Slide 1: Q4 2022 Investor Presentation
NYSE: DHX Q4 2022 Investor Presentation February 7, 2023
Slide 2: Forward looking statements
Forward looking statements This presentation and oral statements made from time to time by our markets in which we operate, failure to adapt our business model to keep pace with representatives contain forward-looking statements within the meaning of the rapid changes in the recruiting and career se
Slide 3: Our vision is to create indispensable career marketplaces
Our vision is to create indispensable career marketplaces to match the highest quality candidates with the right client career opportunities. 3
Slide 4: Technology Growth Contributing to Economic Expansion
Technology Growth Contributing to Economic Expansion U.S. job growth for high-tech and creative industries Percent Growth from 2007 Source: U.S. Bureau of Labor Statistics and CBRE Research, August 2022 4
Slide 5: Technology talent in demand
Technology talent in demand Companies globally rely on tech talent to advance innovation Digital job capacity* worldwide from 2020 to 2025 190M 1M Privacy and trust 6M Cyber security 149M 127M 20M Data analysis, machine Job Capacity new jobs learning and AI 90M by 2025 66M 23M Cloud and data roles 5
Slide 6: Why DHX
Why DHX Tech sector employment Millions of Our unique candidate DHI is achieving is anticipated to grow by candidate profiles matching tool is a sustained revenue double digit rates this amassed over 30 must for recruiters growth decade years 6
Slide 7: DHI company overview
DHI company overview Year-end Listed HQ 12/31 NYSE: Denver, CO Diluted shares outstanding DHX (2007) Est. 1990 46M Q4 FY22 financial results (ended December 31, 2022) Subscription Employees Revenues Bookings1 clients 530 8,375 $39.8M up 18% YoY $37.7M up 4% YoY Adjusted EBITDA2 Adjusted EBITDA Margi
Slide 8: DHI business model elements
DHI business model elements Clients ~90% 67% Fee for job ads subscription of annual and profile/ based revenue contracts CV views paid upfront 95% Candidates revenue Free access to renewal rate platforms 8 *Metrics are Q4 2022 for combined Dice and ClearanceJobs
Slide 9: Tech Candidate Marketplace
2022 Revenue $107M 80,000+ Commercial accounts Tech Candidate Subscription clients Growth opportunity 18,000 6,311 Staffing, Recruiting, Marketplace Consulting Firms 9
Slide 10: Cleared Professionals
2022 Revenue $43M 10,000+ Cleared employers Cleared Professionals Subscription clients Growth opportunity 100+ 2,064 Marketplace Government agencies 10
Slide 11: DHX created the career marketplace
DHX created the career marketplace From job board to marketplace DHI Career Marketplace Identify talent Engage Interview Hire 11
Slide 12: DHI skills mapping finds the best candidate
DHI skills mapping finds the best candidate Data wrangling Tech recruiting is all about the unique skills required Data analysis by a position and the candidate profile Statistical Computer vision models Data science Data mining Neuroscience Artificial DHX has spent 10+ years creating a data model t
Slide 13: Job postings are all about skills
Job postings are all about skills 20-30 skills indicated in each job posting Senior Software Engineer Education, Experience • Bachelor’s degree in MIS, Computer Science, • Experience with Git (Bitbucket a plus) Computer Engineering or related discipline or • Experience mentoring and providing techni
Slide 14: IntelliSearch
IntelliSearch Paste entire job description, instead of title, to return results Algorithmic search powered by predictive analysis, artificial intelligence + machine learning Relevance results prioritize fit (skills and adjacent skills) over quantity and candidates likely- to-switch Click Image Above
Slide 15: Continuous product innovation
Continuous product innovation Scheduled Multi-Factor Company New Job Page Broadcast Authentication Pages Messages Q4 ‘22 Q4 ‘22 Q4 ‘22 Q3 ‘22 TalentSearch Live Video iOS App Multi-Factor Auto Talent Messaging Authentication Alerts Q3 ‘22 Q2 ‘22 Q1 ‘22 Q3 ‘22 15
Slide 16: 2022 Go-to-market transformation
2022 Go-to-market transformation Dice Strong Sales + Expansion Activation of ClearanceJobs marketplace Marketing of Dice additional engages evolution leadership Commercial marketing government Accounts Team channels + accounts awareness campaigns 16
Slide 17: Dice Bookings Momentum
Dice Bookings Momentum As compared to FY 2021 New Business bookings1 Renewal rate on revenue $19.0M 99% (+5% from FY 2021) (+12 points from FY 2021) Total bookings1 $113.1M Renewal rate on count Retention % (+18% from FY 2021) 85% (+6 points from FY 2021) 110% (+10 points from FY 2021) 17 1See defin
Slide 18: DHI bookings
DHI bookings Quarterly bookings1 ($ in millions) Dice ClearanceJobs Dice Revenue Renewal Rate CJ Revenue Renewal Rate $36.8 110% $35 $29.0 100% $30 $27.9 $25.9 $25.6 $25.0 $25.7 90% $25 $21.4 $19.2 $20.2 80% $20 $16.1 $14.7 $13.9 70% $15 $12.1 $10.6 $11.5 $9.7 $9.4 $10.3 $9.7 $10 $7.6 $7.6 60% $6.5
Slide 19: DHI revenues
DHI revenues Quarterly revenues ($ in millions) Dice ClearanceJobs Total revenues 45 $38.5 $39.8 40 $37.1 $33.7 $34.3 35 $30.8 +16% $29.4 $28.7 YoY 30 $27.6 $27.1 $27.0 $26.7 $27.3 $28.2 $26.8 $24.4 $24.6 25 $22.5 $22.3 $20.5 $19.8 $19.4 $20.6 $19.1 +23% 20 YoY 15 $11.2 $11.6 $9.4 $9.7 $10.2 10 $7.3
Slide 20: Profitability
Profitability Quarterly adjusted EBITDA Margin1 Adjusted EBITDA Margin 28 25% 25 22% 22% 22 21% 21% 21% 21% 21% 20% 20% 19% 19% 19 16 13 10 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Business Outlook Managing the business to an Adjusted EBITDA Mar
Slide 21: Liquidity snapshot
Liquidity snapshot Strong operating cash flow in Q4 2022 Operating cash flow & Capex ($ in millions) Debt & cash ($ in millions) Operating cash flow Capex Debt Cash $37.0 $37.0 $37.0 $12.9 $33.0 $30.0 $30.0 $30.0 $10.2 $27.8 $27.5 $26.8 $9.2 $9.2 $23.0 $7.1 $7.3 $20.0 $20.0 $6.4 $6.3 $18.0 $16.0 $4.
Slide 22: DHX investment summary
DHX investment summary Tech market for online recruitment tools is growing Tech market focus plays to our innovation in collecting Connecting + mapping skills Demonstrated success of product innovation with Futures Now ClearanceJobs Leadership team drives functional strength + focus NYSE:DHX Set up
Slide 23: Supplemental data - customer data (unaudited)
DHI Group, Inc. Supplemental data - customer data (unaudited) Dice Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Bookings1 (in millions) $29.0 $16.1 $14.7 $19.2 $27.9 $20.2 $21.4 $25.9 $36.8 $25.6 $25.0 $25.7 Recruitment Package Customers 5,850 5,450
Slide 24: Notes regarding the use of non-GAAP financial measures
Notes regarding the use of non-GAAP financial measures Notes Regarding the Use of Non-GAAP Financial Measures although Adjusted EBITDA and Adjusted EBITDA Margin are frequently used by securities analysts, lenders and others in their evaluation The Company has provided certain non-GAAP financial inf
Slide 25: Supplemental data - non-GAAP (unaudited)
DHI Group, Inc. Supplemental data - non-GAAP (unaudited) Full Full Full (Dollars in millions) Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year 2020 2020 2020 2020 2020(1) 2021 2021 2021 2021 2021(1) 2022 2022 2022 2022 2022(1) Reconciliation of Net Income to Adjusted EBITDA Net Income (loss) $ (6.