Slide 1: Forging the Future of Diagnostics: Financial Results 2Q 2022
Forging the Future of Diagnostics Financial Results 2Q 2022 August 4, 2022
Slide 2: Forward-Looking Statements
Forward-Looking Statements Forward-Looking Statements: This presentation of QuidelOrtho Corporation (“QuidelOrtho” or the “Company”) contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements and other forward-l
Slide 3: Supplemental Combined Financial Measures and Non-GAAP Financial Measures
Supplemental Combined Financial Measures and Non-GAAP Financial Measures Supplemental Combined Financial Measures: This presentation contains unaudited supplemental combined financial information (“Supplemental Combined Information”) that gives effect to the Combinations as if Quidel and Ortho had b
Slide 4: 2Q 2022 Highlights
Supplemental Supplemental Supplemental Combined Combined Combined 2Q 2022 Revenue Adjusted EBITDA Adjusted EPS Highlights1 $899M1 $291M2 $2.122 • Supplemental combined revenue +38% y/y 32.4% Margin +123% y/y growth, ex-COVID-19 sales, up 9% y/y • Double-digit growth in Point-of-Care Business Unit Ge
Slide 5: Strategic Priorities
Strategic Priorities INTEGRATION & CULTURE: Unite the people, processes and products of Quidel and Ortho to accelerate innovation, expand commercial reach and improve patient outcomes across the healthcare continuum, within a culture of speed, happiness, and engagement PRODUCT INNOVATION: Invest in
Slide 6: Integration & Culture: Progress & Next Steps
Integration & Culture: Progress & Next Steps ✓ Issue-free close with minimal business disruption ✓ Stood up post-close integration program and governance structure ✓ Achieved 240+ critical integration milestones Progress- ✓ Extensive customer communications and ”white glove” global account contacts
Slide 7: Multiple Product-Based Growth Drivers
Multiple Product-Based Growth Drivers Savanna Sofia Fully integrated, rapid multiplex molecular system Point-of-Care system that is uniquely positioned for the decentralization of testing • Easy-to-use, with one of the fastest turnaround times and a small footprint utilizing a cost-effective mini-pa
Slide 8: Commercial Excellence Program Drives Commercial Success
Commercial Excellence Program Drives Commercial Success Market Specific & Globally Connected Market Specific & Insight Driven Focused & Disciplined Digitally Enabled Globally Connected Phase 01 ASPAC, Japan, LATAM, Distribution Markets Phase 02 China, Western Europe Phase 03 North America Commercial
Slide 9: Award Winning Service Organization
Award Winning Service Organization #1 for 7 Years in a Row in the IMV ServiceTrak™ 2022 2022 2022 Integrated System Competitor Ortho A B C D Ortho Care® Ortho Clinical Ortho Clinical Program Diagnostics Diagnostics NPS 1 5 3 4 2 United States China Medical India Best #1 Customer Device Healthcare Ma
Slide 10: Operational Excellence: Cost Synergies Are Well Underway
Operational Excellence: Cost Synergies Are Well Underway • We believe we are on track to deliver $30M of our targeted $90M cost synergies in 2023 2023 • Competitively bidding insurance and audit fees, technology agreements, and indirect sourcing $30M consolidation, and eliminating duplicate costs 20
Slide 11: Capital Deployment
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 instruments Manufacturing Capital investment to increase manufacturing capacity C
Slide 12: Financial Results
FINANCIAL RESULTS © QuidelOrtho 2022 12
Slide 13: 2Q 2022 Supplemental Combined Revenue Results
2Q 2022 Supplemental Combined Revenue Results1 MDx 2% Transfusion Other Medicine 14% Quickvue 19% 31% China 11% Instruments North 4% POC Labs America 38% EMEA Recurring 41% 66% 9% 65% Revenue Revenue Revenue by Business Unit by Geography by Category POC +181% [+19% ex-COVID-19] North America +59% [+
Slide 14: Supplemental Combined Operating Results Summary
Supplemental Combined Operating Results Summary1 Solid Results Demonstrate Resiliency of the Combined Business Model 2Q 2022 Fiscal Quarter Ended Highlights 2Q22 2Q21 Total Revenue $898.5 $669.1 ▪ Adjusted Gross Profit Margin of 53.6% is Constant Currency Growth 37.5% - up 80-basis points Adjusted G
Slide 15: Strong Cash Flow and Balance Sheet
Strong Cash Flow and Balance Sheet1 2Q22 Cash Flow 2Q22 Balance Sheet $225M $447M Operating Cash Flow2 Cash & $279M Marketable Securities ~1.1x Net Debt to Recurring Adjusted EBITDA4 $26M $2.7B Free Cash Flow3 Capital Expenditures2 Total Debt 1. As of 2Q22 and 12 months ended 2Q22 2. 2Q22 GAAP cash
Slide 16: FY 2022 Supplemental Combined Guidance
FY 2022 Supplemental Combined Guidance $2.49 – 2.57 Billion (+6% – 9% constant currency) Total Revenue, Ex-COVID-19 $3.78 – 3.91 Billion (+3% – 5% constant currency) $1.29 – 1.34 Billion Total Revenue COVID-19 Revenue 150 bps $200 – 260 Million Currency Translation Headwind to Sales Flu and ABC Comb
Slide 17: Summary
Summary A strong quarter across our commercial, corporate, and cultural metrics Expecting 6% - 9% growth, ex-COVID-19 revenues, in FY 2022, as we focus on base business execution, while expecting to accelerate and exceed cost and revenue synergy targets Enthusiastic embrace of collaboration, cross-s
Slide 18: Appendix
APPENDIX © QuidelOrtho 2022 18
Slide 19: Q2 2022 Supplemental Combined Income Statement
Q2 2022 Supplemental Combined Income Statement QuidelOrtho Pre-combination Supplemental As Reported Ortho results (a) combined results Total revenues $ 613.4 $ 285.1 $ 898.5 Cost of sales, excluding amortization of intangibles 275.9 153.0 428.9 Selling, marketing and administrative 118.4 79.1 197.5
Slide 20: Q2 2022 Supplemental Combined Non-GAAP Reconciliation
Q2 2022 Supplemental Combined Non-GAAP Reconciliation Selling, marketing and Research and Operating Operating Interest Other Provision for Net (loss) Gross profit adiministrative development income income margin expense, net income, net income taxes income Supplemental combined $ 450.6 $ 221.2 $ 54.
Slide 21: Pro Forma Revenue by Region, Business Unit, and Category
Pro Forma Revenue by Region, Business Unit, and Category Fiscal Quarter Ended Constant Currency Constant Less: COVID-19 revenue Segment revenue July 3, 2022 July 4, 2021 Percent Change Impact Currency (a) impact Currency (a) ex COVID-19 revenue North America $ 595.7 $ 375.3 58.7% (0.2)% 58.9% (43.2)
Slide 22: Supplemental Combined Adjusted EBITDA Reconciliation
Supplemental Combined Adjusted EBITDA Reconciliation Fiscal Quarter $ millions Q2 2022 Q2 2021 Supplemental combined net loss $(41.4) $(0.9) Interest expense, net 30.6 34.4 Provision for income taxes 24.8 17.7 Depreciation and amortization 97.9 95.4 Pre-IPO legacy stock-based compensation 1.4 11.0 E
Slide 23: Thank You
THANK YOU