Haemonetics (HAE) Goldman Sachs 46th Annual Global Healthcare Conference summary

Strategic transformation and portfolio evolution

• Achieved significant diversification from plasma apheresis into blood management and interventional technologies, focusing on therapeutically agnostic enabling tech for chronic disease treatment.

• Shifted revenue mix: hospital platforms and plasma now comprise 85% of revenues and all growth, with blood center business reduced from 50% to 15%.

• Hyper-focused on attractive, fast-growing med-surg markets, leveraging operational excellence and innovation.

• No single customer now represents more than 10% of revenue, reducing concentration risk.

• Portfolio transformation supports more stable, predictable growth and margin expansion.

Financial performance and guidance

• Delivered a $600M med-surg business with double-digit growth in both revenue and earnings.

• Achieved 10% CAGR revenue and 28% CAGR EPS over four years, with operating income margin expanding to 26%-27%.

• Free cash flow conversion ratio expected to exceed 70%.

• Hospital gross margins projected above 70%, corporate gross margins above 60%, and operating income margins above 30%.

• Next LRP will focus on high single-digit revenue growth, double-digit EPS growth, and disciplined M&A.

Market dynamics and growth drivers

• Plasma business faces systemic risk from customer and geographic concentration but remains a durable EBITDA source.

• Plasma expected to grow 7%-8% long-term, with near-term growth driven by share gains and price increases.

• Hospital segment, now nearly half of revenues, is driven by blood management (TEG, hemostasis) and interventional (VASCADE) technologies.

• VASCADE products grew 26%-28% due to EP procedure growth and U.S. market penetration.

• Continued investment in R&D and salesforce to support above-market growth and operating leverage.