Slide 1: Investor Overview and Financial Results
Investor Overview and Financial Results DATE October 30, 2023
Slide 2: Forward-Looking Statements
Q3 EARNINGS CALL > SAFE HARBOR STATEMENT Forward-Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform A
Slide 3: Delivering Durable Growth and Profitability at Scale
Q3 EARNINGS CALL > OVERVIEW Delivering Durable Growth and Profitability at Scale ZoomInfo is the go-to-market Scale Growth Retention platform for $1.26B 9% 104% Annualized Q3 2023 Revenue Q3 2023 YoY Revenue Growth FY 2022 Net Revenue Retention rate(3) businesses to find, acquire, Cash Flow Profitab
Slide 4: The Modern Go-To-Market Approach
Q3 EARNINGS CALL > OVERVIEW The Modern Go-To-Market Approach Win Faster. Increase in • Scale your go-to-market win rates 46% • Automate customer outreach • Simplify your tech stack Win Faster Decrease in deal cycle time 37% Engage Customers. • Connect across channels Increase in quota • Align Sales
Slide 5: The Modern Go-To-Market Platform
Q3 EARNINGS CALL > OVERVIEW The Modern Go-To-Market Platform Our Mission: To unlock the growth potential of businesses and professionals Automation RevOS: The Modern GTM Platform Data as a Service Find, acquire, and win Find the right prospects with actionable ABM at the right time Control the hirin
Slide 6: Consistently Ranked as a Product Leader
Q3 EARNINGS CALL > OVERVIEW Consistently Ranked as a Product Leader The Forrester WaveTM: B2B Marketing Data Providers G2 Grid for Sales Intelligence Sales Intelligence Software TrustMap 6 6
Slide 7: Best-of-Breed in a Unified Platform: RevOS
Q3 EARNINGS CALL > OVERVIEW Best-of-Breed in a Unified Platform: RevOS Solutions Category Contact Data 280m+ Contacts Market Reputation Company Data 100m+ Companies 30k+ Individual ZoomInfo Aligns Marketing and Sales Tech Technographics for Sales Intelligence, Technologies Buyer Intent, Email #1 Ver
Slide 8: Diverse Data Sourcing Feeds Evidence-Based AI/ML Systems
Q3 EARNINGS CALL > OVERVIEW Diverse Data Sourcing Feeds Evidence-Based AI/ML Systems Data Sources Data Types Engine We gather data from We gather a wide variety of intelligence Our intelligence engine brings together, multiple sources on companies and business professionals processes, verifies, and
Slide 9: Global Data Expansion
Q3 EARNINGS CALL > OVERVIEW Global Data Expansion 104M 321M Companies Contacts 6x 3x 174M 94M 70M Emails Mobile Phone Direct Phone 9 1. Contacts and Company growth since 2021
Slide 10: Addressing a Large and Growing Opportunity
Q3 EARNINGS CALL > OVERVIEW Addressing a Large and Growing Opportunity ZoomInfo's Global TAM(1) $100B Global TAM $40B $30B $20B $10B SalesOS OperationsOS MarketingOS TalentOS 1. We calculated our TAM by estimating the total number of B2B companies by employee size for companies with 1,000 or more em
Slide 11: Multiple Levers for Sustained Growth
Q3 EARNINGS CALL > OVERVIEW Multiple Levers for Sustained Growth Select acquisitions to complement platform Expand Personas: MarketingOS, OperationsOS, TalentOS Increased usage of advanced functionality Seat and data expansion Further penetrate international markets Acquire new customers 11
Slide 12: Recent New and Expansion Customers
Q3 EARNINGS CALL > OVERVIEW Recent New and Expansion Customers More than 35,000 Customers from Small, Mid-sized, and Large Organizations Across a Diverse Set of Industries 12
Slide 13: Recent Platform Highlights
Q3 EARNINGS CALL > OVERVIEW Recent Platform Highlights Team Based Meeting Summaries. Google Ads Retargeting. New Workflows Filters. • We released a Google Ads Retargeting audience type • We released new filters for more targeted automation via Workflows. • We released AI powered daily meeting summar
Slide 14: Overview of Selected Functionality
Q3 EARNINGS CALL > OVERVIEW Overview of Selected Functionality Chorus AI DaaS Generative Features Overview AI 14
Slide 15: ZoomInfo Drives Value for Customers
Q3 EARNINGS CALL > OVERVIEW ZoomInfo Drives Value for Customers $1 million+ in 200% increase 10x ROI from Revenue revenue in 6 months in revenue ZoomInfo Took speed to lead from 50% reduction in time Sales reps gain back 4 Efficiency 20 minutes to 60 seconds Customer ROI spent researching hours of p
Slide 16: Customer Case Study - Dumpsters.com
Q3 EARNINGS CALL > CASE STUDIES Customer Case Study - Dumpsters.com Industry Business Services Segment Mid-Market The Results Location Cleveland, Ohio Over 5,000 meetings booked, and more than 1,000 opportunities created The Solution The Marketing team uses a third party vendor to identify The Dumps
Slide 17: Customer Case Study - CreditXpert
Q3 EARNINGS CALL > CASE STUDIES Customer Case Study - CreditXpert Industry Software Segment Small The Results Location Baltimore, Maryland An average click through rate nearly 50% higher than their typical programmatic channels The Challenge “We pull our enhanced lists from SalesOS into CreditXpert
Slide 18: Q3 2023 Financial Results
Q3 2023 Financial Results
Slide 19: Financial Results Overview
Q3 EARNINGS CALL > FINANCIAL RESULTS Financial Results Overview >35,000 Paying Customers1 Financial Results “In a more challenging operating environment, our team is executing well and delivered Q3 financial results that exceeded 1,869 Customers with > $100k in ACV1 guidance,” said Henry Schuck, Zoo
Slide 20: Q3 2023 Financial Summary (Unaudited)
Q3 EARNINGS CALL > FINANCIAL RESULTS Q3 2023 Financial Summary (Unaudited) GAAP Non-GAAP(1) Quarterly Change Quarterly Change ($M, except per share amounts and percent figures) Results YoY Results YoY Revenue $313.8 9% Adjusted Operating Operating Income $63.1 22% $126.2 7% Income Adjusted Operating
Slide 21: GAAP Revenue Growth ($M)
Q3 EARNINGS CALL > FINANCIAL RESULTS GAAP Revenue Growth ($M) 9% $287.6 $313.8 Q3 2023 9% GAAP Revenue Growth Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 GAAP Revenue 21
Slide 22: Adjusted Operating Income ($M) and Margin
Q3 EARNINGS CALL > FINANCIAL RESULTS Adjusted Operating Income ($M) and Margin(1) 7% Q3 2023 $126.2 $118.4 40% Adjusted Operating Income Margin(1) 41% 40% 7% YoY Growth in Adjusted Operating Income(1) Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Adjusted Operating Income (
Slide 23: Unlevered Free Cash Flow ($M) and uFCF Conversion
Q3 EARNINGS CALL > FINANCIAL RESULTS Unlevered Free Cash Flow (uFCF) ($M) and uFCF Conversion(1)(2) (5)% Q3 2023 75% $99.8 Unlevered free cash flow $94.8 conversion(1)(2) 84% 75% 30% Unlevered Free Cash Flow Margin(1) Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Unlevered
Slide 24: Share Repurchase
Q3 EARNINGS CALL > FINANCIAL RESULTS Share Repurchase • On March 14, 2023 the company announced that its board of directors authorized a $100 million share repurchase program and on July 31, 2023 the company announced that its board of directors authorized an additional $500 million share repurchase
Slide 25: Balance Sheet Highlights and Net Leverage
Q3 EARNINGS CALL > FINANCIAL RESULTS Balance Sheet Highlights and Net Leverage As of As of ($M, except Leverage Ratios) December 31, 2022 September 30, 2023 Total contractual maturity of outstanding indebtedness $1,250.0 $1,245.5 Cash, cash equivalents, restricted cash, and short-term $551.8 $577.8
Slide 26: Tax Receivable Agreement
Q3 EARNINGS CALL > FINANCIAL RESULTS Tax Receivable Agreement In connection with our IPO, we entered into two Tax Receivable Agreements with certain former unit holders of DiscoverOrg Holdings LLC (the “TRA Holders”). The conversion of these pre- IPO units to common stock, as well as certain restruc
Slide 27: Guidance (as of October 30, 2023)
Q3 EARNINGS CALL > FINANCIAL RESULTS Guidance (as of October 30, 2023)(1) FY 2023 FY 2023 Q4 2023 (as of 7/31/2023) (as of 10/30/2023) GAAP Revenue $309 - $312 million $1.225 - $1.235 billion $1.232 - $1.235 billion Adjusted Operating Income(1) $122 - $124 million $493 - $498 million $494 - $496 mil
Slide 28: Non-GAAP Reconciliations
Non-GAAP Reconciliations
Slide 29: Non-GAAP Financial Measures
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Non-GAAP Financial Measures To supplement our consolidated financial statements presented in accordance with GAAP, this presentation contains non-GAAP financial measures, including Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted Ne
Slide 30: Non-GAAP Financial Measures
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Non-GAAP Financial Measures We define Unlevered Free Cash Flow as net cash provided from operating activities less (i) purchases of property and equipment and other assets, plus (ii) cash interest expense, (iii) cash payments related to restructuring an
Slide 31: Reconciliation from GAAP Net Income to Adjusted Operating Income
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Adjusted Operating Income ($M except percent figures) Q3 2022 Q3 2023 Net income $17.9 $30.2 Add: Expense from income taxes 32.1 29.0 Add: Interest expense, net 11.6 11.9 Add: Loss on debt modification and e
Slide 32: Reconciliation from GAAP Net Income to Cash EBITDA
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Cash EBITDA ($M) Trailing Twelve Months as of September 30, 2022 Trailing Twelve Months as of September 30, 2023 Net income $185.1 $136.0 Add (less): Expense (benefit) from income taxes (39.7) 145.2 Add: Int
Slide 33: Reconciliation of Non-GAAP Leverage Ratios
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation of Non-GAAP Leverage Ratios As of As of ($M, except Leverage Ratios) December 31, 2022 September 30, 2023 Total Net Leverage Ratio (Adjusted EBITDA) Total contractual maturity of outstanding indebtedness $1,250.0 $1,245.5 Less: Cash and c
Slide 34: Reconciliation from GAAP Operating Cash Flow to Unlevered Free Cash Flow
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Operating Cash Flow to Unlevered Free Cash Flow ($M except percent figures) Q3 2022 Q3 2023 Cash flow from operating activities $85.7 $80.8 Purchases of property and equipment and other assets (7.7) (5.0) Interest paid in cash 1
Slide 35: Reconciliation to Adjusted Net Income Per Share
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income Per Share Amortization of Acquired Tax Impacts of Three months ended September 30, 2023 Equity-based Intangibles and Fair Value Transaction Related GAAP Margin% Adjustments from Adjustmen
Slide 36: Reconciliation to Adjusted Net Income Per Share
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income Per Share Amortization of Acquired Tax Impacts of Nine months ended September 30, 2023 Equity-based Intangibles and Fair Value Transaction Related GAAP Margin% Adjustments from Adjustment
Slide 37: Reconciliation to Adjusted Net Income Per Share
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income Per Share Amortization of Acquired Tax Impacts of Three months ended September 30, 2022 Equity-based Intangibles and Fair Value Transaction Related GAAP Margin% Adjustments from Adjustmen
Slide 38: Reconciliation to Adjusted Net Income Per Share
Q3 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income Per Share Amortization of Acquired Tax Impacts of Nine months ended September 30, 2022 Equity-based Intangibles and Fair Value Transaction Related GAAP Margin% Adjustments from Adjustment