Everquote, Inc. · NASDAQ:EVER
Everquote — Investor Presentation (February 2019)
26 slides from Everquote's investor presentation, Feb 25, 2019
Slide 1: Investor Presentation February 2019
Investor Presentation February 2019 Exhibit 99.2
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements. All statements other than statements of historical facts contained in this presentation, including statements regarding possible or assumed future results of operations, business strategies, development plans, regulatory activities, c
Slide 3: Key Investment Highlights
Largest online insurance marketplace in the US Capitalizing on $120 billion in insurance distribution shifting online Data driven technology platform Opportunity for rapid expansion into new verticals Historically strong revenue growth with track record of capital efficiency Key Investment Highlight
Slide 4: The EverQuote Story: Eight Years of Innovation and Growth
The EVERQUOTE Story Eight Years of Innovation and Growth 2011 2014 2015 2016 2017 2018 Auto Marketplace Launch Carrier Platform Launch Agent Platform Launch $100M Revenue Run Rate Home & Life marketplace launch 163.6mm 2018 Revenue EverDrive Safe Driving App Launch Boston Globe Voted One of Boston's
Slide 5: Market Opportunity & Business Model
Market Opportunity & Business Model
Slide 6: Insurance Sellers and Buyers Struggle Online
Insurance Sellers and Buyers Struggle Online 70% of insurance consumers shop online But, 80% of policies still closed offline Source: 2015 comScore survey Consumers cite the desire to speak to an agent as top reason for not buying online EQ: Tightened words in bottom text box
Slide 7: Our Insurance Marketplace Helps Match Buyers and Sellers
Our Insurance Marketplace Helps Match Buyers and Sellers Consumers Insurance providers 20-50 consumer submitted data points Quote request Monetization at Referral CLICKS CALLS DATA Match Attract 250+ traffic sources More Efficient Acquisition Save Time and Money
Slide 8: Our Marketplace Helps Solve Providers' Alignment Problem
Our Marketplace Helps Solve Providers’ Alignment Problem Premium 2017 BMW 20012 8K miles / year Typical coverage $500K injury Standard 2017 Nissan Leaf 90210 6K miles / year Typical coverage $100K / $300K Non-standard 2013 Honda Civic 10016 2 tickets Coverage State minimum Provider (premium) EQ: Add
Slide 9: Powerful Data Driven Platform & Growth Opportunities
Powerful Data Driven Platform & Growth Opportunities
Slide 10: Substantial Growth In Data Assets Over Time
48mm Substantial Growth In Data Assets Over Time 1B consumer submitted data points 158B $512mm Cumulative Ad Impressions Served Cumulative Digital Ad Spend Cumulative Quote Requests ¹ Cumulative figure since launch through 2/20/2019 Source: Company data, Facebook, Statista, comScore & OperaMedia 250
Slide 11: We Have Levers To Drive Future Growth
We Have Levers To Drive Future Growth Increase provider coverage Attract more consumers Launch new verticals Deepen consumer engagement Leverage secular shift online
Slide 12: EverDrive: Social Safe-Driving Mobile App
EverDrive: Social Safe-Driving Mobile App Uses smartphone sensors to assess driving performance Provides drivers with actionable feedback on becoming a safer driver Social features enable positive competition with family & friends
Slide 13: EverDrive Seamlessly Connects Drivers with Savings
EverDrive Seamlessly Connects Drivers with Savings Users opt-in to anonymously receive safe driving offers Seamless integrations connect them to carriers for purchase Policy details & consumer relationship remain within EverDrive experience Launched with first carrier in September 2018 Carrier Partn
Slide 14: Strong culture of innovation
Strong culture of innovation Seth Birnbaum CEO and Co-Founder John Wagner CFO Darryl Auguste SVP of Analytics and Online Marketing Jayme Mendal COO Shimrit Markette SVP of People Operations Tomas Revesz CTO and Co-Founder Eugene Suzuki CIO Prior Experience Education Ryan Grimard SVP of Engineering J
Slide 15: Financial Overview
Financial Overview EVERQUOTE
Slide 16: Track Record of Strong Growth
29% Total Revenue CAGR 2013-2018 Track Record of Strong Growth Revenue ($mm) TO DISCUSS Take 3 bullets and move to left or top, keep left chart and add back VMM Next page is rev reacceleration both rev and vmm 2013 2015 2016 2017 2018
Slide 17: Shift to Direct Has Driven Growth
Direct revenue ($mm) 65% CAGR 2013-2018 Keep Direct vs. indirect distribution share Shift to Direct Has Driven Growth
Slide 18: Variable Marketing Margin
Variable Marketing Margin Note: Variable Marketing Margin is a non-GAAP metric, refer to financial reconciliation for additional detail 47% CAGR 2013-2018 Variable Marketing Margin ($mm) Annual overview Historic online acquisition efficiency
Slide 19: Home & Life: Efficient Upside and Future Diversification
Home & Life: Efficient Upside and Future Diversification Home & Life Revenue ($mm) 165% CAGR 2016-2018 99% y/y growth Significant operating leverage, having already achieved attractive economics and high growth with only a modest increase in headcount Cleaned up title Growth drivers TBU growth drive
Slide 20: Fourth Quarter & Full Year 2018 Results
4Q 2018 Revenue increased 23% year-over-year to $39.8 Million Revenue Less Advertising Expense increased 7% year-over year to $10.2 Million Variable Marketing Margin (VMM) increased 5% year-over-year to $10.6 Million GAAP Net Loss of $(6.9) Million Adjusted EBITDA of $(3.5) Million TBU bullets Note:
Slide 21: Key Investment Highlights
Largest online insurance marketplace in the US Capitalizing on $120 billion in insurance distribution shifting online Data driven technology platform Opportunity for rapid expansion into new verticals Historically strong revenue growth with track record of capital efficiency Key Investment Highlight
Slide 22: NASDAQ: EVER
NASDAQ: EVER
Slide 23: Appendix
Appendix EVERQUOTE
Slide 24: Key Metrics Definitions
Key Metrics Definitions Metric Definition Quote Requests Quote requests are consumer-submitted website forms that contain the data required to provide an insurance quote. As we attract more consumers to our platform and they complete quote requests, we are able to refer them to our insurance provide
Slide 25: Reconciliation of Variable Marketing Margin
Reconciliation of Variable Marketing Margin Revenue Less: total advertising expense Revenue less advertising expense Add: other advertising expense (1) Variable marketing margin (VMM) $ 2013 2014 2015 2016 2017 2018 Q4 2017 Q4 2018 (in thousands) $ 45,581 $ 61,901 $ 96,798 $ 122,778 $ 126,242 $ 163,
Slide 26: Reconciliation of Adjusted EBITDA
Reconciliation of Adjusted EBITDA Three Months Ended December 31, Twelve Months Ended December 31, 2018 2017 2018 2017 (in thousands) (in thousands) Net loss $ (6,925) $ $ (653) $ (13,791) $ (5,071 ) Stock-based compensation 3,245 488 7,121 1,860 Depreciation and amortization 387 311 1,341 1,360 Int