Oppfi Inc. · NYSE:OPFI

Oppfi — Q1 2023 Earnings Presentation

22 slides from Oppfi's earnings presentation, May 11, 2023

  1. Slide 1: Q1 2023 Earnings Presentation

    A Mission-Driven Fintech Platform that Helps Everyday Americans Gain Access to Credit with Specialty Finance Products Q1 2023 Earnings Presentation May 11, 2023

  2. 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

  3. Slide 3: Q1 2023 Highlights

    Q1 2023 Highlights Net income of $3.9 million and 20% increase year over year in adjusted net income1 of $4.4 total revenue million, exceeding guidance Raised full-year guidance for 9% decrease year over year in adjusted net income and marketing cost per new funded loan adjusted earnings per share 1

  4. Slide 4: Key Company Highlights

    Key Company Highlights Profitable Across Solid Revenue CEO and Executive Chairman as Business Cycles Growth Largest Shareholder 8 consecutive years of 45% 5-year CAGR2 Owner / operator dynamic aligns profitability1 incentives to maximize shareholder value Leading Proprietary Credit Significant Scale

  5. Slide 5: High Percentage of Americans Lack Savings and/or Credit Access

    High Percentage of Americans Lack Savings and/or Credit Access 60 million U.S. 60% of U.S. 43% of U.S. adults consumers adults lack access to live paycheck have savings to traditional credit to paycheck2 cover a $1,000 at choice1 unplanned expense3 4 1. Hamdani, Kausar, et al. “UNEQUAL ACCESS TO CRE

  6. Slide 6: OppFi Advantage: Market Leading Terms and Excellent Customer Experience

    OppFi Advantage: Market Leading Terms and Excellent Customer Experience Traditional financing options for the underbanked have been limited, with exorbitant interest rates and poor customer service Market Leading Terms OppFi customers can use proceeds for any unexpected expense ▪ Simple interest, am

  7. Slide 7: OppFi Growth Strategy: Accelerate Profitable Growth

    OppFi Growth Strategy Accelerate Profitable Growth Drive profitable core product Diversify into new customer Expand relationships volume growth and product types via M&A to serve more consumers • Acquire platforms or assets • Form new strategic channel • Continue to refine and providing accessible c

  8. Slide 8: Q1 2023 Financial Highlights

    Q1 2023 Financial Highlights $3.9M Total Revenue Net Income • Total revenue increased 20% year over year to $4.4M $120M Adj. Net Income1 Net Originations $0.02 Basic EPS • Net originations decreased 2% year over year to $160M $0.02 Diluted EPS Ending Receivables $0.05 • Ending receivables increased

  9. Slide 9: Q1 2023 Performance

    Q1 2023 Performance Credit adjustments led to lower Q1 net originations year over year. Ending receivables growth of 9% drove total revenue growth of 20% year over year for Q1. $163 $160 $370 $120 -2% $338 +9% $101 +20% $84 $245 $100 Q1 2021 Q1 2022 Q1 2023 Q1 2021 Q1 2022 Q1 2023 Q1 2021 Q1 2022 Q1

  10. Slide 10: Q1 2023 Key Performance Indicators

    Q1 2023 Key Performance Indicators Key Highlights UNAUDITED PERIOD ENDED Net originations decreased 2% year over year as a result of credit ($ in millions) 3/31/2023 3/31/2022 adjustments made during 2022 Net Originations1 $160 $163 Ending receivables increased 9% year over year as a result of stron

  11. Slide 11: Condensed Balance Sheet

    Condensed Balance Sheet UNAUDITED PERIOD ENDED ($ in millions) 3/31/2023 12/31/2022 Key Highlights Assets Cash and restricted cash $71.4 $49.7 Total cash increase of $22 million was driven by an increase in payments on originated loans and partially offset by payments of debt Finance Receivables at

  12. Slide 12: Reduced Cost of Financing and Strong Balance Sheet to Power Growth

    Reduced Cost of Financing and Grown funding capacity more than 5x since 2017 Strong Balance Sheet to Power Growth Decreased cost of borrowing Ample debt capacity provides a means to fund anticipated spread by 500+ bps since short-term future growth without equity 2017 Diversified institutional capit

  13. Slide 13: Full Year 2023 Guidance

    Full Year 2023 Guidance $500M to $24M to $0.28 to $520M $30M $0.35 Total Revenue Adjusted Net Income1 Adjusted EPS1,2 Affirmed approximately Raised from Increased from 10% to 15% growth $22 million to $28 million $0.26 to $0.33 Growth Profitability Profitability 1. Non-GAAP Financial Measures: Adjus

  14. Slide 14: Appendix

    Appendix 13

  15. Slide 15: Pro Forma Share Count as of March 31, 2023

    Pro Forma Share Count as of March 31, 2023 Share Price Shares Notes $10.00 $12.00 $13.00 $14.00 Class A Common Stock 15,221,283 15,221,283 15,221,283 15,221,283 Class V Common Stock Excludes 25,500,000 shares of Class V Common Stock outstanding with Held for the benefit of Pre-Business 69,066,687 69

  16. Slide 16: Fair Value Valuation

    Fair Value Valuation UNAUDITED PERIOD ENDED Key Highlights ($ in thousands) 3/31/2023 12/31/2022 Outstanding Principal $369,715 $402,180 • Interest rate increased by 80 bps due to Accrued Interest $12,823 $15,802 relative increase in base APR loans on the book Interest Rate 153.2% 152.4% • Default r

  17. Slide 17: GAAP Income Statement

    GAAP Income Statement Three Months Ended March 31, Variance (in Thousands, except share and per share data) 2023 2022 $ % Interest and loan related income $ 119,942 $ 100,336 $ 19,606 19.5% Other revenue 432 374 58 15.5% Total revenue 120,374 100,710 19,664 19.5% Change in fair value of finance rece

  18. Slide 18: Condensed Balance Sheet

    Condensed Balance Sheet March 31, December 31, Variance (in Thousands) 2023 2022 $ % Assets Cash and restricted cash $ 71,374 $ 49,670 $ 21,704 43.7% Finance receivables at fair value 417,489 457,296 (39,807) (8.7%) Finance receivables at amortized cost, net 464 643 (179) (27.8%) Other assets 70,718

  19. Slide 19: Condensed Cash Flow Statement

    Condensed Cash Flow Statement Three Months Ended March 31, Variance (in Thousands) 2023 2022 $ % Net cash provided by operating activities $ 65,637 $ 44,731 $ 20,906 46.7% Net cash (used in) investing activities (28,300) (52,244) 23,944 45.8% Net cash (used in) provided by financing activities (15,6

  20. Slide 20: Net Income to Adjusted EBT, Adjusted Net Income and Adjusted EBITDA Reconciliation

    Net Income to Adjusted EBT, Adjusted Net Income and Adjusted EBITDA Reconciliation (in Thousands, except share and per share data) Three Months Ended March 31, Variance (Unaudited) 2023 2022 $ % Net income $ 3,930 $ (297) $ 4,227 (1423.2%) Provision for income taxes 146 540 (394) (73.0%) Debt amorti

  21. Slide 21: Diluted Shares as Reflected in Adjusted Earnings Per Share

    Diluted Shares as Reflected in Adjusted Earnings Per Share Three Months Ended March 31, 2023 2022 Weighted average Class A common stock outstanding 15,037,326 13,581,828 Weighted average Class V voting stock outstanding 94,742,634 96,338,474 Elimination of earnouts at period end (25,500,000) (25,500

  22. Slide 22: Adjusted Earnings Per Share

    Adjusted Earnings Per Share (in Thousands, except share and per share data) Three Months Ended March 31, 2023 Three Months Ended March 31, 2022 (Unaudited) $ Per Share $ Per Share Weighted average diluted shares outstanding 84,432,529 84,473,957 Net Income $ 3,930 $ 0.05 $ (297) $ (0.00) Provision f

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