ILLUMINA, INC.

As of September 27, 2026, we had $1,289 million in cash and cash equivalents, of which $474 million was held by foreign subsidiaries. Cash and cash equivalents decreased by $129 million from December 28, 2025 due to factors described in the “Cash Flow Summary” below. Our primary source of liquidity, other than our holdings of cash, cash equivalents, and investments, has been cash flows from operations and, from time to time, issuances of debt. During YTD 2026, we received net proceeds from the issuance of our 2029 Term Notes of $297 million and repaid $500 million for our 2026 Term Notes. Our ability to generate cash from operations, supplemented with the issuance of debt and/or liquidation of our short-term investments, provides us with the financial flexibility we need to meet operating, investing, and financing needs. In YTD 2026, we sold the remainder of our short-term investment in GRAIL and received aggregate proceeds from the sales of $206 million. As of September 27, 2026, we had $48 million remaining in short-term investments, primarily comprised of our time deposits.

On January 30, 2026, we acquired SomaLogic for a total purchase price of $460 million, including cash of $382 million and contingent consideration with an estimated fair value of $81 million, offset by $3 million for the settlement of a preexisting relationship. Under the contingent consideration arrangements, Standard BioTools was eligible to receive up to $75 million in milestone payments, comprised of up to $25 million based on 2025 performance and up to $50 million based on 2026 performance, based on the achievement of specified revenue targets. Standard BioTools was also entitled to receive a 2% royalty on certain specified revenues, to be paid quarterly for 10 years through January 2036. In Q2 2026, we paid $25 million for the milestone payment earned for the 2025 performance period. Additionally, in Q3 2026, we paid $30 million to buy out early the 2026 Milestone and Royalty Contingent Consideration obligations. No obligations remained under these arrangements as of September 27, 2026.

In August 2026, we issued $300 million aggregate principal amount of 2029 Term Notes. We received net proceeds of $297 million. The 2029 Notes, which mature on September 19, 2029, accrue interest at a rate of 4.950% per annum, payable semi-annually on March 19 and September 19 of each year, beginning on March 19, 2027. We may redeem for cash all or any portion of the 2029 Term Notes, at our option, at any time prior to maturity.

In November 2025, we issued $500 million aggregate principal amount of 2030 Term Notes, which mature on December 12, 2030 and accrue interest at a rate of 4.750% per annum, payable semi-annually in June and December of each year. In December 2022, we issued $500 million aggregate principal amount of 2027 Term Notes, which mature on December 13, 2027 and accrue interest at a rate of 5.750% per annum, payable semi-annually in June and December of each year. In March 2021, we issued $500 million aggregate principal amount of 2031 Term Notes, which mature on March 23, 2031 and accrue interest at a rate of 2.550% per annum, payable semi-annually in March and September of each year. We may redeem for cash all or any portion of the 2027, 2030, or 2031 Term Notes, at our option, at any time prior to maturity. In September 2024, we issued $500 million aggregate principal amount of 2026 Term Notes, which matured and were repaid in cash on September 9, 2026.

In August 2026, we entered into a new Revolving Credit Agreement, which provides a $1 billion senior unsecured five-year revolving credit facility, including a $50 million sublimit for swingline borrowings and a $75 million sublimit for letters of credit. The credit facility matures, and all amounts outstanding become due and payable in full, on August 13, 2031, subject to three one-year extensions at our option, consent of the extending lenders and satisfaction of certain other conditions. The credit agreement dated January 4, 2023 and the commitments thereunder were terminated as of August 2026. As of September 27, 2026, there were no outstanding borrowings or letters of credit.

On October 8, 2026, we established a Commercial Paper Program under which we may issue unsecured, short-term commercial paper notes in an aggregate principal amount not to exceed $1 billion with maturities of up to 397 days. Proceeds from issuances under the program may be used for general corporate purposes. We plan to use the Revolving Credit Facility as a liquidity backstop for borrowings under the Commercial Paper Program.

As of September 27, 2026, the fair value of our contingent consideration liability related to GRAIL was $36 million, of which $34 million was included in other long-term liabilities. The contingent value rights entitle the holders to receive future cash payments on a quarterly basis (Covered Revenue Payments) representing a pro rata portion of certain GRAIL-related revenues (Covered Revenues) each year through August 2033. This reflects a 2.5% payment right to the first $1 billion of revenue each year for 12 years. Revenue above $1 billion each year is subject to a 9% contingent payment right during this same period. In YTD 2026, we paid $1.2 million in aggregate Covered Revenue Payments related to aggregate Covered Revenues for the period Q4 2025 through Q2 2026 of $129 million.

In August 2024, our Board of Directors authorized the 2024 Repurchase Program, which canceled and superseded all prior and available repurchase authorizations, to repurchase up to $1.5 billion of our outstanding common stock. In April 2026, our Board of Directors authorized the 2026 Repurchase Program to repurchase up to $1.5 billion of our outstanding common stock. The 2026 Repurchase Program is in addition to the $1.5 billion previously authorized under the 2024 Repurchase Program. Repurchases under both programs may be completed through open market purchases, pursuant to Rule 10b5-1 or Rule 10b-18, or through an accelerated share repurchase program. As of September 27, 2026, authorizations to repurchase up to approximately $270 million and $1.5 billion of our outstanding common stock remained available under the 2024 and 2026 Repurchase Programs, respectively. We intend to continue to repurchase incremental shares over the course of 2026.

As of September 27, 2026, we had $3 million, $20 million, and $11 million, respectively, remaining in capital commitments to three investment funds that are callable through December 2027, July 2029, and December 2034, respectively.

We anticipate that our current cash, cash equivalents, and short-term investments, together with cash provided by operating activities and available borrowing capacity under the Revolving Credit Facility and Commercial Paper Program, are sufficient to fund our near-term capital and operating needs for at least the next 12 months. Operating needs include the planned costs to operate our business, including amounts required to fund working capital and capital expenditures. Our primary short-term needs for capital, which are subject to change, may include:

•support of commercialization efforts related to our current and future products;

•acquisitions of equipment and other fixed assets for use in our current and future manufacturing and research and development facilities;

•the continued advancement of research and development efforts;

•potential strategic acquisitions and investments;

•repayment of debt obligations;

•repurchases of our outstanding common stock; and

•the evolving needs of our facilities, including costs of leasing and building out facilities.

We expect that our revenue and results of operations, as well as the status of each of our new product development programs, will significantly impact our cash management decisions. Our future capital requirements and the adequacy of our available funds will depend on many factors, including:

•our ability to successfully commercialize and further develop our technologies and create innovative products in our markets;

•scientific progress in our research and development programs and the magnitude of those programs;

•competing technological and market developments; and

•the need to enter into collaborations with other companies or acquire other companies or technologies to enhance or complement our product and service offerings.

Cash Flow Summary

Operating Activities

Net cash provided by operating activities of $909 million in YTD 2026 consisted of net income of $561 million, plus net adjustments of $424 million, less net changes in operating assets and liabilities of $76 million. The primary adjustments to net income included depreciation and amortization expense of $211 million, share-based compensation expense of $207 million, and a net loss on investments of $47 million, partially offset by changes in the fair value of contingent consideration liabilities of $43 million. Cash flow impacts from changes in operating assets and liabilities were primarily driven by increases in other assets, inventory, prepaid expenses and other current assets, and operating lease right-of-use assets and liabilities, net, and a decrease in other long-term liabilities, partially offset by a decrease in accounts receivable and an increase in accrued liabilities.

Investing Activities

Net cash used in investing activities was $438 million in YTD 2026. We paid $417 million for acquisitions and intangible assets, net of cash acquired, invested $118 million in capital expenditures, primarily associated with investments in facilities, and paid $25 million for contingent consideration for the SomaLogic acquisition. We received proceeds from net sales of investments of $122 million, primarily related to sales of our GRAIL investment.

Financing Activities

Net cash used in financing activities was $602 million in YTD 2026. We used $500 million to repay our 2026 Term Notes that matured, $379 million to repurchase our common stock, inclusive of excise taxes paid, $35 million to pay taxes related to net share settlement of equity awards, and $30 million to early buy out our contingent consideration obligations related to SomaLogic. This was offset by net proceeds received from the issuance of our 2029 Term Notes of $297 million and proceeds from the sale of shares under our employee stock purchase plan of $46 million.