Slide 1: Q4 FY24 earnings presentation
Q4 FY24 earnings presentation February 27, 2025 © Solventum 2025. All rights reserved.
Slide 2: Forward-looking statements and use of document
Forward-looking statements and use of document This presentation and other materials Solventum has filed or will file with the SEC (and oral communications that Solventum may make) contain or incorporate by reference statements that relate to future events and expectations and, as such, constitute f
Slide 3: Executive summary
Executive summary Q4 financial summary:1 • Net sales of $2.1B +1.9%, organic sales growth of +2.3% • Adjusted EPS of $1.41 on 20.4% operating margins • FCF of $92M 2024 financial summary:1 • Net sales of $8.3B +0.7%, organic sales growth of +1.2% • Adjusted EPS of $6.70 on 22.0% operating margins •
Slide 4: Q4 FY24 Financial summary
Q4 FY24 Financial summary Dental Segment sales Key metrics Solutions MedSurg $315M +3.0% Reported $1,174M +4.2% Organic +0.5% Reported non- GAAP +1.8% Organic GAAP2 Health Total Solventum1 Information Systems Operating margin 6.6% 20.4% $336M $2,074M +1.1% Reported +1.9% Y/Y Reported +1.1% Organic +
Slide 5: MedSurg summary
MedSurg summary Q4 financial results Q4 FY24 Q4 FY23 Y/Y Reported +0.5% Net sales $1,174M $1,168M Organic +1.8% Segment drivers: • Organic growth led by Medical OEM and Advanced Wound Care • Negative pressure wound therapy (NPWT) growth driven by consumables and continued V.A.C.® Peel and Place Dres
Slide 6: Dental Solutions summary
Dental Solutions summary Q4 financial results Q4 FY24 Q4 FY23 Y/Y Reported +3.0% Net sales $315M $306M Organic +4.2% Segment drivers: • Volume driven improvement benefited from combination of easing year-over-year 3M Filtek Easy Match Universal Restorative comparison and early adoption of recent pro
Slide 7: Health Information Systems summary
Health Information Systems summary Q4 financial results Q4 FY24 Q4 FY23 Y/Y Reported 1.1% Net sales $336M $332M Organic 1.1% Segment drivers: • Organic growth driven by continued adoption of revenue cycle management partially offset by declines in clinician productivity solutions Solventum 360 Encom
Slide 8: Purification & Filtration summary
Purification & Filtration summary Q4 financial results Q4 FY24 Q4 FY23 Y/Y Reported 2.0% Net sales $235M $230M Organic 3.5% Segment drivers: • Continued strength in bioprocessing filtration and added capacity for industrial filtration Harvest RC Centrate Chromatographic Clarifier improves biopharmac
Slide 9: FY24 Financial summary
FY24 Financial summary Dental Segment sales Key metrics Solutions MedSurg $1,295M (2.6)% Reported $4,637M (0.4)% Organic +0.1% Reported non- GAAP +1.2% Organic GAAP2 Health Total Solventum1 Information Systems Operating margin 12.6% 22.0% $1,306M $8,254M +1.6% Reported +0.7% Y/Y Reported +1.6% Organ
Slide 10: FY2025 financial guidance and considerations
FY2025 financial guidance and considerations Organic sales growth +1.0% to +2.0% Additional considerations: +1.5% to +2.5% excluding ~50bps of SKU exit impact • FX Impact: ~150bps Sales Growth headwind • Operating Margin: 20% to 21% with improvement during the year Adjusted EPS $5.45 to $5.65 • Net
Slide 11: Appendix
Appendix © Solventum 2025. All rights reserved. 11
Slide 12: Non-GAAP financial measures
Non-GAAP financial measures In addition to reporting financial results in accordance with U.S. GAAP, Solventum also provides non-GAAP measures that we use, and plan to continue using, when monitoring and evaluating operating performance and measuring cash available to invest in our business. The adj
Slide 13: Q4 FY24 detailed non-GAAP reconciliation and free cash flow
Q4 FY24 detailed non-GAAP reconciliation and free cash flow Spin-off & separation- Legal entity Q4 FY24 (Millions, except per share data) Q4 FY24 GAAP Amortization Restructuring related costs restructuring non-GAAP Net sales 2,074 2,074 Gross margin 1,119 23 24 1,167 % of sales 54.0% 1.0% 1.2% 56.2%
Slide 14: FY24 detailed non-GAAP reconciliation and free cash flow
FY24 detailed non-GAAP reconciliation and free cash flow Spin-off & separation- Legal entity FY24 (Millions, except per share data) FY24 GAAP Amortization Restructuring related costs restructuring non-GAAP Net sales 8,254 8,254 Gross margin 4,593 28 74 4,694 % of sales 55.6% 0.3% 0.9% 56.9% R&D 775
Slide 15: Glossary and definitions
Glossary and definitions Abbreviation Elaboration Organic sales growth Total net sales less the impacts of foreign currency and sales from business AWC Advanced Wound Care acquisitions or divestitures for the first 12 months post-transaction FCF Free cash flow Adjusted operating income Operating inc