Liquidity Services, Inc. · NASDAQ:LQDT

Liquidity Services — Investor Presentation (December 2018)

20 slides from Liquidity Services's investor presentation, December 2018

  1. Slide 1: Investor Presentation

    Investor Presentation Fourth Quarter Fiscal Year 2018 December 2018 ©Liquidity Services, Inc. All Rights Reserved. 1

  2. Slide 2: Forward-Looking Information

    Forward-Looking Information This document contains forward-looking statements. These statements are only predictions. The outcome of the events described in these forward-looking statements is subject to known and unknown risks, uncertainties and other factors that may cause our actual results, leve

  3. Slide 3: ©Liquidity Services, Inc. All Rights Reserved.

    ©Liquidity Services, Inc. All Rights Reserved. 3

  4. Slide 4: ©Liquidity Services, Inc. All Rights Reserved.

    ©Liquidity Services, Inc. All Rights Reserved. 4

  5. Slide 5: Our Purpose: Clients, Buyers, Planet

    OUR PURPOSE: To intelligently capture the enduring value of surplus, benefiting our clients, our buyers, and our planet. CLIENTS BUYERS PLANET For enterprises with used, idle, For organizations and consumers For the planet’s natural resources, or excess assets and inventory: looking to achieve busin

  6. Slide 6: Delivering Maximum Value to Clients

    Delivering Maximum Value to Clients Better Service OUR VALUE Superior levels of industry and asset expertise, responsiveness, PROPOSITION intelligence, and analytics that achieve high-performance results aligned to your strategic goals TO CLIENTS Better Scale Complete solutions tailored to your indu

  7. Slide 7: Services

    Services Liquidity Services provides organizations in every major industry with consultative surplus asset management, valuation, and sales solutions. ©Liquidity Services, Inc. All Rights Reserved. 7

  8. Slide 8: Client Depth Across Industries

    Client Depth Across Industries ©Liquidity Services, Inc. All Rights Reserved. 8

  9. Slide 9: Providing Superior Buyer Experiences

    Providing Superior Buyer Experiences OUR VALUE Superior Product Quality and Information Large volumes and recurring flows of products; refurbishment services to PROPOSITION enhance and ensure product quality; ability to view detailed product TO BUYERS information, ask questions, and inspect items Fa

  10. Slide 10: Market Opportunity

    Market Opportunity $50 Billion $3 Billion Retailers & OEMs U.S Public Sector $8 Billion $20 Billion $48 Billion Energy Industrial Capital Assets Transportation $130 Billion Total Addressable Market Our Clients Across Industries ©Liquidity Services, Inc. All Rights Reserved. 10

  11. Slide 11: Growth Strategy

    Growth Strategy Acquire Complementary Businesses Develop and Expand Vertical Enhance Features Market Segments and Services and Expertise Grow Buyer Increase Develop Base and Increase Penetration of New Seller Penetration Existing Sellers Relationships Consistent execution of growth strategy delivers

  12. Slide 12: Financial Results

    Financial Results ©Liquidity Services, Inc. All Rights Reserved. 12

  13. Slide 13: Financial Highlights

    Financial Highlights Compelling Business Model ▪ High Customer Value ▪ Multiple, Recurring Revenue Streams ▪ Large Average Transaction Values ▪ Diversified Product and Customer Mix ▪ Significant Barriers to Exit as Critical Mass Builds Strong Financial Position ▪ $78.4 million of cash and short-term

  14. Slide 14: Strong Topline Results

    Strong Topline Results* Multiple, Synergistic GMV 973 932 Revenue Streams 864 799 642 629 626 559 ▪ Consignment Model 430 360 356 ▪ Purchase Model 234 173 145 155 ▪ Revenue Share Model ▪ Service Revenue 06 07 08 09 10 11 12 13 14 15 16 17 18 17 18 ▪ Buyer Premium Fees Fiscal Year ended Quarter 9/30

  15. Slide 15: Diversification By Pricing Model

    Diversification By Pricing Model GMV Mix By Pricing Model Purchase 22.9% Purchase 28.6% Consignment Consignment 71.4% 77.1% FY17 FY18 ©Liquidity Services, Inc. All Rights Reserved. 15

  16. Slide 16: Diversification By Segment

    Diversification By Segment GMV Mix by Segment RSCG RSCG 20.9% 18.5% GovDeals 42.3% GovDeals 48.9% CAG 39.1% CAG 29.7% Corporate & Other Corporate & 0.1% FY17 FY18 Other 0.5% ©Liquidity Services, Inc. All Rights Reserved. 16

  17. Slide 17: Diversification By Segment

    Diversification By Segment Revenue Mix by Segment Corporate Corporate & & Other Other 0.3% 1.6% GovDeals 10.0% GovDeals Machinio 135.% RSCG 0.3% 35.2% RSCG 45.4% CAG CAG 54.5% 39.2% Q3 FY17 Q3 FY18 ©Liquidity Services, Inc. All Rights Reserved. 17

  18. Slide 18: Profitability

    Profitability Adjusted EBITDA(1) $110.0 $104.6 $63.0 $52.5 $37.5 $32.7 $26.2 $23.6 $20.4 $15.0 $3.8 10.2% 10.3% -$1.9 -$7.3 -$7.6 -$21.6 06 07 08 09 10 11 12 13 14 15 16 17 18 17 18 Fiscal Year ended Quarter ended 9/30 9/30 (1) Adjusted EBITDA shown for fiscal years 2002 – 2018 includes adjustments

  19. Slide 19: Reconciliation of Financial Data

    Reconciliation of Financial Data 3 m onths Ended In Thousands Year Ended Septem ber 30, Septem ber 30, 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2018 2017 Net Income (Loss) $7,981 $11,019 $11,553 $5,719 $12,013 $8,512 $48,296 $41,104 $30,390 ($104,815) ($59,926) ($39,187) ($11

  20. Slide 20: Investor Relations

    Investor Relations Julie Davis, Senior Director 202.558.6234 julie.davis@liquidityservices.com ©Liquidity Services, Inc. All Rights Reserved. 20

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