Bausch Health Companies Inc. Q4 FY2025 earnings call

• 11th consecutive quarter of revenue and adjusted EBITDA growth. • Bausch Health excluding Bausch + Lomb had strong Q4 and full year performance. • Acquired Shibo's aesthetics distribution platform in China. • Improved capital structure with debt repayments and exchange. • Salix showed resilient demand; Solta's China acquisition integration going well. • International segment has diverse markets with varying performances.

For Bausch Health excluding Bausch + Lomb: Fourth quarter revenue up 9% reported, 5% organic; adjusted EBITDA up ~9%. Full year revenue up 7% reported, 6% organic; adjusted EBITDA double-digit growth. Salix: Q4 revenue $693M, +9% y/y; full year double-digit top line growth. International: Q4 revenues $306M, +10% reported, 2% organic; EMEA and LatAm grew double-digit, Canada contracted 6%. Solta Medical: Q4 revenues $137M, -1% reported, flat organic; excluding China distributor transition, mid-single digit growth. Diversified segment: Q4 revenues $255M, +12% reported. Bausch + Lomb: Q4 revenues $1.405B, +10% reported; pharmaceuticals +16%, Vision Care and Surgical +8%.

• 2026 Bausch Health excluding Bausch + Lomb revenue expected $5.25B - $5.4B (3% y/y midpoint). • Adjusted EBITDA expected $2.875B - $2.950B (4% y/y midpoint). • Adjusted operating cash flow expected $1.2B - $1.275B. • Stronger growth rate anticipated in first half of 2026 due to temporary benefits in 2025 second half.

• Potential impact of RED-C Phase III trial not meeting primary endpoint. • Uncertainty regarding Xifaxan generic competition and its impact on EBITDA. • Risks associated with business development activities and integration of acquisitions.

Q: Post RED-C readout, what is your updated decision framework for the separation?

A: No change, focus on repaying debt and reinvesting.

Q: Give more color about business development plans?

A: Looking at assets to slot into commercial teams, including Solta.

Q: On Solta Shibo integration, how much EBITDA impact?

A: ~$10M - $15M hit.

Q: On Xifaxan generics, key events to watch?

A: Court cases on generics.

Q: On cap structure and BD, strategy?

A: Open approach to BD, guided by shareholder value creation