Orthofix Investor Presentation Deck slide image

Orthofix Investor Presentation Deck

Proforma Historical Adjusted EBITDA ($ in millions) Loss before income taxes Non-GAAP adjustments Interest expense, net Historical 2022 Quarterly Proforma Adjusted EBITDA Depreciation and intangible asset amortization expense Share-based compensation expense Foreign exchange impact and other non-operating expense/(gain) SeaSpine merger-related expenses Strategic investments Acquisition-related fair value adjustments Loss on investment securities Legal judgments/settlements Medical device regulation Business interruption - COVID-19 Succession and transition charges Spinal set instrument replacement expense European sales and marketing organization restructuring Total Non-GAAP adjustments Adjusted Proforma EBITDA (proforma for SeaSpine merger) Q1 22 SPNE OFIX NewCo $ (4.389) $ (16.832) $ (21.221) $ 0.375 $ 7.516 4.332 1.242 0.970 (5.500) 0.065 0.193 1.952 0.343 0.010 $ 11.498 $ 7.109 $ $ 4.202 2.819 (0.002) 0.372 0.125 $ 0.375 11.718 7.151 1.240 1.342 (5.375) 0.065 0.193 1.952 0.343 0.010 1.018 1.018 0.279 0.279 8.813 $ 20.311 (8.019) $ (0.910) Q2 22 OFIX SPNE 3.042 $ (15.094) $ (12.052) NewCo $ $ 0.407 $ 6.512 4.460 2.991 1.824 (10.714) 0.123 1.814 (10.631) 0.123 0.148 2.246 0.316 0.068 1.665 0.127 $ 8.381 $10.420 $ 18.801 $ 11.423 $ (4.674) $ 6.749 0.293 $ 0.700 4.295 10.807 3.701 8.161 0.266 3.257 0.148 2.246 0.316 0.068 (0.010) 0.083 1.665 0.127 $ $ OFIX (9.372) $ 0.277 $ 7.570 4.728 3.253 2.937 0.455 0.419 (0.001) 0.125 2.582 1.216 0.068 Ⓒ2023 Orthofix Medical Inc. All rights reserved | 21 Q3 22 SPNE NewCo (15.111) $ (24.483) 3.652 0.270 0.149 $ 0.426 4.341 11.911 8.380 3.523 4.349 0.471 0.419 (0.001) 1.412 0.016 0.669 2.582 1.216 0.068 1.866 0.152 1.866 0.152 $23.629 $ 12.402 $ 36.031 $14.257 $ (2.709) $ 11.548 0.544 Q4 22 OFIX SPNE NewCo $ (6.987) $ (20.287) $ (27.274) $ 0.229 $ 7.421 4.923 (4.195) 9.073 0.771 0.200 0.001 0.337 3.481 0.512 0.202 $ 4.349 3.412 (0.147) 2.616 (0.016) 1.066 2.630 0.426 0.431 11.770 8.335 (4.342) 11.689 0.755 0.200 0.001 1.403 3.481 0.512 2.630 0.426 $ 22.753 $14.538 $ 37.291 $ 15.766 $ (5.749) $ 10.017 FY 2022 OFIX SPNE $ (17.706) $ (67.324) $ (85.030) NewCo 1.288 $ 0.644 $ 1.932 29.019 17.187 46.206 18.443 13.584 32.027 3.291 0.387 12.010 4.020 (15.595) 0.188 0.803 10.261 4.028 0.362 0.208 3.678 16.038 4.382 (15.387) 0.188 2.413 10.261 2.387 2.387 0.146 0.146 7.179 7.179 0.984 0.984 $ 66.261 $ 46.173 $ 112.434 $48.555 $ (21.151) $ 27.404 $ 1.610 On the Company's Q3 2023 earnings call held on November 8, 2023, Orthofix management presented Proforma Adjusted EBITDA and Adjusted Proforma Gross Margin, both of which are non-GAAP financial measures, for the 3rd quarter of 2022. Those proforma non-GAAP financial measures are intended to report the financial impact of the merger with SeaSpine on Adjusted EBITDA and Adjusted Gross Margin as if the merger had occurred on January 1, 2022, in order to assist investors with comparing those proforma results to those same non-GAAP financial measures as reported for the 3rd quarter of 2023. A reconciliation of proforma Adjusted EBITDA for each quarter of 2022 to the nearest GAAP financial measure for each of SeaSpine and Orthofix is presented on this slide. For further information on the reasons for and nature of non-GAAP disclosures by Orthofix and descriptions of the adjustments used to calculate non-GAAP financial measures, please see the Company's Current Report on Form 8 K filed on November 8, 2023. ORTHOFIX®*® SeaSpine
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