LivaNova PLC: LivaNova Reports Second-Quarter 2026 Results; Raises Full-Year 2026 Revenue and Adjusted Diluted EPS Guidance

Delivered double-digit reported revenue growth of 10.8%, with constant-currency revenue growth of 9.8%

Raised full-year 2026 revenue and adjusted diluted earnings per share guidance⁽¹⁾

Entered into a long-term agreement with Thermo Fisher Scientific to strengthen oxygenator component supply to expand manufacturing output and satisfy unmet demand

LivaNova PLC (Nasdaq: LIVN), a market-leading medical technology company, today reported results for the second quarter ended June 30, 2026 and raised full-year 2026 guidance.

Financial Summary and Highlights⁽¹⁾

• Second-quarter revenue of $390.6 million increased 10.8% on a reported basis and 9.8% on a constant-currency basis as compared to the prior-year period
• Second-quarter U.S. GAAP diluted earnings per share of $1.93 and adjusted diluted earnings per share of $1.26
• Second-quarter net cash provided by operating activities of $66.6 million and adjusted free cash flow of $45.5 million
• Raised full-year 2026 revenue growth range by 100 basis points to 8% to 9% on a constant-currency basis. Raised full-year 2026 adjusted diluted earnings per share range by $0.10 at midpoint to $4.30 to $4.40. Lowered full-year 2026 adjusted free cash flow range to $140 million to $160 million
• Entered into a long-term agreement with Thermo Fisher Scientific that is anticipated to increase availability of a critical oxygenator component. The agreement is expected to support increased oxygenator output over time, strengthening LivaNova's ability to satisfy unmet customer demand
• Announced data showing that use of PolySync programming algorithm increased the cumulative apnea-hypopnea index response rate to 84.5% in patients with moderate to severe Obstructive Sleep Apnea, improving response rate and expanding the impact of proximal hypoglossal nerve stimulation therapy over time
• Received a favorable ruling from the Italian tax authority, Agenzia delle Entrate, resulting in the recognition of a discrete tax benefit of €81.8 million ($95.4 million) on the deductibility of the previously recorded SNIA environmental liability
• Appointed Jette Nygaard-Anderson to the Board of Directors and the Nominating and Corporate Governance Committee, effective June 10
• Appointed Stefano Folli as President, Cardiopulmonary, effective August 1, after joining the Company on June 1
• Appointed Anne Liddy as Chief Legal Officer, effective August 31

_________________________________
(1)		Constant-currency percent change, adjusted diluted earnings per share, and adjusted free cash flow are non-GAAP measures. Constant-currency percent change excludes the impact from fluctuations in the various currencies in which the Company operates as compared to reported percent change. For an explanation of these and other non-GAAP measures used in this news release, see the section entitled "Use of Non-GAAP Financial Measures." For reconciliations of certain non-GAAP measures, see the tables that accompany this news release. As discussed in the section entitled "Use of Non-GAAP Financial Measures" below, the Company is unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures but would not impact the non-GAAP measures. Accordingly, the Company is unable to reconcile forward-looking non-GAAP financial measures to their most directly comparable forward-looking GAAP financial measures without unreasonable efforts.

"In the second quarter, LivaNova delivered strong revenue growth driven by sustained performance in our Cardiopulmonary and Epilepsy businesses," said Vladimir Makatsaria, Chief Executive Officer of LivaNova. "We are also pleased to announce an agreement with Thermo Fisher Scientific, an important step in securing a critical component for our oxygenators, supporting the Cardiopulmonary supply chain long-term. Our updated 2026 guidance reflects strong execution in the core businesses as we advance our strategic plan and drive long-term value creation."

Second-Quarter 2026 Results

The following table summarizes net revenue by segment (in millions):

		Three Months Ended June 30,				Change		Constant-Currency Change
		2026		2025
Cardiopulmonary		$221.6		$199.3		11.2		9.9
Neuromodulation		166.9		151.7		10.1		9.5
Other Revenue (1)		2.1		1.6		30.6		27.7
Total Company		$390.6		$352.5		10.8		9.8

(1)		"Other Revenue" includes rental and site services income not allocated to segments.
Numbers may not add precisely due to rounding.

Second-quarter 2026 Cardiopulmonary revenue increased 11.2% on a reported basis and 9.9% on a constant-currency basis versus the second quarter of 2025 driven by growth in Europe, primarily reflecting EssenzPerfusion System sales, strong consumables demand, and favorable realized price.

Second-quarter 2026 Neuromodulation revenue increased 10.1% on a reported basis and 9.5% on a constant-currency basis versus the second quarter of 2025 with growth across all regions, driven by volume growth and favorable realized price.

Earnings Analysis

On a U.S. GAAP basis, second-quarter 2026 operating income was $49.5 million, as compared to operating income of $54.2 million for the second quarter of 2025. Adjusted operating income for the second quarter of 2026 was $90.8 million, as compared to adjusted operating income of $77.4 million for the second quarter of 2025.

On a U.S. GAAP basis, second-quarter 2026 diluted earnings per share was $1.93 as compared to diluted earnings per share of $0.50 in the second quarter of 2025. Second-quarter 2026 adjusted diluted earnings per share was $1.26, as compared to adjusted diluted earnings per share of $1.05 in the second quarter of 2025.

Full-Year 2026 Guidance

LivaNova now expects full-year 2026 revenue to grow between 8% and 9% (versus 7% and 8% prior) on a constant-currency basis. Foreign currency is expected to be a tailwind of approximately 1% based on current exchange rates, consistent with prior guidance.

Adjusted diluted earnings per share for 2026 is now expected to be in the range of $4.30 to $4.40 (versus $4.20 to $4.30 prior), assuming a share count of approximately 56 million for full-year 2026. In 2026, the Company now estimates adjusted free cash flow in the range of $140 million to $160 million (versus $160 million to $180 million prior) to reflect incremental strategic investments in Cardiopulmonary capacity expansion, innovation, and IT infrastructure to support the Company's growth strategy.

As discussed in the section entitled "Use of Non-GAAP Financial Measures" below, the Company is unable to predict with a reasonable degree of certainty the type and extent of certain items that would be expected to impact GAAP measures but would not impact the non-GAAP measures. Accordingly, the Company is unable to reconcile the forward-looking non-GAAP financial measures included in this section to their most directly comparable forward-looking GAAP financial measures without unreasonable efforts.

Webcast and Conference Call Instructions

The Company will host a live audiocast at 1 p.m. London time (8 a.m. Eastern Daylight Time) on Wed., August 5, 2026 that will be accessible at www.livanova.com/events. Listeners should register in advance and log on approximately 10 minutes early to ensure proper setup. To listen to the conference call by telephone, dial [phone] (if dialing from within the U.S.) or [phone] (if dialing from outside the U.S.). The conference call meeting ID is 719351329. Within 24 hours of the audiocast, a replay will be available at www.livanova.com/events, where it will be archived and accessible for approximately 90 days.

About LivaNova

LivaNova PLC is a global medical technology company built on nearly five decades of experience with a vision to change the trajectory of lives for a new day. Through ingenious medical solutions in select neurological and cardiac conditions, LivaNova strives to ignite patient turnarounds. With its registered office in the United Kingdom, approximately 3,300 employees, and a presence in more than 100 countries, LivaNova serves patients, healthcare professionals, and healthcare systems worldwide. For more information, please visit www.livanova.com

Use of Non-GAAP Financial Measures

To supplement financial measures presented in accordance with generally accepted accounting principles in the United States (U.S. GAAP or GAAP), management has disclosed certain additional measures not presented in accordance with GAAP known as "non-GAAP financial measures" or "adjusted financial measures." Company management uses these non-GAAP measures to monitor the Company's operational performance and for benchmarking against other medical technology companies. Non-GAAP financial measures used by the Company may be calculated differently from, and therefore may not be comparable to, similarly titled measures used by other companies. These non-GAAP financial measures should be considered along with, but not as alternatives to, operational performance measures as prescribed by GAAP.

In this news release, the Company refers to revenue and percentage change in revenue on a comparable, constant-currency basis. Company management believes that these non-GAAP measures provide a useful way to evaluate the revenue performance of LivaNova and to compare the revenue performance of current periods to prior periods on a consistent basis. Constant-currency percent change measures the change in revenue between current and prior-year periods using average exchange rates in effect during the applicable prior-year period.

LivaNova calculates forward-looking non-GAAP financial measures based on internal forecasts that omit certain amounts that would be included in GAAP financial measures. For example, forward-looking net revenue growth projections are estimated on a constant-currency basis and exclude the impact of foreign currency fluctuations. Forward-looking non-GAAP adjusted diluted earnings per share guidance excludes items such as, but not limited to, changes in fair value of certain derivatives and contingent consideration arrangements and asset impairment charges that would be included in comparable GAAP financial measures. The most directly comparable GAAP measure for adjusted free cash flow is net cash provided by operating activities. Adjusted free cash flow is defined as net cash provided by operating activities less cash used for the purchase of property, plant, and equipment excluding the impact of 3T litigation settlement payments, cybersecurity incident insurance proceeds, SNIA environmental liability and related financing costs, contingent consideration payments classified within operating cash flows, and gains related to dividends received from investments and further adjusted as needed for other charges, expenses, or gains that may not be indicative of the Company's operational performance. However, non-GAAP financial adjustments on a forward-looking basis are subject to uncertainty and variability as they are dependent on many factors, including but not limited to, the effect of foreign currency exchange fluctuations, impacts from potential acquisitions or divestitures, the ultimate outcome of legal proceedings, gains or losses on the potential sale of businesses or other assets, restructuring costs, merger and integration activities, changes in fair value of derivatives, and contingent consideration arrangements, asset impairment charges and the tax impact of the aforementioned items, tax law changes, or other tax matters. Accordingly, the Company does not reconcile non-GAAP financial measures on a forward-looking basis as it is impractical to do so without unreasonable effort.

Adjusted financial measures such as adjusted cost of sales, adjusted gross profit, adjusted selling, general, and administrative expense, adjusted research and development expense, adjusted other operating expense, adjusted operating income, adjusted income before income tax, adjusted income tax expense, adjusted net income, and adjusted diluted earnings per share are measures that LivaNova generally uses to facilitate management review of the operational performance of the company, to serve as a basis for strategic planning, and in the design of incentive compensation plans. Additionally, the Company uses the non-GAAP liquidity measure adjusted free cash flow. The Company believes that the presentation of these adjusted financial measures allows investors to evaluate the Company's operational performance for different periods on a more comparable and consistent basis, and with other medical technology companies by adjusting for items that are not related to the operational performance of the Company or incurred in the ordinary course of business.

Safe Harbor Statement

Certain statements in this news release, other than statements of historical or current fact, are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act, and Section 21E of the Exchange Act. These statements include, but are not limited to, LivaNova's plans, objectives, strategies, financial performance and outlook, trends, the amount and timing of future cash distributions, prospects, or future events, and involve known and unknown risks that are difficult to predict. As a result, the Company's actual financial results, performance, achievements, or prospects may differ materially from those expressed or implied by these forward-looking statements. Generally, forward-looking statements can be identified by the use of words such as "may," "could," "seek," "guidance," "predict," "potential," "likely," "believe," "will," "should," "expect," "anticipate," "estimate," "plan," "intend," "forecast," "foresee," or variations of these terms and similar expressions, or the negative of these terms or similar expressions. Such forward-looking statements are necessarily based on estimates and assumptions that, while considered reasonable by LivaNova and its management based on their knowledge and understanding of the business and industry, are inherently uncertain. These statements are not guarantees of future performance, and shareholders should not place undue reliance on forward-looking statements. There are a number of risks, uncertainties, and other important factors, many of which are beyond the Company's control, that could cause the Company's actual results to differ materially from the forward-looking statements contained in this news release, and include, but are not limited to, the following risks and uncertainties: risks associated with doing business globally, including volatility in the global market and worldwide economic conditions; adverse changes in export and import costs and other trade restrictions as well as uncertainty over global tariffs; risks relating to supply chain pressures; failure to protect, maintain, or upgrade LivaNova's IT systems or products, or safeguard against cybersecurity incidents, service disruptions, or data corruption; costs of complying with privacy and security of personal information requirements and laws; changes in technology, including the development of superior or alternative technology or devices by competitors and/or competition from providers of alternative medical therapies; risks related to AI integration and regulation; failure of investments, alliances, supply agreements, acquisitions, or divestitures to achieve expected returns; failure to maintain appropriate working relationships with healthcare professionals to aid in the continuing development of products; the risk of quality issues and the impacts thereof; risks relating to recalls, replacement of inventory, enforcement actions, or product liability claims; failure to comply with, or changes in, laws, regulations, or administrative practices affecting government regulation of the Company's products; failure to retain talent, maintain an effective succession plan, and negotiate successfully with local works councils; failure to obtain or maintain approvals, clearance, or reimbursement in relation to the Company's products; unfavorable results from clinical studies or failure to meet milestones; global healthcare policy changes that may lead to restricted access and pricing as well as payback requirements and limited reimbursement; failure to comply with rules relating to healthcare goods and services as well as anti-bribery laws; the unfavorable impact of pending or existing climate change; product liability, intellectual property, shareholder-related, environmental-related, income tax, and other litigation, disputes, losses, and costs, including in the case of the Company's 3T Heater-Cooler litigation; risks associated with environmental laws and regulations as well as environmental liabilities, violations, and litigation, including in the case of Saluggia and SNIA; failure to protect the Company's proprietary intellectual property; changes in tax laws and regulations, including exposure to additional income tax liabilities; risks relating to the Company's indebtedness; risks associated with potential government shutdowns; the potential for impairments of intangible assets, goodwill, and other long-lived assets; risks associated with public health crises; risks associated with shareholder activism; effectiveness of the Company's internal controls over financial reporting; changes in the Company's profitability and/or failure to manage costs and expenses; fluctuations in future quarterly operating results and/or variations in revenue and operating expenses relative to estimates; and other unknown or unpredictable factors that could harm the Company's financial performance.

The foregoing list of factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and uncertainties that affect the Company's business, including those described in the "Risk Factors" section of the Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other documents filed from time to time with the U.S. Securities and Exchange Commission by LivaNova.

Readers are cautioned not to place undue reliance on the Company's forward-looking statements, which speak only as of the date of this news release. The Company undertakes no obligation to update publicly any of the forward-looking statements in this news release to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable law. If LivaNova updates one or more forward-looking statements, no inference should be drawn that the Company will make additional updates with respect to those or other forward-looking statements.

PolySync and Essenz are trademarks of LivaNova USA, Inc.

LIVANOVA PLC
NET REVENUE UNAUDITED
(In millions)
		Three Months Ended June 30,
		2026		2025		Change		Constant-Currency Change
Cardiopulmonary
U.S.		$72.8		$71.2		2.2		2.2
Europe (1)		62.0		49.0		26.3		23.8
Rest of World (1)		86.8		79.0		9.9		8.4
		221.6		199.3		11.2		9.9
Neuromodulation
U.S.		126.6		117.2		8.0		8.0
Europe (1)		19.9		17.7		12.0		9.7
Rest of World (1)		20.5		16.7		22.8		20.4
		166.9		151.7		10.1		9.5
Other Revenue (2)		2.1		1.6		30.6		27.7
Total Company
U.S.		199.4		188.5		5.8		5.8
Europe (1)		81.8		66.8		22.5		20.0
Rest of World (1)		109.4		97.3		12.5		10.7
		$390.6		$352.5		10.8		9.8

(1)		"Europe" includes the UK, Germany, France, Italy, the Netherlands, Spain, Belgium, Poland, Sweden, Switzerland, Austria, Norway, Portugal, Finland, and Denmark. Excluding Europe and the U.S., "Rest of World" includes all other countries where LivaNova operates.
(2)		"Other Revenue" includes rental and site services income not allocated to segments.
Numbers may not add precisely due to rounding.

LIVANOVA PLC
NET REVENUE UNAUDITED
(In millions)
		Six Months Ended June 30,
		2026		2025		Change		Constant-Currency Change
Cardiopulmonary
U.S.		$142.1		$132.1		7.6		7.6
Europe (1)		119.3		93.6		27.5		20.8
Rest of World (1)		168.9		150.0		12.6		10.0
		430.2		375.6		14.5		11.8
Neuromodulation
U.S.		242.0		225.6		7.3		7.3
Europe (1)		38.2		32.9		16.0		9.6
Rest of World (1)		38.6		32.1		20.2		17.0
		318.7		290.6		9.7		8.6
Other Revenue (2)		3.9		3.2		20.4		13.5
Total Company
U.S.		384.0		357.6		7.4		7.4
Europe (1)		157.5		126.5		24.5		17.9
Rest of World (1)		211.3		185.3		14.1		11.3
		$752.8		$669.4		12.5		10.4

(1)		"Europe" includes the UK, Germany, France, Italy, the Netherlands, Spain, Belgium, Poland, Sweden, Switzerland, Austria, Norway, Portugal, Finland, and Denmark. Excluding Europe and the U.S., "Rest of World" includes all other countries where LivaNova operates.
(2)		"Other Revenue" includes rental and site services income not allocated to segments.
• Numbers may not add precisely due to rounding.

LIVANOVA PLC AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME UNAUDITED
(In millions, except for per share amounts)
		Three Months Ended June 30,
		2026		2025
Net revenue		$390.6		$352.5
Cost of sales		116.9		113.5
Gross profit		273.7		239.0
Operating expenses:
Selling, general, and administrative		158.1		137.8
Research and development		53.7		47.2
Other operating expense		12.4		(0.2)
Operating income		49.5		54.2
SNIA environmental liability expense				(1.7)
Interest expense		(7.2)		(14.9)
Foreign exchange and other income/(expense)		(23.8)		(4.3)
Income before income tax		18.5		33.3
Income tax (benefit) expense		(90.2)		6.2
Loss from equity method investments		(0.1)
Net income		$108.6		$27.2
Basic earnings per share		$1.98		$0.50
Diluted earnings per share		$1.93		$0.50
Basic weighted average shares outstanding		55.0		54.6
Diluted weighted average shares outstanding		56.3		54.7
Numbers may not add precisely due to rounding.

Adjusted Financial Measures (in millions, except for per share amounts) Unaudited
		Three Months Ended June 30,
		2026		2025
Adjusted SG&A		$136.7		$121.4
Adjusted R&D		50.0		44.0
Adjusted operating income		90.8		77.4
Adjusted net income		71.0		57.4
Adjusted diluted earnings per share		$1.26		$1.05

Statistics (as a of net revenue, except for income tax rate) Unaudited
		GAAP Three Months Ended June 30,				Adjusted Three Months Ended June 30,
		2026		2025		2026		2025
Gross profit		70.1		67.8		71.0		68.9
SG&A		40.5		39.1		35.0		34.4
R&D		13.7		13.4		12.8		12.5
Operating income		12.7		15.4		23.2		21.9
Net income		27.8		7.7		18.2		16.3
Income tax rate		(488.1)		18.5		22.3		22.0

LIVANOVA PLC AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) UNAUDITED
(In millions, except for per share amounts)
		Six Months Ended June 30,
		2026		2025
Net revenue		$752.8		$669.4
Cost of sales		235.4		214.1
Gross profit		517.4		455.2
Operating expenses:
Selling, general, and administrative		301.7		266.9
Research and development		112.4		85.1
Other operating expense		12.4		0.5
Operating income		91.0		102.8
SNIA environmental liability expense				(362.1)
Interest expense		(15.5)		(30.2)
Foreign exchange and other income/(expense)		(29.5)		7.2
Income (loss) before income tax		46.0		(282.3)
Income tax (benefit) expense		(85.9)		17.8
Loss from equity method investments		(1.0)
Net income (loss)		$130.9		($300.2)
Basic earnings (loss) per share		$2.39		($5.51)
Diluted earnings (loss) per share		$2.33		($5.51)
Basic weighted average shares outstanding		54.8		54.5
Diluted weighted average shares outstanding		56.1		54.5
Numbers may not add precisely due to rounding.

Adjusted Financial Measures (in millions, except for per share amounts) Unaudited
		Six Months Ended June 30,
		2026		2025
Adjusted SG&A		$265.6		$237.1
Adjusted R&D		97.1		82.2
Adjusted operating income		161.9		141.9
Adjusted net income		125.5		105.5
Adjusted diluted earnings per share		$2.24		$1.93

Statistics (as a of net revenue, except for income tax rate) Unaudited
		GAAP Six Months Ended June 30,				Adjusted Six Months Ended June 30,
		2026		2025		2026		2025
Gross profit		68.7		68.0		69.7		68.9
SG&A		40.1		39.9		35.3		35.4
R&D		14.9		12.7		12.9		12.3
Operating income		12.1		15.4		21.5		21.2
Net income (loss)		17.4		(44.8)		16.7		15.8
Income tax rate		(186.8)		(6.3)		22.4		23.0

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES UNAUDITED (In millions, except for per share amounts)
			Non-GAAP Adjustments
Three Months Ended June 30, 2026	GAAP Financial Measures		Depreciation and Amortization Expense (1)		Investment Related Items (2)		Financing Related Items (3)		Contingent Consideration (4)		Certain Legal Regulatory Costs (5)		Share-based Compensation Costs (6)		Certain Tax Adjustments (7)		Adjusted Financial Measures
Cost of sales	$116.9		$(3.9						$1.0				$(0.9				$113.1
Gross profit percent	70.1		1.0						(0.3				0.2				71.0
Selling, general, and administrative	158.1		(2.6								(5.6		(13.3				136.7
Selling, general, and administrative as a percent of net revenue	40.5		(0.7								(1.4		(3.4				35.0
Research and development	53.7								(0.9		(0.1		(2.7				50.0
Research and development as a percent of net revenue	13.7								(0.2				(0.7				12.8
Other operating expense	12.4										(12.4
Operating income	49.5		6.5						(0.2		18.0		16.9				90.8
Operating margin percent	12.7		1.7								4.6		4.3				23.2
Net income	108.6		6.5		(13.8		45.6		(0.2		18.0		16.9		(110.6		71.0
Net income as a percent of net revenue	27.8		1.7		(3.5		11.7				4.6		4.3		(28.3		18.2
Diluted earnings per share	$1.93		$0.12		$(0.25		$0.81				$0.32		$0.30		$(1.97		$1.26

GAAP results for the three months ended June 30, 2026 include:
(1)		Depreciation and amortization associated with purchase price accounting
(2)		Gain on sale of investment
(3)		Mark-to-market adjustments for the 2029 Notes embedded and capped call derivatives, and non-cash interest expense
(4)		Remeasurement of contingent consideration related to the ImThera acquisition
(5)		Legal expenses primarily related to 3T Heater-Cooler defense, 3T Heater-Cooler litigation provision, and Saluggia site remediation provision
(6)		Non-cash expenses associated with share-based compensation costs
(7)		The impact of valuation allowances, discrete tax items, the tax impact of intercompany transactions, and the tax impact on non-GAAP adjustments
• Numbers may not add precisely due to rounding.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES UNAUDITED (In millions, except for per share amounts)
			Non-GAAP Adjustments
Three Months Ended June 30, 2025	GAAP Financial Measures		Restructuring Expense (1)		Depreciation and Amortization Expense (2)		Investment Related Items (3)		Financing Related Items (4)		Contingent Consideration (5)		Certain Legal Regulatory Costs (6)		Share-based Compensation Costs (7)		Certain Tax Adjustments (8)		Adjusted Financial Measures
Cost of sales	$113.5				($1.7						($1.6				($0.6				$109.7
Gross profit percent	67.8				0.5						0.4				0.2				68.9
Selling, general, and administrative	137.8				(2.6								(6.7		(7.1				121.4
Selling, general, and administrative as a percent of net revenue	39.1				(0.7								(1.9		(2.0				34.4
Research and development	47.2										(1.2		(0.4		(1.6				44.0
Research and development as a percent of net revenue	13.4										(0.3		(0.1		(0.4				12.5
Other operating expense	(0.2		0.1										0.1
Operating income	54.2		(0.1		4.2						2.8		7.1		9.2				77.4
Operating margin percent	15.4				1.2						0.8		2.0		2.6				21.9
Net income	27.2		(0.1		4.2		0.6		14.8		2.8		8.8		9.2		(10.0		57.4
Net income as a percent of net revenue	7.7				1.2		0.2		4.2		0.8		2.5		2.6		(2.8		16.3
Diluted earnings per share	$0.50				$0.08		$0.01		$0.27		$0.05		$0.16		$0.17		($0.18		$1.05

GAAP results for the three months ended June 30, 2025 include:
(1)		Restructuring expense related to organizational changes
(2)		Depreciation and amortization associated with purchase price accounting
(3)		Loss on investment revaluation of Ceribell, Inc.
(4)		Mark-to-market adjustments for the 2025 and 2029 Notes embedded and capped call derivatives, non-cash interest expense, and loss on debt extinguishment
(5)		Remeasurement of contingent consideration related to the ImThera acquisition
(6)		Legal expenses primarily related to 3T Heater-Cooler defense, SNIA environmental liability, cybersecurity incident costs net of insurance reimbursement, Medical Device Regulation ("MDR") costs, and 3T Heater-Cooler litigation provision
(7)		Non-cash expenses associated with share-based compensation costs
(8)		The impact of valuation allowances, discrete tax items, the tax impact of intercompany transactions, and the tax impact on non-GAAP adjustments
• Numbers may not add precisely due to rounding.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES UNAUDITED (In millions, except for per share amounts)
			Non-GAAP Adjustments
Six Months Ended June 30, 2026	GAAP Financial Measures		Depreciation and Amortization Expense (1)		Investment Related Items (2)		Financing Related Items (3)		Contingent Consideration (4)		Certain Legal Regulatory Costs (5)		Share-based Compensation Costs (6)		Certain Tax Adjustments (7)		Adjusted Financial Measures
Cost of sales	$235.4		($5.8						($0.1				($1.3				$228.3
Gross profit percent	68.7		0.8										0.2				69.7
Selling, general, and administrative	301.7		(5.2								(11.7		(19.1				265.6
Selling, general, and administrative as a percent of net revenue	40.1		(0.7								(1.6		(2.5				35.3
Research and development	112.4		0.1						(10.4		(0.2		(4.7				97.1
Research and development as a percent of net revenue	14.9								(1.4				(0.6				12.9
Other operating expense	12.4										(12.4
Operating income	91.0		10.9						10.5		24.4		25.2				161.9
Operating margin percent	12.1		1.4						1.4		3.2		3.3				21.5
Net income	130.9		10.9		(12.7		58.8		10.5		24.4		25.2		(122.3		125.5
Net income as a percent of net revenue	17.4		1.4		(1.7		7.8		1.4		3.2		3.3		(16.3		16.7
Diluted earnings per share	$2.33		$0.19		($0.23		$1.05		$0.19		$0.43		$0.45		($2.18		$2.24

GAAP results for the six months ended June 30, 2026 include:
(1)		Depreciation and amortization associated with purchase price accounting
(2)		Gain on sale of investment, partially offset by impairment of investment without readily determinable fair value
(3)		Mark-to-market adjustments for the 2029 Notes embedded and capped call derivatives, non-cash interest expense, and loss on debt extinguishment
(4)		Remeasurement of contingent consideration related to the ImThera acquisition
(5)		Legal expenses primarily related to 3T Heater-Cooler defense, 3T Heater-Cooler litigation provision, Saluggia site remediation provision, and MDR costs
(6)		Non-cash expenses associated with share-based compensation costs
(7)		The impact of valuation allowances, discrete tax items, the tax impact of intercompany transactions, and the tax impact on non-GAAP adjustments
• Numbers may not add precisely due to rounding.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES UNAUDITED (In millions, except for per share amounts)
			Non-GAAP Adjustments
Six Months Ended June 30, 2025	GAAP Financial Measures		Restructuring Expense (1)		Depreciation and Amortization Expense (2)		Investment Related Items (3)		Financing Related Items (4)		Contingent Consideration (5)		Certain Legal Regulatory Costs (6)		Share-based Compensation Costs (7)		Certain Tax Adjustments (8)		Adjusted Financial Measures
Cost of sales	$214.1				($3.4						($1.8				($0.7				$208.2
Gross profit percent	68.0				0.5						0.3				0.1				68.9
Selling, general, and administrative	266.9				(5.0								(11.3		(13.5				237.1
Selling, general, and administrative as a percent of net revenue	39.9				(0.8								(1.7		(2.0				35.4
Research and development	85.1				0.1						(1.9		1.6		(2.7				82.2
Research and development as a percent of net revenue	12.7										(0.3		0.2		(0.4				12.3
Other operating expense	0.5		0.2										(0.6
Operating income	102.8		(0.2		8.3						3.7		10.3		17.0				141.9
Operating margin percent	15.4				1.2						0.6		1.5		2.5				21.2
Net (loss) income	(300.2		(0.2		8.3		3.2		14.9		3.7		372.4		17.0		(13.7		105.5
Net (loss) income as a percent of net revenue	(44.8				1.2		0.5		2.2		0.6		55.6		2.5		(2.0		15.8
Diluted (loss) earnings per share (9)	($5.51				$0.15		$0.06		$0.27		$0.07		$6.81		$0.31		($0.25		$1.93

GAAP results for the six months ended June 30, 2025 include:
(1)		Restructuring expense related to organizational changes
(2)		Depreciation and amortization associated with purchase price accounting
(3)		Loss on investment revaluation of Ceribell, Inc.
(4)		Mark-to-market adjustments for the 2025 and 2029 Notes embedded and capped call derivatives, interest expense on the Term Facilities, non-cash interest expense on the 2025 and 2029 Notes and Revolving Credit Facility, loss on debt extinguishment, and interest income on the collateral for the SNIA litigation guarantee and delayed draw on Term Facilities
(5)		Remeasurement of contingent consideration related to the ImThera acquisition
(6)		SNIA environmental liability, legal expenses primarily related to 3T Heater-Cooler defense, MDR costs, 3T Heater-Cooler litigation provision, cybersecurity incident costs net of insurance reimbursement, and R&D tax incentive
(7)		Non-cash expenses associated with share-based compensation costs
(8)		The impact of valuation allowances, discrete tax items, the tax impact of intercompany transactions, and the tax impact on non-GAAP adjustments
(9)		The denominator used to calculate the impact of non-GAAP adjustments on a per share basis and adjusted diluted earnings per share includes dilution from LivaNova's share-based compensation awards that was excluded from the calculation of GAAP diluted loss per share because the effect would have been anti-dilutive. See the reconciliation of GAAP diluted weighted average shares outstanding, used in the computation of GAAP diluted loss per share, to adjusted diluted weighted average shares outstanding, used in the computation of adjusted diluted earnings per share, at the end of this news release.
Numbers may not add precisely due to rounding.

LIVANOVA PLC AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS UNAUDITED
(In millions)
		June 30, 2026		December 31, 2025
ASSETS
Current Assets:
Cash and cash equivalents		$516.6		$635.6
Accounts receivable, net of allowance		231.3		216.0
Inventories		172.6		164.7
Prepaid and refundable taxes		42.9		48.6
Prepaid expenses and other current assets		61.6		36.8
Total Current Assets		1,025.0		1,101.6
Property, plant, and equipment, net		273.3		242.6
Goodwill		779.1		792.8
Intangible assets, net		217.0		230.0
Operating lease assets		56.7		55.5
Investments		15.3		20.3
Deferred tax assets		198.7		111.0
Long-term derivative assets		57.3		36.6
Other assets		18.3		15.7
Total Assets		$2,640.9		$2,606.1
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities:
Current debt obligations		$3.6		$31.5
Accounts payable		103.4		97.2
Accrued liabilities and other		103.8		94.6
SNIA environmental liability		385.0		396.2
Current contingent consideration				50.0
Current litigation provision liability		20.1		12.6
Taxes payable		22.1		33.1
Accrued employee compensation and related benefits		69.0		92.9
Total Current Liabilities		707.0		808.1
Long-term debt obligations		289.9		345.2
Long-term contingent consideration		42.1		42.0
Deferred tax liabilities		9.3		9.6
Long-term operating lease liabilities		49.7		48.3
Long-term employee compensation and related benefits		14.0		13.6
Long-term derivative liabilities		152.9		83.9
Other long-term liabilities		50.7		55.4
Total Liabilities		1,315.5		1,406.1
Total Shareholders' Equity		1,325.3		1,200.0
Total Liabilities and Shareholders' Equity		$2,640.9		$2,606.1
Numbers may not add precisely due to rounding.

LIVANOVA PLC AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS UNAUDITED
(In millions)		Six Months Ended June 30,
		2026		2025
Operating Activities:
Net income (loss)		$130.9		($300.2)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Deferred income tax (benefit) expense		(89.9)		2.8
Remeasurement of derivative instruments		52.2		(27.3)
Share-based compensation		25.2		17.0
Depreciation		17.1		13.3
Gain on sale of investment		(13.6)
Amortization of intangible assets		11.2		8.7
Remeasurement of contingent consideration to fair value		10.5		3.7
Amortization of debt issuance costs		9.7		11.4
Amortization of operating lease assets		5.5		7.8
Impairment of investment		1.1
Loss on debt extinguishment		0.9		2.7
Loss on investment revaluation Ceribell, Inc.				3.6
Other, net		(0.3)		1.0
Changes in operating assets and liabilities:
Accounts receivable, net		(17.2)		(13.7)
Inventories		(10.1)		(6.0)
Other current and non-current assets		(17.4)		35.5
Accounts payable and accrued current and non-current liabilities		(32.7)		(33.2)
Taxes payable		(8.9)		(0.9)
Litigation provision liability		7.8		(1.3)
SNIA environmental liability				362.1
Net cash provided by operating activities		81.8		86.9
Investing Activities:
Purchases of property, plant, and equipment		(45.8)		(25.9)
Proceeds from investments				6.5
Other, net		(0.7)		(0.2)
Net cash used in investing activities		(46.5)		(19.6)
Financing Activities:
Repayment of long-term debt obligations		(95.9)		(210.3)
Payment of contingent consideration		(50.4)
Other, net		(4.3)		(3.2)
Net cash used in financing activities		(150.7)		(213.4)
Effect of exchange rate changes on cash, cash equivalents, and restricted cash		(3.5)		16.2
Net decrease in cash, cash equivalents, and restricted cash		(118.9)		(129.9)
Cash, cash equivalents, and restricted cash at beginning of period		635.6		723.6
Cash and cash equivalents at end of period		$516.6		$593.6
Numbers may not add precisely due to rounding.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES UNAUDITED (In millions)
		Three Months Ended June 30,
		2026									2025
		GAAP Financial Measures			Certain Tax Adjustments			Adjusted Financial Measures			GAAP Financial Measures			Certain Tax Adjustments			Adjusted Financial Measures
Income before income tax		$18.5						$91.5			$33.3						$73.5
Income tax (benefit) expense		(90.2			110.6			20.4			6.2			10.0			16.1
Loss from equity method investments		(0.1						(0.1
Net income		$108.6			($110.6			$71.0			$27.2			($10.0			$57.4
Income tax rate		(488.1						22.3			18.5						22.0

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES UNAUDITED (In millions)
		Six Months Ended June 30,
		2026									2025
		GAAP Financial Measures			Certain Tax Adjustments			Adjusted Financial Measures			GAAP Financial Measures			Certain Tax Adjustments			Adjusted Financial Measures
Income (loss) before income tax		$46.0						$163.0			($282.3						$137.0
Income tax (benefit) expense		(85.9			122.3			36.5			17.8			13.7			31.5
Loss from equity method investments		(1.0						(1.0
Net income (loss)		$130.9			($122.3			$125.5			($300.2			($13.7			$105.5
Income tax rate		(186.8						22.4			(6.3						23.0
Numbers may not add precisely due to rounding.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES UNAUDITED (In millions)
		Three Months Ended June 30, 2026
Net cash provided by operating activities		$66.6
Less: Purchases of property, plant, and equipment		(31.6
Less: Dividends received from investments		(0.2
Add: Payment of contingent consideration included in cash provided by operating activities		10.0
Add: 3T Heater-Cooler litigation payments		0.7
Adjusted free cash flow		$45.5
Numbers may not add precisely due to rounding.

The following table presents the reconciliation of GAAP diluted weighted average shares outstanding, used in the computation of GAAP diluted loss per share, to adjusted diluted weighted average shares outstanding, used in the computation of adjusted diluted earnings per share:

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES UNAUDITED (In millions)
		Six Months Ended June 30, 2025
GAAP diluted weighted average shares outstanding		54.5
Add: Effects of share-based compensation instruments		0.2
Adjusted diluted weighted average shares outstanding		54.7
Numbers may not add precisely due to rounding.

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