HAEMONETICS CORP 10-Q

ITEM 1. FINANCIAL STATEMENTS HAEMONETICS CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) Three Months Ended June 27, 2026 June 28, 2025 (Dollars and Shares in Thousands, Except Per Share Data) Net revenues $ 339,380 $ 321,394 Cost of goods sold 136,577 129,150 Gross profit 202,803 192,244 Operating expenses: Research and development 16,200 16,261 Selling, general and administrative 118,941 110,719 Amortization of acquired intangible assets 10,204 11,392 Total operating expenses 145,345 138,372 Operating income 57,458 53,872 Interest and other expense, net ( 9,884 ) ( 8,703 ) Income before provision for income taxes 47,574 45,169 Provision for income taxes 14,564 11,138 Net income $ 33,010 $ 34,031 Net income per common share: Basic $ 0.73 $ 0.71 Diluted $ 0.72 $ 0.70 Weighted average shares outstanding Basic 45,361 48,111 Diluted 45,704 48,353 The accompanying notes are an integral part of these condensed consolidated financial statements. 3 Table of Contents HAEMONETICS CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) Three Months Ended June 27, 2026 June 28, 2025 (Dollars in Thousands) Net income $ 33,010 $ 34,031 Other comprehensive (loss) income: Foreign currency translation adjustment, net of tax ( 4,708 ) 19,307 Unrealized gain (loss) on cash flow hedges, net of tax 798 ( 520 ) Reclassifications into earnings of cash flow hedge (gains) losses, net of tax ( 105 ) 55 Other comprehensive (loss) income ( 4,015 ) 18,842 Comprehensive income $ 28,995 $ 52,873 The accompanying notes are an integral part of these condensed consolidated financial statements. 4 Table of Contents HAEMONETICS CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) June 27, 2026 March 28, 2026 (Dollars in Thousands, Except Share Data) ASSETS Current assets: Cash and cash equivalents $ 223,384 $ 245,440 Accounts receivable, less allowance for credit losses of $ 3,618 as of June 27, 2026 and $ 3,693 as of March 28, 2026 216,071 216,855 Inventories, net 306,739 306,370 Prepaid expenses and other current assets 64,638 66,214 Total current assets 810,832 834,879 Property, plant and equipment, net 303,778 305,761 Intangible assets, less accumulated amortization of $ 374,828 as of June 27, 2026 and $ 363,763 as of March 28, 2026 434,512 447,655 Goodwill 656,884 656,368 Deferred tax asset 9,434 9,521 Other long-term assets 149,960 141,741 Total assets $ 2,365,400 $ 2,395,925 LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Notes payable and current maturities of long-term debt $ 4,956 $ 5,015 Accounts payable 56,338 51,056 Accrued payroll and related costs 38,145 68,191 Other current liabilities 163,796 158,337 Total current liabilities 263,235 282,599 Long-term debt 1,169,202 1,219,565 Deferred tax liability 38,691 38,048 Other long-term liabilities 57,171 59,393 Stockholders’ equity: Common stock, $ 0.01 par value; Authorized — 150,000,000 shares; Issued and outstanding — 45,471,313 shares as of June 27, 2026 and 45,252,667 shares as of March 28, 2026 455 453 Additional paid-in capital 566,759 554,137 Retained earnings 311,516 279,344 Accumulated other comprehensive loss ( 41,629 ) ( 37,614 ) Total stockholders’ equity 837,101 796,320 Total liabilities and stockholders’ equity $ 2,365,400 $ 2,395,925 The accompanying notes are an integral part of these condensed consolidated financial statements. 5 Table of Contents HAEMONETICS CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (UNAUDITED) Common Stock Additional Paid-in Capital Retained Earnings Accumulated Other Comprehensive Loss Total Stockholders’ Equity Shares Par Value (Dollars in Thousands, Except Share Data) Balance, March 28, 2026 45,252,667 $ 453 $ 554,137 $ 279,344 $ ( 37,614 ) $ 796,320 Employee stock purchase plan 73,033 1 3,122 — — 3,123 Exercise of stock options 7,244 — 426 — — 426 Issuance of restricted stock, net of cancellations 157,265 1 ( 1 ) — — — Tax withholding on employee equity awards ( 18,896 ) — ( 236 ) ( 838 ) — ( 1,074 ) Share-based compensation expense — — 9,311 — — 9,311 Net income — — — 33,010 — 33,010 Other comprehensive loss — — — — ( 4,015 ) ( 4,015 ) Balance, June 27, 2026 45,471,313 $ 455 $ 566,759 $ 311,516 $ ( 41,629 ) $ 837,101 Common Stock Additional Paid-in Capital Retained Earnings Accumulated Other Comprehensive Loss Total Stockholders’ Equity Shares Par Value (Dollars in Thousands, Except Share Data) Balance, March 29, 2025 48,215,899 $ 482 $ 523,264 $ 352,174 $ ( 55,084 ) $ 820,836 Employee stock purchase plan 64,884 1 3,475 — — 3,476 Exercise of stock options 9,141 — 698 ( 236 ) — 462 Shares repurchased ( 363,886 ) ( 4 ) 26,051 ( 26,047 ) — — Issuance of restricted stock, net of cancellations 250,532 3 ( 3 ) — — — Tax withholding on employee equity awards ( 17,847 ) — ( 783 ) ( 3,876 ) — ( 4,659 ) Share-based compensation expense — — 9,312 — — 9,312 Net income — — — 34,031 — 34,031 Other comprehensive income — — — — 18,842 18,842 Balance, June 28, 2025 48,158,723 $ 482 $ 562,014 $ 356,046 $ ( 36,242 ) $ 882,300 The accompanying notes are an integral part of these condensed consolidated financial statements. 6 Table of Contents HAEMONETICS CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Three Months Ended June 27, 2026 June 28, 2025 (Dollars in Thousands) Cash Flows from Operating Activities: Net income $ 33,010 $ 34,031 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 27,111 28,758 Amortization of fair value inventory step-up — 2,436 Share-based compensation expense 9,311 9,312 Deferred income taxes 668 ( 3,231 ) Other non-cash operating activities 2,227 1,571 Change in operating assets and liabilities: Change in accounts receivable 297 3,557 Change in inventories ( 1,004 ) 3,296 Change in prepaid income taxes 6,101 3,346 Change in other assets and other liabilities ( 12,783 ) ( 17,785 ) Change in accounts payable and accrued expenses ( 12,615 ) ( 47,896 ) Net cash provided by operating activities 52,323 17,395 Cash Flows from Investing Activities: Capital expenditures ( 7,906 ) ( 3,754 ) Non-cash transfers from inventory to property, plant and equipment for Haemonetics equipment ( 5,565 ) ( 11,460 ) Proceeds from sale of property, plant and equipment 237 297 Other investments ( 9,000 ) ( 18,083 ) Net cash used in investing activities ( 22,234 ) ( 33,000 ) Cash Flows from Financing Activities: Payments on revolving credit facility ( 50,000 ) — Repayment of term loan borrowings ( 1,563 ) ( 1,563 ) Proceeds from employee stock purchase plan 3,123 3,476 Proceeds from exercise of stock options 426 462 Cash used to net share settle employee equity awards ( 3,500 ) ( 4,781 ) Other financing activities ( 14 ) ( 36 ) Net cash used in financing activities ( 51,528 ) ( 2,442 ) Effect of exchange rates on cash and cash equivalents ( 617 ) 4,182 Net Change in Cash and Cash Equivalents ( 22,056 ) ( 13,865 ) Cash and Cash Equivalents at Beginning of Period 245,440 306,763 Cash and Cash Equivalents at End of Period $ 223,384 $ 292,898 The accompanying notes are an integral part of these condensed consolidated financial statements. 7 Table of Contents HAEMONETICS CORPORATION AND SUBSIDIARIES NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 1. BASIS OF PRESENTATION Basis of Presentation The accompanying unaudited condensed consolidated financial statements of Haemonetics Corporation (“Haemonetics” or the “Company”) presented herein have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. In the opinion of the Company’s management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. All intercompany transactions have been eliminated. Operating results for the three months ended June 27, 2026 are not necessarily indicative of the results that may be expected for the full fiscal year ending April 3, 2027 or any other interim period. These unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and footnotes included in the Annual Report on Form 10-K for the fiscal year ended March 28, 2026. The Company considers events or transactions that occur after the balance sheet date but prior to the issuance of the financial statements to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure. There were no material recognized or unrecognized subsequent events as of or for the three months ended June 27, 2026, except for those discussed in Note 12, Notes Payable and Long-term Debt. Segment Reorganization On June 5, 2026, the Company implemented an organizational realignment designed to align its commercial operations into two global reportable segments by combining the previously reported Plasma and Blood Center reportable segments into Apheresis and renaming the Hospital reportable segment to MedSurg. This organizational structure reflects how the Company is organized to manage operations, allocate resources and evaluate performance. Accordingly, all prior-period segment information presented has been recast to reflect the current reportable segment structure. 2. RECENT ACCOUNTING PRONOUNCEMENTS Recently Issued Accounting Pronouncements Not Yet Adopted In November 2024, the FASB issued ASC Update No. 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures . ASC Update No. 2024-03 requires detailed cost and expense information disaggregated in the financial statements notes. The updated guidance is effective for fiscal years beginning after December 15, 2026 and interim reporting periods within annual reporting periods beginning after December 15, 2027, with early adoption permitted. ASC Update No. 2024-03 is applicable to Haemonetics beginning with the fiscal 2028 Annual Report on Form 10-K and the Company is currently evaluating the impact to its interim and annual report disclosures. In July 2025, the FASB issued ASC Update No. 2025-05, Financial Instruments - Credit Losses ( Topic 326 ). ASC Update No. 2025-05 introduces a practical expedient related to the estimation of expected credit losses for current accounts receivable and current contract assets that arise from transactions accounted for under FASB Accounting Standards Codification 606. Under ASC Update No. 2025-05, an entity is required to disclose whether it has elected to use the practical expedient. An entity that makes the accounting policy election is required to disclose the date through which subsequent cash collections are evaluated. The updated guidance is effective for fiscal years beginning December 15, 2025, with early adoption permitted. ASC Update No. 2025-05 is applicable to Haemonetics beginning with the fiscal 2027 Annual Report on Form 10-K and the Company is currently evaluating the impact to its interim and annual report disclosures. The guidance can be applied on a prospective basis with the option to apply the standard retrospectively. In September 2025, the FASB issued ASC Update No. 2025-06, Intangibles - Goodwill and Other - Internal-Use Software . ASC Update No. 2025-06 eliminates references to development stages in the capitalization guidance and requires costs to be capitalized once management authorizes funding and will be completed and used as intended. The updated guidance is effective for fiscal years beginning after December 15, 2027, with early adoption permitted. ASC Update No. 2025-06 is applicable to Haemonetics beginning with the fiscal 2029 Annual Report on Form 10-K and the Company is currently evaluating the impact to its interim and annual report disclosures. The guidance can be applied on a prospective basis with the option to apply the standard retrospectively. 8 Table of Contents In November 2025, the FASB issued ASC Update No. 2025-09, Derivatives and Hedging. ASC Update No. 2025-09 enables groups of forecasted transactions to now share similar risk exposure with ongoing assessments of risk similarity to better reflect economic hedging strategies. The updated guidance is effective for fiscal years beginning after December 15, 2028, with early adoption permitted. ASC Update No. 2025-09 is applicable to Haemonetics beginning with the fiscal 2030 Annual Report on Form 10-K and the Company is currently evaluating the impact to its interim and annual report disclosures. The guidance can be applied on a prospective basis with the option to apply the standard retrospectively. In December 2025, the FASB issued ASC Update No. 2025-11, Interim Reporting. ASC Update No. 2025-11 improves navigability and consistency in interim reporting by providing a comprehensive list of interim disclosures that are required from U.S. GAAP as well as a disclosure principle for additional transparency. The updated guidance is effective for fiscal years beginning after December 15, 2027, with early adoption permitted. ASC Update No. 2025-11 is applicable to Haemonetics beginning with the fiscal 2029 Annual Report on Form 10-K and the Company is currently evaluating the impact to its interim and annual report disclosures. In December 2025, the FASB issued ASC Update No. 2025-12, Codification Improvements. ASC Update No. 2025-12 makes a broad set of technical corrections, clarifications and targeted improvements to the FASB Accounting Standards Codification to address unintended application issues and improve the operability of U.S. GAAP across a range of topics. The updated guidance is effective for fiscal years beginning after December 15, 2026, with early adoption permitted. ASC Update No. 2025-12 is applicable to Haemonetics beginning with the fiscal 2028 Annual Report on Form 10-K and the Company is currently evaluating the impact to its interim and annual report disclosures. 3. ACQUISITIONS AND STRATEGIC INVESTMENTS A cquisitions Vivasure Medical Limited On January 9, 2026, the Company acquired all of the outstanding equity interests of Vivasure Medical Limited (“Vivasure”) for a net purchase price of $ 166.1 million. The net purchase price included $ 60.2 million paid in cash at closing, net of $ 0.4 million cash acquired and after giving effect to the value of certain prior investments and loans made by the Company to Vivasure, as well as other customary closing adjustments, and the fair value of contingent consideration of $ 20.7 million. The contingent consideration is based on sales growth over the three years following the completion of the acquisition and the achievement of certain other milestones and is also subject to adjustments based on the value of certain prior investments and loans. The Company financed this transaction through available cash on hand. During the fourth quarter of fiscal 2026, the Company recorded a gain of $ 4.9 million within interest and other expense, net on the consolidated statements of income as a result of the remeasurement of the Company’s prior equity interest of approximately 30 % in Vivasure, which had a fair value of $ 47.3 million. Vivasure is a Galway, Ireland-based company pioneering next-generation technology for percutaneous vessel closure. Vivasure’s PerQseal ® Elite system uses a proprietary bioabsorbable patch to seal large-bore (up to 26 F) arteriotomies and venotomies from inside the vessel, offering a sutureless, fully absorbable solution for structural heart and endovascular procedures. In 2025, Vivasure submitted a premarket approval application to the U.S. FDA for the PerQseal Elite arterial closure system and received CE Mark in Europe for both arterial and venous indications. The addition of Vivasure expands the MedSurg business unit portfolio in the interventional cardiology market and will be included in the MedSurg reportable segment. Purchase Price Allocation The Company accounted for the acquisition as a business combination, and in accordance with FASB ASC 805, Business Combinations (Topic 805), recorded the assets acquired and liabilities assumed at their fair values as of the acquisition date. The fair value of assets acquired and liabilities assumed have been recognized based on management’s estimates and assumptions using the information regarding facts and circumstances that existed at the closing date. The assessment of fair value is preliminary and is based on information that was available at the time the Company’s consolidated financial statements were prepared. Measurement period adjustments may arise upon the availability of further information regarding events or circumstances that existed at the acquisition date and will be recorded in the period in which they are determined, as if they had been completed at the acquisition date. During the first quarter of fiscal 2027 the Company recorded measurement period adjustments that were considered not material. The finalization of the Company’s purchase accounting assessment could result in changes in the valuation of assets acquired and liabilities assumed, which could be material. The final determination of the fair value of certain assets and liabilities will be completed within the measurement period as required by Topic 805. 9 Table of Contents The total purchase price of $ 166.1 million consists of the amounts presented below, which represent the initial determination of the fair value of the identifiable assets acquired and liabilities assumed: January 9, 2026 (Dollars in Thousands) Cash and cash equivalents $ 449 Accounts receivable 21 Inventories 1,056 Prepaid expenses and other current assets 1,736 Property, plant and equipment 575 Intangible assets 117,100 Goodwill 52,193 Other long-term assets 1,972 Total assets acquired $ 175,102 Accounts payable 1,186 Accrued payroll and related costs 2,889 Other current liabilities 4,741 Other long-term liabilities 199 Total liabilities assumed 9,015 Net assets acquired $ 166,087 The Company determined that the identifiable intangible asset was primarily developed technology. The fair value of the intangible asset was based on valuation techniques with estimates and assumptions developed by the Company. Developed technology was valued using the excess earnings method. In developing the discount rates applied to the cash flow projections, the discount rates were benchmarked with reference to the implied rate of return from the transaction model and the weighted average cost of capital and then adjusted to reflect the relative risk of the asset. The excess of the purchase price over the tangible assets, identifiable intangible asset and assumed liabilities was recorded as goodwill. As a result of the acquisition of Vivasure, the Company recognized goodwill of $ 52.2 million based on expected synergies from integration into the Company’s MedSurg business unit. The goodwill is not deductible for tax purposes and relates entirely to the MedSurg reportable segment. Intangible assets acquired consist of the following: Amount Weighted-Average Amortization Period Risk-Adjusted Discount Rates used in Purchase Price Allocation (Dollars in Thousands) Developed technology $ 117,100 16 years 16.5 % Total $ 117,100 Acquisition-Related Costs The Company incurred $ 1.1 million of acquisition-related costs during fiscal 2026 in connection with the Vivasure acquisition. These costs related to legal and other professional fees, which were recognized in selling, general and administrative on the consolidated statements of income. The Company’s consolidated financial statements include the results of Vivasure from the date the acquisition was completed. Pro forma financial information has not been presented as the acquisition is not material to the Company’s overall financial results. For information regarding the remeasurement of the contingent consideration liability refer to Note 13, Financial Instruments and Fair Value Measurements. Strategic Investments As part of its business development strategy, the Company maintains strategic investments in certain entities. The carrying value of the Company’s strategic investments was $ 24.7 million as of June 27, 2026 and $ 19.2 million as of March 28, 2026. These investments are included within other long-term assets in the Company’s condensed consolidated balance sheets. 10 Table of Contents During the three months ended June 27, 2026, the Company recognized a $ 1.0 million loss related to an equity method investment, which reduced the carrying value of the investment accordingly. Other than this adjustment, the Company did not record any material adjustments to the carrying value of its strategic investments during the three months ended June 27, 2026 or June 28, 2025. 4. REVENUE As of June 27, 2026, the Company had $ 31.0 million of transaction price allocated to remaining performance obligations related to executed contracts with an original duration of one year or more. The Company expects to recognize approximately 70 % of this amount as revenue within the next twelve months and the remaining balance thereafter. Contract Balances The timing of revenue recognition, billings and cash collections results in billed accounts receivable, unbilled receivables and contract assets, as well as customer advances, customer deposits and deferred revenue (contract liabilities) on the condensed consolidated balance sheets. The difference in timing between billing and revenue recognition primarily occurs in software licensing arrangements, resulting in contract assets and contract liabilities. As of June 27, 2026 and March 28, 2026, the Company had contract liabilities of $ 48.6 million and $ 42.3 million, respectively. During the three months ended June 27, 2026, the Company recognized $ 15.8 million of revenue that was included in the above March 28, 2026 contract liability balance. Contract liabilities are classified as other current liabilities on the condensed consolidated balance sheets. As of June 27, 2026 and March 28, 2026, the Company’s contract assets were $ 6.1 million and $ 5.5 million, respectively. 5. RESTRUCTURING On an ongoing basis, the Company assesses the global economy, the healthcare industry, and the markets in which it competes to identify opportunities for efficiencies, enhance commercial capabilities, align its resources and offer its customers better solutions. In order to realize these opportunities, the Company undertakes restructuring-type activities to transform its business. Operational Excellence Program In July 2019, the Board of Directors of the Company approved the Operational Excellence Program (the “2020 Program”) and delegated authority to the Company’s management to determine the detail of the initiatives that will comprise the program. The 2020 Program closed as of March 29, 2025. During the three months ended June 28, 2025, the Company recognized reversals of previously incurred costs of $ 0.1 million. Portfolio Rationalization Initiatives In November 2023, the C ompany announced its plans to end of life the ClotPro analyzer system within the previously named Hospital business unit and certain products within the previously named Blood Center business unit, primarily in Whole Blood, including the associated manufacturing operations and closure of certain other facilities. These portfolio rationalization initiatives closed as of March 29, 2025 . During the three months ended June 28, 2025, the Company recognized reversals of previously incurred costs of $ 1.5 million related to the divestiture of the Whole Blood product line. Market and Regional Alignment Initiative In May 2025, the Board approved a market and regional alignment initiative and delegated authority to the Company’s management to determine the details of the specific actions that will comprise the initiative. This strategic initiative is designed to improve operational performance and reduce costs by directing the Company’s resources toward the markets and geographies that offer the greatest growth and portfolio advancement opportunities. The amounts and timing of estimated costs and savings are subject to change until finalized. The actual amounts and timing may vary materially based on various factors. Under this initiative the Company incurred restructuring and restructuring related costs of $ 2.3 million and $ 2.8 million during the three months ended June 27, 2026 and June 28, 2025, respectively. Total cumulative charges under the market and regional alignment initiative are $ 7.9 million as of June 27, 2026. 11 Table of Contents The following table summarizes the activ ity for restructuring reserves related to the 2020 Pr ogram, the portfolio rationalization initiatives and the market and regional alignment initiative for the three months ended June 27, 2026, substantially all of which relates to employee severance, other employee costs, inventory reserves and lease termination fees: 2020 Program Portfolio Rationalization Initiatives Market and Regional Alignment Total Balance as of March 28, 2026 $ 23 $ 716 $ 568 $ 1,307 Costs incurred, net of reversals — — 2,298 2,298 Payments ( 23 ) ( 329 ) ( 2,091 ) ( 2,443 ) Balance as of June 27, 2026 $ — $ 387 $ 775 $ 1,162 The following presents the net restructuring costs by line item within the Company’s accompanying unaudited condensed consolidated statements of income: Three Months Ended June 27, 2026 June 28, 2025 (Dollars in Thousands) Cost of goods sold $ 783 $ ( 385 ) Research and development ( 8 ) 685 Selling, general and administrative expenses 1,523 966 Total $ 2,298 $ 1,266 As of June 27, 2026, the Company had a restructuring liability of $ 1.2 million, all of which is payable within the next twelve months. In addition to the restructuring expenses included in the table above, the Company also incurred costs that do not constitute restructuring costs under FASB ASC Topic 420, Exit and Disposal Cost Obligations, and which the Company instead refers to as restructuring related costs. These costs consist primarily of expenditures directly related to the restructuring actions. The tables below present restructuring and restructuring related costs by reportable segment: Three Months Ended June 27, 2026 June 28, 2025 (Dollars in Thousands) Restructuring costs Apheresis $ 13 $ ( 452 ) MedSurg 2,309 576 Corporate ( 24 ) 1,142 Total $ 2,298 $ 1,266 Restructuring related costs Apheresis $ — $ 9 MedSurg — — Corporate ( 40 ) 49 Total $ ( 40 ) $ 58 Total restructuring and restructuring related costs $ 2,258 $ 1,324 6. INCOME TAXES The Company conducts business globally and reports its results of operations in a number of foreign jurisdictions in addition to the United States. The Company’s reported tax rate differs from the statutory tax rate due to the jurisdictional mix of earnings in any given period as the foreign jurisdictions in which it operates have tax rates that differ from the U.S. statutory tax rate. The Company’s effective tax rate is adversely impacted by non-deductible expenses including executive compensation and is favorably impacted by the jurisdictional mix of earnings and research credits generated. 12 Table of Contents For the three months ended June 27, 2026, the Company reported income tax expense of $ 14.6 million representing an effective tax rate of 30.6 %. The effective tax rate for the three months ended June 27, 2026 includes $ 1.7 million of discrete tax expense, primarily related to stock compensation shortfalls and valuation allowance impacts related to losses in certain recently acquired jurisdictions. For the three months ended June 28, 2025, the Company reported income tax expense of $ 11.1 million, representing an effective tax rate of 24.7 %. The effective tax rate for the three months ended June 28, 2025 includes $ 0.1 million of discrete tax expense, primarily related to stock compensation shortfalls. The increase in the reported tax rate for the three months ended June 27, 2026, compared to the same period in fiscal 2026, relates primarily to the increase in net stock compensation shortfalls and the impact of losses incurred in certain jurisdictions for which no tax benefit was recognized. 7. EARNINGS PER SHARE The following table provides a reconciliation of the numerators and denominators of the basic and diluted earnings per share computations: Three Months Ended June 27, 2026 June 28, 2025 (Dollars and Shares in Thousands, Except Per Share) Net income $ 33,010 $ 34,031 Basic weighted average shares outstanding 45,361 48,111 Dilutive net effect of common stock equivalents 343 242 Diluted weighted average shares 45,704 48,353 Net income per share Basic $ 0.73 $ 0.71 Diluted $ 0.72 $ 0.70 Anti-dilutive shares excluded from the calculation 880 947 Basic earnings per share is calculated using the Company’s weighted average outstanding common shares. Diluted earnings per share is calculated using its weighted-average outstanding common shares including the dilutive effect of stock awards as determined under the treasury stock method and the outstanding convertible senior notes as determined under the net share settlement method. From the time of the issuance of the convertible senior notes, the average market price of the Company’s common shares has been less than the applicable initial conversion price, and consequently no shares have been included in diluted earnings per share for the co nversion values of both the convertible senior notes. 2022 Share Repurchase Program In August 2022, the Board approved a three-year share repurchase program authorizing the repurchase of up to $ 300.0 million of Haemonetics common stock, based on market conditions, through August 2025. In April 2025, the Company completed a $ 150.0 million repurchase of its common stock pursuant to an accelerated share repurchase agreement (“ASR”) entered into with Goldman Sachs & Co. in February 2025. The total number of shares repurchased under the ASR was 2,386,131 at an average price per share upon final settlement of $ 62.86 . As of March 29, 2025, the Company had fully funded the $ 300.0 million authorization under the 2022 share repurchase program. 13 Table of Contents 2025 Share Repurchase Program In April 2025, the Board approved a new three-year share repurchase program authorizing the repurchase of up to $ 500.0 million of Haemonetics common stock, based on market conditions, through April 2028. This new share repurchase program will help to offset the dilutive impact of recent and future employee equity grants. Under the share repurchase program, the Company is authorized to repurchase, from time to time, outstanding shares of common stock in accordance with applicable laws on the open market, including under trading plans established pursuant to Rule 10b5-1 under the Securities Exchange Act of 1934, as amended, and in privately negotiated transactions. The actual timing, number and value of shares repurchased will be determined by the Company at its discretion and will depend on a number of factors, including market conditions, applicable legal requirements and compliance with the terms of loan covenants. The share repurchase program may be suspended, modified or discontinued at any time, and the Company has no obligation to repurchase any amount of its common stock under the program. During fiscal 2026, the Company repurchased 3,009,834 shares for $ 175.0 million at an average price per share upon settlement of $ 58.14 . As of June 27, 2026, the total remaining authorization for repurchases of the Company's common stock under the 2025 share repurchase program was $ 325.0 million. 8. INVENTORIES Inventories are stated at the lower of cost or net realizable value and include the cost of material, labor and manufacturing overhead. Cost is determined with the first-in, first-out method. June 27, 2026 March 28, 2026 (Dollars in Thousands) Raw materials $ 102,011 $ 114,873 Work-in-process 15,842 11,974 Finished goods 188,886 179,523 Total $ 306,739 $ 306,370 9. PROPERTY, PLANT AND EQUIPMENT June 27, 2026 March 28, 2026 (Dollars in Thousands) Land $ 2,321 $ 2,251 Building and building improvements 109,733 109,793 Plant equipment and machinery 197,811 197,552 Office equipment and information technology 131,642 131,085 Haemonetics equipment 379,549 371,205 Construction in progress 33,216 29,943 Property, plant and equipment, at cost 854,272 841,829 Less: accumulated depreciation ( 550,494 ) ( 536,068 ) Property, plant and equipment, net $ 303,778 $ 305,761 During the three months ended June 27, 2026 and June 28, 2025 depreciation expense was $ 15.4 million. 10. LEASES Lessor Activity Assets on the Company’s balance sheet classified as Haemonetics equipment primarily consist of medical devices installed at customer sites but owned by Haemonetics. These devices are leased to customers under contractual arrangements that typically include an operating or sales-type lease as well as the purchase and consumption of a certain level of disposable products. Contract terms vary by customer and may include options to terminate the contract or options to extend the contract. Where devices are provided under operating lease arrangements, a substantial majority of the entire lease revenue is variable and subject to subsequent non-lease component (disposable products) sales. The allocation of revenue between the lease and non-lease components is based on estimated stand-alone selling prices. Operating lease revenue represents approximately two percent of the Company’s total net revenues during the three months ended June 27, 2026. 14 Table of Contents 11. GOODWILL AND INTANGIBLE ASSETS On June 5, 2026, the Company implemented an organizational realignment designed to align its commercial operations into two global reportable segments by combining the previously reported Plasma and Blood Center reportable segments into Apheresis and renaming the Hospital reportable segment to MedSurg. This organizational structure reflects how the Company is organized to manage operations, allocate resources and evaluate performance. The Company has recast goodwill assigned to the Apheresis segment as of the beginning of the year by combining the goodwill from the previous Blood Center and Plasma segments into the new Apheresis segment. Each of the Company’s reporting units were tested for goodwill impairment prior to and subsequent to the re-alignments and no impairment was identified. The changes in the carrying amount of goodwill by operating segment for the first quarter of fiscal 2027 are as follows: Apheresis MedSurg Total (Dollars in Thousands) Carrying amount as of March 28, 2026 $ 55,931 $ 600,437 $ 656,368 Purchase accounting adjustments — 1,714 1,714 Currency translation ( 22 ) ( 1,176 ) ( 1,198 ) Carrying amount as of June 27, 2026 $ 55,909 $ 600,975 $ 656,884 The gross carrying amount of intangible assets and the related accumulated amortization as of June 27, 2026 and March 28, 2026 are as follows: Gross Carrying Amount Accumulated Amortization Net Carrying Amount Weighted Average Remaining Life (Years) June 27, 2026 (Dollars in Thousands) Amortizable: Developed technology $ 554,029 $ 201,421 $ 352,608 11.4 Customer contracts and related relationships 129,601 77,475 52,126 11.1 Capitalized software 97,636 83,741 13,895 3.1 Patents and other 7,422 4,763 2,659 5.3 Trade names 14,608 7,428 7,180 10.2 Total $ 803,296 $ 374,828 $ 428,468 Non-amortizable: In-process software development $ 6,044 Total $ 6,044 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Weighted Average Remaining Life (Years) March 28, 2026 (Dollars in Thousands) Amortizable: Developed technology $ 556,631 $ 193,114 $ 363,517 11.6 Customer contracts and related relationships 130,862 76,489 54,373 11.3 Capitalized software 95,880 82,284 13,596 2.9 Patents and other 7,422 4,613 2,809 5.5 Trade names 14,720 7,263 7,457 10.4 Total $ 805,515 $ 363,763 $ 441,752 Non-amortizable: In-process software development $ 5,903 Total $ 5,903 15 Table of Contents During fiscal 2026, the Company recorded total intangible asset impairment charges of $ 86.5 million. This included a $ 9.3 million intangible impairment charge related to the intellectual property associated with the HAS viscoelastic diagnostic devices, related assays and disposables within the MedSurg reportable segment, which was primarily recorded in the second quarter of fiscal 2026, and an intangible asset impairment charge of $ 77.2 million related to long-lived intangible assets associated with the acquisition of Attune Medical within the MedSurg reportable segment in the fourth quarter of fiscal 2026. In the fourth quarter of fiscal 2026, the Company acquired Vivasure and recorded $ 117.1 million of developed technology based on the purchase accounting valuation. Refer to Note 3, Acquisitions and Strategic Investments , for additional information regarding the acquisition. Intangible assets include the value assigned to license rights and other developed technology, patents, customer contracts and relationship s and trade names. The estimated useful lives for all of these intangible assets are approximately 5 to 15 years. During the three months ended June 27, 2026 and June 28, 2025, amortization expense was $ 11.8 million and $ 13.3 million, respectively. Future annual amortization expense on intangible assets for the next five years is estimated to be as follows: Amortization Expense (Dollars in Thousands) Remainder of Fiscal 2027 $ 34,659 Fiscal 2028 $ 44,832 Fiscal 2029 $ 43,585 Fiscal 2030 $ 42,317 Fiscal 2031 $ 40,690 12. NOTES PAYABLE AND LONG-TERM DEBT Notes payable and long-term debt consisted of the following: June 27, 2026 March 28, 2026 (Dollars in Thousands) Convertible notes $ 689,622 $ 688,775 Term loan, net of financing fees 233,834 235,131 Revolving credit facility 250,000 300,000 Other borrowings 702 674 Total debt 1,174,158 1,224,580 Less: current portion ( 4,956 ) ( 5,015 ) Long-term debt $ 1,169,202 $ 1,219,565 Convertible Senior Notes 2029 Notes On May 28, 2024, the Company issued $ 700.0 million aggregate principal amount of 2.5 % convertible senior notes due 2029 (the “2029 Notes”). The 2029 Notes are governed by the terms of the Indenture between the Company and U.S. Bank Trust Company, National Association, as trustee. The total net proceeds from the sale of the 2029 Notes, after deducting the initial purchasers’ discounts and debt issuance costs, were $ 682.8 million, with a portion of funds used to repay the entirety of the balance on the revolving credit facility under the Company’s second amended and restated credit agreement, to repurchase a portion of the Company’s convertible senior notes due in 2026, to complete capped call transactions in connection with the issuance of the 2029 Notes, as described further below, with the remaining proceeds available for other working capital requirements. The 2029 Notes will mature on June 1, 2029, unless earlier converted, redeemed or repurchased. Holders may convert their notes at their option at any time prior to the close of business on the business day immediately preceding December 1, 2028 only under the following circumstances: • During any calendar quarter (and only during such calendar quarter) beginning after September 30, 2024, if, the last reported sale price per share of the Company’s common stock exceeds 130 % of the applicable conversion price on each applicable trading day for at least 20 trading days (whether or not consecutive) in the period of the 30 consecutive trading day period ending on, and including, the last trading day of the immediately preceding calendar quarter; 16 Table of Contents • During the five business day period after any five consecutive trading day period in which, for each day of that period, the trading price per $1,000 principal amount of the 2029 Notes for such trading day was less than 98 % of the product of the last reported sale price of the Company’s common stock and the applicable conversion rate on such trading day; • The Company issues to common stockholders any rights, options, or warrants, entitling them, for a period of not more than 60 days, to purchase shares of common stock at a price per share less than the average closing sale price of 10 consecutive trading days, or the Company’s election to make a distribution to common stockholders exceeding 10 % of the previous day’s closing sale price; • Upon the occurrence of specified corporate events, as set forth in the indenture governing the 2029 Notes; or • Prior to the related redemption date if the Company calls the 2029 Notes for redemption. On or after December 1, 2028, until the close of business on the second scheduled trading day immediately preceding the maturity date, holders may convert all or a portion of their 2029 Notes, in multiples of $1,000 principal amount, at any time, regardless of the foregoing circumstances. The conversion rate for the 2029 Notes is 8.5385 shares of common stock per $1,000 principal amount of notes (which is equal to an initial conversion price of approximately $ 117.12 per share of the Company’s common stock), subject to adjustment as set forth in the Indenture. Upon conversion, the Company will pay cash up to the aggregate principal amount of the notes to be converted and pay or deliver, as the case may be, cash, common stock or a combination of cash and common stock, at the Company’s election, in respect of the remainder, if any, of the Company’s conversion obligation in excess of the aggregate principal amount of the notes being converted. If a make-whole adjustment event, as described in the Indenture, occurs and a holder elects to convert its 2029 Notes in connection with such make-whole adjustment event, such holder may be entitled to an increase in the conversion rate as described in the Indenture. During the first quarter of fiscal 2027, the conditions allowing holders of the 2029 Notes to convert have not been met. The 2029 Notes were therefore not convertible as of June 27, 2026 and were classified as long-term debt on the Company’s consolidated balance sheets. The 2029 Notes will be redeemable, in whole or in part, at the Company’s option at any time, and from time to time, on or after June 5, 2027 and on or before the 50th scheduled trading day immediately before the maturity date, if the last reported sale price per share of the Company’s common stock exceeds 130 % of the conversion price then in effect for at least 20 trading days (whether or not consecutive), including the trading day immediately preceding the date on which the Company provides notice of redemption, during any 30 consecutive trading day period ending on, and including, the trading day immediately before the date the Company sends the related redemption notice at a redemption price equal to 100 % of the principal amount of the 2029 Notes to be redeemed, plus accrued and unpaid interest to, but excluding the redemption date. Upon the occurrence of certain fundamental changes involving the Company, holders of the 2029 Notes may require the Company to repurchase for cash all or part of their 2029 Notes at a repurchase price equal to 100 % of the principal amount of the 2029 Notes to be repurchased, plus accrued and unpaid interest. As a result of the issuance of the 2029 Notes, the Company recorded debt issuance costs of $ 17.2 million, which are amortized to interest expense over the contractual term of the 2029 Notes at an effective interest rate of 3.0 %. As of June 27, 2026, the $ 700.0 million principal balance was netted down by $ 10.4 million of remaining debt issuance costs, resulting in a net convertible note payable of $ 689.6 million. Interest expense related to the 2029 Notes was $ 5.2 million and for the three months ended June 27, 2026, which includes nominal interest expense and the amortization of the debt issuance costs. The nominal interest rate is 2.5 % and the remaining debt issuance costs are amortized at an effective interest rate of 3.0 %. Capped Calls In connection with the issuance of the 2029 Notes, the Company entered into capped call transactions with certain counterparties (“Capped Calls”). The 2029 Notes Capped Calls each have an initial strike price of approximately $ 117.12 per share, and is subject to certain adjustments, which correspond to the initial conversion price of the convertible notes. The 2029 Notes Capped Calls have initial cap prices of $ 180.18 per share and is subject to certain adjustments. The Capped Calls are expected to partially offset the potential dilution to the Company’s common stock upon any conversion of the 2029 Notes, with such offset subject to a cap based on the cap price. The 2029 Notes Capped Calls cover approximately 5.98 million shares of the Company’s common stock and is subject to anti-dilution adjustments. For accounting purposes, the Capped Calls are separate transactions, and not part of the 2029 Notes. As these transactions meet certain accounting criteria, the Capped Calls are recorded in stockholders’ equity and are not accounted for as derivatives. The cost of $ 88.2 million incurred to purchase the 2029 Notes Capped Calls was recorded as a reduction to additional paid-in capital in fiscal 2025 and will not be remeasured. 17 Table of Contents Credit Facilities On April 30, 2024, the Company entered into a second amended and restated credit agreement with certain lenders to refinance its credit facilities initially entered into in 2022 and extended their maturity date through April 2029. The second amended and restated credit agreement provides for a $ 250.0 million senior unsecured term loan, and a $ 750.0 million senior unsecured revolving credit facility (together, the “2024 Revised Credit Facilities”). Loans under the 2024 Revised Credit Facilities bear interest at an annual rate equal to the Adjusted Term SOFR Rate (as specified in the second amended and restated credit agreement), which is subject to a floor of 0 %, plus an applicable rate ranging from 1.125 % to 1.750 % based on the Company’s consolidated net leverage ratio (as specified in the second amended and restated credit agreement) at the applicable measurement date. The revolving credit facility carries an unused fee that ranges from 0.125 % to 0.250 % annually based on the Company’s consolidated net leverage ratio at the applicable measurement date. The 2024 Revised Credit Facilities mature on April 30, 2029. The principal amount of the term loan under the 2024 Revised Credit Facilities amortizes quarterly through the maturity date at a rate of 2.5 % for the first three years following the closing date, 5.0 % for the fourth year following the closing date and 7.5 % for the fifth year following the closing date, with the unpaid balance due at maturity. Under the 2024 Revised Credit Facilities, the Company is required to maintain a consolidated leverage ratio not to exceed 4.0 :1.0 or, upon two occasions during the term of the facility, 4.5 :1.0 for the four consecutive fiscal quarters ended immediately following acquisitions meeting certain criteria specified in the agreement. The Company applied modification accounting for the credit facility refinancing, which resulted in the capitalization of an additional $ 5.9 million in lender fees and third-party costs. During the three months ended June 27, 2026 and June 28, 2025, the Company recognized $ 7.2 million and $ 4.3 million, respectively, of interest expense and amortization of debt issuance costs related to its credit facilities. As of June 27, 2026, $ 237.5 million was outstanding under the term loan with an effective interest rate of 5.7 %, which was netted down by the $ 3.7 million of remaining debt discount, resulting in a net note payable of $ 233.8 million. The Company has scheduled principal payments of $ 6.3 million required during the 12 months following June 27, 2026. In connection with the settlement of the convertible senior notes due in 2026, the Company borrowed $ 300.0 million under the revolving credit facility. During the first quarter of fiscal 2027, the Company repaid $ 50.0 million of the outstanding amount under the revolving credit facility. As of June 27, 2026, $ 250.0 million remained outstanding under the revolving credit facility. During the second quarter of fiscal 2027, the Company repaid an additional $ 50.0 million on the revolving credit facility. The Company also had $ 17.5 million of uncommitted operating lines of credit to fund its global operations under which there were no outstanding borrowings as of June 27, 2026. The Company was in compliance with the consolidated net leverage and interest coverage ratios specified in the 2024 Revised Credit Facilities as well as all other bank covenants as of June 27, 2026. Commitment Fee Pursuant to the 2024 Revised Credit Facilities, the Company is required to pay, on the last day of each calendar quarter, a commitment fee on the unused portion of the revolving credit facility. The commitment fee is subject to a pricing grid based on the Company’s consolidated net leverage ratio. The commitme nt fee ranges from 0.125 % to 0.250 %. The current commitment fee on the undrawn portion of the revolving credit facility is 0.200 %. The future aggregate amount of debt maturities are as follows: Debt Maturities (Dollars in Thousands) Remainder of Fiscal 2027 $ 6,294 Fiscal 2028 12,562 Fiscal 2029 18,816 Fiscal 2030 1,150,070 Fiscal 2031 74 Thereafter 386 Total debt maturities $ 1,188,202 18 Table of Contents 13. FINANCIAL INSTRUMENTS AND FAIR VALUE MEASUREMENTS The Company manufactures, markets and sells its products globally. During the three months ended June 27, 2026 and June 28, 2025, 24.0 % and 24.6 %, respectively, of the Company’s sales were generated outside the U.S. in local currencies. The Company also incurs certain manufacturing, marketing and selling costs in international markets in local currency. Accordingly, earnings and cash flows are exposed to market risk from changes in foreign currency exchange rates relative to the U.S. Dollar, the Company’s reporting currency. The Company has a program in place that is designed to mitigate the exposure to changes in foreign currency exchange rates. That program includes the use of derivative financial instruments to minimize, for a period of time, the impact on its financial results from changes in foreign exchange rates. The Company utilizes foreign currency forward contracts to hedge the anticipated cash flows from transactions denominated in foreign currencies, primarily Japanese Yen and Euro, and to a lesser extent Swiss Franc, Mexican Peso, Chinese Yuan, and Canadian Dollar. This does not eliminate the impact of the volatility of foreign exchange rates. However, because the Company generally enters into forward contracts one year out, rates are fixed for a one-year period, thereby facilitating financial planning and resource allocation. Designated Foreign Currency Hedge Contracts All of the Company’s designated foreign currency hedge contracts as of June 27, 2026 and March 28, 2026 were cash flow hedges under FASB ASC Topic 815, Derivatives and Hedging (“ASC 815”). The Company records the effective portion of any change in the fair value of designated foreign currency hedge contracts in other comprehensive income until the related third-party transaction occurs. Once the related third-party transaction occurs, the Company reclassifies the effective portion of any related gain or loss on the designated foreign currency hedge contracts to earnings. In the event the hedged forecasted transaction does not occur, or it becomes probable that it will not occur, the Company will reclassify the amount of any gain or loss on the related cash flow hedge to earnings at that time. The Company had designated foreign currency hedge contracts outstanding in the contract amount of $ 19.5 million as of June 27, 2026 and $ 30.1 million as of March 28, 2026. As of June 27, 2026, a gain of $ 0.1 million, net of tax, will be reclassified to earnings within the next eighteen months. Substantially all currency cash flow hedges outstanding as of June 27, 2026 mature within eighteen months. Non-Designated Foreign Currency Contracts The Company manages its exposure to changes in foreign currency on a consolidated basis to take advantage of offsetting transactions and balances. It uses foreign currency forward contracts as a part of its strategy to manage exposure related to foreign currency denominated monetary assets and liabilities. These foreign currency forward contracts are entered into for periods consistent with currency transaction exposures, generally one month. They are not designated as cash flow or fair value hedges under ASC 815. These forward contracts are marked-to-market with changes in fair value recorded to earnings. The Company had non-designated foreign currency hedge contracts under ASC 815 outstanding in the contract amount of $ 56.3 million as of June 27, 2026 and $ 75.3 million as of March 28, 2026. Interest Rate Swaps Part of the Company’s interest rate risk management strategy includes the use of interest rate swaps to mitigate its exposure to changes in variable interest rates. The Company’s objective in using interest rate swaps is to add stability to interest expense and to manage and reduce the risk inherent in interest rate fluctuations. In September 2024, the Company amended and extended two interest rate swaps on its senior unsecured term loan through April 2029 to mitigate the interest rate risk. This did not have a material impact on the condensed consolidated financial statements. Loans under the 2024 Revised Credit Facilities bear interest at an annual rate equal to the 1-month USD Term SOFR, plus an applicable rate ranging from 1.125 % to 1.750 % based on the Company’s consolidated net leverage ratio. As a result of the amendment and extension in September 2024, the two modified interest rate swaps have an average blended fixed interest rate of 3.31 % plus the applicable rate on approximately 80 % of the notional value of the unsecured term loan, until their maturity in April 2029. The Company has determined both of these interest rate swaps are effective and qualify for hedge accounting treatment. 19 Table of Contents The Company held the following interest rate swaps as of June 27, 2026: Hedged Item Original Notional Amount Notional Amount as of June 27, 2026 Designation Date Effective Date Termination Date Fixed Interest Rate Estimated Asset Fair Value (Dollars in Thousands) 1-month USD Term SOFR $ 109,900 $ 99,666 9/27/2024 9/30/2024 4/30/2029 3.3 % $ 1,293 1-month USD Term SOFR 109,900 98,319 9/27/2024 9/30/2024 4/30/2029 3.3 % 1,332 Total $ 219,800 $ 197,985 $ 2,625 For the three months ended June 27, 2026, the Company recognized a gain on the interest rate swaps to recognize the effective portion of the fair value of the swaps that qualify as cash flow hedges of $ 0.7 million, net of tax, in accumulated other comprehensive loss (“AOCL”) within the condensed consolidated balance sheets. Trade Receivables In the ordinary course of business, the Company grants trade credit to its customers on normal credit terms. In an effort to reduce its credit risk, the Company (i) establishes credit limits for all customers; (ii) performs ongoing credit evaluations of customers’ financial condition; (iii) monitors the payment history and aging of customers’ receivables; and (iv) monitors open orders against an individual customer’s outstanding receivable balance. The Company’s allowance for credit losses is maintained for trade accounts receivable based on the expected collectability, the historical collection experience, the length of time an account is outstanding, the financial position of the customer and information provided by credit rating se rvices. The Company has not experienced significant customer payment defaults or identified other significant collectability concerns. The following is a roll forward of the allowance for credit losses: Allowance for Credit Losses (Write-offs/Recoveries) (Dollars in Thousands) Balance as of March 28, 2026 $ 3,693 Credit loss 38 Write-offs ( 108 ) Recoveries ( 5 ) Balance as of June 27, 2026 $ 3,618 Other Fair Value Measurements Fair value is defined as the exit price that would be received from the sale of an asset or paid to transfer a liability, using assumptions that market participants would use in pricing an asset or liability. The fair value guidance establishes the following three-level hierarchy used for measuring fair value: • Level 1 — Inputs to the valuation methodology are quoted market prices for identical assets or liabilities. • Level 2 — Inputs to the valuation methodology are other observable inputs, including quoted market prices for similar assets or liabilities and market-corroborated inputs. • Level 3 — Inputs to the valuation methodology are unobservable inputs based on management’s best estimate of inputs market participants would use in pricing the asset or liability at the measurement date, including assumptions about risk. The Company’s money market funds carried at fair value are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices. 20 Table of Contents Fair Value of Derivative Instruments The following table presents the effect of the Company’s derivative instruments designated as cash flow hedges and those not designated as hedging instruments under ASC 815 in its condensed consolidated statements of income for the three months ended June 27, 2026: Derivative Instruments Amount of Gain Recognized in AOCL Amount of (Loss) Gain Reclassified from AOCL into Earnings Classification in Earnings Amount of Gain (Loss) Excluded from Effectiveness Testing Classification in Earnings (Dollars in Thousands) Designated foreign currency hedge contracts, net of tax $ 133 $ 116 Net revenues, COGS and SG&A $ 315 Interest and other expense, net Non-designated foreign currency hedge contracts $ — $ — $ ( 21 ) Interest and other expense, net Designated interest rate swaps, net of tax $ 664 $ ( 11 ) Interest and other expense, net $ — The Company did not have fair value hedges or net investment hedges outstanding as of June 27, 2026 or March 28, 2026. As of June 27, 2026, there were no material deferred taxes recognized for designated foreign currency hedges. ASC 815 requires all derivative instruments to be recognized at their fair values as either assets or liabilities on the balance sheet. The Company determines the fair value of its derivative instruments using the framework prescribed by FASB ASC Topic 820, Fair Value Measurements and Disclosures , by considering the estimated amount it would receive or pay to sell or transfer these instruments at the reporting date and by taking into account current interest rates, currency exchange rates, current interest rate curves, interest rate volatilities, the creditworthiness of the counterparty for assets, and its creditworthiness for liabilities. In certain instances, the Company may utilize financial models to measure fair value. Generally, the Company uses inputs that include quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; other observable inputs for the asset or liability; and inputs derived principally from, or corroborated by, observable market data by correlation or other means. As of June 27, 2026, the Company has classified its derivative assets and liabilities within Level 2 of the fair value hierarchy prescribed by ASC 815, as discussed below, because these observable inputs are available for substantially the full term of its derivative instruments. The following tables present the fair value of the Company’s derivative instruments as they appear in its condensed consolidated balance sheets as of June 27, 2026 and March 28, 2026: Classification June 27, 2026 March 28, 2026 (Dollars in Thousands) Derivative Assets: Designated foreign currency hedge contracts Prepaid expenses and other current assets $ 1,248 $ 1,245 Non-designated foreign currency hedge contracts Prepaid expenses and other current assets 28 330 Designated interest rate swaps Prepaid expenses and other current assets 1,133 823 Designated interest rate swaps Other long-term assets 1,492 947 Total $ 3,901 $ 3,345 Derivative Liabilities: Designated foreign currency hedge contracts Other current liabilities $ 97 $ 50 Non-designated foreign currency hedge contracts Other current liabilities 35 63 Total $ 132 $ 113 21 Table of Contents Fair Value Measured on a Recurring Basis Financial assets and financial liabilities measured at fair value on a recurring basis consist of the following as of June 27, 2026 and March 28, 2026. June 27, 2026 Level 1 Level 2 Level 3 Total (Dollars in Thousands) Assets Money market funds $ 36,670 $ — $ — $ 36,670 Designated foreign currency hedge contracts — 1,248 — 1,248 Non-designated foreign currency hedge contracts — 28 — 28 Designated interest rate swaps — 2,625 — 2,625 Total $ 36,670 $ 3,901 $ — $ 40,571 Liabilities Designated foreign currency hedge contracts $ — $ 97 $ — $ 97 Non-designated foreign currency hedge contracts — 35 — 35 Contingent consideration — 21,016 21,016 Total $ — $ 132 $ 21,016 $ 21,148 March 28, 2026 Level 1 Level 2 Level 3 Total (Dollars in Thousands) Assets Money market funds $ 90,716 $ — $ — $ 90,716 Designated foreign currency hedge contracts — 1,245 — 1,245 Non-designated foreign currency hedge contracts — 330 — 330 Designated interest rate swaps — 1,770 — 1,770 Total $ 90,716 $ 3,345 $ — $ 94,061 Liabilities Designated foreign currency hedge contracts $ — $ 50 $ — $ 50 Non-designated foreign currency hedge contracts — 63 — 63 Contingent consideration — — 21,063 21,063 Total $ — $ 113 $ 21,063 $ 21,176 Foreign currency hedge contracts - The fair value of foreign currency hedge contracts was measured using significant other observable inputs and valued by reference to over-the-counter quoted market prices for similar instruments. The Company does not believe that the fair value of these derivative instruments differs significantly from the amount that could be realized upon settlement or maturity, or that the changes in fair value will have a significant effect on its results of operations, financial condition or cash flows. Interest rate swaps - The fair values of interest rate swaps are measured using the present value of expected future cash flows using market-based observable inputs, including credit risk and interest rate yield curves. The Company does not believe that the fair values of these derivative instruments differ significantly from the amounts that could be realized upon settlement or maturity, or that the changes in fair value will have a significant effect on its results of operations, financial condition or cash flows. Contingent consideration - The fair value of contingent consideration liabilities is based on significant unobservable inputs, including management estimates and assumptions, and is measured based on the probability-weighted present value of the payments expected to be made. Accordingly, the fair value of contingent consideration has been classified as level 3 within the fair value hierarchy. 22 Table of Contents The level 3 fair value measurements of contingent consideration liabilities include the following significant unobservable inputs: Fair Value as of June 27, 2026 Valuation Technique Unobservable Input Range (Dollars in Thousands) Revenue-based payments $ 3,066 Monte Carlo Simulation Model Discount rate 3.4 % Projected fiscal year of payments 2028 - 2030 Event-based payment $ 296 Monte Carlo Simulation Model Discount rate 5.8 % Projected fiscal year of payment 2027 - 2028 $ 17,654 Monte Carlo Simulation Model Discount rate 3.0 % Projected fiscal year of payment 2027 Fair Value as of March 28, 2026 Valuation Technique Unobservable Input Range (Dollars in Thousands) Revenue-based payments $ 3,076 Monte Carlo Simulation Model Discount rate 3.4 % Projected fiscal year of payments 2028 - 2030 Event-based payment $ 390 Monte Carlo Simulation Model Discount rate 5.8 % Projected fiscal year of payment 2027 - 2028 $ 17,597 Monte Carlo Simulation Model Discount rate 3.0 % Projected fiscal year of payment 2027 The fair value of contingent consideration associated with acquisitions was $ 21.0 million and $ 21.1 million as of June 27, 2026 and March 28, 2026, respectively. As of June 27, 2026, $ 17.9 million was included in other current liabilities and $ 3.1 million was included in other long-term liabilities. As of March 28, 2026, $ 17.6 million was included in other current liabilities and $ 3.4 million was included in other long-term liabilities. A reconciliation of the change in the fair value of contingent consideration is included in the following table: Contingent Consideration (Dollars in Thousands) Balance as of March 28, 2026 $ 21,063 Change in fair value ( 47 ) Balance as of June 27, 2026 $ 21,016 Other Fair Value Disclosures The fair value of the 2029 No tes was $ 714.7 million and $ 662.4 million as o f June 27, 2026 and March 28, 2026, respectively, which were determined by using the market price on the last trading day of the reporting period and are considered as level 2 in the fair value hierarchy. The senior unsecured term loan (which is carried at amortized cost), the revolving credit facility, accounts receivable and accounts payable approximate fa ir value. 14. COMMITMENTS AND CONTINGENCIES The Company is a party to various legal proceedings and claims arising out of the ordinary course of its business. The Company believes that, except for those matters described below, there are no other proceedings or claims pending against it the ultimate resolution of which could have a material adverse effect on its financial condition or results of operations. At each reporting period, management evaluates whether or not a potential loss amount or a potential range of loss is probable and reasonably estimable under FASB ASC Topic 450, Contingencies, for all matters. Legal costs are expensed as incurred. 23 Table of Contents Plasma Patent Litigation During the first quarter of fiscal 2026, the Company filed a complaint against Terumo BCT in U.S. District Court for the District of Colorado (1:25-cv-01409). The complaint alleges that Terumo BCT infringes the Company’s intellectual property rights with respect to its donor-centric blood plasma collection patents, as embodied in the Company’s NexSys PCS ® with YES ® technology and NexSys PCS with Persona ® technology. On June 26, 2025, Terumo filed a motion to dismiss. On July 17, 2025 and August 12, 2025, the Company filed amended complaints adding recently issued patents. On September 2, 2025, Terumo filed a partial motion to dismiss with prejudice claiming that the Company’s asserted patents were invalid under 35 U.S.C. section 101. Terumo filed nine inter partes and post-grant review petitions with the U.S. Patent and Trademark Office (PTO) seeking to invalidate the asserted patents. In October 2025, Terumo filed a motion to stay the district court proceedings pending resolution of the PTO petitions. All nine of the petitions were denied by the PTO, rendering moot the motion to stay. During the second quarter of fiscal 2026, the Company filed a complaint against Fresenius Kabi USA LLC in U.S. District Court for the Northern District of Illinois (1:25-cv-08680). The complaint alleges that Fresenius Kabi infringes the Company’s intellectual property rights with respect to its donor-centric blood plasma collection patents, as embodied in the Company’s NexSys PCS with YES technology and NexSys PCS with Persona technology. In October 2025, the Company filed an amended complaint to add Fenwal Inc. and Fresenius Kabi AG as parties to the matter. In December 2025, the Fenwal filed its answer and counterclaims, alleging non-infringement and invalidity of the Company’s asserted patents and alleging infringement by the Company of certain of Fenwal’s U.S. patents. In May 2026, Fenwal amended its counterclaim, alleging inequitable conduct and Walker Process antitrust violations. The Company has filed its answer, denying all counterclaims. While the Company will incur costs in the course of pursuing these claims, and the outcome of litigation is inherently uncertain, the Company believes this is a necessary and appropriate action to safeguard its innovations, protect its intellectual property, and further the growth and development of its business. 15. ACCUMULATED OTHER COMPREHENSIVE LOSS The components of AOCL, net of tax, are as follows: Foreign Currency Defined Benefit Plans Net Unrealized Gain (Loss) on Derivatives Total (Dollars in Thousands) Balance as of March 28, 2026 $ ( 39,332 ) $ 746 $ 972 $ ( 37,614 ) Other comprehensive income before reclassifications (1) ( 4,708 ) — 798 ( 3,910 ) Amounts reclassified from AOCL (1) — — ( 105 ) ( 105 ) Balance as of June 27, 2026 $ ( 44,040 ) $ 746 $ 1,665 $ ( 41,629 ) __________ (1) Presented net of income taxes, the amounts of which are insignificant. 16. SEGMENT AND ENTERPRISE-WIDE INFORMATION On June 5, 2026, the Company implemented an organizational realignment designed to align its commercial operations into two global reportable segments by combining the previously reported Plasma and Blood Center reportable segments into Apheresis and renaming the Hospital reportable segment to MedSurg. This organizational structure reflects how the Company is organized to manage operations, allocate resources and evaluate performance. As a result, the information that is regularly reviewed by the Company’s chief operating decision maker (“CODM”), identified as the Chief Executive Officer, has changed. Prior-period segment information presented has been recast to reflect the current reportable segment structure. The Company’s reportable and operating segments are as follows: • Apheresis • MedSurg 24 Table of Contents The CODM measures and evaluates the operating segments based on operating income for purposes of assessing business performance and allocating resources. The CODM uses segment operating income for each segment by comparing on a quarterly basis actual results to the prior year comparable period and to the annual operating plan to assess the performance of the segments and to allocate resources across our segments. Certain corporate expenses and amounts considered to be non-recurring or non-operational are excluded from segment operating income. These items include restructuring costs, restructuring related costs, digital transformation costs, amortization of acquired intangible assets, amortization of fair value inventory step-up, acquisition, integration and divestiture related costs, unusual or infrequent and material litigation-related charges, and remeasurement of contingent consideration. Although these amounts are excluded from segment operating income, as applicable, they are included in the reconciliations that follow. The Company does not track its total assets by segment. Consequently, the Company’s CODM does not review total assets by segment when assessing business performance and allocating resources. Selected information by reportable segment is presented below: Three Months Ended June 27, 2026 June 28, 2025 (Dollars in Thousands) Net revenues: Apheresis $ 191,318 $ 181,736 MedSurg 148,062 139,658 Total net revenues $ 339,380 $ 321,394 Significant segment expenses and operating performance: Apheresis Cost of goods sold $ 84,131 $ 75,865 Selling, general and administrative 44,264 39,880 Research and development 6,378 6,816 Apheresis operating income $ 56,545 $ 59,175 MedSurg Cost of goods sold $ 50,368 $ 50,216 Selling, general and administrative 65,160 62,323 Research and development 9,820 8,742 MedSurg operating income $ 22,714 $ 18,377 Corporate and unallocated expenses Amortization of acquired assets $ ( 10,204 ) $ ( 13,828 ) Integration and transaction costs ( 2,719 ) ( 2,682 ) Restructuring and restructuring related costs ( 2,258 ) ( 1,324 ) Digital transformation costs ( 6,163 ) ( 5,355 ) Other (1) ( 457 ) ( 491 ) Operating income 57,458 53,872 Interest and other expense, net ( 9,884 ) ( 8,703 ) Income before provision for income taxes $ 47,574 $ 45,169 __________ (1) Comprised of litigation-related charges and remeasurement of contingent consideration for the three months ended June 27, 2026 and June 28, 2025. 25 Table of Contents Net revenues by business unit are as follows: Three Months Ended June 27, 2026 June 28, 2025 (Dollars in Thousands) Apheresis Plasma $ 155,524 $ 145,074 Other 35,794 36,662 Apheresis net revenues $ 191,318 $ 181,736 MedSurg Interventional Technologies $ 59,942 $ 58,483 Blood Management Technologies 88,120 81,175 MedSurg net revenues $ 148,062 $ 139,658 Total net revenues $ 339,380 $ 321,394 Depreciation and amortization, excluding impairment charges, by business unit are as follows: Three Months Ended June 27, 2026 June 28, 2025 (Dollars in Thousands) Apheresis $ 13,631 $ 13,912 MedSurg 13,480 14,846 Total depreciation and amortization (excluding impairment charges) $ 27,111 $ 28,758 Long-lived assets, comprised of property, plant and equipment, by business unit are as follows: June 27, 2026 March 28, 2026 (Dollars in Thousands) Apheresis $ 244,089 $ 246,042 MedSurg 59,689 59,719 Total long-lived assets $ 303,778 $ 305,761 Long-lived assets, comprised of property, plant and equipment, by operating regions are as follows: June 27, 2026 March 28, 2026 (Dollars in Thousands) United States $ 223,004 $ 224,699 Japan 882 916 Europe 32,293 32,080 Rest of Asia 30,010 30,833 Other 17,589 17,233 Total long-lived assets $ 303,778 $ 305,761 26 Table of Contents Net revenues by operating regions are as follows: Three Months Ended June 27, 2026 June 28, 2025 (Dollars in Thousands) United States $ 257,844 $ 242,404 Japan 12,858 13,648 Europe 45,529 40,882 Rest of Asia 20,163 21,648 Other 2,986 2,812 Total net revenues $ 339,380 $ 321,394 27 Table of Contents