Slide 1: Cazoo Investor Presentation May 2021
CAZOO Search. Drive. Smile. Investor Presentation May 2021
Slide 2: Disclaimer
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Slide 3: Disclaimer
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Slide 4: Our mission
Slide 5: Key investment highlights
Key investment highlights c.£500bn market across the UK & EU ripe for digital disruption Unique proposition and brand with market-leading execution Proprietary data and technology underpin growth & profitability Fully integrated model in the UK, with in-house reconditioning and logistics Compelling
Slide 6: Our progress so far
Our progress so far & Vehicles sold 25,000+ Vehicles available c.3,000 ay {ro Run-Rate Revenues £550m+ & Employees 2,000+ & EN) Subscribers 6,500+ Strategic Deals 10+
Slide 7: Transaction summary
Transaction summary Key Transaction Highlights Implied Sources & Uses Heaeline Velvetiony Sources [$m] Uses ($m] $7,000m 1.3x / 12.7x sisting Saroholdos Rollover Eauily 6245 Get Shorahoders Rover Eauiy 6246 Pro Forma Enterprise Value 23E Revenue / GP Multiple Cosh Tut 805. priary Proceeds a $7,940m
Slide 8: CAZOO vertorPrerentaton Nay 2021,
CAZOO vertorPrerentaton Nay 2021,
Slide 9: US peers highlight scale of opportunity
US peers highlight scale of opportunity Cazoo growth well ahead of Carvana at same period since inception 10,000 : J J 0 _i | J a 2 @3 Qa Qs Oem cAzoo Quarters Since Inception Units Sold CAZOO Qewwwn Vroom Last Quarter Before Listing) Cazoo expects to exceed Carvana IPO sales levels in Y2 UK-only de
Slide 10: Cazoo has created the most comprehensive market offering
Cazoo has created the most comprehensive market offering CAZOO @crrvana vroom cinch @avronsro Incumbents Brand leadership Online only retail In-house refurb/logistics Fully digital finance Market leading NPS National coverage Delivery & collection Post-sales servicing Subscription offering KR SSK SK
Slide 11: The UK & Europe have many advantages over the US
The UK & Europe have many advantages over the US Online Ee = 2.0x e-commerce penetration / penetration: 18 adoption in the UK vs US"? oF "AN 2019 2019 af + 5x car purchase turnover / fucseeoesn ral fod frequency in the UK vs US?) ‘ownership: ££. 75x population density in the UK and 3.5x in Reetbe Bb
Slide 12: Huge market opportunity.
Huge market opportunity. Used cars is the largest retail market with a total size of ~£500bn across the UK & EU!!! £480bn+ £380bn+ £480bn+ ~£310bn ~£150bn ~£110bn £100bn+ — || = Furniture Cosmetics & Consumer uK eu TAM Electronics. Clothing Toiletries Used Cars @ = i Source: gus, COPA Fabia, Faconau
Slide 13: Ripe for digital disruption
..ipe for digital disruption Digital is ~2% of transactions vs. 15%+ in other sectors!") 52% Huge Growth 52% Potential 22% 16% L] mas == Consumer Clothing Furniture Homewares Used Cars Electronics ao kos & (2) 0086 estimate of ux online ponetaton [etinod as wher ful payment tokanon phone or ali) 202
Slide 14: COVID has accelerated shift from offline to online
COVID has accelerated shift from offline to online Shift to online + 64% of consumers would now buy used cars online (36% pre-COVID]* + Shift to online will continue and be permanent given poor legacy experience + Increased consumer discovery of new ‘and better way of transacting ‘Source: CorGures U
Slide 15: CAEZOO rverrorProrentaton ay 2021,
CAEZOO rverrorProrentaton ay 2021, 16
Slide 16: Delivering the best-in-class proposition & customer experience
Delivering the best-in-class proposition & customer experience Better selection, value, quality, flexibility & convenience for consumers looking for their next car ° = Fully integrated proposition Thousands of cars purchased using proprictary data and algorithms andl reconditioned/stored centrally a
Slide 17: Data & technology at the heart of the business
Data & technology at the heart of the business Buying Demand-led retail back algorithmic buying model provides unique inventory advantage over incumbents 6S Operations In-house refurb capabilities, logistics network and data-driven team, tools and infrastructure to optimise operations Selling Propri
Slide 18: Very strong brand identity with 69% national UK brand awareness already
Very strong brand identity with 69% national UK brand awareness" already CAZOO tovesior resentation tay 2024 18
Slide 19: Hard to replicate vertically integrated infrastructure
Hard to replicate vertically integrated infrastructure Customer Centres 17 open 25+ future Collection, Distribution, Storage, Servicing, Brand & Engagement Refurbishment Capacity 5 locations 200k+ cars per annum [¢.£2.5bn estimated revenue from UK alone} Best-in-class operations & UK-wide infrastruc
Slide 20: Set up for scale with market-leading operations & logistics
Set up for scale with market-leading operations & logistics CcAZOO 20
Slide 21: Building trust with our leading online car buying experience
Building trust with our leading online car buying experience * Trustpilot Cazoo Reviews 4,624 Excellent Eo. NPS Score Repeat Intent c.80 88% Would recommend to friends & family 98% ure; G1 0k 2001 Srey, Trust ‘Amazing service | don remember the ast ine recommended a company o¢ band t anyone! “The ex
Slide 22: A world-class team with an unrivalled track record
Aworld-class team with an unrivalled track record Led by one of Europe's most successful serial founders & entrepreneurs ae Jonathan Howell, Group Chiet Technology Officer Darren Bentley, Piers Stabbs, Group Chit Group Chiet customer Officer Dave officer 2, Alex Chesterman OBE, Founder 8 CEO Ib Nico
Slide 23: The clear UK leader set for European expansion
The clear UK leader set for European expansion a“ Record setting growth * £550m run-rate revenue after 14 months"! * Revenue continues to grow month-on-month wy, World-class team * One of UK's strongest & most proven senior management teams + Team of 2,000+ mission-driven professionals with exceptio
Slide 24: Building a strong foundation in the UK and Europe
Building a strong foundation in the UK and Europe Overview TAM Expansion >£310bn TAM £480bn+ 1''5 target countries Market Opportunity ~£170bn £480bn+ £20bn+ £2bn £35bn+ £75bn+ [<1% Market share} EU revenue by 2024 £80bn+ £100bn+ >3% Market share at seale UK France Germany Italy “Spain. Other EUTAM G
Slide 25: Executing game-changing M&A
Executing game-changing M&A “DRoveR @mat cLuno In Jul-20, Cazoo Acquisition of Drover inJan- _In Feb-21, Cazoo acquired SFS, Cazoo acquired Cluno in completed the acquisition 21, a leading car subscription ‘one of the UK's leading Feb-21, one of Europe's leading of Imperial Cars platform in UK and F
Slide 26: Subscription provides opportunity to increase TAM & margins
And subscription provides opportunity to increase TAM & margins Already a leading European car subscription player with 6.5k+ subscribers across UK, France and Germany Single monthly payments Flexible & convenient All inclusive BE «Available on new cars + Fully digital process Sbustaddituel + Collec
Slide 27: High confidence in continuously improving metrics
High confidence in continuously improving metrics x oft OV < a ; a Growing Revenues Increasing GPU" Decreasing CAC * Increasing market penetration/share + More purchasing direct from consumer + Greater online adoption * Additional ancillary product sales * Greater refurbishment efficiencies + Growin
Slide 28: CAEZOO rvertorProrentaton tay 2021,
CAEZOO rvertorProrentaton tay 2021, 28
Slide 29: Financial highlights
Financial highlights Vehicles Sold") ey 25,000+ Run-Rate Revenuc?) ————I aoe oo 52% eee Bost Cash Position c.£700m tt change (Total vehicles sod since incaion a Dae 39, 8 of May 2. [2 Run rateravanu a of Mar 2. (2) 0€2020 12 29
Slide 30: Strong order growth drives attractive financial profile
Strong order growth drives attractive financial profile Fra124 Revenues by channel [£m] SAGR 103% 103% 3,957 ae 698 12 a | 20200 2021 20228 20238 20088 [Ml vets) wholesale other? Retail units sold" by geography (000s) Revenues by geography (£m) ryai28 cage 5.883 = 3,957 i 072 23 216 15 mee 162 2h Ti
Slide 31: Robust unit economics drive operational leverage
Robust unit economics drive operational leverage Gross Profit (Em] Adjusted EBITDA margin (%] Margin Total | (2%) o% 8x 10% 33% rae europe [ASI ESN EE % 8% hae uk | 28) 6% 9% 12% 18% ae tx eya.24 cacr (7) 157% J / ca (2081 / 7 401 ca) Pr 159 4 (3) 44 me 5 / (sox) / 20208 20zie©—« 22 «== 2ORsE «22M 2
Slide 32: Clear pathway to significant revenue growth and strong profitability
Clear pathway to significant revenue growth and strong profitability Dee YE financials (£m) 20208 Revenue 362 Yor ova Gross profit 6 Gross Margin (2%) SCBA as % of revenue (59%) Distribution (ax) Marketing (22%) Overhead (26%) ‘Operating profit co) Operating Margin (61%) ‘Adjusted EBITDA (en Adjuste
Slide 33: Robust operational and financial KPI performance
Robust operational and financial KPI performance Deo YE KPIs 20208 20216 20226 20236 20246 Units sold (ld) 14,981 57,986 172,587 311,977 445,414 Retail 12,097 43,442 127,829 234,214 324,347 Wholesale 2.884 14544 44,728 77,763 121,067 Total Gute)” (238) 1,024 1,245, 470 2299 By Segment Retail" (229)
Slide 34: Strong start to Q1, high confidence in 2021 delivery
Strong start to Q1, high confidence in 2021 delivery Quarterly results (unaudited) (in £ millions, exespe ber uneatal 912020 12021 % Change 20216 Guidance Units sold (kK) 2 10 373% 43 Retail 2 8 362% Wholesale 0 2 423% Total revenues 20 4 481% 698 Retail 18 7 431% Wholesale FT 6 418% Other 0 uu NM T
Slide 35: Key investment highlights
Key investment highlights c.£500bn market across the UK & EU ripe for digital disruption Unique proposition and brand with market-leading execution Proprietary data and technology underpin growth & profitability Fully integrated model in the UK, with in-house reconditioning and logistics Compelling
Slide 36: CAEZOO overtorPrerentaton tay 2021,
CAEZOO overtorPrerentaton tay 2021, 36
Slide 37: Cazoo projects best-in-class growth relative to comparable companies
Cazoo projects best-in-class growth relative to comparable companies 138% 35% 52% 24% 18% — — —— ee CcCAZO0O Ocarvana vroom High Growth Internet? Inventory Carrying E- Comm. 200 % 216-236 GP CAGR 72% chs 27% 18% — [el — —— 53% 53% 20228 44% 44% 2023 GP Margin ax 10% 16% 16% ox 10% | | | = — CHEZOO v
Slide 38: Cazoo exhibits a truly differentiated financial profile
Cazoo exhibits a truly differentiated financial profile All North-America listed tech companies cAZOO 138% CAGR 21£-23E Sustainable high top-line growth 2 public companies CAZOO Opendoor sesv0wiixe Industry focus 1 public company €AZOO Opendoor 38 CAEZOO tworror Presentation may 2021
Slide 39: Cazoo's growth trajectory closely matches Carvana's proven profile
Cazoo's growth trajectory closely matches Carvana's proven profile Revenue Estimates [$m] $12,887 Ses $8,112 $5587 $5,456 o mo |= —_ = == 2018 20216 2019 20228 2020 20236 2021 20246 Gross Profit Estimates ($m) 92.018 $407 $1,028 $94 « $552 g7 sn a 2 = o- o |__| —_— = 2018 2021 2019 2022 2020 20236 2
Slide 40: Cazoo's valuation is attractive on a growth-adjusted basis
Cazoo's valuation is attractive on a growth-adjusted basis 4.0 x 19x High Growth Internet! Inv. Carrying €-Comm.* CAZ0O @carvana mm: vroom Pa“ 31.9x 22.1% 12.0x 17x Bx 2023E EV / Revenue 17x @| 0 Oil @ al 2023E Ev/GP 12.7% 15.1% 72x 87x wax = Deon aa. murepters Note these frward-loking pojctions ar
Slide 41: Near term penetration levels in UK imply $25bn+ in revenue potential
Near term penetration levels in UK achieved in TAM imply $25bn+ in revenue potential UK = EU = CAZOO ~£120bn ~£510bn ~3.0% ~3.0% ~£4bn ~£15bn Noto These forward coking projections are fo ilstatvepurpess ae shel not be reli upon as bring necsssaly Inca of futuro rsults. Sowres: Management sctimotes f
Slide 42: In a highly fragmented industry
«in a highly fragmented industry here are ~180k dealerships across the top 10 markets in Europe!”) & no dealer group has >5% market share!”) Tl TD 19 5.8 : . 7 i 38k e P| France Germany ~ @ _ -180k ceo transactions {m] estimated market share (7) 10 largest European markets ‘Source: Company anol repo
Slide 43: Financials split by region
Financials split by region Revenue - UK xe a Retail 150 872 Wholesale * ‘# Other 5 7 Revenue - Europe 2 5 Retail 2 E Wholesale - E other ‘ 18 Gross Profit -UK ey A Margin (2x) os Gross Profit Europe z a Margin . am. 1% 290 792 12% 42 4% 27 15% CAEZOO investor Presentation - May 2021 43
Slide 44: Overview of Ajax I
Overview of Ajax I ‘A Unique and Differentiated Tnv Dan Och Glenn Fuhrman Outperformed the S&P $17bn of firm by 6.7x over 25 years profits over 21 years Kevin Systorm Jim McKelvey Anne Wojcicki _Steve Ells. cofounder former CE Co-teunder Cooundet, CEO Founder, Former C&O O@rrstagran. Dsquare Xzzenam
Slide 45: Why we believe in the Cazoo opportunity
Why we believe in the Cazoo opportunity Why we believe in the story * Unique proposition and brand with market-leading execution * Clear leader & significant head start in Europe's most attractive market + World-class team led by one of Europe's most successful founders £ Why we believe Cazoo is a g
Slide 46: Build up of Cazoo financials
Build up of Cazoo financials 2020A (£m) a Sia Ree Loss for the year from continuing operations (98.9) Tax credit (1.0) Finance income (0.5) Finance expense 53 Adjustments Depreciationt! 59 Amortisation 13 Share based payment expense 3.8 Exceptional cost 69 2020 Adjusted EBITD: Adjusted EBITDA (81.2)