Second Quarter Fiscal 2026 Results November 6, 2025 © 2025 Haemonetics Corporation Q2 Fiscal 2026 Conference Call Detail Conference call will take place at 8:00 a.m. ET on November 6, 2025, and can be accessed via live webcast: Link or teleconference: Link The financial release, accompanying slides, and a replay of the conference call (beginning at 11:00 AM ET) are available online at www.haemonetics.com. Conference call speakers: Chris Simon President & CEO James D'Arecca EVP, Chief Financial Officer Olga ...

Core Insights - BioCryst Pharmaceuticals is under review by the U.S. FDA for the oral granule formulation of ORLADEYO for pediatric patients aged 2 to <12 years, with a decision expected by December 12, 2025, which would make it the first targeted oral prophylactic therapy for this age group [1][2][4] Clinical Trial Data - The APeX-P clinical trial has shown early and sustained reductions in monthly attack rates for pediatric patients with hereditary angioedema (HAE) treated with ORLADEYO over one year [1][6] - At month 1, 65.5% of patients were attack-free, increasing to 70.4% by month 12, with a median attack rate of 0 for 11 out of 12 months [7] - The trial demonstrated high continuation rates, with 93.1% of patients completing at least 48 weeks of treatment [7] Psychosocial Impact - HAE attacks have a significant negative psychosocial impact on pediatric patients and their caregivers, affecting mental health and quality of life [4][11] - The majority of young patients experience symptoms before age 6, with a median age at diagnosis of 2 years [7][13] - Caregivers report that HAE attacks occur approximately every 3 months and are rated as moderately severe [13] Emergency Department Experiences - Over three-quarters of adolescents and nearly half of caregivers reported at least one emergency department (ED) or hospital visit before age 12, often characterized by treatment delays and heightened stress [23] - HCPs express concern about inadequate care and the long-term mental health impacts of these ED visits on young patients [23] Safety and Tolerability - ORLADEYO was found to be safe and well-tolerated, with no new safety signals identified during the trial [7][8] - The most commonly reported treatment-emergent adverse event was nasopharyngitis [7]

Financial Performance - Net revenues decreased by 5.3% and 4.8% for the three and six months ended September 27, 2025, compared to the same periods in fiscal 2025, primarily due to customer transition of CSL Plasma and divestiture of the Whole Blood product line [144]. - Gross profit increased by 3.9% to $194.7 million for the three months ended September 27, 2025, and by 6.8% to $387.0 million for the six months ended September 27, 2025 [144]. - Operating income rose by 13.1% and 22.9% for the three and six months ended September 27, 2025, driven by pricing benefits and decreased restructuring costs [145]. - Plasma segment revenues decreased by 9.5% for the three months and 7.0% for the six months ended September 27, 2025, primarily due to lower sales volumes in North America [151]. - Blood Center revenues fell by 17.6% for the three months and 19.6% for the six months ended September 27, 2025, mainly due to the divestiture of the Whole Blood product line [153]. - Hospital segment revenues increased by 5.1% for the three months and 4.7% for the six months ended September 27, 2025, supported by the Blood Management Technologies product line [150]. - Constant currency growth measures indicated a revenue decline of 6.0% for the three months and 5.5% for the six months ended September 27, 2025, highlighting the impact of foreign exchange rates [149]. Share Repurchase and Debt Management - The company repurchased a total of 1,430,579 shares at an average price of $52.43 under an accelerated share repurchase agreement, with $425.0 million remaining for future repurchases [143]. - The company approved a new three-year share repurchase program in April 2025, authorizing up to $500.0 million, with $75.0 million repurchased by September 2025 [176]. - The company repurchased $200.0 million of its 2026 convertible senior notes, resulting in a net gain of $12.6 million [171]. - As of September 27, 2025, the outstanding balance under the term loan was $242.2 million with an effective interest rate of 6.4% [174]. - As of September 27, 2025, total outstanding debt under the senior unsecured term loan was $242.2 million with an effective interest rate of 6.4% [194]. - The principal amount of the term loan under the 2024 Revised Credit Facilities amortizes quarterly, starting at 2.5% for the first three years [173]. Cash Flow and Expenses - Net cash provided by operating activities increased by $107.3 million to $128.7 million for the six months ended September 27, 2025, compared to the same period in fiscal 2025 [179]. - Net cash used in investing activities decreased by $99.1 million to $(63.5) million for the six months ended September 27, 2025, compared to $(162.6) million in fiscal 2025 [180]. - Net cash provided by financing activities decreased by $337.9 million to $(79.0) million for the six months ended September 27, 2025, compared to $258.9 million in fiscal 2025 [182]. - Total operating expenses for the three months ended September 27, 2025, were $136.3 million, a 0.4% increase compared to the same period in fiscal 2025 [157]. - Research and development expenses rose by 5.2% for the three months and 8.9% for the six months ended September 27, 2025, compared to the same periods of fiscal 2025 [158]. - Selling, general and administrative expenses decreased by 5.0% for the three months and 1.3% for the six months ended September 27, 2025, compared to the same periods of fiscal 2025 [159]. Tax and Impairment - The effective tax rate for the three and six months ended September 27, 2025, was 24.6%, with income tax expenses of $12.6 million and $23.7 million, respectively [165]. - Impairment charges of intangible assets were $8.6 million for both the three and six months ended September 27, 2025, compared to $2.4 million in the same periods of fiscal 2025 [162]. Liquidity and Financial Position - As of September 27, 2025, cash and cash equivalents totaled $296.4 million, with a current ratio of 1.6 [168]. - The net debt position as of September 27, 2025, was $(928.3) million, indicating a strong liquidity position [168]. - The company had $19.5 million of uncommitted operating lines of credit with no outstanding borrowings as of September 27, 2025 [174]. Foreign Sales and Currency Impact - International sales accounted for 26.6% and 25.6% of total net revenues for the three and six months ended September 27, 2025, respectively [147]. - The company’s foreign sales accounted for 26.6% and 25.9% of total sales for the three and six months ended September 27, 2025, respectively [190]. - A 10% strengthening of the U.S. Dollar would result in a $9.8 million increase in the fair value of forward contracts, while a 10% weakening would lead to an $11.9 million decrease [193]. - A 100 basis point increase in Term SOFR rates would lead to an additional annual interest expense of $0.4 million [194]. - The notional amount on two active interest rate swap agreements to convert variable rate borrowings to fixed rate was $201.9 million [194]. Credit Risk and Investments - Concentration of credit risk exists in the Plasma business unit due to significant sales to a few large customers [195]. - Trade accounts receivable outside the U.S. include sales to government-owned healthcare systems, which are subject to payment delays [195]. - The company has not incurred significant losses on trade accounts or other receivables, but potential collection risks are continually evaluated [196]. - Allowances may be required in future periods if the financial condition of customers deteriorates [196]. - The company’s investments in privately held entities are periodically evaluated for impairment, with a risk of losing a substantial portion of these investments [197]. - Strategic investments in privately held entities total $88.6 million, classified as other long-term assets [197]. - No adjustments were recorded to the carrying value of strategic investments for the three months ended September 27, 2025 [197].

Revenue Performance - Second quarter fiscal 2026 revenue was $327.3 million, a decrease of 5.3% compared to the same period in fiscal 2025[2] - Organic revenue declined 1.8%, while organic ex-CSL revenue increased by 9.4% year-over-year[4] - Net revenues for the three months ended September 27, 2025, were $327.3 million, a decrease of 5.3% compared to $345.5 million for the same period in 2024[23] - Plasma revenue decreased by 9.5% to $125.4 million for the three months ended September 27, 2025, while organic growth excluding CSL was down 10.1%[25] Earnings and Profitability - Adjusted earnings per diluted share rose to $1.27, up 13.4% compared to the second quarter of fiscal 2025[7] - Adjusted operating income for the second quarter was $87.3 million, reflecting a 4.5% increase compared to the prior year[5] - Net income for the three months ended September 27, 2025, was $38.7 million, reflecting a 14.3% increase from $33.8 million in the prior year[23] - Gross profit increased by 3.9% to $194.7 million for the three months ended September 27, 2025, compared to $187.4 million in the prior year[23] - Adjusted net income for the three months ended September 27, 2025, was $19,769, resulting in an adjusted diluted earnings per share of $1.27[31] Cash Flow and Financial Position - Cash flow from operating activities was $111.3 million, an increase of 128.0% year-over-year, while free cash flow reached $88.7 million, up 139.6%[9] - Cash on hand as of September 27, 2025, was $296.4 million, a decrease of $10.3 million since the end of fiscal 2025[8] - Total current assets decreased to $899.7 million as of September 27, 2025, from $934.9 million as of March 29, 2025[27] - The company’s cash and cash equivalents were $296.4 million as of September 27, 2025, down from $306.8 million[27] - Net cash provided by operating activities increased significantly to $128,716 from $21,402 year-over-year[30] - Free cash flow for the six months ended September 27, 2025, was $91,214, up from $20,110 in the prior year[30] Guidance and Projections - The company updated its fiscal 2026 guidance, projecting total revenue growth of -1% to 4%[11] - The adjusted operating margin guidance remains at 26% to 27%, with adjusted earnings per diluted share guidance raised to $4.80 to $5.00[11] Operating Expenses and Investments - Research and development expenses increased by 5.2% to $14.9 million for the three months ended September 27, 2025, compared to $14.1 million in the prior year[23] - Operating expenses for the three months ended September 27, 2025, were $136,253, compared to $135,740 for the same period in 2024, showing a marginal increase[31] - Operating expenses for the six months ended September 27, 2025, were $274,625,000, slightly down from $270,908,000 in the same period of FY25, showing a decrease of 1.0%[32] - The company incurred $10,409,000 in digital transformation costs during the six months ended September 27, 2025[32] - Integration and transaction costs amounted to $4,202,000 for the six months ended September 27, 2025, compared to $13,205,000 in the same period of FY25, indicating a significant reduction[32] Debt and Assets - Long-term debt remained stable at $920.4 million as of September 27, 2025, compared to $921.2 million in the previous period[27] - The cash and cash equivalents at the end of the period were $296,426, slightly down from $299,283 at the end of the same period in 2024[30] Profit Margins - The gross margin improved to 60.5%, up 380 basis points from the previous year, driven by pricing benefits and Plasma share gains[4] - The company reported a gross profit margin of 59.5% for the three months ended September 27, 2025, compared to 54.2% in the same period last year[23] - The adjusted gross profit margin for the six months ended September 27, 2025, was 60.6%, compared to 56.0% for the same period in FY25, reflecting an improvement of 4.6 percentage points[32]

Core Points - Haemonetics Corporation announced the availability of its financial results for the second quarter of fiscal year 2026, which ended on September 27, 2025 [1] - A conference call and webcast will be held on November 6, 2025, at 8:00 a.m. ET to discuss the results [1][2] - The company provides a range of medical technologies aimed at improving healthcare quality and efficiency, including hospital technologies, plasma collection technologies, and blood component collection products [2] Financial Results - The financial results for the second quarter of fiscal year 2026 will be published at 6:00 a.m. ET on November 6, 2025 [5] - Supplemental earnings materials will be available on the Investor Relations website and referenced during the conference call [2][4] Investor Relations - Contact information for investor relations is provided, including names and phone numbers for key personnel [3] - A replay of the conference call will be accessible starting at 11:00 a.m. ET on November 6, 2025, and will remain available for one year [2][4]

Core Insights - The London Company Small Cap Strategy reported a 1.9% appreciation in its small-cap portfolio for Q3 2025, underperforming the Russell 2000 Index which gained 12.4% [1] - Haemonetics Corporation (NYSE:HAE) was highlighted as a bottom performer, with a one-month return of 1.45% and a significant 31.63% decline over the past 52 weeks [2][3] - The company reported revenue of $321 million in Q1 2026, reflecting a 4% year-over-year decrease [4] Company Performance - Haemonetics Corporation's stock closed at $50.27 on November 3, 2025, with a market capitalization of $2.422 billion [2] - The company is facing competitive pressures in its vascular closure business, which may impact short-term performance [3] - Despite current challenges, the company is expected to leverage its portfolio of high-margin products for future earnings growth [3] Market Position - Haemonetics Corporation was held by 29 hedge fund portfolios at the end of Q2 2025, a decrease from 35 in the previous quarter [4] - The investment community acknowledges the potential of Haemonetics but sees greater upside in certain AI stocks [4]

Core Insights - The third-quarter 2025 investor letter from Aristotle Capital Boston, LLC indicates that U.S. small/mid-cap equities performed well, with the strategy returning 2.57% net of fees, underperforming the Russell 2500 Index's 9.00% total return [1] Company Overview - Haemonetics Corporation (NYSE:HAE) is a medical technology company focused on hematology and blood management products and solutions [3] - As of October 31, 2025, Haemonetics had a market capitalization of $2.409 billion, with shares closing at $50.01 [2] Financial Performance - Haemonetics reported a one-month return of 0.93% but experienced a significant decline of 31.99% over the past 52 weeks [2] - The company reported revenue of $321 million in the first fiscal quarter of 2026, reflecting a 4% decrease year-over-year [4] Analyst Insights - The company beat analyst earnings estimates but fell short on revenue expectations during the quarter [3] - Despite the mixed results, the company is viewed positively due to its strong competitive position in the plasmapheresis market and increased investment in research and development, which is expected to create long-term shareholder value [3]

Core Points - Haemonetics Corporation plans to release its second quarter fiscal year 2026 financial results on November 6, 2025, at 6:00 am ET [1] - A conference call for investors and analysts will take place on the same day at 8:00 am ET to discuss the results [1] Financial Results Announcement - The financial results will be published on November 6, 2025, at 6:00 am ET [1] - The conference call will provide an opportunity for discussion and Q&A regarding the financial results [1] Access Information - Participants can access the call via teleconference after completing registration, which provides a dial-in number and personalized PIN [2] - A live webcast of the call will be available on Haemonetics' investor relations website [2] - A replay of the conference call and webcast will be accessible for one year starting from November 6, 2025, at 11:00 am ET [2] Company Overview - Haemonetics is a global medical technology company focused on enhancing healthcare quality, effectiveness, and efficiency [3] - The company offers innovative solutions for hospital technologies, plasma collection, and blood component collection [3]

Core Insights - Haemonetics Corporation is identified as one of the most oversold healthcare stocks in 2025, focusing on blood and plasma management technologies to enhance healthcare efficiency through innovative medical devices [1] Group 1: Product Launch and Innovation - In 2025, Haemonetics launched the PerQseal Elite vascular closure system, which received European CE Mark approval. This device is fully bioresorbable and sutureless, designed for large-bore vascular access sites used in procedures like TAVR and EVAR [2] - The PerQseal Elite device deploys from inside the vessel, leaving no residual materials, thus restoring the vessel to its natural state and improving procedural control. This launch reflects a trend towards minimally invasive, bioresorbable devices that enhance patient outcomes and procedural efficiency [2] Group 2: Financial Performance - Haemonetics reported its first-quarter fiscal 2026 results on August 7, 2025, with an earnings per share (EPS) of $1.10, exceeding analyst estimates by $0.09. However, revenue declined by 4.4% year-over-year to $321.39 million [3] - Despite the revenue decline, the company demonstrated resilience in profitability and operational performance, indicating its capability to navigate challenging market conditions [3] Group 3: Leadership and Strategic Focus - In early 2025, Haemonetics made strategic leadership appointments, including Frank Chan as Executive Vice President and Chief Operating Officer, and Roy Galvin as Executive Vice President and Chief Commercial Officer. These appointments aim to strengthen operational excellence and expand commercial reach [4]

Core Insights - The focus is on producing objective, data-driven research primarily about small- to mid-cap companies, which are often overlooked by many investors [1] Group 1 - The analysis occasionally includes large-cap companies to provide a broader perspective on equity markets [1]