STAA STAAR Surgical Company

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

 

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of report (Date of earliest event reported): February 11, 2025

 

 

 

STAAR Surgical Company

(Exact Name of Registrant as Specified in Charter)

 

 

 

Delaware	0-11634	95-3797439
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)
25510 Commercentre Drive Lake Forest, California		92630
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s Telephone Number, Including Area Code: 626-303-7902

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

 

☐	Written communication pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communication pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communication pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common	STAA	NASDAQ

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1 933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company ☐

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

 

---

Item 2.02 Results of Operations and Financial Condition.

On February 11, 2025, 2024, STAAR Surgical Company (the “Company”) published a press release reporting its financial results for the quarter and year ended December 27, 2024, a copy of which is furnished as Exhibit 99.1 to this report and is incorporated herein by this reference.

 

Item 7.01 Regulation FD Disclosure.

 

During a conference call and webcast scheduled to be held at 5:00 p.m. Eastern / 2:00 p.m. Pacific on February 11, 2025, the Company’s Chair of the Board, President and Chief Executive Officer, and the Company's Chief Financial Officer will discuss the Company’s results for the quarter and year ended December 27, 2024 and the Company’s outlook for fiscal year 2025. The Company’s slide presentation for the conference call and webcast is furnished as Exhibit 99.2 to this Current Report.

 

The information furnished herewith pursuant to Items 2.02 and 7.01 of this Current Report, including Exhibits 99.1 and 99.2, shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section. The information in Items 2.02 and 7.01 of this Current Report shall not be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date of this Current Report, regardless of any general incorporation language in the filing.

 

Item 9.01 Financial Statements and Exhibits.

Exhibit No.		Description
99.1		Press release of the Company dated February 11, 2025.
99.2		Slide presentation of the Company dated February 11, 2025.
104		Cover Page Interactive Data File (embedded within the Inline XBRL document).

 

---

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

STAAR Surgical Company
February 11, 2025	By:	/s/ Tom Frinzi
		Thomas Frinzi
		President and Chief Executive Officer

 

---

STAAR Surgical Reports Fourth Quarter and Fiscal Year 2024 Results

Net Sales of $313.9 Million and ICL Sales of $312.5 Million for Fiscal 2024 Impacted by Weak China Macroeconomic Conditions

ICL Sales Ex. China Up 17% in Fourth Quarter and 13% in Fiscal 2024

Introduces Outlook for Fiscal 2025

Earnings Conference Call and Webcast Today at 5:00 p.m. Eastern

LAKE FOREST, CA, February 11, 2025 --- STAAR Surgical Company (NASDAQ: STAA), the global leader in phakic IOLs with the EVO family of Implantable Collamer® Lenses (EVO ICL™) for vision correction, today reported results for the fourth quarter and fiscal year ended December 27, 2024. The Company moved up its earnings announcement and will hold a conference call and webcast today at 5:00 p.m. Eastern to discuss its financial results, operational progress and fiscal 2025 outlook.

 

Fourth Quarter 2024 Overview

 

Fiscal Year 2024 Overview

“STAAR’s fiscal 2024 results reflect fluctuating demand in China, which more than offset the strong performance across our other regions,” said Tom Frinzi, Chair of the Board and CEO of STAAR Surgical. “China is the largest market in the world for refractive procedures, and macroeconomic conditions and consumer confidence in China remain weak. While the government stimulus announced in September looked promising, the demand for our cash-pay ICLs deteriorated dramatically as we exited the year. ICL procedure volumes in China improved in January, but we expect overall lower demand in China in fiscal 2025, particularly in the first half. We have been collaborating with our distributors to address elevated inventory levels in China as a result of the challenging demand environment, while at the same time positioning the Company for a rebound once the market recovers.”

---

Mr. Frinzi continued, “Outside of China, we expect to sustain double-digit growth across our global markets in 2025 as demand for our ICL technology continues to outpace the refractive market overall. Myopia is not going away, and we have a unique technology in Collamer with over 30 years of proven clinical outcomes. We have built up a strong balance sheet that provides STAAR with the resiliency to face these macroeconomic challenges, which we believe are transitory. We will continue to make market-building investments in surgeon education, technology and our commercial teams and strategies to drive ICL adoption, while reducing costs in targeted areas to align our operations with the current demand environment. We look forward to supporting our customers and patients around the world, as we drive EVO ICL as the first choice for doctors and patients seeking visual freedom. I want to thank the STAAR team for their efforts to help us build on EVO ICL’s market leadership and return the total company to a strong growth trajectory.”

Fourth Quarter 2024 Financial Results

Net sales were $49.0 million for the fourth quarter of 2024 compared to $76.3 million in the prior year quarter. The decrease was due to a significant decline in China revenue, driven by worsening trends in overall refractive procedure volumes. ICL sales were $46.9 million for the fourth quarter of 2024 compared to $74.6 million in the prior year quarter. Excluding China, ICL sales were $39.5 million, an increase of 17% as compared to the prior year period. In December 2024, the Company shipped $27.5 million of ICLs to China, for which it did not recognize revenue due to extended payment terms with its distributor. While inventories in China are elevated, the Company determined to keep product in-country in advance of the anticipated demand rebound in the second half of 2025 and to mitigate potential impacts from geopolitical and tariff changes. Based on the extended payment terms, the Company expects to receive full payment, and fully recognize this revenue, by the end of the fiscal quarter ending September 26, 2025.

 

Gross profit margin for the fourth quarter of 2024 was 64.7% of total net sales compared to the prior year quarter of 79.6% of total net sales. The decrease in gross profit margin was primarily due to the recognition of cost of sales of $3.9 million associated with the $27.5 million in ICLs shipped into China in December, for which the Company did not recognize revenue. Gross profit margin was also negatively impacted by period costs associated with the expansion of the Company’s manufacturing capabilities in its Nidau, Switzerland facility, as well as the temporary idling of its U.S. manufacturing facility during the holiday season and for facility upgrades.

 

Operating expenses for the fourth quarter of 2024 were $59.6 million compared to $50.3 million in the prior year quarter, primarily due to increased investments in commercial operations and innovation. General and administrative expenses were $21.3 million compared to $16.9 million in the prior year quarter, primarily due to increased outside services and facilities costs. Selling and marketing expenses were $26.2 million compared to $22.6 million in the prior year quarter. The increase in selling and marketing expenses was due to increased compensation-related expenses, partially offset by lower marketing, promotional and advertising activities. Research and development expenses were $12.0 million compared to $10.9 million in the prior year quarter, primarily due to increased compensation-related expenses.

Operating loss for the fourth quarter of 2024 was $(27.9) million as compared to operating income of $10.4 million for the fourth quarter of 2023. Net loss for the fourth quarter of 2024 was $(34.2) million or $(0.69) per diluted share compared with net income of $7.8 million or $0.16 per diluted share for the prior year quarter. The year over year decrease in net income was primarily attributable to lower net sales and gross profit.

---

Fiscal Year 2024 Financial Results

Net sales were $313.9 million for fiscal year 2024 compared to $322.4 million in the prior year. The decrease in net sales was driven largely by the significant decline in China revenue in the fourth quarter of 2024. ICL sales were $312.5 million for fiscal 2024 compared to $319.4 million in the prior year. Excluding China, ICL sales were $151.6 million, an increase of 13% as compared to the prior year.

Gross profit margin for fiscal year 2024 was 76.3% of total net sales compared to 78.4% of total net sales for fiscal year 2023.

Operating expenses for fiscal year 2024 were $252.2 million compared to $224.6 million in the prior year. The 12% increase in operating expense was primarily due to higher general and administrative expense and research and development expenses, both related to higher compensation-related expenses, primarily increased headcount, outside services and facilities costs.

Operating loss for fiscal year 2024 was $(12.6) million compared to operating income of $28.1 million for fiscal year 2023. Net loss for fiscal year 2024 was $(20.2) million or $(0.41) per diluted share compared with net income of $21.3 million or $0.43 per diluted share for the prior year. The year over year decrease in net income was due to lower sales and gross profit, increased operating expense and lower other income.

Cash, cash equivalents and investments available for sale at December 27, 2024, totaled $230.5 million, compared to $232.4 million at the end of the fourth quarter of 2023.

All financial data in this press release and the accompanying tables is unaudited and subject to completion of the Company's audited financial statements. The Company has not yet finalized its tax provision, including its valuation allowance for its deferred tax asset and other potential tax entries. Any adjustments to the tax provision would not impact Adjusted EBITDA as presented in this press release and the accompanying tables. Audited financial information will be included in the Company’s Annual Report on Form 10-K for the year ended December 27, 2024, which the Company intends to file on or before February 25, 2025. See “Forward-Looking Statements” below.

 

Outlook

The Company expects the following for fiscal year 2025:

---

In fiscal year 2025, the Company will manage its working capital and implement appropriate cost cutting measures in light of the lower revenue forecast. The Company intends to lower production output, decrease capital expenditures, and make targeted reductions to operating expenses, which will impact headcount and discretionary spend.

While the Company’s use of cash and cash flows will vary by quarter, the Company expects to end fiscal 2025 with cash, cash equivalents and investments available for sale of approximately $150 million to $175 million.

Based on the Company’s outlook for fiscal year 2025, the Company no longer expects to achieve its Vision 2026 Target Sales and Operating Model, originally announced on September 14, 2023.

Earnings Conference Call and Webcast

The Company previously announced that it would report its earnings on February 19, 2025. With today’s earnings announcement, the Company has moved up the date of its earnings call. The Company will host an earnings conference call and webcast today, Tuesday, February 11 at 5:00 p.m. Eastern / 2:00 p.m. Pacific to discuss its financial results, operational progress and outlook. To access the webcast please use the following link: https://event.choruscall.com/mediaframe/webcast.html?webcastid=CvWvUh4c

The live webcast, earnings webcast presentation and an archived version of the webcast can be accessed from the investor relations section of the STAAR website at www.staar.com.

1 Adjusted EBITDA and Adjusted EBITDA per share are non-GAAP financial measures. For further information on non-GAAP financial measures, please refer to the “Use of Non-GAAP Financial Measures” section of this press release. Please also refer to the tables at the end of this press release for a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measure.

 

Use of Non-GAAP Financial Measures

To supplement the Company’s financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), this press release and the accompanying tables include certain non-GAAP financial measures, including Adjusted EBITDA. Management uses these non-GAAP financial measures in its evaluation of Company operating performance and believes investors will find them useful in evaluating the Company’s operating performance, including cash flow generation, and in analyzing period-to-period financial performance of core business operations and underlying business trends. Non-GAAP financial measures are in addition to, not a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP.

 

EBITDA is a non-GAAP financial measure, which is calculated by adding interest income and expense, net; provision for income taxes; and depreciation and amortization to net income. In calculating Adjusted EBITDA and Adjusted EBITDA per diluted share, the Company further adjusts for stock-based compensation expense. As stock-based compensation is a non-cash expense that can vary significantly based on the timing, size and nature of awards granted, the Company believes that the exclusion of stock-based compensation expense can assist investors in comparisons of Company operating results with other peer companies because (i) the amount of such expense in any specific period may not directly correlate to the underlying performance of our business operations and (ii) such expense can vary significantly between periods as a result of the timing of grants of new stock-based awards, including inducement grants in connection with hiring. Additionally, the Company believes that excluding stock-based compensation from Adjusted EBITDA and Adjusted EBITDA per diluted share assists management and investors in making meaningful comparisons between the Company’s operating performance and the operating performance of other companies that may use different forms of employee compensation or different valuation methodologies for their stock-based compensation. Investors should note that stock-based compensation is a key incentive offered to employees whose efforts contributed to the operating results in the periods presented and are

---

expected to contribute to operating results in future periods. Investors should also note that such expenses will recur in the future.

The Company also presents certain financial information on a constant currency basis, which is intended to exclude the effects of foreign currency fluctuations. The Company conducts a significant part of its activities outside the U.S. It receives sales revenue and pays expenses principally in U.S. dollars, Swiss francs, Japanese yen and euros. The exchange rates between dollars and non-U.S. currencies can fluctuate greatly and can have a significant effect on the Company’s results when reported in U.S. dollars. In order to compare the Company's performance from period to period without the effect of currency, the Company will apply the same average exchange rate applicable in the prior period, or the “constant currency” rate to sales or expenses in the current period as well.

In the tables provided below, the Company has included a reconciliation of Adjusted EBITDA and Adjusted EBITDA per diluted share to net income (loss) and net income (loss) per diluted share, the most directly comparable GAAP financial measure, as well as supplemental financial information with net sales expressed in constant currency. The Company has also provided a reconciliation of forward-looking Adjusted EBITDA and Adjusted EBITDA per diluted share to net income (loss) and net income (loss) per diluted share. This represents forward-looking information, and actual results may vary. Please see the risks and assumptions referred to in the Forward-Looking Statements section of this press release.

About STAAR Surgical

STAAR, which has been dedicated solely to ophthalmic surgery for over 40 years, designs, develops, manufactures and markets implantable lenses for the eye. These lenses are intended to provide visual freedom for patients, lessening or eliminating the reliance on glasses or contact lenses. All of these lenses are foldable, which permits the surgeon to insert them through a small incision. STAAR’s lens used in refractive surgery is called an Implantable Collamer® Lens or “ICL,” which includes the EVO ICL™ product line. More than 3,000,000 ICLs have been sold to date and STAAR markets these lenses in over 75 countries. To learn more about the ICL go to: EVOICL.com. Headquartered in Lake Forest, CA, the company operates manufacturing and packaging facilities in Aliso Viejo, CA, Monrovia, CA and Nidau, Switzerland. For more information, please visit the Company’s website at www.staar.com.

 

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements in this press release that are not statements of historical fact are forward-looking statements, including statements about any of the following: all financial projections under the caption “Outlook”, plans, strategies, and objectives of management for 2025 and beyond or prospects for achieving such plans, expectations for sales, revenue, margin, earnings, expenses, use of cash, cash flows, and any statements of assumptions underlying any of the foregoing, including those relating to expected or future financial performance. In addition, the financial data in this press release and the accompanying tables is unaudited and subject to completion of year-end audit and review procedures. Further, the Company has not yet finalized its tax provision, including its valuation allowance for its deferred tax asset and other potential tax entries. These forward-looking statements are neither promises nor guarantees and involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from what is expressed or implied by the forward-looking statements, including, but not limited to: our ability to continue our growth and profitability trajectory; our reliance on independent distributors in

---

international markets; a slowdown or disruption to the Chinese economy; global economic conditions; disruptions in our supply chain; fluctuations in foreign currency exchange rates; international trade disputes (including involving tariffs) and substantial dependence on demand from Asia; changes in effective tax rate or tax laws; any loss of use of our principal manufacturing facility; competition; potential losses due to product liability claims; our exposure to environmental liability; data corruption, cyber-based attacks or network security breaches and/or noncompliance with data protection and privacy regulations; acquisitions of new technologies; climate changes; the willingness of surgeons and patients to adopt a new or improved product and procedure; extensive clinical trials and resources devoted to research and development; compliance with government regulations; the discretion of regulatory agencies to approve or reject existing, new or improved products, or to require additional actions before or after approval, or to take enforcement action; laws pertaining to healthcare fraud and abuse; changes in FDA or international regulations related to product approval; product recalls or failures; and other important factors set forth in the Company’s Annual Report on Form 10-K for the year ended December 29, 2023 under the caption “Risk Factors,” which is on file with the Securities and Exchange Commission (the “SEC”) and available in the “Investor Information” section of the Company’s website under the heading “SEC Filings,” as any such factors may be updated from time to time in the Company’s other filings with the SEC. Forward-looking statements speak only as of the date they are made and, except as may be required under applicable law, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

 

We intend to use our website as a means of disclosing material non-public information about the Company and for complying with our disclosure obligations under Regulation FD. Such disclosures will be included on our website in the ‘Investor Relations’ sections at investors.staar.com. Accordingly, investors should monitor such portion of our website, in addition to following our press releases, SEC filings and public conference calls and webcasts. In addition, you may automatically receive email alerts and other information about the Company when you enroll your email address by visiting the Email Alerts section at investors.staar.com.

 

CONTACT:	Investors & Media
	Brian Moore
	Vice President, Investor Relations and Corporate Development
	(626) 303-7902, Ext. 3023
	bmoore@staar.com
	Investors - Asia
	Niko Liu, CFA
	Director, Investor Relations and Corporate Development - Asia
	+852-6092-5076
	nliu@staar.com

 

---

Consolidated Balance Sheets
(in 000's)
Unaudited
ASSETS		December 27, 2024				December 29, 2023
Current assets:
Cash and cash equivalents		$	144,159			$	183,038
Investments available for sale			86,335				37,688
Accounts receivable trade, net			77,897				94,704
Inventories, net			43,305				35,130
Prepayments, deposits, and other current assets			16,244				14,709
Total current assets			367,940				365,269
Investments available for sale			-				11,703
Property, plant, and equipment, net			84,889				66,835
Finance lease right-of-use assets, net			37				183
Operating lease right-of-use assets, net			36,850				34,387
Goodwill			1,786				1,786
Deferred income taxes			788				5,190
Other assets			17,234				3,339
Total assets		$	509,524			$	488,692
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	16,704			$	13,557
Obligations under finance leases			42				165
Obligations under operating leases			3,894				4,202
Allowance for sales returns			6,579				6,174
Other current liabilities			43,087				40,938
Total current liabilities			70,306				65,036
Obligations under finance leases			-				42
Obligations under operating leases			34,807				31,425
Deferred income taxes			297				1,077
Asset retirement obligations			42				103
Pension liability			6,737				5,055
Total liabilities			112,189				102,738
Stockholders' equity:
Common stock			493				488
Additional paid-in capital			471,449				436,947
Accumulated other comprehensive loss			(7,031	)			(4,113	)
Accumulated deficit			(67,576	)			(47,368	)
Total stockholders' equity			397,335				385,954
Total liabilities and stockholders' equity		$	509,524			$	488,692

 

---

Consolidated Statements of Income
(in 000's except for per share data)
Unaudited
		Three Months Ended																								Year Ended
		% of Sales				December 27, 2024				% of Sales				December 29, 2023				Fav (Unfav) Amount				%				% of Sales				December 27, 2024				% of Sales				December 29, 2023				Fav (Unfav) Amount				%
Net sales			100.0	%		$	48,950				100.0	%		$	76,273			$	(27,323	)			(35.8	)%			100.0	%		$	313,901				100.0	%		$	322,415			$	(8,514	)			(2.6	)%
Cost of sales			35.3	%			17,302				20.4	%			15,548				(1,754	)			(11.3	)%			23.7	%			74,319				21.6	%			69,764				(4,555	)			(6.5	)%
Gross profit			64.7	%			31,648				79.6	%			60,725				(29,077	)			(47.9	)%			76.3	%			239,582				78.4	%			252,651				(13,069	)			(5.2	)%
Selling, general and administrative expenses:
General and administrative			43.6	%			21,344				22.1	%			16,858				(4,486	)			(26.6	)%			28.6	%			89,898				22.4	%			72,319				(17,579	)			(24.3	)%
Selling and marketing			53.5	%			26,172				29.6	%			22,596				(3,576	)			(15.8	)%			34.5	%			108,322				33.4	%			107,834				(488	)			(0.5	)%
Research and development			24.6	%			12,042				14.2	%			10,866				(1,176	)			(10.8	)%			17.2	%			53,973				13.8	%			44,401				(9,572	)			(21.6	)%
Total selling, general, and administrative expenses			121.7	%			59,558				65.9	%			50,320				(9,238	)			(18.4	)%			80.3	%			252,193				69.6	%			224,554				(27,639	)			(12.3	)%
Operating income (expense)			(57.0	)%			(27,910	)			13.7	%			10,405				(38,315	)			(368.2	)%			(4.0	)%			(12,611	)			8.8	%			28,097				(40,708	)			(144.9	)%
Other income (expense):
Interest income, net			3.2	%			1,553				2.2	%			1,699				(146	)			(8.6	)%			1.9	%			5,911				2.2	%			6,986				(1,075	)			(15.4	)%
Gain (loss) on foreign currency transactions			(8.7	)%			(4,260	)			1.7	%			1,331				(5,591	)			(420.1	)%			(1.3	)%			(3,675	)			(0.6	)%			(1,909	)			(1,766	)			(92.5	)%
Royalty income			0.0	%			-				0.0	%			-				-				0.0	%			0.1	%			508				0.0	%			74				434				586.5	%
Other income, net			0.6	%			283				0.4	%			304				(21	)			(6.9	)%			0.3	%			815				0.1	%			448				367				81.9	%
Total other income (expense), net			(4.9	)%			(2,424	)			4.3	%			3,334				(5,758	)			(172.7	)%			1.0	%			3,559				1.7	%			5,599				(2,040	)			(36.4	)%
Income (loss) before provision for income taxes			(61.9	)%			(30,334	)			18.0	%			13,739				(44,073	)			(320.8	)%			(3.0	)%			(9,052	)			10.5	%			33,696				(42,748	)			(126.9	)%
Provision for income taxes			8.0	%			3,894				7.8	%			5,983				2,089				34.9	%			3.6	%			11,156				3.8	%			12,349				1,193				9.7	%
Net income (loss)			(69.9	)%			(34,228	)			10.2	%			7,756				(41,984	)			(541.3	)%			(6.6	)%			(20,208	)			6.7	%			21,347				(41,555	)			(194.7	)%
Net income (loss) per share - basic							(0.69	)							0.16																(0.41	)							0.44
Net income (loss) per share - diluted							(0.69	)							0.16																(0.41	)							0.43
Weighted average shares outstanding - basic							49,266								48,815																49,125								48,523
Weighted average shares outstanding - diluted							49,266								49,242																49,125								49,427

 

---

Consolidated Statements of Cash Flows
(in 000's)
Unaudited
		Three Months Ended								Year Ended
		December 27, 2024				December 29, 2023				December 27, 2024				December 29, 2023
Cash flows from operating activities:
Net income (loss)		$	(34,228	)		$	7,756			$	(20,208	)		$	21,347
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation of property and equipment			2,375				1,368				6,891				5,111
Amortization of long-lived intangibles			-				(2	)			-				13
Impairment of long-lived intangibles			-				-				-				154
Accretion/Amortization of investments available for sale			(681	)			(329	)			(1,091	)			(2,501	)
Deferred income taxes			3,543				3,199				3,590				3,264
Change in net pension liability			188				(190	)			26				(956	)
Stock-based compensation expense			4,669				182				27,210				23,516
Change in asset retirement obligation			(77	)			2				(53	)			(102	)
Loss on disposal of property and equipment			26				32				1,694				73
Provision for sales returns and bad debts			(1,661	)			(1,262	)			286				663
Inventory provision			909				761				2,782				4,851
Changes in working capital:
Accounts receivable			26,196				17,676				16,493				(32,760	)
Inventories			(4,038	)			(4,386	)			(10,000	)			(14,361	)
Prepayments, deposits and other assets			(3,126	)			171				(15,363	)			(3,413	)
Accounts payable			2,106				2,565				75				(701	)
Other current liabilities			4,441				4,426				3,393				10,396
Net cash provided by operating activities			642				31,969				15,725				14,594
Cash flows from investing activities:
Acquisition of property and equipment			(5,725	)			(3,088	)			(23,394	)			(18,188	)
Purchase of investments available for sale			(19,046	)			1				(80,240	)			(52,313	)
Proceeds from sale or maturity of investments available for sale			5,276				25,489				44,417				144,848
Net provided by (used in) investing activities			(19,495	)			22,402				(59,217	)			74,347
Cash flows from financing activities:
Repayment of finance lease obligations			(41	)			(40	)			(165	)			(161	)
Repurchase of employee common stock for taxes withheld			(109	)			(1	)			(1,505	)			(2,097	)
Proceeds from vested restricted stock and exercise of stock options			40				408				7,394				9,673
Net cash provided by (used in) financing activities			(110	)			367				5,724				7,415
Effect of exchange rate changes on cash and cash equivalents			(881	)			868				(1,111	)			202
Increase (decrease) in cash and cash equivalents			(19,844	)			55,606				(38,879	)			96,558
Cash and cash equivalents, at beginning of the period			164,003				127,432				183,038				86,480
Cash and cash equivalents, at end of the period		$	144,159			$	183,038			$	144,159			$	183,038

 

---

Reconciliation of Non-GAAP Financial Measure
Net Income to Adjusted EBITDA
(in 000's except for per share data)
Unaudited
		2022				Q1-23				Q2-23				Q3-23				Q4-23				2023				Q1-24				Q2-24				Q3-24				Q4-24				2024				2025 Outlook Range(3)
Net income (loss) - (as reported)		$	39,665			$	2,710			$	6,064			$	4,817			$	7,756			$	21,347			$	(3,339	)		$	7,379			$	9,980			$	(34,228	)		$	(20,208	)		$(78,000) - $(63,000)
Provision (benefit) for income taxes			5,887				2,009				2,428				1,929				5,983				12,349				1,128				2,955				3,179				3,894				11,156			$(5,000) - $0
Other (income) expense, net			(1,750	)			(1,919	)			105				(451	)			(3,334	)			(5,599	)			(70	)			1,564				(7,477	)			2,424				(3,559	)		$0
Depreciation			4,481				1,113				1,285				1,345				1,368				5,111				1,237				1,522				1,757				2,375				6,891			$10,000
(Gain) loss on disposal of property plant and equipment(2)			65				-				24				17				32				73				-				26				1,642				26				1,694			$0
Amortization of intangible assets			28				7				10				(2	)			(2	)			13				-				-				-				-				-			$0
Stock-based compensation			20,371				6,065				8,423				8,846				182				23,516				6,339				9,042				7,160				4,669				27,210			$23,000 - $38,000
Adjusted EBITDA		$	68,747			$	9,985			$	18,339			$	16,501			$	11,985			$	56,810			$	5,295			$	22,488			$	16,241			$	(20,840	)		$	23,184			$(50,000) - $(15,000)
Adjusted EBITDA as a % of Revenue			24.2	%			13.6	%			19.9	%			20.6	%			15.7	%			17.6	%			6.8	%			22.7	%			18.3	%			(42.6	)%			7.4	%		(21)% - (5)%
Net income (loss) per share, diluted - (as reported)		$	0.80			$	0.05			$	0.12			$	0.10			$	0.16			$	0.43			$	(0.07	)		$	0.15			$	0.20			$	(0.69	)		$	(0.41	)		$(1.56) - $(1.26)
Provision (benefit) for income taxes			0.12				0.04				0.05				0.04				0.12				0.25				0.02				0.06				0.06				0.08				0.22			$(0.10) - $0.00
Other (income) expense, net			(0.04	)			(0.04	)			-				(0.01	)			(0.07	)			(0.11	)			-				0.03				(0.15	)			0.05				(0.07	)		$0.00
Depreciation			0.09				0.02				0.03				0.03				0.03				0.10				0.03				0.03				0.04				0.05				0.14			$0.20
(Gain) loss on disposal of property plant and equipment			-				-				-				-				-				-				-		a		-				0.03				-				0.03			$0.00
Amortization of intangible assets			-				-				-				-				-				-				-				-				-				-				-			$0.00
Stock-based compensation			0.41				0.12				0.17				0.18				-				0.48				0.13				0.18				0.14				0.09				0.55			$0.46 - $0.76
Adjusted EBITDA per share, diluted(1)		$	1.39			$	0.20			$	0.37			$	0.33			$	0.24			$	1.15			$	0.11			$	0.45			$	0.33			$	(0.42	)		$	0.47			$(1.00) - $(0.30)
Weighted average shares outstanding - Diluted			49,380				49,500				49,516				49,370				49,242				49,427				48,907				49,811				49,731				49,266				49,597			50,000
(1)  Adjusted EBITDA per diluted share may not add due to rounding
(2) The Q3-2024 non cash write-off of $1.6M was related to the former EVO Experience Center
(3) Fiscal year 2025 Outlook line items are approximations

 

---

ICL Sales by Geography
(in 000's)
Unaudited
		Fiscal Year												Three Months Ended
ICL Sales by Region(5)		2022				2023				2024				December 29, 2023				March 29, 2024				June 28, 2024				September 27, 2024				December 27, 2024
Americas(1)		$	20,114			$	22,233			$	25,670			$	5,264			$	6,260			$	6,794			$	6,187			$	6,429
EMEA(2)			36,715				39,318				43,337				10,103				11,299				10,727				10,333				10,978
APAC(3)			212,883				257,876				243,536				59,254				59,592				81,844				72,581				29,519
Global ICL Sales		$	269,712			$	319,427			$	312,543			$	74,621			$	77,151			$	99,365			$	89,101			$	46,926
Global ICL Sales Growth			27	%			18	%			(2	)%			22	%			9	%			7	%			10	%			(37	)%
Americas ICL Sales Growth			43	%			11	%			15	%			(8	)%			12	%			14	%			14	%			22	%
EMEA ICL Sales Growth			(2	)%			7	%			10	%			18	%			11	%			10	%			12	%			9	%
APAC ICL Sales Growth			32	%			21	%			(6	)%			26	%			9	%			6	%			9	%			(50	)%
Global ICL Unit Growth			33	%			19	%			(6	)%			19	%			2	%			3	%			6	%			(39	)%
		Fiscal Year												Three Months Ended
ICL Sales by Country(4)(5)		2022				2023				2024				December 29, 2023				March 29, 2024				June 28, 2024				September 27, 2024				December 27, 2024
China		$	147,967			$	185,404			$	160,979			$	40,813			$	38,460			$	63,345			$	51,719			$	7,455
Growth			38	%			25	%			(13	)%			30	%			10	%			3	%			7	%			(82	)%
Japan		$	32,623			$	36,352			$	41,409			$	9,495			$	10,227			$	9,735			$	10,490			$	10,957
Growth			14	%			11	%			14	%			16	%			11	%			14	%			15	%			15	%
South Korea		$	17,940			$	19,853			$	21,841			$	4,996			$	6,725			$	3,973			$	5,435			$	5,708
Growth			18	%			11	%			10	%			39	%			1	%			20	%			11	%			14	%
United States		$	15,070			$	17,168			$	20,475			$	4,164			$	5,039			$	5,541			$	4,822			$	5,073
Growth			59	%			14	%			19	%			(8	)%			15	%			25	%			16	%			22	%
ICL Sales Ex China		$	121,745			$	134,023			$	151,564			$	33,808			$	38,691			$	36,020			$	37,382			$	39,471
Growth			15	%			10	%			13	%			14	%			9	%			13	%			14	%			17	%
Notes:
(1) Americas includes the United States, Canada and Latin American countries
(2) EMEA includes Spain, Germany, United Kingdom, European, Middle East and Africa Distributors
(3) APAC includes China, Japan, South Korea, India and the rest of Asia Pacific distributors
(4) ICL Sales by country includes countries representing more than 5% of total ICL sales in the most recently completed fiscal year
(5) ICL sales do not include IOL, injector or other sales

 

---

Reconciliation of Non-GAAP Financial Measure
Constant Currency Sales
(in 000's)
Unaudited
		Three Months Ended																As Reported								Constant Currency
Sales		December 27, 2024				Effect of Currency				Constant Currency				December 29, 2023				$ Change				% Change				$ Change				% Change
ICL		$	46,926			$	136			$	47,062			$	74,621			$	(27,695	)			(37.1	)%		$	(27,559	)			(36.9	)%
Cataract IOL			-				-				-				(156	)			156				(100.0	)%			156				(100.0	)%
Other			2,024				(3	)			2,021				1,808				216				11.9	%			213				11.8	%
Total Sales		$	48,950			$	133			$	49,083			$	76,273			$	(27,323	)			(35.8	)%		$	(27,190	)			(35.6	)%
		Year Ended																As Reported								Constant Currency
Sales		December 27, 2024				Effect of Currency				Constant Currency				December 29, 2023				$ Change				% Change				$ Change				% Change
ICL		$	312,543			$	2,651			$	315,194			$	319,427			$	(6,884	)			(2.2	)%		$	(4,233	)			(1.3	)%
Cataract IOL			-				-				-				1,139				(1,139	)			(100.0	)%			(1,139	)			(100.0	)%
Other			1,358				108				1,466				1,849				(491	)			(26.6	)%			(383	)			(20.7	)%
Total Sales		$	313,901			$	2,759			$	316,660			$	322,415			$	(8,514	)			(2.6	)%		$	(5,755	)			(1.8	)%

 

---

NASDAQ: STAA February 11, 2025 Fourth Quarter and Fiscal 2024
Earnings Presentation Exhibit 99.2

---

02 STAAR Surgical Earnings Call and Webcast Fourth Quarter and Fiscal 2024 Today’s Speakers Investor Relations PATRICK WILLIAMS TOM FRINZI Chair of the Board, President and CEO Chief Financial Officer http://investors.staar.com Brian Moore VP, Investor Relations and Corporate Development Connie Johnson Director, Investor Relations  and High-Performance Management Niko Liu, CFA Director, Investor Relations and Corporate Development – Asia +1 626.303.7902 investorrelations@staar.com

---

This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements that are not statements of historical fact are forward-looking statements, including statements about any of the following: all financial projections under the caption “Outlook”, plans, strategies, and objectives of management for 2025 and beyond or prospects for achieving such plans, expectations for sales, revenue, margin, expenses, use of cash, cash flows, and any statements of assumptions underlying any of the foregoing, including those relating to expected or future financial performance. In addition, the financial data in this presentation is unaudited and subject to completion of year-end audit and review procedures. Further, the Company has not yet finalized its tax provision, including its valuation allowance for its deferred tax asset and other potential tax entries. Audited financial information will be included in the Company’s Annual Report on Form 10-K for the year ended December 27, 2024, which the Company intends to file on or before February 25, 2025. These forward-looking statements are neither promises nor guarantees and involve known and unknown risks, uncertainties and other important factors that may cause actual results, performance or achievements to be materially different from what is expressed or implied by the forward-looking statements, including, but not limited to: our ability to continue our growth and profitability trajectory; our reliance on independent distributors in international markets; a slowdown or disruption to the Chinese economy; global economic conditions; disruptions in our supply chain; fluctuations in foreign currency exchange rates; international trade disputes (including involving tariffs) and substantial dependence on demand from Asia; changes in effective tax rate or tax laws; any loss of use of our principal manufacturing facility; competition; potential losses due to product liability claims; our exposure to environmental liability; data corruption, cyber-based attacks or network security breaches and/or noncompliance with data protection and privacy regulations; acquisitions of new technologies; climate changes; the willingness of surgeons and patients to adopt a new or improved product and procedure; extensive clinical trials and resources devoted to research and development; compliance with government regulations; the discretion of regulatory agencies to approve or reject existing, new or improved products, or to require additional actions before or after approval, or to take enforcement action; laws pertaining to healthcare fraud and abuse; changes in FDA or international regulations related to product approval; product recalls or failures; and other important factors set forth in the Company’s Annual Report on Form 10-K for the year ended December 29, 2023 under the caption “Risk Factors,” which is on file with the Securities and Exchange Commission (the “SEC”) and available in the “Investor Information” section of the Company’s website under the heading “SEC Filings,” as any such factors may be updated from time to time in the Company’s other filings with the SEC. Forward-looking statements speak only as of the date they are made and, except as may be required under applicable law, the Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. We intend to use our website as a means of disclosing material non-public information about the Company and for complying with our disclosure obligations under Regulation FD. Such disclosures will be included on our website in the ‘Investor Relations’ sections at investors.staar.com. Accordingly, investors should monitor such portion of our website, in addition to following our press releases, SEC filings and public conference calls and webcasts. In addition, you may automatically receive email alerts and other information about the Company when you enroll your email address by visiting the Email Alerts section at investors.staar.com. Forward Looking Statements 03

---

Non-GAAP Financial Information To supplement the Company’s financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), this presentation and the accompanying tables include certain non-GAAP financial measures, including Adjusted EBITDA. Management uses these non-GAAP financial measures in its evaluation of Company operating performance and believes investors will find them useful in evaluating the Company’s operating performance, including cash flow generation, and in analyzing period-to-period financial performance of core business operations and underlying business trends. Non-GAAP financial measures are in addition to, not a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. EBITDA is a non-GAAP financial measure, which is calculated by adding interest income and expense, net; provision for income taxes; and depreciation and amortization to net income. In calculating Adjusted EBITDA and Adjusted EBITDA per diluted share, the Company further adjusts for stock-based compensation expense. As stock-based compensation is a non-cash expense that can vary significantly based on the timing, size and nature of awards granted, the Company believes that the exclusion of stock-based compensation expense can assist investors in comparisons of Company operating results with other peer companies because (i) the amount of such expense in any specific period may not directly correlate to the underlying performance of our business operations and (ii) such expense can vary significantly between periods as a result of the timing of grants of new stock-based awards, including inducement grants in connection with hiring. Additionally, the Company believes that excluding stock-based compensation from Adjusted EBITDA and Adjusted EBITDA per diluted share assists management and investors in making meaningful comparisons between the Company’s operating performance and the operating performance of other companies that may use different forms of employee compensation or different valuation methodologies for their stock-based compensation. Investors should note that stock-based compensation is a key incentive offered to employees whose efforts contributed to the operating results in the periods presented and are expected to contribute to operating results in future periods. Investors should also note that such expenses will recur in the future. The Company also presents certain financial information on a constant currency basis, which is intended to exclude the effects of foreign currency fluctuations. The Company conducts a significant part of its activities outside the U.S. It receives sales revenue and pays expenses principally in U.S. dollars, Swiss francs, Japanese yen and euros. The exchange rates between dollars and non-U.S. currencies can fluctuate greatly and can have a significant effect on the Company’s results when reported in U.S. dollars. In order to compare the Company's performance from period to period without the effect of currency, the Company will apply the same average exchange rate applicable in the prior period, or the “constant currency” rate to sales or expenses in the current period as well. In the appendix to this presentation, the Company has included a reconciliation of Adjusted EBITDA and Adjusted EBITDA per diluted share to net income (loss) and net income (loss) per diluted share, the most directly comparable GAAP financial measure, as well as supplemental financial information with net sales expressed in constant currency. The Company has also provided a reconciliation of forward-looking Adjusted EBITDA and Adjusted EBITDA per diluted share to net income (loss) and net income (loss) per diluted share. This represents forward-looking information, and actual results may vary. Please see the risks and assumptions referred to in the Forward-Looking Statements section of this presentation. 04

---

STAAR Surgical + EVO ICL™ Around the World FOURTH QUARTER AND FISCAL 2024 EARNINGS PRESENTATION

---

Enhanced commercial focus and investments are driving EVO ICL adoption despite a challenging macroeconomic and geopolitical backdrop for our cash-pay vision correction technology “STAAR’s fiscal 2024 results reflect fluctuating demand in China, which more than offset the strong performance across our other regions. China is the largest market in the world for refractive procedures, and macroeconomic conditions and consumer confidence in China remain weak. While the government stimulus announced in September looked promising, the demand for our cash-pay ICLs deteriorated dramatically as we exited the year. ICL procedure volumes in China improved in January, but we expect overall lower demand in China in fiscal 2025, particularly in the first half. “ “Outside of China, we expect to sustain double-digit growth across our global markets in 2025 as demand for our ICL technology continues to outpace the refractive market overall. Myopia is not going away, and we have a unique technology in Collamer with over 30 years of proven clinical outcomes. We have built up a strong balance sheet that provides STAAR with the resiliency to face these macroeconomic challenges, which we believe are transitory. ” – Tom Frinzi Chair of the Board, President and CEO 06 STAAR / Fiscal 2024 Results Reflect Ongoing EVO ICL™ Adoption Overshadowed by Heavy Exposure to China Macroeconomic Conditions Q4’24 GAAP Net Sales $313.9M FY24 GAAP Net Sales Cash, Cash Equivalents and Investments at Dec. 27, 2024 +13% -13% FY24 ICL Sales Ex. China FY24 China ICL Sales Macro headwinds Weak consumer confidence Worsening trends in overall refractive procedure volumes exiting FY24 +10% EMEA APAC Ex. China +14% Surgeon Confidence
Movement Down Diopter Curve
Innovation +15% Americas $230.5M $49.0M Our investments in customer education, innovative tools and comprehensive practice support, coupled with the advancement of our lower diopter strategies, are also expanding our total addressable market. Q4’24 ICL Sales $46.9M FY24 ICL Sales $312.5M China ICL sales $7.5M
ICL Sales Ex. China $39.5M China ICL sales $161.0M
ICL Sales Ex. China $151.6M Note: Net Sales reflects consolidated ICL Sales and Other Products Sales, which historically has included cataract IOLs, delivery systems and normal recurring sales adjustments such as sales return allowances. Other Product Sales were $2.1M and $1.4M for Q4'24 and FY24, respectively.

---

China / Negative Retail Sales Stemming from Weak Consumer Confidence China Retail Sales Growth Y/Y  07 October 30, 2024
STAAR 3Q24 Earnings
Call and Webcast September 24, 2024
Government Stimulus Announced China Consumer Confidence China Lockdowns April 2022 China Reopening Q1 2023 Tier 1 Cities Retail Sales Rebound Macroeconomic Headwinds for Consumer Discretionary Spending Note: Source: China National Bureau of Statistics and STAAR Surgical.

---

China ICL Sales / Deteriorated Following October 30th Q3’24 Earnings Report Fourth Quarter and Fiscal 2024 08 China -82% -13% Q4’24 Growth Y/Y FY24 Growth Y/Y China ICL sales declined 82% in Q4’24 and declined 13% in FY24
As a proxy for procedural volumes in China, STAAR tracks sell-through data, which is estimated based on the movement of product between the distributors and the end user hospitals The challenging macroeconomic environment and weak consumer confidence in China contributed to an estimated decline in overall refractive procedure volume of approximately 15% in FY24* Estimated sell-through was extremely volatile month-to-month in FY24 Following the short-lived recovery in October, we saw some ups and downs in November, and things worsened in December ($ MILLIONS) UNAUDITED Our Experience Shows China Can Rebound Quickly Note: * Company estimates.  We saw rapid increases in ICL sell-through in China in 2021 following the initial COVID-19 surge and again in Q1'23, as China exited lockdowns and the economy reopened
Data shows significant increases in China consumer savings, even post-COVID, over the past several years
We and our China distributors believe the current weakness is transitory We expect to see performance rebound in 2H25 as anticipated government stimulus takes hold and our distributors work through their elevated inventory levels

---

09 Notes: Americas includes the United States, Canada and Latin American countries EMEA includes Spain, Germany, United Kingdom, European, Middle East and Africa distributors; APAC Ex. China includes Japan, South Korea, India and the rest of Asia Pacific distributors. Net Sales reflects consolidated ICL Sales and Other Products Sales, which historically included cataract IOLs, delivery systems and normal recurring sales adjustments such as sales return allowances. (1) Refractive Surgery Council (2) Company estimates Americas EMEA APAC Ex. China GLOBAL Ex. China ($ MILLIONS) UNAUDITED U.S. ICL sales up 22% in Q4’24 and 19% in FY24, significantly outpaced refractive market Signed 13 total “Fast Lane” Highway 93 strategic agreements in FY24 Q4’24 Growth Y/Y Q4’24 growth driven primarily by European distributor markets up 14% and Spain up 8% Middle East Q4’24 up 8% and up a strong 37% for FY24 despite headwinds +22% +9% +20% +17% FY24 Growth Y/Y +15% +10% +14% +13% Japan ICL sales up 15% in Q4’24 and 14% in FY24
South Korea ICL sales up 14% in Q4’24 and 10% in FY24 driven by country’s first ICL-only clinic which implanted well over 2,000 lenses in FY24
India ICL sales up 21% in FY24 driven by investments in STAAR’s in-country commercial team, which has more than doubled in last few years EVO ICL continues to take market share and grow sales in a challenging overall market for refractive vision procedures FY24 U.S. refractive procedure volumes down approximately 18% 1 FY24 EMEA refractive procedure volumes down approximately 5-10% 2 FY24 APAC Ex. China refractive procedure volumes down approximately 5% 2 ICL Sales Ex. China / Growth Is Outpacing Refractive Markets Fourth Quarter and Fiscal 2024

---

STAAR / ICL Sales Mix Is Heavily Indexed to China ICL Sales  | Fiscal 2024 $312.5M Our global ICL sales mix is the outcome of paced investments based on market opportunity. EVO ICL™ Wins Market Share Where We Invest CHINA APAC Ex. CHINA EMEA AMERICAS 52% vs. 58% in 2023 $161.0M 26% vs. 23% in 2023 $82.6M 14% vs. 12% in 2023 $43.3M 8% vs. 7% in 2023 $25.7M 10

---

STAAR / ICL Sales Outlook for Fiscal 2025 ICL Sales Ex. China $165M - $175M Up 9% to 15% Y/Y Introducing Fiscal 2025 ICL Sales Ex. China Outlook  China ICL Sales $75M - $125M Introducing Fiscal 2025 China ICL Sales Outlook 11 Employment Levels Retail Sales Discretionary Spending Consumer Confidence Government Policies, e.g., Fiscal Stimulus, Tariffs Real Estate Values Underlying Assumptions for Fiscal 2025 Sales Outlook  The range for ICL Sales Ex. China assumes overall refractive procedure volumes in Americas will be down 5%-10%; EMEA will be flat; and APAC Ex. China will be flat The range for China ICL Sales is dependent on overall refractive procedure volumes, which the Company believes could be down 10% at the low end; the high end of the range contemplates a rebound in overall refractive procedure volumes growing 10%  Q1’25 and Q2’25 Net Sales of approximately $40 million per quarter

---

12 STAAR / Net Sales and GAAP Net Income (Loss) Income Statement Chief Financial Officer PATRICK WILLIAMS Net Sales GAAP Net Income (Loss) Dollars in millions FY24 net sales of $313.9M
Decrease in net sales driven largely by a significant decline in China ICL sales in Q4’24
FY24 Constant Currency net sales of $316.7M
Q4’24 net sales of $49.0M
Q4’24 Constant Currency net sales of $49.1M GAAP Net Income (Loss), per share Dollars in millions

---

13 STAAR / Gross Profit and Outlook for Fiscal 2025 Gross Profit Dollars in millions FY24 Gross profit of $239.6M or 76.3% of net sales
FY24 Gross profit margin declined 210 bps Y/Y
Q4’24 Gross profit of $31.6M or 64.7% of net sales
Q4’24 Gross profit margin declined 149 bps Y/Y Gross profit for Q/Q, and Y/Y negatively impacted by: Recognition of cost of sales associated with ICLs shipped into China in Q4’24, for which the Company did not recognize revenue Period costs associated with expansion of the Company’s manufacturing in Switzerland, as well as the temporary idling of its U.S. manufacturing facility during the holiday season and for facility upgrades ~75% Introducing Fiscal 2025 Gross Margin Outlook  The Company's gross margin decrease in Q4'24 was related to the China ICL order in December; gross margin is expected to normalize in FY25, except that the Company will see a reduction due to its planned decrease in production output The Company expects that longer term, as growth rebounds, it will increase production output, which will lead to higher gross margin; the Company continues to believe that it has the potential to achieve 80%+ gross margin 1H25 gross margin expected to be in the low 70s, and 2H25 in the mid- to high- 70s, resulting in FY25 gross margin of approximately 75%

---

Q4 2024 OpEx Fiscal 2024 OpEx Fiscal 2025 OpEx Outlook For FY25, we expect G&A expense to be approximately $20 million to $27 million per quarter For FY25, we expect Selling and Marketing expense to be approximately $22 million to $30 million per quarter Research & Development Selling & Marketing 122% 80% General & Adminstrative $59.6M $252.2M $12.0M vs. $10.9M Yr Ago $54.0M vs. $44.4M Yr Ago $22.6M Yr Ago $26.2M vs. $107.8M Yr Ago $108.3M vs. $16.9M Yr Ago $21.3M vs. $72.3M Yr Ago $89.9M vs. Total OpEx Total OpEx For FY25, we expect R&D expense to be approximately $11 million to $15 million per quarter STAAR has made significant investments globally in human capital, manufacturing capacity expansion and technology infrastructure to bring our EVO ICL procedure to the market. STAAR / Operating Expenses and Outlook for Fiscal 2025 14

---

STAAR / Adjusted EBITDA1 and Balance Sheet Outlook for Fiscal 2025 Approximately $(30) million loss per quarter for each of Q1 and Q2 1H25 FISCAL 2025 The Company expects approximately $(50)M to $(15)M Adjusted EBITDA loss for FY25 and Adjusted EBITDA per diluted share loss range of approximately $(1.00) to $(0.30) for FY25 Note: (1) Adjusted EBITDA and Adjusted EBITDA per share are non-GAAP financial measures.  For further information on non-GAAP financial measures, please refer to the “Use of Non-GAAP Financial Measures” section of this presentation. Please also refer to the table on slide 20 of this presentation for a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measure. Adjusted EBITDAOutlook  Cash, Cash Equivalents & Investments as of December 27, 2024 $230.5M Cash, Cash Equivalents & Investments of $232.4M at the end of FY23, and no debt NO DEBT Adjusted EBITDA Approximately $5 million to $22.5 million gain per quarter for each of Q3 and Q4 2H25 Adjusted EBITDAOutlook  Introducing Fiscal 2025 Introducing Fiscal 2025 Adjusted EBITDA Outlook  Use of cash and cash flows will vary by quarter; the Company expects to end FY25 with Cash, Cash Equivalents & Investments of approximately $150M-$175 million FISCAL 2025 Cash Flow Outlook 15

---

16 Chair of the Board, President and CEO TOM FRINZI Unique Collamer® Technology Myopia Is Not Going Away ICL 30+ Years of Success Proprietary Collamer® Material Proven Clinical Outcomes By 2050, 50% of the World’s Population Will Have Myopia.1 EVO ICL continues to lead in the lens-based refractive market, globally, and address the large TAM Our strong balance sheet was built over years to provide resiliency during these times of macroeconomic challenges, which we believe are transitory Financial Strength Focus STAAR / Big Market. Great Product. Focused Path Forward Note: (1) Holden BA, Fricke TR, Wilson DA, Jong M, Naidoo KS, Sankaridurg P, Wong TY, Naduvilath TJ, Resnikoff S. Global Prevalence of Myopia and High Myopia and Temporal Trends from 2000 through 2050. Ophthalmology. 2016 May;123(5):1036-42. doi: 10.1016/j.ophtha.2016.01.006. Epub 2016 Feb 11. PMID: 26875007.

---

Q&A STAAR SURGICAL
FOURTH QUARTER AND FISCAL 2024 EARNINGS WEBCAST 17

---

18 ICL Sales by Geography STAAR Surgical Note: (1) Americas includes the United States, Canada and Latin American countries (2) EMEA includes Spain, Germany, United Kingdom, European, Middle East and Africa distributors (3) APAC includes China, Japan, South Korea, India and the rest of Asia Pacific distributors (4) ICL Sales by country includes countries representing more than 5% of total ICL sales in the most recently completed fiscal year (5) ICL sales do not include IOL, injector or other sales. FISCAL YEAR THREE MONTHS ENDED ICL Sales by Region(5) 2022 2023 2024 Dec 29, 2023 Mar 29, 2024 Jun 28, 2024 Sep 27, 2024 Dec 27, 2024 Americas(1) $20,114 $22,233 $25,670 $5,264 $6,260 $6,794 $6,187 $6,429 EMEA(2) $36,715 $39,318 $43,337 $10,103 $11,299 $10,727 $10,333 $10,978 APAC (3) $212,883 $257,876 $243,536 $59,254 $59,592 $81,844 $72,581 $29,519 Global ICL Sales $269,712 $319,427 $312,543 $74,621 $77,151 $99,365 $89,101 $46,926 Global ICL Sales Growth 27% 18% (2%) 22% 9% 7% 10% (37%) Americas ICL Sales Growth 43% 11% 15% (8%) 12% 14% 14% 22% EMEA ICL Sales Growth (2%) 7% 10% 18% 11% 10% 12% 9% APAC ICL Sales Growth 32% 21% (6%) 26% 9% 6% 9% (50%) Global ICL Unit Growth 33% 19% (6%) 19% 2% 3% 6% (39%) FISCAL YEAR THREE MONTHS ENDED ICL Sales by Country(4,5) 2022 2023 2024 Dec 29, 2023 Mar 29, 2024 Jun 28, 2024 Sep 27, 2024 Dec 27, 2024 China $147,967 $185,404 $160,979 $40,813 $38,460 $63,345 $51,719 $7,455 Growth 38% 25% (13%) 30% 10% 3% 7% (82%) Japan $32,623 $36,352 $41,409 $9,495 $10,227 $9,735 $10,490 $10,957 Growth 14% 11% 14% 16% 11% 14% 15% 15% South Korea $17,940 $19,853 $21,841 $4,996 $6,725 $3,973 $5,435 $5,708 Growth 18% 11% 10% 39% 1% 20% 11% 14% United States $15,070 $17,168 $20,475 $4,164 $5,039 $5,541 $4,822 $5,073 Growth 59% 14% 19% (8%) 15% 25% 16% 22% ICL Sales Ex. China $121,745 $134,023 $151,564 $33,808 $38,691 $36,020 $37,382 $39,471 Growth 15% 10% 13% 14% 9% 13% 14% 17% (IN 000’S) UNAUDITED

---

19 Reconciliation of Non-GAAP Financial Measures STAAR Surgical Provision (benefit) for Income Taxes is expected to be $(5)M to $0 for FY25 Other (Income) expense is expected to be ~$0 for FY25 Depreciation expense is expected to be ~$10M in FY25 Stock-based compensation expense expected to be $23M to $38M in FY25 Additional FY25 Outlook Details In order to reconcile Adjusted EBITDA from Net Income for our FY25 Outlook, we are providing the following line-item details as of February 11, 2025: Note: (1) Adjusted EBITDA per diluted share may not add due to rounding. (2) FY25 Outlook line items are all approximations. Net Income (Loss) to Adjusted EBITDA (in 000's except for per share) data) Q1-23 Q2-23 Q3-23 Q4-23 2023 Q1-24 Q2-24 Q3-24 Q4-24 2024 2025 Outlook(2) Net income (loss) (as reported) $2,710 $6,064 $4,817 $7,756 $21,347 $(3,339) $7,379 $9,980 $(34,228) $(20,208) $(78)M – $(63)M Provision (benefit) for income taxes $2,009 $2,428 $1,929 $5,983 $12,349 $1,128 $2,955 $3,179 $3,894 $11,156 $(5)M - $0 Other (income) expense, net $(1,919) $105 $(451) $(3,334) $(5,599) $(70) $1,564 $(7,477) $2,424 $(3,559) - Depreciation $1,113 $1,285 $1,345 $1,368 $5,111 $1,237 $1,522 $1,757 2,375 6,891 $10,000 Other $7 $34 $15 $30 $86 - $26 $1,642 $26 $1,694 - Stock-based compensation $6,065 $8,423 $8,846 $182 $23,516 $6,339 $9,042 $7,160 $4,669 $27,210 $23,000 - $38,000 Adjusted EBITDA $9,985 $18,339 $16,501 $11,985 $56,810 $5,295 $22,488 $16,241 $(20,840) $23,184 $(50,000) - $(15,000) Adjusted EBITDA as a % of Revenue 13.6% 19.9% 20.6% 15.7% 17.6% 6.8% 22.7% 18.3% (42.6%) 7.4% (21)% - (5)% Net income (loss) per share, diluted- (as reported) $0.05 $0.12 $0.10 $0.16 $0.43 $(0.07) $0.15 $0.20 $(0.69) $(0.41) $(1.56) - $(1.26) Provision (benefit) for income taxes $0.04 $0.05 $0.04 $0.12 $0.25 $0.02 $0.06 $0.06 $0.08 $0.22 $(0.10) - $0.0 Other (income) expense, net $(0.04) - $(0.01) $(0.07) $(0.11) - $0.03 $(0.15) $0.05 $(0.07) $0.0 Depreciation $0.02 $0.03 $0.03 $0.03 $0.10 $0.03 $0.03 $0.04 $0.05 $0.14 $0.20 Other - - - - - - - $0.03 - $0.03 - Stock-based compensation $0.12 $0.17 $0.18 - $0.48 $0.13 $0.18 $0.14 $0.09 $0.55 $0.46 - $0.76 Adjusted EBITDA per share, diluted(1) $0.20 $0.37 $0.33 $0.24 $1.15 $ 0.11 $ 0.45 $ 0.33 $(0.42) $0.47 $(1.00) - $(0.30) Weighted average shares outstanding - Diluted 49,500 49,516 49,370 49,242 49,427 48,907 49,811 49,731 49,266 49,597 50,000 (IN 000’S) UNAUDITED

v3.25.0.1

Document And Entity Information	Feb. 11, 2025
Cover [Abstract]
Document Type	8-K
Amendment Flag	false
Document Period End Date	Feb. 11, 2025
Entity Registrant Name	STAAR Surgical Co
Entity Central Index Key	0000718937
Entity Emerging Growth Company	false
Entity File Number	0-11634
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	95-3797439
Entity Address, Address Line One	25510 Commercentre Drive
Entity Address, City or Town	Lake Forest
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	92630
City Area Code	626
Local Phone Number	303-7902
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of each class	Common
Trading Symbol(s)	STAA
Name of each exchange on which registered	NASDAQ

---