About Our ESG Report
This report represents our sustainability performance for 2022. Data and other updates contained in this digital report are focused on the 2022 calendar year and include our global operations, unless otherwise noted. We also discuss data and trends from previous years where relevant. This report does not include joint ventures, partially owned subsidiaries or outsourced operations. To extend Lilly’s reach and impact, the company established the Eli Lilly and Company Foundation, commonly referred to as the Lilly Foundation, in 1968. The Lilly Foundation is a private, tax-exempt organization that makes strategic and philanthropic investments consistent with Lilly’s purpose and is referenced in our reporting.
Lilly and its affiliates provide medicines to separate charitable organizations that offer free Lilly medicines to qualifying patients. Throughout this report, products are valued at wholesale acquisition costs.
Lilly follows structured processes to collect, evaluate, calculate and validate the data included in this report. We consider external standards in deciding what data to collect and report. The data presented in this report is collected using various methodologies, which in some instances are based on assumptions and estimates in which there are inherent uncertainties and limitations. For example, information may come from third-party sources and operations outside of our control. While we believe such information is reasonably accurate and is based on reasonable principles and methodology, the third-party collection of this data is beyond our direct control. In addition, the achievement of certain sustainability goals and targets may be dependent on the actions of our partners, suppliers and other third parties, all of which are outside of our control.
Our global health, safety and the environment (HSE) management system is consistent with third-party standards such as the International Organization for Standardization (ISO) ISO 14001, ISO 45001 and the American Chemistry Council’s Responsible Care® Management System standards.
We use several external guidelines and measurement frameworks to inform the scope of our reporting. This report has been prepared in accordance with the Sustainability Accounting Standards Board (SASB) framework for Biotechnology and Pharmaceuticals and informed by the Task Force on Climate-related Financial Disclosures (TCFD). View all reporting indices and ESG data in the Transparency section.
The 2022 ESG Report contains forward-looking statements that are based on management’s assumptions, estimates, and expectations at the time the statements were posted, including statements regarding our sustainability targets, goals, commitments and programs and other business plans, initiatives, aspirations and objectives. These statements are typically accompanied by the words “aim”, “hope”, “plan”, “estimate”, “project”, “intend”, “expect”, “believe”, “target”, “anticipate” and similar expressions. All such statements are intended to enjoy the protection of the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act of 1995, as amended. Actual results may differ materially due to various factors. The company’s sustainability targets, goals and commitments outlined in this report or elsewhere, as well as its operations, results, business, goals, and strategy may be affected by factors including, but not limited to, the significant costs and uncertainties in the pharmaceutical research and development process, including with respect to the timing and process of obtaining regulatory approvals; the impact and outcome of acquisitions and business development transactions and related integration costs; the expiration or enforceability of intellectual property protection for certain of our products; changes in patent law or regulations; competitive developments affecting current products and our pipeline; unauthorized access, disclosure, misappropriation or compromise of confidential information or other data in our information technology systems, networks and facilities, or those of third parties with whom we share our data; the impact of global macroeconomic conditions, trade disruptions, disputes, unrest, war, regional dependencies or other costs, uncertainties and risks related to engaging in business globally; unexpected safety or efficacy concerns associated with our products; litigation, investigations or other similar proceedings involving past, current or future products or commercial activities; issues with product supply and regulatory approvals stemming from manufacturing difficulties, disruptions or shortages, including as a result of unpredictability and variability in demand, labor shortages, third-party performance, quality or regulatory actions related to our facilities; the impact of public health outbreaks, epidemics or pandemics, such as the COVID-19 pandemic; and changes or other developments in laws or regulations. For additional information about the factors that affect the company’s business, please see the company’s latest Forms 10-K, 10-Q, and any 8-Ks filed with the Securities and Exchange Commission. We urge you to consider all of the risks, uncertainties and factors identified above or discussed in such reports carefully in evaluating the forward-looking statements in this report.
Updates to Reported Information
The information in this 2022 ESG Report, including the forward -looking statements, are made as of the publication date of May 17, 2023, unless otherwise indicated, and are expressly qualified in their entirety by the risk factors and cautionary statements described above and elsewhere in this report. We undertake no obligation to update the information or forward-looking statements in the report to reflect subsequent events or circumstances. More current information on notable events about the company’s ESG efforts may be included elsewhere in the company’s disclosure, including Forms 10-K, 10-Q and any 8-Ks filed with the Securities and Exchange Commission, its press releases or the Latest ESG Developments page of the company’s website.