Arandu Investimentos S.a · BMFBOVESPA:ARND3
Arandu Investimentos — Q3 2023 Earnings Presentation
23 slides from Arandu Investimentos's earnings presentation, November 2023
Slide 1: Results 3Q23
RESULTS 3Q23 I November, 2023
Slide 2: Executive summary
Executive summary • We generated cash for the first time since the IPO, that is, in 3Q23 cash was positive at R$7.4 million. In the last 12 months (from 3Q22 to 3Q23), the cash burn was just R$1 million, compared to a burn of R$29 million in the previous 12 months (from 3Q21 to 3Q22). • We presented
Slide 3: Largest service Marketplace in Brazil
Largest service Marketplace in Brazil Available on more than 4 thousand cities More than 5 million Professionals More than 4 million Requests per year 3
Slide 4: We are the connection
01 The client requests a service 02 This request is broadcasted to our professionals 03 We are the Professionals pay to give a quote connection 04 Client chooses the between who needs and who knows how to do it professional 4
Slide 5: Highlights 3Q23
HIGHLIGHTS 3Q23 CLIENTS REQUESTS PROFISSIONALS BASE ACTIVE PROFESSIONALS SCORE 9.0 (LTM) 1,0 5,1 168 PRO 4.3 CLI 4.7 mm mm K [same as 3Q22] [+15% vs 3Q22] [-4% vs 3Q22] [+7% vs 2Q23] [+4% vs 2Q23] [-3% vs 2Q23] PRO 4.3 CLI 4.8 NET REVENUE GROSS PROFIT NET PROFIT CASH POSITION R$ 15,5mm R$ 14,3mm R$
Slide 6: Clients: Requests
CLIENTS Clients Requests [# ‘000] 0% +7% • In 3Q23 we reduced investments in Marketing 1.047 1.049 1.049 981 by 27% compared to 3Q22 and 21% compared to 2Q23, which directly impacts the volume of Customer requests. • Even so, the volume of requests remained stable in 3Q23 compared to 3Q22 and showed
Slide 7: Clients: Requests by category
CLIENTS Requests by category [3Q23 - % of total requests] Beauty & Fashion Cars Classes 4% 2% • The categories that concentrated the Design & Tech 4% highest volume of requests in 3Q23 were: 5% • Renovations and Repairs Consulting 6% • Technical assistance Home • Domestic services Events 6% 43% Reno
Slide 8: Clients: Recurrence
CLIENTS Clients Recurrence [% total clients] 56,0% 56,9% 56,6% 56,8% 57,2% • 57% of customers were recurrent 52,7% 53,6% 55,1% customers in 3Q23, that is, they had 50,6% 47,9% 48,3% previously made another service request on the platform. • It is important to highlight the maintenance of Customer re
Slide 9: Professionals: PROs Base
PROFESSIONALS PROs Base [# million] 5,1 4,8 5,0 • We made accelerated 4,6 4,3 4,5 investments in Marketing in 4,2 3,9 2021 and doubled our 3,7 Professional base. 3,2 2,6 • Despite the 27% reduction in 1,9 2,1 investments in Marketing (vs 1,6 1,7 3Q22), the Professional base showed constant growth. •
Slide 10: Gross Revenue
GROSS REVENUE Gross Revenue [R$ million] +16% +2% 18,5 18,2 18,5 1,1 Expiration 1,1 1,1 Expiration 15,9 1,1 17,5 Leads 17,1 17,5 Leads 14,8 3Q22 3Q23 2Q23 3Q23 10
Slide 11: Requests Monetization
REQUESTS MONETIZATION Revenue divided by the amount of requests [R$ / request] • There has been an increase in request monetization, which can +16% happen due to an increase in 17,67 lead value and an increase in 15,21 leads per request 13,78 • There was a 16% increase in request monetization in 3Q2
Slide 12: Net Revenue and Gross Profit
NET REVENUE AND GROSS PROFIT Net Revenue Gross Profit [R$ million] [R$ million and % of Net Revenue] +8% +11% 15,5 14,3 14,3 12,9 92,6% 90,2% 3Q22 3Q23 3Q22 3Q23 12
Slide 13: Commercial and Marketing Expenses
COMMERCIAL AND MARKETING EXPENSES Commercial and Marketing Expenses • Investments in Marketing in 3Q23 [R$ million] had a 27% reduction compared to 3Q22 and a 13% reduction -27% compared to 2Q23. 9.437 -13% • We continue to refine our strategy 7.935 and investments in Marketing with 6.896 6.896 grea
Slide 14: Commercial and Marketing Expenses
COMMERCIAL AND MARKETING EXPENSES Commercial and Marketing Expenses [R$ million] 21,3 17,6 12,2 11,1 -27% 9,4 10,1 9,4 7,5 7,9 6,9 6,9 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 14
Slide 15: Marketing Efficiency
MARKETING EFFICIENCY Gross Profit minus Marketing expenses • High investments in Marketing in [R$ million] 2021 boosted that year's revenue growth, but this resulted in a Sep YTD 21 Sep YTD 22 Sep YTD 23 negative balance (amount spent on -R$ 7,1 mm +R$ 10,3 mm +R$ 21,3 mm Marketing was greater than
Slide 16: General & Administrative Expenses
GENERAL & ADMINISTRATIVE EXPENSES General & Administrative Expenses • General and Administrative [R$ million] expenses were R$10.7 million in 3Q23, representing a 28% reduction compared to 3Q22 -28% and a 21% reduction compared to 14,9 -21% 2Q23. 13,5 • The main variation in 3Q23 in 10,7 10,7 relati
Slide 17: People
PEOPLE Employees (total) [# of people] • We have 148 employees in 255 -80 222 238 240 228 3Q23, compared to 228 in 217 169 194 194 3Q22, representing 80 fewer 148 148 employees than in the same quarter last year. • Tech and Product represent 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 clo
Slide 18: Adjusted EBITDA
ADJUSTED EBITDA Adjusted EBITDA [R$ million] Reconciliation 3Q23 Reconciliation 3Q22 0,7 0,0 -2,0 -2,8 1,9 0,0 -9,1 EBITDA Stock Non recurring Adjusted -11,0 3Q23 Option Plan expenses EBITDA EBITDA Stock Non recurring Adjusted EBITDA 3Q23 3Q22 Option Plan expenses 3Q22 18
Slide 19: Adjusted EBITDA
ADJUSTED EBITDA Adjusted EBITDA [R$ million] -2,0 -2,0 +3,3 +7,1 -5,3 -9,1 2Q23 3Q23 3Q22 3Q23 19
Slide 20: Net Profit
NET PROFIT Net Profit (Loss) [R$ million] • We present net profit for the second consecutive quarter (and for the second time after the IPO) 4,2 4,2 • The 3Q23 result brings an improvement of R$6.9 million +2,7 compared to the 3Q22 result and an 1,5 improvement of R$2.7 million compared to 2Q23 +6,9
Slide 21: Net Profit
NET PROFIT Net Profit (Loss) [R$ million] 4,2 1,4 1,5 0,2 0,3 +6,9 -0,7 -2,7 -2,1 -2,8 -3,7 -5,5 -6,9 -8,8 -10,7 -17,8 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 21
Slide 22: Cash Position
CASH POSITION Cash and investments • We generated cash for the [R$ million] first time since the IPO, that is, in 3Q23 cash was positive at R$7.4 million. -29 308 293 -1 • From 3Q22 to 3Q23, the cash 290 284 279 274 271 270 278 burn was just R$1 million, compared to a burn of R$29 million accumulate
Slide 23: @GetNinjas
@GetNinjas