Vivid Seats Inc. · NASDAQ:SEAT
Vivid Seats — Investor Presentation (August 2023)
22 slides from Vivid Seats's investor presentation, August 2023
Slide 1: Investor Presentation August 2023
Investor Presentation August 2023 (Nasdaq: SEAT)
Slide 2: Important Disclaimers
Important Disclaimers Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. The forward-looking statements in this presentation relate to, without limitation:
Slide 3: Vivid Seats is a data-driven online secondary ticket marketplace
Vivid Seats is a data-driven online secondary ticket marketplace for live events including sports, concerts and theater Experience It Live Vivid Seats • 3
Slide 4: Scaled, Growing and Highly Profitable
Scaled, Growing and Highly Profitable 130M+ 18M+ 250K+ Cumulative Tickets Sold1 Cumulative Customers1 Unique Events Sold (2022) $3.5B $640M $130M FY 2023 Guidance2 FY 2023 Guidance2 FY 2023 Guidance2 Marketplace GOV3 Revenue Adjusted EBITDA4 $954M $165M $31M Q2 2023 Q2 2023 Q2 2023 Marketplace GOV3
Slide 5: Investment Highlights
Investment Highlights Our Mission: To empower and enable fans to Experience It Live Two-Sided Large and Profitable Marketplace Growing TAM Growth Fueled by Two-Sided Large TAM with Proprietary Marketplace with Sustained Secular Customer Unique Technology Growth Acquisition and Platform and Data Enga
Slide 6: Marketplace Tech Platform Serving Holistic Ecosystem
Two-Sided Marketplace Large and Growing TAM Profitable Growth Marketplace Tech Platform Serving Holistic Ecosystem Skybox Engagement Engine Vivid Seats Marketplace Sellers Fans Search Marketing Available via app, Free-to-use ERP system Technology desktop and web with direct integrations across all m
Slide 7: Leading Seller Technology Through Skybox
Two-Sided Marketplace Large and Growing TAM Profitable Growth Leading Seller Technology Through Skybox The Go-To Solution for Professional Sellers 1 50%+ Cloud-based ERP solution adopted by large share of seller base Rich feature set across key seller activities Native integrations & listing toolset
Slide 8: Differentiated Buyer Experience
Two-Sided Marketplace Large and Growing TAM Profitable Growth Differentiated Buyer Experience Personalized Discovery Diverse Choices Compelling Value Reliable Offerings Easy Purchase Vivid Seats • 8
Slide 9: Flywheel Creates Network Effects
Two-Sided Marketplace Large and Growing TAM Profitable Growth Flywheel Creates Network Effects More Buyers rs De ne m t an ar More P d En g Sellers a g e m e nt olo g y c h n rc h Marketplace E n gi n e a g d Se Mo Te t in c e re ha n S up n E ke p ly r & D at Ma a Vivid Seats• • 9
Slide 10: Unique Engagement Engine
Two-Sided Marketplace Large and Growing TAM Profitable Growth Unique Engagement Engine Loyalty Program Gamified Engagement + Ticketing + Daily Fantasy Sports + Gamification Integrated Experience Collect ‘stamps’ on every purchase Available within 1 Get rewarded after receiving 10 stamps Vivid Seats
Slide 11: Attracting and Retaining Buyers
Two-Sided Marketplace Large and Growing TAM Profitable Growth Attracting and Retaining Buyers Attract sports and entertainment Engage users across our ecosystem enthusiasts across targeted touchpoints Social Events Web Retain fans with industry-leading Connect and personalize their loyalty program r
Slide 12: Key Player in Large and Growing Secondary Ticketing Market
Two-Sided Marketplace Large and Growing TAM Profitable Growth Key Player in Large and Growing Secondary Ticketing Market North America Secondary Ticketing TAM1 Daily Fantasy 12.5% 2022 – 2027 TAM CAGR International $16B $3.2B $10B $14B Adjacent 2022 GOV 2023 TAM Marketplaces $13B North America $11B
Slide 13: Broad and Evergreen Portfolio of Events
Two-Sided Marketplace Large and Growing TAM Profitable Growth Broad and Evergreen Portfolio of Events Concerts Sports Theater (49% of 2022 Marketplace Revenues) (38% of 2022 Marketplace Revenues) (12% of 2022 Marketplace Revenues) 250,000+ Unique Events Sold1 130 million+ Cumulative Tickets Sold2 1.
Slide 14: Vivid Seats Financial Highlights
Two-Sided Marketplace Large and Growing TAM Profitable Growth Vivid Seats Financial Highlights Connecting millions of buyers with thousands of sellers • $3.5B of 2023 Marketplace GOV (double digit growth YoY)1 Growth at Scale • $130M of 2023 Adjusted EBITDA (double digit growth YoY)1, 2 Established
Slide 15: Robust GOV and Revenue Growth
Robust GOV and Revenue Growth (in thousands) Marketplace GOV1 Revenues $953,739 $164,990 $165,380 $161,063 $156,818 $855,528 $845,965 $147,694 $814,817 $781,834 $130,772 $742,138 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 1. Marketplace GOV repres
Slide 16: Engagement Engine Investment Delivering Powerful Results
Engagement Engine Investment Delivering Powerful Results Order Mix from Repeat Buyers1,2 56% 51% 50% 47% FY2018 FY2019 FY2021 FY2022 1. Represents orders from repeat buyers vs. total orders (from both repeat and new buyers) placed on Vivid Seats' website or mobile apps. Vivid Seats • 16 2. 2020 omit
Slide 17: Significant Profitability and Cash Flow Generation
Significant Profitability and Cash Flow Generation (in thousands) GAAP Net Income1 Adjusted EBITDA2 $42,435 $45,000 40% $45,000 40% $40,000 $38,326 35% $40,000 35% $35,000 $35,000 $33,700 $31,077 30% 30% $30,272 $30,329 26% $30,000 $30,000 $28,284 25% 25% $24,060 $24,834 $25,000 $25,000 21% 20% 23%
Slide 18: Relentless Focus on Profitable Growth
Relentless Focus on Profitable Growth • Grow user base • Drive accretive repeat rates lume De Vo • Add partnerships e ep s en ea Incr Enga • Enhance event discovery gemen • Increase frequency and nature of user interactions • Accelerate loyalty flywheel t • Additional SkyBox capabilities xp E • Free
Slide 19: Efficient Capital Structure Providing Strategic Flexibility
Efficient Capital Structure Providing Strategic Flexibility1 Sizable Cash Balance $306M • Robust cash conversion; generated $83M cash from operations in 1H Strategic • Cash balance exceeding debt balance1 by $35M Flexibility • The upcoming acquisition of Wavedash for approx. $61M cash3, the Addition
Slide 20: Thank You
Thank You Vivid Seats •
Slide 21: Appendix
Appendix vividseats
Slide 22: Non-GAAP Reconciliations
Non-GAAP Reconciliations (in thousands except for percentages) 2022 2023 2022 2023 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Net income / Net income margin $3,138 $24,060 $18,747 $24,834 $30,272 $38,326 2.4% 16.3% 12.0% 15.1% 18.8% 23.2% Income t