Slides
Page 1
BioMarin Pharmaceutical Inc. Alexander Hardy, President and Chief Executive Officer January 13, 2025 43rd Annual J.P. Morgan Healthcare Conference
Page 2
2 Forward Looking Statements This presentation and the associated conference call and webcast contain forward-looking statements about the business prospects of BioMarin Pharmaceutical Inc. (BioMarin), including, without limitation, statements about: future financial performance, including the expectations ofTotal Revenues, Non-GAAP Operating Margin percentage, Operating Cash Flow and Revenue Compound Annual Growth Rate (CAGR) for future periods and the underlying assumptions; BioMarin’s plans and expectations regarding innovation and growth, including plans regarding business development and clinical-stage external innovation, as well as the anticipated benefits of such plans; ability of BioMarin’s approved products, including VOXZOGO and BioMarin’s enzyme therapies, to drive long-term revenue growth; the clinical development and commercialization of BioMarin’s product candidates and commercial products, including plans and expectations regarding (i) the ability to expand BioMarin’s leadership in achondroplasia with VOXZOGO and leverage VOXZOGO in other skeletal conditions,including hypochondroplasia, idiopathic short stature, Noonan Syndrome, Turner Syndrome and SHOX deficiency; (ii) development of BMN 333 for the treatmentof achondroplasia and hypochondroplasia, (iii) expansion of PALYNZIQ for the treatment of adolescents with phenylketonuria (PKU), (iv) development of BMN 390 for the treatment of PKU, (v) development of BMN 351 for the treatment of Duchenne Muscular Dystrophy, (vi) development of BMN 349 for the treatment of alpha-1 antitrypsin deficiency, and (vii) development of BMN 370 for the treatment of von Willebrand disease; the expected benefits and availability of BioMarin’s product candidates and commercial products; the timing of BioMarin’s clinical development and commercial prospects, including announcements of datafrom clinical studies and trials; potential growth opportunities and trends, including the assumptions and expectations regarding Total Addressable Patient Population with respect to the conditions targeted by BioMarin’s product candidates and commercial products; and the legal action BioMarin initiated againstAscendis Pharma A/S at the Unified Patent Court for infringement of BioMarin's patent rights, including BioMarin’s expectations regarding the timing and resolution of such legal action. These forward-looking statements are predictions and involve risks and uncertainties such that actual results may differ materially from these statements. These risks and uncertainties include, among others, those factors detailed in BioMarin's filings with the Securities and Exchange Commission, including, without limitation, the factors contained under the caption "Risk Factors" in BioMarin’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2024 as such factors may be updated by any subsequent reports. You should carefully consider that information before you make an investment decision. You should not place undue reliance on forward-looking statements, which speak only as of the date hereof. These forward-looking statements are based on the beliefs and assumptions of the Company’s management based on information currently available to management and should be considered in connection with any written or oral forward-looking statements that the Company may issue in the future as well as other cautionary statements the Company has made and may make. Except as required by law, BioMarin does not undertake any obligation to update or alter any forward-looking statement, whether as a result of new information, future events or otherwise.
Page 3
3 Non-GAAP Financial Measures This presentation includes both GAAP information and Non-GAAP information. Non-GAAP Operating Margin percentage is defined by the company as GAAP Income from Operations, excluding amortization of intangible assets, stock-based compensation expense, and, in certain periods, certain other specified items, divided by GAAP Total Revenues. Non-GAAP Diluted EPS is defined by the company as Non-GAAP Income divided by Non-GAAP Weighted-Average Diluted Shares Outstanding. Non-GAAP Income is defined by the company as GAAP Net Income excluding amortization of intangible assets, stock-based compensation expense and, in certain periods, certain other specified items, as detailed below when applicable. Non-GAAP Weighted-Average Diluted Shares Outstanding is defined by the company as GAAP Weighted-Average Diluted Shares Outstanding, adjusted to include any common shares issuable under the company’s equity plans and convertible debt in periods when they are dilutive under Non-GAAP. BioMarin regularly uses both GAAP and Non-GAAP results and expectations internally to assess its financial operating performance and evaluate key business decisions related to its principal business activities: the discovery, development, manufacture, marketing and sale of innovative biologic therapies. Because Non-GAAP Income, Non-GAAP Operating Margin percentage, Non-GAAP Diluted EPS and Non-GAAP Weighted-Average Diluted Shares Outstanding are important internal measurements for BioMarin, the company believes that providing this information in conjunction with BioMarin’s GAAP information enhances investors’ and analysts’ ability to meaningfully compare the company’s results from period to period and to its forward-looking guidance, and to identify operating trends in the company’s principal business. BioMarin also uses Non-GAAP Income internally to understand, manage and evaluate its business and to make operating decisions, and compensation of executives is based in part on this measure. Non-GAAP measures are not meant to be considered in isolation or as a substitute for, or superior to, comparable GAAP measures and should be read in conjunction with the consolidated financial information prepared in accordance with GAAP. Investors should note that the Non-GAAP information is not prepared under any comprehensive set of accounting rules or principles and does not reflect all of the amounts associated with the company’s results of operations as determined in accordance with GAAP. Investors should also note that these Non-GAAP financial measures have no standardized meaning prescribed by GAAP and, therefore, have limits in their usefulness to investors. In addition, from time to time in the future there may be other items that the company may exclude for purposes of its Non-GAAP financial measures; likewise, the company may in the future cease to exclude items that it has historically excluded for purposes of its Non-GAAP financial measures. Because of the non-standardized definitions, the Non-GAAP financial measure as used by BioMarin in this presentation may be calculated differently from, and therefore may not be directly comparable to, similarly titled measures used by other companies. BioMarin does not provide guidance for GAAP reported financial measures (other than revenue) or a reconciliation of forward-looking Non-GAAP financial measures to the most directly comparable GAAP reported financial measures because the company is unable to predict with reasonable certainty the financial impact of changes resulting from its strategic portfolio and business operating model reviews; potential future asset impairments; gains and losses on investments; and other unusual gains and losses without unreasonable effort. These items are uncertain, depend on various factors, and could have a material impact on GAAP reported results for the guidance period. As such, any reconciliations provided would imply a degree of precision that could be confusing or misleading to investors. With respect to historical Non-GAAP adjusted financial information, see the appendix beginning on slide 22 for the reconciliations to the comparable information reported under U.S. GAAP.
Page 4
4 BioMarin is the global leader in treating genetically defined conditions. SCIENTIFIC EXCELLENCE Uncovering and solving for the root cause of conditions ACCELERATED INNOVATION Rapidly transforming insights into category-defining medicines IN-HOUSE EXPERTISE Driving the development and manufacturing of complex medicines GLOBAL DELIVERY Ensuring life-changing products reach patients counting on us mostWe pioneer new medicines through four connected strengths.
Page 5
5 Building on Strong Execution in 2024 3Q’24 Year-to-date Financials Financial Outlook Provided through 2034 ~$2.1B +19% Total Revenues 27.7% +7.6 ppts Non-GAAP Operating Margin1 $2.60 +63% Non-GAAP Diluted Earnings Per Share1 1Refer to slide 3 for more detail on Non-GAAP financials; 2Hypochondroplasia, Idiopathic Short Stature, Noonan Syndrome, Turner Syndrome, SHOX deficiency; 3Duchenne Muscular Dystrophy, Alpha-1 Antitrypsin Deficiency; 4Revenue growth shown on a non-risk-adjusted basis. New Strategy to Drive Value Creation INNOVATION GROWTH VALUE COMMITMENT Milestones Anticipated over Next 18 Months Low-to-Mid 40%’s, starting with 40% in 2026 Non-GAAP Operating Margin1 ~$4B 2027 Total Revenues Targeting Mid-teen CAGR 2023 – 2034 Revenue Growth4 $1.25B+ 2027 Operating Cash Flow Skeletal Conditions • 5 indications2 advancing in VOXZOGO and BMN 333 PK data Enzyme Therapies • Palynziq (12-17 yrs) Phase 3 Data and U.S. & EU sBLA Filings • BMN 390 (PKU with novel PEG) First-in-human study start Pipeline • BMN 351 (DMD3) Clinical POC Data; BMN 349 (A1AT3) Study Start Prioritizing Business Development
Page 6
6 Building on Strong Execution in 2024 3Q’24 Year-to-date Financials Financial Outlook Provided through 2034 Milestones Anticipated over Next 18 Months New Strategy to Drive Value Creation INNOVATION GROWTH VALUE COMMITMENT Low-to-Mid 40%’s, starting with 40% in 2026 ~$4B Targeting Mid-teen CAGR 2023 – 2034 Revenue Growth4 $1.25B+ 2027 Operating Cash Flow Non-GAAP Operating Margin1 ~$2.1B +19% Total Revenues 27.7% +7.6 ppts Non-GAAP Operating Margin1 $2.60 +63% Non-GAAP Diluted Earnings Per Share1 2027 Total Revenues 1Refer to slide 3 for more detail on Non-GAAP financials; 2Hypochondroplasia, Idiopathic Short Stature, Noonan Syndrome, Turner Syndrome, SHOX deficiency; 3Duchenne Muscular Dystrophy, Alpha-1 Antitrypsin Deficiency; 4Revenue growth shown on a non-risk-adjusted basis. Skeletal Conditions • 5 indications2 advancing in VOXZOGO and BMN 333 PK data Enzyme Therapies • Palynziq (12-17 yrs) Phase 3 Data and U.S. & EU sBLA Filings • BMN 390 (PKU with novel PEG) First-in-human study start Pipeline • BMN 351 (DMD3) Clinical POC Data; BMN 349 (A1AT3) Study Start Prioritizing Business Development
Page 7
7 Building on Strong Execution in 2024 Financial Outlook Provided through 2034 New Strategy to Drive Value Creation INNOVATION GROWTH VALUE COMMITMENT Milestones Anticipated over Next 18 Months Low-to-Mid 40%’s, starting with 40% in 2026 ~$4B Targeting Mid-teen CAGR 2023 – 2034 Revenue Growth4 $1.25B+ 2027 Operating Cash Flow Non-GAAP Operating Margin1 3Q’24 Year-to-date Financials ~$2.1B +19% Total Revenues 27.7% +7.6 ppts Non-GAAP Operating Margin1 $2.60 +63% Non-GAAP Diluted Earnings Per Share1 2027 Total Revenues 1Refer to slide 3 for more detail on Non-GAAP financials; 2Hypochondroplasia, Idiopathic Short Stature, Noonan Syndrome, Turner Syndrome, SHOX deficiency; 3Duchenne Muscular Dystrophy, Alpha-1 Antitrypsin Deficiency; 4Revenue growth shown on a non-risk-adjusted basis. Skeletal Conditions • 5 indications2 advancing in VOXZOGO and BMN 333 PK data Enzyme Therapies • Palynziq (12-17 yrs) Phase 3 Data and U.S. & EU sBLA Filings • BMN 390 (PKU with novel PEG) First-in-human study start Pipeline • BMN 351 (DMD3) Clinical POC Data; BMN 349 (A1AT3) Study Start Prioritizing Business Development
Page 8
8 Building on Strong Execution in 2024 Financial Outlook Provided through 2034 New Strategy to Drive Value Creation INNOVATION GROWTH VALUE COMMITMENT Milestones Anticipated over Next 18 Months Low-to-Mid 40%’s, starting with 40% in 2026 ~$4B Targeting Mid-teen CAGR 2023 – 2034 Revenue Growth4 $1.25B+ 2027 Operating Cash Flow Non-GAAP Operating Margin1 3Q’24 Year-to-date Financials ~$2.1B +19% Total Revenues 27.7% +7.6 ppts Non-GAAP Operating Margin1 $2.60 +63% Non-GAAP Diluted Earnings Per Share1 2027 Total Revenues 1Refer to slide 3 for more detail on Non-GAAP financials; 2Hypochondroplasia, Idiopathic Short Stature, Noonan Syndrome, Turner Syndrome, SHOX deficiency; 3Duchenne Muscular Dystrophy, Alpha-1 Antitrypsin Deficiency; 4Revenue growth shown on a non-risk-adjusted basis. Skeletal Conditions • 5 indications2 advancing in VOXZOGO and BMN 333 PK data Enzyme Therapies • Palynziq (12-17 yrs) Phase 3 Data and U.S. & EU sBLA Filings • BMN 390 (PKU with novel PEG) First-in-human study start Pipeline • BMN 351 (DMD3) Clinical POC Data; BMN 349 (A1AT3) Study Start Prioritizing Business Development
Page 9
9 Percentage of Infants and Children with Achondroplasia Eligible for VOXZOGO Treatment; (24K Global TAPP) VOXZOGO Presents Attractive Global Expansion Opportunities with 90% of Total Addressable Patient Population (TAPP) Outside the U.S. Rest of World: ~68% of VOXZOGO TAPP • Leveraging 20-year global capabilities in patient finding, diagnosis, access, and support for first-in-therapy treatments • VOXZOGO available in majority of ROW countries with plans to add remaining by 2027 • Applying learnings from successful ROW launches TAPP defined as the diagnosed, clinically eligible patients for a given product or program in a defined footprint; footprint defined as all global markets included in BioMarin’s internal projections for VOXZOGO revenues. Rest of World: Primarily Latin America, Middle East, and Asia. Europe, Japan, Australia, Canada: ~22% of VOXZOGO TAPP United States: ~10% of VOXZOGO TAPP Highly Penetrated, Large Strategic Markets Germany Italy France Spain Japan AUS
Page 10
10 Plans for Strong Growth in the U.S. with VOXZOGO in Achondroplasia U.S. Achondroplasia TAPP: ~2,400 • Expected to be the only approved product for achondroplasia, from birth, through 2027 • Majority of new patients are in 0-5 age group since label expansion in 2023 • Continued expansion of U.S. prescriber base, especially pediatric endocrinologists • Strong progress raising awareness to drive referrals from pediatricians • New treatment guidelines for VOXZOGO and growing body of clinical benefit data beyond height2024E 2027E VOXZOGO U.S. Strategy U.S. Market Treated ACH Patients U.S. ACH TAPP Potential competitor(s) Assumes multiple products: 2022A
Page 11
11 New Publications Highlight Importance of Early VOXZOGO Treatment VOXZOGO Treated Children Demonstrated Statistically Significantly Improvements in Proportionality vs. Untreated Control Arm New International Treatment Guidelines Recommend Early Diagnosis and Treatment with VOXZOGO VOXZOGO phase 3 treatment in achondroplasia (n=48) Early screening & detection of achondroplasia (prenatally, where possible) Education & consent for VOXZOGO treatment Begin VOXZOGO treatment as early as possible New International Treatment Guidelines: Published in Med, December 20241 Published in Nature Reviews Endocrinology, January 20252 1Savarirayan et al., Sustained growth-promoting effects of vosoritide in children with achondroplasia from an ongoing phase 3 extension study, Med (2024), https://doi.org/10.1016/j.medj.2024.11.019 2Savarirayan, R., Hoover-Fong, J., Ozono, K. et al. International consensus guidelines on the implementation and monitoring of vosoritide therapy in individuals with achondroplasia. Nat Rev Endocrinol (2025). https://doi.org/10.1038/s41574-024-01074-9 1 2 3 Monitor treatment outcome and response after VOXZOGO initiation4 Ongoing monitoring until growth plate closure5
Page 12
12 VOXZOGO for Hypochondroplasia (HCH) Demonstrated a 1.81cm Increase in Annualized Growth Velocity in Phase 2 • Rapid recruitment of pivotal study, expected to be fully enrolled in 1Q’25 • Direct-to-registrational opportunity enabled with evidencefrom achondroplasia and early proof-of-concept in HCH • Targeting ~14,000 most severely impacted HCH patients (those with height Z-score ≤ -2.0 SDs) • Leveraging 5-year global achondroplasia leadership • Focus on increasing diagnosis and establishing treatment paradigm Clearly Defined Go-to-market Strategy Potential First-in-class Approved Treatment Option; Tracking to Expected 2027 Launch Annualized Growth Velocity Phase 2 data1: N = 24, 1.81 cm/year increase in mean AGV 1Vosoritide treatment for children with hypochondroplasia: a phase 2 trial. Dauber, Andrew et al. eClinicalMedicine, Volume 71, 102591
Page 13
13 Building Leadership in Skeletal Conditions 2025 2026 2027 Continued Global ExpansionCommercial VOXZOGO for ACH VOXZOGO expected to be available in >60 countries New guidelines, emerging datasets, and broad label support early treatment with VOXZOGO BMN 333 PK data Anticipated Clinical Milestones VOXZOGO & BMN 333 ISS, Noonan, Turner, SHOX to enter phase 3 Initiated an action against ASND at the EU Unified Patent Court (UPC) to protect EU patent rights Current IP Enforcement Actions HCH launchHCH pivotal data Decision from UPC expected; binding in 18 EU countries BMN 333 initiated first-in-human study
Page 14
14 Underlying, Established Strengths of the Enzyme Therapies Business High Patient Reach and Treatment Continuity First-in-category Medicines Challenging Path for Biosimilars • Built and created global leadership in each therapeutic area • 20-year track record building Enzyme Therapies infrastructure foundational to sustained growth • Profile of these transformational medicines support high compliance and adherence rates ~$1.4B Enzyme Therapies Revenues 3Q’24 Year-to-date
Page 15
15 Strategy to Drive Long-Term Growth across Enzyme Therapies Business $1.7B $1.3B Targeting High Single-digit CAGR (2023-2034) 8% CAGR 2020 2023 2034 Enzyme Therapies Revenue Find & Start New Patients Grow PKU Opportunity Note: Revenue figures include revenues for Vimizim, Naglazyme, Brineura, Palynziq, and Aldurazyme. 2034 revenues include expected revenues for BMN 390 for phenylketonuria. • Expand access to diagnostic tools, including gene panels • Implement initiatives to increase diagnosis, including cascade screening • Leverage predictive analytics to pinpoint hot spots • Expand label to include 12-17 y/o • Broaden geographic reach • Develop BMN 390: Next-gen Palynziq with potential for lower immunogenicity
Page 16
16 External Innovation Strategy to Complement Revenue Growth Leadership in Development & Commercialization of Medicines in Genetically Defined Conditions Rich Environment for Business Development Scientific momentum allows clearly defined drug development Rich biotech arena with many small companies at R&D stage Biotech remains capital constrained BioMarin as the Partner of Choice Proven world class research, clinical, and regulatory capabilities Best-in-class manufacturing Strong global commercial infrastructure Focus on Disciplined Deal Execution < $1.5B Deals ranging from pre-clinical to clinical stage New internal world-class Business Development capabilities and experience Focus on Skeletal Conditions, Enzyme Therapies, First in Genetic Conditions
Page 17
17 BMN 333: Opportunity to Optimize PK and Clinical Profile in ACH SQ dosing of BMN 333 releases CNP in NHPs BMN 333 Increases Skeletal Growth to a greater extent than high doses of pulsatile CNP in mice BMN 333 – Longer-Acting CNP • Half-life prolongation chemistry similar to other approved drugs (weekly dosing) • Free-CNP exposure predicted to surpass all published in-class (multi fold-level) o animal models suggest meaningful additional growth is possible • Experience with VOXZOGO provides clear PK targets for free-CNP and clinical targets for PD 40 ug/kg 150 ug/kg 500 ug/kg dose dose dose dose dose 500 ug/kg 1,600 ug/kg vehicle vosoritide 333 Released CNP BMN 333 Phase 1 PK 2025 Target Dose Ranging Start: 2026 Target Pivotal Start: TBD Target Launch 2030 Plasma Conc (pM) Naso-anal Length (cm) Naso-anal Length (cm)
Page 18
18 Preclinical Evidence Published Clinical Evidence • Oligonucleotide for Exon-51 Duchenne Muscular Dystrophy • Novel splice site for exon-51 skip induction, targeting >10% dystrophin levels at steady state • Near Full-Length Dystrophin produced, naturally-occurring versions of which preserve ambulation into adulthood • Phosphorothioate chemistry (non-morpholino) leverages in-house expertise BMN 351 for Duchenne Muscular Dystrophy; Targeting 2025 POC 1. Muscle cell penetration WMS 2020 2. Binding at novel splice site with skip-induction FUTURES 2022 In vitro TIDES EU 2023 3. Functional dystrophin expression WMS 2020 TIDES USA 2020 4. Functional benefit WMS 2023 SfN 2023 Phase 1/2 2024 Target POC 2025 Target Ph3 Start: 2026 Target Launch 2028 1. Muscle cell penetration Interim 13-wk data 2. Binding at novel splice site with skip-induction 3. Functional dystrophin expression Anticipate release of 26-week data in 2H’25 WMS = World Muscle Society Annual Congress; FUTURES = CureDuchenne National Conference; TIDES = Oligonucleotide and Peptide Therapeutics Conference; SfN = Society for Neuroscience Annual Meeting Clinical fraction remaining ambulatory Age (years) BMN-351-length dystrophin DMD 10 20 30 40 50 60 70 80
Page 19
19 Candidate Condition 18-Month Look-Ahead VOXZOGO Hypochondroplasia 1H25: Pivotal trial fully enrolled VOXZOGO Idiopathic Short Stature 1H25: Phase 2 study enrolling VOXZOGO Noonan/Turner/SHOX Syndrome 1H25: Phase 2 study enrolling BMN 333 ACH & HCH 2H25: PK data; 1H26: PK presentation PALYNZIQ Phenylketonuria (12-17) 1H25: Phase 3; 2H25: sBLA filing BMN 390 Phenylketonuria (Novel PEG) 1H26: FIH study start BMN 351 Duchenne Muscular Dystrophy 2H25: Clinical POC presentation BMN 349 Alpha-1 Antitrypsin Deficiency 1H25: Patient study start BMN 370 von Willebrand Disease 2026: FIH study start Anticipated Near-Term R&D Milestones Skeletal Conditions Enzyme Therapies Pipeline
Page 20
20 PURPOSE-DRIVEN. PATIENT-FOCUSED. FUTURE-READY.
Page 21
Q&A Thank you.
Page 22
Appendix Reconciliation of GAAP Reported to Selected Non-GAAP Adjusted Information
Page 23
23 Reconciliation of GAAP Reported to Selected Non-GAAP Adjusted Information(1) (1) Certain amounts may not sum or recalculate due to rounding. (2) Represents a payment triggered by a third party's attainment of a regulatory approval milestone related to previously sold intangible assets. (3) These amounts represent severance and restructuring costs related to the company's 2024 portfolio strategy review and the associated organizational redesign efforts announced in the second and third quarters of 2024. These amounts also include impairments of certain right-of-use and fixed assets. (4) Represents a downward adjustment to non-marketable equity securities recorded in Other income (expense), net.
Page 24
24 Reconciliation of GAAP Reported to Selected Non-GAAP Adjusted Information(1) (1) Certain amounts may not sum or recalculate due to rounding. (2) Represents a payment triggered by a third party's attainment of a regulatory approval milestone related to previously sold intangible assets. (3) These amounts represent severance and restructuring costs related to the company's 2024 portfolio strategy review and the associated organizational redesign efforts announced in the second and third quarters of 2024. These amounts also include impairments of certain right-of-use and fixed assets. GAAP Income from Operations Adjustments Stock-based compensation expense Amortization of intangible assets Gain on sale of nonfinancial assets (2) Severance and restructuring costs (3) Non-GAAP Income from Operations Nine Months Ended September 30, 2024 Percent of GAAP Total Revenue 2023 Percent of GAAP Total Revenue $ 323 15.3 % $ 158 8.9 % 150 7.2 152 8.6 34 1.6 47 2.7 (10) (0.5) — — 87 4.1 (1) (0.1) $ 583 27.7 % $ 357 20.1 %
Page 25
25 Reconciliation of GAAP Reported to Selected Non-GAAP Adjusted Information(1) (1) Certain amounts may not sum or recalculate due to rounding. (2) Represents a payment triggered by a third party's attainment of a regulatory approval milestone related to previously sold intangible assets. (3) These amounts represent severance and restructuring costs related to the company's 2024 portfolio strategy review and the associated organizational redesign efforts announced in the second and third quarters of 2024. These amounts also include impairments of certain right-of-use and fixed assets. (4) Represents a downward adjustment to non-marketable equity securities recorded in Other income (expense), net. GAAP Diluted EPS Adjustments Stock-based compensation expense Amortization of intangible assets Gain on sale of nonfinancial assets (2) Severance and restructuring costs (3) Loss on investments (4) Income tax effect of adjustments Non-GAAP Diluted EPS Nine Months Ended September 30, 2024 2023 $ 1.56 $ 0.77 0.76 0.76 0.17 0.24 (0.05) — 0.44 — 0.03 0.06 (0.31) (0.23) $ 2.60 $ 1.60
Page 26
26 Reconciliation of GAAP Reported to Selected Non-GAAP Adjusted Information(1) (1) Common stock issuable under the company’s convertible debt was excluded from the computation of GAAP Weighted-Average Diluted Shares Outstanding when they were anti-dilutive. If converted, for the prior year comparative period, the company would have issued approximately 4.4 million shares under the convertible notes due in 2027. GAAP Weighted-Average Diluted Shares Outstanding Adjustments Common stock issuable under the company’s convertible debt (1) Non-GAAP Weighted-Average Diluted Shares Outstanding Nine Months Ended September 30, 2024 2023 196.7 195.0 — 4.4 196.7 199.4