Remitly Global, Inc. · NASDAQ:RELY
Remitly Global — Q2 2023 Earnings Presentation
24 slides from Remitly Global's earnings presentation, Aug 2, 2023
Slide 1: Investor Presentation Second Quarter 2023 Earnings
Investor Presentation Second Quarter 2023 Earnings August 2, 2023 1 August 2023 / © 2023 Remitly Inc.
Slide 2: Disclosures: Forward-Looking Statements
Disclosures Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements. These statements include, but are not limit
Slide 3: 2Q Strategic Overview
2Q Strategic Overview Matt Oppenheimer Co-Founder & CEO 3 August 2023 / © 2023 Remitly Inc.
Slide 4: Strong execution provides opportunity to make key investments to drive long-term growth
Strong execution on strategic and financial goals provides opportunity to make key investments to drive long-term growth Investment Priorities Demonstrating Additional High Return Investment Success Opportunities ● Highly efficient new customer acquisition ● Current exceptionally strong unit economi
Slide 5: Strong 2Q results continue track record of execution
2Q23 Profitability ($19m) GAAP Net Loss 2Q23 Revenue Strong 2Q results continue $20m $234m Adjusted EBITDA* track record 49% Y/Y of execution *Adjusted EBITDA is a non-GAAP measure. Please see reconciliation of non-GAAP measures to the most comparable GAAP measures in the Appendix. 5 August 2023 / ©
Slide 6: Strong new customer acquisition and high retention
Strong new customer acquisition and high retention Quarterly Active Customers (thousands) Record new customer acquisition at compelling unit economics 1.6m increase 5,033 Customer behavior 4,559 continues to be resilient 4,188 3,818 +47% 3,419 YoY Investments in premium product and marketing driving
Slide 7: Delivering peace of mind drives efficient marketing and propels growth
Increased Integrated Word creative Campaigns of mouth velocity Delivering peace of mind Effective Brand localized CAC drives efficient awareness marketing Efficiencies at scale marketing and propels growth 7 August 2023 / © 2023 Remitly Inc.
Slide 8: Scaled and high quality global network delivers for our customers
Direct partnerships are increasing and becoming easier with scale Opportunity to integrate Scaled and high +170 with emerging instant payment networks quality global countries & territories Scale creating flywheel network for lower transaction and customer support costs delivers for while improving
Slide 9: Strong global growth and diversifying revenue mix
2Q 2022 v. 2Q 2023 Revenue Mix USA Canada Rest of World YoY Growth Strong global 120% $48m growth and $27m diversifying $22m 44% revenue mix $19m 36% $159m $117m 2Q 2022 2Q 2023 9 August 2023 / © 2023 Remitly Inc.
Slide 10: Building customer trust at scale
Building customer trust at scale Improving 4.9X Speed Consistent iOS App Store rating3 Reliability (~1.2M reviewers) >92% of customer Platform transactions Availability disbursed in 99.99%1 less than an 4.8X hour1,2 Android Google Play rating3 (~650k reviewers) 1. Remitly internal data for 2Q 2023.
Slide 11: Incredible opportunity to drive even more customer loyalty
Solving complementary problems to the remittance problem we’re already solving Incredible opportunity Highly Increased Long-term defensible to drive even customer value customer engagement competitive advantage more customer loyalty 11 August 2023 / © 2023 Remitly Inc.
Slide 12: Vision
Vision To transform the lives of immigrants and their families by providing the most trusted financial services on the planet. 12 August 2023 / © 2023 Remitly Inc.
Slide 13: 2Q Financial Results
2Q Financial Results Hemanth Munipalli CFO 13 August 2023 / © 2023 Remitly Inc.
Slide 14: 2Q — Continued strong execution
SCALE 5.0m $9.6b 47% growth in quarterly 38% growth in active customers send volume over 2Q 2022 over 2Q 2022 2Q — Continued $234m strong REVENUE 49% growth in revenue over 2Q 2022 execution PROFITABILITY ($19m) $20m GAAP Net Loss Adjusted EBITDA* *Adjusted EBITDA is a non-GAAP measure. Please see r
Slide 15: 2Q 2023 benefited from strong performance
2Q 2023 benefited from strong performance 2Q23 Year-over-Year Change Performance Drivers Macro Factors ● Strong active customer growth ● Relatively weaker USD vs Revenue Growth 49% ● Higher smaller dollar transaction intensity ● Geographic expansion diversifying revenue developing market currencies
Slide 16: Four key focus areas to drive sustainable, long-term returns
Four key focus areas to drive sustainable, long-term returns Strong Revenue Growth Drive Marketing Efficiency1 YoY % % of Growth 42% 40% 41% 50% 49% Revenue 26% 24% 21% 20% 21% Improve Transaction Expense Deliver Scale Efficiencies in Other Opex1 % of % of Revenue 39% 41% 38% 36% 34% Revenue 39% 37%
Slide 17: Raising 2023 Outlook
Key 2023 Assumptions ● Macro and FX environment stable to 2Q23 ● Moderating growth in operating expenses vs 2022 $915m-$925m ● Normalizing competitive Raising 2023E Revenue advertising market ● Opportunity to make 40% to 42% YoY growth 2023 Outlook high return investments for the long-term Strong re
Slide 18: Q&A
Q&A 18 August 2023 / © 2023 Remitly Inc.
Slide 19: Customer testimonial: Anna, Remitly user since 2022
“ Anna Remitly user since 2022 I was recommended Sends money from United States to Uganda to this app by my friend who loves it. It is fast and easy to use. 19 August 2023 / © 2023 Remitly Inc.
Slide 20: Appendix
Appendix 20 August 2023 / © 2023 Remitly Inc.
Slide 21: Non-GAAP Financial Measures
Non-GAAP Financial Measures Some of the financial information and data contained in this presentation, such as Adjusted EBITDA and non-GAAP operating expenses, have not been prepared in accordance with United States generally accepted accounting principles ("GAAP"). We regularly review our key busin
Slide 22: Non-GAAP Reconciliation
Non-GAAP Reconciliation Reconciliation of operating expenses to non-GAAP operating 2Q 2023 1Q 2023 4Q 2022 3Q 2022 2Q 2022 expenses (in thousands) Customer support and operations $21,483 $19,931 $19,239 $18,142 $16,855 Excluding: Stock-based compensation expense, net 419 205 220 226 277 Non-GAAP cus
Slide 23: Non-GAAP Reconciliation
Non-GAAP Reconciliation Reconciliation of net loss to Adjusted EBITDA (in thousands) 2Q 2023 1Q 2023 4Q 2022 3Q 2022 2Q 2022 Net loss ($18,850) ($28,314) ($19,395) ($33,069) ($38,245) Add: Interest (income) expense, net (776) (1,635) (1,947) (1,070) (107) (Benefit) provision for income taxes (143) 3
Slide 24: Thank you.
Thank you. August 2023 / © 2023 Remitly Inc.