Boston Scientific : Q4 2021 Financial and Operating Highlights

Q4 2021 Highlights

February 2, 2022

• Q4 2021 Financial & Operational Highlights | February 2, 2022

Safe Harbor for Forward-Looking Statements and

Use of Document

Safe Harbor for forward-looking statements:

This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward- looking statements may be identified by words like "anticipate," "expect," "project," "believe," "plan," "estimate," "intend" and similar words. These forward-looking statements are based on our beliefs, assumptions and estimates using information available to us at the time and are not intended to be guarantees of future events or performance. These forward-looking statements include, among other things, statements regarding our expected net sales, reported, operational and organic revenue growth rates; reported and adjusted EPS for the first quarter and full year 2022; our financial performance; our business plans and product performance; and the impact of the COVID-19 pandemic on the company's results of operations. If our underlying assumptions turn out to be incorrect, or if certain risks or uncertainties materialize, actual results could vary materially from the expectations and projections expressed or implied by our forward-looking statements. These factors, in some cases, have affected and in the future (together with other factors) could affect our ability to implement our business strategy and may cause actual results to differ materially from those contemplated by the statements expressed in this press release. As a result, readers are cautioned not to place undue reliance on any of our forward-looking statements.

Factors that may cause such differences can be found in our most recent Form 10-K and Forms 10-Q filed or to be filed with the Securities and Exchange Commission under the headings "Risk Factors" and "Safe Harbor for Forward-Looking Statements." Accordingly, you are cautioned not to place undue reliance on any of our forward-looking statements. We disclaim any intention or obligation to publicly update or revise any forward-looking statements to reflect any change in our expectations or in events, conditions, or circumstances on which they may be based, or that may affect the likelihood that actual results will differ from those contained in the forward-looking statements.

Non-GAAP Measures:

This document contains non-GAAP measures (denoted with *) in talking about our Company's performance. The reconciliations of those non-GAAP measures to their most comparable GAAP measures are contained within this document including appendices attached to the end of this presentation or in our earnings release.

Operational net sales growth excludes the impact of foreign currency fluctuations. Organic net sales growth excludes the impact of foreign currency fluctuations and net sales attributable to acquisitions and divestitures for which there are less than a full period of comparable net sales.

Emerging Markets:

We define Emerging Markets as the 20 countries that we believe have strong growth potential based on their economic conditions, healthcare sectors and our global capabilities. Periodically, we assess our list of Emerging Markets countries, and effective January 1, 2021, modified our list to include the following countries: Brazil, Chile, China, Colombia, Czech Republic, India, Indonesia, Malaysia, Mexico, Philippines, Poland, Russia, Saudi Arabia, Slovakia, South Africa, South Korea, Taiwan, Thailand, Turkey and Vietnam. We have revised prior period amounts to conform to the current year's presentation which had an immaterial impact on previously reported Emerging Markets net sales.

Medical Devices:

We have three historical reportable segments comprised of Medical Surgical (MedSurg), Rhythm and Neuro, and Cardiovascular, which represent an aggregation of our operating segments that generate revenues from the sale of medical devices (Medical Devices).

Specialty Pharmaceuticals:

On March 1, 2021, we completed the sale of the Specialty Pharmaceuticals business. Our consolidated net sales include Specialty Pharmaceuticals up to the date of the closing of the transaction. Specialty Pharmaceuticals net sales were substantially U.S. based and presented as a stand-alone operating segment alongside our Medical Device reportable segments.

Use of document:

This document contains certain highlights with respect to our fourth quarter 2021 performance and developments and does not purport to be a complete summary of thereof. Accordingly, we encourage you to read our Earnings Release for the quarter ended December 31, 2021 located in the investor section of our website at www.bostonscientific.comand our Annual Report on Form 10-K for the year ended December 31, 2021 to be filed with the Securities and Exchange Commission.

Amounts reported in millions within this presentation are computed based on the amounts in thousands. As a result, the sum of the components reported in millions may not equal the total amount reported in millions due to rounding. Certain columns and rows within tables may not add due to the use of rounded numbers. Percentages presented are calculated from the underlying numbers in dollars.

• Q4 2021 Financial & Operational Highlights | February 2, 2022

Q4 2021 Highlights

Financial Results

• Net sales growth:
• • +15.4% as reported, +16.9% operational*,+15.1% organic* Y/Y
• Earnings per share:
• • GAAP: $0.06 vs. $0.14 Q4:20
  • Adjusted*: $0.45 vs. $0.23 Q4:20
• Gross margin:
• • GAAP: 68.9%, +580 bps Y/Y
  • Adjusted*: 70.9%, +600 bps Y/Y
• Operating margin:
• • GAAP: 5.8%, +390 bps Y/Y
  • Adjusted*: 26.2%, +790 bps Y/Y
• Q1 2022 guidance:
• • GAAP net sales growth vs. Q1 2021: 5% - 8%
  • GAAP EPS: $0.16 - $0.20
  • Organic* net sales growth vs. Q1 2021: 5% - 8%
  • Adjusted EPS*: $0.38 - $0.40
• FY 2022 guidance:
• • GAAP net sales growth vs. 2021: 6% - 8%
  • GAAP EPS: $0.94 - $1.04
  • Organic* net sales growth vs. 2021: 6% - 8%
  • Adjusted EPS*: $1.73 - $1.79

Operational Highlights

• Initiated the MODULAR ATP clinical trial to evaluate the safety, performance and effectiveness of the mCRM™ Modular Therapy System, a dual track study intended to work together to coordinate therapy: the EMBLEM™ MRI Subcutaneous Implantable Defibrillator System and the EMPOWER™ Modular Pacing System, designed to be the first leadless pacemaker capable of delivering bradycardia pacing support and ATP.
• Presented positive late-breakingtwo-year clinical trial data on the COMBO randomized control trial at the 2022 NANS meeting demonstrating the durable effectiveness of the WaveWriter™ Spinal Cord Stimulator (SCS) System.
• Completed acquisition of Devoro Medical Inc., developer of the WOLF Thrombectomy® Platform, complementing the company's full suite of interventional strategies for thromboemboli.
• Commenced limited market release and completed the first in- human use cases of the AXIOS™ Stent in China.
• 2022 BCLC prognosis and treatment strategy guidelines for hepatocellular carcinoma (HCC) updated to include transarterial radioembolization (Y-90) which encompasses TheraSphere™ Y-90 Glass Microspheres, for very early stage (0) and early stage (A) patients.

• Q4 2021 Financial & Operational Highlights | February 2, 2022

WW Net Sales by Segment and Business

Q4 2021 Reported Revenue: $3,127M

Revenue by Business; Segment Percentage of Total Sales

	MedSurg	Rhythm and
	Neuro
	32%
	27%
	Cardiovascular
	41%
4	Q4 2021 Financial & Operational Highlights | February 2, 2022

WW Net Sales Detail

Three Months Ended December 31, 2021 and 2020

								Year-over-Year Change
								Less: Impact				Less: Impact
		Q4		Q4		As Reported		of Foreign		Operational		of Recent		Organic
(in millions)				Currency			Acquisitions /
2021		2020		Basis		Fluctuations		Basis		Divestitures		Basis
ENDOSCOPY $	558	$	515	8.3 %	(1.5)%	9.8 %		- %	9.8 %
UROLOGY AND PELVIC HEALTH		441		376		17.2 %		(0.8)%		18.0 %		9.2 %		8.7 %
MEDSURG	999		892	12.1 %	(1.2)%	13.3 %	3.9 %	9.4 %
CARDIAC RHYTHM MANAGEMENT	514		451	14.0 %	(1.5)%	15.5 %	11.0 %	4.5 %
ELECTROPHYSIOLOGY	100		85	18.1 %	(2.8)%	20.9 %	5.3 %	15.6 %
NEUROMODULATION		244		232		5.2 %		(0.6)%		5.8 %		- %		5.8 %
RHYTHM AND NEURO	858		767	11.8 %	(1.4)%	13.2 %	7.0 %	6.1 %
INTERVENTIONAL CARDIOLOGY	808		585	38.2 %	(1.9)%	40.1 %		- %	40.1 %
PERIPHERAL INTERVENTIONS		462		429		7.6 %		(1.4)%		9.0 %		- %		9.0 %
CARDIOVASCULAR	1,270		1,014	25.3 %	(1.7)%	27.0 %		- %	27.0 %
MEDICAL DEVICES		3,127		2,673		17.0 %		(1.4)%		18.4 %		3.3 %		15.1 %
SPECIALTY PHARMACEUTICALS		-		36		(100.0)%		- %		(100.0)%		(100.0)%		- %
WORLDWIDE NET SALES $	3,127	$	2,708	15.4 %	(1.4)%	16.9 %	1.8 %	15.1 %
EMERGING MARKETS NET SALES	398		306	30.2 %	(1.4)%	31.6 %
EMERGING MARKETS NET SALES PERCENTAGE OF TOTAL BSC			13 %			13 %
MEDICAL DEVICES NET SALES
UNITED STATES SALES PERCENTAGE OF MEDICAL DEVICE NET SALES	58 %			57 %
INTERNATIONAL SALES PERCENTAGE OF MEDICAL DEVICE NET SALES	42 %			43 %

• Q4 2021 Financial & Operational Highlights | February 2, 2022