Slide 1: 1st Quarter Fiscal 2023 Earnings Conference Call Presentation
1st Quarter Fiscal 2023 Earnings Conference Call Presentation November 3, 2022 | We shop. You save.
Slide 2: Disclaimer: Forward-Looking Statements
Disclaimer Forward-Looking Statements This presentation contains forward-looking statements. These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. These statements are often, but not always, made through the use o
Slide 3: 1Q23 Earnings Highlights
1Q23 Earnings Highlights SelectQuote delivered 1Q results ahead of internal forecasts. A third consecutive quarter of stronger year-over-year operational results for the Senior and Healthcare Services divisions: • Agent close rates up 14% year-over-year • Marketing cost per approved policy down 38%
Slide 4: Four Pillar Strategy
Four Pillar Strategy New MA Growth Mitigate Operational MA Lifetime Value Grow Healthcare Philosophy Risk Factors (LTV) Services Significantly improved Full AEP team hired, New business written SelectRx members cashflow during FY23 trained and onboarded in since 2Q FY22 performing exceeded 32K as of
Slide 5: Senior Operational Progress
Senior Operational Progress Marketing Expense Per Policy Agent Close Rates YoY % YoY % 0 0 2Q22 3Q22 4Q22 1Q23 2Q22 3Q22 4Q22 1Q23 90 Day Retention Rate* Per Unit Operating Costs YoY % YoY % 0 0 2Q22 3Q22 4Q22 1Q23 2Q22 3Q22 4Q22 1Q23 *1Q23 90 Day Retention Rate reflects only policies submitted in J
Slide 6: Senior Per Approved Policy Operating Cost
Senior Per Approved Policy Operating Cost Total Expense / MSMA $1,516 (3 6) % (21 )% (16 ) % $1,103 $1,030 $972 $866 $867 3Q21 3Q22 4Q21 4Q22 1Q22 1Q23 Numbers shown for all prior periods have been restated to reflect the realignment of the Company's reportable segments to separate out Healthcare Se
Slide 7: AEP Readiness
AEP Readiness Agents Marketing Carriers Technology All agents hired, trained, Refined segmentation and Strong investment in plans Improved agent desktop onboarded and licensed targeting and selling tools Broader relationships Significantly higher mix of Enhanced lead scoring and including distributi
Slide 8: Healthcare Services Overview
Healthcare Services Overview • Medication management • Member health profile (HRA) pharmacy for complex patients Product • Value-Based Care / Primary Care • Currently with two facilities serving all 50 states • Senior-focused social programs • Senior-focused healthcare services • Direct delivery to
Slide 9: SelectQuote Senior KPI's
SelectQuote Senior KPI’s TOTAL POLICIES APPROVED MA LTV (LTM 9/30/2022) 000s MA Other $1,221 111 98 27 $900 15 84 83 1Q22 1Q23 1Q22 1Q23 | We shop. You save. 9
Slide 10: SelectRx Customer Lifecycle
SelectRx Customer Lifecycle 1 Enrollment New SelectRx customers enrolled by Population Health CSAs 2 Onboarding Pharmacy Coordinators work with physicians to transfer prescriptions over to SelectRx 3 Shipments heading out to new members Ramping Member Revenue generation begins but some prescriptions
Slide 11: Healthcare Services
Healthcare Services SELECTRX MEMBERS REVENUE & ADJUSTED EBITDA* 35,000 $MM 30,000 25,000 $43 20,000 15,000 $6 $(4) 10,000 $(12) 5,000 1Q22 1Q23 — 1Q22 2Q22 3Q22 4Q22 1Q23 Revenue Adjusted EBITDA *See reconciliations from GAAP measure, net loss, to non- GAAP measure, Adjusted EBITDA, on slides 14-15.
Slide 12: Life and Auto & Home
Life and Auto & Home REVENUE ADJUSTED EBITDA* $MM $MM $7 $7 $46 $2 $37 $5 $1 $1 1Q22 1Q23 1Q22 1Q23 Life Auto & Home Life Auto & Home All numbers are rounded to the nearest million. *See reconciliations from GAAP measure, net loss, to non- GAAP measure, Adjusted EBITDA, on slides 14-15. | We shop. Y
Slide 13: Supplemental Information
Supplemental Information | We shop. You save. 13
Slide 14: Net Loss to Adjusted EBITDA Reconciliation
Net Loss to Adjusted EBITDA Reconciliation 1Q FY 2023 Healthcare (in thousands) Senior Services Life Auto & Home Corp & Elims Consolidated Revenue $ 77,513 $ 43,067 $ 36,835 $ 7,082 $ (2,013) $ 162,484 Operating expenses (81,366) (54,854) (31,811) (4,640) (17,446) (1) (190,117) Other income (expense
Slide 15: Net Loss to Adjusted EBITDA Reconciliation (FY23 Guidance)
Net Loss to Adjusted EBITDA Reconciliation (FY23 Guidance) (in thousands) Range Net Loss $ (113,000) $ (89,000) Income tax benefit (33,000) (29,000) Interest expense, net 74,000 74,000 Depreciation and amortization 24,000 24,000 Share-based compensation expense 12,000 12,000 Non-recurring expenses 1
Slide 16: SelectQuote Inc. Investor Relations
SelectQuote Inc. 6800 West 115th Street Suite 2511 Overland Park, Kansas 66211 Phone: (913) 599-9225 Investor Relations investorrelations@selectquote.com | We shop. You save. 16