Slide 1: Investor Presentation Second Quarter 2023
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this presentation that do not relate to matters of historical fact should be considered forward-looking statements, incl
Slide 3: Incredible Wood-Fired Flavor
INCREDIBLE WOOD-FIRED FLAVOR
Slide 4: CEO Commentary
CEO COMMENTARY "In the second quarter, we delivered results that were ahead of our expectations and grew adjusted EBITDA, even as our sales were pressured by retailer destocking and lower consumer demand,” said Jeremy Andrus, CEO of Traeger. “Il am pleased with the significant progress we have made
Slide 5: Revenue Mix
Revenue Mix 20% 54% 26% Grills Accessories Consumables
Slide 6: Reshaping the P&L and Rightsizing Working Capital
RESHAPING THE P&L AND RIGHTSIZING WORKING CAPITAL Reduce Cost Structure Rightsize Inventories Drive Gross Margin • Proactively driving cost savings to enhance • $62 million reduction in balance sheet inventories • 2Q 2023 saw a return to gross margin expansion profitability and cash flow since the c
Slide 7: Strategic actions to rightsize inventory
Management sets inventory Peak rightsizing strategy • Strategic actions to rightsize inventory have resulted in $62MM in inventory reduction from peak • Efforts included aligning production to fit demand trends and destocking of channel inventory • Strategic actions have driven channel inventories t
Slide 8: Total cash and credit facilities
A/R Facility $15 • • • Revolving Credit Facility $125 Revolving Credit Facility $83 • • Total Cash & Total Cash & • Equivalents Equivalents $15 $14 As of March 31, 2023 As of June 30, 2023
Slide 9: Accelerate Brand Awareness
Accelerate Brand Awareness • Held sixth annual Traeger Day on May 20th, resulting in ~18,000 user-generated content posts and video views more than doubling versus prior year • Significant growth in revenues generated from Brand Ambassador program; focused on Special Events in 2Q 2023 including stat
Slide 10: Financials
FINANCIALS
Slide 11: Second Quarter 2023 Revenue Results
24 QUARTER 2023 REVENUE RESULTS TOTAL REVENUE SMM S $i72 2Q 2022 2Q 2023 GRILL REVENUE CONSUMABLES REVENUE ACCESSORIES REVENUE SMM SMM SMM = O- = @. a @-.. $93 $35 2Q 2022 2Q 2023 2Q 2022 2Q 2023 2Q 2022 2Q 2023 oh TRAEGER
Slide 12: Second Quarter Multi-Year Revenue Results
2"4 QUARTER MULTI-YEAR REVENUE RESULTS TOTAL REVENUE SMM $213 $200 $153 $i72 Sig 2Q 2019 2Q 2020 2Q 2021 2Q 2022 2Q 2023 GRILL REVENUE CONSUMABLES REVENUE ACCESSORIES REVENUE SMM SMM SMM a: CAGR S41 $42 sao $43 S156 $32 $35 $2i SI6 ‘$7 ie} 2Q 2019 2Q 2020 2202! 20 2022 2a 2023 2Q 2019 2Q 2020 2Q 202
Slide 13: Second Quarter 2023 Profitability Results
24 QUARTER 2023 PROFITABILITY RESULTS GROSS PROFIT ov => @® Gross Margin $73 2Q 2022 ADJUSTED EBITDA © su 2 @® Adjusted EBITDA Margin $17 2Q 2022 ADJUSTED NET INCOME ©®) SMM xR} 2Q 2022 } TRAEGER 2Q 2023 $21 2Q 2023 $4.3 2Q 2023
Slide 14: Prior Guidance and New Guidance
PRIOR GUIDANCE NEW GUIDANCE • Better than expected 1H 2023 results • A shift of ~$4MM of expense from 1H 2023 to 2H 2023 Key Assumptions: • The assumption of a return to growth in the second half of 2023, given channel inventory normalization and lapping of destocking in the second half of 2022 • Gr
Slide 15: Appendix
APPENDIX TRAEGER
Slide 16: Footnotes
FOOTNOTES |. Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP measures. See the appendix to this presentation for a presentation of, and a reconciliation of these measures to, the nearest comparable GAAP measures, including Net Loss, Net Loss Margin, respectively. A reconciliation of Adjusted
Slide 17: Information Regarding Non-GAAP Financial Measures
INFORMATION REGARDING NON-GAAP FINANCIAL MEASURES In addition to our results and measures of performance determined in accordance with U.S. GAAP, we believe that certain non- GAAP financial measures are useful in evaluating and comparing our financial and operational performance over multiple period
Slide 18: Presentation of Comparable GAAP Measures and Reconciliations of Non-GAAP Financial Measures
PRESENTATION OF COMPARABLE GAAP MEASURES AND RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES Three Months Ended June 30, oh TRAEGER Six Months Ended June 30, (amounts in thousands, except share and per share amounts) 2023 2022 2023 2022 Net loss $G2935) $033,134) S@4517) $142,094) Adjustments: Other
Slide 19: Presentation of Comparable GAAP Measures and Reconciliations of Non-GAAP Financial Measures
PRESENTATION OF COMPARABLE GAAP MEASURES AND RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES oh TRAEGER ‘Three Months Ended December 31, Year-Ended December 31, 2022 Gross margin 34.9% ‘Ada Impact of restructuring costs recorded in cost of revenue 0.3% Adjusted gross margin 35.2% RECONCILIATION OF DE