The Joint Corp. · NASDAQ:JYNT
The Joint — Q1 2024 Earnings Presentation
17 slides from The Joint's earnings presentation, May 2, 2024
Slide 1: Q1 2024 Financial Results
Q1 2024 Financial Results As of March 31, 2024 | Reported on May 2, 2024
Slide 2: Safe Harbor Statements
Safe Harbor Statements Certain statements contained in this presentation are "forward-looking statements” about future events and expectations. Forward-looking statements are based on our beliefs, assumptions and expectations of industry trends, our future financial and operating performance and our
Slide 3: 2024 The The Joint Joint Corp.
©©2024 2024 The TheJoint JointCorp. CorpAll AllRights RightsReserved. Reserved 3
Slide 4: Overcoming Consumer Uncertainty
Overcoming Consumer Uncertainty Q1 2024 Q1 2023 Revenue $29.7M $28.3M 9% 3% (3)% Op. Income/(Loss) $1.1M $(653)k Increase in Increase in Decrease in system-wide sales 1 system–wide comp sales 2 system–wide comp sales 2 Other Income 3 $35k $3.8M Q1 2024 over Q1 2023 for all clinics >13 months for all
Slide 5: 23 Franchised Clinics Opened in Q1 2024
23 Franchised Clinics Q1 24 Q1 23 Opened in Q1 2024 Franchise Licenses Sold 15 17 TOTAL CLINICS OPEN Franchised Corporate Franchised U 954 Clinics 23 29 935 Opened 838 135 135 Franchised 126 706 Clinics 4 1 Closed 96 579 513 64 Corporate Clinics Opened 0 4 399 442 60 370 48 800 819 47 712 312 61 610
Slide 6: Refranchising Strategy
Refranchising Strategy Vast majority of corporate clinics: • Quality assets of value • Methodical clustering Vetting potential franchisees: • Engaging investment bank • Negotiating potential block transactions Value maximization: • Generates capital • Increases franchise revenue • Reduces corporate
Slide 7: Q1 2024 Franchise License Sales Tripled Sequentially
Q1 2024 Franchise License Sales Tripled Sequentially 15 163 1,263 Franchise licenses Clinics in active Gross cumulative franchise sold in Q1 2024 development 1 of Mar. 31, 2024 licenses sold 1 of Mar. 31, 2024 27% 68% 55% Sold in Q1 2024 by Of clinics supported by Metropolitan statistical regional d
Slide 8: Implementing New Marketing Programs
Implementing New Marketing Programs Annual Patient Survey • 64% Net Promotor Score • 92% rank The Joint experience the same or higher than prior Focused on Driving Awareness • Social media influencers, national and regional • Stronger local store marketing tools Strategic Goals • Reach 1M+ and drive
Slide 9: Q1 2024 Financial Results as of Mar. 31, 2024
Q1 2024 Financial Results as of Mar. 31, 2024 $ in M 1 Q1 2024 Q1 2023 Differences Revenue $29.7 $28.3 $1.4 5% • Corporate clinics 17.5 17.1 0.4 2% • Franchise fees 12.2 11.2 1.0 9% Cost of revenue 2.7 2.5 0.2 10% Sales and marketing 3.9 4.2 (0.2) (7)% Depreciation and amortization 1.4 2.2 (0.8) (37
Slide 10: Reiterating 2024 Guidance
Reiterating 2024 Guidance 2023 2024 Low 2024 High $ in M Actual Guidance Guidance System-wide sales 1 $488.0 $530 $545 System-wide comp sales for all clinics open 13 months or more 2 4% Mid-single digits New franchised clinic openings excluding the impact of refranchised clinics 104 60 75 1 System-w
Slide 11: Leading Market Growth
Leading Market Growth The Joint Corp. 13-yr. CAGR 58% 1 vs. Industry 5-yr. CAGR 5.1% 2 System-wide Sales People will ($ in M) continue to seek $488.0 more noninvasive, 58% CAGR1 $435.3 holistic ways to (2010 - 2023) manage their pain. $361.1 $260.0 We’ll be there to $220.3 treat them. $165.1 $126.9
Slide 12: Leading Chiropractic Care Franchise Concept
Leading Chiropractic Care Franchise Concept Large & Attractive Recurring Premier Category Growing Asset-light Revenue Nationwide Leader & Market Model Model Brand Creator $20.5B on chiropractic 86% franchised clinics 85% of 2023 41 state presence, 954 clinics at 3/31/24, $8.5B out-of-pocket and impl
Slide 13: Appendix
Appendix © 2024 The Joint Corp. All Rights Reserved. 13
Slide 14: Performance Metrics and Non-GAAP Measures
Performance Metrics and Non-GAAP Measures This presentation includes commonly discussed performance metrics. System-wide sales include sales at all clinics, whether operated by the company or by franchisees. While franchised sales are not recorded as revenues by the company, management believes the
Slide 15: Q1 2024 Segment Results as of Mar. 31, 2024
Q1 2024 Segment Results as of Mar. 31, 2024 $ in 000s Q1 2024 Due to rounding, numbers may not add up precisely to the totals. © 2024 © 2022 The The Joint Joint Corp. Corp. All All Rights Rights Reserved. Reserved. 15
Slide 16: GAAP – Non-GAAP Reconciliation
GAAP – Non-GAAP Reconciliation $ in 000s Due to rounding, numbers may not add up precisely to the totals. © 2024 The Joint Corp. All Rights Reserved. 16
Slide 17: Contact Information
Contact Information Peter D. Holt, President & CEO peter.holt@thejoint.com The Joint Corp. | 16767 N. Perimeter Dr., Suite 110, Scottsdale, AZ 85260 | (480) 245-5960 https://www.facebook.com/thejointchiro @thejointchiro Jake Singleton, CFO jake.singleton@thejoint.com https://twitter.com/thejointchir