27 slides from Cardlytics, Inc. Common Stock's earnings presentation, Nov 2, 2021
Slide 1: Cardlytics Q3 2021 Earnings Presentation
CARDLYTICS Q3 2021 Earnings Presentation November 2, 2021
Slide 2: Disclaimer
Disclaimer This presentation includes forward-looking statements. All statements contained in this presentation other than statements of historical facts, including statements regarding expectations about future financial performance or results of Cardlytics, Inc. (“Cardlytics,” “we,” “us,” or “our)
Slide 3: Company overview
01 Company overview
Slide 4: We power a native ad platform in our partners' digital channels
We power a native ad platform in our partners’ digital channels. © 2021 Cardlytics 4
Slide 5: Scaled solution based on purchase intelligence
Cardlytics provides a scaled solution based on 170M+ Monthly Active Users(1) purchase intelligence $3.5T+ Distinctive benefits for marketers + Reach valuable banking customers + Operate in a brand-safe, privacy-protected, in Annual Spend(2) trusted digital channel + Market to the most valuable custo
Slide 6: Five strategic initiatives to create shareholder value
Cardlytics is focused on five strategic initiatives to create shareholder value Drive long-term growth & operating leverage + Continued expansion of MAUs and advertising budgets while realizing the value of our operating investments Self-service portal + Provide a solution for SMBs and agencies Groc
Slide 7: Dosh overview
Dosh Innovative platform + Dosh’s technology complements Cardlytics’ product and technology roadmap overview + Modern, efficient platform that can quickly integrate with neo-banks, fintechs, smaller banks, and consumer-facing organizations Founded: 2016 | HQ: Austin, TX Partnerships with + Dosh brin
Slide 8: Bridg overview
Bridg Product-level Insights that differentiate from + + Access to SKU and UPC data through its client relationships Connects to all of a merchant’s customers point-of-sale through overview proprietary technology CDP peers + Capable of connecting to most point of sale systems in the U.S. + Ability t
Slide 9: Financial information & operating metrics
02 Financial information & operating metrics
Slide 10: Trended consolidated results
Trended consolidated results Revenue Adj. Contribution(1) Billings(1) Q3 Billings 58.5% y/y $100.9 $98.4 $94.0 $82.8 $85.3 $73.8 $76.3 Q3 Revenue $69.3 41.0% y/y $67.8 $67.1 $65.0 $62.1 $58.6 $56.4 $58.9 $53.2 $48.7 $45.5 $46.1 $39.5 $36.0 $28.2 Q3 Adj. $31.0 $29.7 $29.6 $31.6 Contribution $24.7 $24
Slide 11: Billings and adjusted contribution best reflect performance
Billings and adjusted contribution best reflect performance Billings Consumer incentive Enhanced consumer GAAP revenue Partner share Adjusted Total in aggregate Set by CDLX to achieve incentive Recognized as Revenue; Portion of Revenue contribution paid by marketers marketing objectives; Additional
Slide 12: Q3 2021 year-over-year consolidated results
Q3 2021 year-over-year consolidated results Three Months Ended September 30 Change 2020 2021 $ % Billings(1) $62,093 $98,448 $36,355 58.5% $33,464 Consumer Incentives 16,014 33,464 17,450 109.0% 58.5% Revenue $46,079 $64,984 $18,905 41.0% BILLINGS Consumer Adjusted Partner Share and other third-part
Slide 13: Cardlytics platform advertiser spend by industry
Cardlytics platform advertiser spend by industry % Change % of Total Advertiser Spend Three Months Ended Three Months Ended September 30, 2021 September 30, Industry vs 2020 vs 2019 2019 2020 2021 Grocery & Gas > 45% > 75% < 10% > 10% > 10% Restaurant > 40% > 20% > 25% > 30% < 30% Retail > 105% > 0%
Slide 14: Cardlytics platform engagement metrics
Cardlytics platform Offer Activation Rates by Industry Q3 2020 Q3 2021 engagement metrics(1) 7.30% 6.51% 5.25% 3.57% 3.66% 3.28% 2.83% 2.82% There may be variation in future quarters due to factors such as 2.65% 2.73% 2.73% 2.76% 2.12% 1.97% 1.96% 2.10% global economic events, bank launches, new adv
Slide 15: Significant MAU increase precedes expected billings growth and ARPU expansion
Significant MAU increase precedes opportunity for expected billings growth and future ARPU expansion for the Cardlytics platform MAUs(1) ARPU(1) $0.52 168.5 170.6 163.6 167.6 161.6 157.2 $0.44 $0.40 140.8 $0.41 133.4 128.3 $0.33 120.1 $0.36 $0.32 $0.34 108.5 $0.32 $0.29 $0.18 Q1 19 Q2 19 Q3 19 Q4 19
Slide 16: Appendix
03 Appendix
Slide 17: Q3 2021 results
Q3 2021 results Nine Months Ended Three Months Ended Change Change September 30, September 30, 2021 2020 AMT % 2021 2020 AMT % Revenue $64,984 $46,079 $18,905 41.0% $177,067 $119,810 $57,257 47.8% Billings(1) 98,448 62,093 36,355 58.5% 260,102 169,390 90,712 53.6% Gross Profit 24,504 14,610 9,894 67
Slide 18: Guidance
Guidance Q4 2021 Guidance FY 2021 Guidance Billings(1) $105.0 - $120.0 $365.1 - $380.1 Revenue $70.0 - $80.0 $247.1 - $257.1 Adjusted Contribution(1) $33.0 - $38.0 $118.6 - $123.6
Slide 19: Reconciliation of GAAP revenue to billings
Reconciliation of GAAP revenue to billings Three Months Ended Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 Cardlytics Platform Revenue $35,988 $48,730 $56,419 $69,293 $45,509 $28,222 $46,079 $67,082
Slide 20: Reconciliation of GAAP gross profit to adjusted contribution
Reconciliation of GAAP gross profit to adjusted contribution Three Months Ended Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Cardlytics Platform 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 Revenue $35,988 $48,730 $56,419 $69,293 $45,509 $28,22
Slide 21: Reconciliation of GAAP partner share and other third-party costs
Reconciliation of GAAP partner share and other third-party costs to adjusted partner share and other third-party costs Three Months Ended Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 Cardlytics Platf
Slide 22: Reconciliation of GAAP net (loss) income to adjusted EBITDA
Reconciliation of GAAP net (loss) income to adjusted EBITDA Three Months Ended Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Cardlytics Platform 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 Net (loss) income ($6,314) ($6,510) ($7,747) $3,427 ($1
Slide 23: Reconciliation of GAAP net loss to non-GAAP net loss per share
Reconciliation of GAAP net loss to non-GAAP net loss and non-GAAP net loss per share Three Months Ended Nine Months Ended September 30, September 30, 2021 2020 2021 2020 Net loss ($44,529) ($15,356) ($116,730) ($48,645) Plus: Stock-based compensation expense 16,830 11,578 37,415 24,811 Foreign curre
Slide 24: Reconciliation of forecasted GAAP revenue to billings
Reconciliation of forecasted GAAP revenue to billings Q4 2021 Guidance FY 2021 Guidance Revenue $70.0 - $80.0 $247.1 - $257.1 Plus: Consumer Incentives $35.0 - $40.0 $118.0 - $123.0 Billings $105.0 - $120.0 $365.1 - $380.1
Slide 25: Definitions
Definitions Adjusted contribution: We define adjusted contribution measures of the degree by which revenue generated from our marketers exceeds the cost to obtain the purchase data and the digital advertising space from our partners. Adjusted contribution demonstrates how incremental marketing spend
Slide 26: Industry and account definitions
Industry and account definitions Segment Segment Constituents Agency Accounts Merchants on the Cardlytics platform in which we interact with an advertising agency that we believe holds significant influence over the decision-making process as it relates to the design and management of advertising ca
Slide 27: fa] cardlytics
fa] cardlytics