The Joint Corp. · NASDAQ:JYNT
The Joint — JOINT — Q4 2020 Earnings Presentation
20 slides from The Joint's earnings presentation, Mar 4, 2021
Slide 1: Q4 2020 Financial Results
© 2021 The Joint Corp. All Rights Reserved. 1 Q4 2020 Financial Results As of December 31, 2020 | Reported on March 4, 2021
Slide 2: Safe Harbor Statement
Safe Harbor Statement © 2021 The Joint Corp. All Rights Reserved. 2 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 f
Slide 3: Revolutionizing Access to Chiropractic Care
© 2021 The Joint Corp. All Rights Reserved. 3 BUILD BRAND INCREASE AWARENESS ATTRACT NEW PATIENTS OPEN NEW CLINICS Revolutionizing Access to Chiropractic Care As an essential healthcare service, The Joint Chiropractic’s mission is to improve the quality of life through routine and affordable chiropr
Slide 4: Disruptive Business Model Continues to Thrive
Disruptive Business Model Continues to Thrive © 2021 The Joint Corp. All Rights Reserved. 4 1 New patient survey completed February 2021. 1.1M unique patients treated in 2020 584K new patients in 2020 8.3M adjustments in 2020 27% of new patients were new to chiropractic 1 in 2020 85% system - wide g
Slide 5: Resilient Business Model Delivers Record Bottom Line
Resilient Business Model Delivers Record Bottom Line 5 Q4 2020 Q4 2019 FY 2020 FY 2019 Revenue $17.0M Up 23% $58.7M Up 21% Op. Income $2.8M Up 106% $5.5M Up 62% Adjusted EBITDA 2 $3.7M Up 74% $9.1M Up 47% Unrestricted cash $20.6 M at Dec. 31, 2020, compared to $8.5M at Dec. 31, 2019 © 2021 The Joint
Slide 6: Continuing to Target 1000 Clinics by the End of 2023
12 26 82 175 242 265 309 352 394 453 515 4 47 61 47 48 60 64 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 TOTAL CLINICS OPEN Franchise Company Owned/Managed Continuing to Target 1000 Clinics by the End of 2023 © 2021 The Joint Corp. All Rights Reserved. 6 Continue to experience unusually l
Slide 7: Franchise License Sales Reinvigorate Acceleration
37 99 126 121 Dec. 31, 2017 Dec. 31, 2018 Dec. 31, 2019 Dec. 31, 2020 616 715 841 962 Dec. 31, 2017 Dec. 31, 2018 Dec. 31, 2019 Dec. 31, 2020 112 155 204 253 Dec. 31, 2017 Dec. 31, 2018 Dec. 31, 2019 Dec. 31, 2020 Franchise License Sales Reinvigorate Acceleration © 2021 The Joint Corp. All Rights Re
Slide 8: Franchise Satisfaction Index Is Above Average
Franchise Satisfaction Index Is Above Average 8 © 2021 The Joint Corp. All Rights Reserved. FSI represents a weighted sum of positive responses and discounts negative responses. FSI ratings provide a benchmark to hel p g auge overall level of franchisee satisfaction and compare it to various franchi
Slide 9: Fourth Quarter 2020 Promotions
Fourth Quarter 2020 Promotions 9 © 2021 The Joint Corp. All Rights Reserved. Black Friday Membership Drive
Slide 10: Returning Focus to AXIS, New IT Platform
Returning Focus to AXIS, New IT Platform 10 • Improving capabilities: POS, financial systems, business intelligence, marketing automation, and patient feedback • Implement robust training and certification • Formal rollout to begin in the early summer of 2021 © 2021 The Joint Corp. All Rights Reserv
Slide 11: Q4 2020 Financial Results
Q4 2020 Financial Results 11 $ in M 1 Q4 2020 Q4 2019 Differences Revenue • Corporate clinics • Franchise fees $17.0 9.2 7.8 $13.9 7.6 6.3 $3.2 1.7 1.5 23% 22% 24% Cost of revenue 1.9 1.6 0.3 19% Sales and marketing 2.1 1.8 0.3 15% Depreciation and amortization 0.7 0.6 0.1 14% G&A 9.5 8.5 1.0 13% Op
Slide 12: Full Year 2020 Financial Results
Full Year 2020 Financial Results 12 $ in M 1 2020 2019 Differences Revenue • Corporate clinics • Franchise fees $58.7 31.8 26.9 $48.5 25.8 22.6 $10.2 6.0 4.3 21% 23% 19% Cost of revenue 6.5 5.6 0.9 17% Sales and marketing 7.8 6.9 0.9 13% Depreciation and amortization 2.7 1.9 0.8 44% G&A 36.2 30.7 5.
Slide 13: Introducing 2021 Guidance
Introducing 2021 Guidance 13 1 Reconciliation of Adjusted EBITDA to GAAP earnings is included in the appendix. | 2 Through a combination of both greenfields and buybacks. $ in M 2020 Actual Low Guidance High Guidance Revenues $58.7 $73 $77 Adjusted EBITDA 1 $9.1 $10.5 $12.0 New Franchised Clinic Ope
Slide 14: Substantial Opportunity for Market Share Growth
Substantial Opportunity for Market Share Growth © 2021 The Joint Corp. All Rights Reserved. 14 1 Bureau of Labor Statistics, U.S. Department of Labor, Occupational Outlook Handbook, 2016 - 17 Edition| 2 IBIS US Industry Report, Chiropractors in the US, April 2020 3 Internal Chiropractic Competitive
Slide 15: Resilient Business Model Drives Long-term Growth
$1.3 $2.8 $8.1 $22.3 $46.2 $70.1 $98.6 $126.9 $165.1 $220.3 $260.0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Resilient Business Model Drives Long - term Growth 15 People will continue to seek more noninvasive, holistic ways to manage their pain. We will be ready to treat them. System -
Slide 16: Non-GAAP Measure Definition
Non - GAAP Measure Definition 16 This presentation includes a presentation of EBITDA and Adjusted EBITDA, which are non - GAAP financial measures. EBITDA and Adjus ted EBITDA are presented because they are important measures used by management to assess financial performance, as management believes
Slide 17: Q4 2020 Segment Results
Q4 2020 Segment Results 17 2020 Q4 © 2021 The Joint Corp. All Rights Reserved.
Slide 18: 2020 Segment Results
2020 Segment Results 18 2020 © 2021 The Joint Corp. All Rights Reserved.
Slide 19: GAAP – Non-GAAP Reconciliation
GAAP – Non - GAAP Reconciliation 19 © 2021 The Joint Corp. All Rights Reserved.
Slide 20: Contact Information
Jake Singleton, CFO jake.singleton@thejoint.com The Joint Corp. | 16767 N. Perimeter Dr., Suite 110, Scottsdale, AZ 85260 | (480) 245 - 5960 https://www.facebook.com/thejointchiro @ thejointchiro https://twitter.com/thejointchiro @ thejointchiro https://www.youtube.com/thejointcorp @ thejointcorp Pe