Masimo (MASI) investor relations material

Capital allocation and financing

• On December 1, 2025, a new unsecured credit agreement was executed, providing a $250M term loan and a $750M revolving credit facility, with an accordion feature for up to $400M in additional commitments, maturing December 1, 2030.

• The agreement includes Bank of America as administrative agent, with several major banks as joint lead arrangers and lenders.

• The facility allows for both ABR and Term SOFR loans, with interest rates and unused fees determined by a leverage-based pricing grid.

• The agreement contains customary affirmative and negative covenants, including financial covenants: a maximum total net leverage ratio of 3.5x (step-up to 4.0x for certain material investments) and a minimum interest coverage ratio of 3.0x.

• The facility includes provisions for letters of credit, cash collateralization, and lender replacement in the event of default or other specified circumstances.

Key financial ratios and metrics

• Total net leverage ratio must not exceed 3.5x, with a temporary increase to 4.0x following a material investment, reverting after three quarters.

• Interest coverage ratio must be at least 3.0x, calculated on a trailing four-quarter basis.

• The agreement defines EBITDA and net leverage in detail, including permitted add-backs and exclusions.

Significant events and developments

• The new credit agreement replaces the prior 2022 facility and was executed in connection with the company’s ongoing capital structure management.

• The agreement supports general corporate purposes, including permitted acquisitions and share repurchases.

• The agreement includes a comprehensive set of representations, warranties, and events of default, including cross-defaults, change of control, and material adverse effect clauses.