Slide 1: Q2 2024 Earnings
Q2 2024 Earnings August 8th, 2024
Slide 2: Disclaimer
Disclaimer All information included in this presentation is unaudited. FORWARDLOOKING STATEMENTS Forward-looking statements in this presentation, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1955. These statemen
Slide 3: Q2 24 Financials
Expensify Q2 24 Financials
Slide 4: Q2 2024 Revenue, Average Paid Members, Interchange
Q2 2024 Revenue Average Paid Members Interchange $33.3MM 684,000 $4.0MM
Slide 5: Q2 2024 Cash Flow, Net Loss and Adjusted EBITDA
Q2 2024 Operating Cash Flow Free Cash Flow1 Includes timing of customer funds) Excludes timing of customer funds) $9.3MM $5.7MM Net Loss Non-GAAP Net Income2 Adj. EBITDA3 $(2.8MM) $5.6MM $10.2MM 1 We define Free cash flow as net cash (used in) provided by operating activities excluding changes in
Slide 6: Expensify Card updates
Expensify Card updates ● Strong growth: Quarterly interchange derived from the Expensify Card grew 48% y/y to $4.0MM in Q2. ● Program management & accounting improvement: The company continued transitioning members to its new card program during Q2. In Q2, $0.5MM of interchange derived from the Expe
Slide 7: Free Cash Flow
Free Cash Flow1 ● In Q1 2024 we increased our full year Free Cash Flow guidance to $11.0$13.0MM from $10.0$12.0MM. ● We are now increasing that guidance to $15.016.0MM2 FY 2024 Free Cash Flow. Q23 Free Cash Flow was $5.7MM, a 10% increase from Q13. 1 We define Free cash flow as net cash (used in)
Slide 8: Q2 2024 July Paid Members
Q2 2024 Monthly Paid Members July Paid Members 689,000 Denotes July 2024 and July activity from previous years Note: There can be no assurances that the trends of previous third quarters are representative of future trends.
Slide 9: Q2 Business Highlights
Expensify Q2 Business Highlights
Slide 10: +122% y/y SEO keyword Increase
+122% y/y SEO keyword Increase Note: SEO Keywords represent the amount of keywords that populate in the top 100 results for that search term.
Slide 11: +57% q/q in first page SEO keywords
+57% q/q in first page SEO keywords Note: First page SEO keywords represent search terms that result in Expensify content being shown on the first page of search results. Data reflects end of Q1 to end of Q2 2024.
Slide 12: 25% q/q global reimbursement customers
25% q/q global reimbursement customers Note: Count of distinct companies triggering a global reimbursement in a each quarter
Slide 13: Apple partnership
Apple partnership ● The company announced its partnership with Apple in its upcoming 2025 blockbuster, F1. Expensify will be the title team sponsor in their biggest budget feature film to date. ● Since announcement as title sponsor, Expensify has been named in press coverage across TV and online, ac
Slide 14: New Expensify Q2 Product Update
Q2 Product Update New Expensify
Slide 15: Strategies for Expensify's Success
Strategies for Expensify's Success 1 Capture the untapped 99% of the market, starting with VSB/SMB 2 With a viral, bottom-up, word-of-mouth leadgen strategy 3 Monetized with high margin monthly subscriptions
Slide 16: 1.3B untapped users in the VSB/SMB
1.3B untapped users in the VSB/SMB Source: https://www.census.gov/data/tables/2022/econ/abs/2022-abs-company-summary.html. Census data collected in 2021.
Slide 17: Viral use cases address the whole market
Viral use cases address the whole market Chat Documents Payments
Slide 18: Superapps have super virality
Superapps have super virality
Slide 19: New homepage
New homepage Overhauling homepage in preparation for final app reunification push.
Slide 20: Hybrid app
“Hybrid app” Inputting New Expensify in Expensify Classic so users donʼt need to download a new app.
Slide 21: Launched Travel
Launched Travel Beta customers currently booking travel, which is expected to drive new revenue stream in Q3.
Slide 22: Billing on New Expensify
Billing on New Expensify Customers can now add a billing card so they can fully onboard on New Expensify.
Slide 23: Accounting Integrations on New Expensify
Accounting Integrations on New Expensify Launched accounting integrations with major partners.
Slide 24: Search V1 Live
Search V1 Live Creating the base for one of the most powerful search functionality in the world including money, travel, tasks, chats, and more.
Slide 25: New User Onboarding
New User Onboarding Engineering is moving past core feature development and toward onboarding optimizations.
Slide 26: In conclusion
In conclusion: ● Q2'24 was a great quarter ○ Delivered strong Operating Cash Flow and FCF growth again ○ Continued New Expensify development progress ○ Expanded our reach into the travel market ● Looking forward to Q3'24 ○ New Expensify expected to be producing revenue ○ Expensify Travel expected t
Slide 27: Learn more at exfy.com/roadmap
Learn more at exfy.com/roadmap
Slide 28: Q&A
Slide 29: Expensify
Expensify
Slide 30: Appendix
Appendix
Slide 31: GAAP to Non-GAAP Reconciliation: Non-GAAP Net Income
GAAP to Non-GAAP Reconciliation: Non-GAAP Net Income Three months ended Three months ended June 30, 2024 June 30, 2023 (unaudited, in thousands) (unaudited, in thousands) Net loss $ 2,764 $ 11,304 Add: Stock-based compensation 8,381 10,341 Non-GAAP Net Income Loss1 $ 5,617 $ 963 1 We define
Slide 32: GAAP to Non-GAAP Reconciliation: Adjusted EBITDA
GAAP to Non-GAAP Reconciliation: Adjusted EBITDA Three months ended Three months ended June 30, 2024 June 30, 2023 (unaudited, in thousands) (unaudited, in thousands) Net loss $ 2,764 $ 11,304 Provision for income taxes 2,723 376 Interest and other expenses, 260 1,367 net Depreciation and amorti
Slide 33: GAAP to Non-GAAP Reconciliation: Free Cash Flow
GAAP to Non-GAAP Reconciliation: Free Cash Flow Three months ended Three months ended Three months ended June 30, 2024 March 30, 2024 June 30, 2023 (unaudited, in thousands) (unaudited, in thousands) (unaudited, in thousands) Net cash provided by (used in) $ 9,317 $ 3,471 $ 434 operating activitie
Slide 34: Estimated Stock-Based Compensation - Next 4 Quarters
Estimated Stock-Based Compensation (Millions) - Next 4 Quarters Q3 2024 Q4 2024 Q1 2025 Q2 2025 Low High Low High Low High Low High Cost of revenue, net $ 2.4 $ 3.1 $ 2.3 $ 3.0 $ 2.2 $ 2.9 $ 1.9 $ 2.6 Research and development 3.2 4.0 3.1 3.9 2.9 3.7 2.5 3.3 General and administrative 1.2 1.5 1.2 1.5
Slide 35: Expensify
Expensify