Investor Presentation (NYSE: IVC)

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S e p t e m b e r 1 4 , 2 0 2 1

Investor Presentation(NYSE: IVC)

Baird Healthcare Conference

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N This presentation contains forward-looking statements within the meaning of the “Safe Harbor” provisions of the PrivateSecurities Litigation Reform Act of 1995. Forward-looking statements are those that describe future outcomes orexpectations that are usually identified by words such as “will,” “should,” “could,” “plan,” “intend,” “expect,” “continue,”“forecast,” “believe,” and “anticipate” and include, for example, any statement made regarding the company's futureresults, financial condition and the impact of COVID-19. Actual results may differ materially as a result of various risksand uncertainties, including those expressed in the cautionary statements and Risk Factors sections in the company’sannual reports on Form 10-K, quarterly reports on Form 10-Q and other filings with the Securities and ExchangeCommission. The company may not be able to predict and may have little or no control over many factors or events thatmay influence its future results and, except as required by law, shall have no obligation to update any forward-lookingstatements. .

Financial results presented are as of June 30, 2021, unless otherwise noted. Forward-looking information reported on aspecified date is provided herein as of such date and is not updated or reaffirmed as of a later date hereby.

Non-GAAP Measures .This presentation will reference certain non-GAAP financial information, including, but not limited to, Adjusted EBITDA,constant currency net sales and free cash flow. For a description and reconciliation of non-GAAP measures presented inthis document, please see the Appendix attached to this presentation. Any non-GAAP financial information is not asubstitute for, and should be read in conjunction with, GAAP financial information.

Forward Looking Statements

Invacare Corporation: Baird Healthcare Conference – Sep 14, 2021

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NMaking Life’s Experiences Possible

TTM Revenues $858M as of Jun 30, 2021

Headquartered near Cleveland, OHCelebrating over 40 years of Making Life’s Experiences Possible

Design, manufacture and distribute durable medical equipment for congenital, acquired and degenerative conditions

Distribute products to private and government medical equipment providers and residential care providers typically used in non-acute care settings

N.Amer.40%

Europe56%

APAC4%

3,400 employees worldwide

Who We Are

Sales by Segment (TTM as of Jun 30,2021)

What We Do

Safe patient handling and hygiene❑ Safe transfers for resident and

caregiver safety❑ Daily hygiene products

Custom power and manual wheelchairs and custom seating❑ Alternative drive controls and

touch-screen technology❑ Informatics❑ Elite recreational sports

equipment

Respiratory therapy products❑ Stationary and portable

oxygen concentrators❑ HomeFill® oxygen refilling

systems

Long-term care beds and therapeutic support surfaces❑ Pressure relief for

wound healing and prevention

❑ Continued pressure monitoring

24-Hours of Care - Move, Rest, Breathe, Hygiene


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NBroad Product L ine with High Cl in ical Value

Lifestyle (47%)Globally focused on home healthcare and post-acute care, including aids for daily living, walking aids, lifts, wheelchairs, beds and surfaces

Mobility & Seating (38%)Custom power and custom manual wheelchairs, seating and positioning, and power add-ons

Respiratory (12%)Stationary concentrators and ambulatory oxygen such as portable concentrators and refilling devices for portable tanks

Other (3%)Services and rentals

$403

$324

$105

$26

$0

$50

$100

$150

$200

$250

$300

$350

$400

$450

Lifestyle Mobility &Seating

Respiratory Other

(in

mill

ion

s)

Reported Net Sales *

$858Million*

* TTM sales as of June 30, 2021


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Award winning clinical solutions and full product pipeline:✓ Launched center-wheel, front-wheel and rear-wheel drive standing positioning system with clinical and

social benefits of vertical positioning, including pediatric standing system

✓ First wirelessly remote-controlled portable oxygen concentrator

✓ First with hydroforming technology that allows production of manual wheelchairs with significantly higher performance without increased weight

✓ Invacare Ampla Action bariatric wheelchair – winner of the Red Dot Award: Product Design 2019, Platinum A’Design Award, and German Design Award 2020

Operational improvements to expand margins and accelerate profitability:✓ Benefit of expanded standard gross margin from plant consolidations in Europe and favorable product mix

✓ Near-term margins negatively impacted by supply chain challenges including higher material, labor and freight costs but the company has implemented actions to mitigate the impact

Partnership with Birlasoft Solutions to modernize business with flexible IT systems to:✓ Drive operational efficiencies

✓ Improve our customers’ experience

✓ Generate substantial cost savings over time

Initiatives Accelerating Our Multi-Year Strategy to Return to Profitability


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NSupporting sales growth with frequent introduction of clinically innovative solutions

Rehab (Mobility and Seating)

Post Acute Care (Lifestyle)

Respiratory

MayE-pilot P15 Power Add On

Birdie Evo Lifter

May

MPS Maxx Modular Power Standing System

Sep

Ocean Ergo Commode chair

Sep

2019

May

SMOOV One™ Power Add On

Invacare Stand Assist

Apr

Birdie Evo Xplus Lifter

May

Innovation Pipeline

2020

Mar

AVIVA® FX / AVIVA RXPower Wheelchairs

Platinum®Mobile®concentrator with remote control functionality

Sep

NordBed

MPS Mini Maxx Standing System

Apr Sep

Kompas™Foldable Power wheelchair

Optisling safe patient handling products

Sep

NordBed ™Kid

Oct

Jan

Ampla bariatric manual chair

Jul

Clematis Pro tilt-in-space manual wheelchair

Feb

Pico Green eco-friendly shower chair

2018 2021

Aug

AVIVA Storm RX

Jul

P5NXG 5L stationary oxygen concentrator


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NCulture of Innovation & Process Improvements Paves Way for Growth

Product introductions in all categories to drive incremental sales at higher margins Business Optimization

✓ Customer friendly e-commerce portal expected to launch in North America in 4Q21

✓ Completed the outsourcing of the IT infrastructure and began deploying our modernized IT system in the first stages in Canada and New Zealand

✓ Completed German plant consolidation for anticipated $5 million of annual cost savings starting in 2021


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NDemonstrated Improvement in Financial Performance

27.5%

28.2%

28.8%29.0%

28.0%27.8%

26.5%

27.0%

27.5%

28.0%

28.5%

29.0%

29.5%

2018 2019 2020

% of Net Sales

Gross Margin SG&A

$11.3

($10.4)

($18.3)

($20.0) ($15.0) ($10.0) ($5.0) $0.0 $5.0 $10.0 $15.0

2020

2019

2018

(in millions)

Operating Income (Loss)

$6.6

$28.7 $31.9

$0.0

$5.0

$10.0

$15.0

$20.0

$25.0

$30.0

$35.0

2018 2019 2020

(in

mill

ion

s)

Adjusted EBITDA

$0.0

($8.1)

($52.7)

($60.0) ($50.0) ($40.0) ($30.0) ($20.0) ($10.0) $0.0 $10.0

2020

2019

2018

(in millions)

Free Cash Flow (Usage)

2020

2020*

* Includes $9.8 million gain on divesture of Dynamic Controls

+11.1%

+333.9%


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NRecent Concurrent Global Supply Chain and COVID-19 Related Disruptions Temporarily Impacting GrowthThree key factors in mid- to late-August temporarily impacted revenue growth in 3Q21. Actions to limit the impact have beentaken. Benefits will correct trajectory, but are not likely to fully correct the impact within the fiscal year.

Logistics and Freight

• Transportation – Unexpected loss of significant amount of transportation capacity at our European Distribution Center impacted shipments of completed products and delayed revenue recognition

✓ Secured additional freight forwarders to return to prior levels –catching up with delayed deliveries in process

• Freight – Significantly higher inbound and outbound costs

✓ Implemented pricing changes or surcharges to mitigate the additional costs – benefit anticipated to be realized in 4Q21

Labor

• North America – Tight labor market impacted the ability to attract and retain labor, resulting in higher than expected turnover

✓ Offering attractive packages, increasing competitiveness

✓ Redeployed long-term associates to products with higher demand

• Europe – Tight labor market and higher than typical vacation by both associates and customers impacted the ability to sell, manufacture and distribute products efficiently

✓ Added 2nd shift at German facility

✓ 3rd party distribution center increased labor force to accelerate output

Materials

• Materials – Significantly higher prices on steel, plastics and other key components compressed margins and impacted Adjusted EBITDA

✓ Implemented price increases on the majority of products and customers, as applicable, to mitigate higher costs

✓ Net benefit of price increases partially offset by the potential for reduced sales; expected to impact in 4Q21


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($52.7)

($8.1)$0.0

($60)

($40)

($20)

$0

$20

Free Cash Flow(in millions)

$6.6

$28.7 $31.9

$0

$10

$20

$30

$40

2018 2019 2020 2021 Est

Adjusted EBITDA(in millions)

2021 Financial Guidance

The company anticipates increased customer activity and demand for its products even as

the pandemic continues to present challenges related to labor, material and freight

availability. These challenges are moderating near-term revenue growth and will result in

elevated levels of inventory and higher conversion costs. The company is taking actions such

as working with its customers on price increases, as appropriate, to defray higher input

costs; strategically increasing the labor force in key locations to improve throughput; and

increasing freight carriers to reduce the currently elevated backlog, driving revenue growth

and Adjusted EBITDA improvement in 4Q21 and beyond. As a result of the updated outlook

and assumptions in the medium-term, the company is revising its guidance as follows:

Third Quarter 2021 Guidance

❑ Constant currency net sales growth of 0% to 4%;

❑ Adjusted EBITDA of $6 to $9 million; and,

❑ Free cash flow usage of $4 to $7 million.

Full Year 2021 Guidance

❑ Constant currency net sales growth of -1% to 2%;

❑ Adjusted EBITDA of $30 to $37 million; and,

❑ Free cash flow usage of $10 to $20 million.

Free cash flow usage will increase due to lower profitability in the range of $8 to $15 million

while only realizing a portion of the full year benefit of mitigation actions and higher

working capital requirements with increased investment in inventory and accounts

receivable of approximately $10 million more than originally anticipated. The company

believes this increased investment will collect to cash over the course of 2022.2018 2019 2020 2021 Est*

+11.1%+333.9%

$30.0

$37.0

($20.0)

($10.0)


* Includes one-time payment totaling $15 million related to German severance and the repayment of delayed VAT and other taxes from 2020

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We are striving to regain market leadership

We have a clear roadmap to further enhance and simplify our operations

We have a strong pipeline of innovative products coming to market

Our financial performance is improving as a result of these initiatives

Key Takeaways

Business Improvement Highlights


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Thank You


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Investor Presentation (NYSE: IVC)

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