Liquidity Services, Inc. · NASDAQ:LQDT
Liquidity Services — Q1 FY2025 Earnings Presentation
26 slides from Liquidity Services's earnings presentation, February 2025
Slide 1: Investor Presentation First Quarter Fiscal Year 2025
Investor Presentation First Quarter Fiscal Year 2025 © Liquidity Services, Inc. All Rights Reserved. 1
Slide 2: Forward-Looking Information
Forward-Looking Information This document contains forward-looking statements. These statements obligation to publicly update or revise any forward-looking statement to believe the inclusion of non-GAAP measures provides consistency in our are only predictions. The outcome of the events described in
Slide 3: Who We Are
Who We Are Liquidity Services operates the world’s leading global commerce company powering the Circular Economy. To Power the Circular Economy, we: • Sell, manage, and value surplus assets across the globe in a broad range of categories and conditions • Maximize value recovery with the broadest buy
Slide 4: What is the Circular Economy?
Liquidity Services is a first mover and global leader in transforming the Circular Economy, which provides long-term investors the opportunity to drive financial returns while making What is the a positive impact on the environment. Circular Economy? Definition: “The circular economy is a model of p
Slide 5: The Industry Leader in the Circular Economy
15,000+ 130+ Trusted Clients Fortune 1000 Worldwide Global Clients 1 Million+ 750+ Transactions Asset Categories The Industry Leader in Completed Annually in Experience 100+ Countries the Circular Economy B2B | B2C 5.5 Million+ Multichannel Marketing & Sales Strategies Registered Buyers LQDT▲ $10 Bi
Slide 6: Our Purpose
To build the world’s leading marketplace for surplus assets to Our Purpose benefit sellers, buyers and the planet Our Sellers Our Buyers The Planet For enterprises with used, idle, or For organizations and consumers For the planet’s natural resources, excess assets and inventory we provide: looking
Slide 7: Vision and Strategic Pillars
Vision and Strategic Pillars Liquidity Services will build the world’s leading marketplace for surplus assets to benefit sellers, buyers and the planet. Data/ Recovery Maximization Matching R Drive higher net recovery through technology and innovation that improves the buyer experience Increased Vol
Slide 8: Delivering Maximum Value to Sellers
Delivering Maximum Value to Sellers Better Service Better Scale Better Results Superior levels of industry and asset Comprehensive, modular, and scalable Right combination of great people, expertise, responsiveness, intelligence, and solutions spanning all volumes, asset best-in-class processes, and
Slide 9: Providing Superior Buyer Experiences
Providing Superior Buyer Experiences Superior Product Quality and Information Large volumes and recurring flows of products; refurbishment services to enhance and ensure product quality; ability to view detailed product information, ask questions, and inspect items Fair Prices Auction format ensures
Slide 10: Our ESG Objectives
Our ESG Objectives Our Services Enable the Circular Economy We empower corporations and governments to use our e-commerce Environmental services to resell their surplus assets, which, in turn, enables a more sustainable and circular economy. We Empower Small Business Entrepreneurs We empower small b
Slide 11: Market Opportunity
Market Opportunity* Highlighted Sellers Across Industries $130+ Billion Total Addressable Market $48 Billion $50 Billion Transportation Retailers & OEMs $20 Billion Industrial Capital Assets $10+ Billion U.S Public Sector (includes Real Estate) $8 Billion Energy *Data from evaluation of research fro
Slide 12: Macro-Trends Expanding Our Opportunity
Macro-Trends Expanding Our Opportunity • Increased demand for digital solutions driving more opportunities with sellers and buyers • Continued online growth in retail driving increased volume of consumer returns E-Commerce • Trending appetite for self-directed solutions Growth • Increasing buyer dem
Slide 13: Our Business Model
Our Business Model Compelling Model Multiple, Synergistic Revenue Streams ✓ Online, self-service solutions ✓ Consignment Model ✓ Diversified products, services, and customer mix globally ✓ Purchase Model ✓ High-volume recurring revenue ✓ Service Revenue ✓ Value-added managed services ✓ Additional se
Slide 14: Liquidity Services Marketplace Success
Liquidity Services Q1-FY25 Marketplace Marketplace Marketplace Success Highlights(1) Q1-25 total marketplace growth AllSurplus(2) • +10% Auction Participants over the prior year included(1) • +23% Buyer Registrations +13% Auction Participants +9% Buyer Registrations • +25% Auction Participants GovDe
Slide 15: GovDeals Segment
GovDeals Segment Government agencies continue to adopt our digital We are leading the trend for government sellers to access a marketplace solutions over traditional sales methods with mobile-first solution over $4 billion sold, transacting in a broader array of assets • Well-positioned to serve inc
Slide 16: RSCG Segment
RSCG Segment RSCG set a new quarterly GMV record, driven by Our RSCG segment benefits from: expansion with existing and new retail client programs • Retailers increasingly seeking B2B marketplace platforms to conduct resale of surplus inventory • Flexible service offerings that enable clients to rap
Slide 17: CAG Segment
CAG Segment Driving growth from a diversified and global Fortune AllSurplus enables delivery of self-directed and fully 1000 client base through expansion of key verticals managed services to our sellers, including: including heavy equipment, energy and industrial • AI-driven recommendations and sea
Slide 18: Machinio Segment
Machinio Segment Subscriber growth and pricing increases from Machinio • A leading online, subscription-based classifieds and Advertising and System are driving consistent double- storefront marketplace for used Machinery and Heavy digit subscription revenue growth Equipment Machinio Segment Revenue
Slide 19: Financial Results
Financial Results © Liquidity Services, Inc. All Rights Reserved. 19
Slide 20: Consolidated Results – Gross Merchandise Volume (GMV)
Consolidated Results – Gross Merchandise Volume (GMV) $ in millions Annual GMV Q1 QTD FY21 to FY24 Trend FY24 to FY25 1,367 1,203 1,145 887 386 306 21 22 23 24 23 24 12 Months Ended 3 Months Ended 9/30 12/31 © Liquidity Services, Inc. All Rights Reserved. 20
Slide 21: Consolidated Results – Revenue
Consolidated Results – Revenue $ in millions Annual Revenue Q1 QTD FY21 to FY24 Trend FY24 to FY25 363 315 280 258 122.3 71.3 23 24 21 22 23 24 3 Months Ended 12 Months Ended 12/31 9/30 © Liquidity Services, Inc. All Rights Reserved. 21
Slide 22: Consolidated Results – Non-GAAP Adjusted EBITDA
Consolidated Results – Non-GAAP Adjusted EBITDA(1) $ in millions Annual Non-GAAP Q1 QTD Adjusted EBITDA FY24 to FY25 FY21 to FY24 Trend 48.5 45.9 42.9 42.7 13.1 7.3 23 24 21 22 23 24 3 Months Ended 12 Months Ended 12/31 9/30 (1) For the twelve months ended September 30, 2024, 2023, 2022, and 2021, N
Slide 23: Diversification By Pricing Model | GMV Mix
Diversification By Pricing Model | GMV Mix Q1 FY24 Q1 FY25 Purchase Purchase Purchase 13% 11% Purchase 17% 20% Consignment Consignment Consignment Consignment 83% 87% 89% 80% Purchase Consignment Self-Directed Consignment Purchase Consignment Self-Directed Consignment © Liquidity Services, Inc. All
Slide 24: Diversification By Segment | GMV Mix
Diversification By Segment | GMV Mix Q1 FY24 Q1 FY25 RSCG RSCG 22% 27% GovDeals GovDeals CAG 55% 62% 16% CAG 17% © Liquidity Services, Inc. All Rights Reserved. 24
Slide 25: Reconciliation of Financial Data
Reconciliation of Financial Data Adjusted EBITDA Reconciliation (QTD) (in thousands) Q1 FY23 Q2 FY23 Q3 FY23 Q4 FY23 Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24 Q1 FY25 Net Income $ 3,967 $ 4,245 $ 6,487 $ 6,279 $ 1,907 $ 5,709 $ 6,000 $ 6,375 $ 5,810 Interest & other expense (income), net (303) (634) (761) (1,
Slide 26: Investor Relations
Investor Relations investorrelations@liquidityservicesinc.com © Liquidity Services, Inc. All Rights Reserved. 26