Lm Funding America, Inc. · NASDAQ:LMFA
Lm Funding America — Investor Presentation (September 2023)
20 slides from Lm Funding America's investor presentation, Sep 11, 2023
Slide 1: Bitcoin Mining and Specialty Finance Investor Presentation
Bitcoin Mining and Specialty Finance Investor Presentation September 2023
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain forward-looking statements the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan,” and “project” and other similar words and expressions are intended t
Slide 3: Financial Highlights
Financial Highlights Balance sheet: June 30, 2023 - $42.3M total assets, $0.15 million of long-term debt Dec. 31, 2022 - $46.1M total assets, $0.20 million of long-term debt Total LM Funding Equity of June 30, 2023 - $39.9 million with per share book value of $2.72 Dec 31, 2022 - $44.0 million with
Slide 4: LM Funding America: Our Management
LM Funding America: Our Management Bruce Rodgers, Founder, Chief Executive Officer & President Entrepreneur developed business model and led LMFA through multiple private fundraising rounds leading to IPO in 2015 Led LMFA through 3 subsequent public offerings and purchased and sold complimentary bus
Slide 5: Why Bitcoin? Trust(lessness)
Why Bitcoin? “Trust(lessness)” Bitcoin is a technology enabling decentralized transactions between parties not requiring an intermediary bank or institution.
Slide 6: LMFA's Bitcoin Mining Strategy
LMFA’s Bitcoin Mining Strategy Access to lower cost of capital as a public company Wholesale purchase of miners directly from the manufacturer Secure latest generation of miners at the lowest possible cost Total miners owned uses less than avg. 28 joules per terahash Commodity driven Contract with b
Slide 7: Current Bitcoin Environment
Current Bitcoin Environment FASB proposal — impairment versus mark to value Bitcoin regulated by CFTC as a commodity due to decentralized structure Bank financing for Bitcoin Miners non-existent White House Proposed 30% tax on Bitcoin Mining energy consumption 2024 Halving reduces mining reward from
Slide 8: Halving
Halving Bitcoin halving is an event where the reward for mining new Bitcoin blocks is cut in half, resulting in miners receiving 50% fewer Bitcoins for verifying transactions Bitcoin halving occurs every 210,000 blocks which translates to approximately every 4 years Next halvings are estimated(1): 2
Slide 9: LMFA Halving Strategy
LMFA Halving Strategy Infrastructure light Acquire most efficient miners – 24 joules/TH Flexible hosting contracts Minimize operational losses Renew hosting contracts post halving https://crypto.com/university/what-is-bitcoin-halving
Slide 10: Recent Digital Mining Events
Expanded a hosting contract with Core Scientific for Core to host an additional 1,900 of the Company’s Bitcoin mining machines, bringing the total number of machines hosted by Core to approximately 4,900 Signed a new contract with Giga Energy to host approximately 1,080 Bitcoin mining machines Purch
Slide 11: Bitcoin Operational Activities
Bitcoin Operational Activities Recent shift in focus towards Bitcoin mining is transforming the Company for the future
Slide 12: Bitcoin Operational Activities
Bitcoin Operational Activities Active Machines Q1 – 3,700 / 378 PH Q2 – 5,235 / 543 PH Aug 10, 2023 - 5,953 / 615 PH BTC sold for Hosting YTD 157.9 ~ 79.65% BTC sold for working capital YTD 18.0 BTC sold for Hosting QTD – 84.8 ~ 79.57% BTC sold for working capital QTD – 26.2
Slide 13: Symbiont Asset Acquisition
Symbiont Asset Acquisition Acquired the assets of Symbiont, including those related to its Assembly™ financial services blockchain enterprise platform. Symbiont Assembly™ is a blockchain platform for building and running decentralized applications called “smart contracts” Plan to pursue joint ventur
Slide 14: Specialty Finance & Association Collections
The Company began in 2008 with a focus on specialty finance – providing funding to nonprofit community associations primarily located in the state of Florida Offer incorporated nonprofit community associations a variety of financial products customized to each association’s financial needs Provide f
Slide 15: Financial Results – 2nd Quarter
Reflects $3.0 million of BTC revenue BTC mining costs of $2.4 million Gross mining margin 20.4% Stock Compensation declined to $1.7 million in 2023 from $3.6 million in 2022 Realized gain on sale of digital assets of $0.6 million is reported in Operating expenses in 2023 as an offset to Operating ex
Slide 16: Financial Results – Year to Date
Reflects $5.1 million of BTC revenue BTC mining costs of $4.0 million Gross mining margin 20.4% Stock Compensation declined to $1.9 million in 2023 from $7.3 million in 2022 Realized gain on sale of digital assets of $1.1 million is reported in Operating expenses in 2023 as an offset to Operating ex
Slide 17: Core EBITDA (Non-GAAP)
Core EBITDA (Non-GAAP) Our reported results are presented in accordance with U.S. generally accepted accounting principles (“GAAP”). We also disclose Earnings before Interest, Tax, Depreciation and Amortization ("EBITDA") and Core Earnings before Interest, Tax, Depreciation and Amortization ("Core E
Slide 18: Summary Cashflow
Summary Cashflow YTD use of Cash includes: Hosting deposits $157K BTC mined not recognized as cash $479K Symbiont legal fees $402K Capex BTC machines $1,745K Insurance Financing $358K SeaStar repayment $1,661K
Slide 19: Financial Highlights
Financial Highlights Balance sheet: June 30, 2023 - $42.3M total assets, $0.15 million of long-term debt Dec. 31, 2022 - $46.1M total assets, $0.20 million of long-term debt Total LM Funding Equity of June 30, 2023 - $39.9 million with per share book value of $2.72 Dec 31, 2022 - $44.0 million with
Slide 20: Contact Us
Contact Us LM Funding Contact: Bruce M. Rodgers, Esq. 866.235.5001 investors@LMFunding.com www.lmfunding.com
LM Funding America — Investor Presentation (September 2023) on 6ix