Openlane, Inc. · NYSE:OPLN
Openlane — Q4 2023 Earnings Presentation
18 slides from Openlane's earnings presentation, Feb 20, 2024
Slide 1: Q4 2023 & Annual Earnings Slides
Q4 2023 & Annual Earnings Slides // February 20, 2024
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on management’s current expectations, are not guarantees of future performance and are subject t
Slide 3: 2024 Guidance
2024 Guidance 2024 GUIDANCE (in millions, except per share amounts) (unaudited) Low High Income from continuing operations $74 $88 Add back: Income taxes 49 59 Interest expense, net of interest income 156 154 Depreciation and amortization 106 104 EBITDA $385 $405 Total addbacks/(deductions), net (10
Slide 4: Fourth Quarter & Year-to-Date Results
Fourth Quarter & Year-to-Date Results Q4 | 2023 4
Slide 5: OPENLANE 2023 Highlights
OPENLANE 2023 Highlights* ($ in millions, except per share amounts) OPENLANE Q4 2023 Q4 2022 YTD 2023 YTD 2022 Total operating revenues from continuing operations $391.3 $372.8 $1,645.1 $1,519.4 Gross profit** $186.5 $170.8 $777.5 $685.1 % of revenue** 47.7% 45.8% 47.3% 45.1% SG&A $103.8 $93.0 $430.
Slide 6: Marketplace 2023 Highlights
Marketplace 2023 Highlights* ($ in millions, except RPU) Marketplace Q4 2023 Q4 2022 YTD 2023 YTD 2022 Auction fees $90.0 $80.8 $395.3 $370.3 Service revenue $144.5 $146.3 $619.7 $590.3 Purchased vehicle sales $60.2 $45.0 $236.7 $182.9 Total Marketplace revenue from continuing operations $294.7 $272
Slide 7: Finance 2023 Highlights
Finance 2023 Highlights* ($ in millions, except for revenue per loan transaction) Finance Q4 2023 Q4 2022 YTD 2023 YTD 2022 Interest income $62.9 $59.7 $248.4 $202.8 Fee income $46.0 $44.7 $183.3 $171.9 Other revenue $2.5 $3.3 $12.3 $11.0 Provision for credit losses ($14.8) ($7.0) ($50.6) ($9.8) Tot
Slide 8: December 31, 2023 Leverage
December 31, 2023 Leverage (US$ in millions) Balance Maturity Revolving Credit Facility (Adjusted Term SOFR + 2.25%) $137 2028 Senior Notes (Fixed 5.125%) 210 2025 Other 18 Total 365 Less: Cash and cash equivalents 94 Net Debt 271 Net Debt Ratio 1 1.0 Corporate Credit Ratings: S&P B, Moodys B1 1 Whe
Slide 9: Historical Data
Historical Data Q4 | 2023 9
Slide 10: Marketplace Metrics
Marketplace Metrics (Volumes in thousands) 2023 4Q23 3Q23 2Q23 1Q23 2022 4Q22 3Q22 Revenue1 ($M) $1,251.7 $294.7 $316.6 $319.4 $321.0 $1,143.5 $272.1 $293.9 Commercial vehicles sold 710 183 180 180 167 661 151 159 Dealer consignment 621 135 159 164 163 636 138 155 vehicles sold Total vehicles sold 1
Slide 11: Finance Metrics
Finance Metrics ($ in millions, except for revenue per loan transaction; LTUs in thousands) 2023 4Q23 3Q23 2Q23 1Q23 2022 4Q22 3Q22 Interest income $248.4 $62.9 $63.0 $61.9 $60.6 $202.8 $59.7 $53.4 Fee income $183.3 $46.0 $45.6 $44.1 $47.6 $171.9 $44.7 $44.3 Other revenue $12.3 $2.5 $2.7 $3.7 $3.4 $
Slide 12: Appendix
APPENDIX Q4 | 2023 12
Slide 13: Non-GAAP Financial Measures
Non-GAAP Financial Measures EBITDA is defined as net income (loss), plus interest expense net of interest income, income tax provision (benefit), depreciation and amortization. Adjusted EBITDA is EBITDA adjusted for the items of income and expense and expected incremental revenue and cost savings as
Slide 14: Q4 2023 Adjusted EBITDA Reconciliation
Q4 2023 Adjusted EBITDA Reconciliation ($ in millions) Three Months ended December 31, 2023 Marketplace Finance Consolidated Income (loss) from continuing operations ($17.7) $31.3 $13.6 Add back: Income taxes (2.5) 10.1 7.6 Interest expense, net of interest income 4.9 34.0 38.9 Depreciation and amor
Slide 15: Q4 2022 Adjusted EBITDA Reconciliation
Q4 2022 Adjusted EBITDA Reconciliation ($ in millions) Three Months ended December 31, 2022 Marketplace Finance Consolidated Income (loss) from continuing operations $5.8 $36.1 $41.9 Add back: Income taxes 4.5 13.4 17.9 Interest expense, net of interest income 6.8 28.1 34.9 Depreciation and amortiza
Slide 16: YTD 2023 Adjusted EBITDA Reconciliation
YTD 2023 Adjusted EBITDA Reconciliation ($ in millions) Year ended December 31, 2023 Marketplace Finance Consolidated Income (loss) from continuing operations ($277.5) $122.7 ($154.8) Add back: Income taxes (40.4) 48.7 8.3 Interest expense, net of interest income 21.7 130.6 152.3 Depreciation and am
Slide 17: YTD 2022 Adjusted EBITDA Reconciliation
YTD 2022 Adjusted EBITDA Reconciliation ($ in millions) Year ended December 31, 2022 Marketplace Finance Consolidated Income (loss) from continuing operations ($105.7) $134.3 $28.6 Add back: Income taxes (36.4) 46.4 10.0 Interest expense, net of interest income 37.6 78.9 116.5 Depreciation and amort
Slide 18: Operating Adjusted Net Income (Loss) per Share Reconciliation
Operating Adjusted Net Income (Loss) per Share Reconciliation ($ in millions, except per share amounts), (unaudited) Three Months ended Year ended December 31, December 31, 2023 2022 2023 2022 Net income (loss) from continuing operations (1) $13.6 $41.9 ($154.8) $28.6 Acquired amortization expense 9