Science, patient benefits, and productivity

Dr. Alan Hippe, CFO

Jefferies 2019 Healthcare Conference New York, June 2019

This presentation contains certain forward-looking statements. These forward-looking statements may be identified by words such as ‘believes’, ‘expects’, ‘anticipates’, ‘projects’, ‘intends’, ‘should’, ‘seeks’, ‘estimates’, ‘future’ or similar expressions or by discussion of, among other things, strategy, goals, plans or intentions. Various factors may cause actual results to differ materially in the future from those reflected in forward-looking statements contained in this presentation, among others:

1 pricing and product initiatives of competitors;2 legislative and regulatory developments and economic conditions; 3 delay or inability in obtaining regulatory approvals or bringing products to market; 4 fluctuations in currency exchange rates and general financial market conditions; 5 uncertainties in the discovery, development or marketing of new products or new uses of existing products, including without limitation

negative results of clinical trials or research projects, unexpected side-effects of pipeline or marketed products; 6 increased government pricing pressures; 7 interruptions in production; 8 loss of or inability to obtain adequate protection for intellectual property rights; 9 litigation;10 loss of key executives or other employees; and11 adverse publicity and news coverage.

Any statements regarding earnings per share growth is not a profit forecast and should not be interpreted to mean that Roche’s earnings or earnings per share for this year or any subsequent period will necessarily match or exceed the historical published earnings or earnings per share of Roche.

For marketed products discussed in this presentation, please see full prescribing information on our website – www.roche.com

All mentioned trademarks are legally protected2

Performance update

Growing new assets

Productivity

Outlook

3

4All growth rates at Constant Exchange Rates (CER)

2%

6%

4%

6% 6%

4%

8%

7%

5%

4%

5%

6%

5%

7%

6%

4% 4%

6%

3%3%

4%

6% 6%

5%

6%

7%7%

9%

8%

0%

2%

4%

6%

8%

10%

Q1…Q2…Q3…Q4…Q1…Q2…Q3…Q4…Q1…Q2…Q3…Q4…Q1…Q2…Q3…Q4…Q1…Q2…Q3…Q4…Q1…Q2…Q3…Q4…Q1…Q2…Q3…Q4…Q1…

Q1 2019: Group sales growth for the eighth consecutive year

New products with strong momentum

5All absolute values are presented in CHFm reported; 1 Erivedge, Perjeta, Kadcyla, Gazyva, Esbriet, Cotellic, Alecensa, Tecentriq, Ocrevus, Hemlibra, and Xofluza; 2 MabThera & Herceptin in Europe & JP

13,583 14,826

+1,204+442

-12-391

Pharma biosimilarsexposed2

Pharma new

products1Q1 2018 Q1 2019Diagnostics

divisionPharmaother

products

CHFmCHFm % of Pharma sales

6

36.4% 35.7% 36.1%

Core operating profit

% of sales

14.1

17.8

18.7

2016 2017 2018

27.9%33.4% 33.0%

Operating free cash flowCore EPS

14.53 15.34

18.14

2016 2017 2018

18.4 19.0

20.5

2016 2017 2018

CHFbn +9% at CER +5% at CER+19%1 at CERCHF CHFbn

CER=Constant Exchange Rates; 1+8% at CER excl. US tax reform

2018: Strong Core results, significant operating free cash flow

Roche significantly advancing patient careBTD’s and BDD’s reflecting the quality of our research

7* Real-Time Oncology Reviews (RTOR) pilot and BTD

2018: 32nd consecutive annual dividend increase

81 compound annual growth rate

8.70

0

1

2

3

4

5

6

7

8

9

1989 1994 1999 2004 2009 2014

CHF

2018 dividend as proposed by the Board of Directors; Note: For 1995, a special dividend was paid out to mark F. Hoffmann-La Roche’s 100th anniversary in 1996

Performance update

Growing new assets

Productivity

Outlook

9

Replace and extend the business: Excellent progressThrough continuously improving standard of care

Replace/extend existing businesses Entering new franchises

10

MabThera/Rituxan

Gazyva, Venclexta,

polatuzumab vedotin, mosunetuzumab,

CD20 x CD3

HerceptinPerjeta, Kadcyla,

Herceptin + Perjeta SC

AvastinTecentriq, Alecensa,entrectinib

Lucentis faricimab Port delivery system (PDS)

Tamiflu Xofluza

Achievements 2018

MS: Ocrevus

Hemophilia A: Hemlibra

CNS:SMA, Autism, Huntington’s,

Alzheimer’s, NMOSD

SMA=spinal muscular atrophy; NMOSD=neuromyelitis optica spectrum disorder; RMS=relapsing MS; PPMS=primary progressive MS; R/R CLL=relapsed/refractory chronic lymphocytic leukemia; AML=acute myeloid leukemia; BC=breast cancer; NSCLC=non-small cell lung cancer; SCLC=small cell lung cancer; TNBC=triple-negative BC; nAMD=neovascular age-related macular degeneration; DME=diabetic macular edema, PDS= Port Delivery System

Strong launches: Ocrevus, Perjeta, Hemlibra, Tecentriq, Alecensa

Pivotal readouts: Gazyva+Ven: 1L CLL Kadcyla: HER2+ eBCTecentriq: 1L non-sq NSCLC, 1L SCLC & 1L TNBC entrectinib: ROS1+ NSCLC & NTRK+ tumorsXofluza: US approval in influenza A and Bsatralizumab: NMOSDVenclexta: R/R CLL & 1L AML

Proof of concept: faricimab: Ophthalmology - nAMD and DMEPDS: Ophthalmology - nAMDrisdiplam: SMA- Type 1/2/3balovaptan: Autism in adults

Further growth momentum / new market entries

Hematology franchise: Encouraging signs with new launches

111 Datamonitor and internal estimates, US, JP, & EU5; CER=Constant Exchange Rates; FL=follicular lymphoma; R/R=relapsed/refractory; CLL=chronic lymphoid leukemia; AML=acute myeloid leukemia; MM=multiple myleloma; DLBCL=diffuse large B-cell lymphoma; * Venclexta sales are booked by partner AbbVie.

What we have achieved

YoY CER growthCHFm

Main drivers: (+) Gazyva (EU/US) in 1L FL(+) Venclexta* launched in R/R CLL, AML Early stage assets: CD20 x CD3 (Ph I), mosunetuzumab (Ph I)

MM

AML

MDS

CLL

DLBCL

13%

37%

14%

9%

17%

7%3%

Incidence rates (330,000 pts)1

iNHLRoche marketed

CLL 14 (Ph III) 1L unfit - filed

MIRROS (Ph III) R/R AML1L unfit AML - approved

CANOVA (Ph III) t(11;14) positive R/R MM

Ph II data in R/R DLBCL – filedPOLARIX (Ph III) 1L DLBCL

polatuzumab

idasanutlin

new opportunity

ALL

polatuzumab

12

Total lung cancer market growing from USD ~14bn in 2017 to ~33bn in 20242

1 IMpower133 in extensive stage SCLC; 2 Evaluate Pharma; CIT=Cancer Immunotherapy; SCLC=small cell lung cancer; NSCLC=non-small cell lung cancer; cb=carboplatin; pac=paclitaxel; nab-pac=nab-paclitaxel (Abraxane); cp=cisplatin; pem=pemetrexed

With liver metastases

= Roche with first CIT combination FDA-approved in 1L SCLC and EU-approved in 1L NSCLC incl. EGFR+ or ALK+ patients

Lung cancer franchise: Extend and replace current businessesBroad coverage with differentiated growth opportunities

IMpower131(Tecentriq+cb+pac/nab-pac)

PFS/OS

IMpower1331

(Tecentriq+cb+etoposide) PFS/OS

(PFS)

(PFS)(OS) IMpower150

(Tecentriq+cb/pac+/-Avastin)PFS/OS (H1 2018)

IMpower130(Tecentriq+cb+nab-pac)

PFS/OS

IMpower132(Tecentriq+cp/cb+pem)

PFS/OS

(PFS)(OS)

(PFS)

(PFS)(OS)

Further growth momentum / new market entriesWhat we have achieved

Tecentriq Strong US launch in 1L SCLC & 1L TNBC; 2L NSCLC share gains in EU

13

YoY CER growthCHFm

CER=Constant Exchange Rates; NSCLC=non-small cell lung cancer; SCLC=small cell lung cancer; TNBC=triple negative breast cancer; HCC=hepatocellular carcinoma

(+) 1L HCC: Ph III readout in 2019

(+) Adj bladder cancer: Ph III readout in 2019 /20

(+) 1L melanoma: Ph III readouts in 2019

Main drivers: (+) 1L NSCLC (US/EU)(+) 1L SCLC & 1L TNBC (US)

Our technology platforms in cancerRoche pipeline includes differentiated therapeutic platforms

14ADC=antibody–drug conjugate; iNeST=Individualized Neoantigen-Specific Therapy

Engage and activate T cells to kill tumour cells

CD20 x CD3CEA x CD3

Her2 x CD3mosunetuzumabglypican-3 x CD3

FAP x IL2v

Amplify immune response

iNeST

Patient’s neo-antigens for anti-tumour

immune response

Bi-specifics

polatuzumab vedotinHER2

VaccinesADC

Targeted tox load

mRNA

iNeST platform: mRNA-LPX Liposome

2:1 format 1:1 format

Replace and extend the business: Excellent progressThrough continuously improving standard of care

Replace/extend existing businesses Entering new franchises

15

MabThera/Rituxan

Gazyva, Venclexta,

polatuzumab vedotin, mosunetuzumab,

CD20 x CD3

HerceptinPerjeta, Kadcyla,

Herceptin + Perjeta SC

AvastinTecentriq, Alecensa,entrectinib

Lucentis faricimab Port delivery system (PDS)

Tamiflu Xofluza

Achievements 2018

MS: Ocrevus

Hemophilia A: Hemlibra

CNS:SMA, Autism, Huntington’s,

Alzheimer’s, NMOSD

SMA=spinal muscular atrophy; NMOSD=neuromyelitis optica spectrum disorder; RMS=relapsing MS; PPMS=primary progressive MS; R/R CLL=relapsed/refractory chronic lymphocytic leukemia; AML=acute myeloid leukemia; BC=breast cancer; NSCLC=non-small cell lung cancer; SCLC=small cell lung cancer; TNBC=triple-negative BC; nAMD=neovascular age-related macular degeneration; DME=diabetic macular edema, PDS= Port Delivery System

Strong launches: Ocrevus, Perjeta, Hemlibra, Tecentriq, Alecensa

Pivotal readouts: Gazyva+Ven: 1L CLL Kadcyla: HER2+ eBCTecentriq: 1L non-sq NSCLC, 1L SCLC & 1L TNBC entrectinib: ROS1+ NSCLC & NTRK+ tumorsXofluza: US approval in influenza A and Bsatralizumab: NMOSDVenclexta: R/R CLL & 1L AML

Proof of concept: faricimab: Ophthalmology - nAMD and DMEPDS: Ophthalmology - nAMDrisdiplam: SMA- Type 1/2/3balovaptan: Autism in adults

Neuroscience franchiseOcrevus growth driven by new/ switch patients

16CER=Constant Exchange Rates

What we have achieved

YoY CER growthCHFm

Main drivers: (+) Strong launch in US/ EU

Increasing US market share

8%16%

0%

20%

40%

60%

80%

100%Total patient share- R3M (Jan 2017 to Jan 2019)

AUBAGIO ABREPs COPAXONEGENERIC COPAXONE GILENYA LEMTRADARITUXAN TECFIDERA TYSABRIOCREVUS

17

Total global MS market USD ~22 bn in 20242

Neuroscience franchise: Ocrevus in MSUS label covers ~90% of MS patients including “active SPMS”

1 Roche analysis of MS prevalence epidemiological studies; 2EvaluatePharma

MS spectrum1 and US label

• Confirmed efficacy and safety profile in 100,000+ patients

• Continue moving into earlier lines displacing orals

• Continued fast enrollment in 13 Ph III/IV studies expected

Further growth momentum

Neuroscience franchise: Ocrevus in MSImportance of B-Cell depletion level (RMS)

Double-Blind and OLE OLE Period (rebaselined)

Prop

ortio

n of

pat

ient

s with

24W

-CDP

(%)

240BL 24 48 72 96 120 144 168 192 216 264 288 312Time to onset of confirmed disability progression (Weeks)

25

15

5

20

10

0

30

Prop

ortio

n of

pat

ient

s with

24W

-CDP

(%)

Time to onset of confirmed disability progression (Weeks)

30

15

5

25

10

0

20

0 24 48 72 96 120 144 168 192

IFN=interferon; OCR= ocrelizumab; RMS=relapsing multiple sclerosis; 24W-CDP=24 week-confirmed disability progression; Source: Hauser et al, AAN 2019

Higher exposure to Ocrevus correlated with lower B-cell levels and lower rates of disability progression

18

IFN β-1a B-cells = 0/µL B-cells >5/µLB-cells = 1–5/µL

Risdiplam in Type 1 spinal muscular atrophy FIREFISH Part 1: One year results summary

19* Event free is defined as alive with no permanent ventilation (i.e. no tracheostomy or BiPAP ≥16 hours per day continuously for >3 weeks or continuous intubation >3 weeks, in the absence of, or following the resolution of, an acute reversible event). † 1 infant was unable to swallow at baseline; Data cut-off: 27 February 2019.; BSID-III, Bayley Scales of Infant and Toddler Development, Third Edition; CHOP-INTEND, Children's Hospital of Philadelphia Infant Test of Neuromuscular Disorders; HINE-2, Hammersmith Infant Neurological Examination, Module 2; Source: Baranello et al AAN 2019, Servais et al AAN 2019

Risdiplam in Type 2/3 SMA dose finding (SUNFISH-1) Encouraging improvement in motor function milestones

20

12 months change from baseline SUNFISH Part 1 NatHis-SMA

Age range (years) 2–11 (n=24)†

12–25 (n=19)‡

2–25(n=43)*

2–30(n=39)

Total MFM32 change from baseline, mean (SD) 3.47 (3.77) 1.64 (3.43) 2.66 (3.70) -1.44 (3.68)

≥3 point change at Month 12, n (95% CI)

17 (71%)(49–87%)

8 (42%)(20–67%)

25 (58%)(42%–73%)

3 (7.6%)(2%–21%)

• MFM32 is a 32 item assessment classified into 3 domains• Each item is measured on a 4-point scale with a total score of 0–100 and with

higher scores indicating greater motor function• MFM32 has been validated for measuring motor function in patients with

neuromuscular diseases including SMA1,2

Domain 1:Standing, transfers and ambulation

Domain 2:Axial and proximal motor function

Domain 3:Distal motor function

*Excludes seven patients who performed the MFM20 assessment at baseline and one patient who had dropped out of the study prior to the Month 12 visit; †excludes seven patients who performed the MFM20 assessment at baseline; ‡excludes one patient who had dropped out of the study prior to the Month 12 visit. Based on change from adjusted baseline. SUNFISH data cut-off: 9th Jan 2019.; MFM=Motor Function Measure. 1. Bérard C, et al. Neuromuscul Disord. 2005; 15:463–470; 2. Vuillerot C, et al. Ann Phys Rehabil Med. 2013; 56:673–686.; Mercuri et al, AAN 2019

Hemophilia A franchiseTransforming the market

21

Needs-based segmentation1

Total hemophila A market growing to USD 13bn by 20242

75-80% target

population25%

45%

15%

10%

20%

1 Treated patients MORSE 2017 (prevalence), UKHCDO Annual Report 2016 and internal assumptions (treatment rate), target population based on the US label; 2 Source: Evaluate Pharma

Inhibitors Non-inhibitor adults on treatment with bleedsNon-inhibitor pediatric Non-inhibitor adults on treatment without bleedsNon-inhibitor mild patients

Sales (CHFm)

Ophthalmology market: Differentiation required

22

Q1M

Effic

acy

(vis

ual a

cuity

gai

ns)

Durability

Durability play in AMD

Q2M Q3M Q4M Q5M Q6M

Durability playCurrent available

products

+10 Letters

Efficacy play

More differentiatedLess differentiatedM

ore

diffe

rent

iate

dLe

ss d

iffer

entia

ted

Faricimabin AMD

Faricimabin DME

+5 Letters

PDS with ranibizumab

in AMD

For illustrative purposes only

PDS=Port Delivery System

Satralizumab in Neuromyelitis optica spectrum disorder (NMOSD)Significantly reduced risk of relapse (ITT and AQP4+ populations)

23

Risk reduction in AQP4+ populationPatient population

1/2 Blind within 5 yearsRequire wheelchair

9:1 Female : Male prevalence

0 Approved tx options

Per 100,000~5

Analysis based on ITT population; *p-value based on log-rank test stratified by geographic region and baseline relapse rate; Clinical Relapse as adjudicated by the investigator; AQP4-IgG=antibodies against aquaporin 4Source: Yamamura et al, AAN 2019

Huntington’s Disease: Most prevalent monogenetic neurodegenerative disease affecting approx. 300K* patients WW

24* Approximate calculation on the MORSE model 2015 for pre-symptomaic patients and MORSE model 2017 for other populations

Pre-symptomatic Prodromal

Manifest

Early Moderate Advanced

Cognitive/Affective Symptoms ~10 years before motor onset

Juvenile Onset HD

Premanifest

Juvenile Onset HD – onset of

symptoms before age of

20

Stage

Elderly“Motor Onset”

~65 years

Age of onset

Motor onset ~45

years

ElderlyOnset HD

Continuum of Huntington’s Disease

Age

1985Age 38

1998Age 51

Focus of initial HTT

ASO program

25

Phase II (VANILLA) results

Autism – balovaptan: Moved into pivotal stage for adults, proof of concept in pediatric patients in 2019

• Vasopressin (V)1a receptor modulates social behavior and is implicated in ASD

• Orally available, selective V1a receptor antagonist, well tolerated in Ph I and II studies

V1a receptor antagonist

• Primary EP (SRS-2) not met; however main secondary EP (VinelandTM-II) met• VinelandTM-II selected and agreed upon with health authorities as primary endpoint in

future studies• Phase III (V1aduct) enrolling

Primary endpoint Secondary endpoint

Bolognani F. et al., IMFAR 2017; ASD=autism spectrum disorder; SRS-2=social responsiveness scale-2; VinelandTM-II=Vineland Adaptive Behavior Scale 2nd Edition

New products close to annualized sales of CHF 13bn*Additional 4 NMEs approaching launch

26* Venclexta sales are booked by partner AbbVie and therefore not included.

CHFm % of Pharma sales

Performance update

Growing new assets

Productivity

Outlook

27

Continuing to evolve our operating modelBuild an effective organization for the future

• Simplify current set up for Corporate, Pharma and Dia

• Centers in Kuala Lumpur, Costa Rica, and Budapest

• Smaller, fit-for-purpose teams with power to decide & act

• Resource shift to support key launches

• Faster filing (strive for best in class)

• Innovative trial designs

28

Corporate:Shared Service Centers

Technical operations

• Reduction in COGS

• Cope with demand in China

• Lean management production program

+11%

+3%

Volume Core COGS and Period Costs

Sales organization

US

Europe

LATAM

APAC

EEMEA

US

International

Development

Adjusting to the new environment - efficiency through simplification of structures & processes, faster speed to market

29* Formerly with Life Cycle Portfolio Committee

Structure

• Two main regions only, and small and medium sized countries with flat structure

• Elimination of duplicate resources

ProcessesRadical simplification of key processes

Behaviours

• Holistic leadership program to embed agile principles and cultural change–Entrepreneurial, trusting others to take the right decision–Servant & supportive leadership

Development Commercial

Upgraded Life Cycle Leader role requirements in line with molecule

80% of portfolio decisions delegatedto Life Cycle Teams*

Continuous acceleration of development timelinesMore will be realized faster

Transformational dataPh1b, Ph2

Innovative TrialsPh1b to Ph3 Tecentriq +chemo in 1L SCLC

Tecentriq +nab-paclitaxel in 1L TNBC

Polatuzumab vedotin+ BR in R/R DLBCL

2019 2020 2021 2022

Q2 /Q32019

3.0 y

Venclexta + azacitidine in unfit 1L AML

3.0 y Q42018

Tecentriq + chemo +/- Avastin in 1L NSCLC

Q42018

2.5 y

Q12019

2.5 y

Q220192.5 y

Faster-Filing

2018: 21w/filing (-5.4w vs. ’17) Total 25 filings x -5.4w/filing=-2.6y

Target 2019: 16w/filing (-10.4w vs. ’17) Total 20 filings x -10.4w/filing=-4.0y

2.6 y

4.0 y

30

Polatuzumab vedotin+ BR in R/R DLBCL

Performance update

Growing new assets

Productivity

Outlook

31

Near term pipeline carries significant revenue potential

32

Submission Molecule Indication Market opportunity

2018

Hemlibra Hemophilia A, non-inhibitors

polatuzumab vedotin R/R DLBCL

Venclexta 1L AML

Tecentriq 1L NSq NSCLC

Tecentriq 1L ES SCLC

Tecentriq 1L TNBC

2019

entrectinib ROS1+ NSCLC, NTRK+

Venclexta + Gazyva 1L CLL

Tecentriq+Cotellic+/-Zelboraf BRAFm Mel, BRAFwt Mel

Tecentriq neoadj TNBC

Tecentriq + Avastin 1L HCC

2020

ipatasertib 1L CRPC, 1L TNBC, HER2-/HR+ BC

idasanutlin AML

Tecentriq + Avastin 1L RCC

Tecentriq 1L mUC

Tecentriq CRPC

Tecentriq + Avastin 1L OC

2021 polatuzumab vedotin 1L DLBCL

Submission Molecule Indication Market opportunity

2018 Xofluza Influenza A & B

2019satralizumab NMOSD

risdiplam SMA

2020 anti-myostatin DMD

2021 &beyond

HTT-ASO Huntington’s disease

balovaptan Autism

PDS wAMD

faricimab DME

etrolizumab UC/CD

Small: up to CHF 0.5 bn

medium= CHF 0.5 to CHF 1bn

large > CHF1bn

Oncology / Hematology

Neuroscience

Ophthalmology

Immunology

Infectious disease

33

Q1 2019: Record number of NMEs at pivotal stage

entrectinibpolatuzumab vedotin

ipatasertib Hemlibra (EU)

idasanutlinPerjeta+Herceptin FDC SC

PDS with ranibizumabfaricimabHTT-ASOrisdiplam

balovaptananti-myostatin adnectin

satralizumabgantenerumabXofluza (EU)etrolizumab

FY 2016 FY 2018

Hemlibraidasanutlin

taselisibAlecensaTecentriq

lampalizumabcrenezumabsatralizumab

gantenerumabOcrevus

etrolizumab

NM

Eslin

eex

tens

ions

5133

31373

Oncology

Neuroscience

Ophthalmology

Immunology

Infectious Disease

polatuzumab vedotinipatasertib Hemlibraidasanutlintaselisibfaricimabrisdiplam

balovaptananti-myostatin adnectin

crenezumabsatralizumab

gantenerumabOcrevusXofluza

etrolizumab

FY 20174131

NME=new molecular entities; FDC=Fixed dose combination; SC=Subcutaneous; PDS=Port delivery system; For details on the indications and line extensions please consult the pipeline appendix

entrectinibpolatuzumab vedotin

ipatasertib idasanutlin

Perjeta+Herceptin FDC SC

PDS with ranibizumabfaricimabHTT-ASOrisdiplam

balovaptananti-myostatin adnectin

satralizumabgantenerumabXofluza (EU)etrolizumab

Q1 201921

344

2019: Roche significantly advancing patient careAnother strong year expected

34

• Xofluza (baloxavir marboxil)• entrectinib in ROS1+ and NTRK+ tumors*• polatuzumab vedotin in R/R DLBCL*

33 NME launches

• Hemlibra (non-inhibitor) in EU• Kadcyla in adj HER2+ BC• Venclexta in 1L AML and 1L CLL• Tecentriq in 1L TNBC, 1L SCLC, 1L NSCLC

7 Major line extension launches

• satralizumab in NMOSD• risdiplam in SMA2 Major NME filings

• Further roll-out of cobas pro integrated solutions1 Diagnostics platform

* filed end of 2018; NME=new molecular entities; R/R CLL=relapsed/refractory diffuse large B-cell lymphoma; AML=acute myeloid leukemia; CLL= chronic lymphocytic leukemia; TNBC=triple-negative BC; SCLC=small cell lung cancer; NSCLC=non-small cell lung cancer; NMOSD=neuromyelitis optica spectrum disorder; SMA=spinal muscular atrophy

2019 outlook raised Sales growth to “mid-single digit” from “low- to mid-single digit”

35

Group sales growth1 • Mid-single digit (from low- to mid-single digit)

Core EPS growth1 • Broadly in line with sales

Dividend outlook • Further increase dividend in Swiss francs

1 At Constant Exchange Rates (CER)

Doing now what patients need next