Shutterstock, Inc. · NYSE:SSTK

Shutterstock — Q1 2018 Earnings Presentation

12 slides from Shutterstock's earnings presentation, Apr 26, 2018

  1. Slide 1: First Quarter 2018

    First Quarter 2018 April 26, 2018

  2. Slide 2: Forward-Looking Statements

    2 This presentation contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are based on our management’s beliefs and assumptions and on information currently available to management. Forward-looking statements include information concern

  3. Slide 3: Non-GAAP Financial Measures

    3 In addition to reporting financial results in accordance with accounting principles generally accepted in the United States (GAAP), we also refer to adjusted EBITDA, adjusted net income, revenue growth on a constant currency basis, adjusted EBITDA margin, adjusted EBITDA growth on a constant curre

  4. Slide 4: First Quarter 2018 Financial Highlights

    4 Compared to First Quarter 2017: • Revenue increased 17.5% to $153.0 million primarily driven by growth in new customers across our enterprise and e-commerce channels and an increase in paid download activity. • Revenue increased 12.8% on a constant currency basis. • Income from Operations decrease

  5. Slide 5: First Quarter 2018 Operating Highlights

    5 First Quarter 2018 Operating Highlights Compared to First Quarter 2017: • Paid downloads of 43.7 million up 0.5%. • Image library expanded to 186.9 million images, up 41.6%. • Video library expanded to 9.9 million video clips, up 45.1%. • More than 400,000 contributors made their images, video cli

  6. Slide 6: Revenue Detail by Sales Channel

    6 Revenue Detail by Sales Channel 2018 2017(1) 2016(1) Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 E-commerce $ 89.7 $ 87.8 $ 81.8 $ 82.2 $ 80.6 $ 81.4 $ 78.1 $ 81.4 $ 78.0 Enterprise $ 60.6 59.3 55.1 48.1 46.2 45.4 42.1 40.5 36.4 Digital Asset Management $ 2.7 4.7 4.2 3.7 3.5 3.3 2.9 2.5 2.3 Total Revenues $ 153.0

  7. Slide 7: First Quarter 2018 Strategic Transactions

    7 First Quarter 2018 Strategic Transactions During Q1 2018, the following strategic transactions were executed: • On January 4, 2018, we invested $15.0 million in convertible preferred shares issued by ZCool Network Technology Limited, substantively providing us with a 25% interest in ZCool China, t

  8. Slide 8: Adjusted EBITDA Bridge

    8 Adjusted EBITDA Bridge ($ in millions) Three Months Ended March 31, 2018 2017 % Δ Total Revenues $ 153.0 $ 130.2 18 % Total Expenses 120.4 123.6 (3 )% Net Income 32.6 6.6 394 % Plus: Depreciation & Amortization 10.9 7.0 56 % Plus: Equity-Based Compensation 5.6 6.0 (7 )% Plus: Other Adjustments 0.2

  9. Slide 9: Free Cash Flow

    9 Free Cash Flow ($ in millions) Three Months Ended March 31, 2018 2017 Net Cash From Operations $ 21.1 $ 17.2 Less: Capital Expenditures (15.0 ) (13.5 ) Less: Content Acquisitions (0.6 ) (0.8 ) Free Cash Flow $ 5.5 $ 3.0

  10. Slide 10: Adjusted Net Income

    10 Adjusted Net Income (in millions, except per share data) Three Months Ended March 31, 2018 2017 Net Income $ 32.6 $ 6.6 Add: Non-Cash Equity-Based Comp 5.6 6.0 Add: Acquisition-Related Amortization 1.1 1.0 Add: Acquisition-related long-term incentives and contingent consideration 1.0 — Less: Gain

  11. Slide 11: 2018 Guidance

    11 2018 Guidance 2018 Guidance YOY Growth vs. 2017 Revenue $625 - $635 million 15.5% - 17.4% Adjusted EBITDA $105 - $110 million 19.3% - 25.0% Income from Operations $30 - $35 million Non-Cash Equity Based Comp. ~$28 million Capital Expenditures ~$48 million Effective Tax Rate Mid 20’s% The Company’

  12. Slide 12: All rights reserved.

    © 2018 Shutterstock, Inc. All rights reserved.

Shutterstock — Q1 2018 Earnings Presentation on 6ix