Slide 1: Second Quarter 2024 Earnings
Second Quarter 2024 Earnings August 6, 2024 1
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of federal securities laws, including, among others, statements about our expectations, plans, strategies or prospects. We generally use the words “may,” “will,” “expect,” “believe,” “anticipate,” “plan,”
Slide 3: Disclaimer Regarding Potential Separation
Disclaimer Regarding Potential Separation On March 22, 2024, Masimo announced that its Board of Directors has authorized management to evaluate a proposed separation of the company’s consumer business (the “Potential Separation”). Masimo’s Board of Directors and management are in the process of eval
Slide 4: Executive Summary | Second Quarter 2024
Executive Summary | Second Quarter 2024(1) • Healthcare revenue was $344 million, representing 22% reported growth and 23% constant currency growth(2). Masimo’s • Masimo’s successful and aggressive focus on expanding its footprint with existing customers and winning new Healthcare customers has buil
Slide 5: Second Quarter 2024 Actual vs. Guidance and Prior Year
Second Quarter 2024 Actual vs. Guidance and Prior Year(1) vs. Prior Year Q2 2024 Q2 2024 Guidance vs. Guidance Q2 2023 Constant (2) ($ in millions) Actual Midpoint Midpoint Actual As Reported Currency Healthcare $344 $335 3% $281 22% 23% Non-Healthcare $152 $160 (5%) $174 (13%) (11%) Revenue $496 $4
Slide 6: Second Quarter 2024 Performance
Second Quarter 2024 Performance(1) Consolidated Revenue Healthcare Revenue Non-Healthcare Revenue $MM $MM $MM $344 $174 $496 $455 $152 $281 2023 2024 2023 2024 2023 2024 Second Quarter Second Quarter Second Quarter Non-GAAP Earnings Per Share Healthcare Gross Margin Non-Healthcare Gross Margin $ per
Slide 7: Third Quarter 2024 Guidance vs. Prior Year
Third Quarter 2024 Guidance vs. Prior Year(1) (2) vs. Prior Year Q3 2024 Guidance As Reported Constant Currency Q3 2023 ($ in millions) Low High Low High Low High Healthcare $335 - $345 $308 9% - 12% 9% - 12% Non-Healthcare $160 - $170 $171 (6%) - (1%) (6%) - (0%) Revenue $495 - $515 $479 3% - 8% 4%
Slide 8: Updated Full Year 2024 Guidance vs. Prior Guidance and Prior Year
Updated Full Year 2024 Guidance vs. Prior Guidance and Prior Year(1) FY 2024 FY 2024 vs. Prior Year Updated Guidance (2) Prior Guidance (3) vs. Prior Guidance As Reported FY 2023 ($ in millions) Low High Low High Low High Low High Healthcare $1,385 - $1,405 $1,355 - $1,385 2% - 1% $1,275 9% - 10% No
Slide 9: Preliminary Estimate: Financial Impact of a Potential Separation
Preliminary Estimate: Financial Impact of a Potential Separation(1),(2) 2024 Consolidated Consumer Audio RemainCo Consumer Health and Other RemainCo (4) ($ in millions; except EPS) Guidance Midpoint (3) Separation Adjustments (with Consumer Health) Separation Adjustments (without Consumer Health)(5)
Slide 10: Healthcare
Healthcare 10
Slide 11: Healthcare | Second Quarter 2024
Healthcare | Second Quarter 2024(1) Incremental Value of New Contracts(2) Unrecognized Contract Revenue(3) Driver Installed Base (4) $MM, shown as reported $MM, shown as reported # of Units (MM) $1,601 2.58 $134 2.52 $1,379 $104 2023 2024 2023 2024 2023 2024 Second Quarter Second Quarter Second Quar
Slide 12: Healthcare | Year-to-Date Through the Second Quarter 2024
Healthcare | Year-to-Date Through the Second Quarter 2024(1) Incremental Value of New Contracts(2) Unrecognized Contract Revenue(3) Driver Installed Base (4) $MM, shown as reported $MM, shown as reported # of Units (MM) $234 $1,601 2.58 2.52 $186 $1,379 2023 2024 2023 2024 2023 2024 Year-to-Date Thr
Slide 13: Healthcare | Year-to-Date Through the Second Quarter of Each Year
Healthcare | Year-to-Date Through the Second Quarter of Each Year Key Performance Indicators (KPI) Incremental Value of New Contracts(1) Driver Installed Base(2) $MM # of Units (MM) $234 2.52 2.58 2.39 $186 2.22 2.01 1.78 1.65 $129 $126 1.55 $76 $59 $58 $42 2017 2018 2019 2020 2021 2022 2023 2024 20
Slide 14: Healthcare | Consumable Revenue by Technology Platform
Healthcare | Year-to-Date Through the Second Quarter of Each Year Consumable Revenue by Technology Platform SET Pulse Oximetry | Consumable Revenue Rainbow & Hemodynamics | Consumable Revenue Shown at constant currency(1) Shown at constant currency(1) 2017 2018 2019 2020 2021 2022 2023 2024 2017 201
Slide 15: Non-Healthcare
+ Masi Non-Healthcare
Slide 16: Non-Healthcare | Second Quarter 2024
Non-Healthcare | Second Quarter 2024(1) Total Non-Healthcare Revenue Core Audio Revenue Hearables Revenue $MM, shown as reported $MM, shown as reported $MM, shown as reported $174 $158 $18 $16 $152 $134 2023 2024 2023 2024 2023 2024 Second Quarter Second Quarter Second Quarter Non-Healthcare | Year-
Slide 17: Appendix: GAAP to Non-GAAP Reconciliations
Appendix GAAP to Non-GAAP Reconciliations 17
Slide 18: Consolidated Income Statement
Consolidated Income Statement (Unaudited; in millions, except per share data) (1),(3) Quarter to Date Year to Date Q3 2024 Guidance (2) Full Year FY 2024 Guidance (2) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 YTD 2023 YTD 2024 Low High FY 2022 FY 2023 Low High GAAP revenue $565.0 $455.3 $478.9
Slide 19: Consolidated Income Statement
Consolidated Income Statement (Unaudited; in millions, except per share data) (1),(3) Quarter to Date Year to Date Q3 2024 Guidance (2) Full Year FY 2024 Guidance (2) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 YTD 2023 YTD 2024 Low High FY 2022 FY 2023 Low High GAAP non-operating income (expens
Slide 20: Revenue
Revenue (Unaudited; in millions, except percentages) (1,3) Quarterly Performance Year to Date Q3 2024 Guidance (2) Full Year FY 2024 Guidance (2) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 YTD 2023 YTD 2024 Low High FY 2022 FY 2023 Low High Revenue Healthcare 346.7 281.1 307.8 339.9 339.6 343.9
Slide 21: Segment Reporting
Segment Reporting (Unaudited; in millions) (1) Quarter to Date Year to Date Q3 2024 Guidance (2) Full Year FY 2024 Guidance (2) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 YTD 2023 YTD 2024 Low High FY 2022 FY 2023 Low High Revenue Healthcare 346.7 281.1 307.8 339.9 339.6 343.9 627.8 683.5 335 3