Taskus, Inc. · NASDAQ:TASK
Taskus — William Blair 2023 Growth Stock Conference
32 slides from Taskus's conference presentation, Jun 7, 2023
Slide 1: TaskUs Investor Presentation
TaskUs Investor Presentation William Blair 2023 Growth Stock Conference June 7, 2023
Slide 2: Disclaimers
Disclaimers Forward Looking Statements This presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts, and further include, without limitation, stateme
Slide 3: Outsourcing reimagined for the innovation age
Our Vision Our Solutions Our Results 26% Outsourcing Digital Customer Experience 2022 YoY Revenue Growth $960mm reimagined 23% 2022 Revenue Headcount Growth for the Trust and Safety (2022) innovation $223mm 2022 Adj EBITDA1 age AI Services 23.2% Adj. EBITDA Margin (2022)1 62% Total Client Win Rate 1
Slide 4: Our Global Footprint
Our Global Footprint We are in 27 sites across 13 countries, plus a fully functional W@H Solution Romania Greece - 1 Site India - 4 Sites Ireland as of March 31, 2023 Taiwan - 1 Site Serbia Our Headcount Croatia - 2 Sites 47,700 USA - 5 Sites Japan Mexico - 1 Site Philippines - 10 Sites Colombia - 1
Slide 5: TaskUs Markets & Growth
U® TaskUs" . TaskUs Markets & Growth
Slide 6: How We Started
How We Started…. In 2008, we built a different type of BPO provider Investor Presentation | 6
Slide 7: Service Offerings
> Service Offerings /
Slide 8: Digital Offerings Powered by Differentiated Technology Solutions
Digital Offerings Powered by Differentiated Technology Solutions Digital Trust and Safety AI Services Customer Experience 66% 19% 15% Note: Percentages based on contribution to 2022 revenue Investor Presentation | 8
Slide 9: Digital Customer Experience
SOLUTIONS: Digital Customer Experience Omni-Channel Care Customer Acquisition Learning Experience Services Technical Support Ever-increasing user expectations and competition necessitate world class customer care. Founded on innovation and people-first culture, New Product or Market Launches Consulti
Slide 10: Trust and Safety
Trust and Safety Content Moderation Risk + Response User generated content is growing at an exponential rate. Wherever content TaskUs solves for two growing problems faced by tech disruptors: the is created by users, platforms must review and enforce policy guidelines to reputational risks posed by
Slide 11: AI Services
AI Services In our AI Services practice, our teammates tag and annotate data sets to create the raw material that artificial intelligence is built on. Nearly every AI application being built today requires the kinds of custom data sets curated by professional annotators and gig-workers from our TaskV
Slide 12: Generative AI: TaskUs' Approach & TaskGPT Launch
Generative AI: TaskUs’ Approach & TaskGPT Launch TaskUs’ Approach Multiple GenAI-driven Opportunities ● Be the service provider of choice for GenAI companies and ● Solution design for the new companies that GenAI spawns ○ Consultative model helping clients build new capabilities ● Use GenAI to incre
Slide 13: Why We Win + Growth Strategies
Why We Win + Growth Strategies
Slide 14: Why We Win: Expertise, Culture, Speed
Why We Win Expertise Culture Speed We specialize in the unique We have built a culture that feels We are agile, flexible and innovative industry segments much more like our tech clients responsive. Our clients are of our clients. We build teams of than the service providers we growing exponentially.
Slide 15: Expertise: Focused on The World's Most Innovative Companies
Expertise: Focused on The World's Most Innovative Companies TARGET MARKETS CLIENT HIGHLIGHTS 150+ Clients globally 3 of the top 5 social media sites Social Media Retail + Entertainment + Streaming E-commerce Gaming Media #1 audio and #1 video streaming service providers 10+ HealthTech clients $ 25+
Slide 16: Strong Track Record of Sales Wins Across New and Existing Clients
Strong Track Record of Sales Wins Across New and Existing Clients Total Win Rate ($ basis) as %1 New Clients Won (#) >$10M Clients2 41 21 62% 40 60% 60% 36 57% 16 55% 27 50% 45% 8 45% 40% 2019 2020 2021 2022 2019 2020 2021 2022 2020 2021 2022 1) Total Win Rate include opportunities from both New and
Slide 17: Financials
U® TaskUs" > Financials
Slide 18: Diversified Revenue
Diversified Revenue Revenue by Service Line (%) Revenue by Delivery Geography (%) USD Million USD Million $960 $956 $960 $956 Rest of World AI Services India $761 Trust and Safety $761 10% 13% 15% 16% United States Digital Customer Experience Philippines 7% 11% 14% 11% 8% 19% 18% 22% 26% 23% $478 $47
Slide 19: Attractive Profitability and Margin Profile
Attractive Profitability and Margin Profile USD Million Adjusted EBITDA1 ($mm) Adjusted Net Income1 ($mm) 23.5% Margin (%) 22.4% 23.2% 24.7% Margin (%) $223 $224 14.5% 17.0% 14.9% 14.7% $188 $143 $140 $129 $107 $69 2020 2021 2022 Q1’23 TTM 2020 2021 2022 Q1’23 TTM 1 See Appendix for reconciliation to
Slide 20: Focused Growth Levers for FY 2023
Focused Growth Levers for FY 2023 Three Growth Levers 1 Continued growth with big tech and enterprise clients Expansion with the large global tech and enterprise clients won in 2022. As these clients ramp up their cost savings initiatives, there are meaningful opportunities for TaskUs. Leveraging ou
Slide 21: Outsourcing reimagined for the innovation age
Outsourcing reimagined for the innovation age. Investor Presentation | 21
Slide 22: Appendix
j@ TaskUs™
Slide 23: Financial Highlights
Financial Highlights FY 2022 Q1 2023 Increasingly diversified revenue base $960m $235m Consistent track record of profitability FY 2022 Revenue Q1 2023 Revenue Significant operating leverage 26.3% 1.8% Strong free cash flow FY 2022 Revenue Growth YoY Q1 2023 Revenue Decline YoY Low leverage on balance s
Slide 24: Non-GAAP Reconciliations
Non-GAAP Reconciliations Adjusted EBITDA USD Thousand Three months ended March 31, 2023 2022 Net income $ 9,509 $ 11,586 Provision for income taxes 5,969 6,313 Financing expenses 5,099 1,602 Depreciation 9,661 8,901 Amortization of intangible assets 5,124 4,711 EBITDA $ 35,362 $ 33,113 Transaction c
Slide 25: Non-GAAP Reconciliations
Non-GAAP Reconciliations Adjusted Net Income USD Thousand Three months ended March Three months ended March 31, 2023 2022 Net income $ 9,509 $ 11,586 Amortization of intangible assets 5,124 4,711 Transaction costs 245 192 Earn-out consideration 6,648 — Foreign currency losses (gains) (1,982) 1,153 L
Slide 26: Non-GAAP Reconciliations
Non-GAAP Reconciliations Adjusted earnings per share Three months ended March 31, 2023 2022 GAAP diluted EPS $ 0.09 $ 0.11 Per share adjustments to net income 0.23 0.23 Adjusted EPS $ 0.32 $ 0.34 Weighted-average common stock 104,122,026 100,952,573 outstanding - Diluted Investor Presentation | 26
Slide 27: Non-GAAP Reconciliations
Non-GAAP Reconciliations Free Cash Flow Three months ended March 31, 2023 2022 Adjusted EBITDA $ 55,228 $ 54,131 Net cash provided by operating activities $ 43,683 $ 36,890 Purchase of property and equipment (5,244) (17,770) Free Cash Flow $ 38,439 $ 19,120 Conversion of Adjusted EBITDA 69.6% 35.3%
Slide 28: Non-GAAP Reconciliation
Non-GAAP Reconciliation Revenue Trailing Twelve Month (TTM) Data USD Thousand Three months Three months Year ended ended ended TTM Q1 December 31, March 31, March 31, 2022 2022 2023 2023 Revenue by Service Offering Digital Customer Experience $ 159,731 $ 637,587 $ 157,136 $ 634,992 Trust and Safety 4
Slide 29: Non-GAAP Reconciliation
USD Thousand Three months Year ended Three months TTM Q1 ended March 31, December 31, ended March 31, 2022 2022 2023 2023 Service revenue $ 239,680 $ 960,489 $ 235,306 $ 956,115 Net income $ 11,586 $ 40,422 $ 9,509 $ 38,345 Provision for Income taxes 6,313 24,111 5,969 23,767 Financing expenses 1,60
Slide 30: Non-GAAP Reconciliation
USD Thousand Three months Year ended Three months TTM Q1 ended March 31, December 31, ended March 31, 2022 2022 2023 2023 Service revenue $ 239,680 $ 960,489 $ 235,306 $ 956,115 Net income $ 11,586 $ 40,422 $ 9,509 $ 38,345 Amortization of intangible assets 4,711 19,882 5,124 20,295 Non-GAAP Transac
Slide 31: Reconciliations of Adjusted EBITDA
USD Million Year ended December 31, 2020 2021 2022 Net Income (loss) $34.5 $(58.7) $40.4 Provision for (benefit from) income taxes 9.9 (2.3) 24.1 Financing expenses 7.5 6.5 11.9 Depreciation 20.2 29.0 37.9 Reconciliations Amortization of intangible assets EBITDA 18.8 $90.9 18.8 $(6.6) 19.9 $134.3 of
Slide 32: Reconciliations of Adjusted Net Income
USD Million Year ended December 31, 2020 2021 2022 Net Income (loss) $34.5 $(58.7) $40.4 Amortization of intangible assets 18.8 18.8 19.9 Offering costs 0.9 7.0 1.0 Transaction related costs - - 9.7 Reconciliations Foreign currency (gains) losses (1.5) 0.8 8.0 of Adjusted Net Loss (gain) on disposal