Backblaze, Inc. · NASDAQ:BLZE

Backblaze — Q3 2026 Earnings Presentation

29 slides from Backblaze's earnings presentation, Nov 2, 2026

  1. Slide 1: Q3 2026 Results

    Q3 2026 Gleb Budman CEO and Co-Founder Backblaze Results November 2, 2026 Marc Suidan CFO Backblaze ©2026 | 1

  2. Slide 2: Important Information About This Presentation

    Important Information About This Presentation Cautionary Note Regarding Forward-Looking Statements This presentation contains forward-looking statements, which are being made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking stateme

  3. Slide 3: Our Mission

    Our Mission To make customers unstoppable by solving their toughest data storage challenges. Backblaze ©2026 | 3

  4. Slide 4: Key Highlights

    Key AI strategy drives growth Highlights ● ● 47% B2 revenue growth year over year Broad-based customer adoption ○ 4x net new B2 self-serve customers vs last year ○ 254 customers contributing more than $50K in ARR ○ 4 deals greater than $500K in ARR booked Backblaze ©2026 | 4

  5. Slide 5: Backblaze B2 is built for this moment

    Backblaze B2 is built for this moment INDUSTRY THEMES THE OPPORTUNITY Rapidly expanding storage needs Backblaze delivers the scale and economics AI needs. Greater focus on AI ROI Note: This slide contains forward-looking statements, which are subject to risks and uncertainties. Actual results may di

  6. Slide 6: Connecting with more AI builders

    Connecting with more AI builders The number of new AI builders entering our pipeline doubled in Q3 versus Q2. AI builders we reach include How we’re reaching them Foundation model developers AI search visibility Physical AI companies AI ecosystem relationships Generative media companies Developer an

  7. Slide 7: AI search visibility drives customer acquisition

    AI search visibility drives customer acquisition Trusted content builds authority in AI search +230% >2x AI referral traffic y/y Conversion vs. organic search Roughly twice the market growth Self-serve account creation rate of 117%* or contacting sales *Source: similarweb 2026 Generative AI Landscape

  8. Slide 8: Building relationships across the AI ecosystem

    Building relationships across the AI ecosystem Hundreds of startups participating in FLAMETHROWER our startup program VC relationships Startup communities Industry events Connect through Meet builders as their TechCrunch and investor networks businesses develop Coast-to-Coast Startup Lab Backblaze ©

  9. Slide 9: Building for developers and AI agents

    Building for developers and AI agents AI reference architectures Showing how B2 fits into AI workloads Open-source B2 MCP server Enables AI agents to use B2 storage within customer-defined permissions Note: This slide contains forward-looking statements, which are subject to risks and uncertainties. A

  10. Slide 10: 4 large customer wins with ARR > $500K

    4 large customer wins with ARR > $500K CUSTOMER 1 CUSTOMER 2 CUSTOMER 3 CUSTOMER 4 EXPANSION EXPANSION EXPANSION NEW LOGO AI training data Generative AI AI audio Global networking provider media customer customer technology customer AI BUILDER AI BUILDER AI BUILDER CORE WORKLOAD $4M+ expansion to ad

  11. Slide 11: AI builder expanded into a new workload

    AI builder expanded into a new workload Customer 1 case study EXPAND Q3 FY26 $4M+ expansion EXPAND Q2 FY26 Added $1M+ expansion Data Processing Workload LAND Q1 FY26 Nearly $1M DISCOVER Customer Referral TRIAL TO SIGNED DEAL LAND TO FIRST EXPANSION CAPACITY VS. INITIAL LAND AI WORKLOAD Data Collecti

  12. Slide 12: AI growth accelerates demand for our capacity tier

    AI growth accelerates demand for our capacity tier • The AI storage opportunity keeps broadening. • Agents accelerate data access and use. • Scale and ROI strengthen the case for B2. Note: This slide contains forward-looking statements, which are subject to risks and uncertainties. Actual results ma

  13. Slide 13: Financial Overview

    Financial Overview Marc Suidan CFO Backblaze ©2026 | 13

  14. Slide 14: Key Financial Highlights

    Key ● B2 ARR: $127M, up 53% year over year ● B2 Rule of 40 Score*: 48 Financial ● ● Guidance for FY’26: Raised Expected Q4 B2 growth: ~60% Highlights NOTES: The financial information presented above includes forward-looking statements and non-GAAP financial measures. Forward-looking statements are sub

  15. Slide 15: B2 growth accelerating

    B2 growth accelerating B2 REVENUE GROWTH REVENUE DRIVERS DEFINED 47% New Direct Sales Direct-sales-led new-logo acquisition 34% New Self-Serve 29% 28% Product-led 23% 24% 24% new-logo acquisition Direct Cross-Sell / Upsell Direct-sales-led expansion within existing customers Net Organic Growth Organ

  16. Slide 16: Upmarket momentum

    Upmarket momentum $50K+ ARR CUSTOMERS ARR from $50K+ ARR customers +109% y/y ARR from $50K+ ARR customers $50M Q3 $500K+ ARR WINS +57% y/y customer count growth 4 new deals NOTES: The financial information presented above includes forward-looking statements and non-GAAP financial measures. Forward-loo

  17. Slide 17: Financial and operational Q3 highlights

    Financial and operational Q3 highlights REVENUE Y/Y NET REVENUE GROSS ($M) GROWTH RETENTION CUSTOMER RETENTION B2 Cloud $30.5 47% 115% 89% Storage Computer $16.2 -2% 94% 91% Backup Total $46.7 26% 105% 91% Company Note: Some amounts may not sum due to rounding. Backblaze ©2026 | 17

  18. Slide 18: Building a durable business

    Building a durable business Adj. EBITDA Margin 30% Adj. Free Cash Flow Margin 22% 1% 10% 5% IPO 2022 2023 2024 2025 YTD 2021 2026 (4%) IPO YTD 2021 2024 2025 2026 (16%) 2022 2023 (29%) (3%) (42%) (11%) (54%) NOTES: Adjusted EBITDA and Adjusted Free Cash Flow margins shown for the years ending Decemb

  19. Slide 19: Q4'26 and full year guidance

    Q4’26 and full year guidance Revenue ($M) Adj. EBITDA Margin Q4’26 Q4’26 $49.8 to $50.2 32% to 34% FY 2026 Raised FY 2026 Raised $177.8 to $178.2 30% to 31% NOTES: The above financial information guidance for Q4 of 2026 and fiscal year 2026 are forward-looking statements. The revenue outlook for fiscal

  20. Slide 20: Lower funding costs with capped-call protection

    Lower funding costs with capped-call protection Illustrative dilution after capped calls, if principal paid in cash. 0% coupon financing replaces higher-cost Stock price Net shares issued Equity dilution (millions) capital leases Up to $33.76 0 0% $35 0.32 0.5% $201M 0% $41 1.62 2.6% Capital raised C

  21. Slide 21: Capex & Free Cash Flow Reconciliation

    Capex & Free Cash Flow Reconciliation ($M) Q1’26 Q2’26 Q3’26 2026 YTD Net cash provided by operating activities 3.4 10.4 9.0 22.8 Capital Expenditures* (2.8) (3.9) (5.6) (12.3) Principal payments on finance leases and lease financing obligations (4.2) (4.3) (4.5) (13.0) Adjustments 1.8 0.9 1.7 4.4 Adj

  22. Slide 22: Appendix

    Appendix Backblaze ©2026 | 22

  23. Slide 23: Definitions

    Definitions ● “ARR” means Annual Recurring Revenue. For subscription-based arrangements, ARR is calculated by multiplying the monthly revenue for the last month of a period by 12. Beginning in the first quarter of 2026, to improve comparability between periods, we revised our methodology for calculati

  24. Slide 24: Definitions

    Definitions ● “Customer” means a customer at the end of any period as a distinct end user, as identified by a unique account identifier, which makes up substantially all of our user base. ● “Adjusted EBITDA” is defined as net loss adjusted to exclude depreciation and amortization, stock-based compensati

  25. Slide 25: Definitions

    Definitions ● “Non-GAAP Net Income (Loss)” We define non-GAAP net income (loss) as net income (loss) adjusted to exclude stock-based compensation, realized and unrealized gains and losses on foreign currency transactions, impairment of long-lived assets, restructuring charges, litigation settlement co

  26. Slide 26: Reconciliation of Non-GAAP Measures: Adjusted Gross Margin

    Reconciliation of Non-GAAP Measures: Adjusted Gross Margin Adjusted Gross Profit Q3’26 Q3’25 Gross Profit $29.838 $23.071 Gross Margin 64% 62% Adjustments for Cost of Revenue: Stock Based Compensation 0.425 0.318 Depreciation & Amortization(1) 7.442 5.970 Restructuring Charges 0.114 - Adjusted Gross P

  27. Slide 27: Reconciliation of Non-GAAP Measures: Non-GAAP Net Income (Loss)

    Reconciliation of Non-GAAP Measures: Non-GAAP Net Income (Loss) Q3’26 Q3’25 Net Loss $(2.364) $(3.778) Adjustments: Stock Based Compensation(1) 7.304 5.445 Foreign Exchange (Gain) Loss (0.063) (0.189) Litigation settlement costs - 0.150 Restructuring charges 1.723 - Stock-based consideration to a cu

  28. Slide 28: Reconciliation of Non-GAAP Measures: Adjusted EBITDA

    Reconciliation of Non-GAAP Measures: Adjusted EBITDA Q3’26 Q3’25 Net Loss $(2.364) $(3.778) Net Loss Margin -5% -10% Adjustments: Depreciation & Amortization(1) 7.560 6.044 Stock Based Compensation(2) 7.304 5.445 Interest Expense & Investment Income, Net 0.957 0.457 Income tax provision 0.060 - Fore

  29. Slide 29: Reconciliation of Non-GAAP Measures: Adjusted Free Cash Flow

    Reconciliation of Non-GAAP Measures: Adjusted Free Cash Flow QTD QTD Q3’26 Q3’25 YTD Q3’26 YTD Q3’25 Net Cash Provided by Operating $9.002 $5.743 $22.789 $14.231 Activities Capital Expenditures (5.647) (4.848) (12.262) (10.319) Principal Payments on Finance Leases and Lease Financing (4.529) (4.621)

Backblaze — Q3 2026 Earnings Presentation on 6ix