Slide 1: Investor Presentation Fourth Quarter 2023 and Fiscal Year 2023
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this presentation that do not relate to matters of historical fact should be considered forward-looking statements, incl
Slide 3: Slide 3
Slide 4: CEO Commentary
CEO COMMENTARY “lam pleased with our fourth quarter results, which were ahead of our expectations and allowed us to exceed our prior guidance for Fiscal 2023. Fourth quarter sales were up 18.3% versus prior year, driven by strong growth in our grills business as we lapped retailer destocking in the
Slide 5: Traeger 2023 at a Glance
AN TRAEGER 2023 AT A GLANCE Revenue Mix S606MM 36.9% Revenue Gross Margin S6IMM 10.1% Adj. EBITDA © Adj. EBITDA Margin = Accessories oh TRAEGER
Slide 6: Reshaping the P&L and Rightsizing Working Capital
RESHAPING THE P&L AND RIGHTSIZING WORKING CAPITA * Proactively driving cost savings to enhance profitability and cash flow Restructuring actions taken in 2H 2022 with further cost efficiencies implemented during 2023 allowed for leverage on operating expenses in FY 2023 despite lower sales FY.2023 o
Slide 7: Rightsizing Actions Have Resulted in a Substantially More Balanced Inventory Position
RIGHTSIZING ACTIONS HAVE RESULTED IN A SUBSTANTIALLY MORE BALANCED INVENTORY POSITION ON BALANCE SHEET AND IN CHANNEL Management sets inventory Inventory in rightsizing strategy $MM als $159 S156 $153 $142 $132 su2 $98 $102 $85 : 7 - i 19.2021 2a 2021 3a 2021 4a 2021 1a 2022 202022 30.2022 4a 2022 1
Slide 8: Balance Sheet and Liquidity
BALANCE SHEET AND LIQUIDITY Signi cant Actions to Increase Financial Flexibility Available Liquidity (SMM) Lowered Exposure to Rising Rates $157 * Entered into floating-to-fixed interest rate swap agreement on First Lien Term Loan in February 2022 + Agreement provides for a notional amount of $379.2
Slide 9: Growth Pillars: Quarterly Highlights
GROWTH PILLARS: QUARTERLY HIGHLIGHTS Accelerate Brand Awareness + Ended 2023 with 2.6 million followers across social media channels, up 15% from 2022 and leading the grill industry + Focused on holiday-themed social content in 4Q 2023 + "6 Tips for the Ultimate Prime Rib”, a guide to making an incr
Slide 10: Financials
FINANCIALS
Slide 11: 4th Quarter 2023 Revenue Results
4% QUARTER 2023 REVENUE RESULTS TOTAL REVENUE $163 $138 4Q 2022 4Q 2023 GRILL REVENUE CONSUMABLES REVENUE ACCESSORIES REVENUE SMM SMM SMM _@ -... S $79 $65 $48 $24 $25 4Q 2022 4Q 2023 4Q 2022 4Q 2023 4Q 2022 oh TRAEGER 4Q 2023
Slide 12: 4th Quarter 2023 Profitability Results
4% QUARTER 2023 PROFITABILITY RESULTS ADJUSTED GROSS PROFIT SoM @® Adjusted Gross Margin $48 | 4Q 2022 ADJUSTED EBITDA $MM &> @® Adjusted EBITDA Margin $7 4Q 2023 S13 4Q 2022 ADJUSTED NET LOSS ©) SMM 4Q 2023 (GE) 4Q 2022 } TRAEGER ($9) 4Q 2023
Slide 13: Guidance for Full Year Fiscal 2024 & 1st Quarter 2024
GUIDANCE FOR FULL YEAR FISCAL 2024 & ist QUARTER 2024 Fiscal 2024 Guidance METRIC Total Revenue Gross Margin Adj. EBITDA © First Quarter 2024 Guidance METRIC Total Revenue Adj. EBITDA © Ih TRAEGER LOW $580MM 39% $62MM LOW SI140MM S2IMM HIGH S605MM 40% S7IMM HIGH SI45MM $24MM Key Assumptions: Expecte
Slide 14: Appendix
APPENDIX TRAEGER
Slide 15: Footnotes
FOOTNOTES |. Adjusted EBITDA, Adjusted EBITDA Margin, and Adjusted Gross Margin are non-GAAP measures. See the appendix to this presentation for a presentation of, and a reconciliation of these measures to, the nearest comparable GAAP measures, including Net Loss, Net Loss Margin, and Gross Margin,
Slide 16: Information Regarding Non-GAAP Financial Measures
INFORMATION REGARDING NON-GAAP FINANCIAL MEASURES In addition to our results and measures of performance determined in accordance with U.S. GAAP, we believe that certain non- GAAP financial measures are useful in evaluating and comparing our financial and operational performance and liquidity over m
Slide 17: Presentation of Comparable GAAP Measures and Reconciliations of Non-GAAP Financial Measures
PRESENTATION OF COMPARABLE GAAP MEASURES AND RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES Three Months Ended December 31 Year-ended December 31 (amounts in thousands, except share and per share amounts) 2023 2022 2023 2022 Net loss $(24,045) $28,904) $64,402) $82,140) Adjustments: Other (income) e
Slide 18: Presentation of Comparable GAAP Measures and Reconciliations of Non-GAAP Financial Measures
PRESENTATION OF COMPARABLE GAAP MEASURES AND RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES oh TRAEGER ‘Three Months Ended December 31, Year-Ended December 31, 2023. 2022, 2023. 2022 Gross margin 36.8% 34.5% 36.9% 34.9% ‘Ada Impact of restructuring costs recorded in cost of revenue % 0.4% % 0.3% Adj