Vivid Seats Inc. · NASDAQ:SEAT
Vivid Seats — Q2 2023 Earnings Presentation
19 slides from Vivid Seats's earnings presentation, Aug 8, 2023
Slide 1: Q2 2023 Financial Results
Q2 2023 Financial Results August 8, 2023 (Nasdaq: SEAT)
Slide 2: Agenda
Agenda 01 Business Highlights & Updates Stan Chia, Chief Executive Officer 02 Financial Results Lawrence Fey, Chief Financial Officer 03 Q&A Stan Chia, Chief Executive Officer Lawrence Fey, Chief Financial Officer
Slide 3: 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 4: Business Highlights & Updates
Business Highlights & Updates Stan Chia, Chief Executive Officer
Slide 5: Q2 2023 Highlights
Q2 2023 Highlights Marketplace GOV 1 Revenues Adjusted EBITDA2 $954M $165M $31M • Record-breaking quarterly GOV driven by notable strength in Concerts • Continued profitable growth & cash flow enabling additional strategic partnerships, brand investments and TAM expansion (1) Marketplace GOV represe
Slide 6: Driving A Differentiated Experience with Strategic Partnerships
Driving A Differentiated Experience with Strategic Partnerships Vivid Seats •
Slide 7: Financial Results
Financial Results Lawrence Fey, Chief Financial Officer
Slide 8: Marketplace GOV and Revenues
Marketplace GOV and Revenues (in thousands) Marketplace GOV1 Revenues $953,739 $164,990 $165,380 $161,063 $156,818 $855,528 $845,965 $147,694 $814,817 $781,834 $130,772 $742,138 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 (1) (1) MarketplaceGOV Mar
Slide 9: Net Income and Adjusted EBITDA
Net Income and Adjusted EBITDA (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 $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% 20% 23% $21,012 19% 20% 18%
Slide 10: 2023 Financial Guidance
2023 Financial Guidance Key Financial 3/7/23 5/9/23 Change 8/8/23 Change Metrics $3.0B to $3.15B to $3.4B to Marketplace GOV $3.3B $3.40B $3.6B $580M to $605M to $630M to Revenues $610M $630M $650M $110M to $115M to $125M to Adjusted EBITDA1 $115M $130M $135M (1) Adjusted EBITDA is a non-GAAP financ
Slide 11: Balance Sheet and Cash Flow
Balance Sheet and Cash Flow Sizable Cash Balance $306M • Robust cash conversion; generated $83M cash from operations in 1H Strategic • Cash balance exceeding debt balance1 by $35M Flexibility • The upcoming acquisition of Wavedash for approx. $61M cash2, the Additional 2023 Cash Low Debt Balance lea
Slide 12: Closing Remarks
Closing Remarks Stan Chia, Chief Executive Officer
Slide 13: Key Takeaways
Key Takeaways Robust Supply and Demand in 1H 2023 Extraordinary 1H 2023 financial results driven by widespread strength in event supply/demand and solid Vivid Seats execution Driving a Differentiated Experience Vivid Seats Rewards offers compelling value that starts with an 11th free ticket and cont
Slide 14: Q+A
Q+A
Slide 15: Thank You
Thank You investors@vividseats.com
Slide 16: Capital Structure
Capital Structure 196M Shares Outstanding1 as of 6/30/23 CLASS A CLASS B • Publicly traded (SEAT) • Privately held by PE investors Class A Class B • EPS calculation reflects ~49% 96.3 99.8 • Convertible 1-for-1 into Class A economic interest and ~49% shares outstanding • Consolidated financial state
Slide 17: Supplementary Financial Data – Q2 2023
Supplementary Financial Data – Q2 2023 (in thousands) Marketplace Revenues by Event Category EPS Three Months Ended June 30, Three Months Ended June 30, 2023 2022 % Change Revenues: Numerator—basic: 2023 2022 Concerts $77,741 $65,816 18% Net income $38,326 $24,060 Sports 45,349 51,285 -12% Less: Inc
Slide 18: Supplementary Financial Data – Historical AOS
Supplementary Financial Data – Historical AOS1 Average Order Size ($) 485 427 405 3-4% CAGR 397 385 388 376 368 363 355 338 329 331 322 299 303 304 285 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 (1)
Slide 19: 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 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Net income/ Net income margin $3,138 $24,060 $18,747 $24,834 $30,272 $38,326 2.4% 16.3% 12.0% 15.1% 18.8% 23.2% Income ta