 | 20
Business diversification | 7 | 17 |  |  |  |  |  |  |  |
Total vested % | 14 | 38 | 33 | 69 | 59 | 67 | 67 | 58 | 52 | 69

All-employee share plans
The Executive Directors may participate in HMRC approved all-employee share plans, namely the company’s Share Save and
Share Reward plans, along with the wider UK workforce. Participants of the Share Save plan may save up to £250 a month for three
years and from which they have the option to buy GSK shares at a discount of up to 20% to the share price at the start of the
savings contract. Participants of the Share Reward plan contribute up to £125 a month to purchase GSK shares which the company
then matches on a one-for-one basis.
Malus and clawback polic y
Our existing policy on malus and clawback is provided in the 2022 Remuneration policy report on page 147 of the 2021 Annual
Report, available on gsk.com. The Committee reviews and discloses whether it, or the Recoupment Committee, has exercised malus
or clawback. Disclosure is only made when the matter has been the subject of public reports of misconduct, where it has been fully
resolved, where it is legally permissible to disclose and where it can be made without unduly prejudicing the company and therefore
shareholders. In line with these disclosure guidelines, there were no matters to report during 2023. An administrative amendment to
the malus and clawback section of the 2022 Remuneration policy, as described on page 163 of the 2022 Annual Report, was
approved by shareholders at the 2023 AGM. The Committee then adopted an additional c lawback policy in accordance with the US
Securities and Exchange Commission's new clawback rules effective 30 November 2023.
F or details of our existing policies on recruitment remuneration, loss of office and termination payments, please refer to the 2022
Remuneration policy report on pages 144 to 152 of the 2021 Annual Report, available on gsk.com.

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147
Pa y for pe rfo rmance in 2024
2024 Annual Bonus – Performance measures
There are no changes to the operation of the Annual Bonus plan. For full details of the policy please refer to pages 145 and 146 of
the 2021 Annual Report.

| Bonus opportunity % of salary
| Target | Maximum(1)
Emma Walmsley | 100 | 300
Julie Brown

(1) 50% of the equivalent of the first 200% of salary is deferred, and any portion in excess of 200% is deferred in full
Weighting of performance measures

|  |  | Weighting of performance measures %
| Total sales growth | Adjusted operating profit growth | Strategic and operational measures | ESG: diversity, equity and inclusion
Emma Walmsley | 30 | 30 | 30 | 10
Julie Brown

Inevitably, targets linked directly to our financial and strategic plan are commercially sensitive. The Committee does not
consider it appropriate to disclose Annual Bonus targets during the year, as it may result in competitive harm. However, details
of the performance targets will, as usual, be disclosed on a retrospective basis in the 2024 Annual Report.
2024 LTI Awards
The table below provides details of:
– the mandatory deferral into the DABP of the 2023 Annual Bonus payments and the associated awards granted. The shares
awarded have no performance conditions, but must be held for three years, regardless of continued employment
– 2024 awards granted under the PSP

|  | DABP awards |  |  |  | PSP awards
| 2023 bonus deferred to shares (% of salary) | Number of shares | Face value of award (£000) |  | % base salary | Number of shares | Face value of award (£000)
| Emma Walmsley | 188 | 147,271 | 2,463 |  | 575 | 468,449 | 7,835
| Julie Brown | 99 | 56,190 | 940 |  | 400 | 236,763 | 3,960

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148
2024 LTI performance measure s
The measures and weightings for the 2024 awards remain unchanged from those used for the 2023 awards:

|  | Measure | Weighting
| Innovation | Pipeline progress | 20%
| Performance | Relative TSR Total sales growth Adjusted operating profit growth | 30% 20% 20%
| Trust | ESG: environment | 10%

Innovation
The Pipeline progress measure seeks to reward acceleration
and strengthening of the pipeline. This is based on two equally
weighted elements of our key assets or indications measured
over a three-year performance period.
Points are allocated for successful assets in each sub-measure
based upon their forecast commercial value (peak year sales)
at the end of the performance period. The sub-measures for
the 2024 award will vest as follows:
Pivotal trial starts
Focuses mainly on phase III registrational trial starts, but may
also include phase II starts.

| Performance level | Points | Payout
| Below Threshold | <15 | Nil
| Threshold | 15 | 25%
|  | 18 | 50%
|  | 22 | 75%
| Maximum | 26 | 100%

Major regulatory approvals

| Performance level | Points | Payout
| Below Threshold | <17 | Nil
| Threshold | 17 | 25%
|  | 20 | 50%
|  | 22 | 75%
| Maximum | 24 | 100%

The Pipeline progress measure is commercially sensitive at the
time of grant. At the end of the performance period we will
provide disclosure of what has been achieved.
Performance
Relative TSR will continue to be measured against GSK’s
Global pharmaceutical comparator group (see page 152).
The total sales growth and adjusted operating profit growth
measures recognise the importance of our commercial
ambitions. The targets for total sales growth and adjusted
operating profit growth are commercially sensitive at the
time of grant.
Trust
T he ESG: environment measure is based on our Climate and
Nature goals (see page 49). The targets for the 2024 award
focus on Nature goals relating to Water, Waste & Materials
reduction and Biodiversity impact. Climate goals
incorporate Scope 1 & 2 emission reduction targets, carbon
offsetting and our industrialisation and availability of green
Ventolin.
To achieve:
– 25% vesting, targets for two measures achieved at the end
of 2026, with one in Climate and one in Nature
– 50% vesting, targets for four measures achieved at the
end
of 2026
– 7 5% vesting, all six measures must have met their 2026
targets
– 100% vesting, two of the six measures, at least one in
Climate and one in Nature, must have exceeded their
2026 target s

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149

Directors’ pay in a wider setting

Internal context
Comp arison of remuneration structure for employees and Executive Directors during 2023

| Element | Wider workforce and Executive Director pay |
| Salary | The market competitiveness of base salaries across the company is assessed at a local market level. The competitiveness of roles is kept under regular review Increases may also be made to reflect a change in scope of an individual’s role, responsibilities or experience
| For our Executive Directors following a performance review, increases in base salaries are considered in line with market practice, the average increase for the wider employee population and other comparator tools In agreeing increases for Executive Directors, the Committee is mindful of the multiplier effect on the individual’s total remuneration
| Benefits and pensions | The company seeks to provide an appropriate benefits and pensions package that is aligned to competitive market practices in those countries in which the company operates and where our employees and Executive Directors are based
| Annual Bonus | With the exception of our sales force, who participate in separate arrangements, our wider workforce participates in a plan based on performance against four business and financial measures. These are structured to reflect the priorities of each specific business area This plan is designed to reward our employees’ collective contribution to business achievement Separate mechanisms are in place to recognise outstanding individual performance or to address under- performance Our Executive Directors participate in the plan as follows. Any bonus up to 200% of salary is paid 50% in cash and 50% in shares deferred for three years. Bonus earned in excess of this (up to a maximum of 300% of salary) would be delivered fully in shares deferred for three years. Clawback and/or malus provisions apply
| LTI plans | Senior Vice President (SVP) and Vice President (VP) employees participate in the same Performance Share Plan as our Executive Directors. Clawback and/or malus provisions apply Our SVP and VP employees, together with directors and managers below the GLT, receive annual Share Value Plan awards of restricted shares
| Share ownership | All UK-based employees can participate in HMRC approved Share Save and Share Reward employee share plans.

Dilution limits
All awards are made under plans which incorporate dilution limits consistent with the guidelines published by the Investment
Association. These limits are 10% in any rolling ten-year period for all plans and 5% in any rolling ten-year period for executive
share plans (granted to senior executives). Estimated dilution from existing awards made over the last ten years up to
31 December 2023 is as follows:
All GSK employee share pl ans
E xecutive s hare plans

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150
C EO and wide r empl oyee p ay ratio

| Financial year | Lower quartile P25 | Median P50 | Upper quartile P75
| 2023 | 207:1 | 152:1 | 94:1
| 2022 | 144:1 | 106:1 | 67:1
| 2021 | 154:1 | 108:1 | 67:1
| 2020 | 130:1 | 96:1 | 62:1
| 2019 | 160:1 | 119:1 | 73:1

GSK continues to use the Option A methodology because it is the most robust and statistically accurate way to calculate the
three ratios from the options available under the Remuneration regulations. The pay ratio is higher than in 2022 influenced by
the company's strong performance which has delivered an increased bonus for all. The CEO vest was also much higher than in
previous years due to the improvement in the GSK share price. The 2021 award was granted at £12.77 and vested at £16.60.
The pay ratios above are calculated using actual earnings for the CEO and UK employees. The CEO’s total single figure
remuneration of £12.718 million for 2023 and £8.449 million for 2022 are detailed on page 142.
Total remuneration for all UK full-time equivalent employees on 31 December 2023 has been calculated in line with the single
figure methodology. This reflects their actual earnings received in 2023 (excluding business expenses), which were used to
produce the percentile calculation under Option A of the Remuneration regulations. Business expenses have been excluded as
they are reimbursed to employees and are not sufficiently substantial in value to significantly impact the ratios.
The table below shows the salary, total pay and benefits for each of the percentiles.

|  | 2023 | 2022 | 2021 | 2020 | 2023 | 2022 | 2021 | 2020 | 2023 | 2022 | 2021 | 2020
| £ | P25 |  |  |  | P50 |  |  |  | P75 |  |  |
| Salary | 39,903 | 37,776 | 37,251 | 36,924 | 55,057 | 52,107 | 51,492 | 50,000 | 78,496 | 74,905 | 72,997 | 70,203
| Total pay and benefits | 61,490 | 58,883 | 53,151 | 54,133 | 83,783 | 79,428 | 76,234 | 73,340 | 135,819 | 126,594 | 122,852 | 113,830

The Committee believes that the median pay ratio is consistent with the company’s pay, reward and progression policies.
The base salaries of all employees, including the Executive Directors, are set with reference to a range of factors including
market practice, experience and performance in role.
Relative importance of spend on pa y
The table shows total employee pay and dividends paid to
shareholders.

| Change % | 2023 £m | 2022 £m
Total employee pay | 10.1 | 8,473 | 7,693
Dividends paid in the year | (35.2) | 2,247 | 3,467

The figures in this table, reflecting payments made during each
year and the impact of movements in exchange rates, are as
set out on pages 199 and 206. However, cash dividends
declared in respect of 2023 were £2,352 million (2022: £2,470
million) a decrease of 4.8%. Please see Note 16 to the financial
statements for further details.
Total employee pay is based on 70,244 employees, the average
number of people employed during 2023 (2022: 69,130). See
Note 9 to the financial statements for further details.
The last share repurchase made by the company was in 2014.

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151
External context
2023 target CEO total remuneration positioning
When reviewing the CEO’s remuneration, the Committee’s
primary comparator group is the European cross-industry
comparator group. It also references pay for the Global
pharmaceutical c omparator group.
Remuneration includes salary and the expected value of incentives based on
the Committee’s agreed benchmarking methodology
Historic CEO remunerati on

Emma Walmsley |  | £000
| 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017
Total remuneration | 12,718 | 8,449 | 8,203 | 7,031 | 8,094 | 5,887 | 4,883(1)
% of maximum |  |  |  |  |  |  |
Annual Bonus award | 96% | 83% | 93% | 49% | 79% | 93% | 77%
Vesting of LTI awards | 69% | 52% | 58% | 67% | 67% | 59% | 69%

Sir Andrew Witty |  |  | £000
| 2017 | 2016 | 2015 | 2014
Total remuneration | 715 (2) | 6,830 | 6,661 | 3,902
% of maximum |  |  |  |
Annual Bonus award | 0%(2) | 97% | 100% | 42%
Vesting of LTI awards | 0%(3) | 33% | 38% | 14%

(1) Emma Walmsley’s total remuneration includes her pay for the period
1 January to 31 March 2017, before she became CEO
(2) Sir Andrew Witty received a pro-rata payment for 2017 in lieu of a
variable bonus opportunity, in accordance with the 2014 Remuneration
policy
(3) PSP and DABP awards for Sir Andrew Witty granted in 2015 did not vest
until April 2018, in accordance with the terms of the Recoupment Policy
Compa rator groups
The European cross-industry comparator group is the
Committee's primary comparator group for the CEO and CFO.
The Global pharmaceutical comparator group is the secondary
group for the CEO, and is also used to measure relative TSR
performance.

European cross-industry comparator group
Roche Holding AG Novartis LVMH Anheuser-Busch InBev Unilever SAP L’Oreal Novo Nordisk A/S Airbus | Linde Sanofi AstraZeneca Diageo Siemens Christian Dior Inditex BAT Volkswagen | Deutsche Telekom Kering Heineken BASF Vinci Adidas Bayer Safran Reckitt Benckiser

Global pharmaceutical comparator group
France Sanofi Switzerland Novartis Roche Holdings UK AstraZeneca | US AbbVie (1) Amgen(1) Bristol-Myers Squibb Eli Lilly Johnson & Johnson Merck & Co Pfizer

(1) AbbVie and Amgen are included for remuneration benchmarking, but are
not included in the relative TSR performance comparator group
TSR Performance graph
The following graph sets out the performance of the company
relative to the FTSE 100 Index and to the Global pharmaceutical
performance comparator group for the ten-year period to
31 December 2023. These indices were selected for comparison
purposes as they reflect both the primary index of which GSK is
a constituent and the industry in which GSK op erates.

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152

Remuneration governance

Committee role and membership
These details are available on page 116 and are incorporated
by reference into this Report. The Chair, CEO, Chief People
Officer, Head of Reward, Group Financial Controller and the
Company Secretary assisted the Committee during the year.
Adviser to the Committee

Independent adviser | Willis Towers Watson plc (WTW) WTW is a member of the Remuneration Consultants Group and operates under its code of conduct for executive remuneration consulting in the UK which can be accessed at: www.remunerationconsultantsgroup.com
Appointed | 1 December 2022 following a tender process
Advice provided | The Committee is comfortable that the WTW engagement partner and team that provides remuneration advice to the Committee do not have connections with the company or its Directors that may impair their independence
Fees | Charged on a time and materials basis: 2023: £63,419 (2022: £4,000 for one month in 2022)
Conflicts of interest | WTW provides market data and other HR consulting services to the company. The Committee regularly reviews the arrangements for potential conflicts and where appropriate ensures safeguards are in place

Statement of consideration of shareholder views
The Committee engages in regular dialogue with shareholders
and holds regular meetings with GSK’s largest investors to
discuss and take feedback on its Remuneration policy practices
and governance matters.
2023 ongoing engagement
Details of the extensive consultation by the Committee and
company Chairs regarding r emuneration matters prior to
the 2023 AGM vote and continuing engagement with
shareholders afterwards, are set out below.

Shareholder engagement events | Dates | Investor participation | Share capital represented
Meetings held prior to AGM | January to April 2023 | 8 investors | 10%
Meetings held after the AGM to the publication of this Annual Report | May 2023 to February 2024 | 22 investors | 25%
2023 Annual Governance Meeting: – invitations – attendance | November 2023 December 2023 | 78 investors 15 investors | 50% 25%

The principal proxy advisory firms are also consulted regularly.
They were also invited to our Annual Governance Meeting and
are sent engagement letters from the Committee and company
Chairs.
AGM voting
Details of voting levels in respect of our Remuneration
arrangements are set out below.

| Total votes cast (billion) | Total votes for (%) | Total votes against (%) | Votes withheld (million)
2023 AGM |  |  |  |
Remuneration Report | 2.8 | 88.8 | 11.2 | 70.1
Amendments to 2022 Remuneration Policy | 2.9 | 99.0 | 1.0 | 10.7
2022 AGM |  |  |  |
Remuneration Report | 3.6 | 91.1 | 8.9 | 12.3
Remuneration Policy | 3.6 | 61.8 | 38.2 | 13.3

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153
Co mmittee focus dur ing 2023

|  | Items discussed
| Remuneration policy | – Prepared, agreed and proposed administrative amendments to the 2022 Remuneration Policy – Continued engagement with shareholders and reviewed and considered shareholder and proxy advisor feedback
| Fixed Pay | – Considered Executive Director and GLT performance, benchmarking competitiveness against GSK comparator groups – Reviewed GLT and Company Secretary salary recommendations for 2023 – Executive Director salary review recommendations for 2023 and 2024 – Reviewed company Chair’s fees for 2023 and 2024
| Pay for Performance Annual Bonus | – Executive Director and GLT 2022 bonus recommendations and set 2023 Executive Directors’ bonus objectives
| LTI plans | – Considered the LTI performance outcomes and award vesting for the CEO, Executive Directors, GLT and below – Confirmed LTI grants for Executive Directors, GLT and below
| Governance and other areas of focus | – Remuneration considerations and Committee programme for 2023 and 2024 – Committee evaluation and Annual Review of its Terms of Reference – Approved 2022 Remuneration report – Confirmed 2023 Group Budget for remuneration purposes – Considered AGM and Remuneration report feedback, the external remuneration environment and performance target disclosure for incentive plans – Agreed Committee's key messages for Annual Governance Meeting – Committee Chair consulted with employee representatives on wider workforce pay practices and pay generally

Le aving Director s
T o support the CFO succession and transition process, as announced in September 2022 and set out in the 2022 Annual
Report, after step ping down from the Board Iain Mackay continued to receive remuneration until he left GSK on 31 December
2023. This was in line with the current Remuneration policy. His base salary was not increased during 2023. Whilst serving as
an Executive Director (until 1 May 2023) he received total benefits of £82,000 (comprising £67,000 for benefits that are
available to employees and £15,000 for business-related services). The value of his pension until May 2023 totalled £22,000
(comprising £2,000 UK defined contribution and £20,000 employer cash contributions). See page 143 for further explanation.
As an employee to the end of 2023, he remained eligible to receive a bonus under the Executive bonus plan for 2023 based on
delivery of the measures described on page 144. This was reviewed by the Committee and determined to be £2,196,810 in total
for the year, comprising £915,335 in cash and £1,281,475 delivered as GSK shares deferred for three years under the DABP plan.
The bonus value in respect of the period he served as an Executive Director was £728,000.
He was not eligible for and therefore did not receive any further PSP awards in 2023 given he was due to leave GSK. Vesting of
his existing LTI awards will be in accordance with the Recoupment Policy. With regard to the 2021 PSP award of 278,363
ordinary shares, this will not vest until January 2025. 69.95% of the award (223,045 shares inclusive of dividends) will vest in
accordance with the performance described on page 142. The illustrative unreduced value for this award is disclosed in the
Single figure table on page and the value at the time of vesting will be updated in the 2024 Annual Report.
Since his executive service contract ended on 31 December 2023, he will be required to satisfy the post-employment share
ownership requirement as set out on page 156.

| Payments (audited): | to past Directors | for loss of office
|  | No payments were made to past Directors in 2023 | No loss of office payments were made during 2023

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154

Non-Executive Directors’ fees

The company aims to provide the Chair and other Non-Executive Directors with fees that are competitive with those paid by other
companies of equivalent size and complexity, subject to the limits contained in its Articles of Association.
2023 Non-Executive Direct ors’ fees
The Non-Executive Directors’ fees that applied during 2023 are set out in the table below together with the fees for 2024:

|  | Per annum
|  | 2023 | 2024
| Chair fee | £735,000 | £764,400
| Standard NED annual fee | £113,800 | £118,352
| Supplemental fees |  |
| Chair of the Audit & Risk Committee | £80,000 | £80,000
| Senior Independent Director | £50,000 | £50,000
| Scientific & Medical Experts | £30,000 | £30,000
| Chairs of the Remuneration, Corporate Responsibility and Science committees and, when appointed, Workforce Engagement Director | £40,000 | £40,000
| Science Committee members undertaking significant additional responsibilities on behalf of GSK | Up to £200,000 | Up to £200,000

Following a review and approval by the Committee at the end of 2023 it was determined that the Chair's fee should be
increased from £735,000 with effect from 1 January 2024 by 4% to £764,400. The Chair and the CEO also recommended that
the Board approve an increase to the Non-Executive Directors' standard annual fee, with effect from 1 January 2024, by 4% to
£118,352 in line with the increase awarded to the wider UK workforce.
2023 Total fees (audited)
The audited table below sets out the value of fees and benefits received by the Non-Executive Directors in the form of cash and
shar es or ADS. Non-Executive Directors' fees paid in a currency other than Sterling are converted using an average exchange
rate that is reviewed from time to time. The average exchange rates were updated in 2023. In 2023, Non-Executive Directors
fees were converted to US Dollars using an exchange rate of $1.175. Benefits comprise the grossed up cash value of travel and
subsistence costs incurred in the normal course of business, in relation to attendance at Board and Committee meetings and in
fulfilling their role.

Non-Executive Directors’ emoluments (000) (audited) |  |  |  | 2023 |  | 2022
| Fixed fees |  |  |  | Fixed fees |  |
Cash | Shares/ADS | Benefits | Total pay | Cash | Shares/ADS | Benefits | Total pay
Sir Jonathan Symonds | £551 | £184 | £30 | £765 | £525 | £175 | £10 | £710
Elizabeth Anderson | $100 | $33 | $30 | $163 | $35 | $8 | — | $43
Charles Bancroft | — | $295 | $28 | $323 | — | $287 | $10 | $297
Dr Hal Barron | $344 | $33 | $78 | $455 | $150 | $16 | $11 | $177
Dr Anne Beal | $156 | $33 | $34 | $223 | $138 | $46 | $15 | $199
Wendy Becker | £21 | £7 | £4 | £32 | — | — | — | —
Dr Hal Dietz | $191 | $33 | $40 | $264 | $174 | $58 | $2 | $234
Dr Jesse Goodman | $144 | $33 | $44 | $221 | $182 | $61 | $31 | $274
Urs Rohner | £133 | £28 | £40 | £201 | £112 | £31 | £23 | £166
Dr Vishal Sikka | — | $134 | $13 | $147 | — | $58 | — | $58

Non-Executive Director section of 2022 Remuneration policy
At the 2023 AGM, shareholders approved an administrative amendment to the Non-Executive Director section of the Remuneration
policy to allow the notional shares or ADS previously allocated under the Non-Executive Director plan to be delivered to the Chair
and Non-Executive Directors at such time as the Committee and Board considered appropriate after any applicable tax
withholding. The Chair and Mr Rohner's notional shares were released to them after the AGM in 2023. It is expected that the other
Non-Executive Directors holdings will be released to them following the company's AGM in May 2024. The company does not
expect to make any significant changes to the fee structure for the Chair and Non-Executive Directors during the remainder of the
2022 Remuneration policy period.

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155

Directors’ interests in shares (audited)

Exec utive Directors’ interes ts in shares
The interests of the Executive Directors of the company in office during 2023 and their persons closely associated (PCA) are
shown in the table below:

|  |  |  | As at 31 December 2023 or date of retirement
|  |  |  |  |  |  | Unvested share plan interests
|  | Total directors’ interests(1) |  | Beneficial interests |  | Not subject to performance |  | Subject to performance
|  | 23 February 2024 | 31 December 2023 or date of retirement |  | Shares (2) |  | Shares (3) | Options (4,7) |  | Shares (5)
| Emma Walmsley | 1,974,235 | 1,542,803 |  | 733,961 |  | 549,998 | 258,843 |  | 1,636,924
| Julie Brown | 98,685 | 23,105 |  | 23,105 |  | — | — |  | 269,262
| Iain Mackay(6) | — | 475,857 |  | 21,892 |  | 287,488 | 166,477 |  | 555,267

None of the Directors hold vested but unexercised options.
(1) Total directors’ interests includes beneficial interests and unvested share plan interests not subject to performance. For Emma Walmsley, the balance as
at 23 February 2024 includes shares awarded in 2021, under the PSP and the DABP which vested in February 2024 less those sold to satisfy tax liabilities
on the vested amounts where relevant. Shares awarded in 2021 under the PSP and the DABP to Iain Mackay will not vest until January 2025 in
accordance with the terms of the Recoupment Policy. Executive Directors’ shareholdings against their SOR are outlined below
(2) Beneficial interests includes shares held by the Executive Directors and their PCAs. For Emma Walmsley and Julie Brown, this includes 2,463 shares and
86 shares respectively purchased through the Share Reward plan
(3) Unvested shares not subject to performance represent PSP shares which have vested but are subject to an additional two-year holding period
(4) Unvested options not subject to performance represent bonus deferrals under the DABP which are awarded as nil-cost options (as described in note 7
below). This figure excludes 790 options and 828 options held by Emma Walmsley and Julie Brown respectively under the Share Save plan
(5) Unvested shares subject to performance represent unvested PSP awards
(6) Iain Mackay retired from the Board on 1 May 2023
(7) DABP: The table below shows bonus deferrals and subsequent reinvestment of dividends under the DABP. The amounts represent the gross share
balances prior to the sale of any shares to satisfy tax liabilities on vesting

| DABP (Bonus deferrals) | 23 February 2024 | 31 December 2023 or date of retirement | 1 January 2023
| Emma Walmsley | 356,006 | 258,843 | 184,990
| Julie Brown | 56,190 | — | —
| Iain Mackay | — | 166,477 | 127,002

The following table sets out details of nil-cost options exercised during 2023 by Executive Directors:

|  | Date of grant | Number of shares under option | Date of exercise | Grant price | Market price at exercise | Gain on exercise (000)
| Emma Walmsley | 14.02.2020 | 60,707 | 14.02.23 | £0.00 | £14.87 | £903
| Iain Mackay | 14.02.2020 | 40,985 | 14.02.23 | £0.00 | £14.89 | £610

The nil-cost options awarded in 2020 under the DABP represent the bonus deferred by the Executive Director and recorded as
remuneration (under Annual Bonus) in the 2019 Total remuneration table. The number of shares under option includes the initial
award together with reinvested dividends accrued to the date of exercise.
Executive Directors' Share ownership re quirements (SOR) (audited)
To align the interests of Executive Dir ectors with those of shareholders, they are required to build and maintain significant
holdings of shares in GSK over time. Executive Directors are required to continue to satisfy this SOR by holding 100% of their
SOR for the first 12 months after leaving GSK and not less than 50% of their SOR for months 13-24 thereafter. Shares subject to
performance conditions are excluded from the SOR calculation until the end of the performance period. These vested shares
are then included to the extent that the performance conditions are met. The value of the holdings has been calculated on a
post-tax basis. Iain Mackay exceeded his SOR at the date of his retirement from the Board and continues to maintain his SOR.

|  |  | Value of holdings as % of salary
|  | SOR % of salary | 23 February 2024 | 31 December 2023
| Emma Walmsley | 6.5 | 16.60 | 12.84
| Julie Brown | 3.0 | 1.12 | 0.35

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156
No n-Executive Directors’ interests in s hares
The interests of the Non-Executive Directors in office during 2023 and their persons closely associated (PCA) are shown in the
table below:

|  |  |  |  |  | Prior NED share allocation plan
|  |  | Total directors’ interests as at(2) |  |  |  |  | Number of shares/ADS
|  | NED SOR 23 February 2024(1) | 23 February 2024 | 31 December 2023 | Beneficial interests at 31 December 2023(4) |  | Dividends reinvested after year end | 31 December 2023 | Elected & allocated during the year(5) | 1 January 2023
| Shares |  |  |  |  |  |  |  |  |
| Sir Jonathan Symonds | Met | 68,207 | 64,707 | 64,707 |  | — | — | 1,047 | 34,391
| Wendy Becker | In progress | 478 | 478 | 478 |  | — | — | — | —
| Urs Rohner | Met | 17,362 | 17,362 | 17,362 |  | — | — | 564 | 18,519
| ADS |  |  |  |  |  |  |  |  |
| Elizabeth Anderson | In progress | 1,179 | 1,171 | 1,171 |  | — | — | — | —
| Charles Bancroft | Met | 23,564 | 22,809 | 7,005 |  | 709 | 15,804 | 240 | 15,564
| Dr Hal Barron | Met | 641,269 (3) | 753,357 | 530,020 |  | — | — | — | —
| Dr Anne Beal | In progress | 2,821 | 2,734 | 934 |  | 80 | 1,800 | 23 | 1,777
| Dr Hal Dietz | In progress | 2,605 | 2,527 | 934 |  | 71 | 1,593 | 18 | 1,575
| Dr Jesse Goodman | Met | 14,120 | 13,548 | 934 |  | 566 | 12,614 | 238 | 12,375
| Vishal Sikka | Met | 4,454 | 4,422 | 4,422 |  | — | — | — | —

(1) NED Share Ownership Requirements: Since July 2022, the company has operated a minimum Non-Executive Director share ownership requirement
(NED SOR) of at least one times the standard NED annual fee (or the Chair’s fee) to be mai ntained until after reti rement. from the Board. The Chair
and Non-Executive Directors have transitioned from the previous NED share allocation plan (NED Plan) to purchasing shares and ADSs in the market
from their net fees. They all spend a minimum of 25% of their net fees in purchasing GSK shares or ADSs in the market
(2) Total directors’ interests include beneficial interests and any notional shares/ADS received as all or part of their fees under the previously operated
NED Plan. Dividends received on notional shares/ADS under the prior NED Plan during the year and in January 2024 were converted into notional
shares/ADS as at 11 January 2024. For Dr Hal Barron, this includes the PSP award that vested in February 2024, see page 147
(3) The Total interests for Dr Barron have reduced since 31 December 2023 following the vesting of PSP and DABP awards granted to him in his former
executive capacity as CSO. Details of the vesting level for the 2021 PSP is shown on page 147 and the DABP vest relates to the deferral of shares from
the 2021 annual bonus. In addition, on vesting, shares are sold to meet an executive's tax liabilities. Details of his transition from CSO to a Non-
Executive Director are given on page 135 of the 2022 Annual Report
(4) Beneficial interests includes shares/ADS held by the Non-Executive Directors and their PCAs
(5) Notional shares/ADS allocated during the year under the NED plan relates to dividends reinvested during the year

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Directors interest in shares (audited) continued |  |  |

157

| Percentage change in remuneration of Directors

|  | 2023 percentage change |  | 2022 percentage change |  | 2021 percentage change |  | 2020 percentage change
|  | Salary/ fees % | Benefits % | Bonus % |  | Salary/ fees % | Benefits % | Bonus % |  | Salary/ fees % | Benefits % | Bonus % |  | Salary/ fees % | Benefits % | Bonus %
| UK employees (1) | 7.1 | 0.92 | 34.8 |  | 3.0 | 2.3 | 44.81 |  | 2.0 | 0.0 | 4.85 |  | 2.5 | — | 11.0
| Executive Directors (2,3) |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Emma Walmsley | 4.0 | 61.8 | 20.1 |  | 3.0 | (2.2) | 38.2 |  | 2.0 | (5.0) | 94.6 |  | 8.0 | (26.6) | (33.4)
| Julie Brown | — | — | — |  | — | — | — |  | — | — | — |  | — | — | —
| Non-Executive Directors (2,5) |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Sir Jonathan Symonds | 5.0 | 200.0 | — |  | 0.0 | 233.3 | — |  | 0.0 | 50.0 | — |  | 201.7 | 0.0 | —
| Elizabeth McKee Anderson | 209.3 | — | — |  | — | — | — |  | — | — | — |  | — | — | —
| Charles Bancroft | 2.8 | 180.0 | — |  | 36.7 | 100.0 | — |  | 156.1 | — | — |  | — | — | —
| Dr Hal Barron (4) | 127.1 | 609.1 | — |  | — | — | — |  | — | — | — |  | — | — | —
| Dr Anne Beal | 2.7 | 126.7 | — |  | 121.7 | — | — |  | — | — | — |  | — | — | —
| Wendy Becker | — | — | — |  | — | — | — |  | — | — | — |  | — | — | —
| Dr Hal Dietz | (3.4) | 1900.0 | — |  | — | — | — |  | — | — | — |  | — | — | —
| Dr Jesse Goodman | (27.2) | 41.9 | — |  | 11.0 | 34.8 | — |  | (5.6) | 0.0 | — |  | (12.5) | (65.2) | —
| Urs Rohner | 12.6 | 73.9 | — |  | 5.9 | 109.1 | — |  | (5.6) | 175.0 | — |  | 16.3 | (69.2) | —
| Dr Vishal Sikka | 131.0 | — | — |  | — | — | — |  | — | — | — |  | — | — | —
| Retired Executive Directors (2) |  |  |  |  |  |  |  |  |  |  |  |  |
| Iain Mackay | (66.7) | (71.8) | (65.0) |  | 3.0 | 20.2 | 32.4 |  | 2.0 | 56.1 | 94.2 |  | 5.6 | (11.5) | (31.6)

(1) This table is provided in accordance with Schedule 8 of The Companies (Directors’ Remuneration Policy and Directors’ Remuneration Report)
Regulations 2020. The UK employee population was considered to be the most relevant comparison as it most closely reflects the economic
environment encountered by the Executive Directors
(2) Percentage changes have been calculated based on the 2023 Total remuneration table on page 142 for Executive Directors and the 2023 Total fees
table on page 155 for Non-Executive Directors
(3) Further information on Executive Directors’ salary and benefits can be found on page 143
(4) Dr Hal Barron transitioned to a Non-Executive Director role on 1 August 2022
(5) Fees of Non-Executive Directors include fees receiv ed as cash and in the fo rm of shares or ADS

Directors and Senior Management

Further information is provided on compensation and interests of Directors and Senior Management as a group (the group).
For this purpose, the group is defined as the Executive and Non-Executive Directors, other members of the GLT and the Company
Secretary. For the financial year 2023, the following table sets out aggregate remuneration for the group for the periods during
which they served in that capacity.

Remuneration for 2023 | £
Total compensation paid | 37,406,891
Aggregate increase in accrued pension benefits (net of inflation) | 6,403
Aggregate payments to defined contribution schemes | 1,314,332

During 2023, members of the group were awarded shares and ADS under the company’s various LTI plans, as set out in the table
below. To align the interests of Senior Management with those of shareholders, Executive Directors and GLT members are required
to build and maintain significant holdings of shares in GSK over time. GLT members are required to hold shares to an equivalent
multiple of two times their base salary, and must continue to satisfy these share ownership requirements for a minimum of 12 months
after leaving GSK.

|  | Awards |  | Dividend reinvestment awards
Awarded during 2023 | Shares | ADS |  | Shares | ADS
Performance Share Plan | 2,278,202 | 64,427 |  | 258,760 | 4,236
Deferred Investment Awards (1,2) | — | — |  | 11,694 | 328
Share Value Plan (2) | 10,050 | — |  | — | —

(1) Notional shares and ADS
(2) Executive Directors are not eligible to receive Deferred Investment Awards or participate in the Share Value Plan

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158
At 23 February 2024, the group and their PCAs had the following interests in shares and ADS of the company. Interests awarded
under the various LTI plans are described in Note 45 to the financial statements, ‘Employee share schemes’ on pages 260 to 261.

Interests at 23 February 2024 | Shares | ADS
Owned | 3,444,022 | 558,102
Unexercised options | 3,988 | —
Deferred Annual Bonus Plan | 1,179,129 | 76,130
Performance Share Plan | 7,256,570 | 299,940
Deferred Investment Awards (1,2) | 146,847 | 4,668
Share Value Plan (2) | 44,738 | —

(1) Notional shares
(2) Executive Directors are not eligible to receive Deferred Investment Awards or participate in the Share Value Plan
Executive Directors’ external appointments
The company recognises that Executive Directors may be invited to become non-executive directors of other companies. Such
appointments can broaden their knowledge and experience to the benefit of the company. Executive Directors are entitled to
retain any fees received from such appointments.
Emma Walmsley is an independent non-executive director of Microsoft Corporation. During the year, whilst Iain Mackay was a
Director of GSK, he was also an independent Non-Executive Director of National Grid plc.
Se rvice con tracts and letters of appointment
The table below sets out the dates of the Executive Directors’ service contracts, which are available at the company’s registered
office and on gsk.com.

|  | Date of contract | Effective date | Expiry date
| Emma Walmsley | 29.03.17 | 01.04.17 | 30.06.34
| Julie Brown | 25.09.22 | 01.05.23 | n/a

Non-Executive Directors have letters of appointment, which are also available to view at the company’s registered office.
Each Non-Executive Director is expected to serve on the Board until the end of the AGM following the third anniversary of their
appointment, provided that they are elected and subsequently re-elected annually. Subject to mutual agreement, they may
serve a further one or two, three year terms, depending on the needs of the Board.
H ow our Remuneration policy continues to reflect Provision 40 of the UK Corporate Governance
Cod e (th e Cod e)
The company’s Remuneration policy was approved on 4 May 2022 at GSK’s Annual General Meeting and has operated as intended
in terms of company performance and quantum since its approval. The full policy is available at gsk.com in the Investors section.
Two administrative amendments were approved by shareholders at GSK's 2023 Annual General Meeting, as described on page 163
of the 2022 Annual Report.
Clarity and simplicity: The remuneration arrangements for the Executive Directors are set out in a clear and simple way.
Risk: We operate both deferral and post-vesting holding arrangements, in addition to operating malus and clawback provisions
and the Committee has discretion to adjust the award outcomes.
Predictability and proportionality: Our policy defines maximum limits on the total Annual bonus and Long-term incentive
opportunities, and payouts under these elements are linked to fulfilment of performance conditions that support the company’s
publicly stated ambitions and strategy.
Alignment to culture: GSK’s purpose, strategy and culture continue to be directly reflected in the performance conditions set under
the Annual Bonus and Long-term incentive.
.

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Annual report on remuneration continued
Directors and Senior Management continued |  |  |

159

Operation and scope of Remuneration policy

The Remuneration policy (Policy) is set out on pages 144 to 152
of the 2021 Annual Report, which is available in the Governance
section at gsk.com. It is intended that the Policy for GSK’s
Executive and Non-Executive Directors will operate for a period
of three years from the date of approval at the company’s
Annual General Meeting on 4 May 2022.
The Committee wrote the Policy principally in relation to the
remuneration arrangements for the Executive Directors, whilst
taking into account the possible recruitment of a replacement
or an additional Executive Director during the operation of the
Policy. The Committee intends the Policy to operate for the
period set out above in its entirety. However, it may after due
consideration seek to change the Policy during this period, but
only if it believes it is appropriate to do so for the long-term
success of the company, after consultation with shareholders
and having sought shareholder approval at a general meeting.
The Committee reserves the right to make any remuneration
payments and/or payments for loss of office (including
exercising any discretions available to it in connection with such
payments) notwithstanding that they are not in line with the
Policy where the terms of the payment were agreed:
(i) before the AGM on 7 May 2014 (the date the company’s first
shareholder-approved Directors’ Remuneration policy came
into effect);
(ii) before the Policy came into effect, provided that the terms of
the payment were consistent with the shareholder-approved
Remuneration policy in force at the time they were agreed; or
(iii) at a time when the relevant individual was not a Director of
the company and, in the opinion of the Committee, the
payment was not in consideration for the individual becoming a
Director of the company. For these purposes ‘payments’
includes the Committee satisfying awards of variable
remuneration and, in relation to an award over shares or ADS,
the terms of the payment are ‘agreed’ at the time the award is
granted.
Performance Share Plan (PSP) awards are subject to the terms
of the PSP plan rules under which the award has been granted.
The Committee may adjust or amend awards only in
accordance with the provisions of the plan rules. This includes
making adjustments to reflect one-off corporate events, such as
a change in the company’s capital structure.
The Committee may also make minor amendments to the
Policy (for regulatory, exchange control, tax or administrative
purposes or to take account of a change in legislation) without
obtaining shareholder approval for such amendments.

Basis of preparation

The Annual report on remuneration has been prepared in
accordance with the Companies Act 2006 and The Large and
Medium-sized Companies and Groups (Accounts and Reports)
(Amendment) Regulations 2013 (the Regulations). In
accordance with the Regulations, the following parts of the
Annual report on remuneration are subject to audit: total
remuneration figures for Executive Directors including further
details for each element of remuneration (salary, benefits,
pension, Annual Bonus and Long-term incentive awards); Non-
Executive Directors’ fees and emoluments received in the year;
Directors’ interests in shares, including interests in GSK share
plans; payments to past Directors; payments for loss of office;
and share ownership requirements and holdings, for which the
opinion thereon is expressed on page 179. The remaining
sections of the Annual report on remuneration are not subject
to audit nor are the pages referred to from within the audited
sections.
The Annual report on remuneration has been approved by the
Board of Directors and signed on its behalf by:
Urs Rohner
Remuneration Committee Chair
27 February 2024

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160
Directors' powers
GSK Directors’ powers are determined by UK legislation and our
Articles of Association, which contain rules about their
appointment and replacement. They provide that Directors
may be appointed by an ordinary resolution of the members or
by a resolution of the Board. If appointed by the Board, the
Director must retire at the next Annual General Meeting to be
elected by shareholders
Our Articles also provide that all Directors are required to seek
re-election annually at our Annual General Meeting in
accordance with the FRC's Code.
A Director will then cease to be a Director if he or she:
– becomes bankrupt
– ceases to be a Director by virtue of the Companies Act or the
Articles
– suffers mental or physical ill health and the Board resolves
that he or she shall cease to be a Director
– has missed Directors’ meetings for a continuous period of six
months without permission and the Board resolves that he or
she shall cease to be a Director
– is otherwise prohibited from being a Director by law
– resigns, or offers to resign and the Board accepts that offer
– is required to resign by the Board
Directors’ conflicts of interest
All Directors have a duty under the Companies Act 2006 to
avoid a situation in which they have, or could have, a direct or
indirect conflict of interest or possible conflict with the
company. Our Articles provide a general power for the Board to
authorise such conflicts.
The Board reviews any new potential or actual conflict, which is
recorded by the Company Secretary. Directors are not counted
in the quorum for the authorisation of their own actual or
potential conflicts. The Nominations & Corporate Governance
Committee reviews the Register of Potential Conflicts on an
annual basis which the Board subsequently approves.
On a continuing basis, the Directors are responsible for
informing the Company Secretary of any such new actual or
potential conflicts that may arise or if there are any changes in
circumstances that may affect an authorisation previously
given. Even when provided with authorisation, a Director is not
absolved from his or her statutory duty to promote the success
of the company. If an actual conflict arises post-authorisation,
the Board may choose to exclude the Director from receipt of
the relevant information and participation in the debate, or
suspend the Director from the Board, or, as a last resort, require
the Director to resign.
The Nominations & Corporate Governance Committee
reviewed the Register of Potential Conflict authorisations (the
Register of Potential Conflicts) in January 2024. The Committee
reported to the Board that the conflicts had been appropriately
authorised and that the process for authorisation continued to
operate effectively. The Committee then recommended the
approval of the Register of Potential Conflicts to the Board
which it subsequently approved. Except as described in Note 40
to the financial statements, ‘Related party transactions’, during
or at the end of the financial year no Director or Person Closely
Associated had any material interest in any contract of
significance with a Group company.
Our Articles prohibit a Director from voting on any resolution
concerning his or her appointment or the terms or termination
of his or her appointment.
Independent advice
The company has an agreed procedure for Directors to take
independent legal and/or financial advice at the company’s
expense where they deem it necessary.
Indemnification of Directors
Qualifying third party indemnity provisions (as defined in the
Companies Act 2006) are in force for the benefit of Directors
and former Directors who held office during 2023 and up to the
approval and signature of the Annual Report.
Change of control and essential contracts
We do not have contracts or other arrangements which
individually are fundamental to the ability of the business to
operate effectively. Neither is the company party to any
material agreements that would take effect, be altered, or
terminate upon a change of control following a takeover bid.
We do not have agreements with any Director that would
provide compensation for loss of office or employment resulting
from a takeover, except that provisions of the company’s share
plans may cause options and awards granted under such plans
to vest on a takeover.
Details of the termination provisions in the Executive Directors’
service contracts are given in the full version of the company’s
2022 Remuneration policy which is available on gsk.com in the
Investors section.

Content of the Directors’ report

For the purposes of the UK Companies Act 2006, the Directors’
report of GSK plc for the year ended 31 December 2023
comprises:
Directors’ report

Section | Pages
Corporate governance report | 108 to 162
Employee engagement | 121
Directors’ statements of responsibilities | 165 and 166
Investor information | 273 and 314

The Strategic report sets out those matters required to be
disclosed in the Directors’ report which are considered to be of
strategic importance:
Strategic report

Section | Pages
Risk management objectives and policies | 57 to 76 and 284 to 294
Likely future developments of the company | 1 to 106
Research and development activities | 16 to 30
Business relationships | 46 to 55
Diversity | 52 and 53
Provision of information to and consultations with employees | 14, 15, 52 and 53
Carbon emissions | 49 to 52
Section 172 statement | 123 to 127

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Directors' report

161
The following information is also incorporated into the Directors’
report:

| Location in Annual Report
Interest capitalised | Financial statements, Notes 17 and 20
Particulars of important post-balance sheet events of the company or its subsidiaries | Financial statements, Note 48
Publication of unaudited financial information | Group financial review
Details of any long-term incentive schemes | Remuneration report
Waiver of emoluments by a Director | Not applicable
Waiver of future emoluments by a Director | Not applicable
Non pre-emptive issues of equity for cash | Not applicable
Non pre-emptive issues of equity for cash by any unlisted major subsidiary undertaking | Not applicable
Parent company participation in a placing by a listed subsidiary | Not applicable
Provision of services by a controlling shareholder | Not applicable
Shareholder waiver of dividends | Financial statements, Notes 16 and 45
Shareholder waiver of future dividends | Financial statements, Notes 16 and 45
Agreements with controlling shareholders | Not applicable

The Directors’ report
– has been drawn up and presented in accordance with and in
reliance upon English company law and the liabilities of the
Directors in connection with that Report shall be subject to
the limitations and restrictions provided by such law.
– was approved by the Board of Directors on 27 February 2024
and signed on its behalf by:
Sir Jonathan Symonds
Chair
27 February 2024

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Directors' report continued

162
Financial
statements

In this section |
Directors’ statement of responsibilities | 164
Independent Auditor’s report | 166
Financial statements | 180
Notes to the financial statements | 184
Financial statements of GSK plc prepared under UK GAAP | 267

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163
The Directors are responsible for preparing the Annual Report,
the Remuneration report and the Group and parent company
financial statements in accordance with applicable law and
regulations.
UK company law requires the Directors to prepare financial
statements for each financial year. The Directors are required
to prepare the Group consolidated financial statements in
accordance with UK-adopted international accounting
standards in conformity with the requirements of the
Companies Act 2006 and the International Financial Reporting
Standards (IFRS) as issued by the International Accounting
Standards Board (IASB). The Directors have elected to prepare
the parent company financial statements in accordance with
United Kingdom Accounting Standards and applicable law
(United Kingdom Generally Accepted Accounting Practice)
(Financial Reporting Standard 101 Reduced Disclosure
Framework). Under company law the Directors must not
approve the financial statements unless they are satisfied that
they give a true and fair view of the state of affairs of the Group
and its profit or loss for that period. In preparing the financial
statements, the Directors are required to:
– select suitable accounting policies and then apply them
consistently;
– make judgements and accounting estimates that are
reasonable and prudent;
– state that the Group financial statements comply with IFRS,
as issued by the IASB and in conformity with the
requirements of the Companies Act 2006;
– state with regard to the parent company financial
statements that applicable UK Accounting Standards have
been followed, subject to any material departures disclosed
and explained in the parent company financial statements;
and
– prepare the financial statements on a going concern basis
unless it is inappropriate to presume that the Group and the
parent company will continue in business.
In preparing the Group financial statements, International
Accounting Standard 1 requires that directors properly select
and apply accounting policies; present information, including
accounting policies, in a manner that provides relevant,
reliable, comparable and understandable information; provide
additional disclosures when compliance with the specific
requirements in IFRS Standards are insufficient to enable users
to understand the impact of particular transactions, other
events and conditions on the entity’s financial position and
financial performance; and make an assessment of the
company’s ability to continue as a going concern.
The Directors are responsible for keeping adequate accounting
records that are sufficient to show and explain the company’s
transactions and disclose with reasonable accuracy at any
time the financial position of the Group and to enable them to
ensure that the Group financial statements and the
Remuneration report comply with the Companies Act 2006.
They are also responsible for safeguarding the assets of the
Group and hence for taking reasonable steps for the prevention
and detection of fraud and other irregularities.
The Group financial statements for the year ended
31 December 2023 , comprising principal statements and
supporting notes, are set out in the ‘Financial statements’ on
pages 180 to 266 of this report. The parent company financial
statements for the year ended 31 December 2023, comprising
the balance sheet and the statement of changes in equity for
the year ended 31 December 2023 and supporting notes, are
set out on pages 267 to 271.
The responsibilities of the auditor in relation to the financial
statements are set out in the Independent Auditor’s report on
pages 166 to 179.
The financial statements for the year ended 31 December 2023
are included in the Annual Report, which is published in printed
form and made available on our website. The Directors are
responsible for the maintenance and integrity of the corporate
and financial information included on the company’s website.
Legislation in the United Kingdom governing the preparation
and dissemination of financial statements may differ from
legislation in other jurisdictions.
Each of the current Directors, whose names and functions are
listed in the Corporate Governance section of the Annual
Report 2023 confirms that, to the best of his or her knowledge:
– the Group financial statements, which have been prepared in
accordance with the applicable set of accounting standards
and in conformity with the requirements of Companies Act
2006, give a true and fair view of the assets, liabilities,
financial position and profit of the Group;
– the strategic report and risk sections of the Annual Report,
which represent the management report, include a fair
review of the development and performance of the business
and the position of the company and the Group taken as a
whole, together with a description of the principal risks and
uncertainties that it faces; and
– the Annual Report and financial statement, taken as a whole,
are fair, balanced and understandable and provide the
information necessary for shareholders to assess the
company’s position and performance, business model and
strategy.

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Disclosure of information to auditor
The Directors in office at the date of this Annual Report have
each confirmed that:
– so far as he or she is aware, there is no relevant audit
information of which the company’s auditor is unaware; and
– he or she has taken all the steps that he or she ought to have
taken as a Director to make himself or herself aware of any
relevant audit information and to establish that the
company’s auditor is aware of that information.
This confirmation is given and should be interpreted in
accordance with the provisions of section 418 of the Companies
Act 2006.
Going concern basis
Pages 78 to 106 and pages 62 to 69 contain information on the
performance of the Group, its financial position, cash flows, net
debt position, borrowing facilities and climate related risks.
Further information, including Treasury risk management
policies, exposures to market and credit risk and hedging
activities, is given in Note 44, 'Financial instruments, and related
disclosures' to the financial statements. Having assessed the
principal risks and other matters considered in connection with
the viability statement, the Directors considered it appropriate
to adopt the going concern basis of accounting in preparing
the financial statements.
Internal control
The Board, through the Audit & Risk Committee, has reviewed
the assessment of risks and the internal control framework that
operates in GSK and has considered the effectiveness of the
system of internal control in operation in the Group for the year
covered by this Annual Report and up to the date of its
approval by the Board of Directors. Further detail on the review
of internal controls is set out in the Governance report on page
134.
The 2018 UK Corporate Governance Code
The Board considers that GSK plc applies the principles and
complies with the provisions of the UK Corporate Governance
Code maintained by the Financial Reporting Council, as
described in the Corporate Governance section on pages 118 to
138. The Board further considers that the Annual Report, taken
as a whole, is fair, balanced and understandable, and provides
the information necessary for shareholders to assess the
Group’s position and performance, business model and
strategy.
As required by the Financial Conduct Authority’s Listing Rules,
the auditor has considered the Directors’ statement of
compliance in relation to those points of the UK Corporate
Governance Code which are specified for their review.
Annual Report
The Annual Report for the year ended 31 December 2023,
comprising the Report of the Directors, the Remuneration
report, the Financial statements and Additional information for
investors, has been approved by the Board of Directors and
signed on its behalf by
Sir Jonathan Symonds
Chair
27 February 2024

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Report on the audit of the financial statements

1. Opinion

In our opinion:
– The financial statements of GSK plc (the ‘Parent company’)
and its subsidiaries (the ‘Group’) give a true and fair view of
the state of the Group’s and of the Parent company’s affairs
as at 31 December 2023 and of the Group’s profit for the year
then ended;
– The Group financial statements have been properly prepared
in accordance with United Kingdom adopted international
accounting standards and International Financial Reporting
Standards (IFRSs) as issued by the International Accounting
Standards Board (IASB);
– The Parent company financial statements have been
properly prepared in accordance with United Kingdom
Generally Accepted Accounting Practice including FRS 101
“Reduced Disclosure Framework”; and
– The financial statements have been prepared in accordance
with the requirements of the Companies Act 2006.
We have audited the financial statements which comprise the

Group
– Consolidated balance sheet as at 31 December 2023;
– Consolidated income statement for the year then ended;
– Consolidated statement of comprehensive income for the year then ended;
– Consolidated statement of changes in equity for the year then ended;
– Consolidated cash flow statement for the year then ended; and
– Notes 1 to 48 to the financial statements, which includes the material accounting policy information.
Parent company
– Balance sheet as at 31 December 2023;
– Statement of changes in equity for the year then ended; and
– Notes A to L to the financial statements, which includes the material accounting policy information.

The financial reporting framework that has been applied in the
preparation of the Group financial statements is applicable law,
United Kingdom adopted international accounting standards
and IFRSs as issued by the IASB. The financial reporting
framework that has been applied in the preparation of the
Parent company financial statements is applicable law and
United Kingdom Accounting Standards, including FRS 101
“Reduced Disclosure Framework” (United Kingdom Generally
Accepted Accounting Practice).

2. Basis for opinion

We conducted our audit in accordance with International
Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our
responsibilities under those standards are further described in
the auditor’s responsibilities for the audit of the financial
statements section of our report.
We are independent of the Group and the Parent company in
accordance with the ethical requirements that are relevant to
our audit of the financial statements in the UK, including the
Financial Reporting Council’s (the ‘FRC’s’) Ethical Standard as
applied to listed public interest entities, and we have fulfilled our
other ethical responsibilities in accordance with these
requirements. We confirm that we have not provided any non-
audit services prohibited by the FRC’s Ethical Standard to the
Group or the Parent company, as noted in the Audit & Risk
Committee report within the Corporate Governance section of
the Annual Report on page 133 and the disclosure provided in
Note 8 regarding fees payable to the Group’s auditor.
We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our opinion.

3. Summary of our audit approach

Key audit matters
The key audit matters that we identified in the current year
were:
– Valuation of the ViiV Healthcare Shionogi contingent
consideration liability
– Valuation of US Returns and Rebates (RAR) accruals
– Valuation of other intangible assets
– Valuation of uncertain tax positions, including transfer pricing
– Valuation of the contingent liabilities and significant legal
proceedings.
Materiality
– The materiality that we used for the group financial
statement was £280 million (2022: £210 million) which was
determined on the basis of Statutory profit before tax,
Adjusted profit before tax, Revenue and Net cash flows from
operations.
Scoping
– The following components were subject to audit procedures
as well as the assessment of the effectiveness of internal
controls over financial reporting: Belgium, Canada, China,
France, Germany, Italy, Japan, United Kingdom and the
United States.
Our audit scope addressed 80% (2022: 79%) of the Group’s
revenue, 92% (2022: 91%) of the Group’s profit before tax and
76% (2022: 86%) of the Group’s total assets.
Significant changes in our approach
– We have removed the key audit matters relating to the
Consumer Healthcare demerger and IT systems that impact
financial reporting.

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4. Conclusions relating to going concern

In auditing the financial statements, we have concluded that
the directors’ use of the going concern basis of accounting in
the preparation of the financial statements is appropriate.
Our evaluation of the directors’ assessment of the Group’s and
Parent company’s ability to continue to adopt the going
concern basis of accounting included:
– Enquiries of the Group directors and management regarding
the assumptions used in the going concern models, including
the potential impact of climate change;
– Evaluating the Group’s existing access to sources of
financing, including undrawn committed bank facilities,
including the impact of changes in interest rates on
profitability;
– Reading analyst reports, industry data and other external
information, including understanding the macroeconomic
environment, to determine if it provided corroborative or
contradictory evidence in relation to assumptions used;
– Comparing forecasted sales to recent historical financial
information;
– Testing the underlying data generated to prepare the
forecast scenarios and determined whether there was
adequate support for the assumptions underlying the
forecast; and
– Evaluating the Group’s disclosures on going concern against
the requirements of IAS 1.
Based on the work we have performed, we have not identified
any material uncertainties relating to events or conditions that,
individually or collectively, may cast significant doubt on the
Group’s and Parent company’s ability to continue as a going
concern for a period of at least twelve months from when the
financial statements are authorised for issue.
In relation to the reporting on how the Group has applied the
UK Corporate Governance Code, we have nothing material to
add or draw attention to in relation to the Directors’ statement
in the financial statements about whether the Directors
considered it appropriate to adopt the going concern basis of
accounting.
Our responsibilities and the responsibilities of the Directors with
respect to going concern are described in the relevant sections
of this report.

5. Key audit matters

Key audit matters are those matters that, in our professional
judgement, were of most significance in our audit of the
financial statements of the current period and include the most
significant assessed risks of material misstatement (whether or
not due to fraud) that we identified. These matters included
those which had the greatest effect on the overall audit
strategy, the allocation of resources in the audit and directing
the efforts of the engagement team.
These matters were addressed in the context of our audit of the
financial statements as a whole, and in forming our opinion on
the financial statements as a whole, we do not provide a
separate opinion on these matters.
We have removed two key audit matters in 2023; the Consumer
Healthcare Demerger key audit matter following the
completion of the demerger in the prior year, and the key audit
matter relating to IT systems that impact financial reporting
following the remediation of control deficiencies relating to
governance and operation of infrastructure privileged access
management in the prior year.

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Key audit matter description |  | How the scope of our audit responded to the key audit matter
Valuation of the ViiV Healthcare Shionogi contingent consideration liability The Group has completed a number of significant transactions which resulted in the recognition of material contingent consideration liabilities, which are a key source of estimation uncertainty. The most significant of these liabilities was the ViiV Healthcare Shionogi Contingent Consideration Liability (ViiV CCL). The Group completed the acquisition of the remaining 50% interest in the Shionogi-ViiV Healthcare joint venture in 2012. Upon completion, the Group recognised a contingent consideration liability for the fair value of the expected future payments to be made to Shionogi. As at 31 December 2023 the liability was valued at £5,718 million. We identified the ViiV CCL as a key audit matter because of the significant estimates and assumptions relating to the sales forecasts used in valuing the ViiV CCL and the sensitivity of the valuation to these inputs. The most significant of these relate to sales forecasts in the United States (US) on certain products in the treatment and prevention portfolio. Such forecasts are based on an assessment of the expected launch dates for pipeline assets, the ability to shift market practice and prescriber behaviour towards long-acting injectable treatments and 2-drug regimens, the size of long-acting prevention market and subsequent sales volumes. There is incremental challenge in forecasting sales associated with recently launched products due to the lack of historical actual data. The sales forecasts also required significant audit effort to perform appropriate audit procedures to challenge and evaluate the reasonableness of those forecasts. Contingent consideration liabilities, including the ViiV CCL, are disclosed as a key source of estimation uncertainty in Note 3, of the Group financial statements with further disclosures provided in Note 33. The matter is also discussed in the Audit & Risk Committee report within the Corporate Governance section of the Annual Report. |  | Audit procedures performed We performed the following audit procedures, amongst others, related primarily to the sales forecasts: – Tested the controls over the key inputs and assumptions used in the valuation of the contingent consideration liability, including review controls over the sales forecasts of the treatment product portfolio used to value the ViiV CCL; – Obtained the Group’s assessment of the key inputs and assumptions used in the sales forecasts and challenged the reasonableness of these, including through enquiries of key individuals from the senior leadership team, commercial strategy team and key personnel involved in the budgeting and forecasting process, and inspection of supporting evidence; – Challenged the US volume assumptions made by the Group to estimate sales forecasts. This involved benchmarking forecast market share data against external data, such as total prescription volumes and new patient prescription volumes, in order to assess for any sources of contradictory evidence; – Challenged the reasonableness of US pricing assumptions by the Group, by comparing the forecasted Returns and Rebates rate by product against the current rate, and assessing the forecasted Returns and Rebates against comparable products considering expected changes in payer policy; – Considered the results of clinical studies undertaken in the year by the Group and key competitors in order to assess whether these are corroborative or contradictory to assumptions used in the product portfolio sales forecasts in the US; – Benchmarked the Group’s sales forecasts against those included in reports from nine analysts and considered sales forecasts on both a total ViiV basis and an individual product basis, assessing against identified contradictory data; and – Together with our valuations specialists, assessed the reasonableness of the overall valuation methodology, including benchmarking the discount rate used and testing the valuation model for mechanical accuracy.
| Key observations communicated to the Audit & Risk Committee
| The sales forecasts used in the valuation are reasonable and in line with relevant supporting information. We are satisfied that the sales forecasts appropriately reflect trends in the overall HIV treatment and prevention markets including the impacts of competition, healthcare reform and a predicted shift towards long-acting injectable products. The approach to valuing the ViiV CCL was consistent with prior periods and overall we are satisfied that the valuation liability is reasonable and consistent with IFRS.

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Key audit matter description |  | How the scope of our audit responded to the key audit matter
Valuation of US Returns and Rebates (RAR) accruals In the US, the Group sells to customers under various commercial and government mandated contracts and reimbursement arrangements that include rebates, chargebacks and a right of return for certain pharmaceutical products. As such, revenue recognition reflects gross-to-net sales adjustments. These adjustments are known as the Returns and Rebates (RAR) accruals and are a source of significant estimation uncertainty which could have a material impact on reported revenue. In the US Commercial business in 2023, £16,539 million of RAR deductions were made to gross revenue of £32,359 million, resulting in net revenue of £15,820 million. The balance sheet accrual at 31 December 2023 for the US Commercial business amounted to £5,951 million. The four most significant payer channels (also referred to as buying groups) to which the RAR accrual relates are managed healthcare organisations, Medicaid, Ryan White and Medicare Part D. The two main causes of significant estimation uncertainty are: – The utilisation rate, which is the portion of total sales that will be made into each payer channel, estimated in recording the accruals. The utilisation assumption is the most challenging of the key assumptions used to derive the accrual given that it is influenced by market demand and other factors outside the control of the Group; and – The time lag between the point of sale and the point at which exact rebate amounts are known to the Group upon receipt of a claim. Those payer channels with the longest time lag result in a greater accrued period, and therefore, a greater level of estimation uncertainty in estimating the period-end accrual. The level of estimation uncertainty is also impacted by significant shifts in channel mix driven by changes in the competitive landscape, including competitor and generic product launches, changes in government legislation and other macroeconomic factors. As such, we focus on the utilisation assumptions for those products where we deem the level of estimation uncertainty to be the most significant. We also focus on the period-end adjustments made to the RAR accruals. These adjustments reflected updates made to the initial assumptions included within the forecasted RAR rates and, in our view, present the greatest opportunity for fraud in revenue recognition (notwithstanding the existence of internal controls). US Commercial Operations returns and rebates are disclosed as a key source of estimation uncertainty in Note 3 of the Group financial statements with further disclosures provided in Note 29. The matter is also discussed in the Audit & Risk Committee report within the Corporate Governance section of the Annual Report. |  | Audit procedures performed We performed the following audit procedures, amongst others, related to estimates in the RAR accruals: – Tested the key controls over the estimation of RAR accruals including the controls associated with the forecasting of utilisation rates process and the month-end accrual review controls; – Challenged assumptions for a selection of utilisation rates, focusing on certain products where we concluded the accrual is most sensitive to these assumptions. Our challenge included comparison to historical utilisation rates, consideration of historical accuracy and assessment of how market changes such as the impact of competition, new product launches, changes in government legislation and macroeconomic factors are appropriately reflected in the RAR accruals; – Supplemented this with substantive analytical procedures by developing an independent expectation of the accrual balance for each of the key segments, based on historical claims received adjusted to reflect market changes in the period including an assessment of the time lag between the initial point of sale and the claim receipt. We then compared this independent expectation to those recorded to evaluate the appropriateness of the year ending accrual position; – Considered the historical accuracy of estimates and evaluated whether forecast assumptions had been appropriately updated in a selection of cases where the actual rebate claims differed to the amount accrued; – Evaluated the appropriateness of, and completeness of, period-end adjustments to the liability made as part of the ongoing review of the estimated accrual; and – Performed audit procedures over the actual rebate payments made in the year by agreeing to the relevant contract to assess whether the rebate payments were in line with the contractual terms.
| Key observations communicated to the Audit & Risk Committee
| We are satisfied that the estimated liability of the RAR accruals at the year-end is appropriate. We observed a level of prudence in the estimate when assessing against our own independent expectations, which is in accordance with the requirements of IFRS 15 Revenue from contracts with customers to limit the risk of a significant reversal of revenue.

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Key audit matter description |  | How the scope of our audit responded to the key audit matter
Valuation of other intangible assets As at 31 December 2023, the Group held £14,166 million of other intangible assets (including licenses, patents, trademarks, and trade names, but excluding goodwill and computer software). This includes £1,438 million of intangible assets acquired as part of the acquisition of Bellus Health during the year. Intangible assets which are in-development and not available for use should be tested at least annually for impairment irrespective of whether an indication of impairment exists. When the carrying amount of an individual intangible asset, or an cash-generating unit to which an intangible asset belongs, exceeds its recoverable amount, an impairment occurs. Recoverability of an intangible asset is derived from certain assumptions and estimates of future trading performance which create significant estimation uncertainty. The underlying assumptions include forecast sales pricing, volume, growth rates and probability of technical and regulatory success of ongoing clinical trials. This includes assumptions on timing of cash flows determined by anticipated launch year, peak year sales, subsequent sales erosion due to generic product competition and profit margin levels. In addition, due to the impact of uncertainty driven by ongoing global macroeconomic volatility, the valuation of intangible assets will also be affected by discount rate assumptions made by the Group. During 2023, impairment charges of £398 million were recorded. These were primarily full impairments due to cessation of research and development dictated by negative clinical trial readouts or lack of commercial attractiveness. We identified the valuation of other intangible assets as a key audit matter due to the inherent judgements involved in estimating future cash flows. Auditing such assumptions and estimates required extensive audit effort to challenge and evaluate the reasonableness of forecasts and management judgements. The disclosures relating to other intangible assets, including those acquired as part of business combinations, are included in Note 20 and Note 41 of the Group financial statements. The matter is also discussed in the Audit & Risk Committee report within the Corporate Governance section of the Annual Report. . |  | Audit procedures performed We performed the following audit procedures, amongst others, over the forecast sales pricing, volume, growth rates, probability of technical and regulatory success, profit margin levels, and discount rates used in the assessment of the valuation of other intangible assets, such as those acquired as part of the Group’s acquisition of Bellus Health: – Tested review controls over the key inputs and assumptions used in the valuation of other intangible assets. The controls encompass review of the valuation models, which contain a number of assumptions such as the probability of technical and regulatory success, launch dates plus other revenue and cost assumptions; – Inquired with key individuals from the corporate development team, commercial forecasting leads, and key personnel involved in the assets research and development process. We used the outcome of these inquiries to evaluate the Group’s evidence to support key assumptions such as overall sales forecasts, peak year sales (including anticipated market share, volume and uptake alongside price points where required), foreseeable competitive landscape, growth rates, probability of regulatory and technical success and margins; – Evaluated the key inputs and assumptions applied in estimating sales and profit margin forecasts, including benchmarking of forecasts against external market data. This included independent market research of therapeutic area price points, price growth rates, and anticipated competitor market landscape, currently and at the time of forecast regulatory approval, plus assessment of any sources of contradictory evidence; – Compared the forecast sales and profit margin levels to the Plan data (asset by asset internal forecasts) approved by the GSK Leadership Team and the Board of Directors, where the in-development intangible asset is forecast to launch within the next 3-year period; – Assessed the historical accuracy of sales forecasts by performing retrospective reviews across marketed assets within the business; – Engaged our fair valuation specialists to assess the reasonableness of discount rates and valuation methodology applied as well as performing mechanical accuracy checks; and – Considered whether events or transactions that occurred after the balance sheet date, but before the reporting date, affect the conclusions reached on the carrying values of the assets and associated disclosures.
| Key observations communicated to the Audit & Risk Committee
| For those intangible assets which were acquired during the period as part of the Bellus Health business acquisition we concluded that the assumptions underpinning the fair value of intangible assets reflected in the purchase price allocations were reasonable and in accordance with IFRS. For those intangible assets in-development and subject to impairment reviews we concluded that the judgements made by management were reasonable and in accordance with IFRS.

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Key audit matter description |  | How the scope of our audit responded to the key audit matter
Valuation of uncertain tax positions, including transfer pricing The Group operates in numerous jurisdictions and there are open tax and transfer pricing matters and exposures with UK, US and overseas tax authorities that give rise to uncertain tax positions. There is a wide range of possible outcomes for provisions and contingencies. Certain judgements in respect of estimates of tax exposures and contingencies are required in order to assess the adequacy of tax provisions, which are sometimes complex as a result of the considerations required over multiple tax laws and regulations. At 31 December 2023, the Group has recorded provisions of £584 million in respect of uncertain tax positions. Valuation of uncertain tax positions is disclosed as a key source of estimation uncertainty in Note 3 of the Group financial statements with further disclosures included in Note 14. The matter is also discussed in the Audit & Risk Committee report within the Corporate Governance section of the Annual Report. |  | Audit procedures performed With the support of our tax specialists, we assessed the appropriateness of the uncertain tax provisions, focused on those jurisdictions where the Group has the greatest potential exposure and where the highest level of judgement is required, by performing the following audit procedures amongst others: – Tested key controls over preparation, review and reporting of judgmental tax balances and transactions, which include provisions for uncertain tax provisions; – Assessed the assumptions and judgements that are required to determine the range of possible outcomes for recognition and measurement of provisions for uncertain tax positions in compliance with the requirements of IFRIC 23 Uncertainty over Income Tax Treatments; – Involved our transfer pricing specialists to evaluate the transfer pricing methodology of the Group and associated approach to provision recognition and measurement; and – Considered evidence such as the actual results from the recent tax authority audits and enquiries, third-party tax advice obtained by the Group and our tax specialists’ own knowledge of market practice in relevant jurisdictions.
| Key observations communicated to the Audit & Risk Committee
| We are satisfied that the estimates in relation to uncertain tax positions and the related disclosures are in accordance with IFRS. From our work we concluded that a consistent approach has been applied to estimating uncertain tax provisions which is appropriate and in accordance with IFRIC 23.

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Key audit matter description |  | How the scope of our audit responded to the key audit matter
Valuation of the contingent liabilities and significant legal proceedings The Group operates in an environment where it is subject to significant legal and administrative proceedings, including product liability, intellectual property, tax, anti-trust, consumer fraud and governmental regulations. The Group is currently exposed to a number of regulatory and litigation matters. The Group’s provision for these matters is £267 million at 31 December 2023. Other matters are disclosed as contingent liabilities where the criteria for recognising a provision under IAS 37 Provisions, Contingent Liabilities and Contingent Assets are not met, including the Zantac litigation described in Note 47. Significant judgement is required by the Group in determining whether, under IAS 37 Provisions, Contingent Liabilities and Contingent Assets, in particular in relation to the Zantac litigation, as to: – Whether the outcome will result in a probable outflow, particularly where the outcome of litigation is uncertain and subject to additional court proceedings; – The determination of a reliable estimate can be made of the amounts of the obligation; and – The nature and extent of any contingent liabilities and underlying significant estimation uncertainties disclosed. Contingent liabilities and significant legal proceedings are disclosed in Notes 35 and 47, respectively. The key audit matter is discussed within the Corporate Governance section of the Annual Report. |  | Audit procedures performed We performed the following audit procedures: – Tested the Group’s controls over the completeness of provisions, the robustness of the provision against the requirements of IAS 37, the appropriateness of judgements used to determine a ‘best estimate’ and completeness and accuracy of data used in the process; – Evaluated the assessment of the provisions, associated probabilities, and potential outcomes in accordance with IAS 37; – Evaluated the methodology, data and significant judgements and assumptions used in the valuation of the provisions are appropriate in the context of the applicable financial reporting framework; – Inquired with and inspected correspondence from the Group’s internal and external counsel to assess the litigation matter and evaluate the Group’s significant judgements and assumptions; – Where no provision was made for actual or expected trial outcomes or settlements, evaluated the Group’s conclusion, supportive and contradictory evidence and the requirements of IAS 37, particularly with respect to the Zantac litigation; – Read board minutes and settlement agreements to evaluate management’s approach in respect of the litigation, and agreed the terms and conditions of such arrangements to the payments made to evaluate provisions already recorded and whether there is a requirement for additional provisions; – In respect of the Zantac litigation, inspected the evidence presented in relevant scientific studies and the outcomes of other product liability litigation in the same jurisdictions alongside the entity’s assessment of possible outcomes of each ongoing trial and expectation of which trials will go ahead as per the schedule of future trials; and – Evaluated whether the disclosures made in the financial statements appropriately reflect the facts and critical accounting judgements.
| Key observations communicated to the Audit & Risk Committee
| We are satisfied that the estimation of the provisions and contingent liability disclosures are consistent with the requirements of IAS 37.

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6 Our application of materiality

We define materiality as the magnitude of misstatement in the
financial statements that makes it probable that the economic
decisions of a reasonably knowledgeable person would be
changed or influenced. We use materiality both in planning the
scope of our audit work and in evaluating the results of our
work.
Based on our professional judgement, we determined
materiality for the financial statements as a whole as follows:

| Group financial statements | Parent company financial statements
Materiality | £280 million (2022: £210 million) | £280 million (2022: £52.5 million)
Basis for determining materiality | In determining our benchmark for materiality, we considered the metrics used by investors and other readers of the financial statements. In particular, we considered: Statutory profit before tax, Adjusted profit before tax, Revenue and Net cash flows from operations. Using professional judgement, we have determined materiality to be £280 million. See below for how our materiality compares to our benchmark metrics. | Materiality was determined using the total assets benchmark capped at 100% (2022: 25%) of Group materiality. Our materiality represents 0.62% of total assets.
| Metric | % |
| Statutory profit before tax | 4.62% |
| Adjusted profit before tax* | 3.45% |
| Revenue | 0.92% |
| Net cash inflow from operating activities | 4.14% |
| * A reconciliation between the Statutory profit before tax and Adjusted profit before tax is detailed in the Adjusting Items section of the strategic report. |
Rationale for the benchmark applied | Given the importance of the above metrics used by investors and other readers of the financial statements, we concluded `Statutory profit before tax` to be the primary benchmark. The adjusted profit before tax, Revenue and Net cash inflow from operating activities, have been used as supporting benchmarks. The component materiality allocated to the in-scope components ranged between £66 million and £196 million (2022: between £40 million and £125 million). | The strength of the balance sheet is the key measure of financial health that is important to shareholders since the primary concern for the Parent company is the payment of dividends. Using a benchmark of total assets is therefore the appropriate metric. The current year materiality has been increased to reflect the size, scale and nature of the Parent company. Where account balances are audited for the purpose of the consolidated financial statements, a lower component materiality is used.

We set performance materiality at a level lower than materiality
to reduce the probability that, in aggregate, uncorrected and
undetected misstatements exceed the materiality for the
financial statements as a whole. Group and Parent company
performance materiality was set at 70% of Group and Parent
materiality respectively for the 2023 audit (2022:70%). In
determining performance materiality, we considered factors
including:
– Our risk assessment, including our assessment of the Group’s
overall control environment and that we consider it
appropriate to rely on controls over a number of business
processes; and
– Our past experience of the audit, which has indicated a low
number of corrected and uncorrected misstatements
identified in prior periods.
We agreed with the Audit & Risk Committee that we would
report to the Committee all audit differences in excess of £10
million (2022: £10 million) as well as any differences below this
threshold, which in our view, warranted reporting on qualitative
grounds. We also report to the Audit & Risk Committee on
disclosure matters that we identified when assessing the overall
presentation of the financial statements.

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7. Audit scope and execution

We structured our approach to the audit to reflect how the
Group is organised and ensured our audit was both effective
and risk focused.
The central control and common systems throughout the Group
enables us to deploy and utilise technology and data analytics
across the breadth of the Group, enabling a more detailed
understanding of the flow of transactions, enabling us to focus
our risk assessment and design targeted audit testing
procedures.
We embed technology throughout our audit to improve quality
and effectiveness, including in the areas of planning and
scoping, project management, risks and controls assessment,
substantive testing and reporting insights to management and
the Audit and Risk Committee. We have piloted the use of
artificial intelligence powered tools as we continue to invest in
our use of technology across the audit.
Our audit approach can be summarised into the following
areas that enabled us to obtain the evidence required to form
an opinion on the Group and Parent company financial
statements:
– Risk assessment and audit planning at a Group level. Our risk
assessment procedures considered, amongst other factors,
the impact of climate change and the wider macroeconomic
environment on the account balances, disclosures and
company practices. Our data analytical tools allow us to
scrutinise large transactional data sets for unusual trends,
characteristics, outliers or transaction flows to support our
identification of audit risks. For example, we analysed US RAR
data by product and payment channel to identify products
where there are high values of total rebate deductions
recognised, where there are significant differences on rebate
rates offered between payers or where qualitative factors
impacted the brands (see Section 5 - Valuation of US Returns
and Rebates (RAR) accruals). We also used data analytics to
determine products and regions where the valuation of the
ViiV Healthcare Shionogi contingent consideration liability
was most sensitive to the assumptions used (see Section 5 -
Valuation of the ViiV Healthcare Shionogi contingent
consideration liability). We appointed partners from the
Group audit team to lead the global audit of the operating
segments (commercial operations and research &
development), in addition to partners responsible for the
component and legal entity audits in each country. These
segment partners met regularly with senior segment
management to understand the strategy, performance and
other matters which arose throughout the year that could
have impacted the financial reporting. In addition, we held
regular meetings with members of the Internal Audit, the
internal Legal Counsel and the Global Ethics & Compliance
teams to understand their work and to review their reports to
enhance our risk assessment;
– Audit work performed at global shared service centres
A significant amount of the Group’s operational processes
that cover financial reporting is undertaken in shared service
centres. Our Group audit team included senior individuals
responsible for each of the global processes who coordinated
our audit work at the shared service centres utilising a live
global project management platform. This structure enables
us to develop a good understanding of the end-to-end
processes that supported material account balances, classes
of transactions and disclosures within the Group financial
statements. We then evaluated the effectiveness of internal
controls over financial reporting for these processes and
considered the implications for the remainder of our audit
work;
– Audit work executed at component level and individual legal
entities. The following components were subject to audit
procedures as well as the assessment of the effectiveness of
internal controls over financial reporting: Belgium, Canada,
China; France, Germany, Italy, Japan, United Kingdom and
the United States. The Group audit team was in active
dialogue throughout the audit with the component audit
teams responsible for the audit work under the direction and
supervision of the Group audit team. This included
determining whether the work was planned and performed in
accordance with the overall Group audit strategy and the
requirements of our Group audit instructions to the
components. As part of supervising the work of the
components, senior Group audit team members visited
Belgium, USA, UK and China, as well as the shared service
centre audits for Malaysia and Poland. To satisfy ourselves
that our oversight and supervision was appropriate we
performed reviews of audit working papers, increased the
frequency and length of those reviews depending on the
significance and risk of the component and continued to
attend the planning and clearance meetings of components;
– Audit procedures undertaken at a Group level and on the
parent company. In addition to the above, we also performed
audit work on the Group and Parent company financial
statements, including but not limited to the consolidation of
the Group’s results, the preparation of the financial
statements, certain disclosures within the Directors’
Remuneration report, litigation provisions and exposures in
addition to entity level and oversight controls relevant to
financial reporting. All components or legal entities with
annual revenue greater than 1.8% (2022:1.8%) of the total
Group revenue were included in our audit scope. The
components or legal entities not covered by our audit scope
were subject to analytical procedures confirming that there
were no significant risks of material misstatement in the
aggregated financial information; and
– Internal controls testing approach. We tested the
effectiveness of internal controls over financial reporting
across all in-scope entities and entity level controls at the
Group level. Common systems allowed for relevant IT controls
to be tested centrally across all components and we utilised
an automated controls testing tool which was leveraged to
support our testing of both IT controls and automated
business controls. We were able to place reliance on controls
where planned.
Our audit scope ad dressed 80% (2022:79%) of the Group's
revenue, 92% (2022: 91%) of the Group's profit before tax and
76% (2022: 86%) of the Group's total assets.

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The impact of climate change on our audit
Climate change has the potential to impact the Group in a
number of ways as set out in the strategic report on pages 62 to
70 of the Annual Report and Notes 17, 19 and 20 on pages 207,
209 and 210 of the financial statements. The Group has
committed to net zero greenhouse gas emissions across the
Group’s full value chain by 2045.
In the planning of our audit, we have considered the potential
impact of climate change on the Group’s business and its
financial statements.
We have sought to understand the Group’s identification and
assessment of the potential impacts of climate change, how
these risks influence the Group’s strategy and their implications
on the financial statements.
The Group’s assessment focused on the impacts of more
frequent extreme weather conditions, water scarcity, changes in
the political landscape and media focus which has the
propensity to cause changes in consumer and market
behaviour; volatility in the costs and availability of materials
and resources that could impact future financial performance
and asset valuations.
In consultation with our climate change specialists, we:
– Conducted detailed risk assessment procedures across all in-
scope balances and transactions to determine any risks of
material misstatement in the financial statements by
applying the expected impact of climate change to our
understanding of the business;
– Challenged the appropriateness of the Group’s assessment of
the potential impact of climate change and the impact of
these on the financial statements, including in the area of
intangible assets; and
– Used our own assessment of the impact of climate change to
challenge the Group’s assessment of going concern,
including considering the potential impact on future
performance and availability of financing.
As part of our audit procedures, we are required to read and
consider these disclosures to consider whether they are
materially inconsistent with the financial statements or
knowledge obtained in the audit. We did not identify any
material inconsistencies as a result of these procedures.

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8. Other information

The other information comprises the information included in the
Annual Report, other than the financial statements and our
auditor’s report thereon. The Directors are responsible for the
other information contained within the Annual Report.
Our opinion on the financial statements does not cover the
other information and, except to the extent otherwise explicitly
stated in our report, we do not express any form of assurance
conclusion thereon.
Our responsibility is to read the other information and, in doing
so, consider whether the other information is materially
inconsistent with the financial statements or our knowledge
obtained in course of the audit or otherwise appears to be
materially misstated.
If we identify such material inconsistencies or apparent material
misstatements, we are required to determine whether this gives
rise to a material misstatement in the financial statements
themselves. If, based on the work we have performed, we
conclude that there is a material misstatement of this other
information, we are required to report that fact.
We summarise below our work in relation to areas of the other
information including those areas upon which we are
specifically required to report:
Matters we are specifically required to report

Our responsibility | Our reporting
Principal risks and viability statement Review the confirmation and description in the light of the knowledge gathered during the audit, such as through considering the directors’ processes to support the statements made, challenging key judgements and estimates, consideration of historical forecasting accuracy and evaluating macro-economic assumptions. Consider if the statements are aligned with the relevant provisions of the Code. | As set out in the “Corporate governance statement” section, we have nothing material to report, add or draw attention to in respect of these matters.
Directors’ Remuneration report Report whether the part of the Directors’ Remuneration report to be audited is properly prepared and the disclosures specified by the Companies Act have been made. | As set out in the ‘Opinions on other matters prescribed by the Companies Act 2006’ section, in our opinion, the part of the Directors’ Remuneration report to be audited has been prepared in accordance with the Companies Act 2006.
Strategic report and directors’ report Report whether they are consistent with the audited financial statements and are prepared in accordance with applicable legal requirements. Report if we have identified any material misstatements in either report in the light of the knowledge and understanding of the Group and of the Parent company and their environment obtained in the course of the audit. | As set out in the “Opinions on other matters prescribed by the Companies Act 2006” section, in our opinion, based on the work undertaken in the course of the audit, the information in these reports is consistent with the audited financial statements and has been prepared in accordance with applicable legal requirements. As referenced on page 70, we have provided limited assurance in accordance with International Standards for Assurance Engagements (ISAE) 3000 and ISAE 3410 over selected metrics on page 70.

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Other reporting on other information |
Our responsibility | Our reporting
Alternative performance measures (APMs) APMs are measures that are not defined by generally accepted accounting practice (GAAP) and therefore are not typically included in the financial statement part of the Annual Report. The Group use APMs, such as adjusted profit, free cash flow and constant currency growth rates in its reporting of financial performance. We have reviewed and assessed the calculation and reporting of these metrics to assess consistency with the Group’s published definitions and policies for these items. We have also considered and assessed whether the use of APMs in the Group’s reporting results is consistent with the guidelines produced by regulators such as the European Securities and Markets Authority (ESMA) guidelines on the use of APMs and the FRC Alternative Performance Measures Thematic Review published in October 2021. We also considered whether there was an appropriate balance between the use of statutory metrics and APMs, in addition to whether clear definitions and reconciliation for APMs used in financial reporting have been provided. | In our opinion: – The use, calculation and disclosure of APMs is consistent with the Group’s published definitions and policies; – The use of APMs in the Group’s reporting results is consistent with the guidelines produced by ESMA and FRC; and – There is an appropriate balance between the use of statutory metrics and APMs, together with clear definitions and reconciliation for APMs used in financial reporting.
Dividends and distribution policy Consider whether the dividends policy is transparent, and the dividends paid are consistent with the policy, as outlined in the strategic report on page 92. | In our opinion the dividends policy is appropriately disclosed, and dividends paid are consistent with the policy.

9. Responsibilities of directors

As explained more fully in the directors’ responsibilities
statement, the directors are responsible for the preparation of
the financial statements and for being satisfied that they give a
true and fair view, and for such internal control as the directors
determine is necessary to enable the preparation of financial
statements that are free from material misstatement, whether
due to fraud or error.
In preparing the financial statements, the directors are
responsible for assessing the Group’s and the Parent company’s
ability to continue as a going concern, disclosing as applicable,
matters related to going concern and using the going concern
basis of accounting unless the directors either intend to
liquidate the Group or the Parent company or to cease
operations, or have no realistic alternative but to do so.

10. Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about
whether the financial statements as a whole are free from
material misstatement, whether due to fraud or error, and to
issue an auditor’s report that includes our opinion. Reasonable
assurance is a high level of assurance but is not a guarantee
that an audit conducted in accordance with ISAs (UK) will
always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered
material if, individually or in the aggregate, they could
reasonably be expected to influence the economic decisions of
users taken on the basis of these financial statements.
A further description of our responsibilities for the audit of the
financial statements is located on the FRC’s website at:
www.frc.org.uk/auditorsresponsibilities. This description forms
part of our auditor’s report.

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11. Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance
with laws and regulations. We design procedures in line with our
responsibilities, outlined above, to detect material
misstatements in respect of irregularities, including fraud. The
extent to which our procedures are capable of detecting
irregularities, including fraud is detailed below.
Identifying and assessing potential risks related to
irregularities
In identifying and assessing the risks of material misstatement in
respect of irregularities, including fraud and non-compliance
with laws and regulations, we considered the following:
– the nature of the industry and sector, control environment
and business performance including the design of the
Group’s remuneration policies, key drivers for directors’
remuneration, bonus levels and performance targets;
– results of our enquiries of the senior leadership team, internal
audit and the Audit & Risk Committee, including obtaining
and reviewing supporting documentation, concerning the
Group’s policies and procedures relating to:
– i dentifying, evaluating and complying with laws and
regulations and whether they were aware of any instances
of non-compliance;
– detecting and responding to the risks of fraud and whether
they have knowledge of any actual, suspected or alleged
fraud; and
– the internal controls established to mitigate risks related to
fraud or non-compliance with laws and regulations.
– the matters discussed among the engagement team
including significant component audit teams and involving
relevant internal specialists, including tax, valuations,
pensions, IT and industry specialists regarding how and
where fraud might occur in the financial statements and any
potential indicators of fraud.
We obtained an understanding of the legal and regulatory
frameworks that the Group operates in, focusing on provisions
of those laws and regulations that had a direct effect on the
determination of material amounts and disclosures in the
financial statements. The key laws and regulations we
considered in this context included the provisions of the UK
Companies Act, pensions legislation and tax legislation. We
have also considered key laws and regulations that had a
fundamental effect on the operations of the Group, including
the Good Clinical Practice, the FDA regulations, General Data
Protection requirements, Anti-bribery and corruption policy and
the Foreign Corrupt Practices Act.
Audit response to risks identified
As a result of performing the above, we identified the Valuation
of US Returns and Rebates accruals as a key audit matter
related to the potential risk of fraud. The key audit matters
section of our report explains the matter in more detail and also
describes the specific procedures in response to that key audit
matter. In common with all audits under ISAs (UK), we are also
required to perform specific procedures to respond to the risk of
management override.
In addition to the above, our procedures to respond to risks
identified included the following:
– reviewing the financial statement disclosures and testing to
supporting documentation to assess compliance with
provisions of relevant laws and regulations described as
having a direct effect on the financial statements;
– enquiring of the senior leadership team, the Audit & Risk
Committee and in-house and external legal counsel
concerning actual and potential litigation and claims;
– performing analytical procedures to identify any unusual or
unexpected relationships that may indicate risks of material
misstatement due to fraud;
– reading minutes of meetings of those charged with
governance, reviewing internal audit reports and
correspondence with regulators; and
– in addressing the risk of fraud through management override
of controls, testing the appropriateness of journal entries and
other adjustments; assessing whether the judgements made
in making accounting estimates are indicative of a potential
bias; and evaluating the business rationale of any significant
transactions that are unusual or outside the normal course of
business.
We also communicated relevant identified laws and regulations
and potential fraud risks to all engagement team members and
significant component audit teams and remained alert to any
indications of fraud or non-compliance with laws and
regulations throughout the audit.
Report on other legal and regulatory
requirements

12. Opinions on other matters prescribed by the Companies Act 2006

In our opinion, the part of the Directors’ Remuneration report to
be audited has been properly prepared in accordance with the
Companies Act 2006.
In our opinion, based on the work undertaken in the course of
the audit:
– the information given in the strategic report and the directors’
report for the financial year for which the financial statements
are prepared is consistent with the financial statements; and
– the strategic report and the directors’ report have been
prepared in accordance with applicable legal requirements.
In the light of the knowledge and understanding of the Group
and of the Parent company and their environment obtained in
the course of the audit, we have not identified any material
misstatements in the strategic report or the directors’ report.

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13. Corporate governance statement

The Listing Rules require us to review the directors’ statement in
relation to going concern, longer-term viability and that part of
the corporate governance statement relating to the Group’s
compliance with the provisions of the UK Corporate
Governance Code specified for our review.
Based on the work undertaken as part of our audit, we have
concluded that each of the following elements of the Corporate
Governance Statement is materially consistent with the
financial statements and our knowledge obtained during the
audit:
– the directors’ statement with regards to the appropriateness
of adopting the going concern basis of accounting and any
material uncertainties identified set out on page 165;
– the directors’ explanation as to its assessment of the Group’s
prospects, the period this assessment covers and why the
period is appropriate is set out on page 76;
– the directors’ statement on fair, balanced and
understandable Annual Report set out on page 138;
– the board’s confirmation that it has carried out a robust
assessment of the emerging and principal risks set out on
pages 57 to 61;
– the section of the Annual Report that describes the review of
effectiveness of risk management and internal control
systems set out on pages 134 to 135; and
– the section describing the work of the Audit and Risk
committee set out on page 133 to 138.

14. Matters on which we are required to report by exception

Adequacy of explanations received and accounting
records
Under the Companies Act 2006 we are required to report to
you if, in our opinion:
– we have not received all the information and explanations we
require for our audit; or
– adequate accounting records have not been kept by the
Parent company, or returns adequate for our audit have not
been received from branches not visited by us; or
– the Parent company financial statements are not in
agreement with the accounting records and returns.
We have nothing to report in respect of these matters.
Directors’ remuneration
Under the Companies Act 2006 we are also required to report if
in our opinion certain disclosures of directors’ remuneration
have not been made or the part of the directors’ remuneration
report to be audited is not in agreement with the accounting
records and returns.
We have nothing to report in respect of these matters.

15. Other matters which we are required to address

Auditor tenure
Following the recommendation of the Audit & Risk Committee,
with effect from 1 January 2018 we were appointed by the
Board of Directors to audit the financial statements for the year
ended 31 December 2018 and subsequent financial periods. The
period of total uninterrupted engagement of the firm is six
years.
Consistency of the audit report with the additional report
to the Audit & Risk Committee
Our audit opinion is consistent with the additional report to the
Audit & Risk Committee we are required to provide in
accordance with ISAs (UK).

16. Use of our report

This report is made solely to the Parent company’s members, as
a body, in accordance with Chapter 3 of Part 16 of the
Companies Act 2006. Our audit work has been undertaken so
that we might state to the Parent company’s members those
matters we are required to state to them in an auditor’s report
and for no other purpose. To the fullest extent permitted by law,
we do not accept or assume responsibility to anyone other than
the Parent company and the Parent company’s members as a
body, for our audit work, for this report, or for the opinions we
have formed.
As required by the Financial Conduct Authority (FCA) Disclosure
Guidance and Transparency Rule (DTR) 4.1.15R-DTR 4.1.18R,
these financial statements will form part of the Electronic
Format Annual Financial Report filed on the National Storage
Mechanism of the FCA in accordance with DTR 4.1.15R-DTR
4.1.18R. This auditor's report provides no assurance over whether
the Electronic Format Annual Financial Report has been
prepared in compliance with DTR 4.1.15R-DTR 4.1.18R.
The Parent company has passed a resolution in accordance
with section 506 of the Companies Act 2006 that the senior
statutory auditor’s name should not be stated.
Deloitte LLP
Statutory Auditor
London, United Kingdom
27 February 2024

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| Notes | 2023 £m | 2022 £m | 2021 £m
Turnover | 6 | 30,328 | 29,324 | 24,696
Cost of sales |  | (8,565) | (9,554) | (8,163)
Gross profit |  | 21,763 | 19,770 | 16,533
Selling, general and administration |  | (9,385) | (8,372) | (7,070)
Research and development |  | (6,223) | (5,488) | (5,019)
Royalty income |  | 953 | 758 | 417
Other operating income/(expense) | 7 | (363) | (235) | (504)
Operating profit | 8 | 6,745 | 6,433 | 4,357
Finance income | 11 | 115 | 76 | 14
Finance expense | 12 | (792) | (879) | (769)
Share of after tax profit/(loss) of associates and joint ventures | 13 | (5) | (2) | 33
Profit/(loss) on disposal of interests in associates and joint ventures | 13 | 1 | – | (36)
Profit before taxation |  | 6,064 | 5,628 | 3,599
Taxation | 14 | (756) | (707) | (83)
Profit after taxation from continuing operations |  | 5,308 | 4,921 | 3,516
Profit after taxation from discontinued operations and other gains/(losses) from the demerger |  | – | 3,049 | 1,580
Re-measurement of discontinued operations distributed to shareholders on demerger |  | – | 7,651 | –
Profit after taxation from discontinued operations |  | – | 10,700 | 1,580
Total profit after taxation for the year |  | 5,308 | 15,621 | 5,096
Profit attributable to non-controlling interests from continuing operations |  | 380 | 460 | 200
Profit attributable to shareholders from continuing operations |  | 4,928 | 4,461 | 3,316
Profit attributable to non-controlling interests from discontinued operations |  | – | 205 | 511
Profit attributable to shareholders from discontinued operations |  | – | 10,495 | 1,069
|  | 5,308 | 15,621 | 5,096
Total profit attributable to non-controlling interests |  | 380 | 665 | 711
Total profit attributable to shareholders |  | 4,928 | 14,956 | 4,385
|  | 5,308 | 15,621 | 5,096
Basic earnings per share (pence) from continuing operations | 15 | 121.6p | 110.8p | 82.9p
Basic earnings per share (pence) from discontinued operations |  | – | 260.6p | 26.7p
Total basic earnings per share (pence) |  | 121.6p | 371.4p | 109.6p
Diluted earnings per share (pence) from continued operations | 15 | 119.9p | 109.2p | 81.8p
Diluted earnings per share (pence) from discontinued operations |  | – | 257.0p | 26.4p
Total diluted earnings per share (pence) |  | 119.9p | 366.2p | 108.2p

Consolidated statement of comprehensive income
for the year ended 31 December 2023

| Notes | 2023 £m | 2022 £m | 2021 £m
Total profit for the year |  | 5,308 | 15,621 | 5,096
Other comprehensive income/(expense) for the year |  |  |  |
Items that may be reclassified subsequently to continuing operations income statement: |  |  |  |
Exchange movements on overseas net assets and net investment hedges | 38 | (22) | 113 | (339)
Reclassification of exchange movements on liquidation or disposal of overseas subsidiaries associates | 38 | (34) | 2 | (25)
Fair value movements on cash flow hedges |  | (1) | (18) | 5
Deferred tax on fair value movements on cash flow hedges |  | 1 | 9 | (8)
Reclassification of cash flow hedges to income statement |  | 4 | 14 | 12
|  | (52) | 120 | (355)
Items that will not be reclassified to continuing operations income statement: |  |  |  |
Exchange movements on overseas net assets of non-controlling interests | 38 | (25) | (28) | (20)
Fair value movements on equity investments |  | (244) | (754) | (911)
Tax on fair value movements on equity investments |  | 14 | 56 | 131
Fair value movements on cash flow hedges |  | (40) | (6) | –
Remeasurement gains/(losses) on defined benefit plans |  | 71 | (786) | 940
Tax on remeasurement losses/(gains) on defined benefit plans |  | (41) | 211 | (223)
|  | (265) | (1,307) | (83)
Other comprehensive income /(expense) for the year from continuing operations | 38 | (317) | (1,187) | (438)
Other comprehensive income for the year from discontinued operations |  | – | 356 | 101
Total comprehensive income for the year |  | 4,991 | 14,790 | 4,759
Total comprehensive income for the year attributable to: |  |  |  |
Shareholders |  | 4,636 | 14,153 | 4,068
Non-controlling interests |  | 355 | 637 | 691
Total comprehensive income for the year |  | 4,991 | 14,790 | 4,759

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| Notes | 2023 £m | 2022 £m
Non-current assets |  |  |
Property, plant and equipment | 17 | 9,020 | 8,933
Right of use assets | 18 | 937 | 687
Goodwill | 19 | 6,811 | 7,046
Other intangible assets | 20 | 14,768 | 14,318
Investments in associates and joint ventures | 21 | 55 | 74
Other investments | 23 | 1,137 | 1,467
Deferred tax assets | 14 | 6,049 | 5,658
Other non-current assets | 24 | 1,584 | 1,194
Total non-current assets |  | 40,361 | 39,377
Current assets |  |  |
Inventories | 25 | 5,498 | 5,146
Current tax recoverable | 14 | 373 | 405
Trade and other receivables | 26 | 7,385 | 7,053
Derivative financial instruments | 44 | 130 | 190
Current equity investments | 22 | 2,204 | 4,087
Liquid investments | 30 | 42 | 67
Cash and cash equivalents | 27 | 2,936 | 3,723
Assets held for sale | 28 | 76 | 98
Total current assets |  | 18,644 | 20,769
Total assets |  | 59,005 | 60,146
Current liabilities |  |  |
Short-term borrowings | 30 | (2,813) | (3,952)
Contingent consideration liabilities | 33 | (1,053) | (1,289)
Trade and other payables | 29 | (15,844) | (16,263)
Derivative financial instruments | 44 | (114) | (183)
Current tax payable | 14 | (500) | (471)
Short-term provisions | 32 | (744) | (652)
Total current liabilities |  | (21,068) | (22,810)
Non-current liabilities |  |  |
Long-term borrowings | 30 | (15,205) | (17,035)
Corporation tax payable | 14 | (75) | (127)
Deferred tax liabilities | 14 | (311) | (289)
Pensions and other post-employment benefits | 31 | (2,340) | (2,579)
Other provisions | 32 | (495) | (532)
Contingent consideration liabilities | 33 | (5,609) | (5,779)
Other non-current liabilities | 34 | (1,107) | (899)
Total non-current liabilities |  | (25,142) | (27,240)
Total liabilities |  | (46,210) | (50,050)
Net assets |  | 12,795 | 10,096
Equity |  |  |
Share capital | 37 | 1,348 | 1,347
Share premium account | 37 | 3,451 | 3,440
Retained earnings | 38 | 7,239 | 4,363
Other reserves | 38 | 1,309 | 1,448
Shareholders’ equity |  | 13,347 | 10,598
Non-controlling interests |  | (552) | (502)
Total equity |  | 12,795 | 10,096

The financial statements on pages 180 to 266 were approved by the Board on 27 February, 2024 and signed on its behalf by
Sir Jonathan Symonds
Chair

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Consolidated balance sheet
as at 31 December 2023 |  |  |

181

| Shareholders’ equity |  |
| Share capital £m | Share premium £m | Retained earnings £m | Other reserves* £m | Total £m | Non-controlling interests £m | Total equity £m
At 31 December 2020 | 1,346 | 3,281 | 6,755 | 3,205 | 14,587 | 6,221 | 20,808
Profit for the year | – | – | 4,385 | – | 4,385 | 711 | 5,096
Other comprehensive income/(expense) for the year | – | – | 454 | (771) | (317) | (20) | (337)
Total comprehensive income/(expense) for the year | – | – | 4,839 | (771) | 4,068 | 691 | 4,759
Distributions to non-controlling interests | – | – | – | – | – | (642) | (642)
Contributions from non-controlling interests | – | – | – | – | – | 7 | 7
Dividends to shareholders | – | – | (3,999) | – | (3,999) | – | (3,999)
Shares issued | 1 | 20 | – | – | 21 | – | 21
Realised after tax profits on disposal of equity investments | – | – | 132 | (132) | – | – | –
Share of associates and joint ventures realised profits on disposal of equity investments | – | – | 7 | (7) | – | – | –
Write-down of shares held by ESOP Trusts | – | – | (168) | 168 | – | – | –
Share-based incentive plans | – | – | 367 | – | 367 | – | 367
Transaction with non-controlling interests | – | – | – | – | – | 10 | 10
Tax on share-based incentive plans | – | – | 11 | – | 11 | – | 11
At 31 December 2021 | 1,347 | 3,301 | 7,944 | 2,463 | 15,055 | 6,287 | 21,342
Profit for the year | – | – | 14,956 | – | 14,956 | 665 | 15,621
Other comprehensive income/(expense) for the year | – | – | (89) | (714) | (803) | (28) | (831)
Total comprehensive income/(expense) for the year | – | – | 14,867 | (714) | 14,153 | 637 | 14,790
Distributions to non-controlling interests | – | – | – | – | – | (1,409) | (1,409)
Non-cash distribution to non-controlling interests | – | – | – | – | – | (2,960) | (2,960)
Contributions from non-controlling interests | – | – | – | – | – | 8 | 8
Changes to non-controlling interests | – | – | – | – | – | (20) | (20)
Deconsolidation of former subsidiaries | – | – | – | – | – | (3,045) | (3,045)
Dividends to shareholders | – | – | (3,467) | – | (3,467) | – | (3,467)
Non-cash dividend to shareholders | – | – | (15,526) | – | (15,526) | – | (15,526)
Realised after tax losses on disposal or liquidation of equity investments | – | – | 14 | (14) | – | – | –
Share of associates and joint ventures realised profits on disposal of equity investments | – | – | 7 | (7) | – | – | –
Shares issued | – | 25 | – | – | 25 | – | 25
Write-down of shares held by ESOP Trusts | – | – | (911) | 911 | – | – | –
Shares acquired by ESOP Trusts | – | 114 | 1,086 | (1,200) | – | – | –
Share-based incentive plans | – | – | 357 | – | 357 | – | 357
Tax on share-based incentive plans | – | – | (8) | – | (8) | – | (8)
Hedging gain after taxation transferred to non-financial assets | – | – | – | 9 | 9 | – | 9
At 31 December 2022 | 1,347 | 3,440 | 4,363 | 1,448 | 10,598 | (502) | 10,096
Profit for the year | – | – | 4,928 | – | 4,928 | 380 | 5,308
Other comprehensive income/(expense) for the year | – | – | (45) | (247) | (292) | (25) | (317)
Total comprehensive income/(expense) for the year | – | – | 4,883 | (247) | 4,636 | 355 | 4,991
Distributions to non-controlling interests | – | – | – | – | – | (412) | (412)
Contributions from non-controlling interests | – | – | – | – | – | 7 | 7
Dividends to shareholders | – | – | (2,247) | – | (2,247) | – | (2,247)
Realised after tax losses on disposal or liquidation of equity investments | – | – | (26) | 26 | – | – | –
Share of associates and joint ventures realised profits on disposal of equity investments | – | – | (7) | 7 | – | – | –
Shares issued | 1 | 9 | – | – | 10 | – | 10
Write-down of shares held by ESOP Trusts | – | – | (324) | 324 | – | – | –
Shares acquired by ESOP Trusts | – | 2 | 283 | (285) | – | – | –
Share-based incentive plans | – | – | 307 | – | 307 | – | 307
Hedging gain/(loss) after taxation transferred to non-financial assets | – | – | – | 36 | 36 | – | 36
Tax on share-based incentive plans | – | – | 7 | – | 7 | – | 7
At 31 December 2023 | 1,348 | 3,451 | 7,239 | 1,309 | 13,347 | (552) | 12,795

* an analysis of Other reserves is presented as part of Note 38, ‘Movements in equity’.

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Consolidated statement of changes in equity
for the year ended 31 December 2023 |  |  |

182

| Notes | 2023 £m | 2022 £m | 2021 £m
Cash flow from operating activities |  |  |  |
Profit after taxation from continuing operations for the year |  | 5,308 | 4,921 | 3,516
Adjustments reconciling profit after tax to operating cash flows | 42 | 2,788 | 3,023 | 3,733
Cash generated from operations attributable to continuing operations |  | 8,096 | 7,944 | 7,249
Taxation paid |  | (1,328) | (1,310) | (972)
Net cash inflow/(outflow) from continuing operating activities |  | 6,768 | 6,634 | 6,277
Cash generated from operations attributable to discontinued operations |  | – | 932 | 1,994
Taxation paid from discontinued operations |  | – | (163) | (319)
Net operating cash flows attributable to discontinued operations |  | – | 769 | 1,675
Total net cash inflow/(outflow) from operating activities |  | 6,768 | 7,403 | 7,952
Cash flow from investing activities |  |  |  |
Purchase of property, plant and equipment |  | (1,314) | (1,143) | (950)
Proceeds from sale of property, plant and equipment |  | 28 | 146 | 132
Purchase of intangible assets |  | (1,030) | (1,115) | (1,704)
Proceeds from sale of intangible assets |  | 12 | 196 | 641
Purchase of equity investments |  | (123) | (143) | (162)
(Increase)/decrease in liquid investments |  | 72 | 1 | 18
Purchase of businesses, net of cash acquired | 41 | (1,457) | (3,108) | –
Proceeds from sale of equity investments |  | 1,832 | 238 | 202
Contingent consideration paid |  | (11) | (79) | (114)
Disposal of businesses | 41 | 49 | (43) | (17)
Investments in associates and joint ventures |  | – | (1) | (1)
Proceeds from disposal of associates and joint ventures |  | 1 | – | 277
Interest received |  | 115 | 64 | 14
Dividend and distributions from investments |  | 220 | – | –
Dividends from associates and joint ventures |  | 11 | 6 | 9
Net cash inflow/(outflow) from continuing investing activities |  | (1,595) | (4,981) | (1,655)
Net investing cash flows attributable to discontinued operations |  | – | (3,791) | (122)
Total net cash inflow/(outflow) from investing activities |  | (1,595) | (8,772) | (1,777)
Cash flow from financing activities |  |  |  |
Issue of share capital | 37 | 10 | 25 | 21
Repayment of long-term loans |  | (144) | (1,594) | –
Issue of long-term notes |  | 223 | 1,025 | –
Repayment of short-term loans |  | (2,116) | (5,074) | (2,304)
Net increase in/(repayment of) other short-term loans |  | (333) | 1,021 | 301
Repayment of lease liabilities |  | (197) | (202) | (181)
Interest paid |  | (766) | (848) | (772)
Dividends paid to shareholders |  | (2,247) | (3,467) | (3,999)
Distributions to non-controlling interests |  | (412) | (521) | (239)
Contributions from non-controlling interests |  | 7 | 8 | 7
Other financing items |  | 334 | 376 | 40
Net cash inflow/(outflow) from continuing financing activities |  | (5,641) | (9,251) | (7,126)
Net financing cash flows attributable to discontinued operations |  | – | 10,074 | (463)
Total net cash inflow/(outflow) from financing activities |  | (5,641) | 823 | (7,589)
Increase/(decrease) in cash and bank overdrafts | 43 | (468) | (546) | (1,414)
Cash and bank overdrafts at the beginning of year |  | 3,425 | 3,819 | 5,262
Exchange adjustments |  | (99) | 152 | (29)
Increase/(decrease) in cash and bank overdrafts in the year |  | (468) | (546) | (1,414)
Cash and bank overdrafts at the end of year |  | 2,858 | 3,425 | 3,819
Cash and bank overdrafts at end of year comprise: |  |  |  |
Cash and cash equivalents |  | 2,936 | 3,723 | 4,274
Overdrafts |  | (78) | (298) | (455)
|  | 2,858 | 3,425 | 3,819

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Consolidated cash flow statement
for the year ended 31 December 2023 |  |  |

183

1. Presentation of the financial statements

Description of business
GSK is a global biopharma group which prevents and treats
disease with vaccines, specialty and general medicines. GSK
focuses on the science of the immune system and the use of
new platform and data technologies, investing in four core
therapeutic areas: infe ctious diseases, HIV, respiratory/
immunology and oncology.
Compliance with applicable law and IFRS
The financial statements have been prepared in accordance
with UK-adopted international accounting standards in
conformity with the requirements of the Companies Act 2006
and the International Financial Reporting Standards as issued
by the IASB.
Composition of financial statements
The consolidated financial statements are drawn up in S terling,
the functional currency of GSK plc, and in accordance with IFRS
accounting presentation. The financial statements comprise:
– Consolidated income statement
– Consolidated statement of comprehensive income
– Consolidated balance sheet
– Consolidated statement of changes in equity
– Consolidated cash flow statement
– Notes to the financial statements.
Composition of the Group
A list of the subsidiaries and associates which, in the opinion of
the Directors, principally affected the amount of profit or net
assets of the Group is given in Note 46, ‘Principal Group
companies’.
Financial period
These financial statements cover the financial year from 1
January to 31 December 2023, with comparative figures for the
financial years from 1 January to 31 December 2022 and, where
appropriate, from 1 January to 31 December 2021.
A ccounting principles and policies
The financial statements have been prepared using the
historical cost convention modified by the revaluation of certain
items, as stated in the accounting policies, and on a going
concern basis.
The financial statements have been prepared in accordance
with the Group’s accounting policies approved by the Board
and described in Note 2, ‘Accounting principles and policies’.
Information on the application of these accounting policies,
including areas of estimation and judgement is given in Note 3,
‘Critical accounting judgements and key sources of estimation
uncertainty’.
The preparation of the financial statements in conformity with
generally accepted accounting principles requires
management to make estimates and assumptions that affect
the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ
from those estimates.
In preparing the consolidated financial statements, the Group
has considered the impact of both physical and transitional
climate change risks, as well as the plans to mitigate against
these, on the current valuation of assets and liabilities;
particularly in the context of the risks identified in the Task Force
on Climate-related Financial Disclosures (“TCFD”).
The Group does not believe that there is a material impact to
judgements and estimates in relation to climate-related risks
and, as a result, the valuation of the assets or liabilities have not
been significantly impacted as at 31 December 2023. The
Group has reviewed the recoverable values of property, plant
and equipment, inventories, goodwill and intangible assets as
those are the material balances impacted by climate-related
risks, and the Group’s transition plans to mitigate those risks.
One of the climate-related risks identified relates to metered-
dose inhalers (MDI). The Group is addressing this risk by
transitioning to a lower-carbon propellant. T he transition is not
expected to have a material impa ct on the recoverable
amount, or estimated useful lives, of related property, plant and
equipment. See Note 17 'Property, plant and equipment' for
further details.
Whilst there is currently no significant medium-term impact
expected, the Group is aware of the ever-changing risks
attached to climate change and continues to assess the impact
on judgements and estimates, and on the preparation of the
consolidated financial statements.
Parent company financial statements
The financial statements of the parent company, GSK plc, have
been prepared in accordance with UK GAAP and with UK
accounting presentation. The company balance sheet is
presented on page 267 and the accounting policies are given
on pages 268 to 271.

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Notes to the financial statements

184

2. Accounting principles and policies

Consolidation
The consolidated financial statements include:
– the assets and liabilities, and the results and cash flows, of
the company and its subsidiaries, including ESOP Trusts
– the Group’s share of the results and net assets of associates
and joint ventures
– the Group’s share of assets, liabilities, revenue and expenses
of joint operations.
The financial statements of entities consolidated are made up
to 31 December each year.
Entities over which the Group has the power to direct the
relevant activities so as to affect the returns to the Group,
generally through control over the financial and operating
policies, are accounted for as subsidiaries.
Where the Group has the ability to exercise joint control over,
and rights to, the net assets of entities, the entities are
accounted for as joint ventures. Where the Group has the ability
to exercise joint control over an arrangement, but has rights to
specified assets and obligations for specified liabilities of the
arrangement, the arrangement is accounted for as a joint
operation. Where the Group has the ability to exercise
significant influence over entities, they are accounted for as
associates. The results and assets and liabilities of associates
and joint ventures are incorporated into the consolidated
financial statements using the equity method of accounting.
The assets, liabilities, revenue and expenses of joint operations
are included in the consolidated financial statements in
accordance with the Group’s rights and obligations. Interests
acquired in entities are consolidated from the date the Group
acquires control and interests sold are de-consolidated from
the date control ceases.
Transactions and balances between subsidiaries are eliminated
and no profit before tax is taken on sales between subsidiaries
until the products are sold to customers outside the Group. The
relevant proportion of profits on transactions with joint ventures,
joint operations and associates is also deferred until the
products are sold to third parties. Transactions with non-
controlling interests are recorded directly in equity. Deferred tax
relief on unrealised intra-Group profit is accounted for only to
the extent that it is considered recoverable.
Business combinations
Business combinations are accounted for using the acquisition
accounting method. Identifiable assets, liabilities and
contingent liabilities acquired are measured at fair value at
acquisition date. The consideration transferred is measured at
fair value and includes the fair value of any contingent
consideration.
The fair value of contingent consideration liabilities is
reassessed at each balance sheet date with changes
recognised in the income statement. Payments of contingent
consideration reduce the balance sheet liability and as a result
are not recorded in the income statement.
The part of each payment relating to the original estimate of
the fair value of the contingent consideration on acquisition is
reported within investing activities in the cash flow statement
and the part of each payment relating to the increase in the
liability since the acquisition date is reported within operating
cash flows.
Where the consideration transferred, together with the non-
controlling interest, exceeds the fair value of the net assets,
liabilities and contingent liabilities acquired, the excess is
recorded as goodwill. The costs of effecting an acquisition are
charged to the income statement in the period in which they
are incurred.
Goodwill is capitalised as a separate item in the case of
subsidiaries and as part of the cost of investment in the case of
joint ventures and associates. Goodwill is denominated in the
currency of the operation acquired.
Where the cost of acquisition is below the Group’s interest in the
net assets acquired, the difference is recognised directly in the
income statement.
Where not all of the equity of a subsidiary is acquired the non-
controlling interest is recognised either at fair value or at the
non-controlling interest’s share of the net assets of the
subsidiary, on a case-by-case basis. Changes in the Group’s
ownership percentage of subsidiaries are accounted for within
equity.
Foreign currency translation
Foreign currency transactions are booked in the functional
currency of the Group company at the exchange rate ruling on
the date of transaction. Foreign currency monetary assets and
liabilities are retranslated into the functional currency at rates of
exchange ruling at the balance sheet date. Exchange
differences are included in the income statement.
On consolidation, assets and liabilities, including related
goodwill, of overseas subsidiaries, associates and joint ventures,
are translated into S terling at rates of exchange ruling at the
balance sheet date. The results and cash flows of overseas
subsidiaries, associates and joint ventures are translated into
sterling using average rates of exchange.
Exchange adjustments arising when the opening net assets and
the profits for the year retained by overseas subsidiaries,
associates and joint ventures are translated into S terling, less
exchange differences arising on related foreign currency
borrowings which hedge the Group’s net investment in these
operations, are taken to a separate component of equity within
Retained Earnings.
When translating into S terling the assets, liabilities, results and
cash flows of overseas subsidiaries, associates and joint
ventures which are reported in currencies of hyper-inflationary
economies, adjustments are made where material to reflect
current price levels. Any loss on net monetary assets is charged
to the consolidated income statement.

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Notes to the financial statements continued

185
Revenue
Turnover
The Group receives revenue for supply of goods to external
customers against orders received. The majority of contracts
that GSK enters into relate to sales orders containing single
performance obligations for the delivery of pharmaceutical and
vaccine products. The average duration of a sales order is less
than 12 months.
Product revenue is recognised when control of the goods is
passed to the customer. The point at which control passes is
determined by each customer arrangement, but generally
occurs on delivery to the customer.
Product revenue represents net invoice value including fixed
and variable consideration. Variable consideration arises on the
sale of goods as a result of discounts and allowances given and
accruals for estimated future returns and rebates. Revenue is
not recognised in full until it is highly probable that a significant
reversal in the amount of cumulative revenue recognised will
not occur. The methodology and assumptions used to estimate
rebates and returns are monitored and adjusted regularly in the
light of contractual and legal obligations, historical trends, past
experience and projected market conditions. Estimates
associated with returns and rebates are revisited at each
reporting date or when they are resolved and revenue is
adjusted accordingly. Please refer to Note 3, 'Critical
accounting judgements and key sources of estimation
uncertainty' for the details on rebates, discounts and
allowances.
The Group has entered into collaborative agreements, typically
with other pharmaceutical or biotechnology companies to
develop, produce and market drug candidates and vaccines
that do not qualify as joint arrangements. When GSK has
control over the commercialisation activities, the Group
recognises turnover and cost of sales on a gross basis. Profit
sharing amounts and royalties due to the counterparty are
recorded within cost of sales. Cost of sales includes net
recoveries of cost of £45 million (2022: cost of £1,635 million;
2021: cost of £640 million) from profit sharing arrangements
and royalties due to the counterparty. When the counterparty
controls the commercialisation activities and records the sale,
the Group is not the principal in the customer contract and
instead records its share of gross profit as co-promotion
income, on a net basis, within turnover. The nature of co-
promotion activities is such that the Group records no costs of
sales. Commercial Operations turnover includes co-promotion
revenue of £1 million (2022: £3 million; 2021: £7 million).
Reimbursements to and from the counterparty under
collaboration agreements for ‘selling, general and
administration’ and ‘research and development’ costs are
recorded net in the respective lines in the consolidated income
statement.
Other operating income and royalty income
GSK enters into development and marketing collaborations and
out-licences of the Group’s compounds or products to other
parties. These contracts give rise to fixed and variable
consideration from upfront payments, development milestones,
sales-based milestones and royalties.
Income dependent on the achievement of a development
milestone is recognised when it is highly probable that a
significant reversal in the amount of cumulative revenue
recognised will not occur, which is usually when the related
event occurs. Sales-based milestone income is recognised when
it is highly probable that the sales threshold will be reached.
Sales-based royalties on a licence of intellectual property are
not recognised until the relevant product sale occurs.
For all revenue, if the time between the recognition of revenue
and payment from the customer is expected to be more than
one year and the impact is material, the amount of
consideration is discounted using appropriate discount rates.
Value added tax and other sales taxes are excluded from
revenue.
Expenditure
Expenditure is recognised in respect of goods and services
received when supplied in accordance with contractual terms.
Provision is made when an obligation exists for a future liability
in respect of a past event and where the amount of the
obligation can be reliably estimated. Manufacturing start-up
costs between validation and the achievement of normal
production are expensed as incurred.
Advertising and promotion expenditure is charged to the
income statement as incurred.
Shipment costs on inter-company transfers are charged to cost
of sales; distribution costs on sales to customers are included in
selling, general and administration expenditure.
Restructuring costs are recognised and provided for, where
appropriate, in respect of the direct expenditure of a business
reorganisation where the plans are sufficiently detailed and well
advanced, and where appropriate communication to those
affected has been undertaken.
Software as a service (SaaS) configuration costs are expensed
as they are incurred where the software being configured is
controlled by the SaaS provider.
Research and development
Research and development expenditure is charged to the
income statement in the period in which it is incurred.
Development expenditure is capitalised when the criteria for
recognising an asset are met, usually when a regulatory filing
has been made in a major market and approval is considered
highly probable. Property, plant and equipment used for
research and development is capitalised and depreciated in
accordance with the Group’s policy.

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Notes to the financial statements continued
2. Accounting principles and policies continued |  |  |

186
Legal and other disputes
Provision is made for the anticipated settlement costs of legal
or other disputes against the Group where an outflow of
resources is considered probable and a reliable estimate can
be made of the likely outcome. In respect of product liability
claims related to certain products, provision is made when there
is sufficient history of claims made and settlements to enable
management to make a reliable estimate of the provision
required to cover asserted and unasserted claims.
In certain cases, an incurred but not reported (IBNR) actuarial
technique is used to determine this estimate. In addition,
provision is made for legal or other expenses arising from claims
received or other disputes.
The Group may become involved in legal proceedings, in
respect of which it is not possible to meaningfully assess
whether the outcome will result in a probable outflow, or to
quantify or reliably estimate the liability. In these cases,
appropriate disclosure about such cases is included but no
provision is made.
Costs associated with claims made by the Group against third
parties are charged to the income statement as they are
incurred.
Pensions and other post-employment benefits
The costs of providing pensions under defined benefit schemes
are calculated using the projected unit credit method and
spread over the period during which benefit is expected to be
derived from the employees’ services, consistent with the advice
of qualified actuaries.
Pension obligations are measured as the present value of
estimated future cash flows discounted at rates reflecting the
yields of high-quality corporate bonds. Pension scheme assets
are measured at fair value at the balance sheet date.
The costs of other post-employment liabilities are calculated in
a similar way to defined benefit pension schemes and spread
over the period during which benefit is expected to be derived
from the employees’ services, in accordance with the advice of
qualified actuaries.
The service cost of providing retirement benefits to employees
during the year, together with the cost of any curtailment, is
charged to operating profit in the year.
Actuarial gains and losses and the effect of changes in
actuarial assumptions are recognised in the statement of
comprehensive income in the year in which they arise.
The Group’s contributions to defined contribution plans are
charged to the income statement as incurred.
Employee share plans
Incentives in the form of shares are provided to employees
under share option and share award schemes.
The fair values of these options and awards are calculated at
their grant dates using a Black-Scholes option pricing model
and charged to the income statement over the relevant vesting
periods.
The Group provides finance to ESOP Trusts to purchase
company shares to meet the obligation to provide shares when
employees exercise their options or awards. Costs of running the
ESOP Trusts are charged to the income statement.
Shares held by the ESOP Trusts are deducted from other
reserves. A transfer is made between other reserves and
retained earnings over the vesting periods of the related share
options or awards to reflect the ultimate proceeds receivable
from employees on exercise.
Property, plant and equipment
Property, plant and equipment (PP&E) is stated at the cost of
purchase or construction, less provisions for depreciation and
impairment. Financing costs are capitalised within the cost of
qualifying assets in construction.
Depreciation is calculated to write off the cost less residual
value of PP&E, excluding freehold land, using the straight-line
basis over the expected useful life. Residual values and lives are
reviewed, and where appropriate adjusted annually. The
normal expected useful lives of the major categories of PP&E
are:

Freehold buildings | 20 to 50 years
Leasehold land and buildings | Lease term or 20 to 50 years
Plant and machinery | 10 to 20 years
Equipment and vehicles | 3 to 10 years

On disposal of PP&E, the cost and related accumulated
depreciation and impairments are removed from the financial
statements and the net amount, less any proceeds, is taken to
the income statement.
Leases
The Group recognises right of use assets under lease
arrangements in which it is the lessee, except for short-term
leases (defined as leases with a lease term of 12 months or less)
and leases of low value assets. Rights to use assets owned by
third parties under lease agreements are capitalised at the
inception of the lease and recognised on the consolidated
balance sheet.
The corresponding liability to the lessor is recognised as a lease
obligation within short and long-term borrowings. The carrying
amount is subsequently increased to reflect interest on the
lease liability and reduced by lease payments made.
For calculating the discounted lease liability on leases with
annual payments of £2 million or more, the implicit rate in the
lease is used. If this is not available, the incremental borrowing
rate with a lease specific adjustment is used. If neither of these
is available, and for leases with annual payments of less than
£2 million, the incremental borrowing rate is used. The
incremental borrowing rate is the rate of interest at which GSK
would have been able to borrow for a similar term and with a
similar security the funds necessary to obtain a similar asset in a
similar market.

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Notes to the financial statements continued
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187
Finance costs are charged to the income statement so as to
produce a constant periodic rate of charge on the remaining
balance of the obligations for each accounting period.
Variable rents are not part of the lease liability and the right of
use asset. These payments are charged to the income
statement as incurred. Lease rental costs for short-term and
low-value leases which are not capitalised are also charged to
the income statement as incurred.
Non-lease components are accounted for separately from the
lease components in plant and equipment leases but are not
separately accounted for in land and buildings or vehicle
leases.
If modifications or reassessments of lease obligations occur, the
lease liability and right of use asset are remeasured.
Right of use assets where title is expected to pass to GSK at a
point in the future are depreciated on a basis consistent with
similar owned assets. In other cases, right of use assets are
depreciated over the shorter of the useful life of the asset or the
lease term.
Goodwill
Goodwill is stated at cost less impairments. Goodwill is deemed
to have an indefinite useful life and is tested for impairment at
least annually.
Where the fair value of the interest acquired in an entity’s
assets, liabilities and contingent liabilities exceeds the
consideration paid, this excess is recognised immediately as a
gain in the income statement.
Other intangible assets
Intangible assets are stated at cost less provisions for
amortisation and impairments.
Licences, patents, know-how and marketing rights separately
acquired or acquired as part of a business combination are
amortised over their estimated useful lives, generally not
exceeding 30 years, using the straight-line basis, from the time
they are available for use. The estimated useful lives for
determining the amortisation charge take into account patent
lives (exclusivity period), where applicable, as well as the value
obtained from periods of non-exclusivity. For Pharmaceutical
intangible assets, depending on the characteristics, competitive
environment and estimated long-term profits of the asset,
between 80% to 90% of the book value is amortised over the
exclusivity period on a straight-line basis and the remaining
book value is amortised over a non-exclusivity period of 5-15
years on a straight-line basis. For Vaccines intangible assets,
cost is usually amortised over the exclusivity period plus 10
years, or 30 years if no exclusivity period is granted, on a
straight-line basis. Asset lives are reviewed, and where
appropriate adjusted, annually.
Contingent milestone payments are recognised at the point
that the contingent event becomes probable. Any development
costs incurred by the Group and associated with acquired
licences, patents, know-how or marketing rights are written off
to the income statement when incurred, unless the criteria for
recognition of an internally generated intangible asset are met,
usually when a regulatory filing has been made in a major
market and approval is considered highly probable.
Acquired in process R&D and marketed products are valued
independently as part of the fair value of businesses acquired
from third parties where they have a value which is substantial
and long term and where the assets either are contractual or
legal in nature or can be sold separately from the rest of the
businesses acquired.
The costs of acquiring and developing computer software for
internal use and internet sites for external use are capitalised as
intangible fixed assets where the software or site supports a
significant business system and the expenditure leads to the
creation of a durable asset controlled by the Group. ERP
systems software is amortised over seven to ten years and other
computer software over three to five years using the straight-
line basis.
Impairment of non-current assets
The carrying values of all non-current assets are reviewed for
impairment, either on a stand-alone basis or as part of a larger
cash generating unit, when there is an indication that the assets
might be impaired. Additionally, goodwill and intangible assets
which are not yet available for use are tested for impairment
annually. Any provision for impairment is charged to the income
statement in the year concerned.
Impairments of goodwill are not reversed. Impairment losses on
other non-current assets are only reversed if there has been a
change in estimates used to determine recoverable amounts
and only to the extent that the revised recoverable amounts do
not exceed the carrying values that would have existed, net of
depreciation or amortisation, had no impairments been
recognised.
Investments in associates, joint ventures and
joint operations
Investments in associates and joint ventures are carried in the
consolidated balance sheet at the Group’s share of their net
assets at date of acquisition and of their post-acquisition
retained profits or losses and other comprehensive income
together with any goodwill arising on the acquisition. The Group
recognises the assets, liabilities, revenue and expenses of joint
operations in accordance with its rights and obligations.
Inventories
Inventories are included in the financial statements at the lower
of cost (including raw materials, direct labour, other direct costs
and related production overheads) and net realisable value.
Cost is generally determined on a first in, first out basis. Pre-
launch inventory is held as an asset when there is a high
probability of regulatory approval for the product. Before that
point a provision is made against the carrying value to reduce it
to its recoverable amount; the provision is then reversed at the
point when a high probability of regulatory approval is
determined.

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Notes to the financial statements continued
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188
Financial instruments
Financial assets
Financial assets are measured at amortised cost, fair value
through other comprehensive income (FVTOCI) or fair value
through profit or loss (FVTPL). The measurement basis is
determined by reference to both the business model for
managing the financial asset and the contractual cash flow
characteristics of the financial asset. For financial assets other
than trade receivables a 12-month expected credit loss (ECL)
allowance is recorded on initial recognition. If there is
subsequent evidence of a significant increase in the credit risk
of an asset, the allowance is increased to reflect the full lifetime
ECL. If there is no realistic prospect of recovery, the asset is
written off.
Expected credit losses are recognised in the income statement
on financial assets measured at amortised cost and at fair
value through other comprehensive income apart from equity
investments.
Current equity investments
Current equity investments comprise equity investments which
the Group holds with the intention to sell and which it may sell in
the short term. Where acquired with this intention, they are
measured at FVTPL. They are initially recorded at fair value and
then remeasured at subsequent reporting dates to fair value.
Unrealised gains and losses are recognised in the income
statement. Dividend income is recognised in the income
statement when the Group’s right to receive payment is
established. Purchases and sales of current equity investments
are accounted for on the trade date.
Other investments
Other investments comprise equity investments and investments
in limited life funds. The Group has elected to designate the
majority of its equity investments as measured at FVTOCI. They
are initially recorded at fair value plus transaction costs and
then remeasured at subsequent reporting dates to fair value.
Unrealised gains and losses are recognised in other
comprehensive income. On disposal of the equity investment,
gains and losses that have been deferred in other
comprehensive income are transferred directly to retained
earnings.
Investments in limited life funds are measured at FVTPL. They
are initially recorded at fair value and then remeasured at
subsequent reporting dates to fair value. Unrealised gains and
losses are recognised in the income statement.
Dividends on equity investments and distributions from funds
are recognised in the income statement when the Group’s right
to receive payment is established.
Purchases and sales of Other investments are accounted for on
the trade date.
Trade receivables
Trade receivables are measured in accordance with the
business model under which each portfolio of trade receivables
is held. The Group has portfolios in each of the three business
models under IFRS 9: to collect the contractual cash flows
where there is no factoring agreement in place (measured at
amortised cost); to sell the contractual cash flows where the
trade receivables will be sold under a factoring agreement
(measured at FVTPL); and both to collect and to sell the
contractual cash flows where the trade receivables may be sold
under a factoring arrangement (measured at FVTOCI). Trade
receivables measured at amortised cost are carried at the
original invoice amount less allowances for expected credit
losses.
Expected credit losses are calculated in accordance with the
simplified approach permitted by IFRS 9, using a provision
matrix applying lifetime historical credit loss experience to the
trade receivables. The expected credit loss rate varies
depending on whether, and the extent to which, settlement of
the trade receivables is overdue and it is also adjusted as
appropriate to reflect current economic conditions and
estimates of future conditions. For the purpose of determining
credit loss rates, customers are classified into groupings that
have similar loss patterns. The key drivers of the loss rate are the
nature of the business unit and the location and type of
customer.
When a trade receivable is determined to have no reasonable
expectation of recovery it is written off, firstly against any
expected credit loss allowance available and then to the
income statement.
Subsequent recoveries of amounts previously provided for or
written off are credited to the income statement. Long-term
receivables are discounted where the effect is material.
Cash and cash equivalents
Cash held in deposit accounts is measured at amortised cost.
Investments in money market funds are held at fair value
through profit or loss because the funds fail the solely payments
of principal and interest (SPPI) test.
Borrowings
All borrowings are initially recorded at the amount of proceeds
received, net of transaction costs. Borrowings are subsequently
carried at amortised cost, with the difference between the
proceeds, net of transaction costs, and the amount due on
redemption being recognised as a charge to the income
statement over the period of the relevant borrowing.
Derivative financial instruments
Derivative financial instruments are used to manage exposure
to market risks. The principal derivative instruments used by GSK
are foreign currency swaps, interest rate swaps, foreign
exchange forward contracts and options. The Group does not
hold or issue derivative financial instruments for trading or
speculative purposes.
Derivative financial assets and liabilities, including derivatives
embedded in host contracts which have been separated from
the host contract, are measured at fair value. Changes in the
fair value of any derivative instruments that do not qualify for
hedge accounting are recognised immediately in the income
statement.

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2. Accounting principles and policies continued |  |  |

189
Hedge accounting
Derivatives designated as the hedging instruments are
classified at inception of hedge relationship as cash flow
hedges, net investment hedges or fair value hedges.
Changes in the fair value of derivatives designated as cash flow
hedges are recognised in other comprehensive income to the
extent that the hedges are effective and accumulated in the
cash flow hedge reserve. Ineffective portions are recognised in
profit or loss immediately. Amounts deferred in the cash flow
hedge reserve are reclassified to the income statement when
the hedged item affects profit or loss, or if the hedged forecast
transaction is to purchase a non-financial asset, the amount
deferred in the cash flow hedge reserve is transferred directly
from equity and included in the carrying value of the recognised
non-financial asset.
Net investment hedges are accounted for in a similar way to
cash flow hedges which are reclassified to the income
statement when the hedged item affects profit or loss.
Changes in the fair value of derivatives designated as fair value
hedges are recorded in the income statement, together with the
changes in the fair value of the hedged asset or liability.
Taxation
Current tax is provided at the amounts expected to be paid,
applying tax rates that have been enacted or substantively
enacted by the balance sheet date. The tax charge for the
period is recognised in the income statement, the statement of
comprehensive income or directly in equity, according to the
accounting treatment of the related transaction.
Deferred tax is provided in full on temporary differences arising
between the tax bases of assets and liabilities and their carrying
amounts in the financial statements. Deferred tax assets are
recognised to the extent that it is probable that future taxable
profits will be available against which the temporary differences
can be utilised. Deferred tax is provided on temporary
differences arising on investments in subsidiaries, associates
and joint ventures, except where the timing of the reversal of the
temporary difference can be controlled and it is probable that
the temporary difference will not reverse in the foreseeable
future. Deferred tax is provided using rates of tax that have
been enacted or substantively enacted by the balance sheet
date. Deferred tax assets and liabilities are offset when there is
a legally enforceable right to offset current tax assets against
current tax liabilities and when they relate to income taxes
levied by the same tax authority and the Company and its
subsidiaries intend to settle their current tax assets and liabilities
on a net basis.
Deferred tax assets and liabilities are not recognised if the
temporary differences arise from the initial recognition of
goodwill or from the initial recognition of other assets and
liabilities in a transaction (other than a business combination)
that affects neither the accounting nor the taxable profit or loss.
Unrecognised deferred tax assets are reassessed at each
reporting date and are recognised to the extent that it has
become probable that future taxable profits will allow the
deferred tax asset to be recovered.
Where an uncertain tax position is identified, management will
mak e a judgement as to what the probable outcome will be,
assuming the relevant tax authority has full knowledge of the
situation. Where it is assessed that an economic outflow is
probable to arise, a provision is made for the best estimate of
the liability. In estimating any such liability GSK applies a risk-
based approach which takes into account, as appropriate, the
probability that the Group would be able to obtain
compensatory adjustments under international tax treaties.
These estimates take into account the specific circumstances of
each dispute and relevant external advice.
Discounting
Where the time value of money is material, balances are
discounted to current values using appropriate discount rates.
The unwinding of the discounts is recorded in finance income
and finance expense.
Assets and liabilities held for sale or distribution
and discontinued operations
Disposal groups are classified as held for sale or distribution if
their carrying amount will be recovered principally through sale
or a distribution to shareholders rather than through continuing
use, they are available for sale or distribution in their present
condition and the sale or distribution is considered highly
probable. Assets held in Assets held for sale or distribution are
measured at the lower of their carrying amount and fair value
less costs to sell or distribute. Non-current assets included in
Assets held for sale or distribution are not depreciated or
amortised. Assets and liabilities classified as held for sale or
distribution are presented in current assets and current liabilities
separately from the other assets and liabilities in the balance
sheet.
A discontinued operation is a component of the Group that has
been disposed of, distributed or is classified as held for sale or
distribution and that represents a separate major line of
business. The results of discontinued operations are presented
separately in the consolidated income statement, the
consolidated statement of other comprehensive income and
the consolidated statement of cash flows and comparatives are
restated on a consistent basis.

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190

3. Critical accounting judgements and key sources of estimation uncertainty

In preparing the financial statements, management is required
to make judgements about when or how items should be
recognised in the financial statements and estimates and
assumptions that affect the amounts of assets, liabilities,
revenue and expenses reported in the financial statements.
Actual amounts and results could differ from those estimates.
The following are considered to be the critical accounting
judgements and key sources of estimation uncertainty.
Turnover
Reported Group turnover for 2023 wa s £30,328 million (2022:
£29,324 million).
Estimates
Gross turnover is reduced by rebates, discounts, allowances and
product returns given or expected to be given, which vary by
product arrangements and buying groups. These arrangements
with purchasing organisations are dependent upon the
submission of claims some time after the initial recognition of
the sale. Accruals are made at the time of sale for the
estimated rebates, discounts or allowances payable or returns
to be made, based on available market information and
historical experience.
Sales of pharmaceutical and vaccine products in the US have
complex arrangements for rebates, discounts and allowances.
Turnover of Commercial Operations products in the US for 2023
o f £15,820 million (2022: £14,542 million) wa s after recording
deductions of £16,539 million (2022: £15,272 million) for rebates,
allowances, returns and other discounts. At 31 December 2023,
the total accrual amounted to £5,951 million (2022: £5,855
million). Due to the nature of these accruals it is not practicable
to give meaningful sensitivity estimates due to the large volume
of variables that contribute to the overall rebates, chargebacks,
returns and other revenue accruals.
As there can be significant variability in final outcomes, the
Group applies a constraint when measuring the variable
element within revenue, so that revenue is recognised at a
suitably cautious amount. The objective of the constraint is to
ensure that it is highly probable that a significant reversal of
revenue will not occur when the uncertainties are resolved. The
constraint is applied by making suitably cautious estimates of
the inputs and assumptions used in estimating the variable
consideration. Because the amounts are estimated they may
not fully reflect the final outcome, and the amounts are subject
to change dependent upon, amongst other things, the types of
buying group and product sales mix. The constraints applied in
recognising revenue mean that the risk of a material downward
adjustment to revenue in the next financial year is low.
The level of accrual for rebates and returns is reviewed and
adjusted regularly in the light of contractual and legal
obligations, historical trends, past experience and projected
market conditions. Market conditions are evaluated using
wholesaler and other third-party analyses, market research
data and internally generated information. It is reasonably
possible that there could be a significant adjustment within the
next 12 months to recognise additional revenue, if actual
outcomes are better than the cautious constrained estimates.
Revenue is not recognised in full until it is highly probable that a
significant reversal in the amount of cumulative revenue
recognised will not occur. The amount of turnover recognised in
the year from performance obligations satisfied in previous
periods is set out in Note 6, ‘Turnover and segment information’,
and is an indication of the level of sensitivity in the estimate.
Future events could cause the assumptions on which the
accruals are based to change, which could materially affect the
future results of the Group.
Taxation
The tax charge for the y ear was £756 million (2022: £707
million). A t 31 December 2023, current tax payable was £500
million (2022: £471 million), non-current corporation tax payable
was £75 million (2022: £127 million) and current tax recoverable
was £373 million (2022: £405 million).
Judgement and estimates
The Group has open tax issues with a number of revenue
authorities. Management makes a judgement of whether there
is sufficient information to be able to make a reliable estimate
of the outcome of the dispute. If insufficient information is
available, no provision is made.
If sufficient information is available, in estimating a potential tax
liability GSK applies a risk-based approach which takes into
account, as appropriate, the probability that the Group would
be able to obtain compensatory adjustments under
international tax treaties. These estimates take into account the
specific circumstances of each dispute and relevant external
advice, are inherently judgemental and could change
substantially over time as each dispute progresses and new
facts emerge.
At 31 December 2023, the Group had recognised provisions of
£584 million in respect of uncertain tax positions (2022: £551
million). Due to the number of uncertain tax positions held and
the number of jurisdictions to which these relate, it is not
practicable to give meaningful sensitivity estimates. No
uncertain tax position is individually material to the Group.
Factors affecting the tax charge in future years are set out in
Note 14, ‘Taxation’. GSK continues to believe that it has made
adequate provision for the liabilities likely to arise from open
assessments. Where open issues exist, the ultimate liability for
such matters may vary from the amounts provided and is
dependent upon the outcome of negotiations with the relevant
tax authorities or, if necessary, litigation proceedings.

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Notes to the financial statements continued

191
Legal and other disputes
Legal costs for the year were £271 million (2022: £144 million). At
31 December 2023 provisions for legal and other disputes
amounted to £267 million (2022: £218 million).
Judgement
Management makes a judgement of whether there is sufficient
information to be able to make a reliable estimate of the likely
outcome of the dispute and the legal and other expenses
arising from claims against the Group. If insufficient information
is available, no provision is made and disclosure of the claim is
given.
The estimated provisions take into account the specific
circumstances of each dispute and relevant external advice, are
inherently judgemental and could change substantially over
time as each dispute progresses and new facts emerge. Details
of the status and various uncertainties involved in the significant
unresolved disputes are set out in Note 47, ‘Legal proceedings’.
The company’s Directors, having taken legal advice, have
established provisions after taking into account the relevant
facts and circumstances of each matter and in accordance
with accounting requirements. In respect of product liability
claims related to certain products, there is sufficient history of
claims made and settlements to enable management to make
a reliable estimate of the provision required to cover unasserted
claims.
The Group may become involved in legal proceedings, in
respect of which it is not possible to meaningfully assess
whether the outcome will result in a probable outflow, or to
quantify or reliably estimate the liability. In these cases,
appropriate disclosure about such cases would be provided,
but no provision would be made and no contingent liability can
be quantified.
The ultimate liability for legal claims may vary from the amounts
provided and is dependent upon the outcome of litigation
proceedings, investigations and possible settlement
negotiations. The position could change over time and,
therefore, there can be no assurance that any losses that result
from the outcome of any legal proceedings will not exceed the
amount of the provisions reported in the Group’s financial
statements by a material amount.
Contingent consideration
The 2023 income statement charge for contingent
consideration w as £768 million (2022: £1,645 million).
At 31 December 2023, the liability for contingent consideration
amounted to £6,662 million (2022: £7,068 million). O f this
amount, £5,718 million (2022: £5,890 million) related to the
acquisition of the former Shionogi-ViiV Healthcare joint venture
in 2012.
Estimates
Any contingent consideration included in the consideration
payable for a business combination is recorded at fair value at
the date of acquisition. These fair values are generally based on
risk-adjusted future cash flows discounted using appropriate
post-tax discount rates. The fair values are reviewed on a
regular basis, and any changes are reflected in the income
statement. See Note 33, ‘Contingent consideration liabilities’.
Pensions and other post-employment benefits
Judgement
Where a surplus on a defined benefit scheme arises, or there is
potential for a surplus to arise from committed future
contributions, the rights of the Trustees to prevent the Group
obtaining a refund of that surplus in the future are considered in
determining whether it is necessary to restrict the amount of the
surplus that is recognised. Three UK schemes are in surplus
(2022: two UK schemes), with a combined surplus of £457
million at 31 December 2023 (2022: £109 million). There are
further recognised pension surpluses totalling £177 million
spread across five countries (2022: £120 million across five
countries). GSK has made the judgement that these amounts
meet the requirements of recoverability.
Estimates
The costs of providing pensions and other post-employment
benefits are assessed on the basis of assumptions selected by
management. These assumptions include future earnings and
pension increases, discount rates, expected long-term rates of
return on assets and mortality rates, and are disclosed in Note
31, ‘Pensions and other post-employment benefits’.
Discount rates are derived from AA rated corporate bond yields
except in countries where there is no deep market in corporate
bonds where government bond yields are used. A sensitivity
analysis is provided in Note 31, ‘Pensions and other post-
employment benefits’, a 0.25% reduction in the discount rate
would lead to an increase in the net pension deficit of
approximately £391 million and an increase in the annual
pension cost of approximately £18 million. Similarly, a 0.25%
increase in the discount rate would lead to a decrease in the
net pension deficit of approximately £373 million and a
decrease in the annual pension cost of approximately £18
million.
A 0.75% reduction in the discount rate would lead to an
increase in the net pension deficit of approxima tely £1,231
million and an increase in the annual pension cost of
approximately £51 million. Similarly, a 0.75% increase in the
discount rate would lead to a decrease in the net pension
deficit of approxima tely £1,071 million and a decrease in the
annual pension cost of approximately £58 million. The selection
of different assumptions could affect the future results of the
Group.

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Notes to the financial statements continued
3. Critical accounting judgements and key sources of estimation uncertainty continued

192

4. New accounting requirements

International Tax Reform - Pillar Two Model Rules -
Amendments to IAS 12
The Group has adopted the amendments to IAS 12 which have
been introduced in response to the OECD’s BEPS Pillar Two
rules and include:
– A mandatory temporary exception to the recognition and
disclosure of deferred taxes arising from the jurisdictional
implementation of the Pillar Two model rules; and
– Disclosure requirements for affected entities to help users of
the financial statements better understand an entity’s
exposure to Pillar Two income taxes arising from that
legislation.
GSK has applied the mandatory exception and is not
recognising any deferred tax impact. Further information about
the impact of the Pillar Two model framework, including the
impact on the effective tax rate for 2024, is set out in Note 14,
'Taxation'.
Other amendments
The adoption of IFRS 17 Insurance Contracts and amendments
to certain other IFRS accounting standards in the year ended
31 December 2023, did not have a material impact on the
results or financial position of the Group.
Certain amendments to IFRS accounting standards and
interpretations have been published that are not mandatory for
31 December 2023 reporting periods and have not been
adopted early by the Group. These amendments and
interpretations are not expected to have a material impact on
the results or financial position of the Group in future reporting
periods.
Amendments to IAS 7 Statement of Cash Flows and IFRS 7
Financial Instruments: Disclosures - Supplier Finance
Arrangements, require additional disclosure of information
about Group supplier finance arrangements. The disclosure
requirements will apply for annual reporting periods beginning
on or after 1 January 2024, but not for any interim periods
ending on or before 31 December 2024.

5. Exchange rates

The Group uses the average of exchange rates prevailing during the period to translate the results and cash flows of overseas
subsidiaries, joint ventures and associates into sterling and period end rates to translate the net assets of those entities. The
currencies which most influence these translations and the relevant exchange rates were:

| 2023 | 2022 | 2021
Average rates: |  |  |
US$/£ | 1.24 | 1.24 | 1.38
Euro/£ | 1.15 | 1.17 | 1.16
Yen/£ | 175 | 161 | 151

| 2023 | 2022 | 2021
Period end rates: |  |  |
US$/£ | 1.27 | 1.20 | 1.35
Euro/£ | 1.15 | 1.13 | 1.19
Yen/£ | 180 | 159 | 155

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Notes to the financial statements continued

193

6. Turnover and segment information

Operating segments are reported based on the financial information provided to the Chief Executive Officer and the responsibilities
of the GSK Leadership Team (GLT). GSK reports under two segments; Commercial Operations and Total R&D. Members of the GLT
are responsible for each segment.
Originally GSK reported 2021 results under four segments: Pharmaceuticals, Pharmaceuticals R&D, Vaccines and Consumer
Healthcare. However, the reporting of operating segments was changed in 2022 and with the demerger of Consumer Healthcare
only two operating segments are reportable. Comparative information was retrospectively revised on a consistent basis in 2022.
There is no change to the reportable segments in 2023.
R&D investment is essential for the sustainability of the business. However for segment reporting the Commercial Operating profits
exclude allocations of globally funded R&D.
The Total R&D segment is the responsibility of the Chief Scientific Officer and is reported as a separate segment. The operating
costs of this segment includes R&D activities across Specialty Medicines, including HIV and Vaccines. It includes R&D and some
Selling, General and Administrative (SG&A) costs relating to regulatory and other functions.
The Group’s management reporting process allocates intra-Group profit on a product sale to the segment in which that sale is
recorded, and the profit analyses below have been presented on that basis.

Turnover by segment | 2023 £m | 2022 £m | 2021 £m
Commercial operations | 30,328 | 29,324 | 24,696
| 30,328 | 29,324 | 24,696

For 2023, product sales are reported within three product groups: Vaccines, Specialty Medicines and General Medicines.

Commercial Operations: | 2023 £m | 2022 £m | 2021 £m
Shingles | 3,446 | 2,958 | 1,721
Meningitis | 1,260 | 1,116 | 961
RSV | 1,238 | – | –
Influenza | 504 | 714 | 679
Established Vaccines | 3,266 | 3,085 | 2,970
| 9,714 | 7,873 | 6,331
Pandemic Vaccines | 150 | 64 | 447
Vaccines | 9,864 | 7,937 | 6,778
HIV | 6,444 | 5,749 | 4,777
Respiratory/Immunology and Other | 3,025 | 2,609 | 2,027
Oncology | 731 | 602 | 489
| 10,200 | 8,960 | 7,293
Pandemic | 44 | 2,309 | 958
Specialty Medicines | 10,244 | 11,269 | 8,251
Respiratory | 6,825 | 6,548 | 6,048
Other General Medicines | 3,395 | 3,570 | 3,619
General Medicines | 10,220 | 10,118 | 9,667
Total Commercial Operations | 30,328 | 29,324 | 24,696

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Notes to the financial statements continued

194
During 2023, sales were made to three US wholesalers of £4,494 million (2022:£4,045 million; 2021: £3,159 million), £4,498 million
(2022: £4,161 million; 2021: £3,081 million) and £3,531 million (2022: £3,227 million; 2021: £2,670 million) respectively, after allocating
final-customer discounts to the wholesalers.
Revenue recognised in the year from performance obligations satisfied in previous periods totalled £1,751 million (2022: £1,601
million) including £728 million (2022: £898 million) impacting turnover arising from changes to prior year estimates of RAR (returns
and rebates) accruals, £37 million (2022: £115 million) of milestone income and £986 million (2022: £588 million) of royalty income
recognised in the current year.

Segment profit | 2023 £m | 2022 £m | 2021 £m
Commercial Operations | 14,656 | 13,590 | 11,467
Research and development | (5,607) | (5,060) | (4,567)
Segment profit | 9,049 | 8,530 | 6,900
Corporate and other unallocated costs | (263) | (379) | (407)
Other reconciling items between segment profit and operating profit | (2,041) | (1,718) | (2,136)
Total Operating profit | 6,745 | 6,433 | 4,357
Finance income | 115 | 76 | 14
Finance costs | (792) | (879) | (769)
Gain/(loss) on disposal of interest in associates | 1 | – | (36)
Share of after-tax profits/(losses) of associates and joint ventures | (5) | (2) | 33
Profit before taxation from continuing operations | 6,064 | 5,628 | 3,599
Taxation | (756) | (707) | (83)
Profit after taxation for the year from continuing operations | 5,308 | 4,921 | 3,516

Other reconciling items between segment profit and operating profit comprise items not specifically allocated to segment profit.
These include impairment and amortisation of intangible assets; major restructuring costs, which include impairments of tangible
assets and computer software; transaction-related adjustments related to significant acquisitions; proceeds and costs of disposals
of products and businesses, significant legal charges and expenses on the settlement of litigation and government investigations,
other operating income other than royalty income and other items. Please refer to the detail of Other reconciling items between
segment profit and operating profit in the analysis of adjusting items (Group financial review).

Depreciation and amortisation by segment | 2023 £m | 2022 £m | 2021 £m
Commercial Operations | 893 | 829 | 915
Research and development | 572 | 467 | 378
Segment depreciation and amortisation | 1,465 | 1,296 | 1,293
Corporate and other unallocated depreciation and amortisation | 110 | 112 | 68
Other reconciling items between segment depreciation and amortisation and total depreciation and amortisation | 719 | 739 | 761
Total depreciation and amortisation | 2,294 | 2,147 | 2,122

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Notes to the financial statements continued
6. Turnover and segment information continued |

195

PP&E, intangible asset and goodwill impairment by segment | 2023 £m | 2022 £m | 2021 £m
Commercial Operations | 27 | 29 | 30
Research and development | 13 | 32 | 55
Segment impairment | 40 | 61 | 85
Corporate and other unallocated impairment | 35 | 20 | 63
Other reconciling items between segment impairment and total impairment | 432 | 420 | 392
Total impairment | 507 | 501 | 540

PP&E and intangible asset impairment reversals by segment |  |  |
Commercial Operations | (16) | (6) | (8)
Research and development | (9) | (19) | (2)
Segment impairment reversals | (25) | (25) | (10)
Corporate and other unallocated impairment reversals | (14) | – | –
Other reconciling items between segment impairment reversals and total impairment reversals | – | (1) | (2)
Total impairment reversals | (39) | (26) | (12)

Net operating assets by segment |  | 2023 £m | 2022 £m
Commercial Operations |  | 12,302 | 10,288
Research and development |  | 7,021 | 7,299
Segment net operating assets |  | 19,323 | 17,587
Corporate and other unallocated net operating assets |  | 625 | 264
Net operating assets |  | 19,948 | 17,851
Net debt |  | (15,040) | (17,197)
Investments in associates and joint ventures |  | 55 | 74
Current equity investment |  | 2,204 | 4,087
Derivative financial instruments |  | 16 | 7
Current and deferred taxation |  | 5,536 | 5,176
Assets held for sale (excluding cash and cash equivalents) |  | 76 | 98
Net assets |  | 12,795 | 10,096

The Commercial Operations segment includes the Shionogi-ViiV Healthcare contingent consideration liability of £5,718 million
(2022 : £5,890 million) and the Pfizer put option of £848 million (2022: £1,093 million).
Geographical information
The UK is regarded as being the Group’s country of domicile.

Turnover by location of customer | 2023 £m | 2022 £m | 2021 £m
UK | 693 | 695 | 656
US | 15,820 | 14,542 | 11,914
Rest of World | 13,815 | 14,087 | 12,126
External turnover | 30,328 | 29,324 | 24,696

Non-current assets by location of subsidiary |  | 2023 £m | 2022 £m
UK |  | 6,464 | 5,134
US |  | 13,280 | 14,024
Belgium |  | 5,337 | 5,415
Rest of World |  | 6,606 | 6,593
Non-current assets |  | 31,687 | 31,166

Non-current assets by location excludes amounts relating to other investments, deferred tax assets, derivative financial instruments,
pension assets, amounts receivable under insurance contracts and certain other non-current receivables. There are no other
countries with individually material external revenue or non-current assets.

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Notes to the financial statements continued
6. Turnover and segment information continued |

196

7. Other operating income/(expense)

| 2023 £m | 2022 £m | 2021 £m
Upfront settlement income (1) | – | 922 | –
Fair value remeasurements of equity investments | (122) | 256 | 37
Disposal of businesses and assets | 61 | 215 | 552
Fair value remeasurements on contingent consideration recognised in business combinations | (791) | (1,607) | (1,058)
Remeasurement of ViiV Healthcare put option liabilities and preferential dividends | 245 | (85) | (48)
Fair value adjustments on derivative financial instruments | 7 | 3 | (4)
Other income | 237 | 61 | 17
| (363) | (235) | (504)

(1) On 1 February 2022, ViiV Healthcare reached agreement with Gilead Sciences, Inc (Gilead) to settle the global patent infringement litigation relating to the
commercialisation of Gilead’s Biktarvy concerning ViiV Healthcare’s patents relating to dolutegravir, an anti-retroviral medication used, together with other
medicines, to treat human immunodeficiency virus (HIV). Under the terms of the global settlement and licensing agreement, Gilead made an upfront
payment of $1.25 billion (£922 million) to ViiV Healthcare on 15 February 2022. In addition, Gilead will also pay a 3% royalty on all future US sales of Biktarvy
and in respect of the bictegravir component of any other future bictegravir-containing products sold in the US. These royalties will be payable by Gilead to
ViiV Healthcare from 1 February 2022 until the expiry of ViiV Healthcare’s US Patent No. 8,129,385 on 5 October 2027 and will be recorded as royalty income
in the income statement.
Fair value remeasurement on equity investments in 2023 included a loss of £17 million from the remeasurement of the Group’s
retained investment in Haleon plc. See details in Note 22 'Current equity investments'.
Disposal of businesses and assets in 2023 primarily includes milestone income.
Disposal of businesses and assets in 2022 includes milestone income and the reversal of provisions no longer required.
Disposal of businesses and assets in 2021 included a net gain on disposal of the rights to the royalty stream for cabozantinib and a
net gain on disposal of the cephalosporin antibiotic brands to Sandoz.
Fair value re-measurements on contingent consideration recognised as business combinations include d a net charge of £934
million related to the acquisition of the former Shionogi-ViiV Healthcare joint venture, £187 million net credit payable to Novartis
related to the Vaccines acquisition, together with fair value movements on related hedging contracts and a charge of £44 million
relating to the contingent consideration on the acquisition of Affinivax primarily relating to the unwind of the discount.
Other income in 2023 primarily includes net income from dividends related to investments, including £49 million dividend s received
from the retained investment in Haleon plc.

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Notes to the financial statements continued

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8. Operating profit

The following items have been included in operating profit: | 2023 £m | 2022 £m | 2021 £m
Employee costs (Note 9) | 8,473 | 7,693 | 7,680
Advertising | 835 | 735 | 433
Distribution costs | 199 | 192 | 169
Depreciation of property, plant and equipment | 892 | 885 | 855
Impairment of property, plant and equipment, net of reversals | 17 | 70 | 87
Depreciation of right of use assets | 190 | 176 | 179
Impairment of right of use assets | 10 | 40 | 5
Amortisation of intangible assets | 1,212 | 1,086 | 1,088
Impairment of intangible assets, net of reversals | 418 | 365 | 435
Impairment of tangible and intangible assets held for sale, net of reversals | 23 | – | 1
Net foreign exchange (gains)/losses | 11 | 11 | (4)
Inventories: |  |  |
Cost of inventories included in cost of sales | 6,576 | 6,137 | 5,885
Write-down of inventories | 979 | 687 | 800
Reversal of prior year write-down of inventories | (598) | (483) | (325)
Short-term lease charge | 8 | 6 | 7
Low-value lease charge | 2 | 2 | 3
Variable lease payments | 17 | 9 | 10
Fees payable to the company’s auditor and its associates in relation to the Group (see below) | 22.0 | 26.9 | 31.7

The reversals of prior year write-downs of inventories principally arise from the reassessment of usage or demand expectations prior
to inventory expiration.
Net foreign exchange (gains)/losses include a net gain of £34 million (2022: £2 million loss; 2021: £35 million gain) arising from the
recycling of exchange on liquidation or disposal of overseas subsidiaries. The recycling of exchange on disposal of overseas
associates is £nil (2022: £nil). The recycling of exchange on disposal of overseas subsidiaries does not include recycling of exchange
on disposal of Consumer Healthcare subsidiaries as this is reported as Profit after taxation on demerger of discontinued operations.
Included within operating profit are Major restructuring charges of £382 million (2022: £321 million; 2021 : £424 million), see Note 10,
‘Major restructuring costs’.

Fees payable to the company’s auditor and its associates: | 2023 £m | 2022 £m | 2021 £m
Audit of parent company and consolidated financial statements including attestation under s.404 of Sarbanes-Oxley Act 2002 | 10.2 | 10.9 | 13.2
Audit of the company’s subsidiaries | 10.2 | 9.7 | 14.5
Total audit services | 20.4 | 20.6 | 27.7
Audit-related and other assurance services | 1.6 | 6.3 | 4.0
Total audit services, audit-related and other assurance services | 22.0 | 26.9 | 31.7

The other assurance services provided by the auditor related to agreed upon procedures and other assurance services outside of
statutory audit requirements. Audit related and other assurance services include £nil (2022: £4.4 million; 2021: £2.4 million) due to
reporting accountant work performed in preparation for the Consumer Healthcare demerger.
In addition to the above, fees paid to the auditor in respect of the GSK pension schemes were:

| 2023 £m | 2022 £m | 2021 £m
Audit | 0.2 | 0.2 | 0.2

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198

9. Employee costs

| 2023 £m | 2022 £m | 2021 £m
Wages and salaries | 6,706 | 6,110 | 5,858
Social security costs | 818 | 763 | 793
Pension and other post-employment costs, including augmentations (Note 31) | 356 | 369 | 415
Cost of share-based incentive plans | 321 | 314 | 345
Severance and other costs from integration and restructuring activities | 272 | 137 | 269
| 8,473 | 7,693 | 7,680

The Group provides benefits to employees, commensurate with local practice in individual countries, including in some markets,
healthcare insurance, subsidised car schemes and personal life assurance.
The cost of share-based incentive plans is analysed as follows:

| 2023 £m | 2022 £m | 2021 £m
Share value plan | 244 | 243 | 258
Performance share plan | 58 | 55 | 51
Share option plans | 5 | 4 | 5
Cash settled and other plans | 14 | 12 | 31
| 321 | 314 | 345

The average number of persons employed by the Group (including Directors) during the year:

| 2023 Number | 2022 Number | 2021 Number
Manufacturing | 23,209 | 22,946 | 23,562
Selling, general and administration | 34,446 | 34,642 | 36,909
Research and development | 12,589 | 11,542 | 10,874
Total Continuing Operations | 70,244 | 69,130 | 71,345
Discontinued Operations | – | 21,292 | 20,616
Total | 70,244 | 90,422 | 91,961

Note: Consumer Healthcare was divested on 18 July 2022 and is shown as Discontinued Operations in the above table.
The average monthly number of Group employees excludes temporary and contract staff. The numbers of Group employees at the
end of each financial year are given in the financial record on page 276.
The compensation of the Directors and senior management (members of the GLT) in aggregate, was as follows:

| 2023 £m | 2022 £m | 2021 £m
Wages and salaries | 37 | 31 | 27
Social security costs | 4 | 5 | 3
Pension and other post-employment costs | 1 | 2 | 3
Cost of share-based incentive plans | 32 | 28 | 27
| 74 | 66 | 60

Further information on the remuneration of the Directors is given in the sections of the Annual Report on remuneration labelled as
audited within pages 143 to 149.

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Notes to the financial statements continued

199

10. Major restructuring costs

Within the Pharmaceuticals sector, the highly regulated manufacturing operations and supply chains and long lifecycle of the
business mean that restructuring programmes, particularly those that involve the rationalisation or closure of manufacturing or R&D
sites, are likely to take several years to complete.
Major restructuring costs are those related to specific Board-approved Major restructuring programmes, including integration costs
following material acquisitions, which are structural and are of a significant scale where the costs of individual or related projects
exceed £25 million.
In January 2020, the Board approved a Separation Preparation programme to prepare for the separation of GSK into two
companies. This programme is largely complete. After the acquisition of Sierra Oncology (July 2022) and Affinivax (August 2022),
the Board approved a Major restructuring programme for the i ntegration of significant acquisitions designed to integrate and
achieve synergies. In June 2023 GSK acquired Bellus Health Inc.
The total rest ructuring cos ts of £382 million in 2023 (2022: £321 million; 2021: £424 million) were incurred in the following areas:
– Restructuring costs for separation of GSK into two companies
– Continued transformation of central functions, including GSK technology platforms and interfaces, to deliver greater digital
synergies, simplification of applications and staff reductions
– The integration of acquisitions.
The analysis of the costs charged to operating profit under these programmes was as follows:

| 2023 £m | 2022 £m | 2021 £m
Increase in provision for Major restructuring programmes (see Note 32) | 172 | 138 | 321
Amount of provision reversed unused (see Note 32) | (55) | (111) | (140)
Impairment losses recognised | 33 | 122 | 14
Other non-cash charges/(credit) | 86 | (7) | 25
Other cash costs | 146 | 179 | 204
| 382 | 321 | 424

Provision reversals of £55 million reflected provision releases mainly related to the Separation Preparation programme. Asset
impairments of £33 million and other non-cash charges of £86 million prin cipally comprised fixed asset write-downs of
manufacturing and administrative facilities and accelerated depreciation where asset lives have been shortened in the supply chain
manufacturing network as a result of the Major restructuring programmes. All other charges have been or will be settled in cash and
include site closure costs, consultancy and project management costs.
The analysis of Major restructuring charges by programme was as follows:

| 2023
| Cash £m | Non-cash £m | Total £m
Separation Preparation programme | 199 | 117 | 316
Significant acquisitions | 65 | 1 | 66
Legacy programmes | (1) | 1 | –
| 263 | 119 | 382

| 2022
| Cash £m | Non-cash £m | Total £m
Separation Preparation programme | 177 | 110 | 287
Significant acquisitions | 20 | – | 20
Legacy programmes | 9 | 5 | 14
| 206 | 115 | 321

The analysis of Major restructuring charges by income statement line was as follows:

| 2023 £m | 2022 £m | 2021 £m
Cost of sales | 164 | 102 | 102
Selling, general and administration | 216 | 180 | 277
Research and development | 2 | 39 | 45
| 382 | 321 | 424

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11. Finance income

| 2023 £m | 2022 £m | 2021 £m
Finance income arising from: |  |  |
Financial assets measured at amortised cost | 48 | 31 | 11
Financial assets measured at fair value through profit or loss | 60 | 31 | 2
Net gains arising from the forward element of forward contracts in net investment hedge relationships | – | 12 | –
Other finance income | 7 | 2 | 1
| 115 | 76 | 14

12. Finance expense

| 2023 £m | 2022 £m | 2021 £m
Finance expense arising on: |  |  |
Financial liabilities at amortised cost | (672) | (789) | (735)
Net losses arising from: |  |  |
Financial instruments mandatorily measured at fair value through profit or loss | (23) | 743 | (565)
Retranslation of loans | 25 | (761) | 565
Reclassification of hedges from other comprehensive income | (4) | (2) | (2)
Unwinding of discounts on provisions | (15) | (7) | (2)
Finance expense arising on lease liabilities | (38) | (30) | (27)
Other finance expense | (65) | (33) | (3)
| (792) | (879) | (769)

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Notes to the financial statements continued

201

13. Associates and joint ventures

The Group’s share of after-tax profits and losses of associates and joint ventures is set out below:

| 2023 £m | 2022 £m | 2021 £m
Share of after-tax (losses)/profits of associates | (2) | 1 | 36
Share of after-tax losses of joint ventures | (3) | (3) | (3)
| (5) | (2) | 33

During the year, the Group disposed of an investment in a joint venture f or £nil consideration, with the release of related
commitments for future capital contributions resulting in a net £1 million profit on disposal.
In May 2021, the Group agreed with Innoviva Inc. to sell all of its shares in Innoviva back to Innoviva for £277 million. Following the
disposal, at 31 December 2023, 31 December 2022 and 31 December 2021, the Group held no significant individual associates.
Summarised income statement information in respect of Innoviva until May 2021 is set out below.
The results of Innoviva included in the summarised income statement information below represent the estimated earnings of
Innoviva in the relevant periods, based on publicly available information. Fi gures for 2021 include share of Innoviva’s turnover, profit
and total comprehensive income until the date of the disposal.

|  |  | 2021 £m
Turnover |  |  | 108
Profit after taxation |  |  | 106
Total comprehensive income |  |  | 106

Aggregated financial information in respect of GSK’s share of other associated undertakings and joint ventures is set out below:

| 2023 £m | 2022 £m | 2021 £m
Share of after-tax losses | (5) | (2) | –
Share of other comprehensive income/(expense) | 7 | (9) | 28
Share of total comprehensive income/(expense) | 2 | (11) | 28

The Group’s sales to associates and joint ventures were £nil in 2023 (2022: £nil; 2021: £nil).
Please refer to the balance sheet information on Note 21, 'Investments in associates and joint ventures'.

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Notes to the financial statements continued

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14. Taxation

The Group’s tax charge is the sum of the total current and deferred tax expense.

Taxation charge based on profits for the year | 2023 £m | 2022 £m | 2021 £m
UK current year charge | 207 | 200 | 119
Rest of World current year charge | 1,371 | 1,351 | 593
Charge/(credit) in respect of prior periods | 43 | (60) | 219
Current taxation | 1,621 | 1,491 | 931
Deferred taxation | (865) | (784) | (848)
| 756 | 707 | 83

In 2023 , GSK made corporate income tax payments globally of £1.3 billion (2022: £1.5 billion), of which £205 million (2022: £48
million) was UK corporation tax paid to HMRC. These amounts are for corporate income tax only, and do not include the various
other business taxes borne by GSK each year.
The deferred tax credits in each period reflect current year losses where offset against taxable profits in future periods is probable
and the release of deferred tax liabilities. The latter relates primarily to the unwind of deferred tax liabilities on intangible assets.
The following table reconciles the tax charge calculated at the UK statutory rate on the Group profit before tax with the actual tax
charge for the year.

Reconciliation of taxation on Group profits | 2023 £m | 2023 % | 2022 £m | 2022 % | 2021 £m | 2021 %
Profit before tax | 6,064 |  | 5,628 |  | 3,599 |
UK statutory rate of taxation | 1,425 | 23.5 | 1,069 | 19.0 | 685 | 19.0
Differences in overseas taxation rates | 159 | 2.6 | 318 | 5.6 | 302 | 8.4
Benefit of intellectual property incentives | (696) | (11.5) | (600) | (10.7) | (382) | (10.6)
R&D credits | (121) | (2.0) | (119) | (2.1) | (100) | (2.8)
Permanent differences on disposals, acquisitions and transfers | 10 | 0.2 | 275 | 4.9 | (3) | (0.1)
Other permanent differences | 102 | 1.7 | 82 | 1.5 | (4) | (0.1)
Re-assessments of prior year current tax estimates | 43 | 0.7 | (60) | (1.1) | 219 | 6.1
Re-assessments of prior year deferred tax estimates | (147) | (2.4) | (233) | (4.1) | (281) | (7.8)
Changes in tax rates | (19) | (0.3) | (25) | (0.4) | (353) | (9.8)
Tax charge/tax rate | 756 | 12.5 | 707 | 12.6 | 83 | 2.3

As a global biopharmaceutical company, we have a substantial business and employment presence in many countries around the
world. The impact of differences in overseas taxation rates arose from profits being earned in countries with tax rates higher than
the UK statutory rate, the most significant of which in 2023 were Belgium and Japan. This adverse impact was offset by the benefit
of intellectual property incentives such as the UK Patent Box and Belgian Innovation Income Deduction regimes, which provide a
reduced rate of corporation tax on profits earned from qualifying patents. We claim these incentives in the manner intended by the
relevant statutory or regulatory framework.
Permanent differences on disposals, acquisitions and transfers in 2022 includes tax on internal restructuring to simplify the group
structure.
The Group’s tax rate is also influenced by updates to estimates of prior period tax liabilities following closure of open issues with tax
authorities in various jurisdictions and changes in tax rates. The cumulative impact of these items in 2023 is a 2% reduction in the
tax rate.
In 2021, ‘Changes in tax rates’ included credits in relation to the enactment of the increase in the headline rate of UK corporate
income tax from 19% to 25% (effective 2023).
Future tax charges, and therefore our effective tax rate, may be affected by factors such as acquisitions, disposals, restructurings,
the location of research and development activity, tax regime reforms and resolution of open matters as we continue to bring our
tax affairs up to date around the world.
During 2023 the UK Government substantively enacted legislation introducing a global minimum corporate income tax rate, to have
effect from 2024 in line with the Organisation for Economic Co-operation and Development’s (OECD) Pillar Two model framework.
We anticipate that the rules will restrict our ability to benefit from innovation incentives, such as the UK and Belgium Patent Box
regimes, and consequently our underlying effective tax rate is forecast to increase by around 2% from 2024.

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Notes to the financial statements continued

203

Tax on items charged to equity and statement of comprehensive income | 2023 £m | 2022 £m | 2021 £m
Current taxation |  |  |
Share-based payments | (1) | (3) | –
Defined benefit plans | (143) | – | –
Fair value movements on cash flow hedges | – | – | 5
Fair value movements on equity investments | (6) | 12 | 36
| (150) | 9 | 41
Deferred taxation |  |  |
Share-based payments | (6) | 11 | (11)
Defined benefit plans | 184 | (211) | 223
Fair value movements on cash flow hedges | (1) | (9) | 3
Fair value movements on equity investments | (8) | (68) | (167)
| 169 | (277) | 48
Total charge/(credit) to equity and statement of comprehensive income | 19 | (268) | 89

All of the above items have been charged to the statement of comprehensive income except for tax on share based payments.
Issues relating to taxation
The integrated nature of the Group’s worldwide operations involves significant investment in research and strategic manufacture at
a limited number of locations, with consequential cross-border supply routes into numerous end-markets. In line with current OECD
guidelines, we base our transfer pricing policy on the arm’s length principle and support our transfer prices with economic analysis
and reports. However, different tax authorities may seek to attribute further profit to activities being undertaken in their jurisdiction
potentially resulting in double taxation. The Group also has open items in several jurisdictions concerning such matters as the
deductibility of particular expenses and the tax treatment of certain business transactions. GSK applies a risk based approach to
determine the transactions most likely to be subject to challenge and the probability that the Group would be able to obtain
compensatory adjustments under international tax treaties.
The calculation of the Group’s total tax charge therefore necessarily involves a degree of estimation and judgement in respect of
certain items whose tax treatment cannot be finally determined until resolution has been reached with the relevant tax authority or,
as appropriate, through a formal legal process. At 31 December 2023 the Group had recognised provisions of £584 million in
respect of such uncertain tax positions (2022: £551 million). The net increase in recognised provisions during 2023 was driven by the
reassessment of estimates, the agreement of a number of open issues with tax authorities in various jurisdictions and amounts
related to discontinued operations. Whilst the ultimate liability for such matters may vary from the amounts provided and is
dependent upon the outcome of agreements with the relevant tax authorities, or litigation where appropriate, the Group continues
to consider that it has made appropriate provision for periods which are open and not yet agreed by the tax authorities.
A provision for deferred tax liabilities of £165 million as at 31 December 2023 (2022: £157 million) has been made in respect of
taxation that would be payable on the remittance of profits by certain overseas subsidiaries. Whilst the aggregate amount of
unremitted profits at the balance sheet date was approximately £18 billion (2022: £16 billion), the majority of these unremitted
profits would not be subject to tax (including withholding tax) on repatriation, as UK legislation relating to company distributions
provides for exemption from tax for most overseas profits, subject to certain exceptions. Deferred tax is not provided on temporary
differences of £869 million (2022: £660 million) arising on unremitted profits as management has the ability to control any future
reversal and does not consider such a reversal to be probable.

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Notes to the financial statements continued
14. Taxation continued |

204
Movement in deferred tax assets and liabilities

| Accelerated capital allowances £m | Intangible assets £m | Contingent consideration £m | Intra- Group profit £m | Pensions & other post employment benefits £m | Tax losses £m | Share option and award schemes £m | Other net temporary differences £m | Total
At 1 January 2022 | (211) | (3,711) | 850 | 999 | 640 | 1,450 | 91 | 1,554 | 1,662
Exchange adjustments | (29) | (264) | – | (40) | 64 | 6 | 1 | 160 | (102)
Credit/(charge) to income statement | 122 | 126 | 142 | 258 | (32) | 104 | (22) | 190 | 888
Credit/(charge) to statement of comprehensive income | – | – | – | – | 182 | 42 | (11) | (12) | 201
Acquisitions/Disposals | (1) | (637) | – | – | – | 67 | – | 76 | (495)
R&D credits utilisation | – | – | – | – | – | – | – | (76) | (76)
Transfer of assets for sale/distribution | 62 | 3,667 | – | (118) | (60) | (8) | (2) | (250) | 3,291
At 31 December 2022 | (57) | (819) | 992 | 1,099 | 794 | 1,661 | 57 | 1,642 | 5,369
Exchange adjustments | 11 | 58 | – | (70) | (24) | (2) | – | (100) | (127)
Credit/(charge) to income statement | 72 | 229 | (71) | 223 | (15) | 335 | 12 | 80 | 865
Credit/(charge) to statement of comprehensive income | – | – | – | – | (184) | – | 5 | 10 | (169)
Acquisitions/Disposals | – | (144) | – | – | – | – | – | – | (144)
R&D credits utilisation | – | – | – | – | – | – | – | (56) | (56)
At 31 December 2023 | 26 | (676) | 921 | 1,252 | 571 | 1,994 | 74 | 1,576 | 5,738

Deferred tax liabilities in relation to intangible assets predominately relate to temporary differences arising as a result of historic
business combinations. Acquisitions within the year predominantly relate to Bellus Health (see Note 41, 'Acquisitions and disposals').
The Group continues to recognise deferred tax assets on future obligations in respect of contingent consideration amounts payable
to minority shareholders. These payments are tax deductible at the point in time at which payment is made.
A deferred tax asset is recognised on intra-Group profits arising on inter-company inventory which are eliminated within the
consolidated accounts. As intra-Group profits are not eliminated from the individual entities’ tax returns a temporary difference
arises that will reverse at the point in time inventory is sold externally.
The deferred tax asset of £1,994 million (2022: £1,661 million) recognised on tax losses relates to trading losses. Such deferred tax
assets are only recognised to the extent Group long-range forecasts indicate sufficient future taxable profits will be available to
utilise such assets by around 2030. Other net temporary differences included accrued expenses for which a tax deduction is only
available on a paid basis.
Deferred tax asset and liabilities are recognised on the balance sheet as follows:

| 2023 £m | 2022 £m
Deferred tax assets | 6,049 | 5,658
Deferred tax liabilities | (311) | (289)
| 5,738 | 5,369

|  | 2023 |  | 2022
Unrecognised tax losses | Tax losses £m | Unrecognised deferred tax asset £m | Tax losses £m | Unrecognised deferred tax asset £m
Trading losses expiring: |  |  |  |
Within 10 years | 939 | 149 | 967 | 175
More than 10 years | 1,238 | 66 | 44 | 13
Available indefinitely | 228 | 47 | 192 | 41
At 31 December | 2,405 | 262 | 1,203 | 229
Capital losses expiring: |  |  |  |
Available indefinitely | 2,261 | 567 | 2,326 | 548
At 31 December | 2,261 | 567 | 2,326 | 548

Deferred tax assets are only recognised where it is probable that future taxable profit will be available to utilise losses.

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Notes to the financial statements continued
14. Taxation continued |

205

15. Earnings per share

| 2023 pence | 2022 pence | 2021 pence
Basic earnings per share from continuing operations | 121.6 | 110.8 | 82.9
Basic earnings per share from discontinued operations | – | 260.6 | 26.7
Total basic earnings per share | 121.6 | 371.4 | 109.6
Diluted earnings per share from continuing operations | 119.9 | 109.2 | 81.8
Diluted earnings per share from discontinued operations | – | 257.0 | 26.4
Total diluted earnings per share | 119.9 | 366.2 | 108.2

Basic earnings per share has been calculated by dividing the profit attributable to shareholders by the weighted average number of
shares in issue during the period after deducting shares held by the ESOP Trusts for the future exercise of share options and share
awards and Treasury shares. The trustees have waived their rights to cash dividends on the GSK shares held by the ESOP Trusts.
Diluted earnings per share has been calculated after adjusting the weighted average number of shares used in the basic
calculation to assume the conversion of all potentially dilutive shares. A potentially dilutive share forms part of the employee share
schemes where its exercise price is below the average market price of GSK shares during the period and any performance
conditions attaching to the scheme have been met at the balance sheet date.
The numbers of shares used in calculating basic and diluted earnings per share are reconciled below.

Weighted average number of shares in issue | 2023 millions | 2022 millions | 2021 millions
Basic | 4,052 | 4,026 | 4,003
Dilution for share options and awards | 59 | 58 | 49
Diluted | 4,111 | 4,084 | 4,052

16. Dividends

|  |  | 2023 |  |  | 2022 |  |  | 2021
| Paid/payable | Dividend per share (pence) | Total dividend £m | Paid | Dividend per share (pence) | Total dividend £m | Paid | Dividend per share (pence) | Total dividend £m
First interim | 13 July 2023 | 14.00 | 567 | 1 July 2022 | 17.50 | 704 | 8 July 2021 | 23.75 | 951
Second interim | 12 October 2023 | 14.00 | 568 | 6 October 2022 | 16.25 | 654 | 7 October 2021 | 23.75 | 951
Third interim | 11 January 2024 | 14.00 | 568 | 12 January 2023 | 13.75 | 555 | 13 January 2022 | 23.75 | 952
Fourth interim | 11 April 2024 | 16.00 | 649 | 13 April 2023 | 13.75 | 557* | 7 April 2022 | 28.75 | 1,157
Total |  | 58.00 | 2,352 |  | 61.25 | 2,470 |  | 100 | 4,011

*The estimate for the fourth interim dividend for 2022 disclosed in the 2022 annual report was £555 million, £2 million less than the dividend that was ultimately paid.
Under IFRS, interim dividends are only recognised in the financial statements when paid and not when declared. GSK normally pays
a dividend two quarters after the quarter to which it relates and one quarter after it is declared. The 2023 financial statements
recognise those dividends paid in 2023, namely the third and fourth interim dividends for 2022, and the first and second interim
dividends for 2023.
The demerger of Consumer Healthcare in 2022 was effected by GSK declaring an interim dividend in specie of Haleon plc shares.
The fair value of the distribution was £15,526 million.
The amounts recognised in each year were as follows:

| 2023 £m | 2022 £m | 2021 £m
Cash dividends to shareholders | 2,247 | 3,467 | 3,999
Dividends in specie to shareholders in Haleon plc shares (Note 41) | – | 15,526 | –
| 2,247 | 18,993 | 3,999

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Notes to the financial statements continued

206

17. Property, plant and equipment

| Land and buildings £m | Plant, equipment and vehicles £m | Assets in construction £m | Total £m
Cost at 1 January 2022 | 7,212 | 11,816 | 1,750 | 20,778
Exchange adjustments | 403 | 542 | 105 | 1,050
Additions through business combinations | 5 | 8 | 17 | 30
Other additions | 13 | 79 | 1,153 | 1,245
Capitalised borrowing costs | – | – | 21 | 21
Disposals and write-offs | (64) | (222) | (5) | (291)
Reclassifications | 146 | 689 | (874) | (39)
Transfer to assets held for sale/distribution | (1,067) | (1,959) | (317) | (3,343)
Cost at 31 December 2022 | 6,648 | 10,953 | 1,850 | 19,451
Exchange adjustments | (189) | (265) | (44) | (498)
Additions through business combinations | – | – | – | –
Other additions | 11 | 99 | 1,185 | 1,295
Capitalised borrowing costs | – | – | 36 | 36
Disposals and write-offs | (136) | (732) | (16) | (884)
Reclassifications | 134 | 701 | (869) | (34)
Transfer to assets held for sale/distribution | (13) | (52) | (22) | (87)
Cost at 31 December 2023 | 6,455 | 10,704 | 2,120 | 19,279
Depreciation at 1 January 2022 | (3,281) | (6,744) | – | (10,025)
Exchange adjustments | (191) | (310) | – | (501)
Charge for the year | (226) | (726) | – | (952)
Disposals and write-offs | 47 | 181 | – | 228
Transfer to assets held for sale/distribution | 376 | 1,130 | – | 1,506
Depreciation at 31 December 2022 | (3,275) | (6,469) | – | (9,744)
Exchange adjustments | 90 | 153 | – | 243
Charge for the year | (210) | (682) | – | (892)
Disposals and write-offs | 66 | 662 | – | 728
Transfer to assets held for sale/distribution | 6 | 29 | – | 35
Reclassifications | – | (4) | – | (4)
Depreciation at 31 December 2023 | (3,323) | (6,311) | – | (9,634)
Impairment at 1 January 2022 | (264) | (514) | (43) | (821)
Exchange adjustments | (9) | (14) | (1) | (24)
Disposals and write-offs | 9 | 47 | 5 | 61
Impairment losses | (33) | (45) | (5) | (83)
Reversal of impairments | – | 9 | – | 9
Transfer to assets held for sale/distribution | 37 | 45 | 2 | 84
Impairment at 31 December 2022 | (260) | (472) | (42) | (774)
Exchange adjustments | 4 | 7 | 1 | 12
Disposals and write-offs | 27 | 114 | 13 | 154
Impairment losses | (11) | (32) | – | (43)
Reversal of impairments | 3 | 23 | – | 26
Transfer to assets held for sale/distribution | – | – | – | –
Reclassifications | – | – | – | –
Impairment at 31 December 2023 | (237) | (360) | (28) | (625)
Total depreciation and impairment at 31 December 2022 | (3,535) | (6,941) | (42) | (10,518)
Total depreciation and impairment at 31 December 2023 | (3,560) | (6,671) | (28) | (10,259)
Net book value at 1 January 2022 | 3,667 | 4,558 | 1,707 | 9,932
Net book value at 31 December 2022 | 3,113 | 4,012 | 1,808 | 8,933
Net book value at 31 December 2023 | 2,895 | 4,033 | 2,092 | 9,020

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Notes to the financial statements continued

207
The weighted average interest rate for capitalised borrowing costs in the year was 4% ( 2022 : 4%). Disposals and write-offs in the
year included a number of assets with nil net book value that are no longer in use in the business.
The impairment losses principally arose from decisions to rationalise facilities and were calculated based on fair value less costs of
disposal. The fair value less costs of disposal valuation methodology uses significant inputs which are not based on observable
market data, and therefore this valuation technique is classified as level 3 of the fair value hierarchy. These calculations determine
the net present value of the projected risk-adjusted, post-tax cash flows of the relevant asset or cash generating unit, applying a
discount rate of the Group post-tax weighted average cost of capital (WACC) of 7%, adjusted where appropriate for specific
segment, country and currency risk.
Assets that continue to be used by the Group are generally assessed as part of their associated cash generating unit on a value in
use basis. For value in use calculations, the post-tax cash flows do not include the impact of future uncommitted restructuring plans
or improvements. Where an impairment is indicated and a pre-tax cash flow calculation is expected to give a materially different
result, the test would be reperformed using pre-tax cash flows and a pre-tax discount rate. The Group WACC is equivalent to a pre-
tax discount rate of approximately 9%.
Net impairment reversals have been credited to cost of sales: £1 million (2022: net impairment losses £11 million) and R&D: £5 million
(2022: net impairment losses £7 million). Net impairment losses have been charged to SG&A: £23 million (2022: £55 million), after
charging impairment losses of £27 million (2022: £34 million) arising from the Major restructuring programmes.
Reversals of impairment arose from subsequent reviews of the impaired assets where the conditions which gave rise to the original
impairments were deemed no longer to apply. £17 million of the impairment reversal has been credited to cost of sales, £5 million of
the impairment reversal has been credited to R&D expenses and £4 million of the impairment reversal has been credited to SG&A.
During 2022, the full impairment reversal of £9 million was credited to cost of sales.
During 2023, £34 million (2022: £39 million) of computer software was reclassified from assets in construction to intangible assets
on becoming ready for use.
The Group has assessed the qualitative and quantitative impact of climate related risks on asset recoverable amounts and
concluded that there are no material impairments. As of 31 December 2023, £53 million has been capitalised in property, plant and
equipment regarding the transition to a lower-carbon propellant.

18. Right of use assets

| Land and buildings £m | Plant and equipment £m | Vehicles £m | Total £m
Net book value at 1 January 2022 | 633 | 9 | 98 | 740
Exchange adjustments | 47 | – | 8 | 55
Additions through business combinations | 53 | – | – | 53
Other additions | 140 | 2 | 91 | 233
Depreciation | (131) | (3) | (58) | (192)
Transfer to assets held for sale/distribution | (115) | (1) | (11) | (127)
Disposals | (27) | (1) | (8) | (36)
Impairments | (39) | – | – | (39)
Net book value at 31 December 2022 | 561 | 6 | 120 | 687
Exchange adjustments | (30) | – | (6) | (36)
Additions through business combinations | 1 | – | – | 1
Other additions | 355 | – | 144 | 499
Depreciation | (121) | (2) | (67) | (190)
Transfer to assets held for sale/distribution | – | – | – | –
Disposals | (11) | – | (9) | (20)
Impairments | (10) | – | – | (10)
Reclassifications | 6 | – | – | 6
Net book value at 31 December 2023 | 751 | 4 | 182 | 937

The Group has entered into some commitments for lease contracts that have not yet commenced. See Note 36, 'Commitments'.
An analysis of lease liabilities is set out in Note 30, ‘Net debt’.

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Notes to the financial statements continued
17. Property, plant and equipment continued |

208

19. Goodwill

| 2023 £m | 2022 £m
Cost at 1 January | 7,046 | 10,552
Exchange adjustments | (313) | 550
Additions through business combinations (Note 41) | 109 | 1,127
Other movements (Note 41) | (31) | –
Transfer to assets held for sale/distribution | – | (5,183)
Cost at 31 December | 6,811 | 7,046
Net book value at 1 January | 7,046 | 10,552
Net book value at 31 December | 6,811 | 7,046

All goodwill is allocated to the Group’s segments as follows:

| 2023 £m | 2022 £m
Commercial operations | 5,951 | 6,148
Total R&D | 860 | 898
Net book value at 31 December | 6,811 | 7,046

The recoverable amounts of the cash generating units are assessed using a fair value less costs of disposal model. Fair value less
costs of disposal is calculated using a discounted cash flow approach, with a post-tax discount rate applied to the projected risk-
adjusted post-tax cash flows and terminal value.
The discount rate used is based on the Group WACC of 7% (2022: 7%), as most cash generating units have integrated operations
across large parts of the Group. The discount rate is adjusted where appropriate for specific segment, country and currency risks.
The valuation methodology uses significant inputs which are not based on observable market data, therefore this valuation
technique is classified as level 3 in the fair value hierarchy.
The R&D segment is evaluated on an arm's length pricing model, see assumptions below.
Details relating to the discounted cash flow models used in the impairment tests are as follows:

Valuation basis | Fair value less costs of disposal |  |
Key assumptions | Sales growth rates Profit margins Terminal growth rate Discount rate Taxation rate |  |
Determination of assumptions | Growth rates are internal forecasts based on both internal and external market information. Margins reflect past experience, adjusted for expected changes. Terminal growth rates based on management’s estimate of future long-term average growth rates. Discount rates based on Group WACC, adjusted where appropriate. Taxation rates based on appropriate rates for each jurisdiction.
Period of specific projected cash flows | Five years |  |
Terminal growth rate and discount rate |  | Terminal growth rate | Discount rate
| 2023 |  |
| Commercial operations | 0% p.a | 7% p.a
| R&D | 0% p.a | 7% p.a
| 2022 |  |
| Commercial operations | 0% p.a | 7% p.a
| R&D | 0% p.a | 7% p.a

The terminal growth rate does not exceed the long-term projected growth rates for relevant markets, reflects the impact of future
generic competition and take account of new product launches. Goodwill is monitored for impairment at the segmental level and
the valuations indicated sufficient headroom such that a reasonably possible change to key assumptions is unlikely to result in an
impairment of the related goodwill.
The Group has assessed the qualitative and quantitative impact of climate related risks on asset recoverable amounts and
concluded that there are no material impairments.

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Notes to the financial statements continued

209

20. Other intangible assets

| Computer software £m | Licences, patents, amortised brands £m | Indefinite life brands £m | Total £m
Cost at 1 January 2022 | 2,424 | 21,439 | 18,626 | 42,489
Exchange adjustments | 63 | 934 | 1,112 | 2,109
Capitalised development costs | – | 317 | – | 317
Additions through business combinations | – | 2,964 | – | 2,964
Other additions | 149 | 626 | – | 775
Disposals and asset write-offs | (203) | (33) | – | (236)
Transfer to assets held for sale/distribution | (513) | (496) | (19,772) | (20,781)
Reclassifications | 39 | (34) | 34 | 39
Cost at 31 December 2022 | 1,959 | 25,717 | – | 27,676
Exchange adjustments | (30) | (664) | – | (694)
Capitalised development costs | – | 363 | – | 363
Additions through business combinations | – | 1,438 | – | 1,438
Other additions | 144 | 525 | – | 669
Disposals and asset write-offs | (125) | (13) | – | (138)
Transfer to assets held for sale/distribution | 2 | – | – | 2
Reclassifications | 34 | (3) | – | 31
Cost at 31 December 2023 | 1,984 | 27,363 | – | 29,347
Amortisation at 1 January 2022 | (1,369) | (8,262) | – | (9,631)
Exchange adjustments | (33) | (307) | – | (340)
Charge for the year | (204) | (931) | – | (1,135)
Disposals and asset write-offs | 129 | 19 | – | 148
Transfer to assets held for sale | 254 | 300 | – | 554
Amortisation at 31 December 2022 | (1,223) | (9,181) | – | (10,404)
Exchange adjustments | 18 | 174 | – | 192
Charge for the year | (203) | (1,009) | – | (1,212)
Disposals and asset write-offs | 100 | 8 | – | 108
Transfer to assets held for sale/distribution | (3) | – | – | (3)
Reclassifications | 4 | 1 | – | 5
Amortisation at 31 December 2023 | (1,307) | (10,007) | – | (11,314)
Impairment at 1 January 2022 | (91) | (2,480) | (208) | (2,779)
Exchange adjustments | (2) | (138) | (1) | (141)
Impairment losses | (72) | (313) | (17) | (402)
Transfer to assets held for sale/distribution | 10 | 34 | 226 | 270
Reversal of impairments | 1 | 17 | – | 18
Disposals and asset write-offs | 73 | 7 | – | 80
Impairment at 31 December 2022 | (81) | (2,873) | – | (2,954)
Exchange adjustments | 1 | 70 | – | 71
Impairment losses | (23) | (398) | – | (421)
Transfer to assets held for sale/distribution | – | – | – | –
Reversal of impairments | 3 | – | – | 3
Disposals and asset write-offs | 25 | 11 | – | 36
Impairment at 31 December 2023 | (75) | (3,190) | – | (3,265)
Total amortisation and impairment at 31 December 2022 | (1,304) | (12,054) | – | (13,358)
Total amortisation and impairment at 31 December 2023 | (1,382) | (13,197) | – | (14,579)
Net book value at 1 January 2022 | 964 | 10,697 | 18,418 | 30,079
Net book value at 31 December 2022 | 655 | 13,663 | – | 14,318
Net book value at 31 December 2023 | 602 | 14,166 | – | 14,768

The weighted average interest rate for capitalised borrowing costs in the year was 4% ( 2022 : 4%).
The net book value of computer software included £270 million (2022: £479 million) of internally generated costs.
The carrying value at 31 December 2023 of intangible assets, for which impairments have been charged in the year following those
impairments, was £533 million (2022 : £83 million), resulting from the appraisal of GSK’s assumptions related to in-licences and
collaboration agreements. The carrying value at 31 December 2023 of intangible assets, for which impairment reversals have been
charged in the year following those impairment reversals, was £nil million (2022: £776 million). No individual intangible asset
accounted for a material impairment.

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Notes to the financial statements continued

210
The patent expiry dates of the Group’s most significant assets, where relevant, are set out on pages 281 to 283. Please refer to Note
2, 'Accounting principles and policies' to the Group’s accounting policy and estimate of the useful life for intangible assets over the
exclusivity and non-exclusivity periods.
Amortisation and impairment losses, net of reversals, have been charged in the income statement as follows:

| Amortisation | Net impairment losses
| 2023 £m | 2022 £m | 2023 £m | 2022 £m
Cost of sales | 668 | 663 | 1 | 2
Selling, general and administration | 103 | 116 | 18 | 66
Research and development | 441 | 307 | 399 | 299
| 1,212 | 1,086 | 418 | 367

Licences, patents, amortised brands etc. includes a large number of acquired licences, patents, know-how agreements and
marketing rights, which are either marketed or in use, or still in development. Note 41, ‘Acquisitions and disposals’ gives details of
additions through business combinations in the year. The book values of the largest individual items are as follows:

| 2023 £m | 2022 £m
Tesaro Assets | 2,656 | 2,858
Meningitis Portfolio | 1,717 | 1,855
Momelotinib | 1,470 | 1,499
Camlipixant | 1,438 | –
Affinivax Assets | 1,429 | 1,473
Dolutegravir (including Cabotegravir) | 1,059 | 1,150
Iteos Assets | 443 | 443
Alector Assets | 425 | 509
Benlysta | 424 | 541
Shingrix | 289 | 288
Okairos | 198 | 202
BMS Assets | 191 | 196
CureVac Assets | 191 | 178
Spero | 163 | 163
RSV | 139 | 40
Relvar/Breo/Anoro | 125 | 181
Stiefel Trade Name | 116 | 142
Wave Life Sciences | 116 | –
UCB | 115 | 137
Arrowhead | 114 | 90
DT | 104 | 115
Fluarix/FluLaval | 100 | 147
Vir Assets | 1 | 159
Others | 1,143 | 1,297
| 14,166 | 13,663

After announcement on 13 December 2022, GSK and Wave Life Sciences Ltd. entered into a strategic collaboration in January
2023, to advance oligonucleotide therapeutics focusing on novel genetic targets.
On 28 June 2023, GSK has completed the acquisition of Bellus Health Inc, a late-stage biopharmaceutical company. The
acquisition provides GSK access t o camlipixant. (Refer to Note 41, 'Acquisitions and disposals').
The Group does not consider that any reasonably possible changes in the key assumptions would cause the recoverable amount of
the intangible assets disclosed above to fall below their carrying values.
The Group has assessed the qualitative and quantitative impact of climate related risks on asset recoverable amounts and
concluded that there are no material impairments.

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Notes to the financial statements continued
20. Other intangible assets continued |

211

21. Investments in associates and joint ventures

| Joint ventures £m | Associates £m | 2023 Total £m | Joint ventures £m | Associates £m | 2022 Total £m
At 1 January | 10 | 64 | 74 | 12 | 76 | 88
Exchange adjustments | – | (3) | (3) | 1 | 1 | 2
Additions | – | – | – | – | 1 | 1
Disposals | (7) | – | (7) | – | – | –
Distributions received | – | (11) | (11) | – | (6) | (6)
Net fair value movements through other comprehensive income | – | 7 | 7 | – | (9) | (9)
Impairment of interest in associates | – | – | – | – | – | –
Profit/(loss) after tax recognised in the consolidated income statement | (3) | (2) | (5) | (3) | 1 | (2)
At 31 December | – | 55 | 55 | 10 | 64 | 74

During the year, the Group disposed of an investment in a joint venture for £nil consideration.
Please refer to the income statement information in Note 13, 'Associates and joint ventures'.

22. Current equity investments

Current |  |  |  |  | Investments measured at FVTPL 2023 £m | Investments measured at FVTPL 2022 £m
At 1 January |  |  |  |  | 4,087 | –
Additions |  |  |  |  | – | 3,852
Net fair value movements through profit or loss |  |  |  |  | (17) | 233
Disposals and Settlements |  |  |  |  | (1,863) | –
Exchange adjustments |  |  |  |  | (3) | 2
At 31 December |  |  |  |  | 2,204 | 4,087

Current equity investments represent Haleon plc shares held after the demerger of Consumer Healthcare. Shares are held for
trading and measured at fair value through profit or loss (FVTPL) based on the Haleon plc share price. Changes in fair value are
presented as Other operating income/(expense) in continuing operations. The Group’s investment in Haleon plc at the end of
December 2023 is held by Glaxo Group Limited, 2.8% (2022: 5.4%), GSK Scottish Limited Pa rtnership (No.1), 4.6% (2022: 4.7%), GSK
Scottish Limited Partnership (No.2), nil (2022: 1.8%), GSK Scottish Limited Partnership (No.3), nil (2022: 1.0%) and the ESOP Trusts, nil
(2022: 0.6%).

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Notes to the financial statements continued

212

23. Other investments

Non-current | Investments designated as measured at FVTOCI £m | Investments measured at FVTPL £m | 2023 £m | Investments designated as measured at FVTOCI £m | Investments measured at FVTPL £m | 2022 £m
1 January | 1,153 | 314 | 1,467 | 1,927 | 199 | 2,126
Exchange adjustments | (26) | (15) | (41) | 75 | 25 | 100
Additions | 93 | 29 | 122 | 87 | 63 | 150
Net fair value movements through other comprehensive income | (253) | – | (253) | (716) | – | (716)
Net fair value movements through profit or loss | – | (122) | (122) | – | 27 | 27
Held for sale | (16) | – | (16) | – | – | –
Disposals | (20) | – | (20) | (220) | – | (220)
31 December | 931 | 206 | 1,137 | 1,153 | 314 | 1,467

Non-current other investments comprise non-current equity investments which are recorded at fair value at each balance sheet
date. For investments traded in an active market, the fair value is determined by reference to the relevant stock exchange quoted
bid price. For other investments, the fair value is estimated by management with reference to relevant available information,
including the current market value of similar instruments, recent financing rounds and discounted cash flows of the underlying net
assets. Net f air value movements include the impact of exchange losses of £37 million through Other comprehensive income and
£nil through profit or loss (2022: gains of £134 million through Other comprehensive income and £nil through profit or loss). Other
investments include listed investments of £741 million (2022: £823 million).
GSK has elected to designate the majority of its equity investments as measured at fair value through Other comprehensive income
(FVTOCI). The most significant of these investments held at 31 December 2023 were in Crispr Therapeutics AG, which had a fair
value at 31 December 2023 of £158 million (2022: £109 million) and Vir Biotechnology.Inc. which had a fair value at 31 December
2023 of £67 million (2022: £180 million). The fair value of the investment in Nimbus Therapeutics, LLC, disclosed as a significant
investment at 31 December 2022, was £5 million at 31 December 2023 (2022: £139 million). T he other investments include equity
stakes in companies with which GSK has research collaborations and in companies which provide access to biotechnology
developments of potential interest.
On disposal of equity investments measured at FVTOCI, the accumulated fair value movements are reclassified from the fair value
reserve to retained earnings. Investments measured at FVTOCI with a fair value of £20 million (2022: £220 million) were disposed of
during the year. The cumulative loss on these investments after tax was £26 million (2022: gain of £14 million).
Certain other investments, such as investments in funds with limited lives and investments acquired with an intention to sell, are
measured at fair value through profit or loss (FVTPL). The most significant of these investments held at 31 December 2023 was SR
One Capital Fund I-B, LP which had a fair value at 31 December 20 23 of £102 million (2022: £211 million).

24. Other non-current assets

| 2023 £m | 2022 £m
Amounts receivable under insurance contracts | 854 | 857
Pension schemes in surplus | 634 | 229
Other receivables | 96 | 108
| 1,584 | 1,194

Amounts receivable under insurance contracts are held at cash surrender value with movements through profit or loss.
Within the other receivables of £96 million (2022 : £108 million), £27 million (2022 : £34 million) is classified as financial assets of
which £18 million ( 2022: £13 million) is classified as fair value through profit or loss. On the remaining balance of £9 million
(2022: £21 million), the expected credit loss allowance was immaterial at 31 December 2023 and 2022 .
Other receivables include £7 million relating to carbon-based nature removal projects (2022: £2 million).

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25. Inventories

| 2023 £m | 2022 £m
Raw materials and consumables | 1,594 | 1,576
Work in progress | 2,449 | 2,286
Finished goods | 1,455 | 1,284
| 5,498 | 5,146

As part of the TCFD one of the climate-related risks identified affects the metered dose inhalers (MDI). There is no impac t on the
recoverable value of the associated inventories held at year end.

26. Trade and other receivables

| 2023 £m | 2022 £m
Trade receivables, net of loss allowance | 5,905 | 5,452
Accrued income | 69 | 19
Prepayments | 355 | 343
Interest receivable | 2 | 2
Employee loans and advances | 9 | 11
Other receivables | 1,045 | 1,226
| 7,385 | 7,053

There were no trade or other receivable balances (2022 : £nil) due from associates and joint ventures. The most significant
component of other receivables comprises receivables for indirect and other taxes of £565 million (2022: £492 million). Other
significant balances within other receivables are royalties receivable of £226 million (2022: £188 million) and an amount receivable
from collaboration partners of £nil (2022: £263 million).

Loss allowance - trade receivables | 2023 £m | 2022 £m
At 1 January | 91 | 150
Exchange adjustments | (6) | 9
Charge for the year | 11 | 35
Transfer to assets held for sale | – | (60)
Subsequent recoveries of amounts provided for | (9) | (19)
Utilised | (2) | (24)
At 31 December | 85 | 91

Of the total trade receivables balance, £10 million (2022: £58 million) is considered credit impaired, against which a £8 million
(2022: £26 million) expected credit loss allowance has been applied. No amount was purchased or originated credit impaired.
Within the other receivables of £1,045 million ( 2022: £1,226 million), £408 million (2022: £683 million) is classified as financial assets
of which £nil (2022: £nil) is classified as held at fair value through profit or loss. At 31 December 2023, an expected credit loss
allowance of £3 million (2022: £6 million) was recognised in respect of financial assets, with a release in expected credit loss
allowance of £3 million (2022: £nil) reported in profit or loss during the year.
For more discussion on credit risk practices, please refer to Note 44, 'Financial instruments and related disclosures'.

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27. Cash and cash equivalents

| 2023 £m | 2022 £m
Cash at bank and in hand | 748 | 879
Cash equivalents | 2,188 | 2,844
| 2,936 | 3,723

Cash and cash equivalents included £190 million ( 2022: £200 million) not available for general use due to restrictions applying in the
subsidiaries where it is held. Restrictions include exchange controls and taxes on repatriation. During 2022, £1,421 million was
transferred to assets held for sale relating to Consumer Healthcare which was demerged during that year (see Note 41, 'Acquisitions
and disposals').

28. Assets held for sale

| 2023 £m | 2022 £m
Property, plant and equipment | 60 | 83
Other | 16 | 15
| 76 | 98

Non-current assets and disposal groups are transferred to assets held for sale when it is expected that their carrying amounts will be
recovered principally through disposal and a sale is considered highly probable. They are held at the lower of carrying amount and
fair value less costs to sell.

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29. Trade and other payables

| 2023 £m | 2022 £m
Trade payables | 3,717 | 3,866
Wages and salaries | 1,683 | 1,488
Social security | 126 | 126
ViiV Healthcare put option | 848 | 1,093
Other payables | 346 | 418
Deferred income | 222 | 299
Customer return and rebate accruals | 6,799 | 6,627
Other accruals | 2,103 | 2,346
| 15,844 | 16,263

Trade and other payables included £nil (2022: £nil) due to associates and joint ventures. The Group provides limited supplier
financing arrangements to certain suppliers. The amounts involved at 31 December 2023 were not material.
Revenue recognised in the year that was included in deferred income at 1 January 2023 was £192 million (2022: £85 million).
Customer return and rebate accruals are provided for by the Group at the point of sale in respect of estimated rebates, discounts or
allowances payable to customers as more fully described in the Group financial review on page 105. At 31 December 2023,
customer return and rebate accruals included £5,781 million (2022: £5,717 million) in respect of US Commercial Operations. Accruals
are made at the time of sale but the actual amounts paid are based on claims made some time after the initial recognition of the
sale. As the amounts are estimated, they may not fully reflect the final outcome and are subject to change dependent upon,
amongst other things, the types of buying group and product sales mix. The level of accrual is reviewed and adjusted quarterly in
light of historical experience of actual amounts paid and any changes in arrangements. Future events could cause the assumptions
on which the accruals are based to change, which could affect the future results of the Group.
Pfizer’s put option over its shareholding in ViiV Healthcare is currently exercisable. Pfizer may request an IPO of ViiV Healthcare at
any time and if either GSK does not consent to such IPO or an offering is not completed within nine months, Pfizer could require GSK
to acquire its shareholding. The amount of the liability for this put option, which is held on the gross redemption basis, is derived
from an internal valuation of the ViiV Healthcare business, utilising both discounted forecast future cash flow and multiples-based
methodologies.
The table below shows on an indicative basis the income statement and balance sheet sensitivity of the Pfizer put option to
reasonably possible changes in key assumptions.

Increase/(decrease) in financial liability and loss/(gain) in Income statement | 2023 £m | 2022 £m
10% increase in sales forecasts* | 84 | 100
15% increase in sales forecasts* | 126 | 149
10% decrease in sales forecasts* | (84) | (99)
15% decrease in sales forecast* | (126) | (149)
1% (100 basis points) increase in discount rate | (18) | (32)
1.50% (150 basis points) increase in discount rate | (26) | (48)
1% (100 basis points) decrease in discount rate | 19 | 35
1.50% (150 basis points) decrease in discount rate | 28 | 53
10 cent appreciation of US Dollar | 54 | 66
15 cent appreciation of US Dollar | 85 | 103
10 cent depreciation of US Dollar | (46) | (56)
15 cent depreciation of US Dollar | (67) | (80)
10 cent appreciation of Euro | 22 | 29
15 cent appreciation of Euro | 34 | 46
10 cent depreciation of Euro | (18) | (24)
15 cent depreciation of Euro | (26) | (35)

*The sales forecast is for ViiV Healthcare sales only in respect of the ViiV Healthcare put option.
Other accruals includes interest accrued on financial liabilities at amortised cos t of £162 million (2022: £207 million).
An explanation of the accounting for ViiV Healthcare is set out on page 84.

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30. Net debt

| Listing exchange |  | 2023 £m | 2022 £m
Current assets: |  |  |  |
Liquid investments |  |  | 42 | 67
Cash and cash equivalents |  |  | 2,936 | 3,723
|  |  | 2,978 | 3,790
Short-term borrowings: |  |  |  |
Commercial paper |  |  | (815) | (1,191)
Bank loans, overdrafts and other |  |  | (191) | (448)
0.125% € Euro Medium Term Note 2023 | London Stock Exchange |  | – | (665)
0.000% € Euro Medium Term Note 2023 | London Stock Exchange |  | – | (443)
0.534% US$ Medium Term Note 2023 | New York Stock Exchange |  | – | (1,038)
3.000% US$ US Medium Term Note 2024 | New York Stock Exchange |  | (784) | –
1.375% € Euro Medium Term Note 2024 | London Stock Exchange |  | (867) | –
Lease liabilities |  |  | (156) | (167)
|  |  | (2,813) | (3,952)
Long-term borrowings: |  |  |  |
3.000% US$ US Medium Term Note 2024 | New York Stock Exchange |  | – | (829)
1.375% € Euro Medium Term Note 2024 | London Stock Exchange |  | – | (884)
4.000% € Euro Medium Term Note 2025 | London Stock Exchange |  | (650) | (663)
3.625% US$ US Medium Term Note 2025 | New York Stock Exchange |  | (783) | (827)
1.000% € Euro Medium Term Note 2026 | London Stock Exchange |  | (608) | (620)
1.250% € Euro Medium Term Note 2026 | London Stock Exchange |  | (867) | (885)
3.000% € Euro Medium Term Note 2027 | London Stock Exchange |  | (434) | (442)
3.375% £ Euro Medium Term Note 2027 | London Stock Exchange |  | (306) | (306)
3.875% US$ US Medium Term Note 2028 | New York Stock Exchange |  | (1,370) | (1,450)
0.883% ¥ Euro Medium Term Note 2028 | London Stock Exchange |  | (235) | –
1.250% £ Euro Medium Term Note 2028 | London Stock Exchange |  | (745) | (744)
3.375% US$ US Medium Term Note 2029 | New York Stock Exchange |  | (778) | (822)
1.375% € Euro Medium Term Note 2029 | London Stock Exchange |  | (433) | (441)
1.750% € Euro Medium Term Note 2030 | London Stock Exchange |  | (650) | (663)
3.125% € Euro Medium Term Note 2032 | London Stock Exchange |  | (604) | (616)
5.250% £ Euro Medium Term Note 2033 | London Stock Exchange |  | (566) | (640)
5.375% US$ US Medium Term Note 2034 | London Stock Exchange |  | (390) | (412)
1.625% £ Euro Medium Term Note 2035 | London Stock Exchange |  | (745) | (744)
6.375% US$ US Medium Note 2038 | New York Stock Exchange |  | (2,139) | (2,264)
6.375% £ Euro Medium Term Note 2039 | London Stock Exchange |  | (627) | (695)
5.250% £ Euro Medium Term Note 2042 | London Stock Exchange |  | (472) | (472)
4.200%US$ US Medium Term Note 2043 | New York Stock Exchange |  | (385) | (408)
4.250% £ Euro Medium Term Note 2045 | London Stock Exchange |  | (366) | (366)
Other long-term borrowings |  |  | (1) | (1)
Lease liabilities |  |  | (1,051) | (841)
|  |  | (15,205) | (17,035)
Net debt |  |  | (15,040) | (17,197)

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Current assets
Liquid investments are classified as financial assets at amortised cost. At 31 December 2023, they included US Treasury Notes and
other government bonds. The effective interest rate on liquid investments at 31 December 2023 was approximately 0.9% (2022:
approximately 0.1%). Liquid investment balances at 31 December 2023 earning interest at floating rates amount to £31 million
(2022: £67 million). Liquid investment balances at 31 December 2023 earning interest at fixed rates amount t o £11 million (2022:
£nil) .
Balances reported within cash and cash equivalents have an original maturity of three months or less. The effective interest rate on
cash and cash equivalents at 31 December 2023 was approximately 4.7% (2022: approximately 3.1%). Cash and cash equivalents at
31 December 2023 earning interest at floating and fixed rates amounted to £2,720 million and £38 million respectively (2022: £3,441
and £10 million) and non-interest bearing holdings amounted to £178 million (2022: £272 million).
GSK’s policy regarding the credit quality of cash and cash equivalents is set out in Note 44, ‘Financial instruments and related
disclosures’.
Short-term borrowings
GSK has a $10 billion (£7.8 billion) US commercial paper programme, of which $850 million (£667 million) was in issue at
31 December 2023 (2022: $900 million (£748 million)). GSK has a £5 billion Euro commercial paper programme, of which €170
million (£148 million) was in issue at 31 December 2023 (2022: €500 million (£443 million)). GSK has a £1.6 billion three-year
committed facility and $2.2 billion (£1.7 billion) 364 day committed facility. The three-year committed facility was agreed in February
2022 and extended by one year in August 2023 to September 2026. The 364-day committed facility was agreed in September
2023. These facilities were undrawn at 31 December 2023.
The weighted average interest rate on commercial paper borrowings at 31 December 2023 was 5.1% (2022: 3.5%).
The weighted average interest rate on current bank loans and overdrafts at 31 December 2023 was 4.6% (2022: 7.8%).
The average effective pre-swap interest rate of notes classified as short-term at 31 December 2023 was 2.4% (2022: 0.4%).
Long-term borrowings
At the year-end, GSK had long-term borrowings of £15.2 billion (2022: £17.0 billion), of w hich £8.7 billion (2022: £11.1 billion) fell due in
more than five years.
During 2023 through a bilateral buyback for outstanding Sterling Notes, GSK repurchased £76m of the 5.250% £ Euro Medium Term
Note 2033 and £69m of the 6.375% £ Euro Medium Term Note 2039.
The average effective pre-swap interest rate of all notes in issue at 31 December 2023 was approximately 3.7% (2022:
approximately 3.5%).
Long-term borrowings repayable after five years carry interest at effective rates between 1.5% and 6.6%, with repayment dates
ranging from 2029 to 2045.
Both effective rates exclude the impact of one-off premiums associated with the early repayment of the Sterling Notes.
Pledged assets
The Group held pledged investments in US Treasury Notes with a par value of $54 million (£42 million), (2022: $56 million
(£47 million)) as security against irrevocable letters of credit issued on the Group’s behalf in respect of the Group’s self-insurance
activity. Provisions in respect of self-insurance are included within the provisions for legal and other disputes discussed in Note 32,
'Other provisions’.
Lease liabilities
The maturity analysis of discounted lease liabilities recognised on the Group balance sheet is as follows:

| 2023 £m | 2022 £m
Rental payments due within one year | 156 | 167
Rental payments due between one and two years | 214 | 201
Rental payments due between two and three years | 134 | 127
Rental payments due between three and four years | 114 | 97
Rental payments due between four and five years | 88 | 80
Rental payments due after five years | 501 | 336
Total lease liabilities | 1,207 | 1,008

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218

31. Pensions and other post-employment benefits

Pension and other post-employment costs | 2023 £m | 2022 £m | 2021 £m
UK pension schemes | 96 | 114 | 185
US pension schemes | 56 | 48 | 40
Other overseas pension schemes | 146 | 154 | 153
Unfunded post-retirement healthcare schemes | 58 | 53 | 37
| 356 | 369 | 415
Analysed as: |  |  |
Funded defined benefit/hybrid pension schemes | 134 | 152 | 231
Unfunded defined benefit pension schemes | 35 | 31 | 23
Unfunded post-retirement healthcare schemes | 58 | 53 | 37
Defined benefit schemes | 227 | 236 | 291
Defined contribution pension schemes | 129 | 133 | 124
| 356 | 369 | 415
The costs of the defined benefit pension and post-retirement healthcare schemes are charged in the income statement as follows:
| 2023 £m | 2022 £m | 2021 £m
Cost of sales | 94 | 104 | 106
Selling, general and administration | 91 | 90 | 136
Research and development | 42 | 42 | 49
| 227 | 236 | 291

GSK entities operate pension arrangements which cover the Group’s material obligations to provide pensions to retired employees.
These arrangements have been developed in accordance with local practices in the countries concerned. Pension benefits can be
provided by state schemes; by defined contribution schemes, whereby retirement benefits are determined by the value of funds
arising from contributions paid in respect of each employee; or by defined benefit schemes, whereby retirement benefits are based
on employee pensionable remuneration and length of service.
Pension costs of defined benefit schemes for accounting purposes have been calculated using the projected unit credit method. In
certain countries pension benefits are provided on an unfunded basis, some administered by trustee companies. Formal,
independent, actuarial valuations of the Group’s main plans are undertaken regularly, normally at least every three years.
Remeasurement movements in the year are recognised through the statement of comprehensive income. Discount rates are
derived from AA rated corporate bond yields except in countries where there is no deep market in corporate bonds where
government bond yields are used. Discount rates are selected to reflect the term of the expected benefit payments. Projected
inflation rates and pension increases are long-term predictions based on the yield gap between long-term index-linked and fixed
interest government bonds. In the UK, mortality rates are determined by adjusting the SAPS S3 standard mortality tables to reflect
recent scheme experience. These rates are then projected to reflect improvements in life expectancy in line with the CMI 2022
projections with a long-term rate of improvement of 1.0% per year for both males and females. In the US, mortality rates are
calculated using the PRI-2012 white collar table adjusted to reflect recent experience. These rates are projected using MP-2020 to
allow for future improvements in life expectancy.

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The average life expectancy assumed now for an individual at the age of 60 and projected to apply in 2043 for an individual then
at the age of 60 is as follows:

| UK | US
| Male Years | Female Years | Male Years | Female Years
Current | 27.1 | 28.0 | 27.3 | 28.7
Projected for 2043 | 28.2 | 29.2 | 28.9 | 30.2

The assets of funded schemes are generally held in separately administered trusts, either as specific assets or as a proportion of a
general fund, or are insurance contracts. Assets are invested in different classes in order to maintain a balance between risk and
return. Investments are diversified to limit the financial effect of the failure of any individual investment. The physical asset allocation
strategy for three of the four UK plans is 36% in return-seeking assets and 64% in liability-matching assets. During 2019, a buy-in
insurance contract was purchased to cover substantially all of the obligations of the other UK plan. At 31 December 2023, the value
of the insurance contract was £387 million (2022: £402 million). The asset allocation of the US plans is currently set at 25% return-
seeking assets and 75% liability-matching assets.
The pension plans are exposed to risk that arises because the estimated market value of the plans’ assets might decline, the
investment returns might reduce, or the estimated value of the plans’ liabilities might increase.
In line with the agreed mix of return-seeking assets to generate future returns and liability-matching assets to better match future
pension obligations, the Group has defined an overall long-term investment strategy for the plans, with investments across a broad
range of assets. The main market risks within the asset and hedging portfolio are against credit risk, interest rates, long-term
inflation, equities, property, currency and bank counterparty risk.
The plan liabilities are a series of future cash flows with relatively long duration. On an IAS 19 basis, these cash flows are sensitive to
changes in the expected long-term inflation rate and the discount rate (AA corporate bond yield curve) where an increase in long-
term inflation corresponds with an increase in the liabilities, and an increase in the discount rate corresponds with a decrease in the
liabilities.
The interest rate risk and credit rate risk in the US are partially hedged. The targets are based on an accounting measure of the plan
liabilities.
For the UK plans, there is an interest rate and inflation hedging strategy in place. The targets are based on an economic measure of
the plan liabilities.
Climate-related impacts, along with other environmental, social and governance (ESG) considerations, can be financially material
with regard both to expected returns and to risk implications. The incorporation of such considerations into investment policy is
subject to local regulations and fiduciary obligations.
In the UK, the defined benefit pension schemes operated for the benefit of former Glaxo Wellcome employees and former
SmithKline Beecham employees remain separate. These schemes were closed to new entrants in 2001 and subsequent UK
employees are entitled to join a defined contribution scheme. In addition, the Group operates a number of post-retirement
healthcare schemes, the principal one of which is in the US.
The UK defined benefit plans closed to future accrual effective from 31 March 2022. As a result, post closure the accrued benefits of
active participants are revalued in line with inflation (RPI for the legacy Glaxo Wellcome plans and CPI for the legacy SmithKline
Beecham plans subject to the relevant caps for each arrangement) rather than capped pay increases. From 1 April 2022, former
defined benefits plans employees were transferred to the defined contribution plans. All defined benefit plan participants who were
still active at 1 April 2022 received a defined pension contribution of £10,000 each in 2022.
The US cash balance pension plan closed to future accrual from 1 January 2021.
The Group has applied the following financial assumptions in assessing the defined benefit liabilities:

|  |  | UK |  |  | US | Rest of World
| 2023 % pa | 2022 % pa | 2021 % pa | 2023 % pa | 2022 % pa | 2021 % pa | 2023 % pa | 2022 % pa | 2021 % pa
Rate of increase of future earnings | n/a | n/a | 2.00 | n/a | n/a | n/a | 3.20 | 3.40 | 2.90
Discount rate | 4.60 | 4.80 | 2.00 | 5.00 | 5.30 | 2.70 | 3.10 | 3.40 | 1.10
Expected pension increases | 2.90 | 3.10 | 3.20 | n/a | n/a | n/a | 2.50 | 2.40 | 2.30
Cash balance credit/conversion rate | n/a | n/a | n/a | 4.00 | 3.90 | 2.00 | 0.60 | 0.80 | 0.20
Inflation rate | 2.90 | 3.10 | 3.20 | 2.50 | 2.50 | 2.25 | 2.00 | 2.30 | 1.90

Sensitivity analysis detailing the effect of changes in assumptions is provided on page 227. The analysis provided reflects the
assumption changes which have the most material impact on the results of the Group.

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220
The amounts recorded in the income statement and statement of comprehensive income for the three years ended 31 December
2023 in relation to the defined benefit pension and post-retirement healthcare schemes were as follows:

|  |  |  | Pensions | Post-retirement benefits
2023 | UK £m | US £m | Rest of World £m | Group £m | Group £m
Amounts charged to operating profit |  |  |  |  |
Current service cost | – | 5 | 91 | 96 | 12
Past service cost | 3 | – | – | 3 | –
Net interest cost | (5) | 35 | 16 | 46 | 47
Gains from settlements | – | – | (6) | (6) | –
Expenses | 14 | 16 | – | 30 | (1)
| 12 | 56 | 101 | 169 | 58
Remeasurement gains/(losses) recorded in the statement of comprehensive income | 28 | 45 | 38 | 111 | (40)

|  |  |  | Pensions | Post-retirement benefits
2022 | UK £m | US £m | Rest of World £m | Group £m | Group £m
Amounts charged to operating profit |  |  |  |  |
Current service cost | 13 | 7 | 126 | 146 | 22
Past service cost/(credit) | 6 | – | – | 6 | –
Net interest (income)/cost | (11) | 20 | 9 | 18 | 32
Gains from settlements | – | – | (22) | (22) | –
Expenses | 14 | 21 | – | 35 | (1)
| 22 | 48 | 113 | 183 | 53
Remeasurement gains/(losses) recorded in the statement of comprehensive income | (1,169) | 36 | 261 | (872) | 228

|  |  |  | Pensions | Post-retirement benefits
2021 | UK £m | US £m | Rest of World £m | Group £m | Group £m
Amounts charged to operating profit |  |  |  |  |
Current service cost | 53 | 9 | 119 | 181 | 17
Past service cost/(credit) | 27 | 2 | (10) | 19 | (3)
Net interest (income)/cost | 3 | 18 | 7 | 28 | 22
Gains from settlements | – | – | (2) | (2) | –
Expenses | 15 | 12 | 2 | 29 | –
| 98 | 41 | 116 | 255 | 36
Remeasurement gains/(losses) recorded in the statement of comprehensive income 1 | 572 | 98 | 186 | 856 | 68

The amounts included within past service costs in the UK included £3 million (2022: £6 million; 2021: £26 million) of augmentation
costs which arose from Major restructuring programmes.

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A summarised balance sheet presentation of the Group defined benefit pension schemes and other post-retirement benefits is set
out in the table below:

| 2023 £m | 2022 £m | 2021 £m
Recognised in other non-current assets: |  |  |
Pension schemes in surplus | 634 | 229 | 741
Recognised in pensions and other post-employment benefits: |  |  |
Pension schemes in deficit | (1,397) | (1,585) | (1,870)
Post-retirement benefits | (943) | (994) | (1,243)
| (2,340) | (2,579) | (3,113)

In the event of a plan wind-up, GSK believes the UK pension scheme rules provide the company with the right to a refund of surplus
assets following the full settlement of plan liabilities. As a result, the net surplus in the UK defined benefit pension schemes is
recognised in full.
The fair values of the assets and liabilities of the UK and US defined benefit pension schemes, together with aggregated data for
other defined benefit pension schemes in the Group are as follows:

At 31 December 2023 |  | UK £m | US £m | Rest of World £m | Group £m
Equities: | – listed | 1,647 | 447 | 349 | 2,443
| – unlisted | – | – | 2 | 2
Multi-asset funds |  | 852 | – | – | 852
Property: | – listed | – | – | – | –
| – unlisted | 467 | 119 | 24 | 610
Corporate bonds: | – listed | 2,019 | 698 | 205 | 2,922
| – unlisted | – | – | 15 | 15
Government bonds: | – listed | 4,897 | 774 | 527 | 6,198
Insurance contracts |  | 990 | – | 771 | 1,761
Other (liabilities)/assets |  | (1,374) | 104 | 89 | (1,181)
Fair value of assets |  | 9,498 | 2,142 | 1,982 | 13,622
Present value of scheme obligations | (9,222) | (2,757) | (2,406) | (14,385)
Net surplus/(obligation) | 276 | (615) | (424) | (763)
Included in other non-current assets | 457 | – | 177 | 634
Included in pensions and other post-employment benefits | (181) | (615) | (601) | (1,397)
|  | 276 | (615) | (424) | (763)
Actual return on plan assets |  | 647 | 196 | 138 | 981

The multi-asset funds comprise investments in pooled investment vehicles that are invested across a range of asset classes,
increasing diversification within the growth portfolio. The value of funds in this asset class with a quoted market price is £209 million
(2022: £211 million).
The ‘Other (liabilities)/assets’ category comprises cash and mark to market values of derivative positions.
Index-linked gilts held as part of a UK repo programme are included in government bonds. The related loan of £1,853 million at
31 December 2023 (2022: £2,376 million; 2021: £513 million) is deducted within ‘Other assets’.

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At 31 December 2022 |  | UK £m | US £m | Rest of World £m | Group £m
Equities: | – listed | 1,351 | 437 | 371 | 2,159
| – unlisted | – | – | 2 | 2
Multi-asset funds |  | 1,101 | – | – | 1,101
Property: | – listed | – | – | 19 | 19
| – unlisted | 464 | 140 | 1 | 605
Corporate bonds: | – listed | 1,692 | 779 | 124 | 2,595
| – unlisted | – | – | 15 | 15
Government bonds: | – listed | 4,048 | 723 | 558 | 5,329
Insurance contracts |  | 1,003 | – | 691 | 1,694
Other (liabilities)/assets |  | (645) | 181 | 89 | (375)
Fair value of assets | 9,014 | 2,260 | 1,870 | 13,144
Present value of scheme obligations | (9,117) | (3,030) | (2,353) | (14,500)
Net surplus/(obligation) | (103) | (770) | (483) | (1,356)
|  | — | — | — | —
Included in other non-current assets | 109 | – | 120 | 229
Included in pensions and other post-employment benefits | (212) | (770) | (603) | (1,585)
|  | (103) | (770) | (483) | (1,356)
Actual return on plan assets | (4,710) | (253) | (550) | (5,513)

At 31 December 2021 |  | UK £m | US £m | Rest of World £m | Group £m
Equities: | – listed | 3,954 | 522 | 731 | 5,207
| – unlisted | – | – | 4 | 4
Multi-asset funds |  | 1,415 | – | – | 1,415
Property: | – listed | – | – | 68 | 68
| – unlisted | 502 | 154 | 1 | 657
Corporate bonds: | – listed | 1,503 | 975 | 140 | 2,618
| – unlisted | – | – | 15 | 15
Government bonds: | – listed | 5,054 | 724 | 984 | 6,762
Insurance contracts |  | 1,334 | – | 917 | 2,251
Other (liabilities)/assets |  | (130) | 149 | 72 | 91
Fair value of assets | 13,632 | 2,524 | 2,932 | 19,088
Asset ceiling restrictions |  | – | – | (26) | (26)
Present value of scheme obligations | (13,299) | (3,248) | (3,644) | (20,191)
Net surplus/(obligation) | 333 | (724) | (738) | (1,129)
Included in Other non-current assets | 606 | – | 135 | 741
Included in Pensions and other post-employment benefits | (273) | (724) | (873) | (1,870)
|  | 333 | (724) | (738) | (1,129)
Actual return on plan assets | 541 | 97 | 48 | 686

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Notes to the financial statements continued
31. Pensions and other post-employment benefits continued |

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|  |  |  | Pensions | Post-retirement benefits
Movements in fair values of assets | UK £m | US £m | Rest of World £m | Group £m | Group £m
Assets at 1 January 2021 | 13,582 | 2,635 | 2,989 | 19,206 | –
Exchange adjustments | – | 31 | (184) | (153) | –
Interest income | 187 | 57 | 18 | 262 | –
Expenses | (15) | (12) | – | (27) | –
Settlements and curtailments | – | – | (7) | (7) | –
Remeasurement | 354 | 40 | 30 | 424 | –
Employer contributions | 139 | 40 | 133 | 312 | 105
Scheme participants’ contributions | 3 | – | 24 | 27 | 15
Benefits paid | (618) | (267) | (97) | (982) | (120)
Assets at 31 December 2021 | 13,632 | 2,524 | 2,906 | 19,062 | –
Exchange adjustments | – | 286 | 122 | 408 | –
Interest income | 271 | 71 | 28 | 370 | –
Expenses | (14) | (21) | – | (35) | –
Settlements and curtailments | – | – | (8) | (8) | –
Remeasurement | (4,981) | (324) | (578) | (5,883) | –
Employer contributions | 755 | 50 | 114 | 919 | 117
Scheme participants’ contributions | – | – | 15 | 15 | 18
Transfer to assets held for sale/distribution | – | – | (624) | (624) | –
Benefits paid | (649) | (326) | (105) | (1,080) | (135)
Assets at 31 December 2022 | 9,014 | 2,260 | 1,870 | 13,144 | –
Exchange adjustments | — | (125) | (84) | (209) | –
Interest income | 430 | 111 | 60 | 601 | –
Expenses | (14) | (16) | — | (30) | –
Settlements and curtailments | – | – | 2 | 2 | –
Remeasurement | 217 | 85 | 78 | 380 | –
Employer contributions | 363 | 125 | 118 | 606 | 98
Scheme participants’ contributions | – | – | 11 | 11 | 18
Transfer to assets held for sale/distribution | – | – | – | – | –
Benefits paid | (512) | (298) | (73) | (883) | (116)
Assets at 31 December 2023 | 9,498 | 2,142 | 1,982 | 13,622 | –

The final instalment of the cash funding or technical provision deficits of £1,080 million identified in the 31 December 2020 pension
scheme valuations in three GSK UK Pension Schemes was paid in 2023.
During March 2022, GSK transferred 7,004 GSK Consumer Healthcare Holdings Limited (GSKCHH) C Ordinary Shares (representing
11.03%. (in aggregate) of GSK’s interest in GSKCHH to three Scottish Limited Partnerships (“SLPs”), each providing a funding
mechanism for a separate GSK UK defined benefit pension scheme. As part of the steps relating to the demerger and separation,
the SLPs transferred their applicable portion of GSKCHH C Ordinary Shares to Haleon plc (“Haleon”) in consideration for shares in
Haleon. At the time of demerger the SLPs together held shares representing 7.5% of the total issued share capital of Haleon. The
contributions were collateralised by the creati on of three Scottish Limited Partnerships (SLPs). Each of the three principal UK
defined benefit pension schemes (two be nefiting current and former Glaxo Welcome employees, with the third benefiting current
and former SmithKline Beecham employees) had an interest in one of the SLPs at the time of demerger.

Scottish Limited Partnership | General Partner | Limited Partners |
GSK (No. 1) Scottish Limited Partnership | GSK GP1 Ltd | GSK LP Ltd | Berkeley Square Pension Trustee Company Ltd acting on behalf of the GSK Pension Scheme (ceased to be a Limited Partner effective from 28 June 2023)
GSK (No. 2) Scottish Limited Partnership | GSK GP1 Ltd | GSK LP Ltd | Berkeley Square Pension Trustee Company Ltd acting on behalf of the GSK Pension Fund (ceased to be a Limited Partner effective from 28 June 2023)
GSK (No. 3) Scottish Limited Partnership | GSK GP2 Ltd | GSK LP Ltd | SmithKline Beecham Pension Plan Trustee Ltd acting on behalf of the SmithKline Beecham Pension Plan (ceased to be a Limited Partner effective from 28 June 2023)

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224
Each pension scheme, through its SLP interest received a distribution from that SLP with regards to the net proceeds of sales of
Haleon shares and dividend income on the Haleon shares up to the amount equal to the agreed threshold (“Proceeds Threshold”).
of £1,080 million increased by £7 million notional interest. Payment of this amount fully funded the cash funding or “technical
provisions” deficits in the three pension schemes shown by the 31 December 2020 valuations. As at 31 December 2023, total cash
contributions totalling £353 million (2022: £691 million; 2021: £44 million) were made towards the Proceeds Threshold leaving no
further outstanding amount due to the UK pension schemes. The cash contributions included £17 million of distributions of dividends
on Haleon shares from the SLPs to the Schemes.
The GSK UK Pension Schemes exited the SLP partnership on 28 June 2023 after receipt of the Proceeds Threshold and notional
interest. The remaining economic interest in the SLPs is held by GSK LP Ltd, a 100% owned subsidiary of GSK plc and the GSK-
controlled General Partner of each SLP.
Employer contributions for 2024, are estimated to be approximately £350 million in respect of defined benefit pension schemes and
£80 million in respect of other post-retirement benefits.

|  |  |  | Pensions | Post-retirement benefits
Movements in defined benefit obligations | UK £m | US £m | Rest of World £m | Group £m | Group £m
Obligations at 1 January 2021 | (13,858) | (3,445) | (4,007) | (21,310) | (1,363)
Exchange adjustments | – | (40) | 258 | 218 | 4
Service cost | (56) | (9) | (151) | (216) | (29)
Past service cost | (28) | (2) | 25 | (5) | (12)
Interest cost | (190) | (76) | (23) | (289) | (26)
Settlements and curtailments | – | – | 17 | 17 | –
Remeasurement | 218 | 57 | 164 | 439 | 78
Scheme participants’ contributions | (3) | – | (24) | (27) | (15)
Benefits paid | 618 | 267 | 97 | 982 | 120
Obligations at 31 December 2021 | (13,299) | (3,248) | (3,644) | (20,191) | (1,243)
Exchange adjustments | – | (371) | (124) | (495) | (125)
Service cost | (13) | (7) | (126) | (146) | (22)
Past service cost | (6) | – | – | (6) | –
Interest cost | (260) | (91) | (37) | (388) | (32)
Settlements and curtailments | – | – | 29 | 29 | –
Remeasurement | 3,812 | 360 | 839 | 5,011 | 228
Scheme participants’ contributions | – | – | (15) | (15) | (18)
Transfer to assets held for sale/distribution | – | – | 621 | 621 | 83
Benefits paid | 649 | 326 | 105 | 1,080 | 135
Obligations at 31 December 2022 | (9,117) | (3,031) | (2,352) | (14,500) | (994)
Exchange adjustments | – | 166 | 87 | 253 | 53
Service cost | – | (5) | (91) | (96) | (13)
Past service cost | (3) | – | – | (3) | –
Interest cost | (425) | (145) | (76) | (646) | (47)
Settlements and curtailments | – | – | 4 | 4 | –
Remeasurement | (189) | (40) | (40) | (269) | (40)
Scheme participants’ contributions | – | – | (11) | (11) | (18)
Transfer to assets held for sale/distribution | – | – | – | – | –
Benefits paid | 512 | 298 | 73 | 883 | 116
Obligations at 31 December 2023 | (9,222) | (2,757) | (2,406) | (14,385) | (943)

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31. Pensions and other post-employment benefits continued |

225
The defined benefit pension obligation is analysed as follows:

| 2023 £m | 2022 £m | 2021 £m
Funded | (13,782) | (13,887) | (19,419)
Unfunded | (603) | (613) | (772)
| (14,385) | (14,500) | (20,191)

The liability for the US post-retirement healthcare scheme has been assessed using the same assumptions as for the US pension
scheme, together with the assumption for future medical inflation of 6.75% (2022: 7%) in 2023, grading down to 5% in 2031 and
thereafter. At 31 December 2023, the US post-retirement healthcare scheme obligation was £785 million (2022: £870 million; 2021:
£1,059 million). Post-retirement benefits are unfunded.
The movement in the net defined benefit liability is as follows:

| 2023 £m | 2022 £m | 2021 £m
At 1 January | (1,356) | (1,129) | (2,104)
Exchange adjustments | 44 | (87) | 65
Service cost | (96) | (146) | (216)
Past service cost | (3) | (6) | (5)
Interest cost | (45) | (18) | (27)
Settlements and curtailments | 6 | 21 | 10
Remeasurements: |  |  |
Return on plan assets, excluding amounts included in interest | 380 | (5,883) | 424
(Loss)/gain from change in demographic assumptions | 135 | 92 | (62)
Gain/(loss) from change in financial assumptions | (137) | 5,868 | 716
Experience (loss)/gain | (267) | (949) | (215)
Employer contributions | 606 | 919 | 312
Transfer to assets held for sale/distribution | – | (3) | –
Expenses | (30) | (35) | (27)
At 31 December | (763) | (1,356) | (1,129)

The remeasurements included within post-retirement benefits are detailed below:

| 2023 £m | 2022 £m | 2021 £m
Gain from change in demographic assumptions | 7 | 21 | 19
Gain/(loss) from change in financial assumptions | (43) | 219 | 35
Experience gains | (4) | (12) | 24
| (40) | 228 | 78

The defined benefit pension obligation analysed by membership category is as follows:

| 2023 £m | 2022 £m | 2021 £m
Active | 1,508 | 1,390 | 4,196
Retired | 8,730 | 8,540 | 11,115
Deferred | 4,147 | 4,570 | 4,880
| 14,385 | 14,500 | 20,191

The post-retirement benefit obligation analysed by membership category is as follows:

| 2023 £m | 2022 £m | 2021 £m
Active | 277 | 306 | 494
Retired | 666 | 688 | 748
Deferred | – | – | 1
| 943 | 994 | 1,243

The weighted average duration of the defined benefit obligation is as follows:

| 2023 years | 2022 years | 2021 years
Pension benefits | 11 | 12 | 15
Post-retirement benefits | 10 | 10 | 12

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31. Pensions and other post-employment benefits continued |

226
Sensitivity analysis
The effect of changes in assumptions used on the benefit obligations and on the 2024 annual defined benefit pension and post-
retirement costs are detailed below. This information has been determined by taking into account the duration of the liabilities and
the overall profile of the plan memberships.

| 0.25% increase £m |  | 0.25% decrease £m
Discount rate |  |  |
(Decrease)/increase in annual pension cost | (18) |  | 18
Increase/(decrease) in annual post-retirement benefits cost | 1 |  | (1)
(Decrease)/increase in pension obligation | (373) |  | 391
(Decrease)/increase in post-retirement benefits obligation | (20) |  | 22
| 0.75% increase £m |  | 0.75% decrease £m
(Decrease)/increase in annual pension cost | (58) |  | 51
Increase/(decrease) in annual post-retirement benefits cost | 3 |  | (3)
(Decrease)/increase in pension obligation | (1,071) |  | 1,231
(Decrease)/increase in post-retirement benefits obligation | (57) |  | 66
| 0.25% increase £m |  | 0.25% decrease £m
Inflation rate |  |  |
Increase/(decrease) in annual pension cost | 16 |  | (14)
Increase/(decrease) in pension obligation | 289 |  | (280)
| 0.75% increase £m |  | 0.75% decrease £m
Increase/(decrease) in annual pension cost | 46 |  | (40)
Increase/(decrease) in pension obligation | 897 |  | (803)
| 1 year increase £m |  |
Life expectancy |  |  |
Increase in annual pension cost | 20 |  |
Increase in annual post-retirement benefits cost | 2 |  |
Increase in pension obligation | 432 |  |
Increase in post-retirement benefits obligation | 32 |  |
| 1% increase £m |  |
Rate of future healthcare inflation |  |  |
Increase in annual post-retirement benefits cost | 2 |  |
Increase in post-retirement benefits obligation | 34 |  |

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31. Pensions and other post-employment benefits continued |

227

32. Other provisions

| Legal and other disputes £m | Major restructuring programmes £m | Employee related provisions £m | Other provisions £m | Total £m
At 1 January 2023 | 218 | 351 | 309 | 306 | 1,184
Exchange adjustments | (21) | (13) | (9) | (5) | (48)
Charge for the year | 266 | 172 | 177 | 124 | 739
Reversed unused | (4) | (55) | (33) | (143) | (235)
Unwinding of discount | 10 | – | – | – | 10
Utilised | (202) | (169) | (62) | (88) | (521)
Transfer to assets held for sale/distribution | – | – | – | – | –
Additions through business combinations | – | – | – | – | –
Reclassifications and other movements | – | (1) | 1 | 113 | 113
Transfer to Pension obligations | – | (3) | – | – | (3)
At 31 December 2023 | 267 | 282 | 383 | 307 | 1,239
To be settled within one year | 248 | 215 | 172 | 109 | 744
To be settled after one year | 19 | 67 | 211 | 198 | 495
At 31 December 2023 | 267 | 282 | 383 | 307 | 1,239

Legal and other disputes
The Group is involved in a substantial number of legal and other
disputes, including notification of possible claims, as set out in
Note 47, ‘Legal proceedings’. Provisions for legal and other
disputes include amounts relating to product liability, anti-trust,
government investigations, contract terminations and self
insurance.
The Group may become involved in significant legal
proceedings in respect of which it is not possible to
meaningfully assess whether the outcome will result in a
probable outflow, or to quantify or reliably estimate the liability,
if any, that could result from ultimate resolution of the
proceedings. In these cases, the Group would provide
appropriate disclosures about such cases, but no provision
would be made.
Th e net charge for the year of £262 million (including reversals
and estimated insurance recoveries) primarily related to
provisions for product liability cases, commercial disputes and
various other government investigations.
The discount on the provision is £10 million in 2023 (2022:
£3 million). The discount was calculated using risk-adjusted
projected cash flows and risk-free rates of return.
In respect of product liability claims related to certain products,
provision is made when there is sufficient history of claims made
and settlements to enable management to make a reliable
estimate of the provision required to cover unasserted claims,
and to determine the probability of the outflow of cash. The
ultimate liability for such matters may vary from the amounts
provided and is dependent upon the outcome of litigation
proceedings, investigations and possible settlement
negotiations.
The Group’s position could change over time, and, therefore,
there can be no assurance that any losses that result from the
outcome of any legal proceedings will not exceed by a material
amount the amount of the provisions reported in the Group’s
financial accounts.
It is in the nature of the Group’s business that a number of these
matters may be the subject of negotiation and litigation over
many years. Litigation proceedings, including the various
appeal procedures, often take many years to reach resolution,
and out-of-court settlement discussions can also often be
protracted. Indemnified disputes will result in a provision charge
and a corresponding receivable.
The Group is in potential settlement discussions in a number of
the disputes for which amounts have been provided and, based
on its current assessment of the progress of these disputes,
estimates that £248 million of the amount provided at
31 December 2023 will be settled within one year. For a
discussion of legal issues, see Note 47, ‘Legal proceedings’.
Major restructuring programmes
During 2023, the Group had two major restructuring
programmes: the Separation Preparation programme which
focused on preparing for the separation of GSK into two
companies and is now largely complete, plus the Significant
Acquisitions programme which is focused on the integration of
recent acquisitions.
Restructuring provisions primarily include severance costs when
management has made a formal decision to eliminate certain
positions and this has been communicated to the groups of
employees affected and appropriate consultation procedures
completed, where appropriate. No provision is made for staff
severance payments that are paid immediately.
The disco unt on the provisions increased by £0.4 million in 2023
(2022: increased by £1 million).
Pension augmentation includes £3 million relating to the
defined benefit plan arising from staff redundancies, as shown
in Note 31, ‘Pensions and other post-employment benefits’.

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Notes to the financial statements continued

228
Employee related provisions
Employee related provisions include obligations for certain
medical benefits to disabled employees and their spouses in
the US.
At 31 December 2023, the provision for these benefits
amounted to £48 million (2022: £66 million). Other employee
benefits reflect a variety of provisions for severance costs,
jubilee awards and other long-service benefits.
Given the nature of these provisions, the amounts are likely to
be settled over many years.
Other provisions
Included in other provisions are provisions for onerous contracts,
insurance provisions and a number of other provisions including
vehicle insurance and regulatory matters.

33. Contingent consideration liabilities

The consideration for certain acquisitions includes amounts contingent on future events such as development milestones or sales
performance. The Group has provided for the fair value of this contingent consideration as follows:

| Shionogi-ViiV Healthcare £m | Affinivax £m | Novartis Vaccines £m | Other £m | Total £m
At 1 January 2021 | 5,359 | – | 477 | 33 | 5,869
Remeasurement through income statement | 1,026 | – | 32 | 5 | 1,063
Cash payments: operating cash flows | (721) | – | (21) | – | (742)
Cash payments: investing activities | (105) | – | (9) | – | (114)
At 31 December 2021 | 5,559 | – | 479 | 38 | 6,076
Remeasurement through income statement | 1,431 | 17 | 231 | (34) | 1,645
Exchange movement through reserves | – | 2 | – | – | 2
Initial recognition from business combinations | – | 482 | – | – | 482
Cash payments: operating cash flows | (1,031) | – | (27) | – | (1,058)
Cash payments: investing activities | (69) | – | (10) | – | (79)
At 31 December 2022 | 5,890 | 501 | 673 | 4 | 7,068
Remeasurement through income statement | 934 | 44 | (210) | – | 768
Exchange movement through reserves | – | (29) | – | – | (29)
Cash payments: operating cash flows | (1,106) | – | (28) | – | (1,134)
Cash payments: investing activities | – | – | (11) | – | (11)
At 31 December 2023 | 5,718 | 516 | 424 | 4 | 6,662

Of the contingent consideration payable at 31 December 2023, £1,053 million (2022: £1,289 million) is expe cted to be paid within
one year.
The consideration payable for the acquisition of the Shionogi-ViiV Healthcare joint venture, Affinivax and the Novartis Vaccines
business are expected to be paid over a number of years. As a result, the total estimated liabilities are discounted to their present
values, shown above. The Shionogi-ViiV Healthcare contingent consideration liability is discounted at 8% (2022: 8%), the Affinivax
contingent consideration liability is discounted at 8.5% (2022: 9.9%) and the Novartis Vaccines contingent consideration liability is
discounted at 7.5% (2022: 7.5%) for commercialised products and at 8.5% (2022: 8.5%) for pipeline assets.
The Shionogi-ViiV Healthcare and Novartis Vaccines contingent consideration liabilities are calculated principally based on the
forecast sales performance of specified products over the lives of those products.
The Affinivax contingent consideration is based upon two potential milestone payments, each of $0.6 billion (£0.5 billion) which will
be paid if certain paediatric clinical development milestones are achieved.

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32. Other provisions continued |

229
The table below shows on an indicative basis the income statement and balance sheet sensitivity to reasonably possible changes
in key inputs to the valuations of the contingent consideration liabilities.

|  | 2023 | 2022
Increase/(decrease) in financial liability and loss/(gain) in income statement | Shionogi-ViiV Healthcare £m | Affinivax £m | Novartis Vaccines £m | Shionogi-ViiV Healthcare £m | Affinivax £m | Novartis Vaccines £m
10% increase in sales forecasts* | 539 | N/A | 63 | 556 | N/A | 103
15% increase in sales forecasts* | 807 | N/A | 94 | 834 | N/A | 154
10% decrease in sales forecasts* | (539) | N/A | (62) | (555) | N/A | (103)
15% decrease in sales forecasts* | (808) | N/A | (92) | (833) | N/A | (153)
1% increase in discount rate | (174) | (12) | (26) | (199) | (7) | (55)
1.5% increase in discount rate | (256) | (18) | (38) | (292) | (10) | (80)
1% decrease in discount rate | 184 | 13 | 30 | 214 | 7 | 65
1.5% decrease in discount rate | 281 | 19 | 47 | 328 | 11 | 101
10 cent appreciation of US Dollar | 386 | 44 | 11 | 411 | 45 | 22
15 cent appreciation of US Dollar | 604 | 69 | 17 | 645 | 71 | 36
10 cent depreciation of US Dollar | (330) | (38) | (8) | (347) | (38) | (19)
15 cent depreciation of US Dollar | (478) | (54) | (12) | (501) | (56) | (27)
10 cent appreciation of Euro | 91 | N/A | 19 | 109 | N/A | 23
15 cent appreciation of Euro | 144 | N/A | 30 | 171 | N/A | 36
10 cent depreciation of Euro | (79) | N/A | (16) | (91) | N/A | (19)
15 cent depreciation of Euro | (113) | N/A | (22) | (130) | N/A | (28)
10% increase in probability of milestone success | n/a | 75 | 21 | N/A | 82 | 20
10% decrease in probability of milestone success | n/a | (75) | (10) | N/A | (82) | (10)

*The sales forecast is for ViiV Healthcare sales only in respect of the Shionogi-ViiV Healthcare contingent consideration. An explanation of the accounting for
ViiV Healthcare is set out on page 84.

34. Other non-current liabilities

| 2023 £m | 2022 £m
Accruals | 4 | 11
Deferred income | 254 | 83
Other payables | 849 | 805
| 1,107 | 899

Other payables includes a number of employee-related liabilities including employee savings plans.

35. Contingent liabilities

At 31 December 2023, contingent liabilities where GSK has a present obligation as a result of a past event, comprising guarantees
and other items arising in the normal course of business, amounted to £32 million ( 2022: £58 million). At 31 December 2023, £0.2
million (2022 : £0.5 million) of financial assets were pledged as collateral for contingent liabilities. Provision is made for the outcome
of tax, legal and other disputes where it is both probable that the Group will suffer an outflow of funds and it is possible to make a
reliable estimate of that outflow. If it is not possible to meaningfully assess whether the outcomes will result in a probable outflow, or
to quantify or reliably estimate the liability, if any, no provision is recorded. Descriptions of the significant legal and other disputes to
which the Group is a party are set out in Note 47, ‘Legal proceedings’.

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33. Contingent consideration liabilities continued |

230

36. Commitments

Contractual obligations and commitments | 2023 £m | 2022 £m
Contracted for but not provided in the financial statements: |  |
Intangible assets | 16,329 | 10,659
Property, plant and equipment | 762 | 743
Investments | 153 | 138
Purchase commitments | 31 | 161
Pensions and post-retirement benefits | – | 345
Interest on loans | 5,446 | 6,322
Future finance charges on leases | 254 | 146
Lease contracts that have not yet commenced | 5 | 395
| 22,980 | 18,909

The commitments related to intangible assets include milestone payments, which are dependent on successful clinical development
or on meeting specified sales targets, and which represent the maximum that would be paid if all milestones, however unlikely, are
achieved. The amounts disclosed are not risk-adjusted or discounted. The increase in intangible asset commitments in 2023 is
ma inly attributable to new R&D collaborations including collaborations with Wave Life Sciences USA, Inc. and Shanghai Hansoh
Biomedical Co. Ltd.
In 2022, GSK reached an agreement with the trustees of the UK pension schemes to make additional contributions of £1,080 million,
to eliminate the pension deficit identified at the 31 December 2020 actuarial funding valuation. Prior to the Consumer Healthcare
demerger, GSK agreed to collateralise this commitment and accelerate funding with additional contributions (Refer to Note 31
'Pensions and other post-employment benefits'). At 31 December 2023, £nil (2022: £345 million) additional contributions were
unpaid.
Included within the total commitments above is £30 million related to nature based carbon removal projects that support GSK’s net-
zero and nature positive goals and £46 million related to the transition to a lower-carbon propellant.
The table excludes any amounts already capitalised in the Financial Statements for the year end 2023.

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Notes to the financial statements continued

231

37. Share capital and share premium account

Share Consolidation
Following completion of the Consumer Healthcare business demerger on 18 July 2022, GSK plc Ordinary shares were consolidated
to maintain share price comparability before and after demerger. The consolidation was approved by GSK shareholders at a
General Meeting held on 6 July 2022. Shareholders received 4 new Ordinary shares with a nominal value of 31¼ pence each for
every 5 existing Ordinary shares which had a nominal value of 25 pence each. Earnings per share, diluted earnings per share,
adjusted earnings per share and dividends per share were retrospectively adjusted to reflect the Share Consolidation in all the
periods presented in years 2021 and 2022.

| Ordinary shares of 25p each pre-share consolidation Ordinary shares of 31¼p each post-share consolidation | Share premium
| Number | £m | £m
Share capital issued and fully paid: |  |  |
At 1 January 2021 | 5,385,189,617 | 1,346 | 3,281
Issued under employee share schemes | 1,825,442 | 1 | 20
Ordinary shares acquired by ESOP Trusts | – | – | –
At 31 December 2021 | 5,387,015,059 | 1,347 | 3,301
Impact of share consolidation | (1,077,403,011) | – | –
Issued under employee share schemes | 1,731,293 | – | 25
Ordinary shares acquired by ESOP Trusts | – | – | 114
At 31 December 2022 | 4,311,343,341 | 1,347 | 3,440
Issued under employee share schemes | 802,642 | 1 | 9
Ordinary shares acquired by ESOP Trusts | – | – | 2
At 31 December 2023 | 4,312,145,983 | 1,348 | 3,451

At 31 December 2023 , of the issued share capital, 58,817,197 shares were held in the ESOP Trusts, out of which 58,493,518 shares
were held for the future exercise of share options and share awards and 323,679 shares were held for the Executive Supplemental
Savings plan. 197,068,169 shares were held as Treasury shares and 4,056,260,617 shares were in free issue. All issued shares are fully
paid and there are no shares authorised but not in issue. The nominal, carrying and market values of the shares held in the ESOP
Trusts are disclosed in Note 45, ‘Employee share schemes’.

38. Movements in equity

Retained earnings and other reserves amounted to £8,548 million at 31 December 2023 (2022 : £5,811 million; 2021 : £10,407 million)
of which £451 million ( 2022: £463 million; 2021 : £476 million) related to associates and joint ventures.
The cumulative translation exchange in equity is as follows:

| Net translation exchange included in: |
| Retained earnings £m | Fair value reserve £m | Non- controlling interests £m | Total translation exchange £m
At 1 January 2021 | (539) | (9) | (161) | (709)
Exchange movements on overseas net assets and net investment hedges | (239) | – | (20) | (259)
Reclassification of exchange movements on liquidation or disposal of overseas subsidiaries and associates | (25) | – | – | (25)
At 31 December 2021 | (803) | (9) | (181) | (993)
Exchange movements on overseas net assets and net investment hedges | 109 | 4 | (28) | 85
Reclassification of exchange movements on liquidation or disposal of overseas subsidiaries and associates | 2 | – | – | 2
Movement attributable to continuing operations | (692) | (5) | (209) | (906)
Movement attributable to discontinued operations 1 | 263 | – | 112 | 375
At 31 December 2022 | (429) | (5) | (97) | (531)
Exchange movements on overseas net assets and net investment hedges | (41) | 19 | (25) | (47)
Reclassification of exchange movements on liquidation or disposal of overseas subsidiaries and associates | (34) | – | – | (34)
At 31 December 2023 | (504) | 14 | (122) | (612)

(1) Include s £554 million reclassification to the consolidated income statement of net exchange gains related to the demerger of the Consumer Healthcare
business.

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232
The analysis of other comprehensive income by equity category is as follows:

2023 | Retained earnings £m | Other reserves £m | Non- controlling interests £m | Total £m
Items that may be subsequently reclassified to income statement: |  |  |  |
Exchange movements on overseas net assets and net investment hedges | (41) | 19 | – | (22)
Reclassification of exchange movements on liquidation or disposal of subsidiaries and associates | (34) | – | – | (34)
Fair value movements on cash flow hedges | – | (1) | – | (1)
Tax on fair value movements on cash flow hedges | – | 1 | – | 1
Reclassification of cash flow hedges to income | – | 4 | – | 4
Items that will not be reclassified to income statement: |  |  |  |
Exchange movements on overseas net assets of non-controlling interests | – | – | (25) | (25)
Fair value movements on equity investments | – | (244) | – | (244)
Tax on fair value movements on equity investments | – | 14 | – | 14
Remeasurement on defined benefit plans | 71 | – | – | 71
Tax on remeasurement defined benefit plans | (41) | – | – | (41)
Fair value movements on cash flow hedges | – | (40) | – | (40)
Total other comprehensive (expense)/income for the year | (45) | (247) | (25) | (317)

2022 | Retained earnings £m | Other reserves £m | Non- controlling interests £m | Total £m
Items that may be subsequently reclassified to income statement: |  |  |  |
Exchange movements on overseas net assets and net investment hedges | 109 | 4 | – | 113
Reclassification of exchange movements on liquidation or disposal of subsidiaries and associates | 2 | – | – | 2
Fair value movements on cash flow hedges | – | (18) | – | (18)
Tax on fair value movements on cash flow hedges | – | 9 | – | 9
Reclassification of cash flow hedges to income | – | 14 | – | 14
Items that will not be reclassified to income statement: |  |  |  |
Exchange movements on overseas net assets of non-controlling interests | – | – | (28) | (28)
Fair value movements on equity investments | – | (754) | – | (754)
Tax on fair value movements on equity investments | – | 56 | – | 56
Remeasurement on defined benefit plans | (786) | – | – | (786)
Tax on remeasurement defined benefit plans | 211 | – | – | 211
Fair value movements on cash flow hedges | – | (6) | – | (6)
Other comprehensive (expense)/income for the year from continuing operations | (464) | (695) | (28) | (1,187)
Other comprehensive (expense)/income for the year from discontinued operations | 375 | (19) | – | 356
Total other comprehensive (expense)/income for the year | (89) | (714) | (28) | (831)

2021 | Retained earnings £m | Other reserves £m | Non- controlling interests £m | Total £m
Items that may be subsequently reclassified to income statement: |  |  |  |
Exchange movements on overseas net assets and net investment hedges | (239) | – | – | (239)
Reclassification of exchange movements on liquidation or disposal of subsidiaries and associates | (25) | – | – | (25)
Fair value movements on cash flow hedges | – | 5 | – | 5
Tax on fair value movements on cash flow hedges | – | (8) | – | (8)
Reclassification of cash flow hedges to income statement | – | 12 | – | 12
Items that will not be reclassified to income statement: |  |  |  |
Exchange movements on overseas net assets of non-controlling interests | – | – | (20) | (20)
Fair value movements on equity investments | – | (911) | – | (911)
Tax on fair value movements on equity investments | – | 131 | – | 131
Remeasurement losses on defined benefit plans | 941 | – | – | 941
Tax on remeasurement defined benefit plans | (223) | – | – | (223)
Other comprehensive (expense)/income for the year | 454 | (771) | (20) | (337)

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Notes to the financial statements continued
38. Movements in equity continued |

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Information on net investment hedges is provided in part (d) of Note 44 ‘Financial instruments and related disclosures'.
The analysis of other reserves is as follows:

| ESOP Trust shares £m | Fair value reserve £m | Cash flow hedge reserve £m | Other reserves £m | Total £m
At 1 January 2021 | (195) | 1,302 | (31) | 2,129 | 3,205
Exchange adjustments | (1) | – | – | – | (1)
Transferred to income and expenses in the year on impairments of equity investments | 168 | – | – | – | 168
Transferred to retained earnings in the year on disposal of equity investments | – | (139) | – | – | (139)
Net fair value movement in the year | – | (780) | 10 | – | (770)
At 31 December 2021 | (28) | 383 | (21) | 2,129 | 2,463
Exchange adjustments | (36) | 28 | 12 | – | 4
Transferred to retained earnings in the year on disposal of equity investments | – | (21) | 17 | – | (4)
Balances derecognised on demerger | – | – | (169) | – | (169)
Net fair value movement in the year | – | (698) | 141 | – | (557)
Ordinary shares acquired by ESOP Trusts | (1,200) | – | – | – | (1,200)
Write-down of shares held by ESOP Trusts | 911 | – | – | – | 911
At 31 December 2022 | (353) | (308) | (20) | 2,129 | 1,448
Exchange adjustments | 26 | (5) | (2) | – | 19
Transferred to retained earnings in the year on disposal of equity investments | – | 33 | – | – | 33
Reclassification of cash flow hedges to income statement | – | – | 4 | – | 4
Hedging gain/(loss) transferred to non-financial assets | – | – | 36 | – | 36
Net fair value movement in the year (including tax) | – | (230) | (40) | – | (270)
Ordinary shares acquired by ESOP Trusts | (285) | – | – | – | (285)
Write-down of shares held by ESOP Trusts | 324 | – | – | – | 324
At 31 December 2023 | (288) | (510) | (22) | 2,129 | 1,309

Other reserves include various non-distributable merger and pre-merger reserves amounting to £1,849 million at 31 December 2023
(2022: £1,849 million; 2021: £1,849 million). Other reserves also include the capital redemption reserve created as a result of the share
buy-back programme amounting to £280 million at 31 December 2023 (2022 : £280 million; 2021: £280 million).

39. Non-controlling interests

Total non-controlling interests includes the following individually material non-controlling interests. Other non-controlling interests
are individually not material.
ViiV Healthcare
GSK holds 78.3% of the ViiV Healthcare sub-group, giving rise to a material non-controlling interest. Summarised financial
information available at the latest practicable date in respect of the ViiV Healthcare sub-group is as follows:

| 2023 £m | 2022 £m | 2021 £m
Turnover | 6,308 | 5,619 | 4,637
Profit after taxation | 2,034 | 1,528 | 1,087
Other comprehensive income/(expense) | (19) | 94 | (17)
Total comprehensive income | 2,015 | 1,622 | 1,070

| 2023 £m | 2022 £m
Non-current assets | 2,528 | 2,716
Current assets | 3,330 | 3,354
Total assets | 5,858 | 6,070
Current liabilities | (3,881) | (3,762)
Non-current liabilities | (8,453) | (8,983)
Total liabilities | (12,334) | (12,745)
Net liabilities | (6,476) | (6,675)

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38. Movements in equity continued |

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| 2023 £m | 2022 £m | 2021 £m
Net cash inflow from operating activities | 2,192 | 3,442 | 2,128
Net cash outflow from investing activities | (2) | (174) | (287)
Net cash outflow from financing activities | (2,463) | (2,718) | (1,608)
Increase/(decrease) in cash and bank overdrafts in the year | (273) | 550 | 233

The above financial information relates to the ViiV Healthcare group on a stand-alone basis, before the impact of Group-related
adjustments, primarily related to the recognition of preferential dividends. The profit after taxation of £2,034 million (2022:
£1,528 million; 2021: £1,087 million) is stated after charging preferential dividends payable to GSK and Pfizer and after a charge of
£858 million (2022: £1,483 million; 2021: £1,218 million) for remeasurement of contingent consideration payable. This consideration is
expected to be paid over a number of years.
The following amounts attributable to the ViiV Healthcare group are included in GSK’s financial statements:

| 2023 £m | 2022 £m | 2021 £m
Share of profit for the year attributable to non-controlling interest | 373 | 415 | 196
Dividends paid to non-controlling interest | 398 | 480 | 224
Non-controlling interest in the consolidated balance sheet | (648) | (611) | (570)

40. Related party transactions

At 31 December 2023, a loan of £0.8 million (2022: £nil) to Index Ventures and a loan of £0.6 million (2022: £nil ) to Medicxi Ventures
I LP remained due to GSK. Cash distributions were received from investment in Medicxi Ventures I LP of £10.7 million (2022: Medicxi
Ventures I LP of £6 million).
In December 2023, Qura Therapeutics LLC was liquidated, the investment and the associated commitment for future contributions
were de-recognised from the balance sheet. An immaterial gain (less than £1 million) was recognised.
The Group had no other significant related party transactions which might reasonably be expected to influence decisions made by
the users of these Financial Statements.
The aggregate compensation of the Directors and GLT is given in Note 9, ‘Employee costs’.

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39. Non-controlling interests continued |

235

41. Acquisitions and disposals

Details of the acquisition and disposal of significant subsidiaries, associates, joint ventures and other businesses are given below:
2023
Business acquisitions
On 28 June 2023, GSK completed the acquisition of BELLUS Health Inc. ("Bellus") which was effected through a Plan of
Arrangement (the “Arrangement”) pursuant to the Canada Business Corporations Act. The Arrangement was approved by Bellus’
shareholders on 16 June 2023. Upon completion, GSK acquired all outstanding common shares of Bellus for US$14.75 per common
share in cash, representing a total equity value of US$2 billion (£1.6 billion). The acquisition provides GSK access to camlipixant, a
potential best-in-class and highly selective P2X3 antagonist currently in phase III development for the first-line treatment of adult
patients with refractory chronic cough (RCC).

| Total £m
Net assets acquired: |
Intangible assets | 1,438
Non-current equity investments | 2
Right of use assets | 1
Trade and other receivables | 96
Investments held as current assets | 51
Cash and cash equivalents | 148
Lease liabilities | (1)
Trade and other payables | (103)
Deferred tax liabilities | (136)
| 1,496
Non-controlling interest | –
Goodwill | 109
Total consideration | 1,605

In 2023, the provisional values of the identifiable assets and liabilities acquired in the Affinivax, Inc. business combination were
updated for the finalisation of the fair value of intangible assets, resulting in an increase in intellectual property of £39 million, a
decrease to goodwill of £31 million and a decrease to deferred tax of £8 million. The amounts recognised at 31 December 2022
have not been restated on the basis of materiality.
Business disposals
GSK completed no material business disposals in 2023.
Associates and joint ventures
GSK completed no material investments or disposals of associates or joint ventures during the year.
Cash flows

| Business Acquisitions £m | Business Disposals £m
Cash consideration (paid)/ received | (1,605) | 68
Net deferred consideration paid | – | (19)
Transaction costs | (17) | –
Cash and cash equivalents acquired/(divested) | 148 | –
Cash (outflow)/inflow | (1,474) | 49

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2022
Business acquisitions
On 1 July 2022, GSK completed the acquisition of 100% of Sierra Oncology, Inc., a California-based, late-stage biopharmaceutical
company focused on targeted therapies for the treatment of rare forms of cancer, for $1.9 billion (£1.6 billion). The main asset is
momelotinib which targets the medical needs of myelofibrosis patients with anaemia. Total transaction costs were £52 million.
On 15 August 2022, GSK completed the acquisition of 100% of Affinivax, Inc. a clinical-stage biopharmaceutical company based in
Cambridge, Boston, Massachusetts focused on pneumococcal vaccine candidates. The consideration for the acquisition comprised
an upfront payment of $2.2 billion (£1.8 billion) as adjusted for working capital acquired paid upon closing and two potential
milestone payments each of $0.6 billion (£0.5 billion) to be paid upon the achievement of certain paediatric clinical development
milestones. The estimated fair value of the contingent consideration payable was £482 million. The values were provisional and
were subject to change. The total transaction costs were £71 million.
During 2022, no sales arising from the Sierra Oncology or Affinivax businesses were included in Group turnover and no revenue is
expected until regulatory approval is received on the acquired assets.
GSK continues to support the ongoing development of the acquired assets and consequently these assets will be loss making until
regulatory approval on these assets is received. The development of these assets has been integrated into the Group’s existing R&D
activities, so it was impracticable to quantify these development costs or the impact on Total profit after taxation for the period
ended 31 December 2022.
Goodwill of £1,127 million (£162 million for Sierra Oncology and £965 million for Affinivax), which is not expected to be deductible for
tax purposes, has been recognised. The goodwill represents workforce in place, and specific synergies available to GSK from the
business combinations. The goodwill has been allocated to the Group’s Commercial Operations and R&D segments (refer to Note
19 ‘Goodwill’ for allocation methodology).

| Sierra Oncology £m | Affinivax £m | Total £m
Net assets acquired |  |  |
Intangible assets | 1,497 | 1,467 | 2,964
Property, plant and equipment | – | 30 | 30
Right of use assets | 1 | 52 | 53
Inventory | 60 | – | 60
Trade and other receivables | 2 | 17 | 19
Cash and cash equivalents | 175 | 109 | 284
Lease liabilities | (1) | (55) | (56)
Trade and other payables | (40) | (77) | (117)
Taxation | (259) | (236) | (495)
| 1,435 | 1,307 | 2,742
Goodwill | 162 | 965 | 1,127
Total | 1,597 | 2,272 | 3,869
Total cash | 1,597 | 1,790 | 3,387
Fair value of contingent consideration | – | 482 | 482

On 24 November 2022 GSK signed an agreement to buy out the 25% non-controlling interest in Glaxo Saudi Arabia Ltd for
SAR 94 million (£21 million), paid in 2023.

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41. Acquisitions and disposals continued |

237
Demerger of Consumer Healthcare business
On 18 July 2022, GSK plc separated its Consumer Healthcare business from the GSK Group to form Haleon, an independent listed
company. The separation was effected by way of a demerger of 80.1% of GSK’s 68% holding in the Consumer Healthcare business to
GSK shareholders. Following the demerger, 54.5% of Haleon was held in aggregate by GSK shareholders, 6.0% was held by GSK
(including shares received by GSK’s consolidated ESOP trusts) and 7.5% was held by certain Scottish Limited Partnerships (SLPs) set up
to provide collateral for a funding mechanism pursuant to which GSK will provide additional funding for GSK’s UK defined benefit
pension schemes (Note 31, 'Pensions and other post-employment benefits'). The aggregate ownership by GSK (including ownership by
the ESOP trusts and SLPs) after the demerger of 13.5% was measured at fair value with changes through profit or loss. In 2022, Pfizer
held 32% of Haleon after the demerger.
Under IFRIC 17 ‘Distributions of Non-cash Assets to Owners’ a liability and an equity distribution are measured at the fair value of
the assets to be distributed when the dividend is appropriately authorised and it is no longer at the entity’s discretion. The liability
and equity movement, and associated gain on distribution were recognised in Q3 2022 when the demerger distribution was
authorised and occurred.
The asset distributed was the 54.5% ownership of the Consumer Healthcare business. The net carrying value of the Consumer
Healthcare business in the consolidated financial statements, including the retained 13.5% and net of the amount attributable to
the non-controlling interest, was approximately £11 billion at the end of June. GSK’s £6.3 billion share of the shareholder loans made
in Q1 2022 in advance of the pre-separation dividends was eliminated in the consolidated financial statements. The assets
distributed were reduced by Consumer Healthcare transactions up to 18 July that principally included pre-separation dividends
declared and settled after the end of Q2 2022 and before 18 July 2022. Those dividends included: £10.4 billion (£7.1 billion
attributable to GSK) of dividends funded by Consumer Healthcare debt that was partially on-lent during Q1 2022 and dividends of
£0.6 billion (£0.4 billion attributable to GSK) from available cash balances.
The fair value of the 54.5% ownership of the Consumer Healthcare business distributed was £15.5 billion. This was measured by
reference to the quoted average Haleon share price over the first five days of trading, this being a fair value measured with
observable inputs which was considered to be representative of the fair value at the distribution date. A gain on distribution of this
fair value less book value of the attributable net assets of the Consumer Healthcare business of £7.7 billion was recorded in the
income statement in 2022. There was an additional gain of £2.4 billion to remeasure the retained 13.5% from its book value to fair
value of £3.9 billion using the same fair value methodology as used for the distributed shares. The gain on distribution and on
remeasurement of the retained stake upon demerger was presented as part of discontinued operations. Any future gains or losses
on the retained stake in Haleon will be recognised in continuing operations. In addition, there was a reclassification of the Group’s
share of cumulative exchange differences arising on translation of the foreign currency net assets of the divested subsidiaries and
offsetting net investment hedges from reserves into the income statement of £0.6 billion. The total gain on demerger of Consumer
Healthcare was £10.1 billion. These transactions were presented in profit from discontinued operations in 2022.

| 2022 £m
Fair value of the Consumer Healthcare business distributed (54.5%) | 15,526
Fair value of the retained ownership in Haleon plc (13.5%) | 3,853
Total fair value | 19,379
Carrying amount of the net assets and liabilities distributed/de-recognised | (12,887)
Carrying amount of the non-controlling interest de-recognised | 3,038
Gain on demerger before exchange movements and transaction costs | 9,530
Reclassification of exchange movements and net investment hedge movements on disposal of overseas subsidiaries | 554
Total gain on the demerger of Consumer Healthcare | 10,084

Consumer Healthcare was presented as a discontinued operation as at 30 June 2022 and disclosed as such in the interim financial
statements. The Consolidated Income Statement and Consolidated Cash Flow Statement distinguish discontinued operations from
continuing operations. Comparative figures have been restated on a consistent basis. Financial information relating to the
operations of Consumer Healthcare for the period is set out on the following page and includes financial information until 18 July
2022.
This financial information differs both in purpose and basis of preparation from the Historical Financial Information and the Interim
Financial Information included in the Haleon prospectus and from that which was published by Haleon on 2 March 2023. As a
result, whilst the two sets of financial information are similar, they are not the same because of certain differences in accounting and
disclosure under IFRS.

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Total results | 2022 £m | 2021 £m
Turnover | 5,581 | 9,418
Expense | (4,730) | (7,575)
Profit before tax | 851 | 1,843
Taxation | (235) | (263)
Tax rate % | 27.6% | 14.3%
(Loss)/profit after taxation from discontinued operations: Consumer Healthcare | 616 | 1,580
Other gains/(losses) on demerger | 2,433 | –
Remeasurement of discontinued operations distributed to shareholders on demerger | 7,651 | –
Profit after taxation on demerger of discontinued operations | 10,700 | 1,580
Non-controlling interest in discontinued operations | 205 | 511
Earnings attributable to shareholders from discontinued operations | 10,495 | 1,069
Earnings per share from discontinued operations | 260.6p | 26.7p

Other business disposals
There were no other material business disposals in 2022.

Cash flows | Business acquisitions £m | Business disposals - demerger £m | Business disposals - other £m
Cash consideration | (3,392) | – | –
Net deferred consideration paid | – | – | (34)
Cash and cash equivalents (divested)/acquired | 284 | (933) | (9)
| (3,108) | (933) | (43)
Transaction costs paid | (79) | (141) | –
Cash (outflow)/inflow | (3,187) | (1,074) | (43)

Cash consideration for business acquisitions included £5 million related to other business acquisition activity.
2021
Business acquisitions
GSK completed no material business acquisitions in 2021.
Business disposals
GSK made a number of business disposals for net cash consideration received in the year of £10 million. The profit on the disposal of
the businesses in the year of £24 million was calculated as follows:

| Total £m
Consideration: |
Cash consideration including currency forwards, purchase adjustments and deferred consideration | 10
Total | 10
Net assets sold: |
Property, plant and equipment | 3
Cash and cash equivalents | 1
Other net assets | 1
Total | 5
Costs: |
Deal costs | (16)
Reclassification of exchange from other comprehensive income | 35
Gain on disposals in 2021 | 24

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Associates and joint ventures
On 20 May 2021 GSK agreed with Innoviva, Inc. (“Innoviva”) to sell all of its approximately 32 million shares of common stock of
Innoviva back to Innoviva at a price of $12.25 per share, raising gross proceeds of approximately $392 million. Following settlement
of the transaction, GSK will no longer hold any Innoviva stock. See details in Note 21 ‘Investment in associates and joint venture s’.
Cash flows

| Business disposals £m | Associates and joint ventures disposals £m
Cash consideration received | 43 | 277
Net deferred consideration paid | (51) | –
Transaction costs | (8) | –
Cash and cash equivalents (divested)/acquired | (1) | –
Cash (outflow)/inflow | (17) | 277

.

42. Adjustments reconciling Total profit after tax to operating cash flows

| 2023 £m | 2022 £m | 2021 £m
Total profit after tax from continuing operations | 5,308 | 4,921 | 3,516
Tax on profits | 756 | 707 | 83
Share of after-tax (profits)/losses of associates and joint ventures | 5 | 2 | (33)
Finance expense net of finance income | 677 | 803 | 755
Depreciation | 1,082 | 1,061 | 1,034
Amortisation of intangible assets | 1,212 | 1,086 | 1,088
Impairment and assets written off | 467 | 481 | 529
Profit on sale of businesses | – | (36) | (47)
Profit on sale of intangible assets | (12) | (185) | (539)
(Profit)/loss on sale of investments in associates | (1) | – | 36
Profit on sale of equity investments | – | (1) | (8)
Changes in working capital: |  |  |
Decrease/(increase) in inventories | (424) | (269) | 51
(Increase) in trade receivables | (794) | (158) | (780)
Increase/(decrease) in trade payables | (15) | 494 | 229
(Increase)/decrease in other receivables | 145 | (458) | (382)
Contingent consideration paid (see Note 33) | (1,134) | (1,058) | (742)
Other non-cash increase in contingent consideration liabilities | 492 | 1,628 | 1,063
Increase/(decrease) in other payables | 689 | (5) | 1,505
Decrease in pension and other provisions | (457) | (962) | (299)
Share-based incentive plans | 307 | 346 | 343
Fair value adjustments | (107) | (283) | (31)
Other | (100) | (170) | (122)
Operating cash flow from continuing operations | 8,096 | 7,944 | 7,249
Operating cash flow from discontinued operations | – | 932 | 1,994
Total cash generated from operations | 8,096 | 8,876 | 9,243

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43. Reconciliation of net cash flow to movement in net debt

| 2023 £m | 2022 £m | 2021 £m
Net debt, at beginning of year, as adjusted | (17,197) | (19,838) | (20,780)
Decrease in cash and bank overdrafts | (468) | (7,597) | (2,504)
Decrease in liquid investments | (72) | (1) | (18)
Issue of long-term loans | (223) | (1,025) | –
Repayment of short-term notes | 2,116 | 5,074 | 2,304
Repayment of/(increase in) other short-term loans | 333 | (1,021) | (301)
Repayment of long-term loans | 144 | 1,594 | –
Repayment of lease liabilities | 197 | 202 | 181
Investments/(debt) of subsidiary undertakings acquired | 50 | (24) | –
Exchange adjustments | 554 | (1,531) | 314
Other non-cash movements | (474) | (207) | (134)
Decrease/(increase) in net debt from continuing operations | 2,157 | (4,536) | (158)
Decrease/(increase) in net debt from discontinued operations | – | 7,177 | 1,100
Total net debt at end of year | (15,040) | (17,197) | (19,838)

Analysis of changes in net debt |  | At 1 January 2023 £m | Exchange £m | Other £m | Interest expense £m | Change in fair value £m | Reclass- ifications £m | Cash flow £m | At 31 December 2023 £m
Liquid investments |  | 67 | (4) | 51 | – | – | – | (72) | 42
|  | – | – | – | – | – | – | – | –
Cash and cash equivalents |  | 3,723 | (105) | – | – | – | – | (682) | 2,936
Overdrafts |  | (298) | 6 | – | – | – | – | 214 | (78)
|  | 3,425 | (99) | – | – | – | – | (468) | 2,858
Debt due within one year: |  |  |  |  |  |  |  |  |
Commercial paper |  | (1,191) | 56 | – | – | – | – | 320 | (815)
European/US MTN & Bank facilities |  | (2,146) | 48 | – | – | – | (1,669) | 2,116 | (1,651)
Lease liabilities |  | (167) | 12 | (3) | – | – | (195) | 197 | (156)
Other |  | (150) | 21 | 3 | – | – | – | 13 | (113)
|  | (3,654) | 137 | – | – | – | (1,864) | 2,646 | (2,735)
Debt due after one year: |  |  |  |  |  |  |  |  |
European/US MTN & Bank facilities |  | (16,194) | 469 | – | (19) | – | 1,669 | (79) | (14,154)
Lease liabilities |  | (841) | 42 | (447) | – | – | 195 | – | (1,051)
|  | (17,035) | 511 | (447) | (19) | – | 1,864 | (79) | (15,205)
Net debt |  | (17,197) | 545 | (396) | (19) | – | – | 2,027 | (15,040)
Interest payable |  | (207) | 1 | (29) | (693) | – | – | 766 | (162)
Derivative financial instruments |  | 8 | – | – | – | 343 | – | (335) | 16
Total liabilities from financing activities* |  | (20,888) | 649 | (476) | (712) | 343 | – | 2,998 | (18,086)

*Excluding cash and cash equivalents, overdrafts and liquid investments.

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Notes to the financial statements continued

241

Analysis of changes in net debt | At 1 January 2022 £m | Exchange £m | Other £m | Interest expense £m | Change in fair value £m | Reclass- ifications £m | Demerger £m | Cash flow £m | At 31 December 2022 £m
Liquid investments | 61 | 7 | – |  |  |  |  | (1) | 67
Cash and cash equivalents | 3,861 | 99 | 1 | – | – | – | 7,496 | (7,734) | 3,723
Overdrafts | (450) | 15 | – | – | – | – | – | 137 | (298)
Liquid investments attributed to continuing operations | 3,411 | 114 | 1 | – | – | – | 7,496 | (7,597) | 3,425
Liquid investments attributed to discontinued operations | 407 | 37 | – | – | – | – | (7,496) | 7,052 | –
| 3,818 | 151 | 1 | – | – | – | – | (545) | 3,425
Debt due within one year: |  |  |  |  |  |  |  |  |
Commercial paper | (252) | (30) | – | – | – | – | – | (909) | (1,191)
European/US MTN & Bank facilities | (2,596) | (174) | – | – | – | (4,426) | – | 5,050 | (2,146)
Lease liabilities | (173) | (14) | 5 | – | – | (186) | – | 201 | (167)
Other | (52) | (2) | (9) | – | – | – | – | (87) | (150)
Debt due within one year attributed to continuing operations | (3,073) | (220) | (4) | – | – | (4,612) | – | 4,255 | (3,654)
Debt due within one year attributed to discontinued operations | (72) | (3) | (15) | – | – | (3) | 1,559 | (1,466) | –
| (3,145) | (223) | (19) | – | – | (4,615) | 1,559 | 2,789 | (3,654)
Debt due after one year: |  |  |  |  |  |  |  |  |
European/US MTN & Bank facilities | (19,760) | (1,386) | – | (43) | – | 4,426 | – | 569 | (16,194)
Lease liabilities | (725) | (59) | (243) | – | – | 186 | – | – | (841)
Debt due after one year attributed to continuing operations | (20,485) | (1,445) | (243) | (43) | – | 4,612 | – | 569 | (17,035)
Debt due after one year attributed to discontinued operations | (87) | (777) | (6) | (4) | 48 | 3 | 10,059 | (9,236) | –
| (20,572) | (2,222) | (249) | (47) | 48 | 4,615 | 10,059 | (8,667) | (17,035)
Net debt | (19,838) | (2,287) | (267) | (47) | 48 | – | 11,618 | (6,424) | (17,197)
Interest payable | (244) | (5) | (33) | (865) | – | – | 92 | 848 | (207)
Derivative financial instruments | (22) | – | – | – | 670 | – | – | (640) | 8
Total liabilities from financing activities* | (23,983) | (2,450) | (301) | (912) | 718 | – | 11,710 | (5,670) | (20,888)

*Excluding cash and cash equivalents, overdrafts and liquid investments.
For further information on significant changes in net debt see Note 30, ‘Net debt’.

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Notes to the financial statements continued
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242

44. Financial instruments and related disclosures

The objective of GSK’s Treasury activities is to minimise the net
cost of financial operations and reduce its volatility to benefit
earnings and cash flows. GSK uses a variety of financial
instruments to finance its operations and derivative financial
instruments to manage market risks from these operations.
Derivatives principally comprise foreign exchange forward
contracts and swaps which are used to swap borrowings and
liquid assets into currencies required for Group purposes as well
as interest rate swaps which are used to manage exposure to
financial risks from changes in interest rates. These financial
instruments reduce the uncertainty of foreign currency
transactions and interest payments.
Derivatives are used exclusively for hedging purposes in relation
to underlying business activities and not as trading or
speculative instruments.
Capital management
GSK’s financial strategy supports the Group’s strategic priorities
and is regularly reviewed by the Board. GSK manages the
capital structure of the Group through an appropriate mix of
debt and equity.
The capital structure of the Group consists of net debt of £15
billion (see Note 30, ‘Net debt’) and total equity, including items
related to non-controlling interes ts, of £13 billion (see
‘Consolidated statement of changes in equity’ on page 182).
Total capital, including that provided by non-controlling
interests, is £28 billion.
The Group continues to manage its financial policies to a credit
profile that particularly targets ratings of at least A2/A
(Moody's/S&P), through the cycle. The Group’s long-term credit
rating with Standard & Poor’s is A (stable outlook) and with
Moody’s Investor Services (‘Moody’s’) is A2 (stable outlook). The
Group’s short-term credit ratings are A-1 and P-1 with Standard
& Poor’s and Moody’s respectively.
Liquidity risk management
GSK’s policy is to borrow centrally in order to meet anticipated
funding requirements. The strategy is to diversify liquidity
sources using a range of facilities and to maintain broad access
to financial markets. Each day, GSK sweeps cash to or from a
number of global subsidiaries and central Treasury accounts for
liquidity management purposes. GSK utilises both physical and
notional cash pool arrangements as appropriate by location
and currency. For notional cash pools, liquidity is drawn against
foreign currency balances to provide both local funding and
central liquidity as required and with balances actively
managed and maintained to appropriate levels. As balances in
notional pooling arrangements are not settled across
currencies, gross cash and overdraft balances are reported.
At 31 December 2023, GSK had £2.8 billion of borrowings
repayable within one year and held £3.0 billion of cash and
cash equivalents and liquid investments of which £2.2 billion
was held centrally.
GSK has access to short-term finance under a $10 billion
(£7.8 billion) US commercial paper programme; $850 million
(£667 million) was in issue at 31 December 2023 (2022:
$900 million (£748 million)). GSK has access to short-term
finance under a £5 billion Euro commercial paper programme;
€170 million (£148 million) was in issue at 31 December 2023
(2022: €500 million (£443 million)). GSK has a £1.6 billion three-
year and a $2.2 billion (£1.7 billion) 364 day committed facility.
These committed facilities were undrawn at 31 December 2023.
GSK considers this level of committed facilities to be adequate,
given current liquidity requirements.
GSK has a £20 billion Euro Medium Term Note programme and
at 31 December 2023, £9.2 billion of notes were in issue under
this programme. The Group also had $8.4 billion (£6.6 billion) of
notes in issue at 31 December 2023 under a US shelf
registration. GSK’s borrowings mature at dates between 2024
and 2045.
The put option owned by Pfizer in ViiV Healthcare is exercisable.
In reviewing liquidity requirements GSK considers that sufficient
financing options are available should the put option be
exercised.
Market risk
Interest rate risk management
GSK’s objective is to minimise the effective net interest cost and
to balance the mix of debt at fixed and floating rates over time.
The Group’s main interest rate risk arises from borrowings and
investments with floating rates and refinancing of maturing
fixed rate debt where any changes in interest rates will affect
future cash flows or the fair values of financial instruments. The
policy on interest rate risk management limits the net amount of
floating rate debt to a specific cap, reviewed and agreed no
less than annually by the Board.
The majority of debt is issued at fixed interest rates and
changes in the floating rates of interest do not significantly
affect the Group’s net interest charge. Short-term borrowings
including bank facilities are exposed to the risk of future
changes in market interest rates as are the majority of cash and
liquid investments.
Foreign exchange risk management
The Group’s objective is to minimise the exposure of overseas
operating subsidiaries to transaction risk by matching local
currency income with local currency costs where possible.
Foreign currency transaction exposures arising on external and
internal trade flows are selectively hedged. GSK’s internal
trading transactions are matched centrally and inter-company
payment terms are managed to reduce foreign currency risk.
Where possible, GSK manages the cash surpluses or borrowing
requirements of subsidiary companies centrally using forward
contracts to hedge future repayments back into the originating
currency.
In order to reduce foreign currency translation exposure, the
Group seeks to denominate borrowings in the currencies of our
principal assets and cash flows. These are primarily
denominated in US Dollars, Euros and Sterling. Borrowings can
be swapped into other currencies as required.

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Notes to the financial statements continued

243
Borrowings denominated in, or swapped into, foreign currencies
that match investments in overseas Group assets may be
treated as a hedge against the relevant assets. Forward
contracts in major currencies are also used to reduce exposure
to the Group’s investment in overseas assets (see ‘Net
investment hedges’ section of this note for further details).
Credit risk
Credit risk is the risk that a counterparty will default on its
contractual obligations resulting in financial loss to the Group
and arises on cash and cash equivalents and favourable
derivative financial instruments held with banks and financial
institutions as well as credit exposures to wholesale and retail
customers, including outstanding receivables.
The Group considers its maximum credit risk at 31 December
2023 to be £9,528 million (31 December 2022: £10,180 million)
which is the total of the Group’s financial assets with the
exception of ’Other investments’ (comprising equity
investments) which bear equity risk rather than credit risk. See
page 247 for details on the Group’s total financial assets. At
31 December 2023, GSK’s greatest concentration of credit risk
was £1.2 billion with a wholesaler in the US (2022: £1.1 billion with
a wholesaler in the US). See page 245 for further information on
the Group’s credit risk exposure in respect of the three largest
US wholesaler customers.
There has been no change in the estimation techniques or
significant assumptions made during the current reporting
period in assessing the loss allowance for financial assets at
amortised cost or at FVTOCI since the adoption of IFRS 9 at the
start of the 2018 reporting period.
Treasury-related credit risk
GSK sets global counterparty limits for each of GSK’s banking
and investment counterparties based on long-term credit
ratings from Moody’s and Standard & Poor’s. Usage of these
limits is actively monitored.
GSK actively manages its exposure to credit risk, reducing
surplus cash balances wherever possible. This is part of GSK’s
strategy to regionalise cash management and to concentrate
cash centrally as much as possible. The table below sets out the
credit exposure to counterparties by rating for liquid
investments, cash and cash equivalents and derivatives.
The gross asset position on each derivative contract is
considered for the purpose of this table, although, under ISDA
agreements, the amount at risk is the net position with each
counterparty. Table (e) on page 255 sets out the Group’s
financial assets and liabilities on an offset basis.

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244
At 31 December 2023, £44 million (2022: £60 million) of cash is categorised as held with unrated or sub-investment grade rated
counterparties (lower than BBB-/Baa3). This exposure is concentrated in overseas banks used for local cash management or
investment purposes, including: £18 million in Saudi Arabia with Saudi British Bank; £15 million with Halk Bank in the UK; £7 million in
Nigeria held with United Bank for Africa, Zenith Bank, Access Bank and Stanbic IBTC Bank; £2 million in Brazil held with Banco
Bradesco, Itau UniBanco, Banco Do Brasil and Caixa Economica Federal; and £1 million with Banco De La Produccion in Ecuador.
Of the £55 million of bank balances and deposits held with BBB/Baa rated counterparties, £3.4 million was held with BBB-/Baa3
rated counterparties, including balances or deposits of £2.6 million with State Bank of India in India. These banks are used for local
investment purposes.
GSK measures expected credit losses over cash and cash equivalents as a function of individual counterparty credit ratings and
associated 12 month default rates. Expected credit losses over cash and cash equivalents and third-party financial derivatives are
deemed to be immaterial and no such loss has been experienced during 2023.
Credit ratings are assigned by Standard & Poor’s and Moody’s respectively. Where the opinions of the two rating agencies differ,
GSK assigns the lower rating of the two to the counterparty. Where local rating agency or Fitch data is the only source available, the
ratings are converted to global ratings equivalent to those of Standard & Poor’s or Moody’s using published conversion tables.
These credit ratings form the basis of the assessment of the expected credit loss on Treasury-related balances held at amortised
cost being bank balances and deposits and Government securities.

2023 | AAA/Aaa £m | AA/Aa £m | A/A £m | BBB/Baa £m | BB+/Ba1 and below /unrated £m | Total £m
Bank balances and deposits | – | 28 | 1,815 | 55 | 44 | 1,942
US Treasury and Treasury repo only money market funds | 155 | – | – | – | – | 155
Liquidity funds | 839 | – | – | – | – | 839
Government securities | – | 42 | – | – | – | 42
Third party financial derivatives | – | – | 130 | – | – | 130
Total | 994 | 70 | 1,945 | 55 | 44 | 3,108

2022 | AAA/Aaa £m | AA/Aa £m | A/A £m | BBB/Baa £m | BB+/Ba1 and below /unrated £m | Total £m
Bank balances and deposits | – | – | 1,215 | 49 | 60 | 1,324
US Treasury and Treasury repo only money market funds | 146 | – | – | – | – | 146
Liquidity funds | 2,253 | – | – | – | – | 2,253
Government securities | – | 67 | – | – | – | 67
Third party financial derivatives | – | – | 188 | – | – | 188
Total | 2,399 | 67 | 1,403 | 49 | 60 | 3,978

GSK’s centrally managed cash reserves amounted to £2.2 billion
at 31 December 2023, all available within three months. This
includes £2.0 billion of cash managed by the Group for ViiV
Healthcare, a 78.3% owned subsidiary. The Group has invested
centrally managed liquid assets in bank deposits, Aaa/AAA
rated US Treasury and Treasury repo only money market funds
and Aaa/AAA rated liquidity funds.
Wholesale and retail credit risk
Outside the US, no customer accounts for more than 5% of the
Group’s trade receivables balance.
In the US, in line with other pharmaceutical companies, the
Group sells its products through a small number of wholesalers
in addition to hospitals, pharmacies, physicians and other
groups. Sales to the three largest wholesalers amounted to
approximately 79% (2022:79%) of the sales of the US
Commercial Operations business in 2023.
At 31 December 2023, the Group had trade receivables due
from these three wholesalers totalling £3,319 million or 56% of
total trade receivables (2022: £3,001 million or 55%). The Group
is exposed to a concentration of credit risk in respect of these
wholesalers such that, if one or more of them encounters
financial difficulty, it could materially and adversely affect the
Group’s financial results.
This concentration of trade receivables is reflective of standard
market practice in the US pharmaceuticals sector where a
significant portion of sales are made to these three wholesalers,
as disclosed in Note 6 'Turnover and segment information'.
GSK’s assessment is that there is limited credit risk associated
with these customers.
The Group’s credit risk monitoring activities relating to these
wholesalers include a review of their quarterly financial
information and Standard & Poor’s credit ratings, development
of GSK internal risk ratings, and establishment and periodic
review of credit limits.
All new customers are subject to a credit vetting process and
existing customers will be subject to a review at least annually.
The vetting process and subsequent reviews involve obtaining
information including the customer’s status as a government or
private sector entity, audited financial statements, credit bureau
reports, debt rating agency (e.g. Moody’s, Standard & Poor’s)
reports, payment performance history (from trade references,
industry credit groups) and bank references.

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245
Trade receivables consist of amounts due from a large number
of customers, spread across diverse industries and
geographical areas. Ongoing credit evaluation is performed on
the financial condition of accounts receivable and, where
appropriate, credit insurance is purchased or factoring
arrangements put in place.
The amount of information obtained is proportional to the level
of exposure being considered. The information is evaluated
quantitatively (i.e. credit score) and qualitatively (i.e.
judgement) in conjunction with the customer’s credit
requirements to determine a credit limit.
Trade receivables are grouped into customer segments that
have similar loss patterns to assess credit risk while other
receivables and other financial assets are assessed individually.
Historical and forward-looking information is considered to
determine the appropriate expected credit loss allowance.
The Group believes there is no further credit risk provision
required in excess of the allowance for expected credit losses
(see Note 26, ‘Trade and other receivables’).
Credit enhancements
The Group uses credit enhancements including factoring and
credit insurance to minimise the credit risk of the trade
receivables in the Group. At 31 December 2023, £421 million
(2022: £332 million) of trade receivables were insured in order
to protect the receivables from loss due to credit risks such as
default, insolvency and bankruptcy.
Each Group entity assesses the credit risk of its private
customers to determine if credit insurance is required.
Factoring arrangements are managed locally by entities and
are used to mitigate risk arising from large credit risk
concentrations. All factoring arrangements are non-recourse.
Fair value of financial assets and liabilities
excluding lease liabilities
The table on page 247 presents the carrying amounts and the
fair values of the Group’s financial assets and liabilities
excluding lease liabilities at 31 December 2023 and
31 December 2022.
The fair values of the financial assets and liabilities are included
at the price that would be received to sell an asset or paid to
transfer a liability in an orderly transaction between market
participants at the measurement date.
The following methods and assumptions are used to measure
the fair values of significant financial instruments carried at fair
value on the balance sheet:
– Other investments – equity investments traded in an active
market determined by reference to the relevant stock
exchange quoted bid price; other equity investments
determined by reference to the current market value of
similar instruments, recent financing rounds or the discounted
cash flows of the underlying net assets
– Trade receivables carried at fair value – based on invoiced
amount
– Interest rate swaps, foreign exchange forward contracts,
swaps and options – based on the present value of
contractual cash ﬂows or option valuation models using
market sourced data (exchange rates or interest rates) at the
balance sheet date
– Cash equivalents carried at fair value – based on net asset
value of the funds
– Contingent consideration for business acquisitions and
divestments – based on present values of expected future
cash flows.
The following methods and assumptions are used to estimate
the fair values of significant financial instruments which are not
measured at fair value on the balance sheet:
– Receivables and payables, including put options, carried at
amortised cost – approximates to the carrying amount
– Liquid investments – approximates to the carrying amount
– Cash and cash equivalents carried at amortised cost –
approximates to the carrying amount
– Long-term loans – based on quoted market prices (a level 1
fair value measurement) in the case of European and US
Medium Term Notes; approximates to the carrying amount in
the case of other fixed rate borrowings and floating rate bank
loans
– Short-term loans, overdrafts and commercial paper –
approximates to the carrying amount because of the short
maturity of these instruments.

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Notes to the financial statements continued
44. Financial instruments and related disclosures continued |

246

|  |  | 2023 | 2022
| Notes |  | Carrying value £m | Fair value £m | Carrying value £m | Fair value £m
Financial assets measured at amortised cost: |  |  |  |  |  |
Other non-current assets | b |  | 9 | 9 | 21 | 21
Trade and other receivables | b |  | 3,829 | 3,829 | 3,789 | 3,789
Liquid investments |  |  | 42 | 42 | 67 | 67
Cash and cash equivalents |  |  | 1,942 | 1,942 | 1,324 | 1,324
Financial assets measured at fair value through other comprehensive income (FVTOCI): |  |  |  |  |  |
Other investments designated at FVTOCI | a |  | 931 | 931 | 1,153 | 1,153
Trade and other receivables | a,b |  | 2,541 | 2,541 | 2,327 | 2,327
Financial assets mandatorily measured at fair value through profit or loss (FVTPL): |  |  |  |  |  |
Current equity investments and other investments | a |  | 2,410 | 2,410 | 4,401 | 4,401
Other non-current assets | a,b |  | 18 | 18 | 13 | 13
Trade and other receivables | a,b |  | 23 | 23 | 50 | 50
Held for trading derivatives that are not in a designated and effective hedging relationship | a,d,e |  | 98 | 98 | 165 | 165
Cash and cash equivalents | a |  | 994 | 994 | 2,399 | 2,399
Derivatives designated and effective as hedging instruments (fair value movements through other comprehensive income) | a,d,e |  | 32 | 32 | 25 | 25
Total financial assets |  |  | 12,869 | 12,869 | 15,734 | 15,734
Financial liabilities measured at amortised cost: |  |  |  |  |  |
Borrowings excluding obligations under lease liabilities: |  |  |  |  |  |
– bonds in a designated hedging relationship | d |  | (5,348) | (5,233) | (6,322) | (6,035)
– other bonds |  |  | (10,456) | (10,762) | (12,017) | (11,930)
– bank loans and overdrafts |  |  | (191) | (191) | (447) | (447)
– commercial paper in a designated hedging relationship |  |  | (148) | (148) | (443) | (443)
– other commercial paper |  |  | (667) | (667) | (748) | (748)
– other borrowings |  |  | (1) | (1) | (2) | (2)
Total borrowings excluding lease liabilities | f |  | (16,811) | (17,002) | (19,979) | (19,605)
Trade and other payables | c |  | (13,383) | (13,383) | (14,065) | (14,065)
Other provisions | c |  | (199) | (199) | (63) | (63)
Other non-current liabilities | c |  | (54) | (54) | (84) | (84)
Financial liabilities mandatorily measured at fair value through profit or loss (FVTPL): |  |  |  |  |  |
Contingent consideration liabilities | a,c |  | (6,662) | (6,662) | (7,068) | (7,068)
Held for trading derivatives that are not in a designated and effective hedging relationship | a,d,e |  | (78) | (78) | (77) | (77)
Derivatives designated and effective as hedging instruments (fair value movements through other comprehensive income) | a,d,e |  | (36) | (36) | (106) | (106)
Total financial liabilities excluding lease liabilities |  |  | (37,223) | (37,414) | (41,442) | (41,068)
Net financial assets and financial liabilities excluding lease liabilities |  |  | (24,354) | (24,545) | (25,708) | (25,334)

The valuation methodology used to measure fair value in the above table is described and categorised on page 246.
Trade and other receivables, Other non-current assets, Trade and other payables, Other provisions, Contingent consideration
liabilities and Other non-current liabilities are reconciled to the relevant Notes on pages 249 to 250.

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44. Financial instruments and related disclosures continued |

247
Fair value of investments in GSK shares
At 31 December 2023, the Employee Share Ownership Plan (ESOP) Trusts held GSK shares with a carrying value of £288 million
(2022: £354 million) and a market value of £853 million (2022: £861 million) based on quoted market price. The shares are held by
the ESOP Trusts to satisfy future exercises of options and awards under employee incentive schemes. In 2023, the carrying value,
which is the lower of cost or expected proceeds, of these shares has been recognised as a deduction from other reserves. At
31 December 2023, GSK held Treasury shares at a cost of £3,447 million (2022: £3,797 million) which has been deducted from
retained earnings.
(a) Financial instruments held at fair value
The following tables categorise the Group’s financial assets and liabilities held at fair value by the valuation methodology applied in
determining their fair value. Where possible, quoted prices in active markets are used (Level 1). Where such prices are not available,
the asset or liability is classified as Level 2, provided all significant inputs to the valuation model used are based on observable
market data. If one or more of the significant inputs to the valuation model is not based on observable market data, the instrument
is classified as Level 3. Other investments classified as Level 3 in the tables below comprise equity investments in unlisted entities
with which the Group has entered into research collaborations and investments which provide access to biotechnology
developments of potential interest.

At 31 December 2023 | Level 1 £m | Level 2 £m | Level 3 £m | Total £m
Financial assets at fair value |  |  |  |
Financial assets measured at fair value through other comprehensive income (FVTOCI): |  |  |  |
Other investments designated at FVTOCI | 741 | – | 190 | 931
Trade and other receivables | – | 2,541 | – | 2,541
Financial assets mandatorily measured at fair value through profit or loss (FVTPL): |  |  |  |
Current equity investments and other investments | 2,204 | – | 206 | 2,410
Other non-current assets | – | – | 18 | 18
Trade and other receivables | – | 23 | – | 23
Held for trading derivatives that are not in a designated and effective hedging relationship | – | 98 | – | 98
Cash and cash equivalents | 994 | – | – | 994
Derivatives designated and effective as hedging instruments (fair value movements through OCI) | – | 32 | – | 32
| 3,939 | 2,694 | 414 | 7,047
Financial liabilities at fair value |  |  |  |
Financial liabilities mandatorily measured at fair value through profit or loss (FVTPL): |  |  |  |
Contingent consideration liabilities | – | – | (6,662) | (6,662)
Held for trading derivatives that are not in a designated and effective hedging relationship | – | (78) | – | (78)
Derivatives designated and effective as hedging instruments (fair value movements through OCI) | – | (36) | – | (36)
| – | (114) | (6,662) | (6,776)

At 31 December 2022 | Level 1 £m | Level 2 £m | Level 3 £m | Total £m
Financial assets at fair value |  |  |  |
Financial assets measured at fair value through other comprehensive income (FVTOCI): |  |  |  |
Other investments designated at FVTOCI | 823 | – | 330 | 1,153
Trade and other receivables | – | 2,327 | – | 2,327
Financial assets mandatorily measured at fair value through profit or loss (FVTPL): |  |  |  |
Current equity investments and other investments | 4,087 | – | 314 | 4,401
Other non-current assets | – | – | 13 | 13
Trade and other receivables | – | 50 | – | 50
Held for trading derivatives that are not in a designated and effective hedging relationship | – | 165 | – | 165
Cash and cash equivalents | 2,399 | – | – | 2,399
Derivatives designated and effective as hedging instruments (fair value movements through OCI) | – | 25 | – | 25
| 7,309 | 2,567 | 657 | 10,533
Financial liabilities at fair value |  |  |  |
Financial liabilities mandatorily measured at fair value through profit or loss (FVTPL): |  |  |  |
Contingent consideration liabilities | – | – | (7,068) | (7,068)
Held for trading derivatives that are not in a designated and effective hedging relationship | – | (77) | – | (77)
Derivatives designated and effective as hedging instruments (fair value movements through OCI) | – | (106) | – | (106)
| – | (183) | (7,068) | (7,251)

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Movements in the year for financial instruments measured using Level 3 valuation methods are presented below:

| 2023 £m | 2022 £m
At 1 January | (6,411) | (5,657)
Exchange adjustments | – | 46
Net losses recognised in the income statement | (863) | (1,627)
Net (losses)/ gains recognised in other comprehensive income | (142) | 91
Contingent consideration related to business acquisitions in the period | – | (482)
Settlement of contingent consideration liabilities | 1,145 | 1,137
Additions | 57 | 97
Disposals and settlements | (25) | (16)
Transfers from Level 3 | (9) | –
At 31 December | (6,248) | (6,411)

Of the total net losses of £863 million (2022: £1,627 million) attributable to Level 3 financial instruments which were recognised in the
income statemen t, £857 million (2022: £1,623 million) were in respect of financial instruments which were held at the end of the year
and were reported in Other operating income/expense. Charges of £934 million (2022: £1,431 million) arose from remeasurement of
the contingent consideration payable for the acquisition of the former Shionogi-ViiV Healthcare joint venture. A remeasurement
gain of £210 million (2022: £231 million loss) arose from remeasurement of the contingent consideration payable for the acquisition
of the Novartis Vaccines business. The acquisition of Affinivax in 2022 resulted in the additon of £482 million of contingent
consideration to Level 3 financial liabilities, with charg es of £44 million (2022: £17 million) a rising on the remeasurement of the
contingent consideration liability for the year. There were transfers of £9 million out of Level 3 financial instruments in the year (2022:
no transfers into or out of Level 3 financial instruments). Movements arising on the translation of overseas net assets for
consolidation into the Group accounts are recorded as exchange adjustments. Net gains and losses include the impact of other
exchange movements.
Financial liabilities measured using Level 3 valuation methods at 31 December included £5,718 million (2022: £5,890 million) in
respect of contingent consideration payable for the acquisition in 2012 of the former Shionogi-ViiV Healthcare joint venture. This
consideration is expected to be paid over a number of years and will vary in line with the future performance of specified products
and movements in certain foreign currencies. A further £424 million (2022: £673 million) is in respect of contingent consideration for
the acquisition in 2015 of the Novartis Vaccines business. This consideration is expected to be paid over a number of years and will
vary in line with the future performance of specified products, the achievement of certain milestone targets and movements in
certain foreign currencies. As a result of the acquisition of Affinivax in 2022, contingent consideration payable of £516 million (2022:
£501 million) is recognised at 31 December. This consideration is expected to be paid over a number of years and will vary in line
with the achievement of certain development milestones and movements in the USD/GBP exchange rate. Sensitivity analysis on
these balances is provided in Note 33, ‘Contingent consideration liabilities’.
(b) Trade and other receivables and Other non-current assets in scope of IFRS 9
The following table reconciles financial instruments within Trade and other receivables and Other non-current assets which fall
within the scope of IFRS 9 to the relevant balance sheet amounts. The financial assets are predominantly non-interest earning. Non-
financial instruments include tax receivables, pension surplus balances and prepayments, which are outside the scope of IFRS 9.

|  |  |  | 2023 |  |  |  | 2022
| At FVTPL £m | At FVTOCI £m | Amortised cost £m | Financial instruments £m | Non- financial instruments £m | Total £m | At FVTPL £m | At FVTOCI £m | Amortised cost £m | Financial instruments £m | Non- financial instruments £m | Total £m
Trade and other receivables (Note 26) | 23 | 2,541 | 3,829 | 6,393 | 992 | 7,385 | 50 | 2,327 | 3,789 | 6,166 | 887 | 7,053
Other non-current assets (Note 24) | 18 | – | 9 | 27 | 1,557 | 1,584 | 13 | – | 21 | 34 | 1,160 | 1,194
| 41 | 2,541 | 3,838 | 6,420 | 2,549 | 8,969 | 63 | 2,327 | 3,810 | 6,200 | 2,047 | 8,247

Trade and other receivables include trade receivables of £5,905 million (2022: £5,452 million). The Group has portfolios in each of
the three business models under IFRS 9: £23 million (2022: £50 million), measured at FVTPL, is held to sell the contractual cash flows
as the receivables will be sold under a factoring arrangement, £2,541 million (2022: £2,327 million), measured at FVTOCI, is held to
either collect or sell the contractual cash flows as the receivables may be sold under a factoring agreement, and £3,341 million
(2022: £3,075 million), measured at amortised cost, is held to collect the contractual cash flows and there is no factoring agreement
in place.

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(c) Trade and other payables, Other provisions, Contingent consideration liabilities and Other non-
current liabilities in scope of IFRS 9
The following table reconciles financial instruments within Trade and other payables, Other provisions, Contingent consideration
liabilities and Other non-current liabilities which fall within the scope of IFRS 9 to the relevant balance sheet amounts. The financial
liabilities are predominantly non-interest bearing. Non-financial instruments include payments on account, tax and social security
payables and provisions which do not arise from contractual obligations to deliver cash or another financial asset, which are outside
the scope of IFRS 9.

|  |  | 2023 |  |  | 2022
| At FVTPL £m | Amortised cost £m | Financial instruments £m | Non- financial instruments £m | Total £m | At FVTPL £m | Amortised cost £m | Financial instruments £m | Non- financial instruments £m | Total £m
Trade and other payables (Note 29) | – | (13,383) | (13,383) | (2,461) | (15,844) | – | (14,065) | (14,065) | (2,198) | (16,263)
Other provisions (Note 32) | – | (199) | (199) | (1,040) | (1,239) | – | (63) | (63) | (1,121) | (1,184)
Contingent consideration liabilities (Note 33) | (6,662) | – | (6,662) | – | (6,662) | (7,068) | – | (7,068) | – | (7,068)
Other non-current liabilities (Note 34) | – | (54) | (54) | (1,053) | (1,107) | – | (84) | (84) | (815) | (899)
| (6,662) | (13,636) | (20,298) | (4,554) | (24,852) | (7,068) | (14,212) | (21,280) | (4,134) | (25,414)

(d) Derivative financial instruments and hedging programmes
Derivatives are only used for economic hedging purposes and not as speculative investments and are classified as ‘held for trading’,
other than designated and effective hedging instruments, and are presented as current assets or liabilities if they are expected to be
settled within 12 months after the end of the reporting period, otherwise they are classified as non-current. The Group has the
following derivative financial instruments:

| 2023 Fair value |  | 2022 Fair value
| Assets £m | Liabilities £m |  | Assets £m | Liabilities £m
Current |  |  |  |  |
Cash flow hedges – Foreign exchange contracts (net principal amount – £175 million (2022: £167 million)) | – | (2) |  | 5 | –
Net investment hedges – Foreign exchange contracts (net principal amount – £12,339 million (2022: £7,197 million)) | 32 | (34) |  | 20 | (106)
Derivatives designated and effective as hedging instruments | 32 | (36) |  | 25 | (106)
Current |  |  |  |  |
Foreign exchange contracts (net principal amount – £10,375 million (2022: £5,908 million)) | 98 | (78) |  | 163 | (76)
Embedded and other derivatives | – | – |  | 2 | (1)
Derivatives classified as held for trading | 98 | (78) |  | 165 | (77)
Total derivative instruments | 130 | (114) |  | 190 | (183)

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Fair value hedges
At 31 December 2023 and 31 December 2022, the Group had no designated fair value hedges.
Net investment hedges
At 31 December 2023, certain foreign exchange contracts were designated as net investment hedges in respect of the foreign
currency translation risk arising on consolidation of the Group’s net investment in its European (Euro), American (USD), Singaporean
(SGD), Canadian (CAD) and Japanese (JPY) foreign operations as shown in the table below.
The carrying value of bonds on page 247 included £5,348 million (2022: £6,322 million) that were designated as hedging
instruments in net investment hedges.
Cash flow hedges
During 2022 and 2023, the Group entered into forward foreign exchange contracts which have been designated as cash flow
hedges. These were entered into to hedge the foreign exchange exposure arising on cash flows from Euro denominated coupon
payments relating to notes issued under the Group’s European Medium Term Note programme, and to hedge foreign currency
payments due on acquisitions, and collaboration or licensing arrangements.
The Group manages its cash flow interest rate risk by using floating-to-fixed interest rate swaps. In addition, the Group carries a
balance in reserves that arose from pre-hedging fluctuations in long-term interest rates when pricing bonds issued in prior years
and in the current year. The balance is reclassified to finance costs over the life of these bonds.
Foreign exchange risk
In the current year, the Group has designated certain foreign exchange forward contracts and swaps as cash flow and net
investment hedges. Foreign exchange derivative financial assets and liabilities are presented in the line ‘Derivative financial
instruments’ (either as assets or liabilities) on the Consolidated balance sheet. The following tables detail the foreign exchange
forward contracts and swaps outstanding at the end of the reporting period, as well as information on the related hedged items.
Hedge effectiveness is determined at the inception of the hedge relationship, and through periodic prospective effectiveness
assessments to ensure that an economic relationship exists between the hedged item and hedging instrument. The Group enters
into hedge relationships where the critical terms of the hedging instrument match exactly with the terms of the hedged item, and so
a qualitative assessment of effectiveness is performed. If changes in circumstances affect the terms of the hedged item such that
the critical terms no longer match exactly with the critical terms of the hedging instrument, the Group uses the hypothetical
derivative method to assess effectiveness.
The main source of hedge ineffectiveness in these hedging relationships is the effect of the counterparty and the Group’s own credit
risk on the fair value of the foreign exchange forward contracts and swaps, which is not reflected in the fair value of the hedged
item attributable to changes in foreign exchange rates. No other sources of ineffectiveness emerged from these hedging
relationships. No ineffectiveness was recorded from cash flow hedges in 2023 (2022: £nil). No ineffectiveness was recorded from net
investment hedges (2022: £nil).

|  | 2023
Hedging instruments | Average exchange rate | Foreign currency | Net Notional value £m | Carrying value £m | Periodic change in value for calculating hedge ineffectiveness £m
Cash flow hedges |  |  |  |  |
Foreign exchange contracts |  |  |  |  |
Buy foreign currency: |  |  |  |  |
Less than 3 months | 1.27 | USD | 145 | (1) | (1)
3 to 6 months | – | – | – | – | –
Over 6 months | 1.25 | USD | 35 | (1) | (1)
Sell foreign currency: |  |  |  |  |
Less than 3 months | 1.16 | EUR | (5) | – | –
|  |  | 175 | (2) | (2)

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|  | 2023
Hedging instruments | Average exchange rate | Foreign currency | Net notional value £m | Carrying value £m | Periodic change in value for calculating hedge ineffectiveness £m
Net investment hedges |  |  |  |  |
Foreign exchange contracts |  |  |  |  |
Sell foreign currency: |  |  |  |  |
Less than 3 months | 1.15 | EUR | 9,146 | (12) | 126
| 181.42 | JPY | 133 | (1) | 28
| 1.27 | USD | 2,633 | 8 | 97
Over 6 months | 1.67 | CAD | 260 | 2 | 10
| 1.66 | SGD | 167 | 1 | 7
Borrowings: |  |  |  |  |
Less than 3 months |  | EUR | 148 | (148) | 12
3 to 6 months |  | – | – | – | –
Over 6 months |  | JPY | 236 | (235) | (3)
|  | EUR | 5,127 | (5,113) | 125
|  |  | 17,850 | (5,498) | 402

| 2023
Hedged items | Periodic change in value for calculating hedge ineffectiveness £m | Cumulative balance in cash flow hedge reserve/foreign currency translation reserve for continuing hedges £m | Balance in cash flow hedge reserve arising from hedging relationships for which hedge accounting is no longer applied £m
Cash flow hedges |  |  |
Variability in cash flows from a highly probable forecast transaction | 2 | (2) | –
Net investment hedges |  |  |
Net investment in foreign operations | (402) | (725) | –

| 2022
Hedging instruments | Average exchange rate | Foreign currency | Net notional value £m | Carrying value £m | Periodic change in value for calculating hedge ineffectiveness £m
Cash flow hedges |  |  |  |  |
Foreign exchange contracts |  |  |  |  |
Buy foreign currency: |  |  |  |  |
Less than 3 months | 1.23 | USD | 100 | 2 | 2
3 to 6 months | 1.16 | EUR | 50 | 2 | 2
Over 6 months | 1.15 | EUR | 24 | 1 | 1
Sell foreign currency: |  |  |  |  |
Less than 3 months | 1.14 | EUR | (7) | – | –
|  |  | 167 | 5 | 5

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|  | 2022
Hedging instruments | Average exchange rate | Foreign currency | Net notional value £m | Carrying value £m | Periodic change in value for calculating hedge ineffectiveness £m
Net investment hedges |  |  |  |  |
Foreign exchange contracts |  |  |  |  |
Sell foreign currency: |  |  |  |  |
Less than 3 months | 1.14 | EUR | 6,559 | (103) | (317)
| 160.90 | JPY | 194 | (3) | (9)
3 to 6 months | – | – | – | – | –
Over 6 months | 1.57 | CAD | 270 | 18 | 15
| 1.59 | SGD | 174 | 2 | 1
Borrowings: |  |  |  |  |
Less than 3 months |  | EUR | 293 | (293) | (4)
3 to 6 months |  | EUR | 150 | (150) | (3)
Over 6 months |  | EUR | 6,341 | (6,322) | (300)
|  |  | 13,981 | (6,851) | (617)

| 2022
Hedged items | Periodic change in value for calculating hedge ineffectiveness £m | Cumulative balance in cash flow hedge reserve/foreign currency translation reserve for continuing hedges £m | Balance in cash flow hedge reserve arising from hedging relationships for which hedge accounting is no longer applied £m
Cash flow hedges |  |  |
Variability in cash flows from a highly probable forecast transaction | (2) | 2 | –
Variability in cash flows from foreign exchange exposure arising on Euro denominated coupon payments relating to debt issued | (3) | 2 | –
Net investment hedges |  |  | –
Net investment in foreign operations | 617 | (1,120) | –

£nil (2022: £3 million) of balances in the cash flow hedge reserve arise from hedging relationships for which hedge accounting is no
longer applied.
The following table details the effectiveness of the hedging relationships and the amounts reclassified from the hedging reserve to
profit or loss:

|  |  |  |  |  | 2023
|  |  | Amount reclassified to profit or loss |  | Amount reclassified to balance sheet
| Hedging gains/(losses) recognised in reserves £m | Amount of hedge ineffectiveness recognised in profit or loss £m | Line item in profit or loss in which hedge ineffectiveness is included | Hedged future cash flows no longer expected to occur £m | Due to hedged item affecting profit or loss £m | Line item in profit or loss in which reclassification adjustment is included |  | Due to hedged item affecting balance sheet £m | Line item in balance sheet in which reclassification adjustment is included
Cash flow hedges |  |  |  |  |  |  |  |  |
Variability in cash flows from a highly probable forecast transaction | (41) | – | Finance income or expense | – | – | Finance income or expense |  | 37 | Intangible assets
Variability in cash flows from foreign exchange exposure arising on Euro denominated coupon payments relating to debt issued | (1) | – | Finance income or expense | – | – | Finance income or expense |  | – | –
Net investment hedges |  |  |  |  |  |  |  |  |
Net investment in foreign operations | 402 | – | Finance income or expense | – | 7 | Other income or expense |  | – | –

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|  |  |  |  |  | 2022
|  |  | Amount reclassified to profit or loss |  | Amount reclassified to balance sheet
| Hedging gains/(losses) recognised in reserves £m | Amount of hedge ineffectiveness recognised in profit or loss £m | Line item in profit or loss in which hedge ineffectiveness is included | Hedged future cash flows no longer expected to occur £m | Due to hedged item affecting profit or loss £m | Line item in profit or loss in which reclassification adjustment is included |  | Due to hedged item affecting balance sheet £m | Line item in balance sheet in which reclassification adjustment is included
Cash flow hedges |  |  |  |  |  |  |  |  |
Variability in cash flows from a highly probable forecast transaction | (5) | – | Finance income or expense | – | – | – |  | 8 | Intangible assets
Variability in cash flows from foreign exchange exposure arising on Euro denominated coupon payments relating to debt issued | 4 | – | Finance income or expense | – | (2) | Finance income or expense |  | – | –
Net investment hedges |  |  |  |  |  |  |  |  |
Net investment in foreign operations | (617) | – | Finance income or expense | – | 194 | Discontinued Operations (1) |  | – | –

(1) Reclassified to the Consolidated income statement on the demerger of the Consumer Healthcare business.
Interest rate risk
The Group manages its cash flow interest rate risk by using floating-to-fixed interest rate swaps, where at quarterly intervals the
difference between fixed contract rates and floating rate interest amounts calculated by reference to the agreed notional principal
amounts are exchanged.
There are none of these swaps outstanding at 31 December 2023 or at 31 December 2022.
The only impact on these financial statements of interest rate swaps is where the interest rate risk on an element of future debt
issuance has been managed by entering into forward starting interest rate swaps, effectively to lock in the interest rates on the debt
in advance. These were closed out at the time of issuing the debt, and the resulting gain or loss held in the Cash flow hedge reserve
and reclassified to income statement as the interest payments on the debt impacted the income statement.
Forward starting interest rate swaps
Forward starting interest rate contracts, exchanging floating interest for fixed interest, were designated as cash flow hedges to
hedge the interest variability of the interest cash flows associated with future fixed rate debt.
Interest rate swaps
Interest rate swap contract assets and liabilities are presented (when applicable) in the line ‘Derivative financial instruments’ (either
as assets or liabilities) on the Consolidated balance sheet.
£21 million (2022: £24 million) of balances in the cash flow hedge reserve arise from hedge relationships for which hedge
accounting is no longer applied.
The following table details the effectiveness of the hedging relationships and the amounts reclassified from the hedging reserve to
profit or loss:

|  |  | 2023
|  |  |  | Amount reclassified to profit or loss
| Hedging gains/(losses) recognised in reserves £m | Amount of hedge ineffectiveness recognised in profit or loss £m | Line item in profit or loss in which hedge ineffectiveness is included | Due to hedged future cash flows no longer expected to occur £m | Due to hedged item affecting profit or loss £m | Line item in profit or loss in which reclassification adjustment is included
Cash flow hedges |  |  |  |  |  |
Pre-hedging of long-term interest rates: Matured in the past | – | – | Finance income or expense | – | 4 | Finance income or expense

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|  |  | 2022
|  |  |  | Amount reclassified to profit or loss
| Hedging gains/(losses) recognised in reserves £m | Amount of hedge ineffectiveness recognised in profit or loss £m | Line item in profit or loss in which hedge ineffectiveness is included | Due to hedged future cash flows no longer expected to occur £m | Due to hedged item affecting profit or loss £m | Line item in profit or loss in which reclassification adjustment is included
Cash flow hedges |  |  |  |  |  |
Pre-hedging of long-term interest rates: |  |  |  |  |  |
Matured in the past | (23) | – | Finance income or expense | – | 3 | Finance income or expense

(e) Offsetting of financial assets and liabilities
Financial assets and liabilities are offset and the net amount reported in the balance sheet where there is a legally enforceable right
to offset the recognised amounts, and there is an intention to settle on a net basis or realise the asset and settle the liability
simultaneously. There are also arrangements that do not meet the criteria for offsetting but still allow for the related amounts to be
offset in certain circumstances, such as bankruptcy or the termination of a contract.
The following tables set out the financial assets and liabilities that are offset, or subject to enforceable master netting arrangements
and other similar agreements but not offset, as at 31 December 2023 and 31 December 2022. The column ‘Net amount’ shows the
impact on the Group’s balance sheet if all offset rights were exercised.

31 December 2023 | Gross financial assets/ (liabilities) £m | Gross financial (liabilities)/ assets set off £m | Net financial assets/ (liabilities) per balance sheet £m | Related amounts not set off in the balance sheet £m | Net £m
Financial assets |  |  |  |  |
Trade and other receivables | 6,394 | (1) | 6,393 | – | 6,393
Derivative financial instruments | 130 | – | 130 | (108) | 22
Financial liabilities |  |  |  |  |
Trade and other payables | (13,384) | 1 | (13,383) | – | (13,383)
Derivative financial instruments | (114) | – | (114) | 108 | (6)

31 December 2022 | Gross financial assets/ (liabilities) £m | Gross Financial (liabilities)/ assets offset £m | Net financial assets/ (liabilities) £m | Related amounts not offset £m | Net balance £m
Financial assets |  |  |  |  |
Trade and other receivables | 6,166 | – | 6,166 | – | 6,166
Derivative financial instruments | 190 | – | 190 | (163) | 27
Financial liabilities |  |  |  |  |
Trade and other payables | (14,065) | – | (14,065) | – | (14,065)
Derivative financial instruments | (183) | – | (183) | 163 | (20)

Amounts which do not meet the criteria for offsetting on the balance sheet but could be settled net in certain circumstances
principally relate to derivative transactions under ISDA (International Swaps and Derivatives Association) agreements where each
party has the option to settle amounts on a net basis in the event of default of the other party. As there is presently not a legally
enforceable right of offset, these amounts have not been offset in the balance sheet, but have been presented separately in the
table above.

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(f) Debt interest rate repricing table
The following table sets out the exposure of the Group to interest rates on debt, including commercial paper. The maturity analysis
of fixed rate debt is stated by contractual maturity and of floating rate debt by interest rate repricing dates. For the purpose of this
table, debt is defined as all classes of borrowings other than lease liabilities.

| 2023 | 2022
| Total debt £m | Total £m
Floating and fixed rate debt less than one year | (2,657) | (3,785)
Between one and two years | (1,434) | (1,714)
Between two and three years | (1,475) | (1,490)
Between three and four years | (740) | (1,505)
Between four and five years | (2,350) | (748)
Between five and ten years | (3,031) | (4,736)
Greater than ten years | (5,124) | (6,001)
Total | (16,811) | (19,979)
Original issuance profile: |  |
Fixed rate interest | (15,847) | (18,355)
Floating rate interest | (964) | (1,624)
| (16,811) | (19,979)

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(g) Sensitivity analysis
The tables below illustrate the estimated impact on the income statement and equity as a result of hypothetical market movements
in foreign exchange and interest rates in relation to the Group’s financial instruments. The range of variables chosen for the
sensitivity analysis reflects management’s view of changes which are reasonably possible over a one-year period.
Foreign exchange sensitivity
The Group operates internationally and is primarily exposed to foreign exchange risk in relation to Sterling against movements in US
Dollar, Euro and Japanese Yen. Foreign exchange risk arises from the translation of financial assets and liabilities which are not in
the functional currency of the entity that holds them. Based on the Group’s net financial assets and liabilities as at 31 December, a
weakening and strengthening of Sterling against these currencies, with all other variables held constant, is illustrated in the tables
below. The tables exclude financial instruments that expose the Group to foreign exchange risk where this risk is fully hedged with
another financial instrument.

| 2023 | 2022
Income statement impact of non-functional currency foreign exchange exposures | Increase/(decrease) in income £m | Increase/(decrease) in income £m
10 cent appreciation of the US Dollar | 61 | 99
15 cent appreciation of the US Dollar | 97 | 155
10 cent appreciation of the Euro | (4) | (7)
15 cent appreciation of the Euro | (7) | (12)
10 yen appreciation of the Yen | – | –
15 yen appreciation of the Yen | – | (1)

| 2023 | 2022
Income statement impact of non-functional currency foreign exchange exposures | Increase/(decrease) in income £m | Increase/(decrease) in income £m
10 cent depreciation of the US Dollar | (52) | (84)
15 cent depreciation of the US Dollar | (76) | (121)
10 cent depreciation of the Euro | 4 | 6
15 cent depreciation of the Euro | 5 | 9
10 yen depreciation of the Yen | – | –
15 yen depreciation of the Yen | – | –

The equity impact, shown below, for foreign exchange sensitivity relates to derivative and non-derivative financial instruments
hedging the Group’s net investments in its European (Euro) foreign operations and cash flow hedges of its foreign exchange
exposure arising on Euro denominated coupon payments relating to notes issued under the Group’s European Medium Term
Note programme.

| 2023 | 2022
Equity impact of non-functional currency foreign exchange exposures | Increase/(decrease) in equity £m | Increase/(decrease) in equity £m
10 cent appreciation of the US Dollar | (209) | –
15 cent appreciation of the US Dollar | (327) | –
10 cent appreciation of the Euro | (1,372) | (1,290)
15 cent appreciation in Euro | (2,160) | (2,034)

| 2023 | 2022
Equity impact of non-functional currency foreign exchange exposures | Increase/(decrease) in equity £m | Increase/(decrease) in equity £m
10 cent depreciation of the US Dollar | 178 | –
15 cent depreciation of the US Dollar | 258 | –
10 cent depreciation of the Euro | 1,152 | 1,080
15 cent depreciation of the Euro | 1,662 | 1,557

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Notes to the financial statements continued
44. Financial instruments and related disclosures continued |

257
The tables below present the Group’s sensitivity to a weakening and strengthening of Sterling against the relevant currency based
on the composition of net debt as shown in Note 30, 'Net debt', adjusted for the effects of foreign exchange derivatives that are not
part of net debt but affect future foreign currency cash flows.

| 2023 | 2022
Impact of foreign exchange movements on net debt | (Increase)/decrease in net debt £m | (Increase)/decrease in net debt £m
10 cent appreciation of the US Dollar | (622) | (999)
15 cent appreciation of the US Dollar | (974) | (1,570)
10 cent appreciation of the Euro | 386 | 11
15 cent appreciation of the Euro | 609 | 17
10 yen appreciation of the Yen | (5) | 13
15 yen appreciation of the Yen | (7) | 20

| 2023 | 2022
Impact of foreign exchange movements on net debt | (Increase)/decrease in net debt £m | (Increase)/decrease in net debt £m
10 cent depreciation of the US Dollar | 531 | 846
15 cent depreciation of the US Dollar | 769 | 1,222
10 cent depreciation of the Euro | (325) | (9)
15 cent depreciation of the Euro | (468) | (13)
10 yen depreciation of the Yen | 4 | (12)
15 yen depreciation of the Yen | 6 | (17)

Interest rate sensitivity
The Group is exposed to interest rate risk on its outstanding borrowings and investments where any changes in interest rates will
affect future cash flows or the fair values of financial instruments.
The majority of debt is issued at fixed interest rates and changes in the floating rates of interest do not significantly affect the
Group’s net interest charge, although the majority of cash and liquid investments earn floating rates of interest.
The table below hypothetically shows the Group’s sensitivity to changes in interest rates in relation to Sterling, US Dollar and Euro
floating rate financial assets and liabilities. A 1% (100 basis points) or 1.5% (150 basis points) movement in EUR, USD or Sterling
interest rates i s not deemed to have a material effect on equity. A 1% (100 basis points) or 1.5% (150 basis points) decrease in EUR,
USD or Sterling interest rates would have an equal and opposite impact to that shown below.

| 2023 | 2022
Income statement impact of interest rate movements | Increase/(decrease) in income £m | Increase/(decrease) in income £m
1% (100 basis points) increase in Sterling interest rates | 41 | 36
1.5% (150 basis points) increase in Sterling interest rates | 62 | 55
1% (100 basis points) increase in US Dollar interest rates | (34) | (34)
1.5% (150 basis points) increase in US Dollar interest rates | (51) | (51)
1% (100 basis points) increase in Euro interest rates | (9) | (13)
1.5% (150 basis points) increase in Euro interest rates | (13) | (19)

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Notes to the financial statements continued
44. Financial instruments and related disclosures continued |

258
(h) Contractual cash flows for non-derivative financial liabilities and derivative instruments
The following tables provide an analysis of the anticipated contractual cash flows including interest payable for the Group’s non-
derivative financial liabilities on an undiscounted basis. For the purpose of this table, debt is defined as all classes of borrowings
except for lease liabilities. Interest is calculated based on debt held at 31 December without taking account of future issuance.
Floating rate interest is estimated using the prevailing interest rate at the balance sheet date. Cash flows in foreign currencies are
translated using spot rates at 31 December.

At 31 December 2023 | Debt £m | Interest on debt £m | Lease liabilities £m | Finance charge on lease liabilities £m | Trade payables and other liabilities not in net debt £m |  | Total £m
Due in less than one year | (2,660) | (547) | (156) | (41) | (14,526) | – | (17,930)
Between one and two years | (1,436) | (507) | (214) | (36) | (1,469) | – | (3,662)
Between two and three years | (1,477) | (466) | (134) | (31) | (1,150) | – | (3,258)
Between three and four years | (742) | (449) | (114) | (27) | (1,406) | – | (2,738)
Between four and five years | (2,359) | (399) | (88) | (23) | (940) | – | (3,809)
Between five and ten years | (3,054) | (1,611) | (325) | (75) | (2,037) | – | (7,102)
Greater than ten years | (5,172) | (1,467) | (176) | (21) | (1,043) | – | (7,879)
Gross contractual cash flows | (16,900) | (5,446) | (1,207) | (254) | (22,571) | – | (46,378)

At 31 December 2022 | Debt £m | Interest on debt £m | Lease liabilities £m | Finance charge on lease liabilities £m | Trade payables and other liabilities not in net debt £m |  | Total £m
Due in less than one year | (3,786) | (594) | (167) | (25) | (15,362) |  | (19,934)
Between one and two years | (1,717) | (570) | (201) | (22) | (1,097) |  | (3,607)
Between two and three years | (1,496) | (531) | (127) | (19) | (1,034) |  | (3,207)
Between three and four years | (1,508) | (489) | (97) | (15) | (1,277) |  | (3,386)
Between four and five years | (751) | (472) | (80) | (13) | (1,008) |  | (2,324)
Between five and ten years | (4,765) | (1,810) | (201) | (41) | (2,641) |  | (9,458)
Greater than ten years | (6,063) | (1,856) | (135) | (11) | (1,134) |  | (9,199)
Gross contractual cash flows | (20,086) | (6,322) | (1,008) | (146) | (23,553) |  | (51,115)

The table below provides an analysis of the anticipated contractual cash flows for the Group’s derivative instruments excluding
equity options which do not give rise to cash flows, and other embedded derivatives, which are not material, using undiscounted
cash flows. Cash flows in foreign currencies are translated using spot rates at 31 December. The gross cash flows of foreign
exchange contracts are presented for the purpose of this table although, in practice, the Group uses standard settlement
arrangements to reduce its liquidity requirements on these instruments.

| 2023 |  | 2022
| Gross cash inflows |  | Gross cash outflows |  | Gross cash inflows |  | Gross cash outflows
| Foreign exchange forward contracts and swaps £m |  | Foreign exchange forward contracts and swaps £m |  | Foreign exchange forward contracts and swaps £m |  | Foreign exchange forward contracts and swaps £m
Less than one year | 31,961 |  | (31,944) |  | 24,418 |  | (24,410)
Gross contractual cash flows | 31,961 |  | (31,944) |  | 24,418 |  | (24,410)

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Notes to the financial statements continued
44. Financial instruments and related disclosures continued |

259

45. Employee share schemes

GSK operates several employee share schemes, including the Share Value Plan, whereby awards are granted to employees to
acquire shares or ADS in GSK plc at no cost after a three-year vesting period and the Performance Share Plan, whereby awards are
granted to employees to acquire shares or ADS in GSK plc at no cost, subject to the achievement by the Group of specified
performance targets. The granting of these restricted share awards has replaced the granting of options to employees as the cost
of the schemes more readily equates to the potential gain to be made by the employee. The Group also operates savings related
share option schemes, whereby options are granted to employees to acquire shares in GSK plc at a discounted price.
Grants of restricted share awards are normally exercisable at the end of the three-year vesting or performance period. Awards are
normally granted to employees to acquire shares or ADS in GSK plc but in some circumstances may be settled in cash. Grants under
savings-related share option schemes are normally exercisable after three years’ saving. In accordance with UK practice, the
majority of options under the savings-related share option schemes are granted at a price 20% below the market price ruling at the
date of grant. Options under historical share option schemes were granted at the market price ruling at the date of grant.
The total charge for share-based incentive plans in 2023 was £321 million (2022 : £314 million; 2021: £345 million). Of this amount,
£244 million (2022: £243 million; 2021: £258 million) arose from the Share Value Plan. See Note 9, ‘Employee costs’ for further details.
GSK share award schemes
Share Value Plan
Under the Share Value Plan, share awards are granted to certain employees at no cost. The awards vest after two and a half to
three years and there are no performance criteria attached. The fair value of these awards is determined based on the closing
share price on the day of grant, after deducting the expected future dividend yield of 3.8% (2022: 3.2%; 2021: 3.8%) over the
duration of the award.

Number of shares and ADS issuable | Shares Number (000) | Weighted fair value | ADS Number (000) | Weighted fair value
At 1 January 2021 | 28,874 |  | 16,116 |
Awards granted | 11,220 | £13.28 | 6,358 | $36.68
Awards exercised | (10,074) |  | (5,240) |
Awards cancelled | (1,776) |  | (1,705) |
At 31 December 2021 | 28,244 |  | 15,529 |
Awards granted | 10,987 | £13.00 | 6,133 | $30.64
Awards exercised | (9,538) |  | (4,919) |
Awards cancelled | (1,718) |  | (1,314) |
At 31 December 2022 | 27,975 |  | 15,429 |
Awards granted | 11,548 | £12.79 | 6,449 | $31.65
Awards exercised | (8,599) |  | (4,856) |
Awards cancelled | (1,144) |  | (797) |
At 31 December 2023 | 29,780 |  | 16,225 |

Performance Share Plan
Under the Performance Share Plan, share awards are granted to Directors and senior executives at no cost. The percentage of
each award that vests is based upon the performance of the Group over a defined measurement period with dividends reinvested
during the same period. For awards granted from 2020, the performance conditions are based on four measures over a three-year
performance period. These are adjusted free cash flow (30%), TSR (30%), R&D new product performance (20%) and pipeline
progress (20%). For awards granted from 2022, the performance conditions are based on five measures over a three-year
performance period. These are TSR (30%), pipeline progress (20%), profit measure (20%), sale measure (20%) and ESG
environment (10%).
The fair value of the awards is determined based on the closing share price on the day of grant. For TSR performance elements, this
is adjusted by the likelihood of that condition being met, as assessed at the time of grant.
During 2023, awards were made of 4.3 million shares at a weighted fair value of £12.40 and 1.0 million ADS at a weighted fair value
of £29.96. At 31 December 2023, there were outstanding awards over 13.3 million shares and 2.7 million ADS.

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Notes to the financial statements continued

260
Share options and savings-related options
For the purposes of valuing savings-related options to arrive at the share-based payment charge, a Black-Scholes option pricing
model has been used. The assumptions used in the model are as follows:

| 2023 Grant | 2022 Grant | 2021 Grant
Risk-free interest rate | 4.57% | 3.37% | 0.74%
Dividend yield | 4.0% | 3.3% | 3.8%
Volatility | 34% | 36% | 27%
Expected life | 3 years | 3 years | 3 years
Savings-related options grant price (including 20% discount) | £11.20 | £11.39 | £12.07

Options outstanding for the Share Save Plan | Savings-related share option schemes
| Number 000 | Weighted exercise price
At 31 December 2023 | 6,196 | £11.13
Range of exercise prices on options outstanding at year end | £10.34 | — £14.15
Weighted average market price on exercise during year |  | £14.32
Weighted average remaining contractual life |  | 1.9 years

Options over 1.9 million shares were granted during the year under the savings-related share option scheme at a weighted average
fair value of £4.08. At 31 December 2023, 4.2 million of the savings-related share options were not exercisable.
There has been no change in the effective exercise price of any outstanding options during the year.
Employee Share Ownership Plan Trusts
The Group sponsors Employee Share Ownership Plan (ESOP) Trusts to acquire and hold shares in GSK plc to satisfy awards made
under employee incentive plans and options granted under employee share option schemes. The trustees of the ESOP Trusts
purchase shares with finance provided by the Group by way of loans or contributions. The costs of running the ESOP Trusts are
charged to the income statement. Shares held by the ESOP Trusts are deducted from other reserves and amortised down to the
value of proceeds, if any, receivable from employees on exercise by a transfer to retained earnings. The trustees have waived their
rights to dividends on the shares held by the ESOP Trusts.
At 31 December 2023, 58,817,197 shares were held in the ESOP Trusts, out of which 58,493,518 were held for the future exercise of
share options and share awards and 323,679 shares were held for the Executive Supplemental Savings Plan.

Shares held for share award schemes | 2023 | 2022
Number of shares (000) | 58,817 | 59,814
| £m | £m
Nominal value | 18 | 19
Carrying value | 288 | 353
Market value | 853 | 861
Shares held for share option schemes | 2023 | 2022
Number of shares (000) | – | 65
| £m | £m
Nominal value | – | –
Carrying value | – | 1
Market value | – | 1

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Notes to the financial statements continued
45. Employee share schemes continued |

261

46. Principal Group companies

The following represent the principal subsidiaries and their countries of incorporation of the Group at 31 December 2023. The equity
share capital of these entities is shown in the percentage columns. All companies are incorporated in their principal country of
operation except where stated.

England | %
Glaxo Group Limited | 100
Glaxo Operations UK Limited | 100
Glaxo Wellcome UK Limited | 100
GlaxoSmithKline Capital plc | 100
GlaxoSmithKline Export Limited | 100
GlaxoSmithKline Finance plc | 100
GlaxoSmithKline Holdings Limited(a) | 100
GlaxoSmithKline IHC Limited | 100
GlaxoSmithKline Intellectual Property (No.2) Limited | 100
GlaxoSmithKline Intellectual Property (No.3) Limited | 100
GlaxoSmithKline Intellectual Property (No.4) Limited | 100
GlaxoSmithKline Intellectual Property Development Limited | 100
GlaxoSmithKline Intellectual Property Limited | 100
GlaxoSmithKline Research & Development Limited | 100
GlaxoSmithKline Services Unlimited(a) | 100
GlaxoSmithKline UK Limited | 100
GlaxoSmithKline US Trading Limited | 100
Setfirst Limited | 100
SmithKline Beecham Limited | 100
ViiV Healthcare Finance Limited | 78.3
ViiV Healthcare UK (No.3) Limited | 78.3
Viiv Healthcare UK Limited | 78.3

Europe | %
GlaxoSmithKline AG (Switzerland) | 100
Glaxo Wellcome Production S.A.S (France) | 100
GlaxoSmithKline B.V. (Netherlands) | 100
GlaxoSmithKline Biologicals SA (Belgium) | 100
GlaxoSmithKline GmbH & Co. KG (Germany) | 100
GlaxoSmithKline Manufacturing SpA (Italy) | 100
GlaxoSmithKline Pharma GmbH (Austria) | 100
GlaxoSmithKline Pharmaceuticals SA (Belgium) | 100
GlaxoSmithKline S.A. (Spain) | 100
GlaxoSmithKline S.p.A. (Italy) | 100
GlaxoSmithKline Single Member A.E.B.E. (Greece) | 100
GlaxoSmithKline Trading Services Limited (Republic of Ireland)(b) | 100
GSK Capital B.V. (Netherlands)(b) | 100
GSK Services Sp z o.o. (Poland) | 100
GSK Vaccines GmbH (Germany) | 100
GSK Vaccines S.r.l. (Italy) | 100
JSC GlaxoSmithKline Trading (Russia) | 100
Laboratoire GlaxoSmithKline (France) | 100
Laboratorios ViiV Healthcare, S.L. (Spain) | 78.3
ViiV Healthcare GmbH (Germany) | 78.3
ViiV Healthcare S.r.l. (Italy) | 78.3
ViiV Healthcare SAS (France) | 78.3

Scotland | %
GSK (No.1) Scottish Limited Partnership | 100

US | %
Affinivax, Inc | 100
Corixa Corporation | 100
GlaxoSmithKline Capital Inc. | 100
GlaxoSmithKline Holdings (Americas) Inc. | 100
GlaxoSmithKline LLC | 100
GSK Equity Investments, Limited | 100
Human Genome Sciences, Inc | 100
Stiefel Laboratories, Inc | 100
Tesaro, Inc. | 100
ViiV Healthcare Company | 78.3

Others | %
Glaxo Saudi Arabia Limited (Saudi Arabia) | 100
Glaxo Wellcome Manufacturing Pte Ltd (Singapore) | 100
GlaxoSmithKline (Thailand) Limited (Thailand) | 100
GlaxoSmithKline Australia Pty Ltd (Australia) | 100
GlaxoSmithKline Brasil Limitada (Brazil) | 100
GlaxoSmithKline Far East B.V. (Taiwan) | 100
GlaxoSmithKline Ilaclari Sanayi ve Ticaret A.S. (Turkey) | 100
GlaxoSmithKline Inc. (Canada) | 100
GlaxoSmithKline K.K. (Japan) | 100
GlaxoSmithKline Korea Limited (Republic of Korea) | 100
GlaxoSmithKline Limited (Hong Kong) | 100
GlaxoSmithKline Mexico S.A. de C.V. (Mexico) | 100
GlaxoSmithKline Pakistan Limited (Pakistan) | 82.6
GlaxoSmithKline Pharmaceuticals Limited (India) | 75
GSK Enterprise Management Co, Ltd (China) | 100
GSK Pharma Vietnam Company Limited (Vietnam) | 100
ID Biomedical Corporation of Quebec (Canada) | 100
ViiV Healthcare K.K (Japan) | 78.3
ViiV Healthcare ULC (Canada) | 78.3

(a) Directly held wholly-owned subsidiary of GSK plc.
(b) Tax resident in UK.
The subsidiaries and associates listed above principally affect the figures in the Group’s financial statements. Each of
GlaxoSmithKline Capital Inc., GlaxoSmithKline Capital plc, GlaxoSmithKline Finance plc, GSK Capital BV and GlaxoSmithKline LLC, is
a wholly-owned finance subsidiary of the company, and the Company has fully and unconditionally guaranteed the securities
issued by each of GlaxoSmithKline Capital Inc., GlaxoSmithKline Capital plc, GlaxoSmithKline Finance plc, GSK Capital BV and
GlaxoSmithKline LLC.
+ See pages 306 to 314 for a complete list of subsidiary undertakings, associates and joint ventures, which form part of these financial statements.

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Notes to the financial statements continued

262

47. Legal proceedings

The Group is involved in significant legal and administrative
proceedings, principally product liability, intellectual property,
tax, anti-trust, consumer fraud and governmental investigations.
The most significant of these matters, other than tax matters,
are described below. The Group makes provision for these
proceedings on a regular basis as summarised in Note 2,
‘Accounting principles and policies’ and Note 32, ‘Other
provisions’. Note 2 also describes when disclosure is made of
proceedings for which there is no provision. Legal expenses
incurred and provisions related to legal claims are charged to
selling, general and administration costs. The Group does not
believe that information about the amount sought by plaintiffs,
if that is known, would be meaningful with respect to those legal
proceedings. This is due to a number of factors, including, but
not limited to, the stage of proceedings, the entitlement of
parties to appeal a decision and clarity as to theories of liability,
damages and governing law.
At 31 December 2023, the Group’s aggregate provision for legal
and other disputes (not including tax matters described in Note
14, ‘Taxation’) was £267 million. There can be no assurance that
any losses that result from the outcome of any legal
proceedings will not materially exceed the amount of the
provisions reported in the Group’s financial statements. If this
were to happen, it could have a material adverse impact on the
results of operations of the Group in the reporting period in
which the judgements are incurred or the settlements entered
into.
Intellectual property
Intellectual property claims include challenges to the validity
and enforceability of the Group’s patents on various products or
processes as well as assertions of non-infringement of those
patents. A loss in such cases could result in loss of patent
protection for the product at issue. The consequences of any
such loss could be a significant decrease in sales of that
product and could materially affect future results of operations
for the Group.
Coreg
In 2014, GSK initiated suit against Teva for inducing
infringement of its patent relating to the use of carvedilol
(Coreg) in decreasing mortality caused by congestive heart
failure. In June 2017, the case proceeded to a jury trial in the US
District Court for the District of Delaware. The jury returned a
verdict in GSK’s favour, awarding GSK lost profits and
reasonable royalties for a total award of $235.51 million. On 29
March 2018, the trial judge ruled on post-trial motions filed by
Teva and found that substantial evidence at trial did not
support the jury’s finding of induced infringement, overturning
the jury award. GSK appealed, and on 2 October 2020, a
divided panel of the Court of Appeals for the Federal Circuit
reversed the district court’s ruling and reinstated the jury award
in GSK’s favour.
On 2 December 2020, Teva filed a petition for rehearing en
banc. The court granted Teva’s petition, but only for a rehearing
by the three-member panel that issued the original decision. On
5 August 2021, the original panel issued its rehearing opinion
where the majority again reinstated the jury’s damages award
of $235.51 million in GSK’s favour.
Teva again filed a petition for rehearing en banc which was
rejected by the Court of Appeals for the Federal Circuit on 11
February 2022. On 11 July 2022, Teva filed a petition for writ of
certiorari with the Supreme Court of the United States seeking
to overturn the Federal Court decision. On 15 May 2023, the US
Supreme Court denied Teva’s request. Certain issues remain to
be resolved at the District Court and the parties await the
scheduling of a status conference.
Dolutegravir Proceedings
– Tivicay/Triumeq
In September 2021, ViiV Healthcare received a paragraph IV
letter from Lupin relating to the Tivicay 5mg dosage for oral
suspension, challenging only the crystal form patent. On 2
November 2021, ViiV Healthcare filed suit against Lupin in the
US District Court for the District of Delaware. In March 2023, the
parties reached a settlement, thereby concluding the matter.
– Juluca
On 12 June 2020, Cipla sent ViiV Healthcare a paragraph IV
letter related to Juluca, and on 22 July 2020, ViiV Healthcare
filed suit against Cipla in federal court in Delaware. In March
2023, the parties reached a settlement, thereby concluding the
matter.
RSV
On 7 June 2022, Pfizer, Inc. filed suit in the London High Court
challenging the validity and requesting revocation of three GSK
European patents relating to RSV vaccine technology.
Corresponding invalidity suits against additional patents were
filed in the District Court of the Hague in the Netherlands in
January 2023 and in the French-speaking Enterprise Court of
Brussels in Belgium in March 2023. In each of those matters
GSK counterclaimed that Pfizer’s RSV vaccine infringes GSK’s
patents. On 2 August 2023, GSK filed a patent infringement suit
against Pfizer in the United States District Court for the District
of Delaware alleging infringement of four US GSK patents by
Pfizer’s RSV vaccine, Abrysvo. Another two GSK patents were
added to the US litigation on 30 November 2023.
The trial in the UK action took place in June 2023. A decision is
expected by the end of Q2 2024. In the Netherlands, two
separate first-instance hearings have been scheduled. The first
was held on 26 January 2024 and the second is scheduled for 1
March 2024. In Belgium, trial on the merits is expected in Q3
2024 with a first instance decision likely in Q1 2025. A trial date
in the US has yet to be set. GSK is seeking monetary
compensation from Pfizer for Pfizer’s infringing sales of Abrysvo.
GSK’s sales of Arexvy are not at issue in these litigations.

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Notes to the financial statements continued

263
Product liability
The Group is currently a defendant in a number of product
liability lawsuits.
Avandia
There are two pending US class actions (both filed in 2010) by
third-party payers which assert claims under the Racketeer
Inﬂuenced and Corrupt Organizations Act (RICO) and state
consumer protection laws. In December 2019, the Third Circuit
Court of Appeals reversed the summary judgements granted in
favour of the Group and remanded the third-party payer cases
back to district court. Discovery is complete, and class
certification and summary judgment briefing has been
completed. A hearing on certain Daubert motions relating to
experts was held on 1 February 2024. GSK has requested oral
argument on class certification, which could be scheduled
thereafter.
Zantac
In 2019, the Group was contacted by several regulatory
authorities regarding the detection of N-Nitroso-dimethylamine
(NDMA) in Zantac (ranitidine) products. Based on information
available at the time and correspondence with regulators, the
Group made the decision to suspend the release, distribution
and supply of all dose forms of Zantac to all markets pending
the outcome of the ongoing tests and investigations. Also, as a
precautionary action, the Group made the decision to initiate a
voluntary pharmacy/retail level recall of Zantac products
globally.
On 30 April 2020, the European Medicines Agency (EMA)
recommended the suspension of ranitidine medicines. Following
the publication of the EMA’s recommendation, the Company
communicated a decision not to re-enter the market. In the US,
FDA requested that all manufacturers withdraw ranitidine
products from the market.
The Group was named as a defendant in approximately 2,200
personal injury cases filed in the federal Zantac Multidistrict
Litigation (MDL) court proceeding in the Southern District of
Florida. In the MDL, plaintiffs originally identified 10 different
types of cancers they wished to pursue. Plaintiffs subsequently
dropped 5 of the 10 cancers, and proceeded only as to bladder,
esophageal, stomach, liver, and pancreatic cancers, although
plaintiffs in state courts continue to pursue claims beyond the 5
designated cancers. On 6 December 2022, the court presiding
over the federal MDL proceeding granted Defendants’ Daubert
motions, finding that Plaintiffs’ experts’ causation opinions
regarding whether Zantac can cause the five cancers at issue in
the MDL (liver, bladder, pancreatic, esophageal, and stomach)
are unreliable and thus inadmissible. Without expert causation
opinions, the MDL Court granted summary judgment to GSK
and the other brand defendants. The MDL Court found that
“there is no scientist outside this litigation who concluded
ranitidine causes cancer, and the plaintiffs’ scientists within this
litigation systemically utilized unreliable methodologies,” and
failed to use “consistent, objective, science-based standards for
the even-handed evaluation of data.” This ruling effectively
dismissed approximately 2,200 filed cases in the MDL and is
binding on all of the claims in the Census Registry.
Approximately 13,000 Plaintiffs (which includes plaintiffs with
filed cases and registry claimants) have appealed the MDL
decision to the Eleventh Circuit Court of Appeals. Plaintiffs’
briefs are due on 10 April 2024. Following the Court’s Daubert
decision, it entered a final order dismissing the medical
monitoring and consumer class actions based on the reasoning
in its Daubert holding. Plaintiffs have filed a notice of appeal in
the medical monitoring and consumer class action cases.
GSK has been named as a defendant by approximately 78,000
plaintiffs in several US state jurisdictions. Of these plaintiffs,
approximately 72,000 plaintiffs filed in Delaware. Most of the
Delaware plaintiffs allege a cancer other than the five cancers
being pursued by Plaintiffs in the MDL proceeding. The
Delaware court held a general causation hearing on the
admissibility of expert testimony for the 10 cancers Plaintiffs
have decided to pursue (breast, colorectal, kidney, prostate,
pancreatic, lung, bladder, liver, esophageal, and stomach) on
22-24 January 2024.
In the California Zantac litigation Cases JCCP 5150 (JCCP), the
court issued a Sargon ruling in the first case scheduled for trial
(Goetz). The court found that the plaintiff’s experts’ causation
opinions are admissible and can be presented to a jury. The
ruling applied only to the Goetz case and does not affect any
other state court cases. On 23 June 2023, GSK reached a
confidential settlement in the Goetz case. On 11 October 2023,
GSK announced it had reached confidential settlements in the
Cantlay/Harper case as well as the three remaining breast
cancer bellwether cases in California. On 1 February 2024, GSK
announced it had reached a confidential settlement in the
Browne case filed in California state court. The case, which was
set to begin trial on 20 February 2024, will be dismissed. The
settlements reflect GSK’s desire to avoid the distraction related
to protracted litigation. GSK does not admit any liability in the
settlements and will continue to vigorously defend itself based
on the facts and the science in all other Zantac cases. The next
case scheduled for trial in the JCCP is Boyd (colorectal). The
Court has set a Sargon hearing for 29 February 2024 and a trial
date of 2 April 2024. Additional bellwether cases in the JCCP
have been and will be set for trial in Q2 and Q3 2024.
Multiple trials in other state courts have been set with dates in
2024 and 2025, including in Illinois, Texas, and Florida. The first
of these cases is Valadez (colorectal) which is scheduled for trial
on 25 April 2024. There are 14 additional cases in Illinois with
trial dates in 2024 and 2025. Cases in Texas and Florida do not
yet have firm trial dates, although trials are expected to occur in
2024 and 2025.
Outside the US, there are two proposed class actions pending
against GSK in Ontario and Quebec, Canada along with a class
action in Israel. In Canada, a certification hearing was held in
October 2022 in the British Columbia proposed class action.
This was the first class action to proceed to a certification
hearing and the class action sought to certify a national class.
In May 2023, the Court dismissed the proposed class action
against the manufacturer defendants. An appeal from that
decision was abandoned. The Ontario action will also be
discontinued. There are also approximately 120 individual
actions that have been filed in Canada.
Given the complex ownership and marketing of Zantac
prescription and over-the-counter (OTC) medicine over many
years, numerous claims involve several defendants. As a result,
some defendants have served one another, including the
Group, with notice of potential indemnification claims about
possible liabilities connected particularly with Zantac OTC.
Given the current stage of the proceedings, the Group cannot
meaningfully assess what liability, if any, it may have, nor can it
meaningfully assess the liability of other parties under relevant
indemnification provisions.

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Notes to the financial statements continued
47. Legal proceedings continued |

264
In addition, on 20 March 2020, the Department of Justice
(DOJ) sent the Group notice of a civil investigation it had
opened into allegations of False Claims Act violations by the
Group related to Zantac. On 18 June 2020, the DOJ served a
Civil Investigative Demand (CID) on the Group, formalising its
request for documents. The Group continues to cooperate with
the DOJ on the CID. On the same day, the New Mexico
Attorney General filed a lawsuit against multiple defendants,
including the Group, alleging violations of state consumer
protection and false advertising statutes, among other claims.
On 11 November 2020, the Mayor & City of Baltimore filed an
action against the Group alleging that Zantac increased the risk
of cancer and/or caused cancer in Baltimore patients, and that
the Group failed to warn of or concealed those risks. Fact and
expert discovery is ongoing. The court has set a trial date of 2
June 2025.
Zofran
The Group was a defendant in over 400 product liability cases
involving Zofran pending in a Multidistrict Litigation (MDL)
proceeding in the District of Massachusetts. The cases alleged
that children suffered birth defects due to their mothers’
ingestion of Zofran and/or generic ondansetron for pregnancy-
related nausea and vomiting. Plaintiffs asserted that the Group
sold Zofran knowing it was unsafe for pregnant women, failed
to warn of the risks and illegally marketed Zofran “off-label” for
use by pregnant women.
On 1 June 2021, the MDL Court granted the Group’s motion for
summary judgment on federal pre-emption grounds. The Court
found that the FDA was fully informed of all relevant safety
information regarding Zofran and had repeatedly rejected any
attempt to add a birth defect warning to the label. At that time,
the Court granted judgment for the Group in all cases pending
in the MDL (approximately 431 cases) and closed the MDL
proceeding. Plaintiffs appealed this decision and, on 9 January
2023, the United States Court of Appeals for the First Circuit
affirmed the district court’s decision in favour of the Group.
There remains one state court case and four proposed class
actions in Canada, which are not currently active.
Sales and marketing and regulation
The Group’s marketing and promotion of its Pharmaceutical
and Vaccine products are the subject of certain governmental
investigations and private lawsuits brought by litigants under
various theories of law.
GSK Korea – Proceedings under Fair Trade Laws
In August 2020, GSK Korea was indicted under Korea’s
Monopoly Regulation and Fair Trade laws in relation to
government tenders of HPV (Cervarix) and PCV (Synflorix)
vaccines in 2018 and 2019. The prosecutor alleged that GSK
Korea, through the actions of at least one of its employees,
interfered with the tender process under the National
Immunisation Programme by using “straw bidders.”
A former GSK Korea employee was also charged in his
individual capacity by the prosecutor in relation to the same
matter. Further, a number of wholesalers are co-defendants in
the proceedings. On 1 February 2023, the court rendered a
guilty verdict in respect of all defendants. GSK Korea was fined
KRW70 million which is approximately £45,000. Appeal
proceedings are ongoing.
The Korea Fair Trade Commission (KFTC) also commenced
proceedings regarding the same matter. KFTC hearings took
place in July 2023 and GSK Korea was found in violation of
applicable fair trade law. The KFTC imposed a fine of
KRW351 million which is approximately £212,000.
US electronic health records subpoena
On 19 March 2023, the Group received a subpoena from the
United States Attorney’s Office for the Western District of
Virginia, which is working with the United States Department of
Justice Civil Division, seeking documents relating to the Group’s
electronic health record programmes. The Group is cooperating
with this enquiry.
Senate HELP Enquiry
The Group received a letter dated 8 January 2024 from
majority members of the US Senate Health, Education, Labor
and Pensions (“HELP”) Committee initiating an investigation
into the pricing of inhalers for the treatment of asthma and
COPD. The letter is similar to letters received by a number of
other pharmaceutical companies and requests information on
pricing, research in the treatment of respiratory diseases,
patenting and business practices. The Group is cooperating
with the enquiry.
Orange Book Challenge
In November 2023, the US Federal Trade Commission (FTC)
wrote to the Group and identified five patents that it is
challenging through an FDA Orange Book listing dispute
process, reserving the right to take further action. A number of
other companies were also contacted, with the FTC citing a
total of 62 patents. As to the five patent listings challenged by
the FTC, the Group has asked the FDA to remove four patents
from the Orange Book with respect to certain products. It is the
Group's position that these patents were properly listed at the
time of the listing decision. No generic competition was
impacted by the previous listings and all de-listed patents
remain valid and enforceable. Subsequent to the FTC’s
challenge, the Group received letters from US Senator Elizabeth
Warren and US Congresswoman Pramila Jayapal, US Senator
Amy Klobuchar, and US Senator Tammy Baldwin, reiterating
the FTC position and requesting further information about the
Group’s Orange Book-listed patents and the Group’s response
to the FDA challenge process. The Group is cooperating with
these enquiries.
Anti-trust/competition
Certain governmental actions and private lawsuits have been
brought against the Group alleging violation of competition or
anti-trust laws.
Lamictal
Purported classes of direct purchasers filed suit in the US
District Court for the District of New Jersey alleging that the
Group and Teva Pharmaceuticals unlawfully conspired to delay
generic competition for Lamictal, resulting in overcharges to the
purchasers, by entering into an allegedly anti-competitive
reverse payment settlement to resolve patent infringement
litigation. A separate count accuses the Group of monopolising
the market.
On 13 December 2018, the trial judge granted plaintiffs’ class
certification motion, certifying a class of direct purchasers. The
Group filed a Rule 23(f) motion in the Court of Appeals for the
Third Circuit, challenging the class certification decision. On 22
April 2020, the Court of Appeals vacated the lower court’s grant
of class certification and remanded the issue back to the lower
court for further analysis.

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Notes to the financial statements continued
47. Legal proceedings continued |

265
On 9 October 2020, the district court heard argument on
plaintiffs’ renewed motion for class certification after remand.
On 9 April 2021, the district court denied Plaintiffs’ motion for
class certification of the putative direct purchaser class, leaving
a potential class of brand-only purchasers. Plaintiffs moved to
supplement their expert report and seek additional discovery to
support the addition of certain generic purchasers. On 21
January 2022, the district court denied Plaintiffs’ motion to
supplement their expert report and seek additional discovery
and held that the issue of generic purchasers had already been
decided and denied in the court’s ruling on decertification. The
parties conducted briefing on class certification as to the
remaining brand-only purchasers, with plaintiffs also seeking to
add a smaller category of purchasers.
On 1 February 2023, the district court denied Plaintiffs’ renewed
class certification motion. A series of follow-on complaints have
been filed in the US District Court for the Eastern District of
Pennsylvania by groups of alleged purchasers. The cases have
been consolidated with the previously pending case in the
District of New Jersey. Discovery is ongoing.
Commercial and corporate
The Group is involved in certain contractual and/or commercial
disputes.
Zejula Royalty Dispute
In October 2012, Tesaro, Inc. (now a wholly owned subsidiary of
GSK) entered into two worldwide patent license agreements
with AstraZeneca UK Limited related to niraparib (later
approved as Zejula).
In May 2021, AstraZeneca filed a lawsuit against Tesaro in the
High Court, England and Wales alleging that Tesaro failed to
pay some of the royalties due under the license agreements.
Tesaro has counterclaimed based on a calculated
overpayment. Trial was held the week of 6 March 2023 and
judgment was entered against the Group on 5 April 2023, ruling
that all current uses of Zejula generate royalty-bearing sales
under the wording of the two license agreements. On 12 June
2023, the Court of Appeal of England and Wales granted the
Group’s request for permission to appeal the 5 April 2023
judgment. The appeal was heard on 17 January 2024 and on 9
February 2024 the Court of Appeal ruled in the Group’s favour,
overturning the trial court’s judgment and determining that only
Zejula sales for uses falling within the licensed patents could be
deemed royalty-bearing. The appropriate quantum of royalties
in accord with the Court of Appeal’s judgment may be the
subject of further proceedings.

48. Post balance sheet events

Acquisition of Aiolos Bio, Inc
On 9 January 2024, GSK announced it had entered into an agreement to acquire Aiolos Bio, Inc, (Aiolos) a clinical stage
biopharmaceutical company focused on addressing the unmet treatment needs of patients with certain respiratory and
inflammatory conditions, for an upfront payment o f US$1 billion and up to US$400 million in certain success-based regulatory
milestone payments. In addition, GSK will also be responsible for success-based milestone payments as well as tiered royalties owed
to Jiangsu Hengrui Pharmaceuticals Co., Ltd. (Hengrui). The transaction was subject to customary conditions, including applicable
regulatory agency clearances under the Hart- Scott-Rodino Act in the US, and subsequently closed on 14 February 2024. Given the
timing of the closure of the transaction, GSK expects to disclose the provisional accounting for the acquisition in the Q1 2024 Results
Announcement.
Disposal of shares in Haleon plc
On 17 January 2024, GSK completed the sale of 300 million shares in Haleon plc equivalent to 3.2% of Haleon plc’s issued share
capital at a price o f 326 pence per share, raising gross proceeds of £978 million. Following the sale, GSK holds approximately 385
million ordinary shares in Haleon plc, representing over 4.0% of the issued share capital of Haleon plc.

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Notes to the financial statements continued
47. Legal proceedings continued |

266

| Notes | 2023 £m | 2023 £m | 2022 £m | 2022 £m
Fixed assets – investments | E |  | 22,631 |  | 22,881
Current assets: |  |  |  |  |
Trade and other receivables | F |  | 22,657 |  | 17,748
Cash at bank |  |  | 17 |  | 20
Total current assets |  |  | 22,674 |  | 17,768
Trade and other payables | G |  | (740) |  | (545)
Total current liabilities |  |  | (740) |  | (545)
Net current assets |  |  | 21,934 |  | 17,223
Total assets less current liabilities |  |  | 44,565 |  | 40,104
Provisions for liabilities | H |  | (20) |  | (13)
Other non-current liabilities | I |  | (388) |  | (645)
Net assets |  |  | 44,157 |  | 39,446
Capital and reserves |  |  |  |  |
Share capital | J |  | 1,348 |  | 1,347
Share premium account | J |  | 3,451 |  | 3,440
Other reserves | K |  | 1,420 |  | 1,420
Retained earnings: |  |  |  |  |
At 1 January |  | 33,239 |  | 50,596 |
Profit/(loss) for the year |  | 6,643 |  | 710 |
Ordinary shares issued under share option/award schemes |  | 20 |  | – |
Treasury shares transferred to the ESOP Trust |  | 283 |  | 1,089 |
Dividends in specie |  | – |  | (15,689) |
Dividends paid to shareholders |  | (2,247) |  | (3,467) |
| K |  | 37,938 |  | 33,239
Equity shareholders’ funds |  |  | 44,157 |  | 39,446

The financial statements on pages 267 to 271 were approved by the Board on 27 February 2024 and signed on its behalf by
Sir Jonathan Symonds
Chair GSK plc
Registered number: 3888792
Company statement of changes in equity
for the year ended 31 December 2023

| Share capital £m | Share premium account £m | Other reserves £m | Retained earnings £m | Total equity £m
At 1 January 2022 | 1,347 | 3,301 | 1,420 | 50,596 | 56,664
Profit and Total comprehensive income attributable to shareholders | – | – | – | 710 | 710
Treasury shares transferred to the ESOP Trust | – | – | – | 1,089 | 1,089
Dividends to shareholders (Note D) | – | – | – | (3,467) | (3,467)
Dividends in specie (Note D) | – | – | – | (15,689) | (15,689)
Shares issued under employee share schemes | – | 139 | – | – | 139
At 31 December 2022 | 1,347 | 3,440 | 1,420 | 33,239 | 39,446
Profit and Total comprehensive income attributable to shareholders | – | – | – | 6,643 | 6,643
Treasury shares transferred to the ESOP Trust | – | – | – | 283 | 283
Dividends to shareholders (Note D) | – | – | – | (2,247) | (2,247)
Shares issued under employee share schemes | 1 | 11 | – | 20 | 32
At 31 December 2023 | 1,348 | 3,451 | 1,420 | 37,938 | 44,157

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Company balance sheet – UK GAAP
(including FRS 101 ‘Reduced Disclosure Framework’) as at 31 December 2023

267
A) Presentation of the financial statements
Description of business
GSK Plc is the parent company of GSK, a major global
biopharma group which prevents and treats disease with
vaccines, specialty and general medicines. GSK focuses on the
science of the immune system and the use of new platform and
data technologies, investing in four core therapeutic areas:
infectious diseases, HIV, respiratory/immunology and oncology.
Preparation of financial statements
The financial statements, which are prepared using the
historical cost convention (as modified to include the
revaluation of certain financial instruments) and on a going
concern basis, are prepared in accordance with Financial
Reporting Standard 101 ‘Reduced Disclosure Framework’ and
with UK accounting presentation and the Companies Act 2006
as at 31 December 2023 , with comparative figures as at
31 December 2022
As permitted by section 408 of the Companies Act 2006, the
income statement of the company is not presented in this
Annual Report.
The company is included in the Group financial statements of
GSK plc, which are publicly available.
The following exemptions from the requirements of IFRS have
been applied in the preparation of these financial statements,
in accordance with FRS 101:
– Paragraphs 45(b) and 46 to 52 of IFRS 2, ‘Share-based
payment’
– IFRS 7, ‘Financial Instruments – Disclosures’
– Paragraphs 91-99 of IFRS 13, ‘Fair value measurement’
– Paragraph 38 of IAS 1, ‘Presentation of financial statements’
comparative information requirements in respect of
paragraph 79(a) (iv) of IAS 1
– Paragraphs 10(d), 10(f), 16, 38(A), 38 (B to D), 40 (A to D), 111
and 134 to 136 of IAS 1, ‘Presentation of financial statements’
– IAS 7, ‘Statement of cash flows’
– Paragraph 30 and 31 of IAS 8, ‘Accounting policies, changes
in accounting estimates and errors’
– Paragraph 17 of IAS 24, ‘Related party disclosures’ and the
further requirement in IAS 24 to disclose related party
transactions entered into between two or more members of a
Group.
Accounting convention and standards
The balance sheet has been prepared using the historical cost
convention and complies with applicable UK accounting
standards.
Accounting principles and policies
The preparation of the balance sheet in conformity with
generally accepted accounting principles requires
management to make estimates and assumptions that affect
the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the balance
sheet. Actual amounts could differ from those estimates.
The balance sheet has been prepared in accordance with the
company’s accounting policies approved by the Board and
described in Note B. These policies have been consistently
applied, unless otherwise stated.
Key accounting judgements and estimates
No key accounting judgements or estimates were required in
the current year.
B) Accounting policies
Foreign currency transactions
Foreign currency transactions are recorded at the exchange
rate ruling on the date of transaction. Foreign currency assets
and liabilities are translated at rates of exchange ruling at the
balance sheet date.
Dividends paid and received
Dividends paid and received are included in the financial
statements in the period in which the related dividends are
actually paid or received.
Expenditure
Expenditure is recognised in respect of goods and services
received when supplied in accordance with contractual terms.
Provision is made when an obligation exists for a future liability
in respect of a past event and where the amount of the
obligation can be reliably estimated.
Investments in subsidiary companies
Investments in subsidiary companies are held at cost less any
provision for impairment and also includes a capital
contribution in relation to movements in contingent
consideration.
Impairment of investments
The carrying value of investments are reviewed for impairment
when there is an indication that the investment might be
impaired. The assessment method used is to compare the
carrying value of each investment against its share of the net
assets value of the investment or against its share of the
valuation of the subsidiary based on expected discounted cash
flows. Any impairment charge is recognised in the income
statement in the year concerned.
Assets held for sale/distribution
Non-current assets are held for disposal/demerger only if
available for immediate disposal/demerger in their present
condition, a disposal/demerger is highly probable and
expected to be completed within one year from the date of
classification. Such assets are measured at the lower of
carrying value and fair value less the cost of disposal.
Trade and other receivables
Trade and other receivables are carried at amortised cost less
allowance of expected credit losses. Expected credit losses are
calculated in accordance with the approach permitted by IFRS
9. The m ajority of the balance within trade and other
receivables is amounts owed by Group undertakings. The
Company applies a general approach to calculate the
expected credit losses. If a receivable is determined to be non-
collectable it is written off, firstly against any expected credit
loss allowance available and then to the statement of
comprehensive income. Subsequent recoveries of amounts
previously provided for are credited to the statement of
comprehensive income. Long term receivables are discounted
where the effect is material.
Share-based payments
The company issues shares to employees on behalf of its
subsidiary companies for cash consideration.

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Notes to the company balance sheet – UK GAAP
(including FRS 101 ‘Reduced Disclosure Framework’)

268
Treasury shares
The purchase price paid for the treasury shares is included
within retained earnings. Treasury shares are transferred to the
ESOP trust at the fair market price at the date of the transfer
for cash consideration. If the proceeds are equal to or less than
the purchase price paid by the company for the shares, the
proceeds are treated as a realised loss. If the proceeds exceed
the purchase price, the excess over the purchase price is
transferred to the share premium account. The purchase price
paid by the company for the shares is determined by the use of
a weighted average price method.
Taxation
Current tax is provided at the amounts expected to be paid
applying tax rates that have been enacted or substantively
enacted by the balance sheet date.
Deferred tax is provided in full, using the liability method, on
temporary differences arising between the tax bases of assets
and liabilities and their carrying amounts in the financial
statements. Deferred tax assets are only recognised to the
extent that they are considered recoverable against future
taxable profits.
Deferred tax is measured at the average tax rates that are
expected to apply in the periods in which the temporary
differences are expected to be realised or settled. Deferred tax
liabilities and assets are not discounted.
Financial guarantees
Liabilities relating to guarantees issued by the company on
behalf of its subsidiaries are initially recognised at fair value
and subsequently measured at the higher of:
1. the Expected Credit Loss (ECL) measured used the general
approach; and
2. the amount initially recorded less, when appropriate,
accumulated amortisation.
C) Operating profit
A fee of £14,752 (2022: £12,600) relating to the audit of the
company has been charged in operating profit.
D) Dividends
In 2023 the Directors declared four interim dividends resulting in a dividend for the year of 58.00 pence. For further details, see Note
16 'Dividends' to the Group financial statements.
The demerger of the Consumer Healthcare business was implemented by GSK declaring an interim dividend in July 2022 as follows.

| 2022 £m
Dividend in specie of Haleon plc shares distributed to external shareholders | 15,526
Dividend in specie of Haleon plc shares distributed to the ESOP Trusts | 163
| 15,689

E) Fixed assets – investments

| 2023 £m | 2022 £m
Shares in GlaxoSmithKline Services Unlimited | 654 | 637
Shares in GlaxoSmithKline Holdings (One) Limited | 18 | 18
Shares in GlaxoSmithKline Holdings Limited | 17,888 | 17,888
Shares in GlaxoSmithKline Mercury Limited | 33 | 33
Shares in GSK LP Limited | 2,476 | 2,493
| 21,069 | 21,069
Capital contribution relating to share-based payments | 1,139 | 1,139
Contribution relating to contingent consideration | 423 | 673
| 22,631 | 22,881

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Notes to the company balance sheet – UK GAAP
(including FRS 101 ‘Reduced Disclosure Framework’)

269
F) Trade and other receivables

| 2023 £m | 2022 £m
Amounts due within one year: |  |
Other debtors | 1 | 2
Amounts owed by Group undertakings | 22,367 | 17,422
| 22,368 | 17,424
Amounts due after more than one year: |  |
Amounts owed by Group undertakings | 289 | 324
| 22,657 | 17,748

The amounts owed by Group undertakings due within one year primarily include a call account balance with GSK Finance plc which
is unsecured, repayable on demand with interest received at SONIA rate less 0.05% per annum (2022: SONIA rate less 0.05%).
The directors consider that the carrying amount of amounts owed by Group undertakings approximates to their fair values. No
provision for expected credit loss has been recognised as the counter-party has access to sufficient funds and assets to fulfil its
future obligations. Amounts owed by Group undertakings are not past due and no increased credit risk experienced since initial
recognition.
The movement in the Amounts owed by Group undertakings in the period, as reflected within Notes F and G, primarily reflects the
receipt of dividend income from subsidiaries and utilisation of the company’s current account to fund the payment of interim
dividends.
G) Trade and other payables

| 2023 £m | 2022 £m
Amounts due within one year: |  |
Other creditors | 349 | 396
Contingent consideration payable | 35 | 28
Corporation tax | 201 | 18
Amounts owed to Group undertakings | 155 | 103
| 740 | 545

The company has guaranteed debt issued by certain subsidiary companies and for which it receives an annual fee from one of the
subsidiaries. In aggregate, the company has outstanding guarantees over £16.5 billion of debt instruments (2022: £19.5 billion). The
financial guarantee contract liability of £327 million (2022: £371 million) is included within other creditors. The amounts due from the
subsidiary company in relation to these guarantee fees will be recovered over the life of the bonds and are disclosed within ‘Trade
and other receivables’ (see Note F).
H) Provisions for liabilities

| 2023 £m | 2022 £m
At 1 January | 13 | 12
Charge for the year | 28 | 43
Utilised | (21) | (42)
At 31 December | 20 | 13

The provisions relate to a number of legal and other disputes in which the company is currently involved.
I) Other non-current liabilities

| 2023 £m | 2022 £m
Contingent consideration payable | 388 | 645

The contingent consideration relates to the amount payable for the acquisition in 2015 of the Novartis Vaccines portfolio. The
current year liability is included within ‘Trade and other payables’. For further details, see Note 33 'Contingent consideration
liabilities' to the Group financial statements.

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Notes to the company balance sheet – UK GAAP
(including FRS 101 ‘Reduced Disclosure Framework’)

270
J) Share capital and share premium account

| Ordinary shares | Share premium account
| Number | £m | £m
Share capital issued and fully paid |  |  |
1 January 2022 | 5,387,015,059 | 1,347 | 3,301
Impact of share consolidation | (1,077,403,011) | – | –
Issued under employee share schemes | 1,731,293 | – | 25
Ordinary shares acquired by ESOP Trust | – | – | 114
At 31 December 2022 | 4,311,343,341 | 1,347 | 3,440
Issued under employee share schemes | 802,642 | 1 | 9
Ordinary shares acquired by ESOP Trust | – | – | 2
At 31 December 2023 | 4,312,145,983 | 1,348 | 3,451

At 31 December 2023, of the issued share capital, 58,817,197 shares were held in the ESOP Trusts (out of which 58,493,518 were held
for future exercise of share options and share awards and 323,679 shares were held for the Executive Supplemental Savings Plan),
197,068,169 shares were held as Treasury shares and 4,056,260,617 shares were in free issue. All issued shares are fully paid and
there are no shares authorised but not in issue. The nominal, carrying and market values of the shares held in the ESOP Trusts are
disclosed in Note 45, ‘Employee share schemes’.
K) Retained earnings and other reserves
The profit of GSK plc for the year was £6,643 million (2022: £710 millio n). After dividends paid of £2,247 million (2022: £19,156 million
which included the Consumer Healthcare business demerger dividend of £15,689 million), and the effect of £283 million Treasury
shares transferred to a subsidiary company (2022: £1,089 million) retained earnings at 31 December 2023 stood at £37,938 million
(2022: £33,239 million), of which £12,938 million is not considered by the Company to be available for distribution (2022:
£8,140 million). Dividends to shareholders are paid out of the reserves of the Company considered to be available of distribution,
which at 31 December 2023 amounted to £25,000 million (2022: £25,099 million).
Other reserves includes a capital redemption reserve and a reserve reﬂecting historical contributions of shares in the company
which were issued to satisfy share option awards granted to employees of subsidiary companies.
L) Group companies
See pages 306 to 314 for a complete list of subsidiaries, associates, joint ventures and other significant shareholdings, which forms
part of these financial statements.

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Notes to the company balance sheet – UK GAAP
(including FRS 101 ‘Reduced Disclosure Framework’)

271
Investor
Information

In this section |
Commercial Operations turnover | 273
Three year record | 275
Product development pipeline | 277
Products, competition and intellectual property | 281
Principal risks and uncertainties | 284
Share capital and control | 295
Dividends | 297
Financial calendar 2023 | 298
Annual General Meeting 2023 | 298
Tax information for shareholders | 299
Shareholder services and contacts | 301
US law and regulation | 303
Group companies | 306
Glossary of terms | 315

|  |  |  |  |  |  |  | GSK Annual Report 2023

272

Commercial Operations turnover by therapeutic area 2023

| Total |  | US |  | Europe |  | International
2023 |  | Growth |  | 2023 |  | Growth |  | 2023 |  | Growth |  | 2023 |  | Growth
£m | £% | CER% |  | £m | £% | CER% |  | £m | £% | CER% |  | £m | £% | CER%
Shingles | 3,446 | 16 | 17 |  | 1,880 | (4) | (4) |  | 908 | 32 | 30 |  | 658 | >100 | >100
Shingrix | 3,446 | 16 | 17 |  | 1,880 | (4) | (4) |  | 908 | 32 | 30 |  | 658 | >100 | >100
Meningitis | 1,260 | 13 | 14 |  | 610 | 6 | 7 |  | 433 | 20 | 17 |  | 217 | 20 | 29
Bexsero | 849 | 13 | 14 |  | 311 | (7) | (6) |  | 417 | 24 | 21 |  | 121 | 46 | 61
Menveo | 380 | 10 | 12 |  | 299 | 25 | 25 |  | 12 | (40) | (45) |  | 69 | (19) | (13)
Other | 31 | 72 | 67 |  | – | – | – |  | 4 | (20) | (20) |  | 27 | >100 | >100
RSV | 1,238 | – | – |  | 1,194 | – | – |  | 4 | – | – |  | 40 | – | –
Arexvy | 1,238 | – | – |  | 1,194 | – | – |  | 4 | – | – |  | 40 | – | –
Influenza | 504 | (29) | (29) |  | 371 | (32) | (32) |  | 39 | (32) | (33) |  | 94 | (13) | (10)
Fluarix/FluLaval | 504 | (29) | (29) |  | 371 | (32) | (32) |  | 39 | (32) | (33) |  | 94 | (13) | (10)
Established Vaccines | 3,266 | 6 | 7 |  | 1,254 | 8 | 9 |  | 742 | 3 | 2 |  | 1,270 | 5 | 7
Infanrix, Pediarix | 554 | (7) | (6) |  | 291 | (11) | (11) |  | 121 | (8) | (8) |  | 142 | 4 | 10
Boostrix | 614 | 3 | 4 |  | 394 | 9 | 10 |  | 122 | (12) | (13) |  | 98 | 2 | 4
Hepatitis | 611 | 7 | 8 |  | 336 | (2) | (1) |  | 177 | 25 | 23 |  | 98 | 14 | 17
Rotarix | 614 | 17 | 18 |  | 192 | >100 | >100 |  | 118 | (3) | (5) |  | 304 | (2) | 2
Synflorix | 275 | (10) | (10) |  | – | – | – |  | 36 | 6 | 3 |  | 239 | (12) | (12)
Priorix, Priorix Tetra, Varilrix | 265 | 41 | 41 |  | 16 | 60 | 60 |  | 129 | 33 | 30 |  | 120 | 48 | 53
Cervarix | 120 | 3 | 5 |  | – | – | – |  | 33 | 50 | 45 |  | 87 | (8) | (4)
Others | 213 | 13 | 11 |  | 25 | 14 | 9 |  | 6 | (82) | (76) |  | 182 | 37 | 34
Vaccines ex COVID | 9,714 | 23 | 24 |  | 5,309 | 25 | 26 |  | 2,126 | 16 | 15 |  | 2,279 | 26 | 31
Pandemic vaccines | 150 | >100 | >100 |  | – | – | – |  | 130 | >100 | >100 |  | 20 | >100 | >100
Pandemic adjuvant | 150 | >100 | >100 |  | – | – | – |  | 130 | >100 | >100 |  | 20 | >100 | >100
Vaccines | 9,864 | 24 | 25 |  | 5,309 | 25 | 26 |  | 2,256 | 20 | 18 |  | 2,299 | 27 | 31
HIV | 6,444 | 12 | 13 |  | 4,283 | 14 | 14 |  | 1,423 | 9 | 7 |  | 738 | 8 | 16
Dolutegravir products | 5,408 | 4 | 5 |  | 3,418 | 3 | 4 |  | 1,290 | 4 | 3 |  | 700 | 9 | 17
Tivicay | 1,386 | – | 2 |  | 801 | (3) | (2) |  | 267 | (2) | (4) |  | 318 | 12 | 21
Triumeq | 1,542 | (14) | (14) |  | 1,074 | (12) | (11) |  | 280 | (22) | (24) |  | 188 | (15) | (11)
Juluca | 661 | 4 | 4 |  | 511 | 3 | 4 |  | 136 | 7 | 6 |  | 14 | (7) | (7)
Dovato | 1,819 | 32 | 33 |  | 1,032 | 33 | 33 |  | 607 | 27 | 25 |  | 180 | 50 | 59
Rukobia | 117 | 43 | 44 |  | 110 | 39 | 41 |  | 7 | >100 | >100 |  | – | – | –
Cabenuva | 708 | >100 | >100 |  | 587 | 100 | >100 |  | 103 | >100 | >100 |  | 18 | >100 | >100
Apretude | 149 | >100 | >100 |  | 149 | >100 | >100 |  | – | – | – |  | – | – | –
Others | 62 | (35) | (33) |  | 19 | (39) | (42) |  | 23 | (18) | (25) |  | 20 | (44) | (31)
Respiratory/Immunology and Other | 3,025 | 16 | 18 |  | 2,100 | 15 | 15 |  | 468 | 28 | 26 |  | 457 | 11 | 21
Nucala | 1,655 | 16 | 18 |  | 978 | 11 | 11 |  | 383 | 28 | 26 |  | 294 | 21 | 33
Benlysta | 1,349 | 18 | 19 |  | 1,121 | 18 | 19 |  | 99 | 19 | 18 |  | 129 | 13 | 25
Other | 21 | (48) | (42) |  | 1 | – | – |  | (14) | 18 | 12 |  | 34 | (40) | (33)
Oncology | 731 | 21 | 23 |  | 396 | 27 | 27 |  | 289 | 14 | 13 |  | 46 | 28 | 61
Zejula | 523 | 13 | 15 |  | 257 | 9 | 10 |  | 222 | 14 | 12 |  | 44 | 29 | 65
Blenrep | 36 | (69) | (69) |  | (2) | >(100) | >(100) |  | 38 | (27) | (27) |  | – | – | –
Jemperli | 141 | >100 | >100 |  | 108 | >100 | >100 |  | 31 | >100 | >100 |  | 2 | >100 | >100
Ojjaara | 33 | – | – |  | 33 | – | – |  | – | – | – |  | – | – | –
Other | (2) | >(100) | >(100) |  | – | – | – |  | (2) | (100) | – |  | – | >(100) | (100)
Specialty Medicines ex COVID | 10,200 | 14 | 15 |  | 6,779 | 15 | 15 |  | 2,180 | 13 | 11 |  | 1,241 | 10 | 19
Pandemic | 44 | (98) | (98) |  | 10 | (99) | (99) |  | 3 | (99) | (99) |  | 31 | (97) | (97)
Xevudy | 44 | (98) | (98) |  | 10 | (99) | (99) |  | 3 | (99) | (99) |  | 31 | (97) | (97)
Specialty Medicines | 10,244 | (9) | (8) |  | 6,789 | 1 | 1 |  | 2,183 | (8) | (10) |  | 1,272 | (41) | (36)
Respiratory | 6,825 | 4 | 6 |  | 3,442 | 7 | 8 |  | 1,402 | 1 | – |  | 1,981 | 1 | 9
Arnuity Ellipta | 36 | (36) | (34) |  | 29 | (40) | (40) |  | – | – | – |  | 7 | (13) | –
Anoro Ellipta | 557 | 15 | 16 |  | 269 | 15 | 16 |  | 193 | 17 | 15 |  | 95 | 12 | 20
Avamys/Veramyst | 299 | (7) | (4) |  | – | – | – |  | 57 | (12) | (14) |  | 242 | (5) | (2)
Flixotide/Flovent | 451 | (17) | (16) |  | 283 | (20) | (20) |  | 70 | (5) | (5) |  | 98 | (17) | (11)
Incruse Ellipta | 162 | (17) | (17) |  | 78 | (25) | (24) |  | 59 | (8) | (9) |  | 25 | (11) | (7)
Relvar/Breo Ellipta | 1,103 | (4) | (2) |  | 436 | (12) | (12) |  | 366 | 5 | 4 |  | 301 | – | 8
Seretide/Advair | 1,139 | (2) | 1 |  | 341 | 11 | 11 |  | 256 | (11) | (12) |  | 542 | (4) | 3
Trelegy Ellipta | 2,202 | 27 | 29 |  | 1,606 | 28 | 29 |  | 275 | 17 | 16 |  | 321 | 34 | 44
Ventolin | 749 | (3) | – |  | 400 | (3) | (2) |  | 100 | (14) | (16) |  | 249 | 2 | 11
Other Respiratory | 127 | (11) | (5) |  | – | (100) | (100) |  | 26 | (13) | (17) |  | 101 | (10) | (1)
Other General Medicines | 3,395 | (5) | 2 |  | 280 | (23) | (22) |  | 723 | 4 | 2 |  | 2,392 | (5) | 6
Dermatology | 363 | (3) | 4 |  | – | – | – |  | 107 | – | (1) |  | 256 | (5) | 6
Augmentin | 628 | 9 | 17 |  | – | – | – |  | 186 | 23 | 21 |  | 442 | 4 | 16
Avodart | 345 | 5 | 7 |  | – | – | – |  | 109 | 2 | (1) |  | 236 | 6 | 10
Lamictal | 435 | (15) | (13) |  | 194 | (27) | (27) |  | 111 | 2 | 1 |  | 130 | (5) | 4
Other | 1,624 | (9) | 1 |  | 86 | (13) | (11) |  | 210 | (5) | (7) |  | 1,328 | (9) | 3
General Medicines | 10,220 | 1 | 5 |  | 3,722 | 4 | 5 |  | 2,125 | 2 | 1 |  | 4,373 | (2) | 7
Total Commercial Operations | 30,328 | 3 | 5 |  | 15,820 | 9 | 9 |  | 6,564 | 3 | 2 |  | 7,944 | (6) | 1

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Financial record

273

Commercial Operations turnover by therapeutic area 2022

| Total |  | US |  | Europe |  | International
2022 |  | Growth |  | 2022 |  | Growth |  | 2022 |  | Growth |  | 2022 |  | Growth
£m | £% | CER% |  | £m | £% | CER% |  | £m | £% | CER% |  | £m | £% | CER%
Shingles | 2,958 | 72 | 60 |  | 1,964 | 46 | 32 |  | 688 | >100 | >100 |  | 306 | >100 | >100
Shingrix | 2,958 | 72 | 60 |  | 1,964 | 46 | 32 |  | 688 | >100 | >100 |  | 306 | >100 | >100
Meningitis | 1,116 | 16 | 11 |  | 573 | 26 | 14 |  | 362 | 2 | 3 |  | 181 | 18 | 20
Bexsero | 753 | 16 | 12 |  | 333 | 32 | 19 |  | 337 | 3 | 4 |  | 83 | 20 | 23
Menveo | 345 | 27 | 18 |  | 240 | 20 | 8 |  | 20 | (5) | (10) |  | 85 | 67 | 71
Other | 18 | (54) | (54) |  | – | – | – |  | 5 | – | – |  | 13 | (62) | (62)
Influenza | 714 | 5 | (4) |  | 549 | 20 | 9 |  | 57 | (44) | (44) |  | 108 | (11) | (16)
Fluarix/Flulaval | 714 | 5 | (4) |  | 549 | 20 | 9 |  | 57 | (44) | (44) |  | 108 | (11) | (16)
Established vaccines | 3,085 | 4 | – |  | 1,157 | 18 | 7 |  | 720 | 3 | 4 |  | 1,208 | (7) | 8
Infanrix, Pediarix | 594 | 9 | 3 |  | 327 | 8 | (3) |  | 131 | 13 | 13 |  | 136 | 10 | 6
Boostrix | 594 | 14 | 7 |  | 360 | 33 | 20 |  | 138 | (1) | (1) |  | 96 | (14) | (15)
Hepatitis | 571 | 24 | 16 |  | 343 | 28 | 15 |  | 142 | 30 | 31 |  | 86 | 5 | (1)
Rotarix | 527 | (3) | (3) |  | 95 | (14) | (23) |  | 122 | 3 | 5 |  | 310 | (1) | 1
Synflorix | 305 | (15) | (15) |  | – | – | – |  | 34 | (24) | (22) |  | 271 | (13) | (14)
Priorix, Priorix Tetra, Varilrix | 188 | (28) | (29) |  | 10 | – | – |  | 97 | (22) | (22) |  | 81 | (40) | (43)
Cervarix | 117 | (15) | (20) |  | – | – | – |  | 22 | (12) | (8) |  | 95 | (16) | (22)
Others | 189 | 26 | 26 |  | 22 | (8) | (17) |  | 34 | 55 | 45 |  | 133 | 28 | 32
Vaccines ex COVID | 7,873 | 24 | 17 |  | 4,243 | 31 | 18 |  | 1,827 | 27 | 28 |  | 1,803 | 8 | 6
Pandemic vaccines | 64 | (86) | (86) |  | – | (100) | (100) |  | 57 | – | – |  | 7 | (97) | (97)
Pandemic adjuvant | 64 | (86) | (86) |  | – | (100) | (100) |  | 57 | – | – |  | 7 | (97) | (97)
Vaccines | 7,937 | 17 | 11 |  | 4,243 | 22 | 10 |  | 1,884 | 31 | 32 |  | 1,810 | (3) | (5)
HIV | 5,749 | 20 | 12 |  | 3,756 | 30 | 17 |  | 1,310 | 10 | 10 |  | 683 | – | (3)
Dolutegravir products | 5,191 | 14 | 6 |  | 3,311 | 19 | 8 |  | 1,239 | 8 | 8 |  | 641 | – | (3)
Tivicay | 1,381 | – | (7) |  | 823 | 8 | (3) |  | 273 | (5) | (4) |  | 285 | (14) | (19)
Triumeq | 1,799 | (4) | (11) |  | 1,217 | 2 | (8) |  | 361 | (20) | (19) |  | 221 | (8) | (9)
Juluca | 636 | 23 | 14 |  | 494 | 26 | 13 |  | 127 | 14 | 15 |  | 15 | 15 | 8
Dovato | 1,375 | 75 | 65 |  | 777 | 82 | 64 |  | 478 | 58 | 59 |  | 120 | >100 | >100
Rukobia | 82 | 82 | 64 |  | 79 | 84 | 65 |  | 3 | 50 | 50 |  | – | – | –
Cabenuva | 340 | >100 | >100 |  | 294 | >100 | >100 |  | 40 | >100 | >100 |  | 6 | >100 | >100
Apretude | 41 | – | – |  | 41 | – | – |  | – | – | – |  | – | – | –
Others | 95 | (25) | (29) |  | 31 | (37) | (45) |  | 28 | (22) | (22) |  | 36 | (14) | (17)
Respiratory/Immunology and Other | 2,609 | 29 | 20 |  | 1,830 | 29 | 16 |  | 366 | 13 | 13 |  | 413 | 45 | 47
Nucala | 1,423 | 25 | 18 |  | 881 | 28 | 15 |  | 300 | 17 | 17 |  | 242 | 24 | 28
Benlysta | 1,146 | 31 | 20 |  | 949 | 31 | 18 |  | 83 | 22 | 22 |  | 114 | 44 | 43
Other | 40 | >100 | >100 |  | – | – | – |  | (17) | – | – |  | 57 | >100 | >100
Oncology | 602 | 23 | 17 |  | 313 | 14 | 3 |  | 253 | 30 | 31 |  | 36 | 80 | 75
Zejula | 463 | 17 | 12 |  | 235 | 11 | – |  | 194 | 19 | 20 |  | 34 | 70 | 75
Blenrep | 118 | 33 | 25 |  | 66 | 8 | (3) |  | 52 | 86 | 86 |  | – | – | –
Jemperli | 21 | >100 | >100 |  | 13 | >100 | >100 |  | 8 | >100 | >100 |  | – | – | –
Other | – | – | – |  | (1) | – | – |  | (1) | – | – |  | 2 | – | –
Specialty Medicines ex COVID | 8,960 | 23 | 15 |  | 5,899 | 29 | 16 |  | 1,929 | 13 | 13 |  | 1,132 | 14 | 13
Pandemic | 2,309 | >100 | >100 |  | 828 | 38 | 24 |  | 456 | >100 | >100 |  | 1,025 | >100 | >100
Xevudy | 2,309 | >100 | >100 |  | 828 | 38 | 24 |  | 456 | >100 | >100 |  | 1,025 | >100 | >100
Specialty Medicines | 11,269 | 37 | 29 |  | 6,727 | 30 | 17 |  | 2,385 | 34 | 35 |  | 2,157 | 69 | 70
Respiratory | 6,548 | 8 | 3 |  | 3,209 | 10 | (1) |  | 1,384 | 3 | 3 |  | 1,955 | 10 | 9
Arnuity Ellipta | 56 | 19 | 9 |  | 48 | 20 | 10 |  | – | – | – |  | 8 | 14 | –
Anoro Ellipta | 483 | (4) | (9) |  | 233 | (16) | (24) |  | 165 | 11 | 11 |  | 85 | 10 | 10
Avamys/Veramyst | 321 | 8 | 6 |  | – | – | – |  | 65 | – | 2 |  | 256 | 10 | 8
Flixotide/Flovent | 545 | 23 | 15 |  | 353 | 28 | 16 |  | 74 | 7 | 7 |  | 118 | 18 | 16
Incruse Ellipta | 196 | (4) | (10) |  | 104 | (5) | (14) |  | 64 | (9) | (7) |  | 28 | 8 | –
Relvar/Breo Ellipta | 1,145 | 2 | (2) |  | 498 | 2 | (8) |  | 347 | 4 | 4 |  | 300 | – | 2
Seretide/Advair | 1,159 | (15) | (17) |  | 308 | (37) | (43) |  | 287 | (11) | (11) |  | 564 | 3 | 1
Trelegy Ellipta | 1,729 | 42 | 32 |  | 1,253 | 47 | 32 |  | 236 | 18 | 19 |  | 240 | 47 | 48
Ventolin | 771 | 7 | 2 |  | 411 | 5 | (5) |  | 116 | 7 | 8 |  | 244 | 11 | 10
Other Respiratory | 143 | 4 | 6 |  | 1 | – | – |  | 30 | 11 | 7 |  | 112 | 2 | 5
Other General Medicines | 3,570 | (1) | (2) |  | 363 | 10 | (1) |  | 695 | (14) | (13) |  | 2,512 | 1 | 2
Dermatology | 376 | (6) | (5) |  | (1) | – | – |  | 107 | (18) | (18) |  | 270 | – | 1
Augmentin | 576 | 35 | 38 |  | – | – | – |  | 151 | 22 | 23 |  | 425 | 41 | 44
Avodart | 330 | (1) | (3) |  | – | – | – |  | 107 | (9) | (8) |  | 223 | 5 | –
Lamictal | 511 | 7 | 1 |  | 265 | 14 | 3 |  | 109 | (3) | (3) |  | 137 | 2 | –
Other | 1,777 | (10) | (10) |  | 99 | – | (9) |  | 221 | (31) | (31) |  | 1,457 | (7) | (6)
General Medicines | 10,118 | 5 | 1 |  | 3,572 | 10 | (1) |  | 2,079 | (3) | (3) |  | 4,467 | 5 | 5
Total Commercial Operations | 29,324 | 19 | 13 |  | 14,542 | 22 | 10 |  | 6,348 | 18 | 19 |  | 8,434 | 14 | 14

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Financial record continued

274

Three-year selected financial data

A record of financial performance is provided, analysed in accordance with current reporting practice. The information included in
the selected financial data (except for number of employees and adjusted results) is prepared in accordance with International
Accounting Standards in conformity with the requirements of the Companies Act 2006 and also with IFRS as issued by the
International Accounting Standards Board.

Group turnover by geographic region | 2023 £m | 2022 £m | 2021 £m
US | 15,820 | 14,542 | 11,914
Europe | 6,564 | 6,348 | 5,370
International | 7,944 | 8,434 | 7,412
| 30,328 | 29,324 | 24,696

Group turnover by product group | 2023 £m | 2022 £m | 2021 £m
Vaccines | 9,864 | 7,937 | 6,778
Specialty Medicines | 10,244 | 11,269 | 8,251
General Medicines | 10,220 | 10,118 | 9,667
| 30,328 | 29,324 | 24,696

Vaccines turnover | 2023 £m | 2022 £m | 2021 £m
Shingles | 3,446 | 2,958 | 1,721
Meningitis | 1,260 | 1,116 | 961
RSV | 1,238 | – | –
Influenza | 504 | 714 | 679
Established Vaccines | 3,266 | 3,085 | 2,970
Pandemic Vaccines | 150 | 64 | 447
| 9,864 | 7,937 | 6,778

Specialty Medicines turnover | 2023 £m | 2022 £m | 2021 £m
HIV | 6,444 | 5,749 | 4,777
Respiratory/Immunology and other | 3,025 | 2,609 | 2,027
Oncology | 731 | 602 | 489
Pandemic | 44 | 2,309 | 958
| 10,244 | 11,269 | 8,251

General Medicines | 2023 £m | 2022 £m | 2021 £m
Respiratory | 6,825 | 6,548 | 6,048
Other General Medicines | 3,395 | 3,570 | 3,619
| 10,220 | 10,118 | 9,667

Financial results – Total | 2023 £m | 2022 £m | 2021 £m
Turnover | 30,328 | 29,324 | 24,696
Profit after taxation from continuing operations | 5,308 | 4,921 | 3,516
Profit after taxation from discontinued operations and other gains/(losses) from the demerger | – | 3,049 | 1,580
Remeasurement of discontinued operations distributed to shareholders on demerger | – | 7,651 | –
Profit after taxation from discontinued operations | – | 10,700 | 1,580
Profit after taxation for the year | 5,308 | 15,621 | 5,096
| pence | pence | pence
Basic earnings per share from continuing operations | 121.6p | 110.8p | 82.9p
Basic earnings per share from discontinued operations | – | 260.6p | 26.7p
Total basic earnings per share | 121.6p | 371.4p | 109.6p
Diluted earnings per share from continuing operations | 119.9p | 109.2p | 81.8p
Diluted earnings per share from discontinued operations | – | 257.0p | 26.4p
Total diluted earnings per share | 119.9p | 366.2p | 108.2p

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Financial record continued

275

Financial results – Adjusted | 2023 £m | 2022 £m | 2021 £m
Turnover | 30,328 | 29,324 | 24,696
Continuing operating profit | 8,786 | 8,151 | 6,493
Continuing profit before taxation | 8,112 | 7,358 | 5,774
Continuing profit after taxation | 6,855 | 6,220 | 4,856

The reconciliation between Total and Adjusted operating profit over the last three years can be summarised as follows:

| 2023 £m | 2022 £m | 2021 £m
Total continuing operating profit | 6,745 | 6,433 | 4,357
Intangible asset amortisation | 719 | 739 | 761
Intangible asset impairment | 398 | 296 | 347
Major restructuring | 382 | 321 | 424
Transaction-related items | 572 | 1,750 | 1,143
Divestments, significant legal and other items | (30) | (1,388) | (539)
Adjusted continuing operating profit | 8,786 | 8,151 | 6,493

The reconciliation between total and Adjusted earnings per share over the last three years can be summarised as follows:

| pence | pence | pence
Total continuing earnings per share | 121.6p | 110.8p | 82.9p
Intangible asset amortisation | 13.9p | 14.6p | 15.2p
Intangible asset impairment | 7.5p | 5.8p | 6.6p
Major restructuring | 7.4p | 5.9p | 8.7p
Transaction-related items | 6.9p | 34.1p | 18.1p
Divestments, significant legal and other items | (2.2)p | (31.5)p | (21.2)p
Adjusted continuing earnings per share | 155.1p | 139.7p | 110.3p

|  |  | % | % | %
Return on capital employed |  |  | 53.0 | n/m | 25.8

For 2021 and 2023 return on capital employed is calculated as total profit before taxation as a percentage of average net assets
over the year and is not restated. Return on capital employed is not calculated for 2022 as it is not meaningful (n/m) as the average
net assets over the year included Consumer Healthcare which was demerged on 18 July 2022.

Balance sheet |  |  | 2023 | 2022 | 2021
Non-current assets |  |  | 40,361 | 39,377 | 60,429
Current assets |  |  | 18,644 | 20,769 | 18,674
Total assets |  |  | 59,005 | 60,146 | 79,103
Current liabilities |  |  | (21,068) | (22,810) | (23,670)
Non-current liabilities |  |  | (25,142) | (27,240) | (34,091)
Total liabilities |  |  | (46,210) | (50,050) | (57,761)
Net assets |  |  | 12,795 | 10,096 | 21,342
Shareholders’ equity |  |  | 13,347 | 10,598 | 15,055
Non-controlling interests |  |  | (552) | (502) | 6,287
Total equity |  |  | 12,795 | 10,096 | 21,342

Number of employees |  |  | 2023 | 2022 | 2021
US |  |  | 12,205 | 11,946 | 14,289
Europe |  |  | 32,675 | 31,800 | 38,809
International |  |  | 25,332 | 25,654 | 36,998
|  |  | 70,212 | 69,400 | 90,096
Manufacturing |  |  | 23,159 | 23,292 | 32,141
Selling |  |  | 26,193 | 26,310 | 34,846
Administration |  |  | 7,888 | 7,605 | 11,014
Research and development |  |  | 12,972 | 12,193 | 12,095
|  |  | 70,212 | 69,400 | 90,096

The geographic distribution of employees in the table above is based on the location of GSK’s subsidiary companies. The number of
employees is the number of permanent employed staff at the end of the financial period. It excludes those employees who are
employed and managed by GSK on a contract basis.

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Financial record continued
Three-year selected financial data continued |  |  |

276

Pharmaceuticals and Vaccines product development pipeline

Key | † | In-license or other alliance relationship with third party
| ^ | ViiV Healthcare, a global specialist HIV company with GSK, Pfizer, Inc. and Shionogi Limited as shareholders, is responsible for developing and delivering HIV medicines
| BLA | Biological Licence Application
| MAA | Marketing Authorisation Application (Europe)
| NDA | New Drug Application (US)

A | Approved
S | Submitted
Phase I | Evaluation of clinical pharmacology, usually conducted in volunteers
Phase II | Determination of dose and initial evaluation of efficacy, conducted in a small number of patients
Phase III | Large comparative study (compound versus placebo and/or established treatment) in patients to establish clinical benefit and safety

MAA and NDA/BLA regulatory review milestones shown in the table below are those that have been achieved. Future filing dates
are not included in this list.

|  |  |  | Achieved regulatory review milestones
Compound | Mechanism of Action/Vaccine Type | Indication | Phase | MAA | NDA/BLA
Oncology |  |  |  |
Ojjaara/Omjjara (momelotinib)† | JAK1, JAK2 and ACVR1 inhibitor | Myelofibrosis | Approved | A:Jan24 | A:Sep23
Jemperli (dostarlimab)† | Anti-Programmed Cell Death protein 1 receptor (PD-1) antibody | dMMR/MSI-H 1L endometrial cancer 1L endometrial cancer combination with Zejula (niraparib) Peri-operative dMMR/MSI-H colon cancer Non-small cell lung cancer 1 Neoadjuvant dMMR/MSI-H rectal cancer | Approved III III II II | A:Dec23 | A:Jul23
Zejula (niraparib)† | Poly (ADP-ribose) polymerase (PARP) 1/2 inhibitor | 1L maintenance ovarian cancer combination with Jemperli (dostarlimab) 1L maintenance non small cell lung cancer (NSCLC) combination with pembrolizumab | III III III |  |
Blenrep (belantamab mafodotin) † | ADC targeting B-cell maturation antigen | 2L+ multiple myeloma combination with Pomalyst and dexamethasone 2L+ multiple myeloma combination with Velcade and dexamethasone Multiple myeloma in combination with anti- cancer treatments (platform study) 1L multiple myeloma combination with Velcade, Revlimid and dexamethasone | III III II I |  |
cobolimab † | Anti-T-cell immunoglobulin and mucin domain-3 (TIM-3) antibody | Non-small cell lung cancer combination with Jemperli (dostarlimab) and docetaxel | III |  |
belrestotug† | Anti-TIGIT | Non-small cell lung cancer combination with Jemperli (platform study) Squamous cell carcinoma of the head and neck combination with Jemperli and GSK6097608 (platform study) | II II |  |
4381562 † | Anti-PVRIG | Cancer | I |  |
6097608 † | Anti-CD96 | Cancer | I |  |
XMT-2056 2 (wholly owned by Mersana Therapeutics) | STING agonist ADC | Cancer | I |  |
belantamab | B-cell maturation antigen binder | Multiple myeloma | I |  |
4524101† | DNA polymerase theta inhibitor | Cancer | I |  |
5733584† | ADC targeting B7-H4 | Gynecologic malignancies | I |  |
HIV^ |  |  |  |
Apretude (cabotegravir) | HIV integrase strand transfer inhibitor (long-acting) | HIV pre-exposure prophylaxis HIV infection | Approved I | A:Sep23 | A:Dec21
3810109 † | HIV broadly neutralising antibody | HIV infection | II |  |
3739937 | HIV maturation inhibitor | HIV infection | II |  |
4004280 | HIV capsid protein inhibitor | HIV infection | II |  |
4011499 | HIV capsid protein inhibitor | HIV infection | II |  |
4524184 † | HIV integrase inhibitor | HIV infection | II |  |

Brand names appearing in italics are trade marks owned by or licensed to the GSK group of companies.
Footnotes
(1) non-registrational.
(2) GSK has an exclusive global license option to co-develop and commercialize the candidate.

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277

|  |  |  | Achieved regulatory review milestones
Compound | Mechanism of Action/Vaccine Type | Indication | Phase | MAA | NDA/BLA
Infectious Diseases |  |  |  |
Arexvy (RSV vaccine)† | Recombinant protein, adjuvanted vaccine | Respiratory syncytial virus prophylaxis in adults 60 years and older Respiratory syncytial virus prophylaxis in older adult population 50-59 years of age | Approved Registration | A:Jun23 S:Jan24 | A:May23 S:Dec23
gepotidacin † | Triazaacenaphthylene bacterial type II topoisomerase inhibitor | Uncomplicated urinary tract infection (uUTI) Urogenital gonorrhea (GC) | III III |  |
bepirovirsen † | HBV antisense oligonucleotide | Chronic hepatitis B virus infection | III |  |
Bexsero vaccine | Recombinant protein and outer membrance vesicle vaccine | Prevention of invasive disease caused by N. meninigitidis serogroup B in individuals 2 months of age and older (US) | III |  |
3536819 (Men ABCWY vaccine) | Recombinant protein, outer membrance vesicle, glycoconjugate vaccine | Prevention of invasive disease caused by N. meninigitidis serogroups A,B,C,W and Y in adolescents 10-25 years of age | III |  |
tebipenem pivoxil † | Antibacterial carbapenem | Complicated urinary tract infection (cUTI) | III |  |
ibrexafungerp† | Antifungal glucan synthase inhibitor | Invasive candidiasis | III |  |
ganfeborole† | Leucyl t-RNA synthetase inhibitor | Tuberculosis | II |  |
alpibectir† | Ethionamide booster | Tuberculosis | II |  |
3437949 † (Malaria fractional dose) | Recombinant protein, adjuvanted vaccine | Malaria prophylaxis ( Plasmodium falciparum ) | II |  |
3536852 † | Generalized Modules for Membrane Antigens (GMMA) vaccine | Shigella diarrhea prophylaxis | II |  |
3528869 † (Therapeutic HBV) | Prime-boost with viral vector co- or sequentially administrated with adjuvanted recombinant proteins | Treatment of chronic Hepatitis B infections – aims at functional cure by controlling and resolving the clinical sequelae of the infection and reducing the need for further treatment | II |  |
4023393 (Men ABCWY, 2nd Gen) | Recombinant protein, outer membrance vesicle – conjugated vaccine | Prevention of invasive disease caused by N. meninigitidis serogroup A,B,C,W and Y in adolescents and children 6 weeks of age and older | II |  |
4178116 (Varicella new strain) | Live attenuated vaccine | Active immunization for the prevention of varicella in individuals 12 months of age and older | II |  |
sanfetrinem cilexetil † | Serine beta lactamase inhibitor | Tuberculosis | II |  |
4106647 † (HPV9-AS04) | Recombinant protein-adjuvanted vaccine | Active immunization of girls and women, boys and men (9-45 years), for the prevention of cancer, genital warts and precancerous or dysplastic lesions (girls, boys AIN only) caused by Human papillomavirus (HPV) | II |  |
4388067 (CHBV ASO combo)† | Targeted Immunotherapy (viral vector; adjuvanted recombinant proteins) & Direct Acting Antiviral (GSK's bepirovirsen) | Treatment of chronic Hepatitis B virus infection in individuals >18 years without decompensated cirrhosis | II |  |
5101955 † | MAPS Pneumococcal 24-valent paed | Prevention of pneumonia and invasive pneumococcal disease caused by the Streptococcus pneumoniae 24 serotypes included in the vaccine in children aged 6 weeks – 17 years | II |  |
5101956† | MAPS Pneumococcal 24-valent | Prevention of pneumonia and invasive pneumococcal disease caused by the Streptococcus pneumoniae 24 serotypes included in the vaccine in adults aged 18 years and older | II |  |
4406371 (MMRV new strain) | Live attenuated vaccine | Active immunization for the prevention of measles, mumps, rubella, and varicella in children 12 months through 12 years of age | II |  |

Brand names appearing in italics are trade marks owned by or licensed to the GSK group of companies.

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278

|  |  |  | Achieved regulatory review milestones
Compound | Mechanism of Action/Vaccine Type | Indication | Phase | MAA | NDA/BLA
Infectious Diseases continued |  |  |  |
3993129 (CMV) | Recombinant subunit – adjuvanted vaccine | Cytomegalovirus (CMV) infection prophylaxis in females 16-49 years of age | II |  |
4382276 † (mRNA Seasonal Flu) | mRNA vaccine | Active immunization for the prevention of influenza disease in adults 18 years and older | II |  |
4396687 † (mRNA COVID-19) | mRNA vaccine | Active immunization to prevent COVID-19 disease caused by SARS-CoV-2 in individuals 12 years and older | II |  |
3943104 † (Therapeutic HSV) | Recombinant protein-adjuvanted | Treatment for the suppression of recurrent genital herpes in adults aged 18 years and older | II |  |
4077164 † (iNTS (Typhimurium + Enteritidis)) | Bivalent Generalized Modules for Membrane Antigens (GMMA) vaccine | Invasive non-typhoidal salmonella | II |  |
4077164 † (iNTS (S. typhimurium + S. enteritidis + S. Typhi)) | Bivalent Generalized Modules for Membrane Antigens (GMMA) vaccine and typhoid conjugate vaccine (TCV) | Invasive non-typhoidal salmonella and typhoid fever | II |  |
4348413 (Gonorrhoea) | Generalized Modules for Membrane Antigens (GMMA) vaccine | Active immunization for the prevention of gonorrhea infection in individuals aged 16 to 50 years | II |  |
daplusiran + tomligisiran | Hepatitis B virus-targeted siRNA sequential combination | Chronic hepatitis B virus infection | II |  |
3882347 † | FimH antagonist | Uncomplicated urinary tract infection (uUTI) | I |  |
3186899 †3 | CRK-12 inhibitor | Visceral leishmaniasis | I |  |
3494245 † | Proteasome inhibitor | Visceral leishmaniasis | I |  |
2556286 † | Mtb cholesterol dependent inhibitor | Tuberculosis | I |  |
3923868 | PI4K beta inhibitor | Viral COPD exacerbations | I |  |
3536867 † (Salmonella (typhoid + paratyphoid A)) | Bivalent Typhoid and Paratyphoid A conjugate | Salmonella typhoid and paratyphoid (A) enteric fever | I |  |
3965193 | PAPD5/PAPD7 inhibitor | Chronic hepatitis B virus infection | I |  |
5251738 † | TLR8 agonist | Chronic hepatitis B virus infection | I |  |
3772701 † | P falciparum whole cell inhibitor | Malaria | I |  |
4024484† | P falciparum whole cell inhibitor | Malaria | I |  |

Brand names appearing in italics are trade marks owned by or licensed to the GSK group of companies.
Footnote
(3) Transition activities underway to enable further progression by partner.

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279

|  |  |  | Achieved regulatory review milestones
Compound | Mechanism of Action/Vaccine Type | Indication | Phase | MAA | NDA/BLA
Immunology and Respiratory |  |  |  |
Nucala (mepolizumab) | Anti-IL5 | COPD | III |  |
depemokimab † | Anti-IL5 (long-acting) | Asthma Chronic rhinosinusitis with nasal polyps (CRSwNP) Eosinophilic granulomatosis with polyangiitis (EGPA) Hypereosinophilic syndrome (HES) | III III III III |  |
latozinemab † | Anti-sortilin monoclonal antibody | Frontotemporal Dementia (FTD) due to Heterozygous Mutations in the Progranulin Gene Amyotrophic Lateral Sclerosis (ALS) Frontotemporal Dementia (FTD) due to Mutations in the C9orf72 Gene | III II II |  |
camlipixant | P2X3 receptor antagonist | Refractory chronic cough | III |  |
Ventolin, low carbon version of metered dose inhaler | Beta 2 adrenergic receptor agonist | Asthma 4 | III |  |
Benlysta (belimumab) | Anti-B lymphocyte stimulator monoclonal antibody | Systemic sclerosis associated interstitial lung disease | II |  |
3858279 † | Anti-CCL17 | Osteoarthritis pain Diabetic peripheral neuropathic pain | II II |  |
4527226 (AL101) † | Anti-sortilin monoclonal antibody | Alzheimer's disease | II |  |
1070806 | Anti-IL18 | Atopic dermatitis | II |  |
3888130 † | Anti-IL7 | Autoimmune disease | I |  |
3915393† | Transglutaminase 2 (TG2) inhibitor | Pulmonary fibrosis | I |  |
5462688† | RNA-editing oligonucleotide | Alpha-1 antitrypsin deficiency | I |  |
3862995 | Anti-IL33 | COPD | I |  |
4347859 | Interferon pathway modulator | Systemic lupus erythematosus | I |  |
Opportunity Driven |  |  |  |
Jesduvroq (daprodustat) | Prolyl hydroxylase inhibitor | Anaemia of chronic kidney disease | Approved |  | A:Feb23
linerixibat | Ileal bile acid transporter (IBAT) inhibitor | Cholestatic pruritus in PBC (primary biliary cholangitis) | III |  |
4532990 † | HSD17B13 silencer | Non-alcoholic steatohepatitis (NASH) | II |  |
4172239 † | DNMT1 inhibitor | Sickle cell disease | I |  |

Brand names appearing in italics are trade marks owned by or licensed to the GSK group of companies.
Footnote
(4) Phase III start expected in 2024.

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280

Pharmaceutical products, competition and intellectual property

|  |  | Major | Patent expiry dates 1
Products | Compounds | Indication(s) | competitor brands | US | EU
Respiratory |  |  |  |  |
Anoro Ellipta | umeclidinium bromide/ vilanterol trifenatate | COPD | Spiolto/Stiolto Respimat, Utibron/Ultibro Breezhaler, Duaklir Genuair Bevespi Aerosphere, Brimica Genuair | 2027 (NCE) 2027-2031 (device) | 2029 (NCE) 2024-2026 (device)
Avamys/Veramyst | fluticasone furoate | Allergic rhinitis | Dymista, Xhance, Nasonex, Fluticasone Gx | expired | expired
Nucala | mepolizumab | Asthma, CRSwNP, EGPA, HES | Fasenra | expired 2 | expired 2
Relvar/Breo Ellipta | fluticasone furoate/ vilanterol trifenatate | Asthma, COPD | Symbicort, Foster, Budesonide/Formoterol generics, Fluticasone Propionate/Salmeterol generics, Beclomethasone/ Formoterol generics, Atectura | 2025 (NCE) 2027-2031 (device) | 2027 (NCE) 2024-2026 (device)
Seretide/Advair | salmeterol xinafoate/ fluticasone propionate | Asthma, COPD | Symbicort, Foster, Budesonide/Formoterol generics, Fluticasone Propionate/Salmeterol generics, Beclomethasone/ Formoterol generics, Atectura | expired (Diskus device) 2023-2026 (HFA-device) | expired (Diskus device) expired (HFA-device)
Trelegy Ellipta | fluticasone furoate/ vilanterol trifenatate umeclidinium bromide | COPD, asthma | Breztri Aerosphere, Trimbow | 2027 (NCE) 2027-2031 (device) | 2029 (NCE) 2024-2026 (device)
Ventolin | Salbutamol sulphate | Asthma, COPD | Salbutamol/SABA generics, Symbicort as reliever (PRN & MARTI)3, Airsupra (US only) | 2023-2026 (HFA-device) | expired (HFA-device)
Xevudy | sotrovimab | Early treatment of COVID-19 | REGEN-COV, bamlanivimab/ etesevimab, Evusheld | 2041 | 2041
Central nervous system |  |  |  |
Lamictal | lamotrigine | Epilepsy, bipolar disorder | Vimpat, Trokendi XR, Inovelon, Keppra, generics | expired | expired
Keppra | levetiracetam | Epilepsy | Briviact, Vimpat, Lamictal, Depakene, Depacon, generics | NA | NA
Cardiovascular and urogenital |  |  |  |
Avodart & Duodart | dutasteride dutasteride + tamsulosin | Benign prostatic hyperplasia (BPH) | Generics, Finasteride, Alpha Blockers | expired | expired
Anti-bacterials |  |  |  |  |
Augmentin | Amoxicillin trihydrate/ potassium clavulanate | Common bacterial infections | Generics, Oral Cephalosporins – Cefuroxime axetil, Cefixime, Cefpodoxime, Cefdinir, Cephalexin Oral Macrolides – Azithromycin, Clarithromycin | NA | expired

(1) Unless otherwise stated, patent expiry dates relate to the latest expiring new molecular entity patents in the relevant territory. Where appropriate, these
patent expiry dates include granted Patent Term Extensions in the US, granted Supplementary Protection Certificates in multiple countries of the EU and in
the UK, and Paediatric Exclusivity periods. Additional exclusivities (for example regulatory data protection or other types of patents) may exist but are not
listed in the table.
(2) Regulatory data protection expires 2027 (US) and 2026 (EU).
(3) PRN = use as required *MART = maintenance and reliever therapy.

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281

|  |  | Major | Patent expiry dates 1
Products | Compounds | Indication(s) | competitor brands | US | EU
Dermatology |  |  |  |
Dermovate, Betnovate, Cutivate, Eumovate | Clobetasol propionate, Betamethasone valerate, Fluticasone propionate, Clobetasone butyrate | Inflammatory skin conditions | Generics, Other topical corticosteroids like Mometasone furoate, Methylprednisolone aceponate and Hydrocortisone | Not marketed in US | expired
Oncology |  |  |  |  |
Zejula | niraparib | ovarian cancer | Lynparza, Rubraca | 2031 | 2032
Blenrep | belantamab mafodotin | relapsed/refractory multiple myeloma | Abecma, Carvykti, Tecvayli, Talvey, Elrexfio | 2032 | 2032
Jemperli | dostarlimab | dMMR/MSI-H recurrent/ advanced endometrial cancer, dMMR solid tumours | Keytruda, Imfinzi+Lynparza | 2034 | 2034
Ojjaara/Omjjara | momelotinib | myelofibrosis in patients with anemia | Jakafi, Inrebic, Vonjo | 2030 | 2028
Immuno-inflammation |  |  |  |
Benlysta, Benlysta (SC and IV) | belimumab | systemic lupus erythematosus, lupus nephritis | Lupkynis, Saphnelo | 2025 | 2026
Renal
Jesduvroq, Duvroq | Daprodustat | anaemia of chronic kidney disease | Evrenzo (roxadustat), vadadustat | 2027 | Not approved in EU
HIV |  |  |  |  |
Apretude | Cabotegravir | HIV prevention | Descovy, Truvada | 2026 | 2031
Cabenuva/Vocabria + Rekambys | Cabotegravir, rilpivirine | HIV/AIDS | Descovy, Genvoya, Odefsey, Biktarvy | 2026 | 2031
Rukobia | Fostemsavir | HIV/AIDS | Trogarzo, Sunlenca | 2029 | 2025
Dovato | Dolutegravir, lamivudine | HIV/AIDS | Descovy, Genvoya, Odefsey, Biktarvy | 2028 | 2029
Juluca | Dolutegravir, rilpivirine | HIV/AIDS | Descovy, Genvoya, Odefsey, Biktarvy | 2028 | 2029
Triumeq | Dolutegravir, lamivudine and abacavir | HIV/AIDS | Descovy, Genvoya, Odefsey, Biktarvy | 2028 | 2029
Tivicay | Dolutegravir | HIV/AIDS | Isentress, Prezista Symtuza, Reyataz, Biktarvy | 2028 | 2029

(1) Unless otherwise stated, patent expiry dates relate to the latest expiring new molecular entity patents in the relevant territory. Where appropriate, these
patent expiry dates include granted Patent Term Extensions in the US, granted Supplementary Protection Certificates in multiple countries of the EU and in
the UK, and Paediatric Exclusivity periods. Additional exclusivities (for example regulatory data protection or other types of patents) may exist but are not
listed in the table.

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Pharmaceutical products, competition and intellectual property continued |  |

282

Vaccine products, competition and intellectual property

|  |  | Major | Patent expiry dates 1
Products | Compounds | Indication(s) | competitor brands | US | EU
Arexvy | Respiratory syncytial virus vaccine | Respiratory syncytial virus vaccination | Abrysvo | 2030 | 2032
Bexsero | meningococcal group-B vaccine | Meningitis group B prophylaxis | Trumenba | 2027 | 2028
Boostrix | diphtheria, tetanus, acellular pertussis | diphtheria, tetanus, acellular Pertussis booster vaccination | Adacel | expired | expired
Infanrix Hexa/ Pediarix | diphtheria, tetanus, pertussis, polio, hepatitis B, Haemophilus influenzae type B (EU) | Prophylaxis against diphtheria, tetanus, pertussis, polio, hepatitis B, Haemophilus influenzae type B (EU) | Pentacel, Pediacel, Pentaxim, Pentavac, Hexaxim, Hexyon Vaxelis | expired | expired
Cervarix | HPV 16 & 18 virus like particles (VLPs), AS04 adjuvant (MPL + aluminium hydroxide) | human papilloma virus type 16 and 18 | Gardasil (Silgard) | Not marketed in US | expired
Fluarix Tetra | split inactivated influenza antigens (2 virus subtypes A and 2 subtype B) | seasonal influenza prophylaxis | Intenza, Flumist QIV, Vaxigrip QIV, Fluzone QIV, Fluzone High Dose | expired | expired
FluLaval | split inactivated influenza antigens (2 virus subtypes A and 2 subtype B) | seasonal influenza prophylaxis | Vaxigrip, Mutagrip, Fluzone, Influvac, Aggripal, Fluad, Intenza, Flumist | expired | expired
Menveo | meningococcal group A, C, W-135 and Y conjugate vaccine | Meningitis group A, C, W-135 and Y prophylaxis | Nimenrix, MenQuadfi | 2025 | 2025
Priorix, Priorix Tetraa, Varilrix | live attenuated MMR, Varicella and MMRV vaccines | measles, mumps, rubella and chickenpox prophylaxis | MMR II (M-M-RVaxPro) Proquad, Varivax | expired | expired
Rotarix | Human rotavirus RIX4414 strain | Rotavirus prophylaxis | Rotateq | expired | expired
Synflorix | conjugated pneumococcal polysaccharide | Prophylaxis against invasive disease, pneumonia, acute otitis media | Prevenar (Prevnar) | Note marketed in US | 2026
Shingrix | zoster vaccine recombinant, adjuvanted | herpes zoster (shingles) | Zostavax | 2029 | 2031

(1) Unless otherwise stated, patent expiry dates relate to the latest expiring new molecular entity patents in the relevant territory. Where appropriate, these
patent expiry dates include granted Patent Term Extensions in the US, granted Supplementary Protection Certificates in multiple countries of the EU and in
the UK, and Paediatric Exclusivity periods. Additional exclusivities (for example regulatory data protection or other types of patents) may exist but are not
listed in the table.

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283
We outline below the principal risks and uncertainties relevant
to GSK’s business, financial condition and operations that may
affect our performance and ability to achieve our objectives.
These are the risks that we believe could cause our actual
results to differ materially from expected and historical results.
Operating in the biopharmaceutical sector carries various
inherent risks and uncertainties that may affect our business.
We must comply with a broad range of laws and regulations
which apply to the research and development, manufacturing,
testing, approval, distribution, sales, and marketing of
pharmaceutical and vaccine products. These affect the cost of
product development, the time required to reach the market
and the likelihood of doing so successfully on an uninterrupted
basis.
As rules and regulations change, government interpretation
and policy evolves, and our business activities develop, the
nature of a particular risk may also alter. Changes to regulatory
regimes may be substantial. Any alteration in, and failure to
comply with, applicable laws and regulations could materially
and adversely affect our financial results.
Similarly, our global business exposes us to litigation and
government investigations, including product liability litigation,
patent and antitrust litigation and sales and marketing
litigation.
Litigation and government investigations, and the related
provisions we may make for unfavourable outcomes and
increases in related costs, such as insurance premiums, could
also materially and adversely affect our financial results.
More detail on the status and various uncertainties in our
significant unresolved disputes and potential litigation is set out
in Note 47 ‘Legal proceedings’on page 239.
More details regarding our risk management framework and
how we identify our principal risks can be found on pages 57 to
61 and incorporated in this section. Other risks related to
Environmental, Social, and Governance (ESG) which are not at
the level of principal risks, including environmental sustainability
and climate change, are managed through our six focus areas,
and as described in our ESG Performance Report. Additional
information on climate-related risk management is in our
climate-related financial disclosure on pages 62 to 70.
UK regulations require a description of principal risks and
uncertainties and an explanation of how these are being
managed or mitigated. Below is a description of each of our
principal risks, together with a summary of their impact and how
we manage each risk across our businesses. They are not listed
in order of significance and are consistent with the principal
risks detailed on pages 59 to 61.

Patient safety

Risk definition
The risk that GSK, including our third parties, fails to
appropriately collect, assess, follow up, or report human safety
information, including adverse events, from all potential sources
or that GSK potentially fails to appropriately act on any relevant
findings that may affect the benefit-risk profile of a medicine or
vaccine in a timely manner.
Risk impact
GSK will not tolerate an unfavourable benefit-to-risk profile for
patients who use our products. As the most important
consequence of ineffective pharmacovigilance is the potential
for harm to patients, we maintain robust processes for
managing human safety information, conducting timely safety
signal detection, and ensuring appropriate measures are in
place to manage risks to patients. GSK also intends to fully
comply with pharmacovigilance and other relevant regulations
worldwide. Non-compliance could result in inspection findings,
regulatory scrutiny, civil or criminal sanctions and either
temporary or permanent loss of product marketing
authorisation. We regularly review and respond to all patient
safety risks to limit the potential for reputational damage, loss
of trust by patients and healthcare providers, product-related
litigation, and loss of shareholder confidence.
Context
We are accountable for safeguarding patients and clinical trial
participants who receive our medicines and vaccines, whether
in development or marketed, from harm. While an unforeseen
event that unfavorably shifts the benefit/risk profile is not a
probable occurrence, such an event cannot be fully discounted;
we mitigate this risk through robust safety evaluation and
product risk management activities.
Our Chief Medical Officer is the single point of accountability
for benefit/risk decision-making. Cross-functional Safety
Review Teams continually assess new safety and efficacy
information for every GSK product throughout its life cycle. Our
Global Safety Board, under the leadership of our Chief Medical
Officer and Head of Global Safety, reviews product safety at
established milestones and in every situation where there might
be a potential impact on a benefit/risk profile.
We must operate in a complex and restrictive
pharmacovigilance regulatory environment, sometimes
complicated by variable requirements between regulatory
agencies. Such regulatory complexity is further illustrated by
instances of regulatory agencies taking decisions on the safety
of medicines and vaccines based on externally available data
that may not be accessible to the marketing authorisation
holder. This trend could inhibit our ability to make timely
decisions and take appropriate action in relation to the safety
of our products, or to confirm or refute conclusions asserted by
external parties. This has the potential to extend beyond
regulatory agencies to next-generation digital health data held
by technology companies or other data custodians, and
inaccessible by our industry and/or regulatory agencies.

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Principal risks and uncertainties

284
There are many sources of information that might trigger an
increase in reporting related to products and/or adverse events
(such as media coverage, social media, government health
authorities, etc.). Ineffective management of patient safety risks
could not only result in reputational damage, loss of trust by
patients and healthcare providers, and decline in shareholder
confidence, but could also increase the volume of product-
related litigation, including class-action lawsuits, which is
regularly faced by GSK and our industry in general.
Mitigating actions
Our Chief Medical Officer is accountable for the Patient Safety
enterprise risk and human safety matters, in collaboration with
the Head of Global Safety. A cross-enterprise safety
governance board oversees implementation of our control
framework, including risk management. Our Global Safety
Board ensures that we address human safety proactively
throughout a product’s lifecycle. Our global policy on
management of human safety information requires that all
employees immediately report issues relating to the safety of
our products. Our third party risk management framework
supports us in identifying and training any third parties who
may encounter human safety information.
In 2023, we took additional steps to strengthen how we
safeguard patients and enhance the execution of our
pharmacovigilance operational activities. We have added risk
management and benefit/risk expertise to our Global Safety
organisation that will enhance our ability to define the risk
management strategy for an evolving portfolio for which more
complex risk minimisation measures may be required, to be
followed in 2024 with a new system that will better enable us to
track the implementation and effectiveness of our risk
management plans. We have transitioned to a simplified, more
efficient approach for collecting, following up, and reporting
human safety information including adverse events from all
potential sources. We are continuing to build capability across
all GSK staff who hold accountability for our Pharmacovigilance
Quality Management System and are in the process of
embedding a simplified process for managing
pharmacovigilance agreements and safety clauses between
GSK and third parties, including our strategic partners.

Product quality

Risk definition
The risk that GSK or our third parties potentially fail to ensure
appropriate controls and governance of quality for
development and commercial products are in place;
compliance with industry practices and regulations in
manufacturing and distribution activities; and terms of GSK
product licenses and supporting regulatory activities are met.
Risk impact
A failure to ensure product quality could have far-reaching
implications for patient safety, cause product launch delays,
drug shortages or product recalls, and have regulatory, legal,
and financial consequences. These could materially and
adversely affect GSK’s reputation and financial results.
Context
The external environment for product quality remains
challenging. An increase in supplier mergers in our supply
network can create challenge in influencing their quality
standards. The rapid advancement and use of digital
technologies such as artificial intelligence and machine
learning (AI/ML) within an evolving regulatory framework
introduces both opportunity for modernisation and potential to
impact product quality if not adequately controlled. There will
be a need to adopt and adapt to new, updated guidance on
this as it emerges. The threat of cyber-attacks and data
breaches across the industry could risk the integrity of product
quality data and its audit trail. Additionally, a gradual
divergence in regulatory expectations during inspections,
particularly from some health authorities, presents a challenge
to our sites as they prepare for inspections. Retaining expertise
in biopharma and the deep capability to support digital
progression has the potential to be a challenge in a highly
competitive environment.
Mitigating actions
We align an extensive global network of quality and
compliance professionals from site-level to senior management
within each business unit to provide oversight and assist with
the delivery of quality performance and operational
compliance. We deliver this management oversight through a
hierarchy of quality councils and a Global Head of Quality.
We are expanding our Quality Management System, Good
Manufacturing Practice Audit and Quality assurance oversight
programme across R&D to ensure that we mitigate potential
product quality risk across the end-to-end process. We have
implemented a risk-based approach to assessing and
managing third party suppliers that provide materials used in
our finished products including monitoring third party labs and
how they are independently checking goods. We expect
contract manufacturers that make our products to comply with
GSK standards and regularly conduct audits to provide us with
assurance. We use key risk indicators to support risk
management activities and provide leadership teams and
quality councils with an integrated assessment of product
quality performance.
Throughout 2023, we continued to actively manage the
deployment of plans to align with the New Annex 1 guidance for
the manufacture of sterile medicinal products in the context of
global equipment and component supply chain constraints
effecting the industry. We are increasingly applying advanced
digital technologies and insights to drive scientific excellence to
enhance and modernise the development, manufacture and
testing of our products and to protect our data. We are actively
contributing to industry advocacy and to influence thinking on
the regulatory frameworks for these advancing technologies to
support patient safety benefit and access.

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We are collaboratively working with other pharma companies
and industry trade associations to respond to questions from
the EMA and completing the safety evaluation of the use of
Titanium Dioxide in medicines, as well as identifying potential
substitutes. We are working with industry to monitor emerging
risk factors and regulatory intelligence and guidance on
Nitrosamines.
We continue to adapt our procedures to the evolving
expectations on this topic and work on our mitigation plans
alongside regular engagement with regulators, at all times
ensuring our inspection readiness for all the markets we serve.

Financial controls and reporting

Risk definition
The risk that GSK fails to comply with current tax laws; fails to
report accurate financial information in compliance with
accounting standards and applicable legislation; or incurs
significant losses due to treasury activities.
Risk impact
Non-compliance with existing or new financial or new ESG
reporting and disclosure requirements, or changes to the
recognition of income and expenses, could expose GSK to
litigation and regulatory action and could materially and
adversely affect our financial results. Failure to comply with
changes in the substance or application of the laws governing
transfer pricing, dividends, tax credits and intellectual property
could also materially and adversely affect our financial results.
Failure to comply with applicable laws and regulations could
result in GSK being investigated by relevant government
agencies and authorities and/or in legal proceedings against
us. Government investigations and litigation, can be
unpredictable and regardless of their outcome, may be costly,
require significant management attention, and damage our
reputation. Inconsistent application of treasury policies,
transactional or settlement errors, or counterparty defaults
could lead to significant losses.
Context
We are required by the laws of various jurisdictions to publicly
disclose our financial results and any events that could
materially affect the Group’s financial results. Regulators
routinely review the financial statements of listed companies for
compliance with new, revised, or existing accounting and
regulatory requirements. We believe that we comply with the
appropriate regulatory requirements concerning our financial
statements and the disclosure of material information, including
any transactions relating to business restructuring such as
acquisitions and divestitures. However, should we be subject to
an investigation into potential non-compliance with accounting
and disclosure requirements, this could lead to restatements of
previously reported results and significant penalties. Our
Treasury group deals daily in high value transactions, mostly
foreign exchange, and cash management transactions. These
transactions involve market volatility and counterparty risk. The
Group’s effective tax rate reflects the locations of our activities
and the value they generate, which determine the jurisdictions
in which profits arise and the applicable tax rates.
These may be higher or lower than the UK statutory rate and
may reflect regimes that encourage innovation and investment
in R&D by providing tax incentives which, if changed, could
affect GSK’s tax rate. In addition, the worldwide nature of our
operations means that our cross-border supply routes,
necessary to ensure supplies of medicines and vaccines, can
result in conflicting claims from tax authorities as to the profits
to be taxed in individual countries.
This can lead to double taxation, with profits taxed in more than
one country. The complexity of tax regulations also means that
we may occasionally disagree with tax authorities on the
technical interpretation of a particular area of tax law. The tax
charge included in our financial statements is our best estimate
of tax liability pending any audits by tax authorities. We expect
there to be a continued focus on tax reform, driven by initiatives
by the OECD and the EC to address the tax challenges arising
from digitalisation of the economy.
Together with domestic initiatives around the world, these may
result in significant changes to established tax principles and an
increase in tax authority disputes. Regardless of their merit or
outcomes, these may be costly, divert management attention
and adversely impact our reputation and relationship with key
stakeholders. Laws, regulations, orders and other measures
restrict dealings with certain countries, governments,
government officials, entities, individuals, and the use of
financial institutions and movement of funds.
Mitigating actions
We keep up to date with the latest developments in financial
reporting requirements by reviewing updates from regulators,
working with our external auditor and legal advisors and
performing and responding to emerging risks. Financial results
are reviewed and approved by regional management, before
being reviewed by GSK’s Group Financial Controller and Chief
Financial Officer (CFO). This allows our Financial Controller and
CFO to assess the evolution of the business over time, and to
evaluate its performance to plan. Significant judgements are
reviewed and confirmed by senior management. We integrate
technical or organisational transformation, newly acquired
activities and external risks into our risk assessments and apply
appropriate controls and reviews.
We maintain a control environment designed to identify
material errors in financial reporting and disclosure. We have a
standardised global financial reporting operating model. The
design and operating effectiveness of key financial reporting
controls are regularly reviewed by management and tested by
external third parties. The few locations which are not on the
standard model apply a minimum standard set of controls
which are reviewed by management and monitored
independently. This gives us assurance that controls over key
financial reporting and disclosure processes are operating
effectively. Our Global Finance Risk Management and Controls
(FRMC) group provides extra support during significant
transformations, such as system deployment or management/
structural reorganisations. We add operational resources and
adapt programme timelines to ensure processes and controls
are maintained during significant changes. The Disclosure
Committee, reporting to the Board, reviews GSK’s quarterly
results and annual report.

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Throughout the year, in consultation with its legal advisors, the
Disclosure Committee also determines whether it is necessary to
disclose publicly information about the Group through stock
exchange announcements. The Treasury Management Group
meets regularly to ensure that liquidity, interest rate,
counterparty, foreign currency transaction and foreign currency
translation risks are all managed in line with the prudent
approach detailed in the risk strategies and policies adopted by
our Board. Counterparty exposure is subject to defined limits
approved by the Board for both credit rating and individual
counterparties.
The Middle Office within Treasury monitor the management of
counterparty risk in line with agreed policy with oversight from a
corporate compliance officer, operating independently of
Treasury. Further details on mitigation of Treasury risks can be
found on pages 243 to 245. We manage tax risk through robust
internal policies, processes, training, and compliance
programmes. We maintain open and constructive relationships
with tax authorities worldwide. We monitor government debate
on tax policy in our key jurisdictions, so that we can understand
any potential future changes in tax law and share an informed
point of view.
Where relevant, we provide pragmatic and constructive
business input to tax policy makers, either directly or through
industry trade bodies. This includes advocating reform to
support economic growth and job creation, as well as the needs
of our patients and other key stakeholders. Our tax affairs are
managed on a global basis by a team of tax professionals, led
by the Global Head of Tax, who work closely with the business
on a day-to-day basis. The Global Tax team is suitably qualified
for the roles they perform, and we support their training needs
so they can provide up to date technical advice in line with their
responsibilities. We submit tax returns according to statutory
time limits and engage proactively with tax authorities to ensure
our tax affairs are current, entering into continuous audit
programmes and advance pricing agreements where
appropriate. These arrangements provide long-term certainty
for both tax authorities and GSK over the tax treatment of our
business, based on full disclosure of all relevant facts. We seek
to resolve any differences of interpretation in tax legislation with
tax authorities in a cooperative manner. In exceptional cases,
we may have to resolve disputes through formal proceedings.

Legal matters

Risk definition
The risk that GSK or our third parties potentially fail to comply
with certain legal requirements for the development, supply and
commercialisation of our products and operation of business,
and specifically in relation to requirements for competition law,
anti-bribery and corruption, and sanctions. Any failure to meet
compliance and legal standards for these particular areas
could lead to increasing scrutiny and enforcement from
government agencies.
Risk impact
Failure to mitigate legal risk could expose GSK and associated
persons to governmental investigation, regulatory action, and
civil and criminal liability. It may compromise GSK’s ability to
supply its products under certain government contracts. In
addition, failure to manage legal risk could have substantial
implications for GSK’s reputation and the credibility of senior
leaders. It might erode investor confidence in our governance,
risk management and future performance, and have a
consequential negative impact on share performance. It could
also lead to the imposition of significant financial penalties and
the imposition of additional reporting obligations.
Context
The overall environment for anti-bribery and corruption,
competition law and sanctions and export controls remains
challenging. There continues to be a strong enforcement
appetite for bribery investigations and prosecutions, with a
particular focus on the conduct of multinational companies
wherever they operate. The focus on sanctions, export controls
and competition law enforcements has increased. From a
sanctions perspective, we have seen penalties for violations
levied on companies from a number of different industries.
Merger control has seen increasing intervention with greater
divergence in decisions and policy by enforcement agencies.
Financial penalties handed down in these types of case are
often very significant.
Supportive aspects of the external environment include an
increase in focus on corporate transparency. Advances in
technology and the use of data analytics are also providing
better platforms to streamline processes and detect potential
issues.
Mitigation actions
Our Group General Counsel oversees and is accountable for the
Legal Matters principal risk. We have enterprise anti-bribery
and corruption, competition law and sanctions control
frameworks and programmes designed to ensure compliance
with applicable laws and regulations, building on our Code,
culture and business standards, and monitor and adapt to
evolving regulations and our business activities. Our
programmes include senior leader commitment, setting the
tone at the top.
These control frameworks are based on globally recognised
and accepted principles and include global policies, written
standards and controls to govern business activities that give
rise to these risks. We mandate enhanced controls, including
due diligence requirements and sanctions screening, for specific
high-risk activities such as interactions with government
officials, during business development transactions and
engagement with third parties.
We regularly provide anti-bribery and corruption, competition
law and sanctions training to employees, and relevant
complementary workers and third parties in accordance with
their roles, responsibilities and risks they face. We include
aspects of these key risks in our annual mandatory training and
reinforce to our workforce clear expectations regarding
acceptable behaviours.
We leverage data analytics and use information from our
monitoring and other assurance activities, key risk indicators,
investigations, and Speak Up channels to identify specific areas
for intervention, and drive continuous improvements and
enhancements to our controls. We investigate allegations of
non-compliance and take disciplinary action as required and
where permitted locally.

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Dedicated teams are responsible for the implementation and
evolution of the risk framework and programmes for anti-
bribery and corruption, competition law, and sanctions.
We continuously assess, monitor and understand our risk
exposure to related risks, including our money laundering risk,
and actively consider and implement improvements to the risk
framework and programmes based on internal and external
learnings, considering the complexity and geographic breadth
of the risk.

Commercial practices

Risk definition
The risk that GSK or our third parties potentially engage in
commercial activities that fail to comply with laws, regulations,
industry codes, and internal controls and requirements.
Risk impact
Failure to engage in activities that are consistent with the letter
and spirit of the law, industry regulations, or the Group’s
requirements relating to sales and promotion of medicines and
vaccines; with appropriate interactions with healthcare
professionals (HCPs), organisations and patients; with
legitimate and transparent transfers of value; and with pricing
and competition (or antitrust) regulations in commercial
practices, including trade channel activities and business
tendering, could materially and adversely affect our ability to
deliver our strategy and long-term priorities. Additionally, it may
result in incomplete awareness of the risk/benefit profile of our
products and possibly suboptimal treatment of patients and
consumers; governmental investigation, regulatory action and
legal proceedings brought against the Group by governmental
and private plaintiffs which could result in government
sanctions, and criminal and/or financial penalties. Any
practices that are found to be misaligned with our culture could
also result in reputational harm and dilute the trust established
with external stakeholders.
Context
We operate in a highly regulated and extremely competitive
biopharma industry, amongst peers who make significant
product innovations and technical advances and intensify price
competition. Additional external factors include access
limitations to our customers, macroeconomic inflationary
dynamics, and pricing pressure across markets. To achieve our
strategic objectives, we must continue to develop commercially
viable new products, sustain reliable supply, and deliver
additional uses for existing products that address the needs of
patients, consumers, HCPs and payers.
Financially, new products/indications carry with them an
uncertainty of future success. Product development is costly,
lengthy, and uncertain, and carries the potential for failure at
any stage. Even after successful product development, we face
challenges in how we launch, and our competitors’ products or
pricing strategies could render our assets less competitive. We
support product innovation through our continued focus on
both in-person and virtual engagement, with a constant focus
on our patient. Once we have an approved medicine or
vaccine, it is our obligation to provide important information to
the healthcare community in various ways, always in a
responsible, legal, and ethical manner.
Appropriate product promotion ensures HCPs have access to
the information they need, that patients and consumers have
the facts about the medicines and vaccines they require, and
that products are prescribed, recommended, or used in a
manner that provides healthcare benefit. We are committed to
the ethical and responsible commercialisation of our products
in support of our purpose to improve the quality of human life
and get ahead of disease together.
Mitigating actions
We have evolved policies and standards incrementally to
ensure that commercial activities that we undertake or are
conducted on our behalf are executed within our established
governance. We train employees on relevant information with a
focus on interactive learning and elements of behavioural
science. All our commercial activities worldwide must conform
to high ethical, regulatory, and industry standards. Where local
standards differ from global ones, we apply those that are most
stringent. Where the standards of an acquired company or joint
venture partner differ from our global standards, we remediate
legacy policies and implement revisions, so they align. Our
businesses continue to use our internal control framework to
support the assessment and management of risks.

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Business unit risk management and compliance boards, which
manage risks across global and in-country business activities,
oversee commercial activities and their monitoring
programmes. All promotional materials and activities must be
reviewed and approved according to our policies and
standards and conducted in accordance with local laws and
regulations; these requirements seek to ensure that such
materials and activities fairly represent the Group’s products or
services. Where necessary, in the event of misconduct, we have
disciplined employees, up to and including termination of
contract, and, applied/enforced GSK's senior leader
recoupment policy. We have continued to evolve our incentive
programme for sales representatives to better recognise and
reward individual effort. In nearly all markets, the capped
variable pay element of representatives’ compensation is
evaluated on the basis of individual sales targets.
We allow fair-market value payments to be made by GSK to
expert practitioners to speak about our innovative medicines
and vaccines during a restricted period in a product’s lifecycle,
or when new and competitive data is published. To support this,
in 2023 we embedded a global end-to-end expert engagement
process, rolled out a Healthcare Organisation (HCO) process,
created a new standard operating procedure for tenders,
updated our External Expert Engagement operating procedure,
and further strengthened our interactive digital media channel
controls through the identification of all channels, and the
contracting of a third party to monitor these channels across
GSK, to drive consistent ways of working and efficiencies and
strengthen controls through automation and use of data.
Where permitted we report payments to individual HCPs as
part of our commitment to transparency and responsible
disclosure.

Scientific and patient engagement

Risk definition
The risk that GSK or our third parties potentially fail to engage
externally to gain insights, educate and communicate on the
science of our medicines and associated disease areas, and
provide grants and donations in a legitimate and transparent
manner compliant with laws, regulations, industry codes and
internal controls and requirements.
Risk impact
Without controls in place, the risk could result in real, perceived,
or disguised promotion including off-label and prior
authorisation promotion, and real or perceived provision of
medical advice. This could lead to reputational damage,
competitor complaints, regulatory inspections with subsequent
corrective actions, or civil litigation.
We must fully and appropriately engage externally to bring
patient benefit, and to advance science and innovation, while
delivering our strategy. Otherwise, we risk reducing the trust of
the public, patients, healthcare professionals, payers, regulators,
and governments.
Context
Scientific and patient engagements are diverse non-
promotional activities directed at healthcare professionals,
patients, payers, and external stakeholders. Such engagements
aim to improve patient care through the exchange or provision
of knowledge on the use of our products and related diseases.
Scientific and patient engagement with external stakeholder
groups is vital to GSK, as a research-based biopharma
company that is ambitious for patients and to advance science
and medicine.
We expect our activities to be scientifically sound and accurate,
conducted ethically and transparently, and compliant with
applicable codes, laws, and regulations. There are many
industry and local codes and laws and other regulations that
apply (such as Privacy or Data integrity). That means measured
risk-taking, rooted in sound ethical considerations, and
principles-based decision-making, training, communication,
and monitoring of such activities are key to managing the risk
and enabling full and appropriate engagement.
Mitigating actions
Our Chief Medical Officer (CMO) oversees all non-promotional
scientific and patient engagement (SPE) as enterprise risk
owner. The GSK Code of Practice is the key internal policy for
non-promotional engagement activities. These activities include
scientific interactions, support for medical education, advice
seeking, gathering insights on unmet needs of patients,
scientific communication of our research, and disease
awareness, healthcare support services and patient support
programs.
Process simplification continued into 2023. Global process
owners accountable for the end-to-end process have been
assigned for the simplified processes: Seeking Advice, Content
Approval, Medical Information and Medical Education. This
accountability includes the comprehensive oversight of the
process, the creation of an appropriate internal control
framework and continuous evaluation of process for
improvement where necessary.
All SPE materials and activities must be reviewed and approved
according to our policies and standards. Additional controls for
the review of SPE content have been implemented to continue
to ensure content is non-promotional, accurate, fair, objective
and balanced and will not be perceived as promotion.
We have further modernised our digital approach to HCPs,
embedded our framework for interactions with patients and
patient organisations, and developed our policy for healthcare
support services and patient support programmes and applied
our internal principles to these activities. An internal framework
for Software as Medical Device was established including an
Expert Panel that provides business owners with multi-
disciplinary advice. The cross-business unit SPE risk council
oversees SPE activities and reviews monitoring and audit data,
while the SPE network reviews the maturity of the internal
control framework of the SPE processes. We continuously
improve our internal controls, systems and networks to identify
emerging risks early and to support staff to conduct activities in
compliance with GSK’s culture and policies and local laws and
regulations while building effective risk management and
management monitoring systems.
.

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Data ethics and privacy

Risk definition
The risk that GSK or our third parties potentially fail to ethically
collect; use; re-use through artificial intelligence, data analytics
or automation; secure; share and destroy personal information
in accordance with laws, regulations, and internal controls and
requirements.
Risk impact
Non-compliance with data privacy laws globally could lead to
harm to individuals and GSK. It could also damage trust
between GSK and individuals, communities, business partners
and government authorities. Many countries have increased the
enforcement powers of their data protection authorities by
allowing them to impose significant fines, restrict cross-border
data flows, or temporarily ban data processing. Many new
national laws also enable individuals to bring collective legal
actions against companies such as GSK for failing to follow
data privacy laws.
Context
Data protection and privacy legislation is diverse, with limited
global harmonisation or simplification, making it challenging for
multinationals to standardise their approach to compliance.
Governments are enforcing compliance with data protection
and privacy laws more rigorously.
The approach and focus of data protection and privacy
regulators also differs between regions and countries, which
creates further challenges for global organisations seeking to
implement a single harmonised global privacy programme.
Increases in the volume of data processed and advances in
technology have resulted in a greater focus on data
governance and the ethical use of personal information, over
and above compliance with data privacy laws. Companies
seeking to foster innovation in artificial intelligence and other
new technologies are faced with evolving decisions from global
policymakers on how best to promote trust in these systems and
avoid unintended outcomes or harmful impacts.
Additionally, there are a number of emerging laws concerning
the localisation of data, restrictions on international transfers
and data security, which are changing existing frameworks that
GSK has previously relied upon. This increasing trend for data
sovereignty affects our ability to drive medical innovation and
to effectively operate internationally.
Global regulators (such as the EU, UK, US and China) are also
in the process of introducing legislation around the use of
artificial intelligence and machine learning (AI/ML). There
continues to be considerable uncertainty around the final
version of these proposed laws.
Mitigating actions
Our General Counsel is GSK’s Enterprise Risk Owner (ERO), and
chairs our Digital and Privacy Governance Board, which
oversees GSK’s overall data ethics and privacy operating model.
Each GSK business area has appointed a risk owner
accountable for overseeing its privacy risks, supported by
privacy leaders within their business. In countries where local
data privacy laws require the appointment of a Data Protection
Officer (DPO), GSK has made such appointments, including an
EU DPO. As a result of GSK’s focus on technology, data-driven
science, use of AI/ML and our evolving global data strategy,
the ERO has appointed a Head of Digital, Privacy and
Cybersecurity (Head of DPC), who has day-to-day
accountability for designing and implementing the control
framework.
The Head of DPC leads a global, cross-functional core team of
digital- and privacy-qualified attorneys and compliance
professionals, supported by a network of privacy leaders within
business units/functions, privacy contacts locally, and the wider
Legal & Compliance team. GSK has a global data ethics and
privacy framework based on the EU General Data Protection
Regulation, which is deployed in every market based on factors
including the robustness of local privacy legislation, established
data protection authorities, and GSK’s footprint.
Beyond those countries, we have deployed a proportionate
control framework to set up minimum privacy standards
irrespective of any applicable legislation.
Our core team is responsible for:
– operating and improving the centralised global data ethics
and privacy control framework
– continuously assessing and providing relevant and
proportionate controls and aid to non-deployed markets
– monitoring new, or changing, laws and adapting the privacy
framework accordingly
– deploying a comprehensive training programme to drive
greater awareness and accountability for managing personal
information across the entire organisation
– legal and regulatory expertise in emerging technologies,
including artificial intelligence and machine learning
We ensure key GSK privacy network roles have sufficient
training and experience to carry out their roles effectively. We
continuously improve our processes, such as issue identification,
reporting and handling, through monitoring. Our core team
works with the business to ensure we build in privacy controls
into all existing and new business initiatives, as well as ensuring
we meet our accountability obligations in accordance with
global data protection and privacy laws.

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290

Research practices

Risk definition
The risk that GSK or our third parties potentially fail to
adequately conduct ethical and credible pre-clinical and
clinical research, collaborate in research activities compliant
with laws, regulations, and internal controls and requirements.
Risk impact
The potential impacts of the risk include harm to human
subjects, reputational damage, failure to obtain the necessary
regulatory approvals for our products, governmental
investigation, legal proceedings brought against GSK by
governmental and private plaintiffs (product liability suits and
claims for damages), loss of revenue due to inadequate patent
protection or inability to supply our products, and regulatory
action such as fines, penalties, or loss of product authorisation.
Poor data integrity and governance could compromise GSK’s
R&D efforts and negatively impact our reputation. Any of these
could materially and adversely affect our financial results and
damage the trust of patients and customers.
Context
Research involving animals can raise ethical concerns. In many
cases, however, research involving animals is the only way to
investigate the effects of a potential new medicine in a living
body other than in humans. Animal research provides critical
information about the causes and mechanisms of diseases and
therefore remains a vital part of our research. We continually
seek ways in which we can minimise our use of animals in
research, development, and testing, while complying with
regulatory requirements and reducing the impact on the
animals used. Human subject research is critical to assessing
and demonstrating the safety and efficacy of our
investigational products or further evaluating our products once
they have been approved.
This research includes clinical trials in healthy volunteers and
patients and adheres to regulations and high ethical, medical,
and scientific standards. We disclose the results of this research
externally regardless of whether they reflect positively or
negatively on our products, so that the scientific community can
learn from the outcomes of our research. We also work with
human biological samples which are fundamental to the
discovery, development, and safety monitoring of our products.
We are committed to managing human biological samples in
accordance with relevant laws, regulations, and ethical
principles, and in a manner that respects the interests of sample
donors. Data is pivotal to our R&D strategy, and we are
maximising the use of data to serve patients. Governing our
data in accordance with relevant laws, regulations, contractual
obligations, expectations, and our culture across data ethics,
privacy, information and cyber security, and data integrity is
essential.
We use a wide variety of biological materials in the discovery,
research, and development of our assets. We are committed to
ensuring research is compliant with terms and conditions of
licenses, agreements or authorisations under which we acquire,
use, or transfer biological materials and technologies. Through
the Convention on Biological Diversity (CBD) and the Nagoya
Protocol, the international community has established a global
framework regulating access to, and use of, genetic resources
of non-human origin in research and development. We support
the equitable access and fairness principles of access and
benefit sharing (ABS) outlined in the CBD and the Nagoya
Protocol. We also recognise the importance of appropriate,
effective, and proportionate implementation measures at
national and regional levels.
Mitigating actions
The Research Practices risk is overseen by an enterprise
framework that seeks to strengthen governance across R&D.
Under the leadership of the Research Practices Enterprise Risk
Owner, management of the risk takes a pragmatic approach to
information sharing, streamlining risk identification and
escalation while ensuring ownership of risk mitigation stays with
the business.
We have an established Office of Animal Welfare, Ethics and
Strategy and Risk (OAWESR), led by our Chief Veterinary
Officer, which oversees and ensures the humane and
responsible care and use of animals, the conduct of ethical
reviews and independent scientific reviews of animal studies,
and advocates for the application of non-animal alternatives.
The OAWESR provides a framework of animal welfare
governance; defines and provides oversight for animal care and
use programmes; promotes the replacement, refinement, and
reduction of animal use in research; conducts quality
assessments and manages a programme of due diligence of
external animal research.
Ensuring we implement and maintain proper data governance
controls remains an important priority, especially as our
scientific strategy is evolving to take advantage of the breadth
of our data (for example: genomics and artificial intelligence
and machine learning (AI/ML)). We focus on building data
integrity, privacy and usage controls into our internal control
framework. Quality assurance teams conduct audits to provide
independent business monitoring of our internal controls. Our
R&D organisation maintains and controls pre-publication
procedures to guard against public disclosure before patent
applications are filed. In addition, because a lack of data
integrity in preparing patent application data and information
can lead to a loss of patent protection, legal experts
collaborate with R&D to support the review process for new
patent applications. Our R&D organisation also collaborates
with legal experts throughout the development of our assets to
take account of any relevant third-party patent rights.

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291

Environment, health, and safety (EHS)

Risk definition
The risk that GSK or our third parties potentially fail to ensure
appropriate controls and governance of the organisation's
assets, facilities, infrastructure, and business activities, including
execution of hazardous activities, handling of hazardous
materials, or release of substances harmful to the environment
that disrupts supply or harms employees, third parties or the
environment.
Risk impact
Failure to manage EHS risks could lead to significant harm to
people, the environment and the communities in which we
operate, fines, inability to meet stakeholder expectations and
regulatory requirements, litigation or regulatory action, and
damage to the company’s reputation, which could materially
and adversely affect our financial results.
Context
GSK is subject to the health, safety and environmental laws of
various jurisdictions. These laws impose duties to protect
people, the environment and the communities in which we
operate.
Mitigating actions
The GSK Leadership Team is responsible for EHS governance
and risk oversight. They ensure there is an effective control
framework ‘in-place’ and ‘in-use’ to manage the EHS risks,
impacts, and legal compliance issues in each of our businesses.
This includes assigning responsibility to senior managers for
providing and maintaining our controls and for ensuring that
tiered monitoring and governance processes are in place within
their business units.
Function leaders ensure that the EHS control framework is
implemented effectively in their respective business area, that it
is compliant with applicable laws and regulations, and that it is
adequately resourced, maintained, communicated, and
monitored. Every employee and qualified contractor acting on
behalf of GSK is personally responsible for ensuring that they
follow all applicable local standard operating procedures. Our
risk-based, proactive approach is articulated in our global EHS
policy and detailed in our global EHS standards, against which
we audit all our operations to ensure compliance. We ensure
hazards are appropriately controlled through the design of
facilities, equipment and systems. These rigorous procedures,
when applied correctly, put effective barriers in place to protect
employees’ health and safety.
We have refreshed and rebranded the 12 Life Saving Rules
across GSK, with global initiatives to embed the rules in daily
operations. Our Safety Leadership Experience training
continues across GSK, using incident knowledge to enhance
learnings and build a strong, collaborative safety culture. Our
Contractor Safety assessment is being deployed with the
support of an external expert review of current GSK contractor
management. We are improving driver safety through safer
cars and enhanced training.

Information and cyber security

Risk definition
The risk that GSK or our third parties potentially fail to ensure
appropriate controls and governance to identify, protect,
detect, respond, and recover from cyber incidents through
unauthorised access, disclosure, theft, unavailability or
corruption of GSK's information, key systems, or technology
infrastructure in accordance with applicable laws, regulations,
industry standards, internal controls and requirements.
Risk impact
Failure to adequately protect our information and systems
against cyber security threats may cause harm to patients,
workforce and customers, disruption to our business and/or loss
of commercial or strategic advantage, regulatory sanction, or
damage to our reputation.
Context
The external environment continues to be extremely
challenging, making it hard to keep pace with increasingly
sophisticated cyber security threats. Factors include increased
geopolitical conflict and digital nationalism, rising frequency
and severity of data breaches and the growing capability and
sophistication of cyber threat actors with additional tools like
generative AI to propagate their attacks. GSK’s business relies
on operating a highly connected information network of internal
and external systems which hold confidential research and
development, manufacturing, commercial, workforce and
financial data. This means that our systems and information
have been and will continue to be targeted by cyber security
threat actors. Acceleration in the use of digital, data and
analytics, AI/ML and cloud computing capabilities to drive
GSK’s pipeline, performance and productivity requires us to
continuously adapt and strengthen our controls and defensive
capabilities.

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Principal risks and uncertainties continued

292
GSK also relies on third-party contractors, partners and
suppliers who face similar cyber security threats, which
emphasises our focus on third party risk management.
Additionally, hybrid working environments create a larger and
more complex attack surface for cyber security threat actors to
exploit. With employees accessing company resources from
various locations and devices, new threats and vulnerabilities
could arise.
Mitigating actions
How we manage cyber security risk
We use our corporate enterprise risk management and internal
control framework to manage and oversee our Information and
Cyber Security principal risk, and we follow our corporate
governance hierarchy for risk reporting and escalation. Our
Chief Information Security Officer (CISO) heads our Cyber
Security Office and is responsible for identifying and putting in
place controls and measures to help GSK mitigate and manage
cyber security risks. This includes actively monitoring and
initiating remediation or other actions to respond to cyber
security intelligence and threats. It also includes ongoing
investment in people, process and technology to improve our
ability to prevent, detect, respond to and recover from any
cyber security incidents. We monitor this risk using key risk
indicators which include tolerance thresholds reported monthly
to the business and quarterly through the governance channels.
We also have a third-party security risk management
programme to assess cyber security risk when selecting and on-
boarding third parties like external partners and suppliers. We
use widely accepted standards and frameworks to benchmark
our internal environment and controls and help define our
security objectives and desired security outcomes. While our
standards and frameworks can evolve in response to our
dynamic threat environment, we also rely on external
frameworks including:
– the National Institute of Standards and Technology (NIST)
Cyber Security Framework for measuring the overall cyber
readiness and maturity
– the International Organisation for Standardisations (ISO)
27001/27002 for general information technology controls
– Sarbanes-Oxley (SOX) for assessment of internal controls
We also draw on third-party consultants' expertise in processes
for assessing, identifying and managing cyber security risks. This
year, our cyber security maturity programme, designed to
reduce the risk of our data being compromised, has improved
our security posture and our ability to detect, protect against,
respond to and recover from malicious cyber activity. We also
created an AI Governance Council, which includes the CISO, to
assess and manage information security risks around adopting
and scaling up AI at GSK.
Information and Cyber Security Governance
The Chief Digital and Technology Officer (CDTO) leads the
Digital and Technology function, which includes the CISO and
Cyber Security Office. The CDTO is the enterprise risk owner for
our Information and Cyber Security principal risk, responsible for
managing and reporting on the risk, and the enterprise risk plan.
This plan includes a description of the risk, its context, our
assessment and risk appetite, how we treat the risk and what
actions we need to take to manage it in line with our corporate
internal control framework. The CISO is responsible for risk
coordination across the organisation, developing and
overseeing the implementation of controls, and monitoring and
reporting on the enterprise risk plan. Both the Board and the
Audit & Risk Committee oversee our cyber security risk. The Risk
Oversight and Compliance Council helps the Audit & Risk
Committee to oversee the cyber security risks, and our
strategies to address them. The CISO reports on cyber security
risks throughout the year to the CDTO, Risk Oversight and
Compliance Council and the Audit & Risk Committee. This
reporting covers, external insights, key risk indicators,
management actions, updates on implementing the enterprise
risk plan, progress on the cyber maturity programme, and
escalations The Cyber Security Office analyses potential cyber
security incidents, supported by internal experts, and gives
updates to the CISO. The CISO escalates any cyber incidents
with potential for material impact to the Chief Compliance
Officer and the CDTO, who in turn escalates to the GSK
Leadership Team and Company Secretary, triggering review by
the Disclosure Committee to determine materiality. Any
material cyber security incidents are subsequently escalated to
the Board and Audit & Risk Committee.
Cyber Security Awareness, Training and Readiness
Our cyber security awareness and training programmes
include phishing simulations, monthly awareness campaigns
and mandatory annual refreshers for all employees, new hires
and high-risk roles. We run quarterly phishing simulation tests
and related remedial trainings. We also offer optional training
and an annual global event. These efforts aim to increase cyber
security awareness and foster a culture that security is
everyone’s responsibility. Also, we run periodic crisis simulation
exercises for targeted functions to test our response to cyber
security incidents.
Compliance with various governmental cyber security
regulations
Our Cyber Security Office, guided by our General Counsel,
works to stay abreast of emerging government regulations,
trends, and compliance expectations regarding cyber security.
As new regulatory guidance becomes available (including the
U.S. Securities and Exchange Commission's rules on cyber
security related disclosures), we respond with remedial
compliance-related actions.

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Principal risks and uncertainties continued
Information and cyber security continued |  |  |

293

Supply continuity

Risk definition
The risk that GSK or our third parties potentially fail to deliver a
continuous supply of compliant finished product or respond
effectively to a crisis incident in a timely manner to recover and
sustain critical supply operations.
Risk impact
.We recognise how important the continuity of supply of our
products is to the patients who rely on them. Supply disruption
can lead to:
– Product shortages and product recalls
– Regulatory intervention
– Reputational harm
– Lost sales revenue
Consequently, we need sophisticated end-to-end supply chain
management with robust crisis management and business
continuity plans in place to respond.
Context
We operate our supply chains in a continually evolving, highly
regulated environment. There is no single set of global
regulations which governs the manufacture and distribution of
medicines, and we must adhere to the requirements in all those
markets in which we licence, sell or manufacture our products.
We rely upon our internal Quality Management System and our
Internal Control Framework to ensure we maintain our licence
to operate. Our complex end-to-end supply chains often involve
third party suppliers, from Active Pharmaceutical Ingredient
(API) manufacturers and raw material suppliers through to
Third Party Logistics Providers and contract engineering firms.
We have integrated risk management into our sourcing and
day to day business processes, with emphasis on our Third-
Party oversight. External factors continued to challenge supply
continuity in 2023. The difficulties with sourcing bioscience
materials has eased through the year.
There is a new constraint with third party sterile manufacturing
capacity which increases global competition for contract
manufacturing operations. We continue to operate our global
supply chains in a rapidly changing geopolitical environment.
Increasing nationalism and friction between the US and China
creates divergence from global supply strategy. We have
reacted to this by designing supply routes that de-risk sourcing
decisions and use business continuity planning to mitigate and
maintain supply continuity, e.g. dual sourcing for materials and
adapting supply routes to meet regulatory expectations for
both the commercial and late stage clinical supply chains.
Our supply chain imperatives focus on accelerating innovation
with the use of technology and data to transform the way we
manufacture and supply our medicines and vaccines. We drive
our competitive advantage through our long-term strategic
partnership with R&D. We focus our talent on the skills needed
for the future, addressing skills in new technologies and
modalities. We have brought the Vaccines and Medicines
supply chains together into one Global Supply Chain
organisation to leverage the benefits of our highly skilled
workforce. Continual business monitoring is in place to assess
the sector-wide risk of the spread of industrial relations
challenges arising from global cost of living pressures. Keeping
our patients supplied with their medicines is our priority.
Mitigating activities
Risk management
Our Medicines and Vaccine supply chains are set up to ensure
sustainable global supply. The GSK Internal Control Framework
drives our approach to risk management, and it has been
designed to identify emerging new risks and support clear
decision making. Risk oversight is managed through a hierarchy
of Risk Management and Compliance Boards to assure risk
mitigation (including identifying new and emerging threats).
Inventory management
Supply chain governance committees in Medicines and
Vaccines closely monitor the inventory status and delivery of our
products. Our core commercial cycle links supply chain
forecasting with our commercial ambition. It is designed to
reduce the risk of demand fluctuations and manage temporary
shortages in supply. We periodically review each node of our
supply chains to ensure we hold adequate safety stocks, whilst
balancing working capital. We put particular emphasis on
mitigating supply risks associated with medically-critical, high-
revenue products and new product launches, for example using
dual sourcing for key products or APIs. We use the monthly
Performance Management Process across our supply chains to
monitor business activity and highlight adverse trends in supply,
operations, budget and workforce capability.
Business continuity
Crisis management and business continuity plans are in place
across our supply chains, which include authorised response
and recovery strategies, key areas of responsibility and clear
communication routes. We regularly use business continuity
plans to manage potential supply disruptions. Our
manufacturing sites have crisis management plans in place.
These plans are tested at least annually to ensure maintenance
of core skills in crisis management.

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Principal risks and uncertainties continued

294

Share capital and control

Details of our issued share capital and the number of shares
held in Treasury as at 31 December 2023 can be found in Note
37 to the financial statements, ‘Share capital and share
premium account’.
Our ordinary shares are listed on the London Stock Exchange
(LSE) and are also quoted on the New York Stock Exchange
(NYSE) in the form of American Depositary Shares (ADS). Each
ADS represents two Ordinary Shares. For details of listed debt
and where it is listed refer to Note 30 to the financial
statements, ‘Net debt’.
Holders of Ordinary Shares and ADS are entitled to receive
dividends (when declared) and a copy of the company’s
Annual Report (if elected). They are also entitled to attend,
speak, appoint proxies and exercise voting rights at general
meetings of the company
There are no restrictions on the transfer, or limitations on the
holding, of Ordinary Shares and ADS and no requirements to
obtain approval prior to any transfers. No Ordinary Shares or
ADS carry any special rights with regard to control of the
company and there are no restrictions on voting rights. Major
shareholders have the same voting rights per share as all other
shareholders. There are no known arrangements under which
financial rights are held by a person other than the holder of the
shares and no known agreements on restrictions on share
transfers or on voting rights.
Shares acquired through the Group’s employee share plans
rank equally with the other shares in issue and have no special
rights. The trustees of our Employee Share Ownership Plan
Trusts have waived their rights to dividends on shares held by
those Trusts.
Demerger of Haleon and Share Consolidation
As reported previously, on 18 July 2022 the company completed
the demerger of the Consumer Healthcare business from the
Group. More details can be found on www.gsk.com/en-gb/
haleon-cmd-to-demerger-archive. On 19 July 2022,
shareholders received four new GSK plc shares of nominal value
of 31 1/4 pence each for every five GSK plc shares of nominal
value of 25 pence each.
The Group reduced its share holding in Haleon plc during the
course of the financial year ended 31 December 2023 to 7.4%.
More information can be found in Note 22 Current Equity
Investments. On 17 January 2024, the Group reduced its
shareholding by 3.2%, GSK now holds approximately 385 million
ordinary shares in Haleon plc representing over 4.0% of the
issued share capital of Haleon. More information can be found
in Note 48 Post Balance Sheet Events.
Exchange controls and other limitations
affecting holders
Other than certain economic sanctions, which may be in force
from time to time, there are currently no applicable laws,
decrees or regulations in force in the UK restricting the import or
export of capital or restricting the remittance of dividends or
other payments to holders of the company’s shares who are
non-residents of the UK.
Similarly, other than certain economic sanctions which may be
in force from time to time, there are no limitations relating only
to non-residents of the UK under English law or the company’s
Articles of Association on the right to be a holder of, and to vote
in respect of, the company’s shares.
Interests in voting rights
Other than as stated below, as far as as the company is aware,
there are no persons with significant direct or indirect holdings
in the company. Information provided to the company pursuant
to the FCA's Disclosure Guidance and Transparency Rules (DTR
5) is published on a Regulatory Information Service and on the
company’s website, gsk.com.
The company has received notifications in accordance with
DTR 5 of the following notifiable interests in the voting rights in
the company’s issued share capital:

| 31 December 2023 | 23 February 2024
| No. of voting rights | Percentage of total voting rights(1) | No. of voting rights | Percentage of total voting rights(1)
BlackRock, Inc. | 231,975,400 (2) | 5.69% | 231,975,400 (2) | 5.69%
Dodge & Cox | 253,464,108 (3) | 5.04% | 253,464,108 (3) | 5.04%

(1) Percentage of total voting rights at the date of notification to the
company.
(2) Comprising an indirect interest in 229,134,683 Ordinary Shares and a
holding of 2,840,717 Qualifying Financial Instruments (Contracts for
Difference).
(3) Comprising an indirect interest in 99,377,874 Ordinary Shares and
154,086,234 ADS.
The company has not acquired or disposed of any interests in
its own shares during the period under review.
Share buy-back programme
The Board has been authorised to issue and allot Ordinary
Shares under Article 9 of the company’s Articles of Association.
The power under Article 9 and the authority for the company to
make purchases of its own shares are subject to shareholder
authorities which are sought on an annual basis at our Annual
General Meeting (AGM). Any shares purchased by the
company may be cancelled, held as Treasury shares or used for
satisfying share options and grants under the Group's employee
share plans.
Our programme covers purchases of shares for cancellation or
to be held as Treasury shares, in accordance with the authority
renewed by shareholders at the AGM in May 2023, when the
company was authorised to purchase a maximum of just over
409 million shares.
In determining specific share repurchase levels, the company
considers the development of free cash flow during the year. No
Treasury shares have been purchased since 2014. Details of
shares purchased, cancelled, held as Treasury shares and
subsequently transferred from Treasury to satisfy awards under
the Group’s employee share plans are disclosed in Note 37 to
the financial statements, ‘Share capital and share premium
account’. The company confirms that it does not currently
intend to make any market purchases in 2024. The company
will continue to review the potential for future share buy-backs
in line with its usual annual cycle and subject to return and
ratings criteria.

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295
Market capitalisation
The market capitalisation, based on shares in issue excluding
Treasury shares, of GSK at 31 December 2023 was £62.5 billion.
At that date, GSK was the 8th largest company by market
capitalisation in the FTSE index.

Share price | 2023 £ | 2022 £ | 2021 £
At 1 January | 14.51 | 16.25 | 13.42
At 31 December | 14.50 | 14.38 | 16.07
Increase/(decrease) | (0.06)% | (12)% | 20%
High during the year | 15.36 | 18.31 | 16.19
Low during the year | 13.16 | 12.96 | 11.91

The table above sets out middle market closing prices. The
company’s share price decreased by (0.06)% in 2023. This
compares with a decrease in the FTSE 100 index of 12% during
the year. The middle market closing share price on 23 February
2024 was £16.72 .
Share price trend in the three years ended
31 December 2023
Nature of trading market
The following table sets out, for the periods indicated, the high and low middle market closing prices for the company’s Ordinary
Shares on the LSE and for the ADS on the NYSE.

| Ordinary Shares | ADS
| UK£ per share | US$ per share
| High | Low | High | Low
February 2024* | 16.78 | 15.86 | 33.31 | 31.90
January 2024 | 15.82 | 14.80 | 40.10 | 37.51
December 2023 | 14.62 | 14.19 | 37.10 | 35.88
November 2023 | 14.26 | 13.82 | 34.17 | 35.99
October 2023 | 15.21 | 14.33 | 37.56 | 34.56
September 2023 | 13.36 | 13.74 | 38.07 | 34.41
Quarter ended 31 December 2023 | 15.21 | 13.82 | 37.56 | 34.17
Quarter ended 30 September 2023 | 15.36 | 13.16 | 38.07 | 33.81
Quarter ended 30 June 2023 | 15.23 | 13.46 | 38.32 | 33.60
Quarter ended 31 March 2023 | 15.03 | 13.77 | 36.43 | 33.50
Quarter ended 31 December 2022 | 14.92 | 13.20 | 37.92 | 30.00
Quarter ended 30 September 2022 | 18.23 | 12.96 | 44.53 | 28.67
Quarter ended 30 June 2022 | 18.31 | 16.72 | 47.70 | 41.98
Quarter ended 31 March 2022 | 17.27 | 15.01 | 47.66 | 40.17
Year ended 31 December 2021 | 16.19 | 13.80 | 44.44 | 38.13
Year ended 31 December 2020 | 14.68 | 12.92 | 39.17 | 33.42
Year ended 31 December 2019 | 18.19 | 14.36 | 47.32 | 37.83

* to 23 February 2024

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Share capital and control continued |  |  |

296

Analysis of shareholdings at 31 December 2023

| Number of accounts | % of total accounts | % if total shares | Number of shares
Holding of shares |  |  |  |
Up to 1,000 | 46,607 | 75.48 | 0.32 | 13,747,981
1,001 to 5,000 | 11,313 | 18.32 | 0.55 | 23,914,101
5,001 to 100,000 | 2,843 | 4.60 | 1.21 | 52,308,743
100,001 to 1,000,000 | 654 | 1.06 | 5.31 | 229,085,155
Over 1,000,000 | 328 | 0.53 | 92.60 | 3,993,090,003
| 61,745 | 100.00 | 100.00 | 4,312,145,983
Held by |  |  |  |
Institutional and corporate holders | 2,153 | 3.49 | 61.86 | 2,667,435,551
Individuals and other corporate bodies | 59,590 | 96.51 | 13.86 | 597,606,148
Guaranty Nominees Limited (ADR programme) | 1 | 0.00 | 19.71 | 850,036,115
Held as Treasury shares by GSK | 1 | 0.00 | 4.57 | 197,068,169
| 61,745 | 100.00 | 100.00 | 4,312,145,983

JP Morgan Chase Bank NA is the Depositary for the company’s American Depositary Receipt (ADR) programme. The company’s
ADS are listed on the NYSE. Ordinary Shares representing the company’s ADR programme, which is managed by the Depositary,
are registered in the name of Guaranty Nominees Limited. At 23 February 2024, Guaranty Nominees Limited held 832,929,801
Ordinary Shares representing 20.23% of the issued share capital (excluding Treasury shares).
At 23 February 2024, the number of holders of Ordinary Shares in the US was 842 with holdings of 689,588 Ordinary Shares, and
the number of registered holders of ADS was 15,511 with holdings of 416,464,900 ADS. Certain of these Ordinary Shares and ADS
were held by brokers or other nominees. As a result, the number of holders of record or registered holders in the US is not
representative of the number of beneficial holders or of the residence of beneficial holders.

Dividends

The company pays dividends quarterly and continues to return
cash to shareholders through its dividend policy. Dividends
remain an essential component of total shareholder return and
GSK recognises the importance of dividends to shareholders.
On 23 June 2021, at the GSK Investor Update, GSK set out that
from 2022 a progressive dividend policy will be implemented
guided by a 40 to 60 percent pay-out ratio through the
investment cycle. The dividend policy, the total expected cash
distribution, and the respective dividend pay-out ratios for GSK
remain unchanged.

Dividends per share

The table below sets out the dividend per share and per ADS
for the last five years. The dividend per ADS is translated into
US dollars at applicable exchange rates.

Year | pence | US$ (1)
2023 | 58 (2) | - (4)
2022 | 61.25 (3) | 2.00
2021 | 80 | 2.16
2020 | 80 | 2.12
2019 | 80 | 2.01

(1) An annual fee of $0.03 per ADS (or $0.0075 per ADS per quarter) will be
charged by the Depositary. The amounts shown are the dividends paid
per ADS before the annual fee is charged.
(2) Dividends declared and paid in respect of 2023 were 14p per share for Q1
2023, 14p per share for Q2 2023 and 14p per share for Q3 2023. A
dividend of 16p per share has been declared for Q4 2023.
(3) Adjusted for the Share Consolidation (2022 only; prior years have not
been adjusted).
(4) The Q4 2023 ordinary dividend receivable by ADS holders will be
calculated based on the exchange rate on 9 April 2024. The cumulative
dividend receivable by ADS holders for Q1, Q2 and Q3 2023 was £1.06.
The expected dividend for 2024 is 60p per Ordinary Share.
Details of the dividends declared, the amounts and the
payment dates are given in Note 16 to the financial statements,
‘Dividends’.
2024 Dividend calendar

Quarter | Ex-dividend date | ADS Ex- dividend date | Record date | Payment date
Q4 2023 | 22 February 2024 | 22 February 2024 | 23 February 2024 | 11 April 2024
Q1 2024 | 16 May 2024 | 16 May 2024 | 17 May 2024 | 11 July 2024
Q2 2024 | 15 August 2024 | 16 August 2024 | 16 August 2024 | 10 October 2024
Q3 2024 | 14 November 2024 | 15 November 2024 | 15 November 2024 | 9 January 2025
Q4 2024 | 20 February 2025 | 21 February 2025 | 21 February 2025 | 10 April 2025

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297

Financial calendar 2024

Event | Date
Quarter 1 results announcement | 1 May 2024
Annual General Meeting | 8 May 2024
Quarter 2 results announcement | 31 July 2024
Quarter 3 results announcement | 30 October 2024
Preliminary/Quarter 4 Results announcement | 5 February 2025
Annual Report publication | February/March 2024
Annual Report distribution | March 2024

Information about the company, including the share and ADS
price, is available on our website at gsk.com. Information made
available on the website does not constitute part of this Annual
Report.
Stock Exchange announcement notifications
We provide shareholders with a service to receive automatic
email notifications when we publish a stock exchange
announcement. To receive email notifications, please sign up
for announcements at gsk.com in the Investors section.
Results announcements
Results announcements are issued to the LSE and are available
on its news service. They are also sent to the US Securities and
Exchange Commission (SEC) and the NYSE, issued to the media
and made available on our website.
Financial reports
The company publishes an Annual Report which is made
available on our website from the date of publication.
Shareholders may elect to receive notification by email of the
publication of Annual Reports by registering on
www.shareview.co.uk, and may also elect to receive a printed
copy of the Annual Report by contacting our registrar, Equiniti
Limited.
Copies of previous Annual Reports are available on our website.
Printed copies can also be obtained from our registrar (see
page 301 for the contact details).

Annual General Meeting 2024

Our Annual General Meeting (AGM) will be held at 2.30pm (UK
time) on Wednesday, 8 May 2024 at the Royal Lancaster
London, Lancaster Terrace, London W2 2TY and will also be
broadcast live for you to join electronically.
The AGM is the company’s principal forum for communication
with private shareholders. In addition to the formal AGM
business, there will be a presentation by the CEO on the
performance of the Group and its future development. There
will be an opportunity for questions to be asked of the Board
and Chairs of the Board’s Committees will be available to take
questions relating to their roles.
Further details on how to access the AGM electronically or
attend in person, ask questions and vote, can be found in the
notice of Annual General Meeting 2024 (AGM Notice) which
will be made available on our website at gsk.com on or around
25 March 2024.
Investors holding shares through a nominee service should
arrange with that service for them to be appointed as a proxy in
respect of their shareholding to attend and vote at the meeting
electronically.
ADS holders wishing to attend the meeting electronically should
refer to the AGM Notice for details on how to request a proxy
appointment from the Depositary, JP Morgan Chase Bank NA.
This will enable them to attend, ask questions and vote
electronically on the business to be transacted at the meeting.
ADS holders are reminded that if they do not instruct the
Depositary as to the way in which the shares represented by
their ADS should be voted by completing and returning the
voting card provided by the Depositary, their shares will not be
voted.
Documents on display
The Articles of Association of the company and Directors’
service contracts or, where applicable, letters of appointment
between Directors and the company or any of its subsidiaries
(and any side letters relating to severance terms and pension
arrangements) are available for inspection at the company’s
registered office and will be made available for inspection at
the AGM.

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298

Tax information for shareholders

A summary of certain UK tax and US federal income tax
consequences for holders of shares and ADS who are citizens of
the UK or the US is set out below. It is not a complete analysis of
all the possible tax consequences of the purchase, ownership or
sale of these securities. It is intended only as a general guide.
Holders are advised to consult their advisers with respect to the
tax consequences of the purchase, ownership or sale of their
shares or ADS and the consequences under state and local tax
laws in the US and the implications of the current UK/US tax
conventions.
US holders of ADS generally will be treated as the owners of the
underlying shares for the purposes of the current UK/US double
taxation conventions relating to income and gains (Income Tax
Convention), estate and gift taxes (Estate and Gift Tax
Convention), and for the purposes of the Internal Revenue Code
of 1986, as amended.
UK shareholders
This summary only applies to a UK resident shareholder that
holds shares as capital assets.
Taxation of dividends
For the 2023/24 UK tax year, UK resident individuals are
entitled to a dividend tax allowance of up to £1,000, so that the
first £1,000 of dividends received in a tax year will be free of tax.
Dividends in excess of this allowance will be taxed at 8.75% for
basic rate taxpayers, 33.75% for higher rate taxpayers and
39.35% for additional rate taxpayers. Note that from 6 April
2024 the dividend allowance will be reduced to £500.
UK resident shareholders that are corporation taxpayers should
note that dividends payable on ordinary shares are generally
entitled to exemption from corporation tax.
Taxation of capital gains
UK resident shareholders may be liable for UK tax on gains on
the disposal of shares or ADS.
For disposals by individuals in the 2023 /24 UK tax year, a
taxable capital gain accruing on a disposal of shares or ADS
will be taxed at 10% for basic rate taxpayers, or 20% if, after all
allowable deductions, the individual’s taxable income for the
year exceeds the basic rate income tax banding. Note this is
following the use of any exemptions available to the individual
taxpayer such as the annual exempt amount.
Corporation taxpayers may be entitled to an indexation
allowance which applies to reduce capital gains to the extent
that such gains arise due to inflation. Indexation allowance may
reduce a chargeable gain but will not create an allowable loss.
For assets acquired on or before 1 January 2018, legislation in
the Finance Act 2018 freezes the level of indexation allowance
that is given in calculating a company’s chargeable gains at
the value that would apply to the disposal of an asset in
December 2017. For assets acquired from 1 January 2018
onwards, legislation in the Finance Act 2018 removes any
indexation allowance on disposal.
Inheritance tax
Individual (UK-domiciled or otherwise) shareholders may be
liable to UK inheritance tax on the transfer of shares or ADS.
Exposure to a UK inheritance tax charge typically occurs on the
death of the asset owner. However, transfers of shares (other
than commercial sales) within seven years of death remain
relevant to any inheritance tax exposure at death. Further,
transfers to a trust arrangement during lifetime can give rise to
an immediate inheritance tax charge.
Tax may be charged on the amount by which the value of the
shareholder’s estate is reduced as a result of any transfer by
way of lifetime gift or other disposal at less than full market
value. In the case of a bequest on death, tax may be charged
on the value of the shares at the date of the shareholder’s
death. Where an exposure to UK inheritance tax and US estate
or gift tax exists, careful planning must be undertaken to
understand the opportunity to utilise the US/UK Estate and Gift
Double Tax Convention to manage tax credits and avoid
double taxation.
The overall exposure will be dependent on the specific
circumstances of each situation and it is also important to note
that tax charges may arise in other jurisdictions. Bespoke advice
tailored to an individual’s personal circumstances should
therefore be obtained from a tax professional.
Stamp duty and stamp duty reserve tax
UK stamp duty and/or stamp duty reserve tax (SDRT) will,
subject to certain exemptions, be payable on the transfer of
shares at a rate of 0.5% (rounded up to the nearest £5 in the
case of stamp duty) of the consideration for the transfer.
Notwithstanding this, provided that an instrument is executed in
pursuance of the agreement that gave rise to the charge to
SDRT and that instrument is stamped within six years of the
agreement (including being stamped as exempt) any SDRT
charge should be cancelled and any SDRT which has already
been paid will be repaid. Where listed shares are transferred to
a company connected to the transferor the chargeable
consideration will be deemed to be not less than the market
value of the shares transferred. This market value override also
applies where non-listed shares are transferred to a company
connected to the transferor where the consideration includes an
issue of shares.
US shareholders
This summary only applies to a shareholder (who is a citizen or
resident of the US or a domestic corporation or a person that
is otherwise subject to US federal income tax on a net income
basis in respect of the shares or ADS) that holds shares or ADS
as capital assets, is not resident in the UK for UK tax purposes
and does not hold shares for the purposes of a trade, profession
or vocation that is carried on in the UK through a branch or
agency.
The summary also does not address the tax treatment of
holders that are subject to special tax rules, such as banks, tax-
exempt entities, insurance companies, dealers in securities or
currencies, persons that hold shares or ADS as part of an
integrated investment (including a ‘straddle’) comprised of a
share or ADS and one or more other positions, and persons that
own (directly, indirectly or constructively) 10% or more of the
company’s stock (by vote or value), nor does it address tax
treatment that may be applicable as a result of international
income tax treaties.

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Shareholder information continued

299
Taxation of dividends
The gross amount of dividends received is treated as foreign
source dividend income for US tax purposes. It is not eligible for
the dividend received deduction allowed to US corporations.
Dividends on ADS are payable in US dollars; dividends on
Ordinary Shares are payable in sterling. Dividends paid in
sterling will be included in income in the US dollar amount
calculated by reference to the exchange rate on the day the
dividends are received by the holder. Subject to certain
exceptions for short-term or hedged positions, an individual
eligible US holder will be subject to US taxation at a maximum
federal rate of 23.8% plus applicable state and local tax in
respect of qualified dividends. A qualified dividend as defined
by the US Internal Revenue Service (IRS) is a dividend that
meets the following criteria:
1. It must be issued by a US corporation, a corporation
incorporated in a US possession, or a corporation that is
eligible for the benefits of a comprehensive income tax treaty
deemed satisfactory, as published by the IRS.
2. The dividends are not of a type listed by the IRS as dividends
that do not qualify.
3. The required dividend holding period has been met. The
shares must have been owned by you for more than 60 days
of the ‘holding period’ – which is defined as the 121-day
period that begins 60 days before the ex-dividend date, or
the day in which the stock trades without the dividend priced
in. For example, if a stock’s ex-dividend date is 1 October, the
shares must be held for more than 60 days in the period
between 2 August and 30 November of that year in order to
count as a qualified dividend.
Dividends that are not qualified are subject to taxation at the
US federal graduated tax rates, at a maximum rate of 40.8%.
Some types of dividends are automatically excluded from being
qualified dividends, even if they meet the other requirements.
These include (but are not limited to):
– Capital gains distributions
– Dividends on bank deposits
– Dividends held by a corporation in an Employee Stock
Ownership Plan (ESOP)
– Dividends paid by tax-exempt corporations.
US state and local tax rates on qualified and non-qualified
dividends may vary and would be assessed in addition to the
federal tax rates communicated above.
Taxation of capital gains
Generally, US holders will not be subject to UK capital gains tax,
but will be subject to US tax on capital gains realised on the
sale or other disposal of shares or ADS. Such gains will be long-
term capital gains (subject to reduced rates of taxation for
individual holders) if the shares or ADS were held for more than
one year, from the date the shares were vested/released. Short-
term capital gains can be subject to taxation of rates of up to
40.8%, whereas long-term capital gains may be subject to rates
of up to 23.8%. State and local tax rates on capital gains may
also apply.
Information reporting and backup withholding
Dividends and payments of the proceeds on a sale of shares or
ADS, paid within the US or through certain US-related financial
intermediaries, are subject to information reporting and may be
subject to backup withholding unless the US holder is a
corporation or other exempt recipient or provides a taxpayer
identification number and certifies that no loss of exemption
has occurred. Non-US holders generally are not subject to
information reporting or backup withholding, but may be
required to provide a certification of their non-US status in
connection with payments received. Any amounts withheld will
be allowed as a refund or credit against a holder’s US federal
income tax liability provided the required information is
furnished to the IRS.
Estate and gift taxes
Under the Estate and Gift Tax Convention, a US shareholder is
not generally subject to UK inheritance tax. However, a US
holder may be subject to US federal estate and gift tax.
Stamp duty
UK stamp duty and/or SDRT will, subject to certain exemptions,
be payable on any transfer of shares to the ADS custodian or
depositary at a rate of 1.5% of the amount of any consideration
provided (if transferred on sale), or their value (if transferred for
no consideration).
However, no stamp duty or SDRT should be payable on the
transfer of, or agreement to transfer an ADS or on transfers
within the clearance service. Notwithstanding the above, where
the clearance service operator has made an election under
s97A Finance Act 1986, broadly the 1.5% stamp duty/SDRT
charge should not arise on the transfer into the clearance
service, but transfers to, and within, the system (where there is a
change in beneficial ownership) would attract a 0.5% charge.
Demerger and share consolidation
A summary of certain UK and US tax consequences in respect
of the demerger of Haleon plc and the consolidation of the
company's share capital, relevant to the company’s
shareholders who are resident (or, in the case of individuals,
resident and domiciled) in the UK for UK tax purposes or who
are citizens of or resident in the US for US tax purposes, is set
out in Part 6 of the circular in relation to the Demerger and the
Share Consolidation published on 1 June 2022 (Circular) (pages
83 to 89). The Circular, along with other information regarding
the demerger and share consolidation can be found at gsk.com
in the demerger section.
Further information on the tax base cost allocation to assist UK
shareholders apportion their base cost between their GSK plc
shares and Haleon plc shares for UK capital gains tax purposes
following the demerger, including a worked example, can be
found in the Tax section at gsk.com in the demerger section.

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Shareholder information continued
Tax information for shareholders continued |  |  |

300

Shareholder services and contacts

Registrar
The company’s registrar is:
Equiniti Limited
Aspect House, Spencer Road, Lancing, BN99 6DA
www.shareview.co.uk
Tel: +44 (0)371 384 2991*
Equiniti provides a range of services for shareholders:

Service | What it offers | How to participate
Dividend Reinvestment Plan (DRIP) | As an alternative to receiving cash dividends you may choose to reinvest your dividends to buy more GSK shares. | A DRIP election form, Terms and Conditions and information on fees can be downloaded from www.shareview.co.uk or requested by contacting Equiniti.
Dividend payment direct to your bank account (bank mandate) | All dividends are paid directly into your bank or building society account. To receive your cash dividends, you must provide Equiniti with your bank or building society account details. This is a quick and secure method of payment. | A dividend bank mandate form can be downloaded from www.shareview.co.uk or requested by contacting Equiniti.
Dividend payment direct to bank account for overseas shareholders (Overseas Payment Service) | Equiniti can convert your dividend into your local currency and send it direct to your local bank account. The Overseas Payment Service is available in approximately 100 countries worldwide. | More information on the Overseas Payment Service (including information on fees) can be found at www.shareview.co.uk or by contacting Equiniti.
Electronic communications | Shareholders may elect to receive electronic notifications of company communications including our Annual Report, dividend payments, dividend confirmations and the availability of online voting for all general meetings. Each time GSK publishes shareholder documents you will receive an email containing a link to the document or relevant website. | Please register at www.shareview.co.uk.
Shareview portfolio service | This enables you to create a free online portfolio to view your share balance and movements, update your address and dividend payment instructions and register your votes for our general meetings. | Please register at www.shareview.co.uk.
Deduplication of publications or mailings | If you receive duplicate copies of mailings, you may have more than one account. Please contact Equiniti and they will arrange for your accounts to be merged into one for your convenience and to avoid waste and unnecessary costs. | Please contact Equiniti.
Share dealing service † (please note that market trading hours are from 8.00am to 4.30pm UK time, Monday to Friday (excluding public holidays in England and Wales)) | Shareholders may trade shares, either held in certificated form or in our Corporate Sponsored Nominee, online, by telephone or via postal dealing service provided by Equiniti Financial Services Limited. | More information on the share dealing service (including information on fees) can be found at www.shareview.co.uk/dealing For online transactions, please log on to: www.shareview.co.uk/dealing. For telephone transactions, please call: 0345 603 7037 (in the UK) or +44 (0)345 603 7037 (outside the UK). Lines are open from 8.00am to 4.30pm UK time, Monday to Friday (excluding UK public holidays). For postal transactions, please call: 0371 384 2991* to request a dealing form.
Corporate Sponsored Nominee Account | This is a convenient way to manage your shares without requiring a share certificate. The service provides a facility for you to hold your shares in a nominee account sponsored by the company. You will continue to receive dividend payments and can attend and vote at the company’s general meetings. Shareholders’ names do not appear on the publicly available share register and the service is free to join. | An application form can be requested from www.shareview.co.uk or by contacting Equiniti.
Individual Savings Accounts (ISAs)† | Equiniti Financial Services Limited provide the EQi Flexible ISA to hold GSK shares. | Details (including information on fees) are available from www.eqi.co.uk or can be requested by calling the Equiniti Customer Experience Team on 0345 0700 720. Lines are open 8:00am to 5:30pm, UK time Monday to Friday (excluding UK public holidays).

* Lines are open from 8.30am to 5.30pm, UK time Monday to Friday (excluding public holidays in England and Wales). Please use the country code when
dialling from outside the UK.
†The provision of share dealing details is not intended to be an invitation or inducement to engage in an investment activity. Advice on share dealing should
be obtained from a stockbroker or independent financial adviser.

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Other statutory disclosures

301
ADS Depositary
The ADR programme is administered by JPMorgan
Chase Bank, N.A.:
Regular Correspondence:
EQ Shareowner Services
P.O. Box 64504
St. Paul, MN 55164-0504
Delivery of Stock Certificates and Overnight Mail:
EQ Shareowner Services
1110 Centre Pointe Curve, Suite 101
Mendota Heights, MN 55120-4100
shareowneronline.com/informational/contact-us/
From the US: +1 877 353 1154
From outside the US: +1 651 453 2128
The Depositary also provides Global Invest Direct, a direct ADS
purchase/sale and dividend reinvestment plan for ADS holders.
For details on how to enrol, please visit www.adr.com or call the
above helpline number to obtain an enrolment pack.
Contacts
Investor relations
Investor relations may be contacted as follows:
UK
980 Great West Road
Brentford, Middlesex, TW8 9GS
Tel: +44 (0)20 8047 5000
US
2929 Walnut Street
Philadelphia PA 19104
Tel: +1 888 825 5249 (US toll free)
Tel: +1 215 751 4000 (outside the US)
GSK Response Center
Tel: +1 888 825 5249 (US toll free)
Tel: +1 215 751 4600 (outside the US)
Share scam alert
If you receive an unsolicited telephone call offering to sell or buy
your shares, please take extra care. The caller may be part of a
highly organised financial scam.
If you are a UK shareholder, please contact the Financial
Conduct Authority at www.fca.org.uk/consumers or on its
consumer helpline:
Tel: 0800 111 6768 (in the UK)*
Tel: +44 207 066 1000 (outside the UK)*
* Lines are open from 8.00am to 6.00pm, UK time, Monday to Friday,
except UK public holidays, and 9.00am to 1.00pm on Saturdays.
Donating shares to Save the Children
In 2013, GSK embarked on an ambitious global partnership with
Save the Children to share our expertise and resources with the
aim of finding innovative ways to reduce the number of children
dying from preventable diseases.
Shareholders with a small number of shares, the value of which
makes it uneconomical to sell, may wish to consider donating
them to Save the Children. Donated shares will be aggregated
and sold on behalf of Save the Children who will use the funds
raised to help them reach the above goal.†
To obtain a share donation form, please contact our registrar,
Equiniti, which is managing the donation and sale of UK shares
to Save the Children free of charge.
†The provision of share dealing details is not intended to be an invitation or
inducement to engage in an investment activity. Advice on share dealing
should be obtained from a stockbroker or independent financial adviser.

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Other statutory disclosures continued
Shareholder services and contacts continued |  |  |

302

US law and regulation

A number of provisions of US law and regulation apply to the
company because our shares are quoted on the NYSE in the
form of ADS.
NYSE rules
In general, the NYSE rules permit the company to follow UK
corporate governance practices instead of those applied in the
US, provided that we explain any significant variations. This
explanation is contained in our Form 20-F, which can be
accessed from the SEC's EDGAR database or via our website.
NYSE rules require us to file annual and interim written
affirmations concerning our Audit & Risk Committee (ARC) and
our statement on significant differences in corporate
governance.
Sarbanes-Oxley Act of 2002
Following a number of corporate and accounting scandals in
the US, Congress passed the Sarbanes-Oxley Act of 2002.
Sarbanes-Oxley is a wide-ranging piece of legislation
concerned largely with financial reporting and corporate
governance.
As recommended by the SEC, the company has an established
Disclosure Committee. The Committee reports to the CEO, the
CFO and to the ARC. It is chaired by the Company Secretary
and its members consist of senior managers from finance, legal,
corporate communications and investor relations.
Where appropriate, external legal counsel, the external
auditors, our sponsor bank, and internal experts are invited to
attend the Disclosure Committee’s meetings periodically. The
Committee has responsibility for considering the materiality of
information and, on a timely basis, determining the disclosure of
that information. It has responsibility for the timely filing of
reports with the SEC and the formal review of the Annual Report
and the Annual Report on Form 20-F. In 2023, the Committee
met 17 times, including for the purpose of receiving relevant and
appropriate training.
Sarbanes-Oxley requires that the Annual Report on Form 20-F
contains a statement as to whether a member of the ARC is an
audit committee financial expert, as defined in rules under
Sarbanes-Oxley. Such a statement for the relevant members of
the ARC (Charles Bancroft) is included in the Board Committee
information area of the Corporate Governance report on page
118 and in his biography on page 109.
Additional disclosure requirements arise under section 302 and
section 404 of Sarbanes-Oxley in respect of disclosure controls
and procedures and internal control over financial reporting.
Section 302: Corporate responsibility for
financial reports
Sarbanes-Oxley requires the CEO and the CFO to complete
formal certifications, confirming that:
– they have each reviewed the Annual Report on Form 20-F;
– based on their knowledge, the Annual Report on Form 20-F
contains no material misstatements or omissions;
– based on their knowledge, the financial statements and other
financial information fairly present, in all material respects,
the financial condition, results of operations and cash flows
as of the dates, and for the periods, presented in the Annual
Report on Form 20-F;
– they are responsible for establishing and maintaining
disclosure controls and procedures that ensure that material
information is made known to them, and have evaluated the
effectiveness of these controls and procedures as at the year
end, the results of such evaluation being contained in the
Annual Report on Form 20-F;
– they are responsible for establishing and maintaining internal
control over financial reporting that provides reasonable
assurance regarding the reliability of financial reporting and
the preparation of financial statements for external purposes
in accordance with generally accepted accounting
principles;
– they have disclosed in the Annual Report on Form 20-F any
changes in internal controls over financial reporting during
the period covered by the Annual Report on Form 20-F that
have materially affected, or are reasonably likely to affect
materially, the company’s internal control over financial
reporting; and
– they have disclosed, based on their most recent evaluation
of internal control over financial reporting, to the external
auditor and the ARC, all significant deficiencies and material
weaknesses in the design or operation of internal controls
over financial reporting which are reasonably likely to affect
adversely the company’s ability to record, process, summarise
and report financial information, and any fraud (regardless of
materiality) involving persons that have a significant role in
the company’s internal control over financial reporting.
The Group has carried out an evaluation under the supervision
and with the participation of its management, including the
CEO and CFO, of the effectiveness of the design and operation
of the Group’s disclosure controls and procedures as at
31 December 2023.
There are inherent limitations to the effectiveness of any system
of disclosure controls and procedures, including the possibility
of human error and the circumvention or overriding of the
controls and procedures. Accordingly, even effective disclosure
controls and procedures can only provide reasonable
assurance of achieving their control objectives.

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Other statutory disclosures continued

303
The CEO and CFO expect to complete these certifications and
report their conclusions on the effectiveness of disclosure
controls and procedures in March 2024, following which the
certifications will be filed with the SEC as part of our Group’s
Annual Report on Form 20-F.
Section 404: Management’s annual report on
internal control over financial reporting
In accordance with the requirements of section 404 of
Sarbanes-Oxley, the following report is provided by
management in respect of the company’s internal control over
financial reporting (as defined in Rules 13a-15(f) and 15d-15(f)
under the US Securities Exchange Act of 1934, as amended (the
Exchange Act)):
– Management is responsible for establishing and maintaining
adequate internal control over financial reporting for the
Group. Internal control over financial reporting is designed to
provide reasonable assurance regarding the reliability of
financial reporting and the preparation of financial
statements for external purposes in accordance with IFRS.
– Management conducted an evaluation of the effectiveness
of internal control over financial reporting based on the
framework, Internal Control – Integrated Framework (2013)
issued by the Committee of Sponsoring Organisations of the
Treadway Commission (COSO).
– There have been no changes in the Group’s internal control
over financial reporting during 2023 that have materially
affected, or are reasonably likely to materially affect, the
Group’s internal control over financial reporting.
– Management has assessed the effectiveness of internal
control over financial reporting as at 31 December 2023 and
its conclusion will be filed as part of the Group’s Annual
Report on Form 20-F.
– Deloitte LLP, which has audited the consolidated financial
statements of the Group for the year ended 31 December
2023, has also assessed the effectiveness of the Group’s
internal control over financial reporting under Auditing
Standard 2201 of the Public Company Accounting Oversight
Board (United States). Their audit report will be filed with the
Group’s Form 20-F.
Section 13(r) of the Exchange Act
Section 13(r) of the Exchange Act requires issuers to make
specific disclosure in their annual reports of certain types of
dealings with Iran, including transactions or dealings with
government-owned or-controlled entities, as well as dealings
with entities sanctioned for activities related to terrorism or
proliferation of weapons of mass destruction, even when those
activities are not prohibited by US law and do not involve US
persons.
The Group exports certain medicines to Iran, via sales by non-
US entities that are not subsidiaries of a US entity to a
distributor in Iran pursuant to a specific licence issued by the
Office of Foreign Assets Control.
The Group does not regularly receive information regarding the
identity of the distributor's downstream customers and
intermediaries in Iran, and it is possible that these parties
include entities, such as hospitals and pharmacies, that are
owned directly or indirectly by the Iranian government or by
persons or entities sanctioned in connection with terrorism or
proliferation activities.
As the Group does not regularly receive information regarding
the identity of its distributor's downstream customers and
intermediaries it cannot establish the proportion of gross
revenue or sales potentially attributable to entities affiliated
with the Iranian government or parties sanctioned for
disclosable activities. As a result, the Group is reporting the
entire gross revenues (£16.89 million) and net profits (£8.42
million) from the Group's sales to Iran in 2023.
Some hospitals or other medical facilities in Lebanon may be
affiliated with or controlled by Hezbollah or other groups that
are designated by the United States pursuant to Executive
Order 13224. Again, the Group does not deal directly with such
hospitals or facilities and instead sells through distributors. The
Group is unable to establish the proportion of gross revenue or
sales potentially attributable to reportable activities. As a result,
the Group is reporting the entire gross revenues (£6.02 million)
and net losses (£4.2 million) from the Group's sales to Lebanon
in 2023.
In addition to Section 13(r) of the Exchange Act, US law
generally restricts dealings by US persons and dealings that
otherwise are subject to US jurisdiction with certain countries or
territories that are subject to comprehensive sanctions, currently
Crimea, Cuba, the so-called Donetsk People's Republic, Iran,
the so-called Luhansk People's Republic, North Korea and Syria,
as well as with the Government of Venezuela (though not with
the country of Venezuela as a whole). The Group engages in
some activity in certain such jurisdictions having assessed
applicable licences and exemptions
While we believe the Group complies with all applicable US
sanctions in all material respects, such laws are complex and
continue to evolve rapidly.

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US law and regulation continued |  |  |

304

Donations to political organisations and political expenditure

To ensure a consistent approach to political contributions
across the Group, in 2009 a global policy was introduced to
voluntarily stop all corporate political contributions.
In the period from 1 January 2009 to 31 December 2023, the
Group has not made any political donations to EU or non-EU
organisations.
Notwithstanding the introduction of this policy, in accordance
with the Federal Election Campaign Act in the US, we continue
to support an employee-operated Political Action Committee
(PAC) that facilitates voluntary political donations by eligible
GSK employees.
The PAC is not controlled by GSK. Decisions on the amounts
and recipients of contributions are governed by the PAC Board
of Directors. Contributions to the PAC are made by
participating eligible employees exercising their legal right to
pool their resources and make political contributions, which are
subject to strict limitations under US law. In 2023, a total of
US$325,750 (2022: US$360,950) was donated to political
organisations by the GSK employee PAC.
English law requires prior shareholder approval for political
contributions to EU political parties and independent election
candidates as well as for any EU political expenditure. The
definitions of political donations, political expenditure and
political organisations used in the legislation are, however, quite
broad. In particular, the definition of EU political organisations
may extend to bodies such as those concerned with policy
review, law reform, the representation of the business
community and special interest groups such as those
concerned with the environment, which the company and its
subsidiaries might wish to support.
As a result, the definitions may cover legitimate business
activities not in the ordinary sense considered to be political
donations or political expenditure, nor are they designed to
support any political party or independent election candidate.
Therefore, notwithstanding our policy, and while we do not
intend to make donations to any EU political parties or
organisations, nor to incur any EU political expenditure, we
annually seek shareholder authorisation for any inadvertent
expenditure.
The authority is a precautionary measure to ensure that the
company and its subsidiaries do not inadvertently breach the
legislation.
This authorisation process, for expenditure of up to £100,000
each year, dates back to the AGM held in May 2001, following
the introduction of the Political Parties, Elections and
Referendums Act 2000. The authority has since been renewed
annually.

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Other statutory disclosures continued

305

Group companies

In accordance with Section 409 of the Companies Act 2006 a full list of subsidiaries, associates, joint ventures and joint
arrangements, the address of the registered office and effective percentage of equity owned, as at 31 December 2023 are disclosed
below. Unless otherwise stated the share capital disclosed comprises ordinary shares which are indirectly held by GSK plc. The
percentage held by class of share is stated where this is less than 100%. Unless otherwise stated, all subsidiary companies have their
registered office and are tax resident in their country of incorporation.

Name | Security | Registered address
Wholly owned subsidiaries |  |
14245563 Canada Inc. | Common | 275 Armand-Frappier Boulevard, Laval ON H7V 4A7, Canada
14934792 Canada Inc. | Common | 100 Milverton Drive, Suite 800, Mississauga ON L5R 4H1, Canada
1506369 Alberta ULC | Common | 3500 855-2nd Street SW, Calgary AB T2P 4J8, Canada
Action Potential Venture Capital Limited | Ordinary | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
Adechsa GmbH (ii) | Ordinary | c/o PRV Provides Treuhandgesellschaft AG, Dorfstrasse 38, 6341, Baar, Switzerland
Affinivax, Inc. | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
Allen & Hanburys Limited (ii) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
Allen & Hanburys Pharmaceutical Nigeria Limited | Ordinary | 49, Town Planning Way, Ilupeju, Lagos, Nigeria
Allen Pharmazeutika Gesellschaft m.b.H. | Ordinary | Wienerbergstraße 7, Wien, 1100, Austria, Austria
Beecham Group p.l.c | £0.05 Ordinary B; £0.20 Ordinary A | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
Beecham Pharmaceuticals (Pte) Limited | Ordinary | 38 Quality Road, Jurong Industrial Estate, Jurong, 618809, Singapore
Beecham Portuguesa- Produtos Farmaceuticos e Quimicos, LDA | Quota | Rua Dr Antonio Loureiro Borges No 3, Arquiparque, Miraflores, 1495-131, Alges, Portugal
Beecham S.A. | Ordinary | Avenue Fleming 20, 1300 Wavre, Belgium
Bellus Health Corp. | Common | The Corporation Trust Company, Corporation Trust Center, 1209 Orange Street, Wilmington DE 19801, United States
Bellus Health Inc | Common | 275 Boulevard Armand Frappier, Laval QC H7V 4A7, Canada
Biovesta Ilaçlari Ltd. Sti. (ii) | Nominative | Büyükdere Caddesi No. 173, 1.Levent Plaza B Blok, 1.Levent, Istanbul, 34394, Turkey
Cascan GmbH & Co. KG | Partnership Capital | Prinzregentenplatz 9, 81675, Munich, Bavaria, Germany
Cellzome GmbH | Ordinary | Meyerhofstrasse 1, 69117, Heidelberg, Germany
Clarges Pharmaceutical Trustees Limited (ii) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
Colleen Corporation | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
Corixa Corporation | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
Dealcyber Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
Desarrollo Energia Solar Alternativa S.L. | Ordinary | Severo Ochoa, 2, Parque Tecnologico de Madrid, Tres Cantos, 28760, Madrid, Spain
Duncan Pharmaceuticals Philippines Inc. | Common | 23rd Floor, The Finance Centre, 26th Street Corner 9th Avenue, Bonifacio Global City, Taguig City, 1634, Philippines
Etex Farmaceutica Ltda | Social Capital | Av. Andrés Bello 2457, Costanera Center, Torre 2, Piso 20, Providencia, Santiago, 7510689, Chile
Glaxo Group Limited | Ordinary | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
Glaxo Kabushiki Kaisha (ii) | Ordinary | 1-8-1 Akasaka Minato-ku, Tokyo, Japan
Glaxo New Zealand Pension Plan Trustee Limited | Ordinary | Level 2 E.2, Generator at GridAKL, 12 Madden Street, Wynyard Quarter, Auckland, 1010, New Zealand
Glaxo Operations UK Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
Glaxo Properties BV | Ordinary | Van Asch van Wijckstraat 55h, 3811 LP, Amersfoort, Netherlands
Glaxo Saudi Arabia Limited | Ordinary | PO Box 22617, Area No 56 to 73, Warehouse City, First Stage Al Khomrah, Jeddah 21416, Saudi Arabia
Glaxo Verwaltungs GmbH | Ordinary | Prinzregentenplatz 9, 81675, Munich, Bavaria, Germany
Glaxo Wellcome Farmaceutica, Limitada | Ordinary | Rua Dr Antonio Loureiro Borges No 3, Arquiparque, Miraflores, 1495-131, Alges, Portugal
Glaxo Wellcome Manufacturing Pte Ltd | Ordinary | 1 Pioneer Sector 1, Jurong Industrial Estate, Jurong, 628413, Singapore
Glaxo Wellcome Production | Ordinary | 23 rue François Jacob, 92500, Rueil-Malmaison, France

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Other statutory disclosures continued

306

Name | Security | Registered address
Wholly owned subsidiaries continued |  |
Glaxo Wellcome Vidhyasom Limited (in liquidation) (ii) | Ordinary | 12th Floor Wave Place, 55 Wireless Road, Lumpini, Pathumwan, Bangkok, 10 330, Thailand
Glaxo Wellcome, S.A. | Ordinary | Poligono Industrial Allendeduero, Avenida de Extremadura, 3, Aranda de Duero, 09400, Burgos, Spain
Glaxo, S.A. | Ordinary | Severo Ochoa, 2, Parque Tecnologico de Madrid, Tres Cantos, 28760, Madrid, Spain
Glaxochem Pte Ltd (iii) | Ordinary | 23 Rochester Park, 139234, Singapore
GlaxoSmithKline - Produtos Farmaceuticos, Limitada | Ordinary Quota | Rua Dr Antonio Loureiro Borges No 3, Arquiparque, Miraflores, 1495-131, Alges, Portugal
GlaxoSmithKline (Cambodia) Co., Ltd. | Ordinary | 5th Floor DKSH Building, No.797 Preah Monivong Boulevard (Co, Sangkat Phsar Deum Thakov, Khan Chamkarmon, Phnom Penh, Cambodia
GlaxoSmithKline (China) Investment Co Ltd | Ordinary | Room 901, 902, 903, 905, 908, 909 and 910, Unit 901, Floor 9, No. 56 Mid 4th East Ring Road, Chaoyang District, Beijing, China
GlaxoSmithKline (China) R&D Company Limited | Equity | F1-3, No.18 Building, 999 Huanke Road, Pilot Free Trade Zone, Shanghai, 201 210, China
GlaxoSmithKline (GSK) S.R.L. | Ordinary | Str. Dr. Nicolae D. Staicovici nr. 2, Opera Center II, etaj 4, sector 5, București, Romania, 050556
GlaxoSmithKline (Ireland) Limited | Ordinary | 12 Riverwalk, Citywest Business Campus, Dublin 24, Ireland
GlaxoSmithKline (Israel) Ltd | Ordinary | 25 Basel Street, PO Box 10283, Petach-Tikva, 49002, Israel
GlaxoSmithKline (Private) Limited (ii) | Ordinary | Unit 3, 20 Anthony Road, Msasa, Harare, Zimbabwe
GlaxoSmithKline (Thailand) Limited | Ordinary | 12th Floor Wave Place, 55 Wireless Road, Lumpini, Pathumwan, Bangkok, 10 330, Thailand
GlaxoSmithKline AB | Ordinary | Hemvarnsg. 9, 171 54, Solna, Sweden
GlaxoSmithKline AG | Ordinary | Talstrasse 3 , 3053 Muenchenbuchsee, Switzerland
GlaxoSmithKline Angola Unipessoal Limitada | Quota | Luanda, Bairro Petrangol, Estrada de Cacuaco n ° 288, Angola
GlaxoSmithKline Argentina S.A. | Ordinary | Tucumán 1, piso 4, Buenos Aires, C1049AAA, Argentina
GlaxoSmithKline AS | Ordinary | Drammensveien 288, Oslo, NO-0283, Norway
GlaxoSmithKline Australia Pty Ltd | Ordinary | Level 4 , 436 Johnston Street , Abbotsford, Victoria, 3067, Australia
GlaxoSmithKline B.V. | Ordinary | Van Asch van, Wijckstraat 55h, 3811 LP Amersfoort, The Netherlands, Netherlands
GlaxoSmithKline Beteiligungs GmbH | Ordinary | Prinzregentenplatz 9, 81675, Munchen, Germany
GlaxoSmithKline Biologicals Kft. | Ordinary | 2100 Gödöllõ, Homoki Nagy István utca 1, Hungary
GlaxoSmithKline Biologicals S.A.S. | Ordinary | 637 Rue des Aulnois, Saint-Amand Les Eaux, 59230, France
GlaxoSmithKline Biologicals SA | Ordinary: Preference | Rue de l'Institut 89 B-1330 Rixensart, Belgium
GlaxoSmithKline Brasil Limitada | Quotas | Estrada dos Banderiantes, 8464, Rio de Janeiro, 22783-110, Brazil
GlaxoSmithKline Capital Inc. | Common | Wilmington Trust SP Services, Inc., 1100 N. Market Street, 4th Floor, Wilmington DE 19890, United States
GlaxoSmithKline (China) R&D Company Limited | Equity | F1-3, No.18 Building, 999 Huanke Road, Pilot Free Trade Zone, Shanghai, 201 210, China
GlaxoSmithKline (GSK) S.R.L. | Ordinary | Str. Dr. Nicolae D. Staicovici nr. 2, Opera Center II, etaj 4, sector 5, București, Romania, 050556
GlaxoSmithKline (Ireland) Limited | Ordinary | 12 Riverwalk, Citywest Business Campus, Dublin 24, Ireland
GlaxoSmithKline (Israel) Ltd | Ordinary | 25 Basel Street, PO Box 10283, Petach-Tikva, 49002, Israel
GlaxoSmithKline (Private) Limited (ii) | Ordinary | Unit 3, 20 Anthony Road, Msasa, Harare, Zimbabwe
GlaxoSmithKline (Thailand) Limited | Ordinary | 12th Floor Wave Place, 55 Wireless Road, Lumpini, Pathumwan, Bangkok, 10 330, Thailand
GlaxoSmithKline AB | Ordinary | Hemvarnsg. 9, 171 54, Solna, Sweden
GlaxoSmithKline AG | Ordinary | Talstrasse 3, 3053 Muenchenbuchsee, Switzerland
GlaxoSmithKline Angola Unipessoal Limitada | Quota | Luanda, Bairro Petrangol, Estrada de Cacuaco n ° 288, Angola
GlaxoSmithKline Argentina S.A. | Ordinary | Tucumán 1, piso 4, Buenos Aires, C1049AAA, Argentina
GlaxoSmithKline AS | Ordinary | Drammensveien 288, Oslo, NO-0283, Norway
GlaxoSmithKline Australia Pty Ltd | Ordinary | Level 4 , 436 Johnston Street , Abbotsford, Victoria, 3067, Australia
GlaxoSmithKline B.V. | Ordinary | Van Asch van, Wijckstraat 55h, 3811 LP Amersfoort, The Netherlands, Netherlands
GlaxoSmithKline Beteiligungs GmbH | Ordinary | Prinzregentenplatz 9, 81675, Munchen, Germany
GlaxoSmithKline Biologicals Kft. | Ordinary | 2100 Gödöllõ, Homoki Nagy István utca 1, Hungary
GlaxoSmithKline Biologicals S.A.S. | Ordinary | 637 Rue des Aulnois, Saint-Amand Les Eaux, 59230, France
GlaxoSmithKline Biologicals SA | Ordinary: Preference | Rue de l'Institut 89 B-1330 Rixensart, Belgium

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Other statutory disclosures continued
Group companies continued |  |  |

307

Name | Security | Registered address
Wholly owned subsidiaries continued |  |
GlaxoSmithKline Brasil Limitada | Quotas | Estrada dos Banderiantes, 8464, Rio de Janeiro, 22783-110, Brazil
GlaxoSmithKline Capital Inc. | Common | Wilmington Trust SP Services, Inc., 1100 N. Market Street, 4th Floor, Wilmington DE 19890, United States
GlaxoSmithKline Capital plc | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Caribbean Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Chile Farmaceutica Limitada | Social Capital | Av. Andrés Bello 2457, Torre 2, piso 20, Providencia, Santiago, Región Metropolitana, Chile
GlaxoSmithKline Colombia S.A. | Ordinary | Avenida El Dorado, #69B-45/Piso 9, Bogota, Colombia
GlaxoSmithKline Consumer Holding B.V. (ii) | Ordinary | Van Asch van Wijckstraat 55h, 3811 LP, Amersfoort, Netherlands
GlaxoSmithKline doo Beograd-Novi Beograd (in liquidation) | Ordinary | Milutin Milankovic, 1J, Novi Beograd, Belgrade, 11070, Serbia
GlaxoSmithKline Ecuador S.A. | Ordinary | Av 10 De Agosto N36-239, y Naciones Unidas, Edificio Electroectuatoriana, 2 do piso, Quito, Ecuador
GlaxoSmithKline El Salvador S.A. de C.V. | Ordinary | Municipio de San Salvador, Departamento de San Salvador, El Salvador
GlaxoSmithKline EOOD | Ordinary | 16 Nedelcho Bonchev str., Sofia, Sofiya, 1592, Bulgaria
GlaxoSmithKline Export Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Export Panama S.A. | Ordinary | Panama City, Republic of Panama, Panama
GlaxoSmithKline Far East B.V. | Ordinary | Van Asch van Wijckstraat 55h, 3811 LP, Amersfoort, Netherlands
GlaxoSmithKline Finance plc | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline GmbH & Co. KG | Partnership Capital | Prinzregentenplatz 9, 81675, Munchen, Germany
GlaxoSmithKline Guatemala S.A. | Ordinary | 3ra. Av. 13-78 Zona 10, Torre Citibank, Nivel 8, Guatemala City, Guatemala
GlaxoSmithKline Holding AS | Ordinary | Drammensveien 288, Oslo, NO-0283, Norway
GlaxoSmithKline Holdings (Americas) Inc. | Common | Wilmington Trust SP Services Inc., 1100 North Market Street, 4th Floor, Wilmington, Delaware, 19890
GlaxoSmithKline Holdings (One) Limited (i) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Holdings Limited (i) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Holdings Pty Ltd | Ordinary | Level 4 , 436 Johnston Street , Abbotsford, Victoria, 3067, Australia
GlaxoSmithKline Honduras S.A. | Ordinary | Tegucigalpa, MDC, Honduras
GlaxoSmithKline IHC Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Ilaclari Sanayi ve Ticaret A.S. | Nominative | Büyükdere Caddesi No. 173, 1.Levent Plaza B Blok, 1.Levent, Istanbul, 34394, Turkey
GlaxoSmithKline Inc. | Class A Common; Class C Preference | 100 Milverton Drive, Suite 800, Mississauga ON L5R 4H1, Canada
GlaxoSmithKline Insurance Ltd. | Ordinary | c/o Trinity Corporate Services Ltd., Trinity Hall, 43 Cedar Avenue, Hamilton, Hamilton, HM12, Bermuda
GlaxoSmithKline Intellectual Property (No.2) Limited | Ordinary | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
GlaxoSmithKline Intellectual Property Development Limited | Ordinary | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
GlaxoSmithKline Intellectual Property Holdings Limited | A Ordinary; B Ordinary | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
GlaxoSmithKline Intellectual Property Limited | Deferred; Ordinary | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
GlaxoSmithKline Intellectual Property Management Limited | Ordinary | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
GlaxoSmithKline Investigación y Desarrollo, S.L. | Ordinary | Severo Ochoa 2 Parque Tecnológico de Madrid, Tres Cantos, 28760, Madrid Spain
GlaxoSmithKline Investments Pty Ltd | Ordinary | Level 4, 436 Johnston Street, Abbotsford, Victoria, 3067, Australia
GlaxoSmithKline K.K. | Ordinary | 1-8-1 Akasaka Minato-ku, Tokyo, Japan
GlaxoSmithKline Korea Limited | Ordinary | 9F LS Yongsan Tower, 92 Hangang-daero, Yongsangu, Seoul, 04386, Korea, Republic of
GlaxoSmithKline Latin America, S.A. | Ordinary | Panama City, Republic of Panama, Panama
GlaxoSmithKline Limited | Ordinary | 23/F., Tower 6, The Gateway, 9 Canton Road, Tsimshatsui, Kowloon, Hong Kong
GlaxoSmithKline Limited (ii) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline LLC | LLC Interests | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
GlaxoSmithKline Manufacturing SpA | Ordinary | Viale dell’Agricoltura 7, 37135, Verona, Italy
GlaxoSmithKline Maroc S.A. | Ordinary | 42-44 Angle Bd, Rachidi et Abou Hamed El Glaza, Casablanca, Morocco
GlaxoSmithKline Medical and Healthcare Products Kft | Ordinary | 1062 Budapest, Andrassy ut 113, Hungary
GlaxoSmithKline Mercury Limited (i) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Other statutory disclosures continued
Group companies continued |  |  |

308

Name | Security | Registered address
Wholly owned subsidiaries continued |  |
GlaxoSmithKline Mexico S.A. de C.V. | Ordinary A; Ordinary B | Av. Real Mayorazgo 130 Piso 20, Colonia Xoco, Alcaldia Benito Juárez, Ciudad de Mexico, 03330, Mexico
GlaxoSmithKline NZ Limited | Ordinary | Level 2 E.2, Generator @GridAKL, 12 Madden Street, Wynyard Quarter, Auckland, 1010, New Zealand
GlaxoSmithKline Oy | Ordinary | Porkkalankatu 20 A, Helsinki, 00180, Finland
GlaxoSmithKline Peru S.A. | Ordinary | Av. Víctor Andrés Belaúnde N°147, Vía Principal N°133, Piso 7, Distrito de San Isidro, Lima, Peru
GlaxoSmithKline Pharma A/S | Ordinary | Vallensbæk Company House III , Delta Park 37, DK-2665, Valle, Denmark
GlaxoSmithKline Pharma GmbH | Ordinary | Wienerbergstraße 7, Wien, 1100, Austria, Austria
GlaxoSmithKline Pharmaceutical Kenya Limited | Ordinary | P.O Box 78392-00507, Likoni Road, Nairobi, Kenya
GlaxoSmithKline Pharmaceutical Nigeria Limited | Ordinary | 1 Industrial Avenue, Ilupeju, Ikeja, Lagos, PM B 21218, Nigeria
GlaxoSmithKline Pharmaceutical Sdn Bhd | Ordinary | HZ.01, Horizon Penthouse, 1 Powerhouse, 1, Persiaran Bandar Utama, Bandar Utama, 47800 Petaling Jaya, Selangor, Malaysia
GlaxoSmithKline Pharmaceuticals (Pvt) Ltd | Ordinary | 121 Galle Road, Kaldemulla, Moratuwa, Sri Lanka
GlaxoSmithKline Pharmaceuticals Costa Rica S.A | Ordinary | Autopista Florencia del Castillo, kilómetro siete, Oficentro TerraCampus, edificio uno, cuarto piso, San Diego, Cartago, 30302, Costa Rica
GlaxoSmithKline Pharmaceuticals SA | Ordinary | Avenue Fleming 20, 1300 Wavre, Belgium
GlaxoSmithKline Pharmaceuticals Ukraine LLC | Chartered Capital | Pavla Tychyny avenue, 1-V, Kiev, 02152, Ukraine
GlaxoSmithKline Philippines Inc | Ordinary | 23rd Floor, The Finance Centre, 26th Street Corner 9th Avenue, Bonifacio Global City, Taguig City, 1634, Philippines
GlaxoSmithKline Pte Ltd | Ordinary | 23 Rochester Park, 139234, Singapore
GlaxoSmithKline Puerto Rico, Inc. | Common | CORPORATION SERVICE COMPANY PUERTO RICO INC., c/o RVM Professional Services, LLC, A4 Reparto Mendoza, Humacao, 00791, Puerto Rico
GlaxoSmithKline Republica Dominicana S.A. | Ordinary | Blue Mall Tower, Floor 23 Ave., Winston Churchill 95, Santo Domingo, Dominican Republic
GlaxoSmithKline Research & Development Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline S.A. | Ordinary | Severo Ochoa, 2, Parque Tecnologico de Madrid, Tres Cantos, 28760, Madrid, Spain
GlaxoSmithKline S.p.A. | Ordinary | Viale dell’Agricoltura 7, 37135, Verona, Italy
GlaxoSmithKline s.r.o. | Ordinary | Hvezdova 1734/2c, Prague, 4 140 00, Czech Republic
GlaxoSmithKline Services GmbH & Co. KG | Partnership Capital | Prinzregentenplatz 9, 81675, Munchen, Germany
GlaxoSmithKline Services Unlimited (i) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Single Member A.E.B.E. | Ordinary | 266 Kifissias Avenue, Halandri, Athens, 152 32, Greece
GlaxoSmithKline SL LLC | LLC Interests | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
GlaxoSmithKline SL LP (ii)(viii) | Partnership | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline South Africa (Pty) Limited | Ordinary | Flushing Meadows Building, The Campus, 57 Sloane Street, Bryanston 2021, South Africa
GlaxoSmithKline Trading Services Limited (iii) | Ordinary | 12 Riverwalk, Citywest Business Campus, Dublin 24, Ireland
GlaxoSmithKline Tunisia S.A.R.L. | Ordinary | Immeuble REGUS, Lot B17, Centre Urbain Nord, Tunis, Tunisia
GlaxoSmithKline UK Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Uruguay S.A. | Registered Provisory Stock | Victor Soliño 349, Montevideo, Montevideo, 11300, Uruguay
GlaxoSmithKline US Trading Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GlaxoSmithKline Venezuela C.A. | Ordinary | calle Altagracia, edificio P&G, piso Mezzanina, torre Torre Sur, Urbanizacion Sorokaima, La Trinidad, Caracas, 1080, Venezuela, Bolivarian Republic of
GlaxoSmithKline Vietnam Limited Liability Company (ii) | Equity Capital | The Metropolitan, 235 Dong Khoi Street, District 1, 7th Floor Unit 701, Ho Chi Minh City, Vietnam
GlycoVaxyn AG (In liquidation) | Common; Preferred A; Preferred B; Preferred C | Grabenstrasse 3, 8952 Schlieren, Switzerland
Groupe GlaxoSmithKline | Ordinary | 23 rue François Jacob, 92500, Rueil-Malmaison, France
GSK Biopharma Argentina S.A. | Nominative Non Endorseable Ordinary | Tucumán 1, piso 4, Buenos Aires, C1049AAA, Argentina
GSK (No.1) Scottish Limited Partnership (viii) | Partnership | 50 Lothian Road, Festival Square, Edinburgh, Scotland, EH3 9WJ, United Kingdom
GSK (No.2) Scottish Limited Partnership (viii) | Partnership | 50 Lothian Road, Festival Square, Edinburgh, Scotland, EH3 9WJ, United Kingdom
GSK (No.3) Scottish Limited Partnership (viii) | Partnership | 50 Lothian Road, Festival Square, Edinburgh, Scotland, EH3 9WJ, United Kingdom

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
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Group companies continued |  |  |

309

Name | Security | Registered address
Wholly owned subsidiaries continued |  |
GSK Business Service Centre Sdn Bhd | Ordinary | Level 6, Quill 9, 112 Jalan Prof. Khoo Kay Kim, Petaling Jaya, 46300 Selangor, Malaysia
GSK Capital B.V. (iii)(v) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS
GSK Capital K.K. | Ordinary | 1-8-1 Akasaka Minato-ku, Tokyo, Japan
GSK Commercial Sp. z o.o. | Ordinary | ul. Rzymowskiego 53, 02-697, Warsaw, Poland
GSK d.o.o., Ljubljana | Ordinary | Ameriška ulica 8, Ljubljana, 1000, Slovenia
GSK Enterprise Management Co, Ltd | Ordinary | Floor 4, 18 Lane 999 Huanke Road, No. 1358 Zhongke Road, Shanghai, China
GSK Equity Investments, Limited | Units | Corporation Service Company, 2595 Interstate Drive, Suite 103, Harrisburg PA 17110, United States
GSK Finance (No.3) PLC | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GSK Finance (No 2) Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
GSK India Global Services Private Limited | Equity | Level 1, 2 & 3 Luxor North Tower, Bagmane Capital Business Park Outer Ring Road, Bangalore, Karnataka, 560037, India
GSK International Holding and Finance BV | Ordinary | Van Asch van Wijckstraat 55h, 3811 LP, Amersfoort, Netherlands
GSK Kazakhstan LLP | Participation Interest | Nursultan Nazarbayev Ave 273, Business center USKO, 3rd fl., Almaty, 050059, Kazakhstan
GSK Life Sciences FZE | Ordinary | LB06015, Jebel Ali Freezone, Dubai, United Arab Emirates
GSK Pharma India Private Limited | Equity | 1, Battery House, Bhulabhai Desai Raod, Mumbai, Maharashtra, 400026, India
GSK Pharma Vietnam Company Limited | Chartered Capital | Unit 702/703 7th Floor, The Metropolitan Tower, 235 Dong Khoi Street, Ben Nghe Ward, District 1, Ho Chi Minh, Vietnam
GSK Pharmaceutical Trading S.A. (ii) | Ordinary | Bucharest, 1-5 Costache Negri Street, Opera Center One, 5th floor, discussions room 01, District 5, Romania
GSK PSC Poland sp. z o.o. | Equal and indivisible shares | ul. Grunwaldzka 189, Poznań, 60-322, Pol
GSK Services Sp z o.o. | Ordinary | Ul. Grunwaldzka 189, 60-322, Poznan, Poland
GSK Vaccines BV | Ordinary | Hullenbergweg 85, 1101 CL, Amsterdam, Netherlands
GSK Vaccines GmbH | Ordinary | Emil-von-Behring-Str.76, 35041 Marburg, Germany
GSK Vaccines Institute for Global Health S.r.l. | Quota | Via Fiorentina 1, 53100, Siena, Italy
GSK Vaccines S.r.l. | Quota | Via Fiorentina 1, 53100, Siena, Italy
GSK Vaccines Vertriebs GmbH | Ordinary | Rudolf-Diesel-Ring 27, 83607, Holzkirchen, Germany
Human Genome Sciences, Inc. | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
ID Biomedical Corporation of Quebec | Common | 2323, boul. Du Parc Technologique, Québec Québec G1P 4R8, Canada
Instituto Luso Farmaco, Limitada (ii) | Quota | Rua Dr Antonio Loureiro Borges No 3, Arquiparque, Miraflores, 1495-131, Alges, Portugal
InterPharma Dienstleistungen GmbH | Quota | Wienerbergstraße 7, Wien, 1100, Austria, Austria
J&J Technologies, LC (ii) | LLC Interests | Corporation Service Company, 100 Shockoe Slip, 2nd Floor, Richmond VA 23219, United States
JSC GlaxoSmithKline Trading | Ordinary | Leningradskiy Prospect 37A, Building 4, Floor 3, Premises XV, Room 1, 125167, Moscow, Russian Federation
Laboratoire GlaxoSmithKline | Ordinary | 23 rue François Jacob, 92500, Rueil-Malmaison, France
Laboratoire Pharmaceutique Algérien LPA Production SPA | Ordinary | Zone Industrielle Est, Boudouaou, Boumerdes, Algeria
Laboratoire Pharmaceutique Algérien SPA | Ordinary | Zone Industrielle Est, Boudouaou, Boumerdes, Algeria
Laboratoires Paucourt (ii) | Ordinary | 23 rue François Jacob, 92500, Rueil-Malmaison, France
Laboratoires Saint-Germain (ii) | Ordinary | 23 rue François Jacob, 92500, Rueil-Malmaison, France
Laboratorios Dermatologicos Darier, S.A de C.V. | Ordinary A; Ordinary B | Av. Real Mayorazgo 130 Piso 20, Colonia Xoco, Alcaldia Benito Juárez, Ciudad de Mexico, 03330, Mexico
Laboratorios Farmaceuticos Stiefel (Portugal) LTDA (ii) | Ordinary | Rua Dr Antonio Loureiro Borges No 3, Arquiparque, Miraflores, 1495-131, Alges, Portugal
Laboratorios Stiefel de Venezuela SA | Ordinary | Calle Altagracia, edificio P&G, nivel Mezzanina,, piso Mezzanina, local Torre Sur, Urbanizacion Sorokaima, La Trinidad, Caracas, 1080, Venezuela, Bolivarian Republic of
Laboratorios Stiefel Ltda. | Ordinary | Rua Professor Joao Cavalheiro Salem, no.1077, Bairro de Bonsucesso, Municipality of Guarulhos, Sao Paulo, CEP 07243-580, Brazil
Laboratorios Wellcome De Portugal Limitada (ii) | Quota | Rua Dr Antonio Loureiro Borges No 3, Arquiparque, Miraflores, 1495-131, Alges, Portugal
Maxinutrition Limited (in liquidation) | Ordinary | C/O BDO LLP, 5 Temple Square, Temple Street, Liverpool, L2 5RH
PT Glaxo Wellcome Indonesia | Class A; Class B | JL. Pulobuaran Raya Kav.III/ DD 2,3,4 KWS. Industri, Pulogadung, Jatinegara, Cakung, Jakarta Timur, Indonesia
Setfirst Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England

Strategic report | | | Governance and remuneration | | | Financial statements | | | Investor information |  | GSK Annual Report 2023
Other statutory disclosures continued
Group companies continued |  |  |

310

Name | Security | Registered address
Wholly owned subsidiaries continued |  |
Sierra Oncology Australia Pty Ltd | Ordinary | c/o Maddocks Lawyers, Angel Place, Level 27, 123 Pitt Street Sydney 2000, Australia
Sierra Oncology Canada ULC | Common | Suite 1800 - 510 West Georgia Street, Vancouver BC V6B 0M3, Canada
Sitari Pharma, Inc. | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
Smith Kline & French Portuguesa- Produtos Farmaceuticos, LDA (ii) | Ordinary | Rua Dr Antonio Loureiro Borges No 3, Arquiparque, Miraflores, 1495-131, Alges, Portugal
SmithKline Beecham (Bangladesh) Private Limited (ii) | Ordinary | House-2/A, Road-138,Gulshan-1, Dhaka, 1212, Bangladesh
SmithKline Beecham (Cork) Limited | Ordinary | 12 Riverwalk, Citywest Business Campus, Dublin 24, Ireland
SmithKline Beecham Egypt L.L.C. | Quota | Amoun Street, El Salam City, Cairo, Egypt
SmithKline Beecham Farma, S.A. | Ordinary | Severo Ochoa, 2, Parque Tecnologico de Madrid, Tres Cantos, 28760, Madrid, Spain
SmithKline Beecham Legacy H Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
SmithKline Beecham Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
SmithKline Beecham Pension Plan Trustee Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
SmithKline Beecham Pharma GmbH & Co KG | Partnership Capital | Prinzregentenplatz 9, 81675, Munchen, Germany
SmithKline Beecham Pharma Verwaltungs GmbH | Ordinary | Prinzregentenplatz 9, 81675, Munchen, Germany
SmithKline Beecham Pharmaceuticals (Pty) Limited (ii) | Ordinary | Flushing Meadows Building, The Campus, 57 Sloane Street, Bryanston 2021, South Africa
SmithKline Beecham Pharmaceuticals Co. | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
SmithKline Beecham Senior Executive Pension Plan Trustee Limited (ii) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
Stiefel GmbH & Co. KG | Partnership Capital | Prinzregentenplatz 9, 81675, Munchen, Germany
Stiefel Laboratories Legacy (Ireland) Limited | Ordinary | Unit 2 Building 2500, Avenue 2000 Cork Airport Business Park, Cork, Ireland
Stiefel Laboratories Pte Limited | Ordinary | 1 Pioneer Sector, 628413, Singapore
Stiefel Laboratories, Inc. | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
Stiefel Maroc SARL | Ordinary | 275 Boulevard Zerktouni, Casablanca, Morocco
Stiefel Research (Australia) Holdings Pty Ltd | Ordinary | Level 4, 436 Johnston Street, Abbotsford, Victoria, 3067, Australia
Stiefel Research Australia Pty Ltd | Ordinary | Level 4, 436 Johnston Street, Abbotsford, Victoria, 3067, Australia
Stiefel West Coast LLC | LLC Interests | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
Strebor Inc. | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
Tesaro Bio GmbH (in liquidation) | Ordinary | Poststrasse 6, 6300 Zug, Switzerland
Tesaro Bio Netherlands B.V | Ordinary | Joop Geesinkweg 901, 1114 AB, Amsterdam-Duivendrecht, Netherlands
Tesaro Development, Ltd. | Ordinary | Clarendon House, 2 Church Street, Hamilton HM11, Bermuda
Tesaro, Inc. | Common | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
The Sydney Ross Co. (ii) | Ordinary | Corporation Service Company, Princeton South Corporate Center, Suite 160, 100 Charles Ewing Blvd, Ewing NJ 08628, United States
UCB Pharma Asia Pacific Sdn Bhd (ii) | Ordinary | 12th Floor, Menara Symphony, No. 5, Jalan Prof. Khoo Kay Kim, Seksyen 13, 4 6200 Petaling Jaya, Malaysia
Wellcome Consumer Healthcare Limited (ii) | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
Wellcome Limited | Ordinary | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England

Name | Security | Effective % Ownership | Registered address
Subsidiaries where the effective interest is less than 100% |
Amoun Pharmaceutical Industries Co. S.A.E. | Monetary Shares | 90.71% | El Salam City 11491, PO Box 3001, Cairo, Egypt
Biddle Sawyer Limited | Equity | 75.00% | 252 Dr Annie Besant Road, Mumbai, 400030, India
British Pharma Group Limited (i) | Guarantee (50%) | 50.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
Galvani Bioelectronics Inc. | Common | 55.00% | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
Galvani Bioelectronics Limited | A Ordinary; B Ordinary | 55.00% - | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
Glaxo Laboratories (Nigeria) Limited (ii) | Ordinary | 99.99% | 82 Marine Road, Apapa, Lagos, Nigeria
Glaxo-Allenburys (Nigeria) Limited (ii) | Ordinary | 99.00% | 41 Creek Road, Apapa, Lagos, PMB 1401, Nigeria

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311

Name | Security | Effective % Ownership | Registered address
Subsidiaries where the effective interest is less than 100% continued |
GlaxoSmithKline (Tianjin) Co. Ltd | Ordinary | 90.00% | No. 65, the Fifth Avenue, Tai Feng Industrial Park, Tianjin Economic and Technolog, Tianjin, 300457, China
GlaxoSmithKline Algérie S.P.A. | Ordinary | 99.99% | Zone Industrielle Est, Boudouaou, Wilaya de Boumerdes, Algeria
GlaxoSmithKline Consumer Nigeria plc (vi) | Ordinary | 46.42% | 1 Industrial Avenue, Ilupeju, Ikeja, Lagos, PM B 21218, Nigeria
GlaxoSmithKline Pakistan Limited | Ordinary | 82.59% | The Sykes Building, 35 Dockyard Road, West Wharf, Karachi, 74000, Pakistan
GlaxoSmithKline Pharmaceuticals Limited | Equity | 75.00% | 252 Dr Annie Besant Road, Mumbai, 400030, India
GlaxoSmithKline S.A.E. | Ordinary | 91.20% | Boomerang Office Building - Land No. 46, Zone (J) - 1st District, Town Center - 5th Tagammoe, New Cairo City, Egypt
Laboratorios ViiV Healthcare, S.L. | Ordinary | 78.30% | Severo Ochoa, 2, Parque Tecnologico de Madrid, Tres Cantos, 28760, Madrid, Spain
Modern Pharma Trading Company L.L.C. | Quota | 98.24% | Amoun Street, PO Box 3001, El Salam City, Cairo, 11491, Egypt
PHIVCO-1 LLC | LLC Interests | 78.30% | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
PHIVCO-2 LLC | LLC Interests | 78.30% | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
SmithKline Beecham-Biomed O.O.O. | Participation Interest | 97.00% | Leningradskiy Prospect 37A, Building 4, Floor 2, Premises XIV, Room 42, 1251 67, Moscow, Russian Federation
Stiefel Egypt LLC (ii) | Quota | 99.00% | Amoun Street, PO Box 3001, El Salam City, Cairo, 11491, Egypt
ViiV Healthcare (South Africa) (Proprietary) Limited | Ordinary | 78.30% | Flushing Meadows Building, The Campus, 57 Sloane Street, Bryanston 2021, South Africa
ViiV HealthCare BV | Ordinary | 78.30% | Van Asch van, Wijckstraat 55h, 3811 LP Amersfoort, The Netherlands, Netherlands
ViiV Healthcare Company | Common | 78.30% | Corporation Service Company, 251 Little Falls Drive, Wilmington DE 19808, United States
ViiV Healthcare Finance 2 Limited | Ordinary | 78.30% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
ViiV Healthcare Finance Limited | Ordinary; Redeemable Preference | 78.30% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
ViiV Healthcare GmbH | Ordinary | 78.30% | Prinzregentenplatz 9, 81675, Munchen, Germany
ViiV Healthcare GmbH | Ordinary | 78.30% | Talstrasse 3 , 3053 Muenchenbuchsee, Switzerland
ViiV Healthcare K.K. | Ordinary | 78.30% | 1-8-1 Akasaka Minato-ku, Tokyo, Japan
ViiV Healthcare Limited | A Ordinary; B Ordinary; C Ordinary; D1 Preference; D2 Ordinary; Deferred; E 5% Cumulative Preference | 78.30% | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
ViiV Healthcare Pty Ltd | Ordinary | 78.30% | Level 4, 436 Johnston Street, Abbotsford, Victoria, 3067, Australia
ViiV Healthcare Puerto Rico, LLC | LLC Interests | 78.30% | CORPORATION SERVICE COMPANY PUERTO RICO INC., c/o RVM Professional Services, LLC, A4 Reparto Mendoza, Humacao, Puerto Rico, 00791
ViiV Healthcare S.r.l. | Quota | 78.30% | Viale dell’Agricoltura 7, 37135, Verona, Italy
ViiV Healthcare SAS | Ordinary | 78.30% | 23 rue François Jacob, 92500, Rueil-Malmaison, France
ViiV Healthcare sprl | Ordinary | 78.30% | Avenue Fleming 20, 1300 Wavre, Belgium
ViiV Healthcare Trading LLC (ii) | Participation Interest | 78.30% | Leningradskiy Prospect 37A, Building 4, Floor 2, Premises XIV, Room 28, 1251 67, Moscow, Russian Federation
ViiV Healthcare Trading Services UK Limited | Ordinary | 78.30% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
ViiV Healthcare UK (No.3) Limited | Ordinary | 78.30% | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
ViiV Healthcare UK (No.4) Limited | Ordinary | 78.30% | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
ViiV Healthcare UK (No.5) Limited | Ordinary | 78.30% | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
ViiV Healthcare UK (No.6) Limited | Ordinary | 78.30% | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
ViiV Healthcare UK (No.7) Limited | Ordinary | 78.30% | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage, SG1 2NY, United Kingdom
ViiV Healthcare UK Limited | Ordinary | 78.30% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England
ViiV Healthcare ULC | Common | 78.30% | 3500 855-2nd Street SW, Calgary AB T2P 4J8, Canada

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312

Name | Security | Effective % Ownership | Registered address
Subsidiaries where the effective interest is less than 100% continued |
ViiVHIV Healthcare Unipessoal Lda | Quota | 78.30% | Rua Dr Antonio Loureiro Borges No 3, Arquiparque, Miraflores, 1495-131, Alges, Portugal
Winster Pharmaceuticals Limited | Ordinary | 46.42% | 2A Association Avenue, Ilupeju Industrial Estate, Lagos, PO Box 3199, Nigeria

Name | Security | Effective % Ownership | Registered address
Associates
GlaxoSmithKline Landholding Company, Inc | Common | 39.93% | 23rd Floor, The Finance Centre, 26th Street Corner 9th Avenue, Bonifacio Global City, Taguig City, 1634, Philippines
Index Ventures Life VI (Jersey) LP | Partnership Interest (24.94%) | 24.94% | 44 Esplanade, St Helier, Jersey, JE4 9WG, Channel Islands
Kurma Biofund II FCPR | Partnership Interest (32.06%) | 32.06% | 24 rue Royale, 5th Floor, 75008, Paris, France
Longwood Fund I, LP | Partnership Interest (35%) | 35.00% | The Prudential Tower, Suite 1555, 800 Boylston Street, Boston, MA 02199
Medicxi Ventures I LP | Partnership Interest (26.10%) | 26.10% | 44 Esplanade, St Helier, Jersey, JE4 9WG, Channel Islands
Joint Ventures |  |  |
Chiron Panacea Vaccines Private Limited (in Liquidation) | Equity Shares | 50.00% | 708/718, 7th Floor, A Wing, Sagar Tech Plaza, Saki Naka, Andheri East, Mumbai, Maharashtra, 400072, India
Other significant holdings |  |  |
Axon Therapies, Inc | Common (2.63%); Series A Preference (18.40%) | 20.03% | 2326 Walsh Avenue Santa Clara, CA 95051, United States
Alpheus Medical, Inc. | Series A Preference (13.77%) Series A-1 Preference (7.27%) | 21.04% | 3510 Hopkins Place, North Oakdale, Minnesota 55128, USA
Global Farm S.A. | A Shares (0%) B Shares (0%) C Shares (100%) | 20.00% 100% of C Shares | Mendoza 1259, Ciudad Autónoma de Buenos Aires, Argentina
Longwood Fund II, LP | Partnership Interest (20.00%) | 20.00% | The Prudential Tower, Suite 1555, 800 Boylston Street, Boston, MA 02199
Sanderling Ventures VII, L.P. A63 | Partnership Interest (25.31%) | 25.31% | 400 S. El Camino Real, Suite 1200, San Mateo, CA 94402
SR One Capital Fund I-B, LP | Partnership Interest (44%) | 44.00% | Corporation service company, 251 Little Falls Drive, City of Wilmington, County of New Castle, Delaware 19808
SR One Capital Opportunities Fund I, LP | Partnership Interest (24.46%) | 24.46% | Corporation service company, 251 Little Falls Drive, City of Wilmington, County of New Castle, Delaware 19808

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Group companies continued |  |  |

313
The following UK registered subsidiaries will take advantage of the audit exemption set out within Section 479A of the Companies
Act 2006 for the period ended 31 December 2023. Unless otherwise stated, the undertakings listed below are owned, either directly
or indirectly, by GSK plc.

Name | Security | Effective % Ownership | Registered address | Company Number
UK registered subsidiaries exempted from audit |  |  |
Burroughs Wellcome International Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 543757
Domantis Limited | Ordinary | 100.00% | GSK Medicines Research Centre, Gunnels Wood Road, Stevenage SG1 2NY, United Kingdom | 3907643
Edinburgh Pharmaceutical Industries Limited (ii) | Ordinary; Preference; | 100.00% | Shewalton Road, Irvine, Ayrshire, KA11 5AP, United Kingdom | SC005534
Eskaylab Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 99025
Glaxo Wellcome UK Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 480080
Glaxochem (UK) Unlimited | Ordinary; Ordinary B; Ordinary C | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 4299472
GlaxoSmithKline Intellectual Property (No.3) Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 11480952
GlaxoSmithKline Intellectual Property (No.4) Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 11721880
GlaxoSmithKline Intellectual Property (No.5) Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 11959399
GlaxoSmithKline International Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 2298366
GSK GP 1 Limited (iv) | A Shares; B Shares | 100.00% | 50 Lothian Road, Festival Square, Edinburgh, Scotland, EH3 9WJ, United Kingdom | SC721605
GSK GP 2 Limited (iv) | Ordinary | 100.00% | 50 Lothian Road, Festival Square, Edinburgh, Scotland, EH3 9WJ, United Kingdom | SC721606
GSK LP Limited (i)(iv) | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 13879411
Montrose Fine Chemical Company Ltd. | Ordinary | 100.00% | Shewalton Road, Irvine, Ayrshire, KA11 5AP, United Kingdom | SC190635
PHIVCO UK II Limited | Ordinary | 78.30% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 6944229
PHIVCO UK Limited | Ordinary | 78.30% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 6944223
Smith Kline & French Laboratories Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 52207
SmithKline Beecham (Export) Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 2860752
SmithKline Beecham (H) Limited | Non-cumulative Non-redeemable; Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 3296131
SmithKline Beecham (Investments) Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 302065
SmithKline Beecham Marketing and Technical Services Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 494385
SmithKline Beecham Nominees Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 503868
SmithKline Beecham Overseas Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 2552828
SmithKline Beecham Pension Plan Trustee Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 3425311
Stiefel Laboratories (U.K.) Ltd | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 831160
Tesaro UK Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 7890847
The Wellcome Foundation Limited | Ordinary | 100.00% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 194814
ViiV Healthcare Overseas Limited | Ordinary | 78.30% | 980 Great West Road, Brentford, Middlesex, TW8 9GS, England | 7027385

In accordance with Section 479C of the Companies Act 2006, the company will guarantee debts and liabilities of the above UK
subsidiary undertakings. As at 31 December 2023 the total sum of these debts and liabilities is £317 million (2022 – £1266 million)
Key
(i) Directly owned by GSK plc.
(ii) Dormant entity.
(iii) Tax resident in the UK.
(iv) Exempt under Regulation 7 of the Partnership (Accounts) Regulations 2008 from the requirement to deliver to the registrar financial statements of the
qualifying partnership(s) of which the entity is a member in accordance with the Companies Act.
(v) Incorporated in the Netherlands
(vi) Consolidated as a subsidiary in accordance with Section 1162 (4)(a) of the Companies Act 2006 on the grounds of dominant influence.
(vii) Principal business address in Puerto Rico.
(viii) Exempt from the provisions of Regulations 4-6 of the Partnership (Accounts) Regulation 2008, in accordance with the exemptions noted in Regulation 7 of
that Regulation.

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314

Glossary of terms

Terms used in the Annual Report | US equivalent or brief description
Accelerated capital allowances | Tax allowance in excess of depreciation arising from the purchase of fixed assets that delay the charging and payment of tax. The equivalent of tax depreciation.
American Depositary Receipt (ADR) | Receipt evidencing title to an ADS. Each GSK ADR represents two Ordinary Shares
American Depositary Shares (ADS) | Listed on the New York Stock Exchange; represents two Ordinary Shares
Basic earnings per share | Basic income per share
Called up share capital | Ordinary Shares, issued and fully paid.
CER growth | Growth at constant exchange rates.
The company | GSK plc
Currency swap | An exchange of two currencies, coupled with a subsequent re-exchange of those currencies, at agreed exchange rates and dates
Defined benefit plan | Pension plan with specific employee benefits, often called ‘final salary scheme’.
Defined contribution plan | Pension plan with specific contributions and a level of pension dependent upon the growth of the pension fund.
Derivative financial instrument | A financial instrument that derives its value from the price or rate of some underlying item
Diluted earnings per share | Diluted income per share.
Employee Share Ownership Plan Trusts | Trusts established by the Group to satisfy share-based employee incentive plans
Equity Shareholders’ funds | Shareholders’ equity.
Finance lease | Capital lease.
Freehold | Ownership with absolute rights in perpetuity
The Group | GSK plc and its subsidiary undertakings.
GSK | GSK plc and its subsidiary undertakings.
Hedging | The reduction of risk, normally in relation to foreign currency or interest rate movements, by making off-setting commitments.
Intangible fixed assets | Assets without physical substance, such as computer software, brands, licences, patents, know-how and marketing rights purchased from outside parties.
Ordinary share | A fully paid up ordinary share in the capital of the company.
Profit | Income
Profit attributable to shareholders | Net income
Share capital | Ordinary Shares, capital stock or common stock issued and fully paid.
Share option | Stock option.
Share premium account | Additional paid-up capital or paid-in surplus (not distributable).
Shares in issue | The number of shares outstanding.
Subsidiary | An entity in which GSK exercises control.
Treasury share | Treasury stock.
Turnover | Revenue.
UK Corporate Governance Code | As required by the UK Listing Authority, the company has disclosed in the Annual Report how it has applied the best practice corporate governance provisions of the Financial Reporting Council’s UK Corporate Governance Code.

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315

Index

Access 47
Accounting principles and policies 185
Acquisitions and disposals 236
Adjustments reconciling Total profit after tax to operating
cash flows 240
Annual General Meeting 2023 298
Approach to tax 103
Assets held for sale 215
Associates and joint ventures 202
Audit & Risk Committee Report 133
Business model 0 8
Cash and cash equivalents 215
Cash generation and conversion 97
CEO’s statement 0 6
Chair’s statement 0 4
Chair’s Governance statement 114
Climate-related financial disclosure 62
Commitments 231
Continuous engagement and key decisions 121
Consolidated balance sheet 181
Consolidated cash flow statement 183
Consolidated income statement 180
Consolidated statement of changes in equity 182
Consolidated statement of comprehensive income 180
Contingent consideration liabilities 229
Contingent liabilities 230
Corporate governance 107
Corporate Responsibility Committee Report 128
Critical accounting judgements and key sources of
estimation uncertainty 191
Critical accounting policies 105
Demerger of Consumer Healthcare business 238
Directors and senior management 158
Directors’ interests in shares 156
Directors’ report 161
Directors’ statement of responsibilities 164
Dividends 206
Donations to political organisations and political
expenditure 305
Earnings per share 206
Employee costs 199
Employee share schemes 260
Environment 49
Ethical standards 53
Exchange rates 193
Finance expense 201
Finance income 201
Financial calendar 2024 298
Financial instruments and related disclosures 243
Financial performance summary 81
Financial position and resources 98
General Medicines 40,88
Glossary of terms 315
Goodwill 209
Group companies 306
Group financial review 78
GSK Leadership Team 112
GSK plc (parent company) accounts - UK GAAP 267
Independent Auditor’s report 166
Innovation 0 9
Inventories 214
Investments in associates and joint ventures 212
Investor relations 302
Key performance indicators 0 2
Legal proceedings 263
Major restructuring costs 200
Movements in equity 232
Net debt 217
New accounting requirements 193
Nominations & Corporate Governance Committee Re port 131
Non-controlling interests 234
Non-controlling interests in ViiV Healthcare 84
Non-Executive Directors’ fees 155
Non-fi nancial and sustainability information statement 75
Notes to the financial statements 184
Operating profit 198
Other intangible assets 210
Other investments 213
Other non-current assets 213
Other non-current liabilities 230
Other operating income/(expense)197
Other provisions 228
Our culture and people 14
Our external environment 10
Our long-term priorities 0 9
Pensions and other post-employment benefits 219
Performance 0 2
Pharmaceutical products, competition and intellectual
property 281
Pipeline 277
Post balance sheet events 266
Presentation of the financial statements 268
Principal Group companies 262
Principal risks and uncertainties 284
Property, plant and equipment 207
Reconciliation of net cash flow to movement in net debt 241
Registrar 301
Related party transactions 235
Reliable supply 44
Remuneration Committee Chair's annual statement 139
Remuneration governance 153
Remuneration report 139
Reporting framework 82
Research and development 17
Responsible business 46
Right of use assets 208
Risk management 57
Science Committee report 129
Section 172 statement 123
Share capital and control 295
Share capital and share premium account 232
Share Consolidation 232
Shareholder information 295
Shareholder services and contacts 301
Specialty Medicines 37,87
Task Force on Climate-related Financial Disclosures 62
Taxation 203
Tax information for shareholders 299
The Board 108
Three-year selected financial data 275
Trade and other payables 216
Trade and other receivables 214
Treasury policies 104
Trust 0 9
Turnover and segment information 194
US law and regulation 303
Using data responsibly 54
Vaccines 33,86
Vaccine products, competition and intellectual property 283
Viability statement 76

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Other statutory disclosures continued

316
GSK plc was incorporated as GlaxoSmithKline
plc, an English public limited company on
6 December 1999. We were formed by a merger
between Glaxo Wellcome plc and SmithKline
Beecham plc. GSK acquired these two English
companies on 27 December 2000 as part of the
merger arrangements. Effective 15 May 2022
GlaxoSmithKline plc changed its name to
GSK plc. On 18 July 2022, GSK plc separated
its Consumer Healthcare business from the
GSK Group to form Haleon, an independent
listed company.
Our shares are listed on the London Stock
Exchange and the New York Stock Exchange.
gsk.com
Brand names appearing in italics throughout this report are trade marks
either owned by and/or licensed to GSK or associated companies. All other
trade marks are the property of their respective owners.
Printed sustainably in the UK by Pureprint, a CarbonNeutral® company with
FSC® chain of custody and an ISO 14001 certified environmental
management system recycling over 99% of all dry waste.
Printed on Arena ECO 50 EW Smooth, a wood free uncoated paper, ECF with
FSC certification and made from 50% recycled fibre.
Download PDFs:
– Annual Report 2023
– Form 20-F
– ESG Performance Report 2023
– Full-year and Fourth Quarter 2023 Results
Cautionary statement regarding forward-looking
statements
This document and the Group’s other reports published or
filed with or furnished to the US Securities and Exchange
Commission (SEC), and any other written information
released, or oral statements made, to the public in the
future by or on behalf of the Group, may contain forward-
looking statements. Forward-looking statements give the
Group’s current expectations or forecasts of future events.
An investor can identify these statements by the fact that
they do not relate strictly to historical or current facts.
They use words such as ‘anticipate’, ‘estimate’, ‘expect’,
‘intend’, ‘will’, ‘project’, ‘plan’, ‘believe’, ‘target’ and other
words and terms of similar meaning in connection with
any discussion of future operating or financial
performance. In particular, these include statements
relating to future actions, prospective products or product
approvals, future performance or results of current and
anticipated products, sales efforts, expenses, the outcome
of contingencies such as legal proceedings, dividend
payments and financial results. Other than in accordance
with its legal or regulatory obligations (including under
the Market Abuse Regulation, the UK Listing Rules and
the Disclosure and Transparency Rules of the Financial
Conduct Authority), the Group undertakes no obligation
to update any forward-looking statements, whether as a
result of new information, future events or otherwise. The
reader should, however, consult any additional disclosures
that the Group may make in any documents which it
publishes and/or files with the SEC. All readers, wherever
located, should take note of these disclosures.
Accordingly, no assurance can be given that any
particular expectation will be met and investors are
cautioned not to place undue reliance on the forward-
looking statements.
Forward-looking statements are subject to assumptions,
inherent risks and uncertainties, many of which relate to
factors that are beyond the Group’s control or precise
estimate. The Group cautions investors that a number of
important factors, including those in this document, could
cause actual results to differ materially from those
expressed or implied in any forward-looking statement.
Such factors include, but are not limited to, those
discussed under ‘Principal risks and uncertainties’ on
pages 284 to 294 of this Annual Report. Any forward-
looking statements made by or on behalf of the Group
speak only as of the date they are made and are based
upon the knowledge and information available to the
Directors on the date of this report.
A number of non-IFRS measures are used to report the
performance of our business. These measures are defined
on pages 83 to 84 and a reconciliation of Adjusted results
to Total results is set out on pages 93 to 95.
The information in this document does not constitute an
offer to sell or an invitation to buy shares in GSK plc or an
invitation or inducement to engage in any other
investment activities. Past performance cannot be relied
upon as a guide to future performance. Nothing in this
Annual Report should be construed as a profit forecast.
Assumptions and basis of preparation related to 2024
guidance, 2021-26 and 2031 outlooks
All guidance, outlooks and expectations should be read
together with the guidance and outlooks, assumptions
and cautionary statements in this annual report and the
Group's Q4 2023 earnings release.
In outlining the guidance for 2024 and outlooks for the
period 2021-2026 and for 2031, the Group has made
certain assumptions about the macro-economic
environment, the healthcare sector (including regarding
existing and possible additional governmental legislative
and regulatory reform), the different markets and
competitive landscape in which the Group operates and
the delivery of revenues and financial benefits from its
current portfolio, its development pipeline and
restructuring programmes.
2024 Guidance
These planning assumptions as well as operating profit
and earnings per share guidance and dividend
expectations assume no material interruptions to supply of
the Group’s products, no material mergers, acquisitions or
disposals, no material litigation or investigation costs for
the Company (save for those that are already recognised
or for which provisions have been made) and no change
in the Group’s shareholdings in ViiV Healthcare. The
assumptions also assume no material changes in the
healthcare environment or unexpected significant
changes in pricing as a result of government or competitor
action. The 2024 guidance factors in all divestments and
product exits announced to date.
2021-26 and 2031 outlooks
The assumptions for GSK’s updated revenue, operating
profit, operating margin and cash flow outlooks, 2031
revenue outlook and margin expectations through
Dolutegravir loss of exclusivity assume the delivery of
revenues and financial benefits from its current and
development pipeline portfolio of drugs and vaccines
(which have been assessed for this purpose on a risk-
adjusted basis, as described further below); regulatory
approvals of the pipeline portfolio of drugs and vaccines
that underlie these expectations (which have also been
assessed for this purpose on a risk-adjusted basis, as
described further below); no material interruptions to
supply of the Group’s products; successful delivery of the
ongoing and planned integration and restructuring plans;
no material mergers, acquisitions or disposals or other
material business development transactions; no material
litigation or investigation costs for the company (save for
those that are already recognised or for which provisions
have been made); no share repurchases by the company;
and no change in the shareholdings in ViiV Healthcare.
GSK assumes no premature loss of exclusivity for key
products over the period.
The assumptions for GSK’s updated revenue, operating
profit, operating margin and cash flow outlooks, 2031
revenue outlook and margin expectations through
Dolutegravir loss of exclusivity also factor in all
divestments and product exits announced to date as well
as material costs for investment in new product launches
and R&D. Risk-adjusted sales includes sales for potential
planned launches which are risk-adjusted based on the
latest internal estimate of the probability of technical and
regulatory success for each asset in development.
Potential future sales contribution from Blenrep has been
excluded.
Notwithstanding these guidance, outlooks and
expectations, there is still uncertainty as to whether our
assumptions, guidance, outlooks and expectations will be
achieved, including based on the other assumptions
outlined above.
All outlook statements are given on a constant currency
basis and use 2023 average exchange rates as a base
(£1/ $1.24, £1/€1.15, £1/Yen 175). 2021-2026 outlook refers
to the 5 years to 2026 with 2021 as the base year.
Notice regarding limitations on Director Liability under
English Law
Under the UK Companies Act 2006, a safe harbour limits
the liability of Directors in respect of statements in and
omissions from the Directors’ Report (for which see page
161), the Strategic report and the Remuneration report.
Under English law the Directors would be liable to the
company, but not to any third party, if one or more of
these reports contained errors as a result of recklessness
or knowing misstatement or dishonest concealment of a
material fact, but would otherwise not be liable. Pages 97,
131, 166 to 167, and 285 to 314 inclusive comprise the
Directors’ Report, pages 1 to 95 inclusive comprise the
Strategic report and pages 133 to 164 inclusive comprise
the Remuneration report, each of which have been drawn
up and presented in accordance with and in reliance
upon English company law and the liabilities of the
Directors in connection with these reports shall be subject
to the limitations and restrictions provided by such law.
Website
GSK’s website www.gsk.com gives additional information
on the Group. Notwithstanding the references we make in
this Annual Report to GSK’s website, none of the
information made available on the website constitutes
part of this Annual Report or shall be deemed to be
incorporated by reference herein.

About GSK

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