Vivid Seats Inc. · NASDAQ:SEAT
Vivid Seats — Investor Presentation (November 2023)
24 slides from Vivid Seats's investor presentation, November 2023
Slide 1: Investor Presentation November 2023
Investor Presentation November 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 ticket marketplace
Vivid Seats is a data-driven online 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 140M+ 19M+ 250K+ Cumulative Tickets Sold1 Cumulative Customers1 Unique Events Sold (2022) $3.8B $695M $139M FY 2023 Guidance2 FY 2023 Guidance2 FY 2023 Guidance2 Marketplace GOV3 Revenue Adjusted EBITDA4 $4.4B $825M $175M FY 2024 Guidance2 FY 2024 Guidance2 FY 2
Slide 5: Investment Highlights
Investment Highlights Our Mission: To empower and enable fans to Experience It Live Two-Sided Large and Profitable Marketplace Expanding TAM Growth Fueled by Two-Sided Large and Proprietary Marketplace with Expanding TAM Customer Unique Technology with Sustained Acquisition and Platform and Data Sec
Slide 6: Marketplace Tech Platform Serving Holistic Ecosystem
Two-Sided Marketplace Large and Expanding TAM Profitable Growth Marketplace Tech Platform Serving Holistic Ecosystem Skybox Engagement Engine Vivid Seats Marketplaces Sellers Fans Search Marketing Available via app, Free-to-use ERP system Technology desktop and web with direct integrations across al
Slide 7: Leading Seller Technology Through Skybox
Two-Sided Marketplace Large and Expanding 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 tools
Slide 8: Differentiated Buyer Experience
Two-Sided Marketplace Large and Expanding TAM Profitable Growth Differentiated Buyer Experience Personalized Diverse Compelling Reliable Easy Discovery Choices Value Offerings Purchase Easily find events, Tickets for every fan. The ONLY Checkout with full peace of Conveniently check the venues, and
Slide 9: Flywheel Creates Network Effects
Two-Sided Marketplace Large and Expanding 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 Expanding 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 Seat
Slide 11: Attracting and Retaining Buyers
Two-Sided Marketplace Large and Expanding 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
Slide 12: $57 Billion Global TAM
$57 Billion Global TAM $40B International Ticketing TAM1 $17B North American TAM2 1. Company estimate 2. Comprised of $11B 2024 North America Secondary Ticketing TAM (from Infiniti Research (Technavio) Secondary Tickets Market in North America 2023-2027 report dated March 2023, excluding sales relat
Slide 13: Broad and Evergreen Portfolio of Events
Two-Sided Marketplace Large and Expanding 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 140 million+ Cumulative Tickets Sold2
Slide 14: Vegas.com – Leading Provider in Entertainment Capital of U.S.
Two-Sided Marketplace Large and Expanding TAM Profitable Growth Vegas.com – Leading Provider in Entertainment Capital of U.S. $240M Transaction Value Funded with 63% cash and 37% equity1 Strategic asset in coveted market Enhanced Nationwide Brand Awareness • Two-sided marketplace with local market a
Slide 15: Strategic and Financial Enhancement Through M&A
Two-Sided Marketplace Large and Expanding TAM Profitable Growth Strategic and Financial Enhancement Through M&A Utilized our balance sheet and robust cash flow to acquire two strategic assets that enhance scale, increase TAM and expand capabilities in a financially accretive manner VEGAS.COM WAVEDAS
Slide 16: Vivid Seats Financial Highlights
Two-Sided Marketplace Large and Expanding TAM Profitable Growth Vivid Seats Financial Highlights Connecting millions of buyers with thousands of sellers • Greater than 30% growth in 2022 followed by greater than 20% growth in 20231,2 Growth at Scale • 19% 2024 revenue growth – high-single digit grow
Slide 17: Continued Robust GOV and Revenue Growth
Continued Robust GOV and Revenue Growth (in thousands) Marketplace GOV1 Revenues $998,933 $188,133 $953,739 $164,990 $165,380 $161,063 $845,965 $855,528 $156,818 $814,817 $147,694 $781,834 $742,138 $130,772 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 20
Slide 18: 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 our website or mobile apps. Vivid Seats • 18 2. 2020 omitted due t
Slide 19: 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 $33,367 $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%
Slide 20: Relentless Focus on Profitable Growth
Relentless Focus on Profitable Growth • Grow user base • Drive accretive repeat rates lume De Vo • Profitable customer acquisition e ep s through Vegas.com en ea Incr Enga • Enhance event discovery gemen • Increase frequency and nature of user interactions • Accelerate loyalty flywheel t • Additiona
Slide 21: Efficient Capital Structure Providing Strategic Flexibility
Efficient Capital Structure Providing Strategic Flexibility1 60-70% Adj. EBITDA to Cash Conversion2 Strategic Flexibility $117M $274M3 Sizable <1.0x Low Debt Cash Balance Balance Net Leverage4 (1) Reflects 9/30/23 balance sheet less $151.2M cash to acquire 212M5 Vegas.com (63% cash/37% equity) based
Slide 22: Thank You
Thank You Vivid Seats •
Slide 23: Appendix
Appendix vividseats
Slide 24: 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 Q3 2023 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Net income/ Net income margin $3,138 $24,060 $18,747 $24,834 $30,272 $38,326 $16,018 2.4% 16.3% 12.0% 15.