Bausch Health Companies Inc. · TSX:BHC
Bausch Health Companies — Q4 2021 Earnings Presentation
86 slides from Bausch Health Companies's earnings presentation, Feb 23, 2022
Slide 1: 4Q & FY 2021 Financial Results
4Q & FY 2021 Financial Results
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking information and statements, within the meaning of applicable securities laws matters and a possible shareholder vote, if applicable), that market or other conditions are no longer favorable to completing the (collectively, “forwar
Slide 3: Non-GAAP Information
Non-GAAP Information To supplement the financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), the Company uses certain non-GAAP financial measures and rates including (i) Adjusted EBITDA, (ii) Adjusted EBITA, (iii) Adjusted EBITA Margin, (iv) Adjusted Gr
Slide 4: Today's Topics
Strategic Alternatives Today’s 1 Update 2021 Highlights & 2 Topics 3 Financial Results FY 2022 Guidance 4 Business Results 3
Slide 5: Strategic Alternatives Update
Strategic Alternatives Update 4
Slide 6: Accelerating Strategic Alternatives to Drive Shareholder Value
Accelerating Strategic Alternatives to Drive Shareholder Value 1 Complete financial segmentation of Bausch + Lomb and Solta Medical Appoint leadership of Bausch Pharma2, Bausch + Lomb and Solta Medical Significant debt paydown of ~$1.84B since announcement of strategic alternatives process3 Substant
Slide 7: Focused on Leverage Improvement and Delivering Shareholder Value
Focused on Leverage Improvement and Delivering Shareholder Value 1 Cash generated from Amoun divestiture Bausch + Lomb Net Leverage Targeting Less Than IPO of Bausch + Lomb3 2.5x at time of spin-off Bausch + Lomb debt raise3 IPO of Solta Medical3 Bausch Pharma2 Net Leverage Targeting Remaining value
Slide 8: 2021 Highlights & Financial Results
2021 Highlights & Financial Results 7
Slide 9: Bausch Health 2021 Update
Bausch Health 2021 Update Executing Our Business • Total company organic revenue growth 1,2 was 6% vs. FY20 and 3% vs. 4Q20 • Strong cash flow: $1,426M of cash generated from operations (GAAP) during FY21 and $24M during 4Q21; $1,657M3 adjusted cash flows from operations (non-GAAP)1 during FY21 and
Slide 10: 4Q21 and FY21 Revenue Results
4Q21 and FY21 Revenue Results Three Months Ended Favorable (Unfavorable) Twelve Months Ended Favorable (Unfavorable) Organic Organic 12.31.21 12.31.20 Reported 12.31.21 12.31.20 Reported Change 1,2 Change 1,2 Bausch + Lomb 3 Segment $1,001M $947M 6% 7% $3,765M $3,415M 10% 9% Global Vision Care $227M
Slide 11: 4Q Financial Results
4Q 21 Financial Results Three Months Ended Favorable (Unfavorable) Constant Organic 12.31.21 12.31.20 Reported Currency1,2 Change1,3 Revenues $2,196M $2,213M (1%) 0% 3% GAAP Net Income (Loss) $69M ($153M) Adj. Net Income (non-GAAP)1 $463M $478M (3%) (3%) Diluted Shares Outstanding 5 364.1M 359.0M GA
Slide 12: FY Financial Results
FY 21 Financial Results Twelve Months Ended Favorable (Unfavorable) Constant Organic 12.31.21 12.31.20 Reported Currency1,2 Change1,3 Revenues $8,434M $8,027M 5% 4% 6% GAAP Net Loss ($948M) ($560M) Adj. Net Income (non-GAAP)1 $1,602M $1,428M 12% 7% Diluted Shares Outstanding 5 363.8M 358.2M GAAP EPS
Slide 13: 4Q 21 Financial Results
This slide contains the same information as set out in Slide 10 but has been supplemented to include additional GAAP financial measures and ratios. 4Q 21 Financial Results Three Months Ended Favorable (Unfavorable) Constant Organic 12.31.21 12.31.20 Reported Currency1,2 Change1,3 Revenues $2,196M $2
Slide 14: FY 21 Financial Results
This slide contains the same information as set out in Slide 11 but has been supplemented to include additional GAAP financial measures and ratios. FY 21 Financial Results Twelve Months Ended Favorable (Unfavorable) Constant Organic 12.31.21 12.31.20 Reported Currency1,2 Change1,3 Revenues $8,434M $
Slide 15: FY Cash Flow Summary
FY 21 Cash Flow Summary Three Three Twelve Months Twelve Months Months Months Ended Ended Ended Ended 12.31.21 12.31.20 12.31.21 12.31.20 Net income (loss) 1 $72M ($152M) ($937M) ($559M) $1,426M of cash generated from operations (GAAP) during FY21; $1,657M 5 Net cash provided by $24M $394M $1,426M $
Slide 16: FY Balance Sheet Summary
FY 21 Balance Sheet Summary As of As of As of As of As of 12.31.21 9.30.21 6.30.21 3.31.21 12.31.20 Cash, cash equivalents, restricted $2,119M 1 $1,904M1 $1,856M1,7 $1,893M1,7 $1,816M1 cash and other settlement deposits Revolving Credit Drawn $285M $0M $0M $0M $0M Senior Secured Debt2 $7,958M $7,673
Slide 17: Long-Term Debt Maturity Profile as of December 31, 2021
Long-Term Debt Maturity Profile as of December 31, 20211,2 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 Total Debt Maturities $0 $285M $0 $5,573M $0 $500M $1,600M $0 $0 $0 $7,958M (Secured) Debt Maturities $0 $0 $0 $4,150M $1,500M $1,750M $2,012M $3,250M $1,250M $1,000M $14,912M (Unsecured) Man
Slide 18: FY 2022 Guidance
FY 2022 Guidance BAUSCH Health
Slide 19: Full-Year 2022 Revenue and Adjusted EBITDA Guidance Bridge
Full-Year Bausch Health 2022 Revenue and Adjusted EBITDA (non-GAAP)1,2,3 Guidance Bridge2,3 2021 Actual Currency Impact Divestitures and Discontinuations LOE Base Performance Feb. Guidance Revenue Revenue $8.40B +3% to +5% $8.43B to 2022 Total Company Approx. $8.60B -$95M Organic Revenue Approx. -$1
Slide 20: Full-Year 2022 Revenue and Adjusted EBITDA Guidance
Bausch Health Full-Year 2022 Revenue and Adjusted EBITDA (non-GAAP)1 Guidance3,4 Current Guidance (February 2022) Total Revenues $8.40B - $8.60B Adj. cash flows from operations Adjusted EBITDA (non-GAAP) 1,7 $3.45B - $3.60B (non-GAAP)1 for 2022 is expected to be ~$1.7B5,10 Current Guidance Key Assum
Slide 21: Business Results
Business Results BAUSCH Health
Slide 22: Bausch + Lomb 4Q21 and FY21 Highlights
Bausch + Lomb5 4Q21 and FY21 Highlights Global Vision Care • Global Vision Care saw 18% reported revenue growth vs. FY20 and 7% vs. 4Q20, driven by markets re-opening after 2020 FY21 Reported Revenue: +10% • U.S.: +22% organic revenue growth1,2 vs. FY20 and 21% reported revenue 4Q21 Reported Revenue
Slide 23: LUMIFY: Leveraging a Fully Integrated Platform
LUMIFY®: Leveraging a Fully Integrated Platform Differentiated Product Unique formulation that works differently4 6 clinical studies with over 600 patients Education and Awareness Collaboration with eye care professional advocacy Strong TV, PR and social Optometrists / Ophthalmologists media
Slide 24: Bausch + Lomb Continued Growth
Bausch + Lomb Continued Growth Bausch + Lomb U.S. Vision Care Dollar % U.S. Bausch + Lomb Consumer Consumption VYZULTA® U.S. TRx Trend2 Change Year-Over-Year (Field Consumption)1 % Change Year-Over-Year3 7,000 60% 16% 6,000 13% COVID-19 Pantry 40% Loading 12% 5,000 4,000 20% 8% 3,000 0% 4% 2,000 4%
Slide 25: Bausch Pharma 4Q21 and FY21 Highlights
Bausch Pharma 4Q21 and FY21 Highlights Salix • Salix saw 9% reported revenue growth vs. FY20 and 6% vs. 4Q20, driven by demand for XIFAXAN®, TRULANCE® and RELISTOR® FY21 Reported Revenue4: +1% • Driving Pipeline Advancements: 4Q21 Reported Revenue4: (6%) • Initiated Phase 3 clinical trial of rifaxim
Slide 26: Salix 4Q21 and FY21 Highlights
Salix 4Q21 and FY21 Highlights XIFAXAN® • XIFAXAN® saw revenue growth of 11% vs. FY20 and 9% vs. 4Q20 • Highest quarterly revenue reported on record • Growing market share: NRx market share of 87.2% in 4Q21 compared to 85.8% in 4Q20 and 85.2% in 4Q193 • Nursing home COVID-19 headwinds weighing on XI
Slide 27: TRULANCE: Established a $100M+ Brand
TRULANCE®: Established a $100M+ Brand3 Improved Market Access March 2019 • Expanded access for TRULANCE® across Commercial and Medicare Part D $100M+ BHC acquired certain assets of • Removed payer restrictions and/or reduced patient copays brand3 Synergy Pharmaceuticals, Leading to… which included T
Slide 28: Salix: Strong Market Share Gains
Salix: Strong Market Share Gains XIFAXAN® TRx Market Share1,2,3 TRULANCE® TRx Market Share1,2,3 RELISTOR® TRx Market Share1,2,3 90% 10% 20% 8% 7.3% 16% 14.6% 84.9% 13.8% 85% 6.1% 83.3% 6% 12% 4% 8% 80% 2% 4% 75% 0% 0% 2020 TRx Share (%) 2021 TRx Share (%) 2020 TRx Share (%) 2021 TRx Share (%) 2020 T
Slide 29: International Rx 4Q21 and FY21 Highlights
International Rx3 4Q21 and FY21 Highlights Revenue Breakdown by Region4 FY21 Reported Revenue: (1%) 4Q21 Reported Revenue: (17%) EMEA, Russia, CIS Amoun divestiture completed in 3Q21 55.4% Asia Pacific FY21 Organic Revenue1,2: +7% 0.3% 4Q21 Organic Revenue1,2: +7% Canada 19.8% Latin America 24.5% Ca
Slide 30: Solta Medical 4Q21 and FY21 Highlights
Solta Medical 4Q21 and FY21 Highlights 2018-2021 Revenue FY21 Reported Revenue: +22% ~32% $308M CAGR 4Q21 Reported Revenue: +2% $253M $194M FY21 Organic Revenue1,2: +18% $135M 4Q21 Organic Revenue1,2: +2% 2018 2019 2020 2021 Solta Medical Revenue Breakdown3 • Strong performance driven by U.S. which
Slide 31: Company Highlights
Company Highlights 2 Bausch Pharma1 Bausch + Lomb Solta Medical • Differentiated product portfolio across multiple • Strong momentum from key franchises: • Expanding market penetration with new high-growth therapeutic areas PreserVision®, LUMIFY®, ARTELAC®, Bausch + customers in existing markets Lom
Slide 32: Accelerating Strategic Alternatives to Drive Shareholder Value
Accelerating Strategic Alternatives to Drive Shareholder Value 1 Complete financial segmentation of Bausch + Lomb and Solta Medical Appoint leadership of Bausch Pharma2, Bausch + Lomb and Solta Medical Significant debt paydown of ~$1.84B since announcement of strategic alternatives process3 Substant
Slide 33: Appendix
32 BAUSCH Health Appendix
Slide 34: New Segment Structure
New Segment Structure 4Q21 Segment Structure vs. 1Q22 Segment Structure 4Q21 Segment Structure 1Q22 Segment Structure Segment Business Lines Segment Business Lines • Global Vision Care • Global Surgical Bausch + Lomb • Global Consumer • Global Vision Care • Global Ophtho Rx • Global Surgical Bausch
Slide 35: Pipeline and Portfolio Expansion: Late Stage Development
Pipeline and Portfolio Expansion: Late Stage Development1 • SiHy Daily – Launched in Japan, U.S., Australia, Hong Kong, South Korea, Singapore and Canada; Launching SVS into 30+ countries and multi-focal into 5+ countries • Biotrue Hydration Plus Multi-purpose Solution – National U.S. launch expecte
Slide 36: Pipeline and Portfolio Expansion: Late Stage Development
Pipeline and Portfolio Expansion: Late Stage Development1 • Amiselimod S1P2 Modulator3 – Completed the thorough QT study which evaluated the cardiac safety profile; results were positive. Initiated Phase 2 study in Q2 2021 for mild to moderate Ulcerative Colitis • Rifaximin (OHE4) – Topline data fro
Slide 37: Novel Rifaximin Formulations
4 Novel Rifaximin Formulations Unique and novel rifaximin formulations are in development to address unmet medical needs 2019 2020 2021 2022 2023 2024 2025 2026 2027 Rifaximin solid soluble dispersion (SSD) in a tablet1 Phase 3 NDA Approval RED-C Trial Started Expected Combination of rifaximin with
Slide 38: Key Product LOE Q4 2021 vs. Q4 2020 Impact
Key Product LOE Q4 2021 vs. Q4 2020 Impact Product Line with Actual or LOE Rev/Profit LOE Rev/Profit Change Business Unit Anticipated LOE Date1 Q4 2020 Actual Q4 2021 Actual Q4 2020 vs. Q4 2021 Revenue Profit Revenue Profit Revenue Profit • Lotemax Suspension® 2Q19 • Lotemax Gel® 1Q21 Bausch & Lomb
Slide 39: Key Product LOE 2021 Impact vs. 2020
Key Product LOE 2021 Impact vs. 2020 Product Line with Actual or LOE Rev/Profit LOE Rev/Profit Change Business Unit Anticipated LOE Date1 2020 Actual 2021 Actual 2020 vs 2021 Revenue Profit Revenue Profit Revenue Profit • Lotemax Suspension® 2Q19 • Lotemax Gel® 1Q21 Bausch & Lomb $59M $55M $26M $24M
Slide 40: Selected U.S. Businesses Pipeline Inventory Trending (4Q21)
Selected U.S. Businesses Pipeline Inventory Trending (4Q21)1 Months on Hand As of As of As of As of Business Change Change Sep 30, Dec 31, Sep 30, Dec 31, Units 4Q20 4Q21 2020 2020 2021 2021 Derm2 0.97 0.72 (0.25) 1.25 1.03 (0.22) Neuro2 1.10 0.56 (0.54) 1.02 1.17 0.15 Ophtho2,3 0.85 0.73 (0.12) 0.9
Slide 41: Selected U.S. Businesses Pipeline Inventory Trending (YTD)
Selected U.S. Businesses Pipeline Inventory Trending (YTD)1 Months on Hand As of As of As of As of Business Change Change Dec 31, Dec 31, Dec 31, Dec 31, Units YTD20 YTD21 2019 2020 2020 2021 Derm2 0.88 0.72 (0.16) 0.72 1.03 0.31 Neuro2 0.83 0.56 (0.27) 0.56 1.17 0.61 Ophtho2,3 0.71 0.73 0.02 0.73 0
Slide 42: 4Q Financial Results Bausch + Lomb
New disclosure that includes additional GAAP measures 4Q 21 Financial Results Bausch + Lomb 4 Three Months Ended Favorable (Unfavorable) 12.31.21 12.31.20 Reported Constant Currency1,2 Organic Change1,3 +7% Global Vision Care Revenue $227M $213M 7% 8% 9% Bausch + Lomb segment organic revenue growth
Slide 43: 4Q Financial Results Salix
New disclosure that includes additional GAAP measures 4Q 21 Financial Results Salix Three Months Ended Favorable (Unfavorable) 12.31.21 12.31.20 Reported Constant Currency1,2 Organic Change1,3 +6% Salix segment reported and Salix Revenue $559M $527M 6% 6% 6% organic revenue growth 1,3 vs. Total Segm
Slide 44: 4Q Financial Results International Rx
New disclosure that includes additional GAAP measures 4Q 21 Financial Results International Rx 4 Three Months Ended Favorable (Unfavorable) 12.31.21 12.31.20 Reported Constant Currency1,2 Organic Change1,3 +7% International Rx segment International Rx Revenue 4 $276M $333M (17%) (15%) 7% organic rev
Slide 45: 4Q Financial Results Ortho Dermatologics
New disclosure that includes additional GAAP measures 4Q 21 Financial Results Ortho Dermatologics 4 Three Months Ended Favorable (Unfavorable) 12.31.21 12.31.20 Reported Constant Currency1,2 Organic Change1,3 +2% Ortho Dermatologics Revenue 4 $57M $70M (19%) (19%) (19%) Global Solta reported and org
Slide 46: 4Q Financial Results Diversified Products
New disclosure that includes additional GAAP measures 4Q 21 Financial Results Diversified Products 4,5 Three Months Ended Favorable (Unfavorable) 12.31.21 12.31.20 Reported Constant Currency1,2 Organic Change1,3 +16% WELLBUTRIN ®4/APLENZIN ® Neuro & Other Revenue 5 $145M $160M (9%) (9%) (9%) combine
Slide 47: FY Financial Results Bausch + Lomb
New disclosure that includes additional GAAP measures FY 21 Financial Results Bausch + Lomb 4 Twelve Months Favorable (Unfavorable) 12.31.21 Ended 12.31.20 Reported Constant Currency1,2 Organic Change1,3 +9% Bausch + Lomb segment Global Vision Care Revenue $893M $755M 18% 17% 17% organic revenue gro
Slide 48: FY Financial Results Salix
New disclosure that includes additional GAAP measures FY 21 Financial Results Salix Twelve Months Favorable (Unfavorable) 12.31.21 Ended 12.31.20 Reported Constant Organic +9% Currency1,2 Change1,3 Salix segment reported and Salix Revenue $2,074M $1,904M 9% 9% 9% organic revenue growth 1,3 vs. FY20
Slide 49: FY Financial Results International Rx
New disclosure that includes additional GAAP measures FY 21 Financial Results International Rx 4 Twelve Months Favorable (Unfavorable) 12.31.21 Ended 12.31.20 Reported Constant Organic +7% Currency1,2 Change1,3 International Rx segment International Rx Revenue 4 $1,166M $1,181M (1%) (4%) 7% organic
Slide 50: FY Financial Results Ortho Dermatologics
New disclosure that includes additional GAAP measures FY 21 Financial Results Ortho Dermatologics 4 Twelve Months Favorable (Unfavorable) 12.31.21 Ended 12.31.20 Reported Constant Currency1,2 Organic Change1,3 +18% Global Solta organic revenue Ortho Dermatologics Revenue 4 $256M $295M (13%) (13%) (1
Slide 51: FY Financial Results Diversified Products
New disclosure that includes additional GAAP measures FY 21 Financial Results Diversified Products 4,5 Twelve Months Favorable (Unfavorable) 12.31.21 Ended 12.31.20 Reported Constant Currency1,2 Organic Change1,3 (2%) WELLBUTRIN ®4/APLENZIN ® Neuro & Other Revenue 5 $593M $666M (11%) (11%) (10%) com
Slide 52: Other Financial Information (Quarter-to-Date)
Other Financial Information (Quarter-to-Date) Three Months Ended Favorable (Unfavorable) Constant Dec. 31, 2021 Dec. 31, 2020 Reported Currency1,2 Cash Interest Expense $330M $363M 9% 9% Net Interest Expense $342M $377M 9% 10% Non-cash adjustments Depreciation $43M $46M 7% 4% Non-cash share-based Co
Slide 53: Other Financial Information (Year-to-Date)
Other Financial Information (Year-to-Date) Twelve Months Ended Favorable (Unfavorable) Constant Dec. 31, 2021 Dec. 31, 2020 Reported Currency1,2 Cash Interest Expense $1,371M $1,473M 7% 7% Net Interest Expense $1,419M $1,521M 7% 7% Non-cash adjustments Depreciation $177M $180M 2% 3% Non-cash share-b
Slide 54: 4Q Top Products – Total Bausch Health
4Q 21 Top 10 Products – Total BAUSCH Health1 Top 10 products/franchises revenues and trailing five quarters Rank Product/Franchises FY21 4Q21 3Q21 2Q21 1Q21 FY20 4Q20 1 XIFAXAN® $1,645M $451M $426M $402M $366M $1,482M $411M Ocuvite® + 2 $351M $101M $86M $88M $76M $333M $100M PreserVision® 3 SofLens®
Slide 55: 4Q Top Products – Bausch + Lomb
4Q 21 Top 10 Products – Bausch + Lomb1 Top 10 products/franchises revenues and trailing five quarters Rank Product/Franchises FY21 4Q21 3Q21 2Q21 1Q21 FY20 4Q20 Ocuvite® + 1 $351M $101M $86M $88M $76M $333M $100M PreserVision® 2 SofLens® $265M $71M $68M $62M $64M $236M $68M 3 Biotrue® ONEday $194M $
Slide 56: 4Q Top Products – Salix
4Q 21 Top 10 Products – Salix1 Top 10 products/franchises revenues and trailing five quarters Rank Product/Franchises FY21 4Q21 3Q21 2Q21 1Q21 FY20 4Q20 1 XIFAXAN® $1,644M $450M $426M $402M $366M $1,482M $411M 2 RELISTOR® $129M $35M $32M $32M $30M $114M $29M 3 TRULANCE® $103M $29M $25M $28M $21M $82
Slide 57: 4Q Top Products – International Rx
4Q 21 Top 10 Products – International Rx 1,2 Top 10 products/franchises revenues and trailing five quarters Rank Product/Franchises FY21 4Q21 3Q21 2Q21 1Q21 FY20 4Q20 1 Bedoyecta® $57M $15M $19M $12M $11M $45M $15M 2 JUBLIA® $43M $11M $11M $12M $9M $42M $10M 3 Bisocard® $34M $11M $7M $8M $8M $29M $9
Slide 58: 4Q Top Products – Ortho Dermatologics
4Q 21 Top 10 Products – Ortho Dermatologics Top 10 products/franchises revenues and trailing five quarters Rank Product/Franchises FY21 4Q21 3Q21 2Q21 1Q21 FY20 4Q20 1 THERMAGE® $239M $69M $57M $56M $57M $210M $70M 2 JUBLIA®1 $57M $12M $16M $15M $14M $69M $13M 3 SILIQ® $31M $8M $8M $8M $7M $39M $9M
Slide 59: 4Q Top Products – Diversified Products
4Q 21 Top 10 Products – Diversified Products 1 Top 10 products/franchises revenues and trailing five quarters Rank Product/Franchises FY21 4Q21 3Q21 2Q21 1Q21 FY20 4Q20 1 WELLBUTRIN® $254M $72M $66M $63M $53M $271M $67M 2 APLENZIN® $109M $32M $25M $26M $26M $98M $23M 3 ARESTIN® $89M $22M $21M $23M $
Slide 60: Bausch + Lomb Segment Trailing Quarters and Years
New disclosure that includes additional GAAP measures Bausch + Lomb3 Segment Trailing Quarters and Years1 Bausch + Lomb 4Q21 3Q21 2Q21 1Q21 4Q20 FY21 FY20 FY19 FY18 Global Vision Care $227M $226M $216M $224M $213M $893M $755M $848M $814M Revenue Global Surgical Revenue $198M $173M $185M $162M $182M
Slide 61: Bausch Pharma Company Trailing Quarters and Years
New disclosure that includes additional GAAP measures Bausch Pharma5 Company Trailing Quarters and Years1 Bausch Pharma5 4Q21 3Q21 2Q21 1Q21 4Q20 FY21 FY20 FY19 FY18 Salix Revenue $559M $527M $516M $472M $527M $2,074M $1,904M $2,022M $1,749M International Rx $276M $271M $313M $306M $333M $1,166M $1,
Slide 62: Salix Segment Trailing Quarters and Years
New disclosure that includes additional GAAP measures Salix Segment Trailing Quarters and Years Salix 4Q212 3Q212 2Q212 1Q212 4Q202 FY212 FY202 FY191 FY182 Salix Revenue $559M $527M $516M $472M $527M $2,074M $1,904M $2,022M $1,749M Segment Revenue $559M $527M $516M $472M $527M $2,074M $1,904M $2,022
Slide 63: International Rx Segment Trailing Quarters and Years
New disclosure that includes additional GAAP measures International Rx2 Segment Trailing Quarters and Years3 International Rx 4Q21 3Q21 2Q21 1Q21 4Q20 FY21 FY20 FY19 FY18 International Rx $276M $271M $313M $306M $333M $1,166M $1,181M $1,154M $1,157M Revenue2 Segment Revenue $276M $271M $313M $306M $
Slide 64: Ortho Dermatologics Segment Trailing Quarters and Years
New disclosure that includes additional GAAP measures Ortho Dermatologics3 Segment Trailing Quarters and Years1 Ortho Dermatologics 4Q21 3Q21 2Q21 1Q21 4Q20 FY21 FY20 FY19 FY18 Ortho Dermatologics $57M $66M $64M $69M $70M $256M $295M $366M $473M Revenue3 Global Solta Revenue1 $89M $74M $73M $72M $87
Slide 65: Diversified Products Segment Trailing Quarters and Years
New disclosure that includes additional GAAP measures Diversified Products2 Segment Trailing Quarters and Years Diversified 4Q21 3Q21 2Q21 1Q21 4Q20 FY21 FY20 FY19 FY18 Products Neuro & Other $145M $151M $143M $154M $160M $593M $666M $677M $781M Revenue3 Generics Revenue2 $44M $48M $31M $48M $64M $1
Slide 66: Non-GAAP Appendix
Non-GAAP Appendix 65
Slide 67: Non-GAAP Adjustments EPS Impact ($M)
Non-GAAP Adjustments EPS Impact ($M)2 Three Months Ended Twelve Months Ended December 31, December 31, 2021 2020 2021 2020 Income Earnings per Income Earnings per Income Earnings per Income Earnings per (Expense) Share Impact (Expense) Share Impact (Expense) Share Impact (Expense) Share Impact Net i
Slide 68: Reconciliation of Operating Income to Adjusted EBITA (Quarter-to-Date)
Reconciliation of Reported Operating Income to Adjusted EBITA (non-GAAP)1 ($M) (Quarter-to-Date) Q4 2021 Gross Gross Selling & G&A and R&D Operating Operating Profit Margin Advertising Other Expense Expense income Qtr 4 2021 GAAP $ 1,247 56.8% $ 454 $ 226 $ 117 $ 797 $ 367 Amortization of intangible
Slide 69: Reconciliation of Operating Income to Adjusted EBITA (Year-to-Date)
Reconciliation of Reported Operating Income to Adjusted EBITA (non-GAAP)1 ($M) (Year-to-Date) YTD 2021 Gross Gross Selling & G&A and R&D Operating Operating Profit Margin Advertising Other Expense Expense income 2021 GAAP $ 4,449 52.8% $ 1,801 $ 823 $ 465 $ 3,089 $ 450 Amortization of intangible ass
Slide 70: Reconciliation of Gross Profit to Adjusted EBITA – Bausch + Lomb
Reconciliation of Reported Gross Profit to Adjusted Gross Profit and Reported Operating Income to Adjusted EBITA (non- GAAP)1 ($M) YTD YTD YTD YTD December December December December Q4 2021 Q3 2021 Q2 2021 Q1 2021 Q4 2020 2021 2020 2019 2018 Bausch + Lomb Gross Profit (GAAP) 532 508 486 472 500 1,9
Slide 71: Reconciliation of Gross Profit to Adjusted EBITA – Salix
Reconciliation of Reported Gross Profit to Adjusted Gross Profit and Reported Operating Income to Adjusted EBITA (non- GAAP)1 ($M) YTD YTD YTD YTD December December December December Salix Q4 2021 Q3 2021 Q2 2021 Q1 2021 Q4 2020 2021 2020 2019 2018 Gross Profit (GAAP) 315 291 274 226 276 1,106 826 7
Slide 72: Reconciliation of Gross Profit to Adjusted EBITA – International Rx
Reconciliation of Reported Gross Profit to Adjusted Gross Profit and Reported Operating Income to Adjusted EBITA (non- GAAP)1 ($M) YTD YTD YTD YTD December December December December International Rx Q4 2021 Q3 2021 Q2 2021 Q1 2021 Q4 2020 2021 2020 2019 2018 Gross Profit (GAAP) 130 122 127 78 45 45
Slide 73: Reconciliation of Gross Profit to Adjusted EBITA – Ortho Dermatologics
Reconciliation of Reported Gross Profit to Adjusted Gross Profit and Reported Operating Income to Adjusted EBITA (non- GAAP)1 ($M) YTD YTD YTD YTD December December December December Ortho Dermatologics Q4 2021 Q3 2021 Q2 2021 Q1 2021 Q4 2020 2021 2020 2019 2018 Gross Profit (GAAP) 109 80 81 8 89 27
Slide 74: Reconciliation of Gross Profit to Adjusted EBITA – Diversified Products
Reconciliation of Reported Gross Profit to Adjusted Gross Profit and Reported Operating Income to Adjusted EBITA (non- GAAP)1 ($M) YTD YTD YTD YTD December December December December Diversified Products Q4 2021 Q3 2021 Q2 2021 Q1 2021 Q4 2020 2021 2020 2019 2018 Gross Profit (GAAP) 161 171 113 164
Slide 75: Reconciliation of Net Income (Loss) to EBITDA and Adjusted EBITDA
Reconciliation of Reported Net Income (Loss) to EBITDA (non- GAAP)1 and Adjusted EBITDA (non-GAAP)1 ($M) Three Months Ended Twelve Months Ended December 31, December 31, 2021 2020 2021 2020 Net income (loss) attributable to Bausch Health Companies Inc. $ 69 $ (153) $ (948) $ (560) Interest expense,
Slide 76: Reconciliation of Reported Revenue to Organic Revenue (Quarter-to-Date)
Reconciliation of Reported Revenue to Organic Revenue1,2 and Organic Revenue Growth1,2 ($M) (Quarter-to-Date)4 Calculation of Organic Revenue for the Three Months Ended Change in Change in December 31, 2021 December 31, 2020 Reported Revenue Organic Revenue Organic Organic Revenue Changes in Revenue
Slide 77: Reconciliation of Reported Revenue to Organic Revenue (Year-to-Date)
Reconciliation of Reported Revenue to Organic Revenue1,2 and Organic Revenue Growth1,2 ($M) (Year-to-Date)4 Calculation of Organic Revenue for the Twelve Months Ended Change in Change in December 31, 2021 December 31, 2020 Reported Revenue Organic Revenue Organic Organic Revenue Changes in Revenue R
Slide 78: Reconciliation of Reported Revenue to Organic Revenue
Reconciliation of Reported Revenue to Organic Revenue1,2 and Organic Revenue Growth1,2 ($M) Calculation of Organic Revenue for the Twelve Months Ended Change in Change in December 31, 2021 December 31, 2020 Reported Revenue Organic Revenue Organic Revenue Changes in Organic Revenue Revenue as Exchan
Slide 79: Reconciliation of Operating Cash Flow to Adj. Cash Flows from Operations
Reconciliation of Reported Net Cash Provided by Operating Activities to Adj. Cash Flows from Operations (non-GAAP)1 ($M) Three Months Ended Twelve Months Ended December 31, December 31, 2021 2020 2021 2020 Cash provided by operating activities $ 24 $ 394 $ 1,426 $ 1,111 Payments of legacy legal sett
Slide 80: TTM Adjusted EBITDA ($M)
TTM1 Adjusted EBITDA2 ($M) Dec-21 Sep-21 Jun-21 Mar-21 Dec-20 Net loss attributable to Bausch Health Companies Inc. $ (948) $ (1,170) $ (1,287) $ (1,018) $ (560) Interest expense, net 1,419 1,454 1,477 1,498 1,521 Benefit from income taxes (87) (278) (298) (333) (375) Depreciation and amortization 1
Slide 81: Non-GAAP Appendix
Non-GAAP Appendix Description of Non-GAAP Financial Measures from) provision for income taxes, depreciation and amortization and the following items: To supplement the financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), the Company uses certain non-GA
Slide 82: Non-GAAP Appendix
Non-GAAP Appendix Share-based Compensation: The Company has excluded costs relating to share-based relocation and/or modification. As these costs arise from events outside of the ordinary compensation. The Company believes that the exclusion of share -based compensation course of continuing operatio
Slide 83: Non-GAAP Appendix
Non-GAAP Appendix Adjusted Net Income Organic Growth/Change and Organic Revenue Historically, management has used Adjusted net income (non -GAAP) (the most directly Organic growth/change, a non-GAAP ratio, is defined as a change on a period-over-period basis comparable GAAP financial measure for whi
Slide 84: Non-GAAP Appendix
Non-GAAP Appendix Adjusted EBITA and Adjusted EBITA Margin Adjusted Gross Profit/Adjusted Segment Gross Profit and Adjusted Adjusted EBITA represents Operating income (loss) (its most directly comparable GAAP financial Gross Margin/Adjusted Segment Gross Margin measure) adjusted to exclude amortizat
Slide 85: Non-GAAP Appendix
Non-GAAP Appendix Adjusted SG&A Expenses and Adjusted G&A Expenses actual financial performance of the Company and to forecast future results as part of its guidance. Adjusted SG&A expenses (non-GAAP) represents selling, general and administrative expenses Management believes that Total Adjusted Ope
Slide 86: Non-GAAP Appendix
Non-GAAP Appendix Constant Currency Changes in the relative values of non-U.S. currencies to the U.S. dollar may affect the Company’s financial results and financial position. To assist investors in evaluating the Company’s performance, we have adjusted for foreign currency effects. Constant currenc
Bausch Health Companies — Q4 2021 Earnings Presentation on 6ix