Slide 1: Q1 2023 Highlights
Q1 2023 Highlights April 26, 2023 1 Q1 2023 Financial & Operational Highlights | April 26, 2023
Slide 2: Safe Harbor for Forward-Looking Statements and Use of Document
Safe Harbor for Forward-Looking Statements and Use of Document Safe Harbor for forward-looking statements: This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward- looking st
Slide 3: Q1 2023 Highlights
Q1 2023 Highlights Financial Highlights Operational Highlights • Net sales growth: • Received U.S. Food and Drug Administration (FDA) clearance and launched in the U.S. and Japan the LithoVue™ Elite Single-Use Digital • +12.0% reported, +14.9% operational*, +14.0% Flexible Ureteroscope System. organ
Slide 4: WW Reported Net Sales by Segment and Business
WW Reported Net Sales by Segment and Business Q1 2023 Reported Net Sales: $3.389B Net sales by Business; Segment Percentage of Total Net Sales MedSurg NM $234M 38% Cardiology Urology $177M EP $469M $548M CRM Cardiology $1.606B $291M Watchman Endo $577M $591M Interventional Cardiology Therapies (ICTx
Slide 5: MedSurg Performance Summary
MedSurg Performance Summary Measure Q1 2023 Q1 2022 Change Y/Y ($ in millions) Reported Net Sales $1,280M $1,153M +11.0% Operating Income* % 31.9% 29.9% +200 bps * Represents operating income as a percentage of operational net sales, both excluding the impact of foreign currency. This measure is rep
Slide 6: Cardiovascular Performance Summary
Cardiovascular Performance Summary Measure Q1 2023 Q1 2022 Change Y/Y ($ in millions) Reported Net Sales $2,110M $1,873M +12.7% Operating Income* % 26.4% 22.0% +440 bps * Represents operating income as a percentage of operational net sales, both excluding the impact of foreign currency. This measure
Slide 7: 2022 Highlights
2022 Highlights Investing in Accelerating Protecting the Creating Value Transforming Care Our People Possibilities Environment Responsibly 33+ million 80% $67 million patients served overall employee engagement score donated to fund 76% medical research, 2 fellowships, education renewable electricit
Slide 8: Q1 2023 Net Sales vs. Q1 2022
Q1 2023 Net Sales vs. Q1 2022 Q1:23 Reported Organic* Growth Net Sales vs Q1:22 (in millions) Endoscopy $577 11% Urology $469 16% Neuromodulation $234 14% MedSurg $1,280 13% Interventional Cardiology Therapies $591 13% Watchman $291 29% Cardiac Rhythm Management $548 8% Electrophysiology $177 31% Ca
Slide 9: Income Statement Information
Income Statement Information Non-GAAP Reconciliation Three Months Ended March 31, 2023 (unaudited) Restructuring Acquisition / and Divestitures- Restructuring- Investment Related Net Related Net Portfolio EU MDR Deferred Tax GAAP Amortization Charges Charges Net Losses Implementation Expenses Discre
Slide 10: Working Capital & Cash Flow Metrics
Working Capital & Cash Flow Metrics Days Sales Outstanding (DSO) Adjusted Free Cash Flow* Mar Dec Sep Jun Mar Q1 Q1 2023 2022 2022 2022 2022 2023 2022 55 56 54 54 55 $229M $70M Days Inventory on Hand (DIOH) Capital Expenditures Mar Dec Sep Jun Mar Q1 Q1 2023 2022 2022 2022 2022 2023 2022 177 170 168
Slide 11: Weighted Average Diluted Shares
Weighted Average Diluted Shares Preferred Dividend to Retire June 1, 2023 Expected Dividend and Share Count P&L Impact: (in millions) BSX Dividend / Share Count FY:22 Q1:23 FY:23E ƚ Preferred Dividend $55.3 $13.8 1H: $23 / 2H: $0 Weighted Average Diluted Shares (excl. issuance) 1,410 1,422 Common St
Slide 12: Use of Non-GAAP Measures
Use of Non-GAAP Measures To supplement Boston Scientific’s consolidated financial statements presented on a GAAP basis, the Company discloses certain non- GAAP financial measures. These measures are not in accordance with generally accepted accounting principles in the United States. A reconciliatio
Slide 13: Appendix A: Net Sales Detail
Appendix A Net Sales Detail 13 Q1 2023 Financial & Operational Highlights | April 26, 2023
Slide 14: Appendix A - Net Sales Detail - MedSurg
Appendix A - Net Sales Detail - MedSurg Three Months Ended March 31, 2023 and 2022 Year-over-Year Change Impact of Foreign Q1 Q1 Currency (in millions) 2023 2022 Reported Basis Fluctuations Operational Basis MEDSURG SEGMENT: ENDOSCOPY UNITED STATES $ 351 $ 312 12.7 % — % 12.7 % INTERNATIONAL 226 220
Slide 15: Appendix A - Net Sales Detail - Cardiovascular
Appendix A - Net Sales Detail - Cardiovascular Three Months Ended March 31, 2023 and 2022 Year-over-Year Change Impact of Foreign Q1 Q1 Currency (in millions) 2023 2022 Reported Basis Fluctuations Operational Basis CARDIOVASCULAR SEGMENT: ICTx UNITED STATES $ 183 $ 186 (1.7) % — % (1.7) % INTERNATIO
Slide 16: Appendix B: Additional Information - Statement of Operations
Appendix B Additional Information - Statement of Operations 16 Q1 2023 Financial & Operational Highlights | April 26, 2023
Slide 17: Appendix B - Statement of Operations: Profitability Margins
Appendix B - Statement of Operations Profitability Margins Three Months Ended Adjusted Gross Margin 3/31/2023 3/31/2022 Basis Points Change Gross Margin, as reported 69.3 % 68.4 % 90 Non-GAAP adjustments 1.1 % 1.9 % Gross Margin, adjusted 70.4 % 70.3 % 20 Three Months Ended Adjusted Operating Margin
Slide 18: Appendix C: Additional Non-GAAP Reconciliations
Appendix C Additional Non-GAAP Reconciliations 18 Q1 2023 Financial & Operational Highlights | April 26, 2023
Slide 19: Additional Non-GAAP Reconciliations: Adjusted Free Cash Flow
Appendix C - Additional Non-GAAP Reconciliations Three Months Ended Adjusted Free Cash Flow (in millions) 3/31/2023 3/31/2022 Cash provided by (used for) operating activities $ 190 $ (58) Purchases of property, plant and equipment and internal use software (111) (121) Proceeds from sale of of proper
Slide 20: Reconciliation of Debt to Adjusted EBITDA
Appendix C - Additional Non-GAAP Reconciliations 12 Months Ended Reconciliation of Debt to Adjusted EBITDA (in millions) Q2 2022 Q3 2022 Q4 2022 Q1 2023 3/31/2023 Net income (loss) $ 260 $ 188 $ 140 $ 314 $ 901 Income tax (benefit) expense 85 57 256 131 529 Interest expense 64 63 64 65 255 Interest
Slide 21: Additional Non-GAAP Reconciliations
Appendix C - Additional Non-GAAP Reconciliations 3 Months Ended Estimated Below-the-Line Expenses (in millions) FY 2023 Electrophysiology International Net Sales Growth 3/31/2023 Non-Operating Income (Loss), as reported $ 360 Net sales growth, as reported 34 % Non-GAAP adjustments (20) Impact of for
Slide 22: Additional Non-GAAP Reconciliations: Net Sales Growth
Appendix C - Additional Non-GAAP Reconciliations Impact of Impact of Foreign Recent Q1 Q1 As Reported Currency Operational Acquisitions / Organic (in millions) 2023 2022 Basis Fluctuations Basis Divestitures Basis ENDOSCOPY $ 577 $ 531 8.6 % 2.9 % 11.5 % — % 11.5 % UROLOGY 469 413 13.5 % 2.1 % 15.6
Slide 23: BSX: Acronym Reference Guide
BSX: Acronym Reference Guide 23 Q1 2023 Financial & Operational Highlights | April 26, 2023