Slide 1: Investor Presentation May 2022
Investor Presentation May 2022 Exhibit 99.1
Slide 2: Disclaimer
Disclaimer This presentation (the “Presentation”) of OppFi Inc. (“OppFi” or the “Company”) is for information purposes only. Certain information contained herein has been derived from sources prepared by third parties. While such information is believed to be reliable for the purposes used herein, t
Slide 3: Our Mission
OppFi’s mission is to facilitate safe, simple and more affordable credit access to the 60 million everyday Americans who currently lack traditional options to rebuild their financial health. OUR MISSION
Slide 4: Key Company Highlights 2016–2021
Key Company Highlights 2016– 2021 Adjusted Net Income represents Adjusted EBT tax-affected at 21.6% assumed tax rate. Pro forma for conversion for fair market value accounting. For full-year 2021 at the time of loan approval. Solid Revenue Growth 66% 5-year CAGR1 Significant Scale Facilitated more t
Slide 5: Executive Management Team
Executive Management Team Todd Schwartz Founder, Chief Executive Officer, and Executive Chairman Schwartz Capital Group Pamela Johnson Chief Financial Officer Heights Finance; Pioneer Financial Services Manuel Chagas Chief Operating Officer Discover Financial Services; McKinsey & Company; Accenture
Slide 6: OppFi Entering Next Phase of Growth
OppFi Entering Next Phase of Growth Strengthened the Foundation Strong Business Fundamentals Despite Pandemic Onset Transitioned to Public Company, Growth Resumed Focus on Our Core Product, Credit Normalizes $497 $483 $595 Originations ($ in millions) & Percent Growth 2019A 2020A 2021A 2022P Diversi
Slide 7: High Percentage of Americans Lack Savings and/or Credit Access
High Percentage of Americans Lack Savings and/or Credit Access 60 million U.S. adults lack access to traditional credit1 64% of U.S. consumers live paycheck to paycheck2 44% of U.S. adults have savings to cover a $1,000 unplanned expense3 Hamdani, Kausar, et al. “UNEQUAL ACCESS TO CREDIT The Hidden
Slide 8: We Help Everyday Consumers Solve Everyday Problems
We Help Everyday Consumers Solve Everyday Problems OUR TYPICAL CUSTOMER: Established Credit History Median Income Employed Bank Account >30 Years Old College-Educated No Savings OppFi customers can use proceeds for any unexpected expense Medical Family Car Trouble Education Housing
Slide 9: A Cheaper, Better Product for Non-Prime
A Cheaper, Better Product for Non-Prime Traditionally financing options for the underbanked have been limited, with exorbitant interest rates and poor customer service OppFi Advantage: The OppFi Approach to Lending The OppLoan’s Market Leading Terms Underbanked Option APRs Simple interest, amortizin
Slide 10: Leverage Billions of Data Points to Make Credit Scores Obsolete
OppFi’s proprietary algorithms powered by Artificial Intelligence are designed to better predict ability and willingness to repay Leverage Billions of Data Points to Make Credit Scores Obsolete ~11 BILLION Data Points AI-Powered Proprietary Scoring Algorithm 13+ Million Applications 22+ Million Repa
Slide 11: Technology-Fueled Proprietary Algorithms Provide Real-Time Insights
Technology-Fueled Proprietary Algorithms Provide Real-Time Insights Visibility across non-prime risk spectrum enables OppFi to target credit worthy borrowers more effectively, providing flexibility to change underwriting criteria quickly DECISIONS POWERED BY… Consumer Behavior Bank Data Alternative
Slide 12: OppFi Growth Strategy
OppFi Growth Strategy Accelerate profitable growth Drive profitable core product volume growth Serve more non-prime consumers with product extensions, new structures, and/or strategic partnerships Expand into new customer segments via M&A Continue to test / iterate on market-based offers Refine unde
Slide 13: Understanding Our Customer Value
Understanding Our Customer Value Over 1,7851 Customers2 Surveyed 1,426 of 1,785 took the time to write a personal note about their experience 87% of the remarks were positive Overall Experience 91% had a very positive or positive experience3 We Are There When Others Are Not … 50% were turned down by
Slide 14: Financial Performance
Financial Performance
Slide 15: Platform with Proven Ability to Scale Profitably
Platform with Proven Ability to Scale Profitably Adjusted EBITDA Adjusted Net Income Revenue ($ in millions) Note: Reconciliation of non-GAAP to GAAP financials for 2017 through 2021 located in Appendix Margin 31% 39% 36% 31% 33% Margin 16% 21% 20% 17% 19%
Slide 16: Operational Efficiencies: Automation & Expense Savings
On track for annualized $15 million in after-tax reduction in operational cost base, exiting 2022: More efficient marketing spending leading to lower cost per funded loan Reduced vendor expenses Headcount rationalization Lower interest expenses from new financing agreements Normalization of costs af
Slide 17: Reduced Cost of Financing and Strong Balance Sheet to Power Growth
Grown liquidity nearly 5x of 2017 levels Decreased cost of borrowing by 500+ bps since 2017 Diversified institutional capital sources, including Ares and Atalaya Increased financial flexibility with: corporate credit agreements, asset-backed facilities, bank provided asset-based loans, forward flow
Slide 18: Quarterly Key Performance Indicators
Net originations increased 63% year over year Ending receivables increased 38% year over year as a result of strong origination growth YoY Net charge-offs as % of average receivables increased to 56% versus 30% year over year reflecting increased losses from segments that are no longer being approve
Slide 19: Full Year 2022 Outlook
Full Year 2022 Outlook1 Net Revenue Margin 60% to 65% Adjusted Operating Expense2 Margin 43% to 47% Adjusted EBITDA Margin 20% to 25% Adjusted Net Income Margin 8% to 12% As disclosed in the first quarter 2022 earnings press release issued on May 5, 2022. Adjusted Operating Expense is defined as tot
Slide 20: Long-Term Guidance
Long-Term Guidance LONG-TERM Net Revenue Margin 70% Adjusted Operating Expense1 Margin 44% Adjusted EBITDA Margin 30% Adjusted Net income Margin 15% Adjusted Operating Expense is defined as total expenses excluding interest expense, add backs and one-time items. Adjusted Operating Expense is not a f
Slide 21: Key Investment Highlights
Key Investment Highlights Profitable, growing financial technology company Installment loan category disruptor Differentiated business model with low cost spread-based lending creates a competitive advantage and minimizes interest rate risk Potential strategic growth via product extensions, new stru
Slide 22: Appendix
+ Appendix
Slide 23: Pro Forma Share Count as of March 31, 2022
Pro Forma Share Count as of March 31, 2022 Shares Share Price Notes $10.00 $12.00 $13.00 $14.00 Class A Common Stock held by Public and Founders 13,349,150 13,349,150 13,349,150 13,349,150 Shares held by public shareholders, including founders, underwriters and private placements Class A and Class V
Slide 24: Adjusted EBITDA and Adjusted Net Income Reconciliation Table
Adjusted EBITDA and Adjusted Net Income Reconciliation Table ($ in millions) 2017 2018 2019 2020 2021 Net Income $3 $10 $33 $78 $90 FV adjustments 10 26 35 (8) - Debt Issuance Cost 1 1 2 2 2 Other Addback and One-Time Expenses1 1 1 1 2 (8) Adjusted EBT 15 37 71 74 84 Pro-Forma Taxes2 (4) (9) (18) (1
Slide 25: Contact Information
Contact Information Shaun Smolarz Head of Investor Relations investors@oppfi.com