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EXACT SCIENCES 1 We will help eradicate cancer by preventing it, detecting it earlier, and guiding personalized treatment. J.P. Morgan Health Care Conference 2025 January 13, 2025
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This presentation contains forward-looking statements concerning our expectations, anticipations, intentions, beliefs or strategies regarding the future. These forward-looking statements are based on assumptions that we have made as of the date hereof and are subject to known and unknown risks and uncertainties that could cause actual results, conditions and events to differ materially from those anticipated. Therefore, you should not place undue reliance on forward-looking statements. Examples of forward-looking statements include, among others, statements we make regarding expected future operating results; expectations for development and launch of new or improved products and services; our strategies, positioning, resources, capabilities and expectations for future events or performance; and the anticipated benefits of our acquisitions, including estimated synergies and other financial impacts. Risks and uncertainties that could adversely affect the Company’s business and prospects, and otherwise cause actual results to differ materially from those anticipated, include without limitation, those described in the filings made by the Company with the SEC, including its most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statements presented herein to reflect any change in expectations or any change in events, conditions or circumstances on which any such statements are based. In addition to the Company's financial results determined in accordance with U.S. GAAP, the company provides non-GAAP measures that it determines to be useful in evaluating its operating performance and liquidity. Management believes that presentation of operating results using non-GAAP financial measures provides useful supplemental information to investors and facilitates the analysis of the Company’s core operating results and comparison of operating results across reporting periods. Management also uses non-GAAP financial measures to establish budgets, manage the Company’s business, and set incentive and compensation arrangements. Please refer to the appendix accompanying this presentation for discussion of non-GAAP financial measures and reconciliations to GAAP financial measures included in this presentation. Safe harbor and non-GAAP disclosures EXACT SCIENCES 2
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EXACT SCIENCES Molecular residual disease Colon cancer screening Multi-cancer screening $18B TAM $15B TAM $25B TAM 3EXACT SCIENCES oncodetect TM cancerguard TM Source: Exact Sciences estimates, U.S. markets only; tests are not yet launched; Exact Sciences is preparing for the commercialization of Cologuard Plus, Oncodetect, and Cancerguard Launching three new advanced cancer tests in 2025 cologuard plus TM early 2Q25 2Q25 2H25
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EXACT SCIENCES 4 Exact Sciences is a global leader in advanced cancer diagnostics with a differentiated platform OUR PEOPLE OUR IMPACT & SCALE OUR CAPABILITIES Unrivaled ExactNexus tech platform enabling connectivity across healthcare Proprietary scientific platform detects cancer earlier and accurately Powerful commercial engine, deep relationships, broad platform 7,000+ team members 1,400+ person commercial team 500+ R&D team members 4.5M test results in 2024 $2.76B total revenue, up 10% Y/Y 11.5% adj. EBITDA margin, up 250 bps Y/Y Note: 2024 revenue represents preliminary, unaudited figure provided on Jan. 12, 2025 2024 adj. EBITDA represents midpoint of latest guidance provided on Nov. 5, 2024
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EXACT SCIENCES 5 Expand and leverage our platform Invest in world-class talent dedicated to fighting cancer Offer tests that impact decision-making Increase access & drive adoption Generate rock-solid clinical evidence Grow revenue and profits to fuel our mission The Exact Sciences platform enables sustainable revenue growth and profitability improvement over time
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EXACT SCIENCES Two quality franchises with leading brands and patient impact 6 PRECISION ONCOLOGY ~24% of 2024 revenue SCREENING ~76% of 2024 revenue Includes tests in development, which are not available for sale or approved by FDA colorectal cancer screening multi-cancer testing colorectal cancer screening colorectal cancer screening Indicates on-market tests early-stage therapy testing solid tumor molecular residual disease therapy selection (tissue) hereditary cancer testing
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EXACT SCIENCES 7 Magnifying the impact of our advanced tests with data, tools, and AI Source: Exact Sciences internal data Health systems 390+ electronic connections Payers 865+ in-network agreements Patients ~29M patient records Healthcare providers 260K+ ordered in 2024 Closing care gaps through population health management Enabling superior patient and provider engagement Improving test adherence and adoption Enabling automated prior authorizations and billing
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8 Cologuard has become synonymous with colon cancer screening and saved the U.S. healthcare system $22 billion 2019 2024 tests completed annually 1.7M 4M+ Future 14M Non-invasive Highly accurate No time off work Easy to use No preparation Guideline recommended Broad reimbursement Benefits of Cologuard EXACT SCIENCES Source: Exact Sciences internal data
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EXACT SCIENCES $2.104B 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024E Screening revenue Cologuard is an open-ended growth story with multiple tailwinds 21% 5-year CAGR 9 Growth drivers Cologuard Plus Rescreens Commercial productivity 45-49 age group Rescreens (recurring testing) Care gap programs 45-49 age group 2024 Screening revenue represents preliminary, unaudited figure provided on Jan. 12, 2025 Note: CAGR calculated using GAAP figures from 2019 and preliminary, unaudited figure provided on Jan. 12, 2025
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EXACT SCIENCES 1.1M 1.4M 1.6M 2.1M 2.3M 0.2M 0.4M 0.5M 0.6M 2023 2024 2025E 2026E 2027E Eligible for first rescreen Eligible for second rescreen Eligible for third rescreen 10 Cologuard repeat testing opportunities compound nearly 25% over the next three years 1.2M 1.6M 2.0M 2.6M 3.0M Source: Exact Sciences internal data
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EXACT SCIENCES 11 Closing gaps in care through large, organized screening programs annual test opportunity within Medicare Advantage 1M+ Source: Exact Sciences internal data
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Tim’s story Tim’s story 12
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EXACT SCIENCES Range: 0-100 Oncotype DX is the global standard of care in early-stage breast cancer treatment 100K+ patients with published prospective outcomes TAILORx 10K women, 12 years RxPONDER 5K women, 5 years 13 ASCO® NCCN® ESMO ST. GALLEN NICE Included in all major breast cancer treatment guidelines Source: Sparano et al., N Engl J Med (2018); Geyer et al., NPJ Breast Cancer (2018)
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EXACT SCIENCES 14 Oncotype DX provides a platform for global growth $655M 2006 2009 2012 2015 2018 2021 2024E Precision Oncology revenue 4-year CAGR: 10% Exact Sciences combined with Genomic Health in Nov. 2019 Growth drivers Therapy selection International adoption Biopharma partnerships Molecular residual disease 2024 Precision Oncology revenue represents preliminary, unaudited figure provided on Jan. 12, 2025 Note: CAGR calculated using GAAP figures from 2020 and preliminary, unaudited figure provided on Jan. 12, 2025
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EXACT SCIENCES DNA preservation Proprietary sample prep Next-gen sequencing PCR AI/machine learning Bioinformatics 15 Combining our scientific platform with world-class collaborations to solve patient needs RNA ProteinsDNA Technologies CollaborationsMulti-omics
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EXACT SCIENCES Cologuard revolutionized colon cancer screening and Cologuard Plus can have an even greater impact 16 Source: Cologuard Plus Instructions for Use (2024); Cologuard Plus test demonstrates 91% specificity including non-advanced findings, 93% specificity including no findings, and 94% specificity when age-weighted to the U.S. population with no findings on colonoscopy 95% cancer sensitivity 94% specificity (incl. no findings on colonoscopy) Progress with multi-cancer early detection and upcoming milestones Make available as a lab developed test in in 2025 Better health outcomes Improved test economics Fewer follow-up colonoscopies Increased health system savings More rescreen opportunities
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EXACT SCIENCES 17 Progress with Oncodetect and upcoming milestones Oncodetect uses unique science to predict and detect cancer relapses earlier Progress with multi-cancer early detection and upcoming milestones Make available as a lab developed test in in 2025 Progress with Oncodetect and upcoming milestones Present data in coming weeks Launch with reimbursement in colorectal cancer in 2Q25 Accepted publication in peer-reviewed journal Source: Mayo Clinic, Cancer: Overview and Facts (2024) 85% relapses caught too late Problem 50-200 mutations moving to 2K+ Tumor-informed solution
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EXACT SCIENCES 14% 18 of cancers are found through recommended screening could reduce cancer mortality by 17% Cancerguard screens for multiple types of cancer through a single blood draw Problem Solution Progress with multi-cancer early detection and upcoming milestones Make available as a lab developed test in in 2025 Progress with Cancerguard and upcoming milestones Generate real-world evidence with health systems Launch in 2H25 Published data showing 67% sensitivity for 6 deadliest cancers standard of care Source: NORC at the University of Chicago; Briggs et. al, AACR liquid biopsy conference (2024)
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$2.76B 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024E 1919 Total revenue Driving strong and profitable growth 26% 5-year CAGR EXACT SCIENCES Note: 2024E revenue represents preliminary, unaudited figures provided on Jan. 12, 2025; CAGR calculated using GAAP figures from 2019 and preliminary, unaudited figure provided on Jan. 12, 2025 adjusted EBITDA in 2024, up >44% Y/Y $315M+
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EXACT SCIENCES ~15% compounded annual revenue growth 2022-2027 (excluding COVID and prostate) 20%+ adjusted EBITDA margin in 2027 FINANCIAL TARGETS 20 Well-positioned to deliver on our long-range goals 20 Note: compounded annual revenue growth based on total revenue in 2022, excluding revenue generated from COVID-19 testing and the divested Oncotype prostate test
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EXACT SCIENCES 21 2025 focus areas Accelerate core growth Launch three new advanced cancer tests Extend and leverage our platform
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EXACT SCIENCES 22 We will help eradicate cancer by preventing it, detecting it earlier, and guiding personalized treatment. EXACT SCIENCES
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EXACT SCIENCES EXACT SCIENCES 23
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EXACT SCIENCES In addition to the Company's financial results determined in accordance with U.S. GAAP, the Company provided non-GAAP measures in this presentation that it determined to be useful in evaluating its operating performance. The Company presented adjusted EBITDA, adjusted EBITDA margin, non-GAAP gross margin, and non-GAAP gross profit. Adjusted EBITDA consist of net income after adjustment for those items shown in the table below. Adjusted EBITDA margin is calculated as adjusted EBITDA divided by total revenue. The Company defines non-GAAP gross profit and non-GAAP gross margin as GAAP gross profit and GAAP gross margin, respectively, excluding amortization of acquired intangible assets. The amortization of acquisition-related intangible assets used in the calculation of non-GAAP gross profit and non-GAAP gross margin pertain only to the amortization associated with developed technology acquired and recorded through purchase accounting transactions. The amortization of these intangible assets will recur in future periods until such intangible assets have been fully amortized. Management believes that presentation of operating results using non-GAAP financial measures provides useful supplemental information to investors and facilitates the analysis of the Company’s core operating results and comparison of operating results across reporting periods. The Company uses this non-GAAP financial information to establish budgets, manage the Company’s business, and set incentive and compensation arrangements. Non-GAAP financial information, when taken collectively, may be helpful to investors because it provides consistency and comparability with past financial performance. However, non-GAAP financial information is presented for supplemental information purposes only, has limitations as an analytical tool and should not be considered in isolation or as a substitute for financial information presented in accordance with U.S. GAAP. For example, non-GAAP gross margin and non-GAAP gross profit exclude the amortization of acquired intangible assets although such measures include the revenue associated with the acquisitions. Additionally, adjusted EBITDA excludes a number of expense items that are included in net loss. As a result, positive adjusted EBITDA may be achieved while a significant net loss persists. For a reconciliation of these non- GAAP measures to GAAP, please see below tables. The Company presents certain forward-looking statements about the Company’s future financial performance that include non-GAAP measures. These non-GAAP measures include adjustments like stock-based compensation, acquisition and integration costs including gains and losses on contingent consideration that are difficult to predict for future periods, because the nature of the adjustments pertain to events that have not yet occurred. Additionally, management does not forecast many of the excluded items for internal use, and full preliminary GAAP net income information is not yet available. Information reconciling forward-looking non-GAAP measures to U.S. GAAP measures including guided 2024 adjusted EBITDA and non-GAAP gross margin is therefore not available without unreasonable effort and is not provided. The occurrence, timing and amount of any of the items excluded from GAAP to calculate non-GAAP could significantly impact the Company’s GAAP results. Appendix: Non-GAAP disclosure 24
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EXACT SCIENCES 25 EXACT SCIENCES CORPORATION Selected Unaudited Financial Information EBITDA and Adjusted EBITDA Reconciliations (Amounts in thousands) Twelve Months Ended December 31, 2023 2022 Net loss $ (204,149) $ (623,506) Interest expense 19,447 19,634 Income tax (benefit) expense 2,403 (9,064) Investment loss (income) (32,713) 19,425 Depreciation and amortization 206,608 197,558 Stock-based compensation (1) 271,218 239,092 Acquisition and integration costs (2) (11,762) (53,297) Impairment of long-lived assets (3) 621 15,969 (Gain) loss on sale of asset and divestiture related costs (4) (74,833) 17,309 Restructuring and business transformation (5) 5,744 33,499 Legal settlement (6) 36,186 — Adjusted EBITDA $ 218,770 $ (143,381) Adjusted EBITDA margin 9 % (7)% (1) Represents stock-based compensation expense and 401(k) match expense as the Company matches a portion of Exact Sciences employees’ contributions annually in the form of the Company’s common stock. (2) Represents acquisition and integration related costs incurred as a result of the Company’s business combinations. This includes fees for professional services and the remeasurement of the contingent consideration liabilities in connection with business combinations. (3) Represents impairment charges on the Company’s long-lived assets including acquired developed technology and supply agreement intangible assets and building leases. (4) Represents the gains and losses recorded on the sale of the intellectual property and know-how related to the Company’s Oncotype DX Genomic Prostate Score test to MDxHealth SA and related severance, accelerated stock-based compensation, legal, and other professional service fees related to the divestiture. (5) Represents severance and legal fees incurred by the Company as a result of proactive measures the Company put in place to address inflation, market volatility, and to simplify its organizational structure. (6) Represents initial settlement offer made to the United States Department of Justice (“DOJ”) concerning the DOJ’s investigation of Genomic Health’s compliance with the Medicare Date of Service billing regulations.