Perfect Corp. · NYSE:PERF

Perfect — Q2 2024 Earnings Presentation

52 slides from Perfect's earnings presentation, Jul 24, 2024

  1. Slide 1: Beautify the World with AI Innovations

    Beautiful AI Beautify the World with AI Innovations Company Presentation Q2 2024

  2. Slide 2: Disclaimer

    Disclaimer This presentation (the “Presentation”) has been prepared by Perfect Corp. (“Perfect”). The information contained in this Pres entation is in summary form and does not purport to be complete. This Presentation has been prepared without taking into account the objectives or particular requi

  3. Slide 3: Perfect Corp.

    Perfect Corp. #1 Beauty & Fashion Tech SaaS Company That Makes Your World Beautiful VISION Transform the world with AI Innovations MISSION • Solve consumer pain points to democratize the shopping experience for consumers and brands with AI technologies • Empower individuals to look and feel their be

  4. Slide 4: Perfect's Path To Becoming the Leader in Beauty & Fashion AR & AI

    Perfect’s Path To Becoming the Leader in Beauty & Fashion AR & AI Over the past 8 years, we have partnered with over 686 brands 1 and grown to offer over 775K SKUs1 for try - on at our Beauty, Skincare, Jewellery, and Fashion SaaS platform. 686 509 Number of Brands 434 366 311 257 187 116 63 2015 20

  5. Slide 5: Perfect Corp. Global Footprint

    Perfect Corp. Global Footprint Global presence across all major beauty/fashion markets Headquartered in Taipei and Global Offices in New York, Paris, Tokyo, and Shanghai Paris, FR Operational in 9 Cities in over 7 San Jose, US New York, US Shanghai, CN Tokyo, JP Countries Hangzhou, CN Seoul, KR Taip

  6. Slide 6: Perfect's Leadership Team

    Perfect’s Leadership Team Seasoned management team working together for over a decade Alice Chang Louis Chen Johnny Tseng Wayne Liu Iris Chen Founder, CEO EVP and CSO SVP and CTO President of Americas & VP of Finance & Accounting CGO  CEO of CyberLink from  20+ years with  25+ years with  13+ ye

  7. Slide 7: Perfect's Advisory Board

    Perfect’s Advisory Board Professional advisory team to share industry insights and exchange thoughts on the market Angelica Ramos Munson Adrien Jacques Geiger Cédric Begon Global Chief Digital Officer CEO Head of Digital Open Innovation Shiseido L'Occitane en Provence and New Services Design CHANEL

  8. Slide 8: Pillars that Meets Consumer & Brands Demands

    is a company 4 Pillars that Meets Consumer & Brands Demands |8

  9. Slide 9: Perfect's Beautiful AI – the Fusion of Beauty & AI

    Perfect’s Beautiful AI – the Fusion of Beauty & AI Perfect has an unique business model that allows us to utilize the identical technology to serve both enterprises (2B) & consumers (2C). By testing products in retail market, we gather valuable feedbacks to optimize product offerings and provide ins

  10. Slide 10: Evolution of Beauty Industry

    Evolution of Beauty Industry 10

  11. Slide 11: From Physical Trials to Virtual Try-On (VTO)

    From Physical Trials (Try Before You Buy) to Virtual Try- On (VTO) In the world of beauty, more product trials bring more sales. Thus, brands make enormous efforts to encourage trials. Obstacles Preventing Users from more Physical Trials Physical Trials are Time Consuming Sanitary Concerns Tester Av

  12. Slide 12: Beauty 3.0 AI + AR for Full Category Experience

    12 Beauty 3.0  AI + AR for Full Category Experience Beauty 3.0 AI + AR Beauty VTO Skin Analysis Fashion, Watch, Jewellery Personalization Recommendation | 12

  13. Slide 13: Beyond 2024: Beautiful AI as Smart Assistant

    Beyond 2024 : Beautiful AI as Smart Assistant 13 AI solutions for beauty consumers across makeup, skincare hair, fashion, and jewelry. Powered by a Unique Blend of Perfect AI Cutting-Edge AI Technologies Beautiful AI Aims to Solve the Challenges for Consumers, Brands, and Retailers GenAI for LLM & G

  14. Slide 14: PerfectGPT

    Perfect Corp. | Al PerfectGPT

  15. Slide 15: Our Vision to Create PERFECT AI Assistants for Every Beauty Consumer

    Our Vision to Create PERFECT AI Assistants 15 for Every Beauty Consumer SkincareGPT BeautyGPT PerfectGPT HairGPT Revolutionize AI Assistant JewelryGPT Development with a Powerful Framework NailsGPT FashionGPT FaceGPT

  16. Slide 16: PerfectGPT: AI Assistants for the Next Generation of Human-Computer Interaction

    PerfectGPT: AI Assistants for The Next Generation of Human-Computer Interaction Traditional Navigation vs. PerfectGPT AI Assistant  Heavily reliant on UI/UX design for  Natural interaction using natural language. browsing and searching.  PerfectGPT adapts to users' expressions and  Content looku

  17. Slide 17: AI/AR Technologies & Product Offerings

    AI/AR Technologies & Product Offerings 17

  18. Slide 18: Perfect Corp.'s AI Innovation Journey

    Perfect Corp.'s AI Innovation Journey AI Deep Learning Large Language & Generative AI Gen-AI Diffusion Model & GPT Perfect Corp.’s AI deep learning technology Perfect Corp. began vast experiments to Perfect Corp.’s PerfectGPT framework brought the very first market solution for lavage stable diffusi

  19. Slide 19: With Over 8+ Years of AI Expertise, Our Most Advanced AI to Date

    With Over 8+ Years of AI Expertise, 19 Our Most Advanced AI to Date, Crafted from the Finest Details Beauty AI Skin AI World’s First World’s First AI Makeup Transfer HD Skin Analysis Technology for Omnichannel 3,000+ Makeup 70,000+ Patterns & 12+ Medical-grade Textures and Finishes Images 89,969 Val

  20. Slide 20: Data Empowers Our Advanced Beauty Tech and Innovates Product R&D

    Data Empowers Our Advanced Beauty Tech and Innovates Product R&D 3,900 - point 10+ Real- time facial 3D live meshes backed by visual computing Makeup textures 6 10m Jewellery texture mappings to Training data sets across deliver highly realistic material all ethnicities for AI deep learning reflecti

  21. Slide 21: Unique AI Skin Diagnosis with HD Capabilities Attracted Med Spa & Clinics

    Unique AI Skin Diagnosis with HD Capabilities Attracted Med Spa & Clinics The AI skin diagnostic tool utilizes deep learning technology to provide users with real - time and high definition skin analysis by simply using an iPad/iPhone. This solution has achieved reliable test results for dermatology

  22. Slide 22: Fashion AI Solutions for Jewelleries and Watches

    Fashion AI Solutions for Jewelleries and Watches Unique 2D-3D and high polygon 3D virtual try-ons to elevate online luxury shopping experiences for jewelry and watch brands Earrings Watches Glasses Rings Bracelets Mix & Match Stacking Set Please refer to Perfect’s website for more information: https

  23. Slide 23: YouCam Mobile Apps

    YouCam Mobile Apps Beautiful AI Technology Contributes to Aesthetic Beauty and Self-Confidence with Gen AI features for photo, video, and camera users. #1 AR Makeover Powerful Selfie #1 Makeup Dynamic Image Versatile AI Art Smart Online AI App Camera Editor Video App Enhancer Generator Editing Tool

  24. Slide 24: YouCam Makeup – Your Personal AI Makeup Artists and Selfie Editor

    YouCam Makeup – Your Personal AI Makeup Artists and Selfie Editor VTO for lipstick, eye makeup, Easily beautify photos Try more than 20 Try 100+ hair colors and Refine facial features to Easily enhance selected contour, foundation, and blush, and automatically remove hairstyles with the AI trendy ha

  25. Slide 25: YouCam Perfect – All-in-One Photo Editing App Powered by AI

    YouCam Perfect – All-in-One Photo Editing App Powered by AI Easily beautify, enhance, and Use AI to easily erase Try popular photo effects Easily enhance selected Turn portraits into stunning Add AI Selfie filters in edit photos and videos to unwanted items in like vintage filters, body areas while

  26. Slide 26: GenAI for Beauty and Fashion

    GenAI for Beauty and Fashion 26

  27. Slide 27: Riding the Generative AI Trends to Keep Growing

    Riding the Generative AI Trends to Keep Growing AI Makeup Transfer Gen AI Gen AI Gen AI Gen AI Hairstyle Avatar / Pet Selfie Fashion AI Headshot AI Studio AI Photo/Video Gen AI Editing and Enhancement Text-2-Image 1 Please note that results generated by generative AI may vary, depending on the train

  28. Slide 28: AI Makeup Transfer

    AI for Beauty AI Makeup Transfer Recreate desired makeup look from one image, now supports eyes, face, and lip makeup Reference AI Transferred Reference AI Transferred Original Reference AI Transferred Reference AI Transferred 1 Please note that results generated by generative AI may vary, depending

  29. Slide 29: AI Makeup Transfer Creates Accurate Product Recommendations

    AI Makeup Transfer Creates Accurate Product 29 Recommendations from Transferred Makeup Looks AI Analyzes AI Finds Matching Products Shades and Textures to Create Recommendations Eyeshadow: Blush: Lipstick: | 29

  30. Slide 30: AI Hairstyle

    AI for Beauty AI Hairstyle 30 Virtual hairstyle powered by generative AI with hyper - realistic try - on experiences. Messy Top Bun Mermaid Waves French Braid Bobcut Tail Wavy Original Curtain Bangs Pixie Long Wavy Afro 1 Please note that results generated by generative AI may vary, depending on the

  31. Slide 31: AI Headshot

    31 AI for Fashion AI Headshot Turn your daily photo into professional images and capable of presenting in different postures photos Original 1 Please note that results generated by generative AI may vary, depending on the training data used and other factors. | 31

  32. Slide 32: AI Studio

    32 AI for Fashion AI Studio Reproduce epic photoshoots from a single photo with real - to- life scenes as in fashion magazines Input image 1 Please note that results generated by generative AI may vary, depending on the training data used and other factors. | 32

  33. Slide 33: AI Replacement & AI Removal

    33 AI for Editing AI Replacement & AI Removal 1 Please note that results generated by generative AI may vary, depending on the training data used and other factors. | 33

  34. Slide 34: AI Smart Editing

    AI for Editing AI Smart Editing AI Lighting AI Colorization AI Exp ansion 1 Please note that results generated by generative AI may vary, depending on the training data used and other factors. | 34

  35. Slide 35: Financial Highlights & Key Metrics

    Financial Highlights & Key Metrics 35

  36. Slide 36: Strong Organic Growth and Highly Scalable Cost Structure

    Strong Organic Growth and Highly Scalable Cost Structure ($ in USD millions) Revenue Gross Profit & Margin 86% 85% 15% 81% 80% 79% 81% 79% FY21- 23 CAGR 84% FY21- 23 Avg GP % 54 43 47 40 41 35 10% YoY 28 growth 22 25 20 13 14 11 10 FY21 FY22 FY23 1H'23 1H'24 2Q'23 2Q'24 FY21 FY22 FY23 1H'23 1H'24 2Q

  37. Slide 37: Solid & Stable Growth in Profitability

    Solid & Stable Growth in Profitability ($ in USD millions) Adjusted Net Income 1 & Its Margin 7.0 5.4 13.1% 11.3% 9.9% 8.9% 9.1% 2.8 7.0% 2.2 1.3 0.9 - 6.7% Adjusted Net Income (2.7) Adjusted Net Income Margin (%) 2021 2022 2023 1H'23 1H'24 2Q'23 2Q'24 1 Adjustments include one - time and non - recu

  38. Slide 38: Perfect's Positive Operating Cash Flow

    38 Perfect’s Positive Operating Cash Flow The Company had a positive operating cash flow of $5.5 million in H1 2024, compared to $6.4 million in H1 2023. The positive operating cash flow in both half a year demonstrated the company's ability to generate sufficient cash flow to support business opera

  39. Slide 39: Business Outlook for 2024

    Business Outlook for 2024 1 ($ in USD millions) • Taking into account the recent advancements of Revenue products powered by AI and AR technology, the growing demand for the our enterprise SaaS solutions, 12- 16% and the strong momentum in the mobile beauty app Estimated 13.1% YoY growth subscriptio

  40. Slide 40: Perfect's Q2 2024 Financial Performance

    Perfect’s Q2 2024 Financial Performance • Total Q2 Revenue was $13.9 million , compared to $12.7 million in the same period of 2023, +9.6% YoY. • AR/AI cloud solutions and subscription revenue was $12.9 million, compared to $11.0 million in Q2’23, +17.4% YoY. • Licensing revenue was $0.7 million, co

  41. Slide 41: Perfect's H1 2024 Financial Performance

    Perfect’s H1 2024 Financial Performance • Total H1 Revenue was $28.2 million , compared to $24.8 million in the same period of 2023, +13.5% YoY. • AR/AI cloud solutions and subscription revenue was $25.3 million, compared to $21.4 million in H1’23, +18.5% YoY. • Licensing revenue was $2.3 million, c

  42. Slide 42: Scalable SaaS Business Model with Continued Expansion in Brands and SKUs

    Perfect’s Scalable SaaS Business Model with Continued Expansion in Brands and SKUs Number of Brands by Quarter SKUs by Quarter CAGR of 24% CAGR of 28% 686 666 775 645 745 627 601 704 679 655 509 525 591 483 556 463 434 448 510 517 405 473 377 439 355 411 329 388 289 347 311 243 254 289 216 230 193 2

  43. Slide 43: Perfect's Mobile Beauty App Business Has Been Growing Strong

    43 Perfect’s Mobile Beauty App Business Has Been Growing Strong In the second quarter, active subscribers increased by 18% from the same period last year, reaching a historical high of over 919,000 active subscribers 1. 18% YoY Growth 1000 K 900 K 800 K 700 K 600 K 500 K 400 K 300 K 200 K 100 K K Q2

  44. Slide 44: Multiple Avenues To Drive Growth

    Multiple Avenues To Drive Growth We see significant growth opportunities from existing brands, new brands, new verticals, as well as from new Gen AI features launched in mobile app and synergistic M&A. Deepen Penetration Expand Into Skincare AI Penetrate to Fashion Innovate Premium Pursue Within Top

  45. Slide 45: Key Partnership

    Key Partnership 45

  46. Slide 46: Perfect Forms Strategic Partnerships With World Class Tech Giants

    Perfect Forms Strategic Partnerships With World Class Tech Giants This creates truly omnichannel support for our clients. Global Tech Giants Asian Tech Giants #1 Search #1 Video #1 Social One of the Most - #1 Mobile #1 Social & Digital #1 Video Social Engine Platform Network used Camera E- commerce

  47. Slide 47: Beauty Tech Solutions Support Optimized Omnichannel Strategies

    Perfect’s 360 ° Beauty Tech Solutions Support Optimized Omnichannel Strategies Whether online or offline, we are where our clients need us. Physical Stores E- commerce 360° Approach Shoppertainment Social Media | 47

  48. Slide 48: Perfect's Proven Track Record in Supporting Client Success

    Perfect’s Proven Track Record in Supporting Client Success We help drive brands’ sales, conversion, and customer engagement. Brand Perfect Solution Used ROI Improvement Customer Testimonials “Now this [high - touch] experience has been enabled by high Live AR Training for tech AI and AR to create a

  49. Slide 49: Perfect's ESG Commitment

    Perfect’s ESG Commitment 49

  50. Slide 50: Perfect Is Green Tech & an ESG Facilitator

    Perfect Is Green Tech & an ESG Facilitator Consumers’ growing awareness of sustainability will further accelerate brands’ adoption of AR & AI, creating stronger tailwinds for Perfect. Everyone can benefit from Beauty AR & AI Technology Support the industry in furthering Industry sustainable beauty a

  51. Slide 51: ESG Story of Kao

    ESG Story of How Kao leveraged Perfect’s beauty tech to achieve amazing ESG results! Perfect has helped Kao to become more sustainable KAO’s ESG Achievements by the Numbers:  56 Tons Reduces Plastic Waste per Year  1 Million Simulations per Week  22 Try- ons per Visitor Scan Barcode to Try It You

  52. Slide 52: The AI & AR powerhouse helping beauty & fashion brands

    The AI & AR powerhouse helping beauty & fashion brands to achieve successful digital transformation | 52

Perfect — Q2 2024 Earnings Presentation on 6ix