Company: STAA
Filing Date: 2025-09-26
Form Type: DEFA14A
Source: 0001193125-25-219844
Chunk: 31

Company: STAAR SURGICAL CO
Filing Date: 2025-09-26
Form: DEFA14A
Chunk 31
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23 – LTM(1) 2Q25 Net Sales CAGR July 2025 Offer EXECUTIVE SUMMARY | PREMIUM VALUE | STANDALONE RISKS | THOUGHTFUL EVALUATION | BROADWOOD CLAIMS C

STAAR’s Net Sales for 2024 and projections for 2025 and 2026 signal that STAAR’s challenges in China are not transitory Net Sales challenges in China are structural, not transitory. Even with an expected uptick in China in 2026, Net Sales in China are still expected to be flat compared to 2024 and down significantly from 2023. Broadwood’s claims that STAAR can return to historical growth rates are not realistic “… STAAR’s stock has traded below its intrinsic value, in our view, because of transitory issues with inventory in China. But the Company’s second quarter financial results… told a different story, reflecting an abatement of the inventory challenges the Company faced in 2024 and early 2025… which suggests, in our view, that it is well on its way to returning to substantial profitability.” Broadwood Claims The Reality… While STAAR has largely addressed inventory challenges in China and has taken steps to mitigate tariff risk through early 2026, STAAR’s success in large part depends on a rebound in procedural volumes and Net Sales Procedural volumes in China continue to remain depressed as a result of macroeconomic factors and weak consumer confidence, and the number of refractive surgery procedures remains small As a standalone company, STAAR has overweight exposure to China, where in addition to macroeconomic challenges, new entrants are creating greater risks and headwinds EVO ICLs are well positioned for the treatment of high myopia, but other effective technologies compete in low and moderate myopia at lower cost and higher percent margin to customers O P ($ in millions) Declining China Net Sales 2023A-2026E Reflects a burn down of distributor inventory. China net sales projections as included in management projections in the definitive proxy. (1) EXECUTIVE SUMMARY | PREMIUM VALUE | STANDALONE RISKS | THOUGHTFUL EVALUATION | BROADWOOD CLAIMS C (2) (2)

Contrary to Broadwood’s claim, STAAR’s compensation program is customary and aligned with stockholders’ interests “However, under the terms of the Merger Agreement, the Company’s compensation program will be revised so that NEOs’ equity awards vest immediately upon the