Quidelortho Corporation · NASDAQ:QDEL
Quidelortho — Investor Day (December 2022)
96 slides from Quidelortho's investor day presentation, Dec 13, 2022
Slide 1: QuidelOrtho Investor Day
December 13, 2022 QuidelOrtho Investor Day
Slide 2: Welcome and Cautionary Language
Welcome and Cautionary Language
Slide 3: Forward-Looking Statements
© 2022. All Rights Reserved. 3 Forward-Looking Statements Forward-Looking Statements: The presentations of QuidelOrtho Corporation (“QuidelOrtho” or the “Company”) during today’s Investor Day contain “forward- looking statements” within the meaning of the Private Securities Litigation Reform Act of
Slide 4: Supplemental Combined Financial Measures and Non-GAAP Financial Measures
© 2022. All Rights Reserved. 4 Supplemental Combined Financial Measures and Non-GAAP Financial Measures Supplemental Combined Financial Measures: Certain presentations contain unaudited supplemental combined financial information (“Supplemental Combined Information”) that gives effect to the Combina
Slide 5: QuidelOrtho Transforming the Power of Diagnostics
QuidelOrtho Transforming the Power of Diagnostics Douglas Bryant President & Chief Executive Officer
Slide 6: Objectives for Today
© 2022. All Rights Reserved. 6 Objectives for Today • Strong Business: We are an in vitro diagnostics leader with growth opportunities in our Point of Care, Molecular Diagnostics, Labs and Transfusion Medicine businesses • Executing on Integration: Integration is going smoothly, the two organization
Slide 7: Who You’ll Hear From Today
© 2022. All Rights Reserved. 7 Who You’ll Hear From Today Bryan Hanson Pat Klein Werner Kroll, PhD Labs Chief Administrative Senior Vice President Business Unit Leader Officer Research & Development Bill Ferenczy Rob Bujarski Point of Care Michael Iskra Executive Vice Business Unit Leader Executive
Slide 8: Strategic Intent
© 2022. All Rights Reserved. 8 Strategic Intent: Transforming the Power of Diagnostics Into a Healthier Future for All Integration and Culture Unite the people, processes and products of QuidelOrtho to accelerate innovation, expand commercial reach and improve patient outcomes across the healthcare
Slide 9: QuidelOrtho
@® QuidelOrtho-
Slide 10: Imagining a Better Future Together
Imagining a Better Future … Together Pat Klein Chief Administrative Officer
Slide 11: To Deliver Our Integration Goals, Our Program Is Structured to …
© 2022. All Rights Reserved. 11 To Deliver Our Integration Goals, Our Program Is Structured to … RETAIN & DRIVE HARMONIZE & ENGAGE OUR PRODUCT ENHANCE OUR PEOPLE INNOVATION & PROCESSES & COMMERCIAL SYSTEMS EXCELLENCE
Slide 12: Overall Integration Goal and Journey Milestones
© 2022. All Rights Reserved. 12 Overall Integration Goal Is to Create a Company of Purpose That Enriches and Saves Lives With A Culture That Promotes Employees First and Prioritizes Actions That Support Happy, Inspired and Engaged Team Members Future State Ongoing Business Interim State Integration
Slide 13: The QuidelOrtho Way
© 2022. All Rights Reserved. 13 Cultural Statement The QuidelOrtho Way Imagining a Better Future … Together We believe we are better together, in a team where everyone is welcome to thrive and where diverse perspectives are encouraged and authenticity is expected. We are committed to our employees F
Slide 14: Where We Are
© 2022. All Rights Reserved. 14 Where We Are Our global footprint is comprised of 6,000+ employees in 130+ countries EMEA 1,318 NA 4,207 Greater China 479 Market serviced by QuidelOrtho LATAM ASPAC* 364 609 Headquarters Manufacturing and Distribution Regional Offices *ASPAC includes Japan
Slide 15: How Our Employees Are Feeling
© 2022. All Rights Reserved. 15 How Our Employees Are Feeling Our employee survey results indicate positive employee sentiment around engagement, retention and workplace experience Global Participation Trending Positive: My Manager Above Threshold +75% 71% • Intent to Stay – 81% • Engagement – 78% •
Slide 16: Building on Positive Momentum Into 2023
Building on Positive Momentum Into 2023
Slide 17: QuidelOrtho
@® QuidelOrtho-
Slide 18: Setting the Strategic Business Direction
Setting the Strategic Business Direction Rob Bujarski Executive Vice President & Chief Operating Officer
Slide 19: Our World Is Changing
Our World Is Changing 9.7B people will inhabit the BY 2.520BILLION 50 THERE 5.07 BILLION 4 .6 BILLION world in 20502 WADDITIONAL ILL BE A N PEOPLE PEOPLEARE A RE APEOPLE DDITIONA L WILL CONNECTED TO CONNECTED TO 6 in 10 adults LIVE IN CITIES 2.5 BILLION THE INTERNET THE INTERNET in U.S. have a Leads
Slide 20: Technology Is An Accelerant
Technology Is An Accelerant 91% Of World’s Population Has A Mobile Phone 1 63% Of World’s Population Is Connected To The Internet 2 Source: 1. Bank My Cell 2. Data Reportal
Slide 21: Healthcare Is Changing Demand Resources
Healthcare Is Changing Demand Resources 39% Of the adults exceed +50% a healthy weight Of the world’s population doesn’t have access to 2x health services2 As many people over the age of 60 by 2050 10M More healthcare workers 26% will be needed by 20303 GDP spent on healthcare by 20401 Source: 1. De
Slide 22: Reliable real-time intelligence has never been more critical.
Reliable real-time intelligence has never been more critical. 70% of clinical decisions are made from in-vitro diagnostics (IVD) test results 1 Source: 1. MedTech Drive
Slide 23: Our Industry Is At An Inflection Point
© 2022. All Rights Reserved. 23 Our Industry Is At An Inflection Point DECENTRALIZED CENTRALIZED HOME RETAIL AMBULATORY CLINICS & SPECIALTY SETTINGS HOSPITALS REFERENCE LABS OTC Consumer-Oriented Physician Urgent Surgical Micro- Free Sexual Small-Medium Large Donor National Self Testing Ambulatory N
Slide 24: QuidelOrtho Is Setup to Meet These Opportunities
© 2022. All Rights Reserved. 24 QuidelOrtho Is Setup to Meet These Opportunities DECENTRALIZED CENTRALIZED HOME RETAIL AMBULATORY CLINICS & SPECIALTY SETTINGS HOSPITALS REFERENCE LABS OTC Consumer-Oriented Physician Urgent Surgical Micro- Free Sexual Small-Medium Large Donor National Self Testing Am
Slide 25: Each Business Unit Operates Within a Large Area of Opportunity
© 2022. All Rights Reserved. 25 Each Business Unit Operates Within a Large Area of Opportunity Complementary portfolios to drive increased pull-through and deeper customer relationships Clinical Immunoassay Molecular Transfusion Point of Care Chemistry (Central Lab) Diagnostics Medicine $8B $9B $19B
Slide 26: Introducing Our Business Unit and R&D Executives
© 2022. All Rights Reserved. 26 Introducing Our Business Unit and R&D Executives Bryan Hanson Bill Ferenczy Andrew Corkum Tammi Ranalli, PhD Werner Kroll, PhD Labs Point of Care Transfusion Medicine Molecular Diagnostics Senior Vice President Business Unit Leader Business Unit Leader Business Unit L
Slide 27: Labs
Labs Bryan Hanson Labs Business Unit Leader
Slide 28: Diagnostics Continuum
© 2022. All Rights Reserved. 28 Diagnostics Continuum DECENTRALIZED CENTRALIZED HOME RETAIL AMBULATORY CLINICS & SPECIALTY SETTINGS HOSPITALS REFERENCE LABS OTC Consumer-Oriented Physician Urgent Surgical Micro- Free Sexual Small-Medium Large Donor National Self Testing Ambulatory Network OB-GYN IDN
Slide 29: Labs Business Unit
© 2022. All Rights Reserved. 29 Labs Business Unit TTM Total Revenue, Ex-COVID-191 Total Installed Base Integrated Installed Base $1.35B ~14K ~4K +2% y/y2 +4% y/y +11% y/y Product Lines1 Geography1 Category1 Instruments 6% Other 5% Other 22% North America Immunoassay Clinical 52% 37% Chemistry China
Slide 30: Our Role: The cornerstone and catalyst
© 2022. All Rights Reserved. 30 Our Role The cornerstone and catalyst for QuidelOrtho’s global expansion and growth Labs Inflection Point: Our Expansive Product Portfolio Ensures Labs Soaring Testing Demand in Resource Scarce Environment Can Effectively and Efficiently Access Testing 1/2 1 1 14B Lab
Slide 31: Lab Market Is Robust and Projected to Grow
© 2022. All Rights Reserved. 31 Lab Market Is Robust and Projected to Grow at ~4% (Clinical Chemistry) and ~7% (Immunoassay) Projected to Grow at 6% CAGR Projected 5-Year CAGR (2021-2026) 2026E 5-6% Labs Market Instrument Throughput 16% 10% 2021 Ultra-High 13% >70% 75% of the 6% 75% Market Sweet Spo
Slide 32: Clinical Labs Revenue Mix vs. Market Segment Mix
© 2022. All Rights Reserved. 32 Clinical Labs Revenue Mix vs. Market Segment Mix Significant margin and growth opportunity by changing revenue mix 2021 CL Revenue Mix1 2021 Segment Data2 Clinical Immunoassay Chemistry 42% 32% Clinical Chemistry Immunoassay 58% 68% Strength in clinical chemistry Oppo
Slide 33: Installed Base Penetration Within Sweet Spot
© 2022. All Rights Reserved. 33 Installed Base Penetration Within Sweet Spot 90% of installed base below 1M, opportunity to expand IA throughout to drive growth Non-Hospital Hospital Volume Annual Standalone CC Integrated Standalone IA Integrated Integrated Labs Labs Segment Volume 52% 29% 19% Value
Slide 34: Product Development Driving Trajectory
© 2022. All Rights Reserved. 34 Product Development Driving Trajectory ~2023 ~2024 ~2025 - 2030 Growth Within Higher Volume Settings Emerging Market Growth Long-Term Innovations and Expansion Refresh VITROS Systems Low-Cost, Low-Volume Platforms and Software IA Menu Expansion Including Novel and Spe
Slide 35: Key Takeaways
© 2022. All Rights Reserved. 35 Key Takeaways • The Labs business unit is well-positioned and differentiated in a large, growing market with limited threat of new entrants • We believe that VITROS has significant revenue upside due to current market position within sweet spot and favorable revenue a
Slide 36: QuidelOrtho
@® QuidelOrtho-
Slide 37: Point of Care Strategy
Point of Care Strategy
Slide 38: Clarifying Point of Care (POC) Definition and Fit
© 2022. All Rights Reserved. 38 Clarifying Point of Care (POC) Definition and Fit POC Fit True POC testing in near-patient settings (ER, Phys Office, Home) Test performed near patient Product Design Can be run by non-lab personnel Based on Our Low-volume testing in laboratory settings Definition of
Slide 39: Diagnostics Continuum
© 2022. All Rights Reserved. 39 Diagnostics Continuum DECENTRALIZED CENTRALIZED HOME RETAIL AMBULATORY CLINICS & SPECIALTY SETTINGS HOSPITALS REFERENCE LABS OTC Consumer-Oriented Physician Urgent Surgical Micro- Free Sexual Small-Medium Large Donor National Self Testing Ambulatory Network OB-GYN IDN
Slide 40: Point of Care Business Unit
© 2022. All Rights Reserved. 40 Point of Care Business Unit TTM Total Revenue, Ex-COVID-191 Sofia Cumulative Net Placements Triage Cumulative Net Placements $463M ~83K ~13K (28%) y/y2 +3K y/y +1K y/y Product Lines1 Geography1 Category1 China Other Instruments 6% 5% 1% EMEA QuickVue Other 17% 8% 7% S
Slide 41: COVID-19 Was Just the Beginning, Demand for Point of Care Continues to Grow
© 2022. All Rights Reserved. 41 COVID-19 Was Just the Beginning, Demand for Point of Care Continues to Grow Growth in Segments We Currently Serve and COVID-19 Has Become the Launchpad for in Adjacent Areas Targeted for Expansion Dramatic Expansion and Wide POC Acceptance $8B Market 7% CAGR 2021 – 20
Slide 42: Bring a Broader Menu to More People in More Places
© 2022. All Rights Reserved. 42 Our Differentiator Combined QuidelOrtho with new and unmatched capabilities Expanded Portfolio New and Emerging Testing Expansive Global Footprint Deep POC Expertise and POC Synergies Area Opportunities and Established Channels • Proven track record in the design of •
Slide 43: Growth Driving Trajectory
© 2022. All Rights Reserved. 43 Growth Driving Trajectory Near-Term (0-18 Months) Mid-Term (18-24 Months) Long-Term (24 Months+) Secure/Expand RV Business Leverage and Expand Customer Base Novel Platform Developments • Capitalize on high RSV, flu and COVID-19 Engage Sofia Customer Base to Toxicology
Slide 44: Key Takeaways
© 2022. All Rights Reserved. 44 Key Takeaways • The COVID-19 pandemic accelerated demand, acceptance and adoption for POC • QuidelOrtho now has the commercial horsepower, customer segment alignment and range of solutions critical to market leadership in POC • Significant opportunity to leverage curr
Slide 45: QuidelOrtho
@® QuidelOrtho-
Slide 46: Transfusion Medicine Strategy
Transfusion Medicine Strategy
Slide 47: Diagnostics Continuum
© 2022. All Rights Reserved. 47 Diagnostics Continuum DECENTRALIZED CENTRALIZED HOME RETAIL AMBULATORY CLINICS & SPECIALTY SETTINGS HOSPITALS REFERENCE LABS OTC Consumer-Oriented Physician Urgent Surgical Micro- Free- Sexual Small-Medium Large Donor National Self Testing Ambulatory Network OB-GYN ID
Slide 48: Transfusion Medicine
© 2022. All Rights Reserved. 48 Transfusion Medicine Global leader in immunohematology and North America leader in blood donation testing Pioneer of blood typing and infectious disease screening with rich legacy of innovation Well positioned for growth with existing customer base along with expansio
Slide 49: Our Differentiator
© 2022. All Rights Reserved. 49 Our Differentiator Vein to Vein: Spanning the entire Transfusion Medicine continuum Testing TWICE to Help Ensure Transfusion Safety & Efficacy Industry-Leading Accuracy & Precision From Donor to Patient: • Minimizes risk at critical points across the testing journey •
Slide 50: Our Role: The lifeblood, powering the long-term health of QuidelOrtho
© 2022. All Rights Reserved. 50 Our Role The lifeblood, powering the long-term health of QuidelOrtho Razor Blade Model Generates Continued 118M Growth With Recurring Revenue Stream 118.5M Blood donations globally, and Stable Repeat Customer Base A Perpetual Need ~354M units transfused A Perpetual Ne
Slide 51: Our Drive: A history of firsts
© 2022. All Rights Reserved. 51 Our Drive A history of firsts that meet evolving market needs 1947 1989 1993 2006 2009 2016 2020 Need: Need: Need: Need: Need: Need: Rise of infectious disease Need: Protect Rh-negative women Prevalence of Cost-effective tech that Rise of infectious disease, Millions
Slide 52: Transfusion Medicine Business Unit
© 2022. All Rights Reserved. 52 Transfusion Medicine Business Unit TTM Total Revenue Automated IH Installed Base The Global Market Share Leader $675M ~6.7K 29% 2 +6% y/y1 +4% y/y Ranked #1 globally Product Lines1 Geography1 Category1 Instruments 6% Other Donor 17% Screening 24% China 8% North Americ
Slide 53: Market Share by Segment
© 2022. All Rights Reserved. 53 Market Share by Segment The market is ripe for expansion and growth 2022 TM Revenue Mix 2022 Market Segment IH Market Penetration Share of Account Number Donor Screening Share of Revenue Immunohematology $1.3B TAM $960M TAM QO 39% QO 15% QuidelOrtho IH DS Penetration
Slide 54: Answering New Needs and Driving New Growth
© 2022. All Rights Reserved. 54 Answering New Needs and Driving New Growth New Needs Diagnostic Access to More People in More Places | Do More With Less | Navigate Complex Global Regulations Future Growth Drivers Automated Menu and Assays Donor Screening (DS) Immunohematology (IH) Digital Solutions
Slide 55: Key Takeaways
© 2022. All Rights Reserved. 55 Key Takeaways • Transfusion Medicine is the lifeblood of the organization, powering long-term health with reliable and recurring revenue • As the global market leader, we’re well-positioned to address new market needs with near-term product launches and investments in
Slide 56: QuidelOrtho
@® QuidelOrtho-
Slide 57: Molecular Diagnostics Strategy
Molecular Diagnostics Strategy Tammi Ranalli, PhD Molecular Diagnostics Business Unit Leader
Slide 58: Diagnostics Continuum
© 2022. All Rights Reserved. 58 Diagnostics Continuum DECENTRALIZED CENTRALIZED HOME RETAIL AMBULATORY CLINICS & SPECIALTY SETTINGS HOSPITALS REFERENCE LABS OTC Consumer-Oriented Physician Urgent Surgical Micro- Free Sexual Small-Medium Large Donor National Self Testing Ambulatory Network OB-GYN IDN
Slide 59: Molecular Diagnostics Business Unit
© 2022. All Rights Reserved. 59 Molecular Diagnostics Business Unit TTM Total Revenue 3-Year Savanna Installed Base Target 3-Year Savanna Revenue Run Rate Target2 $133M >6K >$250M $21M Ex-COVID-19 Product Lines1 Geography1 Category1 Other 1% Instruments 11% Savanna EMEA 5% 9% North Other America Rec
Slide 60: Our Role: High-Growth Business With Unique Ability to Flex Across the Continuum
© 2022. All Rights Reserved. 60 Our Role High-Growth Business With Unique Ability to Flex Across the Continuum The Demand is at an All-Time High Unprecedented Need for Flexibility in Testing $9B Market +9% CAGR Decentralization Convergence Across Centralization the Continuum COVID-19 Elevated Awaren
Slide 61: Savanna: Personalized, Prompt & Precise
© 2022. All Rights Reserved. 61 Our Differentiator Personalized, Prompt & Precise Savanna • Less than 25 minutes from sample to result without sacrificing quality & performance • Test Select flexible panel sizes & menus for personalized patient & segment testing along with mitigation of reimbursemen
Slide 62: Savanna’s Edge vs. Competitors
© 2022. All Rights Reserved. 62 Savanna’s Edge vs. Competitors • Broader analyte coverage across fewer cartridges LAB/POC • No price-prohibitive service Competitor 1 contracts • Faster time to result • Faster time to result • True sample to answer: No hands-on Syndromic VS Panel • Test Select offers
Slide 63: Our Growth Driving Trajectory
© 2022. All Rights Reserved. 63 Our Growth Driving Trajectory Now Available Near-term Long-term (In Development*) Global Market Focused Pilot Further Global Penetration & Expansion Austria Germany Italy EMEA NA LATAM ASPAC Product Pipeline Respiratory Viral HSV Panel STI Panel Respiratory Viral GI P
Slide 64: Key Takeaways
© 2022. All Rights Reserved. 64 Key Takeaways • Molecular Diagnostics acts as our high-growth business with a unique ability to flex across the continuum • The molecular diagnostic market remains a high-growth market beyond COVID-19. Key segments we are targeting with Savanna include sexual health,
Slide 65: QuidelOrtho
@® QuidelOrtho-
Slide 66: Innovating at the Speed of Light
Innovating at the Speed of Light Werner Kroll, PhD Senior Vice President, Research & Development
Slide 67: QuidelOrtho Set to Address Key Market Trends
© 2022. All Rights Reserved. 67 QuidelOrtho Set to Address Key Market Trends Trends Implications 1 Decentralization of care and testing Rising demand for diagnostic testing: Increase of • Manage chronic conditions 2 preventive medicine • New diagnostic tests to support recently discovered markers Po
Slide 68: QuidelOrtho Project Pipeline
© 2022. All Rights Reserved. 68 QuidelOrtho Project Pipeline Phase 0 Ideation Business Units Phase 1 Feasibility Phase 2 Design Optimization Phase 3 Phase 4/EUAs V&V/Clinical Regulatory Review & Launch Labs Legend Point of Care Assay Instrument Molecular Software Diagnostics Transfusion Medicine Lau
Slide 69: QuidelOrtho Set to Address Key Market Trends
© 2022. All Rights Reserved. 69 QuidelOrtho Set to Address Key Market Trends Trends Implications 1 Decentralization of care and testing Rising demand for diagnostic testing: Increase of • Manage chronic conditions 2 preventive medicine • New diagnostic tests to support recently discovered markers Po
Slide 70: QuidelOrtho Project Pipeline
© 2022. All Rights Reserved. 70 QuidelOrtho Project Pipeline Phase 0 Ideation Business Units Phase 1 Feasibility Phase 2 Design Optimization Phase 3 Phase 4/EUAs V&V/Clinical Regulatory Review & Launch Labs Legend Point of Care Assay Instrument Molecular Software Diagnostics Transfusion Medicine Lau
Slide 71: QuidelOrtho
@® QuidelOrtho-
Slide 72: Boosting Growth Through Commercial Excellence
Boosting Growth Through Commercial Excellence Michael Iskra Executive Vice President & Chief Commercial Officer
Slide 73: Strategic Priorities
© 2022. All Rights Reserved. 73 Strategic Priorities Integration and Culture Unite the people, processes and products of QuidelOrtho to accelerate innovation, expand commercial reach and improve patient outcomes across the healthcare continuum, within a culture of speed, happiness, and engagement. P
Slide 74: Customer Excellence Improves Retention and Promotes Growth
© 2022. All Rights Reserved. 74 Customer Excellence Improves Retention and Promotes Growth Investing in our foundation for seamless customer experiences and technological advancements to drive employee satisfaction and customer loyalty Key Differentiators #1 in Service 7 Years in a Row Increased Fas
Slide 75: Commercial Enablement Will Accelerate Growth and Competitive Advancements
© 2022. All Rights Reserved. 75 Commercial Enablement Will Accelerate Growth and Competitive Advancements Maximizing revenue pull-through with a focused and disciplined go-to-market approach Level 3 360 Degree World Class • Holistic approach across sales and service • Enhance new customer engagement
Slide 76: Extensive Commercial Footprint Drives Global Reach
© 2022. All Rights Reserved. 76 Extensive Commercial Footprint Drives Global Reach Global footprint comprised of 2,800+ commercial sales and service teammates that reach customers in 130+ countries EMEA 554 NA 1,067 Greater China 399 LATAM ASPAC* Market serviced 364 475 by QuidelOrtho Note: Includes
Slide 77: Combined QuidelOrtho Portfolio Presents Outsized Market Potential
© 2022. All Rights Reserved. 77 Combined QuidelOrtho Portfolio Presents Outsized Market Potential The strength of our global footprint and combined product bag will enable us to deliver on our commercial strategy and ambitions Revenue creation through Enhanced distribution Strengthened global cross-
Slide 78: QuidelOrtho
@® QuidelOrtho-
Slide 79: Financials
Financials Joe Busky Chief Financial Officer
Slide 80: Key Messages
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 80 Key Messages Multiple growth drivers position QuidelOrtho to sustainably grow at an HSD growth rate Strong recurring revenue and shifting mix to higher margin segments will enable us to maintain top-tier margins while invest
Slide 81: 3Q 2022 YTD Results & FY 2022 Guidance Recap
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 81 3Q 2022 – YTD Results & FY 2022 Guidance Recap1 3Q 2022 – YTD Results Summary Total Revenue Revenue Growth, Adjusted EBITDA Adjusted EPS Ex-COVID-192 $3.2B $1.3B3 $11.993 +26% y/y1 +8% y/y3 40.8% margin1 +41% y/y1 FY 2022 Su
Slide 82: Ahead of Cost Synergy Target
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 82 Ahead of Cost Synergy Target Identified and started executing on more than $50M in cost synergies Realized Synergies (partial year): Duplicative costs: 2023 Board of directors Executives (CEO, CFO, GC, R&D) Senior management
Slide 83: Strong Cash Flow and Balance Sheet Provides Flexibility and Stability
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 83 Strong Cash Flow and Balance Sheet Provides Flexibility and Stability 3Q 2022 – YTD Cash Flow1 3Q 2022 Balance Sheet $679M Operating Cash Flow1 $284M Cash & ~1.4x Marketable Securities $709M Recurring Net Debt to Adjusted EB
Slide 84: Capital Deployment
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 84 Capital Deployment: Strong Balance Sheet and Cash Generation Give Us the Flexibility to Allocate Funds Toward Several Capital Deployment Priorities Support menu expansion and development R&D Investment of innovative new inst
Slide 85: Our Framework for Long-Term Value Creation
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 85 Our Framework for Long-Term Value Creation Key Business Attributes Long-Term Financial Drivers Revenue/ Continuous development of new instruments Pure play IVD company Installed Base while expanding test menus from home to h
Slide 86: $48B Total Addressable Market Delivers 5-7% Steady-State Growth
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 86 $48B Total Addressable Market Delivers 5-7% Steady-State Growth1 1. 2021 market sizes excluding COVID-19 revenue; Sourced from 2022 IQVIA Market Book
Slide 87: Execution of Strategic Priorities Will Position QuidelOrtho for Strong Growth
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 87 Execution of Strategic Priorities Will Position QuidelOrtho for Strong Revenue and Earnings Growth Strategic Priorities 3-Year Outlook (2023-2025) Integration and Culture 6-9%1 27-29% DD CAGR 2025 adjusted Adjusted EPS Produ
Slide 88: Growth and Margin Profile Are Misaligned With Valuation
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 88 Growth and Margin Profile Are Misaligned With Valuation FY 22E-FY 25E Revenue Growth1,3 FY 23E EV/EBITDA Multiple3 QDEL QDEL Peers Consensus 3-Yr Outlook 16.1x 16.9x 6-9% 7% 6% 11x FY 23E EBITDA Margin2,3 29% 29% Peers QDEL
Slide 89: Q&A
Q&A
Slide 90: quidelortho.com
quidelortho.com
Slide 91: Appendix
@® QuidelOrtho”
Slide 92: Business Unit Trailing 12-month Revenue
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 92 Business Unit Trailing 12-month Revenue Revenue Excluding COVID-19 Revenue Trailing 12-months as of 3Q22 and 3Q21 Percent Currency Constant In millions 2022 2021 Change Impact Currency Labs $ 1,345.0 $ 1,337.7 0.5% (1.9%) 2.
Slide 93: Supplemental Combined Revenue by Business Unit
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 93 Supplemental Combined Revenue by Business Unit (Year-to-Date)1 Year to date Percent Currency Constant Less: COVID-19 Constant Currency (a) In millions 3Q 2022 3Q 2021 Change Impact revenue impact Currency (a) ex COVID-19 rev
Slide 94: Non-GAAP Reconciliations – Adjusted Net Income
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 94 Non-GAAP Reconciliations – Adjusted Net Income Year to date In millions, except per share data 3Q 2022 Diluted EPS 3Q 2021 Diluted EPS Net income $ 518.4 $ 9.56 $ 412.9 $ 9.72 Adjustments: Amortization of intangibles 78.6 20
Slide 95: Non-GAAP Reconciliations – Adjusted EBITDA
QuidelOrtho – Proprietary & Confidential. | © 2022. All Rights Reserved. 95 Non-GAAP Reconciliations – Adjusted EBITDA Year to date In millions 3Q 2022 3Q 2021 Net income $ 518.4 $ 412.9 Depreciation and amortization 167.0 37.3 Interest expense, net 41.0 4.7 Provision for income taxes 176.4 112.1 Lo
Slide 96: quidelortho.com
quidelortho.com