Slide 1: Investor Presentation March 2023
June 2021 / Confidential Investor Presentation March 2023
Slide 2: Disclaimer
2 Disclaimer This document and any related oral presentation does not constitute an offer or invitation to subscribe for, purchase or otherwise acquire any securities or other instruments of Douglas Elliman Inc. (“Douglas Elliman Inc.”, “DOUG” or “the Company”) or its subsidiaries and nothing contai
Slide 3: Investment Highlights
3 Investment Highlights Unique Investment Opportunity in Tech-Enabled Residential Real Estate Brokerage with Comprehensive Suite of Real Estate Solutions, Industry-leading Brand Name and Talented Team of Employees and Agents Cutting-edge property technology supportive of agent recruitment, retention
Slide 4: Company overview: founded in 1911
4 Founded in 1911 as a pioneer in the real estate industry that has continued to challenge the status quo through innovation and high- quality service provided by best-in-class real estate agents Leading brand associated with service, luxury and forward thinking operating in markets that are pri
Slide 5: Douglas Elliman's Geographical Footprint
5 Douglas Elliman’s Geographical Footprint ~6,900 affiliated agents across approximately 120 U.S. offices Alliance with Knight Frank provides an international network of an additional 384 offices across, 51 countries and approximately 16,000 agents #6 Nationally One of the Largest in New York Califo
Slide 6: Comprehensive Solution Provides for Multiple Revenue Streams
6 Comprehensive Solution Provides for Multiple Revenue Streams • DEDM offers expertise in sales, leasing and marketing for new developments throughout key markets in the United States and internationally New Sales and Development Marketing Platform • Advising sellers: Assist in pricing a property an
Slide 7: Industry-leading Brand Name with a Strong Presence in U.S. Luxury Markets
7 12/31/2022 Average(8): $1,616.3 Industry-leading Brand Name with a Strong Presence in U.S. Luxury Markets $1,616.3 $1,088.7 $699.0 $365.9 Douglas Elliman Compass Anywhere eXp Realty Highest Transaction Values in the Industry Average Selling Price (2022)(7) ($ thousands) Leading Presence in Large L
Slide 8: Cutting-edge Technology Supportive of Agent Recruitment, Retention and Productivity
8 Cutting-edge Technology Supportive of Agent Recruitment, Retention and Productivity Powered by industry leading technology capabilities developed by innovative PropTech leaders and start-ups • Premier, customizable, mobile-friendly and cloud-based agent portal that integrates all agent resources i
Slide 9: MyDouglas Complete Set of Capabilities
9 * New Valley Ventures PropTech Investee Company MyDouglas | Complete Set of Capabilities Capabilities Solutions Artificial Intelligence (“AI”) and Predictive Analytics Team Management Agent Social Media • Learning Management System • MyDouglas Team Views • Team Deal Management Agent Brand Manageme
Slide 10: Open Architecture Technology Infrastructure
10 Open Architecture Technology Infrastructure Open Architecture Technology Infrastructure, Kept State-of-the-art Through Strategic Investments in Early Stage PropTech Companies with Technology Purpose-built for the Real Estate Industry Key Benefits of Our Technology Strategy Recent PropTech Investm
Slide 11: Strong Platform for Continued Long-Term Growth
11 • Further grow leadership position in New York while entering and expanding into adjoining markets where the Douglas Elliman brand has strong awareness and brand equity, including Florida, California, Colorado and Texas • Recent entry into the DC Metro, Las Vegas, Austin, Dallas and St. Petersbur
Slide 12: Strong Platform for Continued Growth: Florida, Texas, California
12 FloridaTexasCalifornia • High profile recruitment of teams in Naples, Vero Beach, Fort Lauderdale and Ponte Vedra Beach in 2021 and 2022 • Purchased interest in Texas brokerage in 2021 • Purchased Teles Properties in 2017 Overview • Ability to expand in luxury markets in southwest and north Flori
Slide 13: Strong Platform for Continued Growth (Cont.)
13 $201.5 $191.2 $15.2 $22.8 $35.4 $44.0 $16.8 2019 2022 Other OpEx Technology Activity Driven Operating Expenses Acquisitions Strong Platform for Continued Growth (Cont.) Invest in Compelling PropTech Opportunities that Facilitate Growth and Differentiation Relentlessly Pursue Operational Efficienc
Slide 14: Douglas Elliman Financial Overview
DOUGLAS ELLIMAN FINANCIAL OVERVIEW
Slide 15: Attractive Financial Profile
15 Attractive Financial Profile 1) As of December 31, 2022. Please see page 21, “Consolidated Balance Sheet" of Douglas Elliman Inc. Disciplined expense management drives significant operating leverage Strong performance across KPIs Operating leverage and limited capital expenditure requirements dri
Slide 16: Financial Summary
16 Financial Summary 1) Adjusted EBITDA attributed to Douglas Elliman Inc. is a non-GAAP measure. Net income (loss) was $8.5 million, ($46.4) million, $98.8 million and $(5.6) million for the years ended December 31, 2019, 2020, 2021 and 2022, respectively. Please refer to Page 22 for a reconciliati
Slide 17: Business Mix
17 Business Mix $18.2 $22.4 $24.6 $25.4 $28.1 $28.8 $29.1 $51.2 $42.9 2014 2015 2016 2017 2018 2019 2020 2021 2022 12/31/2022 Revenue Gross Transaction Value ($ billions) $1,028.5B $71.4M $36.0M $17.3M $1.153B Commissions and Other Brokerage Income – Existing Home Sales Commissions and Other Brokera
Slide 18: Investment Highlights
18 Investment Highlights Unique Investment Opportunity in Tech-Enabled Residential Real Estate Brokerage with Comprehensive Suite of Real Estate Solutions, Industry-leading Brand Name and Talented Team of Employees and Agents Cutting-edge property technology supportive of agent recruitment, retentio
Slide 19: Appendix
AB |: UPLUI]]-]SLIS APPENDIX
Slide 20: Combined Consolidated Statement of Operations
20 Combined Consolidated Statement of Operations Year Ended 12/31/202212/31/202112/31/202012/31/2019 Revenues: $1,099,885$1,292,416$733,751 $742,414 Commissions and other brokerage income 36,022 37,345 35,115 35,461 Property management 17,27023,377 5,121 6,233 Other ancillary services 1,153,177$1,35
Slide 21: Consolidated Balance Sheet
21 Consolidated Balance Sheet December 31,December 31, 20222021 ASSETS: Current assets: $163,859 $211,623 Cash and cash equivalents 23,243 32,488 Receivables 12,8269,192 Agent receivables, net 6,466-Income taxes receivable, net 4,98515,336 Restricted cash and cash equivalents 13,68612,166Other curre
Slide 22: Adjusted EBITDA Reconciliation
22 1) Represents equity in (earnings) losses recognized from Douglas Elliman’s investment in equity method investments that are accounted for under the equity method and are not consolidated in Douglas Elliman’s financial results. 2) Represents restructuring related to Douglas Elliman Realty, LLC’s
Slide 23: Adjusted Operating Expenses Reconciliation
23 Adjusted Operating Expenses Reconciliation Year EndedYear EndedYear Ended 12/31/202212/31/202112/31/2019 $1,157,718$1,251,040$787,588Total Operating Expenses(1) Items excluded from total expenses to determine Real Estate Brokerage Segment Adjusted Operating Expenses (836,803)(985,523)(525,233)Rea