Slide 1: Earnings Conference Call Fiscal Q1 2026
Earnings Conference Call Fiscal Q1 2026 February 5, 2026 1
Slide 2: Forward-looking statements
Forward-looking statements Safe Harbor Statement Regarding Forward-Looking Statements This presentation contains express or implied "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995 and other securities laws. These forward-looking statements
Slide 3: Agenda and Presenters
Agenda and Presenters Today’s topics: Dev Kurdikar Chief Executive Officer Progress on Strategic Priorities Revenue and Earnings Review Jake Elguicze Chief Financial Officer Guidance Q&A Pravesh Khandelwal Vice President, Investor Relations 3
Slide 4: Progress on Strategic Priorities
Progress on Strategic Priorities 1 1. Strengthen core business • Advanced the brand transition program in International markets; continue to expect to be substantially complete by the end of calendar year 2026 • Strengthened U.S. Medicare business by contracting with an additional Medicare Part D pa
Slide 5: Q1 FY 2026 vs. Q1 FY 2025 Adjusted Revenue
Q1 FY 2026 vs. Q1 FY 2025 Adjusted Revenue Three Months Ended December 31, % Increase / Decrease Adj. Constant Reported Currency Adjustment Currency Dollars in Millions 2025 2024 Revenue Growth Impact Impact Revenue Growth Reported Adjusted Reported Adjusted Adjustment Adjustment % Revenue Revenue R
Slide 6: Q1 FY 2026 Financial Highlights
Q1 FY 2026 Financial Highlights • Q1 FY26 reported revenue of $261.2 million, down 0.3% on a reported basis compared to the prior year period Revenue • Q1 FY26 adjusted revenue of $261.2 million, down 2.0% on an adjusted constant currency basis compared to the prior year period • Q1 FY26 GAAP gross
Slide 7: FY 2026 Financial Guidance
FY 2026 Financial Guidance Dollars in Millions, Current Previous(2) except per share and percentages Low High Low High Reported Revenue $1,071 $1,093 $1,071 $1,093 Reported Revenue Growth (%) (0.9)% 1.1% (0.9)% 1.1% Impact of F/X (%) 1.2% 1.2% Impact of Italian payback measure (1) (%) (0.1)% (0.1)%
Slide 8: Q&A
Q&A embecta’
Slide 9: Appendix
Appendix embecta’
Slide 10: Non-GAAP Financial Measures
Non-GAAP Financial Measures In evaluating our operating performance, we supplement the reporting of our financial information determined under GAAP with certain non-GAAP financial measures including (i) Adjusted Revenues, (ii) earnings before interest, taxes, depreciation, and amortization (“EBITDA”
Slide 11: Adjusted Revenue and Adjusted Gross Profit Margin Reconciliation
Adjusted Revenue and Adjusted Gross Profit Margin Reconciliation Dollars in Millions Three Months Ended December 31, 2025 December 31, 2024 Reported Revenue $261.2 $261.9 Italian payback measure — — Adjusted Revenue $261.2 $261.9 Dollars in Millions, except percentages Three Months Ended December 31
Slide 12: Adjusted Revenue and Adjusted Gross Profit Margin Reconciliation (cont.)
Adjusted Revenue and Adjusted Gross Profit Margin Reconciliation (cont.) (1) Amortization of intangible assets is recorded in Cost of products sold. (2) One-time stand-up costs incurred are primarily attributed to brand transition. (3) Represents costs required to develop processes and systems to co
Slide 13: Adjusted Operating Income Margin Reconciliation
Adjusted Operating Income Margin Reconciliation Dollars in Millions, except percentages Three Months Ended December 31, 2025 December 31, 2024 GAAP Operating Income $83.3 $28.7 GAAP Operating Income Margin 31.9% 11.0% Amortization of intangible assets (1) 0.3 0.3 One-time stand up costs (2) 4.8 10.4
Slide 14: Adjusted Operating Income Margin Reconciliation (cont.)
Adjusted Operating Income Margin Reconciliation (cont.) (1) Amortization of intangible assets is recorded in Cost of products sold. (2) One-time stand-up costs incurred primarily include: (i) product registration, labeling, and brand transition costs; (ii) warehousing and distribution set-up costs;
Slide 15: Adjusted Net Income & Adjusted Net Income per Diluted Share Reconciliation
Adjusted Net Income & Adjusted Net Income per Diluted Share Reconciliation Three Months Ended Dollars in Millions, except per share amounts December 31, 2025 December 31, 2024 GAAP Net Income $44.1 — Adjustments: GAAP Income tax benefit 14.8 (0.7) Amortization of intangible assets (1) 0.3 0.3 One-ti
Slide 16: Adj. Net Income & Adj. Net Income per Diluted Share Reconciliation (cont.)
Adj. Net Income & Adj. Net Income per Diluted Share Reconciliation (cont.) (1) Amortization of intangible assets is recorded in Cost of products sold. (2) One-time stand-up costs incurred primarily include: (i) product registration, labeling, and brand transition costs; (ii) warehousing and distribu
Slide 17: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation Three Months Ended Dollars in Millions December 31, 2025 December 31, 2024 Reported Revenue $261.2 $261.9 Italian payback measure (1) — — Adjusted Revenue $261.2 $261.9 Three Months Ended Dollars in Millions, except percentages December 31, 2025 December 31, 2024 GAAP
Slide 18: Adjusted EBITDA Reconciliation (cont.)
Adjusted EBITDA Reconciliation (cont.) (1) Represents stock-based compensation expense incurred during the three months ended December 31, 2025 and 2024, respectively. For the three months ended December 31, 2025, $5.0 million is recorded in Selling and administrative expense, $0.8 million is record
Slide 19: Q1 FY 2026 Supplemental Reconciliation
Q1 FY 2026 Supplemental Reconciliation (Income) Costs associated Q1 FY 2026 Other Non-GAAP Q1 FY 2026 Dollars in Millions with the discontinued GAAP adjustments Adjusted patch pump program (1) Gross Profit 161.7 0.1 1.7 (2) 163.5 Research and development expense 4.6 0.5 0.6 (3) 3.5 Selling and admin
Slide 20: Non-GAAP Free Cash Flow Reconciliation
Non-GAAP Free Cash Flow Reconciliation Three Months Ended Dollars in Millions December 31, 2025 December 31, 2024 Net Cash Provided by Operating Activities $17.2 $(5.3) Less: Capital Expenditures (0.6) (1.5) Non-GAAP Free Cash Flow $16.6 $(6.8) 20
Slide 21: Net Leverage Reconciliation
Net Leverage Reconciliation December 31, 2025 December 31, 2024 Total Debt $1,379.3 $1,568.9 Less: Cash and Investments $(204.4) $(216.7) Net Debt $1,174.8 $1,352.2 Trailing 12-months Adjusted EBITDA $415.2 $360.3 Net Debt/Trailing 12-months Adjusted EBITDA 2.8x 3.7x 21 Net leverage ratio = Net Debt
Slide 22: FY 2026 Financial Guidance Assumptions
FY 2026 Financial Guidance Assumptions Dollars in Millions, except percentages Current Previous Interest Expense, Net ~ $93 ~ $93 Adjusted Tax Rate ~ 23% ~ 23% Weighted Average Shares (in millions) 60.0 60.0 Foreign Exchange EUR/USD ~ 1.17 ~ 1.17 USD/YEN ~ 156 ~ 152 USD/CNY ~ 7.01 ~ 7.10 22