Sofi Technologies, Inc. · NASDAQ:SOFI
Sofi Technologies — Q2 2023 Earnings Presentation
23 slides from Sofi Technologies's earnings presentation, Jul 31, 2023
Slide 1: Q2 2023 Summary Results
Q2 2023 Summary Results July 2023
Slide 2: Disclaimer
Disclaimer Use of Non-GAAP Financial Measures This presentation includes certain non-GAAP financial measures (including on a forward-looking basis) such as Adjusted Net Revenue, Adjusted EBITDA and Adjusted EBITDA Margin. These non-GAAP measures are in addition to, and not a substitute for or superi
Slide 3: Members
Members Added 584K new Members in Q2, bringing Total to 6.2M (+44% YoY) (1) Members in thousands New Members (000s) 430 279 377 523 408 450 424 480 433 584 YoY Growth 110% 113% 96% 87% 70% 69% 61% 51% 46% 44% Note: See “Footnotes” section for detailed explanations and definitions © 2022 Social Finan
Slide 4: Products
Products Added 847K New Products in Q2, Bringing Total to 9.4M (+43% YoY) Products (2) in thousands New Products (000s) 661 482 601 905 689 702 635 695 660 847 YoY Growth 121% 123% 108% 105% 84% 79% 69% 53% 46% 43% Note: See “Footnotes” section for detailed explanations and definitions © 2022 Social
Slide 5: Galileo Accounts
Galileo Accounts Accounts Total 129M (+11% YoY) Galileo Accounts (3)(15) in millions YoY Growth 140% 132% 119% 81% 67% 58% 48% 40% 30% 15% 11% Note: See “Footnotes” section for detailed explanations and definitions © 2022 Social Finance, Inc. Advisory services offered through SoFi Wealth LLC. SoFi M
Slide 6: Lending and Financial Services Products
Lending and Financial Services Products Growth in products & members driven by Financial Services products, which reached nearly 7.9M (+47% YoY) Lending Products (000s): +25% YoY to 1.5M Financial Services Products (000s): +47% YoY to 7.9M YoY Growth 15% 12% 14% 15% 18% 20% 23% 24% 24% 24% 25% YoY G
Slide 7: Financial Services Productivity Loop
Financial Services Productivity Loop FSPL has reached an inflection point, which creates marketing efficiencies and improves xBuy Ratio of Financial Services to Lending Products Q2’23 Total: 9,401K Total Fin Serv Products Total Lending Products Money: 2,693K 5.3x Q2’22 Invest: 2,316K Total: 6,564K R
Slide 8: Q2 2023 Financial Review
Q2 2023 Financial Review 8
Slide 9: Quarterly Performance
Quarterly Performance Record Adjusted Net Revenue of $489M (37% YoY Growth) and record Adjusted EBITDA of $77M (at 16% Margin) (4) (6) Quarterly Adjusted Net Revenue ($M) Quarterly Adjusted EBITDA ($M) YoY Growth 51% 58% 43% 37% EBITDA Margin 11% 16% 16% 16% Note: See “Footnotes” section for detaile
Slide 10: Q2 2023 Non-GAAP Results vs Guidance
Q2 2023 Non-GAAP Results vs Guidance Exceeded High End of Adj. Net Revenue and Adj. EBITDA Q2 Guidance Q2 Adj. Net Revenue was $489M vs guidance of $470-480M, representing a $9M beat at the high end Adj. EBITDA was $77M vs. guidance of $50-60M, representing a $17M beat at the high end Q2'23 GUIDANCE
Slide 11: H2'23 Non-GAAP Guidance
H2’23 Non-GAAP Guidance We expect to deliver $1.025-1.085M in Adjusted Net Revenue, and $180-190M in Adjusted EBITDA $ in millions H2'23 Low H2'23 High (4) Adjusted Net Revenue $1,025 $1,085 YoY Growth 19% 26% (6) Adjusted EBITDA $180 $190 Adjusted EBITDA Margin 18% 18% See “Footnotes” section for d
Slide 12: FY 2023 Non-GAAP Guidance
FY 2023 Non-GAAP Guidance We expect to deliver $1.974-2.034B in Adjusted Net Revenue, and $333-343M in Adjusted EBITDA at a 40-44% incremental Adjusted EBITDA margin This guide assumes positive quarterly GAAP Net Income in Q4 2023 Q1 Revised 2023 Original 2023 $ in millions 2021 Actual 2022 Actual 2
Slide 13: Financial Supplement
Financial Supplement 13
Slide 14: Company Metrics
Company Metrics (1) (2) (2) (2) Note: See “Footnotes” section for detailed explanations and definitions. The sum of individual metrics may not always equal total amounts indicated due to rounding. © 2022 Social Finance, Inc. Advisory services offered through SoFi Wealth LLC. SoFi Money® is offered t
Slide 15: Segment Financials
Segment Financials (2) (4) (10) (5) (3) (15) (10) (5) (10) (5) Note: See “Footnotes” section for detailed explanations and definitions. The sum of individual metrics may not always equal total amounts indicated due to rounding. © 2022 Social Finance, Inc. Advisory services offered through SoFi Wealt
Slide 16: Non-GAAP Financial Measures
Non-GAAP Financial Measures (7) (8) (4) (4) (4) (9) (6) Note: See “Footnotes” section for detailed explanations and definitions. The sum of individual metrics may not always equal total amounts indicated due to rounding. © 2022 Social Finance, Inc. Advisory services offered through SoFi Wealth LLC.
Slide 17: Non-GAAP Reconciliations
Non-GAAP Reconciliations (7) (8) (4) (9) (11) (13) (12) (14) (7) (8) (6) Note: See “Footnotes” section for detailed explanations and definitions. The sum of individual metrics may not always equal total amounts indicated due to rounding. © 2022 Social Finance, Inc. Advisory services offered through
Slide 18: Net Interest Margin Components
Net Interest Margin Components Note: See “Footnotes” section for detailed explanations and definitions. The sum of individual metrics may not always equal total amounts indicated due to rounding. © 2022 Social Finance, Inc. Advisory services offered through SoFi Wealth LLC. SoFi Money® is offered th
Slide 19: Fair Value of Loans
Fair Value of Loans Note: See “Footnotes” section for detailed explanations and definitions. The sum of individual metrics may not always equal total amounts indicated due to rounding. © 2022 Social Finance, Inc. Advisory services offered through SoFi Wealth LLC. SoFi Money® is offered through SoFi
Slide 20: Select Balance Sheet Information
Select Balance Sheet Information Note: The sum of individual metrics may not always equal total amounts indicated due to rounding. © 2021 Social Finance, Inc. Advisory services offered through SoFi Wealth LLC. SoFi Money® is offered through SoFi Securities LLC. SoFi Lending Corp., CFL #6054612. NMLS
Slide 21: Footnotes to Financial Statements
Footnotes to Financial Statements 21
Slide 22: Footnotes
Footnotes (1) We define a member as someone who has a lending relationship with us through origination and/or servicing, opened a financial services account, linked an external account to our platform, or signed up for our credit score monitoring service. Our members have continuous access to our ce
Slide 23: Footnotes
Footnotes (7) Reflects changes in fair value inputs and assumptions, including market servicing costs, conditional prepayment and default rates and discount rates. This non-cash change is unrealized during the period and, therefore, has no impact on our cash flows from operations. As such, these pos