Hour Loop, Inc. · NASDAQ:HOUR
Hour Loop — Investor Presentation (October 2023)
19 slides from Hour Loop's investor presentation, Oct 12, 2023
Slide 1: Hour Loop, Inc. Investor Presentation Q4 2023
Hour Loop, Inc. Investor Presentation Q4 2023 hourleop
Slide 2: Disclosures & Safe Harbor
DiscLOSsuRES & SAFE HARBOR This presentation contains forward-looking statements regarding future events and the future results of Hour Loop, Inc. (the “Company” that are based on current expectations, estimates, forecasts, and projections about the industry in which the Company operates and the bel
Slide 3: Table of Contents
TABLE OF CONTENTS = Company OVErVICW. .........ceccceeeeeeeeeeeeeeeetteneeeeeeceeeeeeeaeteeteesesevenreeneeneeed 4 @ [NGUSTEY: OVEIMOW bosses eccmnanmasmnasnminenveramesiticanmermanmunrmanmeEa 9 = Investment Highlights.............0000ccccecccceeceeee een sessssestststeeseseetsestiteeteeneseee 2, =
Slide 4: Company Overview
Company Overview Private and Confidential
Slide 5: Seasoned Management Team
Sam Lai Chief Executive Officer, Chairman, & Co-Founder Company Summ: SEASONED MANAGEMENT TEAM Maggie Yu Co-Founder, Senior Vice President, & Director Chief Executive Officer and been a member of Board of Directors since June 2013 and our Chairman of Board since April 2021 Seasoned software engineer
Slide 6: Hour Loop Overview
Company Sumi Hour Loop OVERVIEW = Hour Loop, Inc. (“Hour Loop” or “the Company”) is an industry agnostic online gift shop that has served hundreds of thousands of customers since its inception in 2013. + The Company operates a D2C service through its website, hourloop.com, as well as the on Amazon M
Slide 7: Investment Highlights
Company Sumi INVESTMENT HIGHLIGHTS: ‘ii aa \27 SEASONED PROPRIETARY MANAGEMENT TEAM SOFTWARE STRONG EXISTING OMERS & STRATEGIC PARTNERS loop 7 Private and Coniident
Slide 8: Consumer Products
Company Summary CONSUMER PRODUCTS = Product categories include home/garden décor, toys, kitchenware, apparels, and electronics. = 20% of our products are toys, which are extremely popular and competitive. = No potential substitute products would pose a credible threat to the Company; developed a wid
Slide 9: Industry Overview
Industry Overview Private and Confidential
Slide 10: E-Commerce Sales Exploded in the U.S. in 2020
try Overview E-COMMERCE SALES EXPLODED IN THE U.S. IN 2020 U.S. E-COMMERCE SALES, 2010-2020 ($B) + E-commerce sales have increased every single year in the U.S. since 1998. The proliferation of the internet and ease of service that online shopping provides has allowed sales to grow at a CAGR of 12.8
Slide 11: Strong E-Commerce Tailwinds and Declining Brick and Mortar Gift Shop Sales
verview — Increasing STRONG E-COMMERCE TAILWINDS AND DECLINING BRICK AND MORTAR GIFT SHOP SALES INDICATE FUTURE GROWTH FOR HOUR Loop E-COMMERCE OUTLOOK IN 2021 AND BEYOND PROJECTED E-Commerce SALES, 2021-2025 ($B) « E-Commerce sales are projected to continue their substantial $1028.1 $958.1 growth b
Slide 12: Investment Highlights
Investment Highlights
Slide 13: Streamlined Operation Oversight & Management
Investment Highlights STREAMLINED OPERATION OVERSIGHT & MANAGEMENT Proprietary Software Allows for Automation: Includes managing order review process, shipment management, inventory management, accounting, and complete end-to-end third-party integrations Profitability Management: Departments special
Slide 14: Proprietary Software
Investment Highlights PROPRIETARY SOFTWARE Overall Benefits = Scalability — enables individuals to manage large number of SKUs with minimal efforts. = Advanced Al - automatically adjust prices and audit purchases. = Expert Knowledge — allows Hour Loop to hire new grads or people without any experien
Slide 15: Strong Existing Customers & Strategic Partners
Investment Highli ig Existing Customers & Strategic Partners Hour Loop’s PARTNERSHIPS ALLOW THE COMPANY TO SCALE WITHOUT SPENDING ON INFRASTRUCTURE RELATIONSHIP WITH AMAZON OTHER KEY PARTNERS + FedEx & FedEx Trade Networks: - FedEx is Hour Loop's preferred partner for U.S. ground shipping - Hour Loo
Slide 16: Established Track Record of Profitability
Established Track Record of Profitability
Slide 17: Cost Advantages
tablished Track Record of Profitability Cost ADVANTAGES LEAN SALES MODEL VERSUS B2C PEERS + Access to Low Product Costs: — Import items in bulk directly for better pricing and annually- increasing discounts = Efficient Processes and Technologies: - Proprietary software allows for tailor made tools f
Slide 18: Established Track Record of Profitability
tablished Track Record of Profitability IN 2023, HOUR LOOP RANKED AS AMAZON'S 147TH LARGEST SELLER BY SALES VOLUME HISTORICAL REVENUES, 2013-2023 ($M) $124.4 ol 7 ao $95.9 of $62.8 $38.7 $24.4 $26.6 $17.5 $7.3 1.4 $26 | | | a Zee 2013 2014 2015 IG 217 218 19 2020 2021 2022 202%(F) Cost oF Goons SOLD
Slide 19: Thank You!
Thank You!