Slide 1: Q1 2023 Earnings Presentation
Q1 2023 Earnings Presentation May 10, 2023
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements. All statements other than statements of historical facts contained in this presentation, including statements regarding the Company’s future results of operations and financial position, business strategy, ability to maintain existin
Slide 3: Key Financial Highlights
$105.3M Q1 Revenue $39.4M Q1 Gross Profit $(11.8M) Q1 Adjusted EBITDA(1) +26% YoY Growth +20% YoY Growth (11.2)% Q1 Adjusted EBITDA margin $86.7M Marketplace 37.4% Q1 Gross Margin Q1 2023 $18.6M Supplier Services (15.2)% (8.7)% (6.3)% (14.5)% (11.2)% Key $103.6 $105.3 $95.6 $98.2 $40.9 $37.7 $39.4 $
Slide 4: Significant Value Creation from Digitizing Markets
Significant Value Creation from Digitizing Markets Travel Retail Payments Transportation Manufacturing © 2023 Xometry, Inc. and/or its affiliates. All rights reserved. 4
Slide 5: Manufacturing is a Massive, Highly Inefficient Market
Manufacturing is a Massive, Highly Inefficient Market Buyer Pain Points Seller Pain Points Highly fragmented, regionalized Geographic isolation and base of manufacturers; 75% of limited access to customers American manufacturers have fewer than 20 employees Reliance upon antiquated business Difficul
Slide 6: Traditional Sourcing is Slow, Costly, and Inefficient
Traditional Sourcing is Slow, Costly, and Inefficient © 2023 Xometry, Inc. and/or its affiliates. All rights reserved. 6
Slide 7: An Integrated Solution for Buyers and Suppliers
An Integrated Solution for Buyers and Suppliers © 2023 Xometry, Inc. and/or its affiliates. All rights reserved. 7
Slide 8: Artificial Intelligence is at the Heart of Xometry's Platform
3D Geometry and Feature Recognition enhancing pricing accuracy and identifying issues Artificial Intelligence is at the Matching Instant of buyers and pricing and lead suppliers based on Heart of time quotes for buyers and Competitive Moat with Millions of Data Inputs and order features and supplier
Slide 9: AI-Enabled Extensible Platform
AI-Enabled Extensible Platform CNC Machining Assemblies and Sheet Metal Weldments Fabrication Uniting AI / ML technology on a cloud- based marketplace that provides buyers access to thousands of vetted suppliers Urethane Injection worldwide Casting AI Technology Molding Offering dozens of core manuf
Slide 10: Extensible Platform Providing One-Stop Shop
Extensible Platform Providing One-Stop Shop Xometry’s marketplace supports major industries and manufacturing processes across North America, Europe, and Asia Aerospace Medical Prototyping Production Retail Test Parts End Market Parts Robotics and Tech The Xometry marketplace is a one-stop shop Gove
Slide 11: Extensible Marketplace
Extensible Marketplace Xometry’s marketplace supports production across many industries and manufacturing processes Customer Industry Process Description Agriculture Multi-technology and assembly Full electro-mechanical robotic assemblies Aerospace and Defense CNC Landing gear components Medical Dev
Slide 12: Growing Customer Share of Wallet
Growing Customer Share of Wallet From prototype to production g tampin Die C Sh e Metal S F a et & astin n br T sio ica ub tru tio e g n et aterj Ex CNC & W Mac r hinin Lase Cutting g S he e t As we leverage 500K Suppliers on Thomas, we will meet even more of our inting Tube customers’ needs and bec
Slide 13: Realizing an Effective Land and Expand Strategy
Realizing and Effective Land and Expand Strategy Annual spend ($ in thousands) Global E-Commerce Leader Government Agency Multinational Tech Conglomerate Electric Vehicle Manufacturer 223% CAGR 415% CAGR 268% CAGR 121% CAGR $6,774 $5,683 $1,158 $1,183 $2 $2 $22 $2 2015 2022 2017 2022 2017 2022 2017
Slide 14: Rapidly Growing a Global Marketplace
Rapidly Growing a Global Marketplace Expanding Global Footprint Localized Offerings Available Globally 13 Languages 6 Currencies EUROPE EU HQ: Revenue Split by Geographic Segment Munich, Germany ASIA ASIA HQ: Shanghai, China International International 2 2 % / $3M 89 % / $33 $32M Strong Growth $141M
Slide 15: One-Stop Shop for Suppliers
One-Stop Shop for Suppliers Connecting industrial suppliers with qualified buyers by enabling their products and services to be discovered Operations Marketing Financial • Workcenter is a full suite • Subscription-based access • Fast Pay: allows Suppliers to of tools that enables to advertising and
Slide 16: Workcenter Empowers Suppliers to Manage their Business
Workcenter Empowers Suppliers to Manage their Business Source and consolidate work Manage operations Monitor performance Secure cash flow And more…. © 2023 Xometry, Inc. and/or its affiliates. All rights reserved. 16
Slide 17: Marketplace Focus Through Product Innovation
Marketplace Focus Through INSTANT QUOTE FOR Product Innovation 1688.com LAUNCHED XOMETRY UK INDUSTRIAL BUYING ENGINE, INSTANT QUOTE, AND RFQ THOMASNET INTEGRATION LOW-COST EU INDUSTRIAL SUPPLIER SOURCING & NETWORK MARKETING SERVICES WORKCENTER IPO: XMTR XOMETRY ASIA CAD FINANCIAL INTEGRATIONS XOMETR
Slide 18: Resulting in Expanded Marketplace Use
Resulting in Expanded Marketplace Use 1,109 Q1 Accounts with 44,716 Q1 Active Buyers1 LTM Spend of at Least $50K2 2,447 Active Suppliers3 44,716 1,109 40,664 1,027 2,447 974 36,789 894 2,010 33,491 30,683 790 +46% +40% YoY Growth YoY Growth 1,410 +22% YoY Growth 774 1Q22 2Q22 3Q22 4Q22 1Q23 1Q22 2Q2
Slide 19: Significant Growth at Scale
Significant Growth at Scale $ in millions Annual and LTM Revenue $105.3M Quarterly Revenue and YoY Growth • $303.1M Marketplace Revenue • $86.7M Marketplace Revenue • +48% YoY Marketplace Revenue Growth • +35% YoY Marketplace Revenue Growth • $18.6M Supplier Services Revenue $105.3 $381.1 $103.6 $95
Slide 20: Revenue Predictability Underscored by Existing Accounts
Revenue Predictability Underscored by Existing Accounts Percentage of Revenue from Existing Accounts(1) 96% 96% 96% 95% 94% 1Q22 2Q22 3Q22 4Q22 1Q23 (1) We define an existing account as an account where at least one buyer has made a purchase on our marketplace. © 2023 Xometry, Inc. and/or its affili
Slide 21: Increasing Value from Existing Marketplace Accounts
Increasing Value from Existing Marketplace Accounts1 Revenue $ in millions for global accounts New account cohorts through 20202 New account cohorts through 2022 New Year 1 Year 2 Year 3 Year 4 Year 5 2020 New Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 2022 Accounts Index3 Accounts Index3 2016
Slide 22: Supporting Expanding Gross Margin
Supporting Expanding Gross Margin $ in millions Annual and LTM Gross Profit and Margin Quarterly Gross Profit and Margin • 28.8% Marketplace Gross Margin • 77.4% Supplier Services Gross Margin 18.4% 23.5% 26.2% 38.7% 39.4% 39.4% 39.5% 36.7% 37.4% $147.6 $40.9 $37.7 $39.4 $36.0 $32.9 $57.1 $33.3 $14.
Slide 23: Investments to Drive Long Term Growth
Investments to Drive Long Term Growth $ in millions Quarterly Adj. EBITDA1 and Margin (15.2)% (8.7)% (6.3)% (14.5)% (11.2)% $(6.5) $(8.3) $(11.8) $(12.7) $(14.2) 1Q22 2Q22 3Q22 4Q22 1Q23 1) We define Adjusted EBITDA as net loss, adjusted for interest expense, interest and dividend income and other e
Slide 24: Non-GAAP Operating Expenses
Non-GAAP Operating Expenses (% of Revenue) Sales and Operations and Product G&A (1) (2) Marketing (1) (3) Support (1) Development (1) 13.1% 22.7% 21.4% 6.7% 13.5% 13.2% 18.8% 18.8% 19.6% 10.9% 6.1% 12.3% 11.9% 12.6% 10.1% 10.3% 5.7% 9.5% 5.5% 5.4% 1Q22 2Q22 3Q22 4Q22 1Q23 1Q22 2Q22 3Q22 4Q22 1Q23 1Q
Slide 25: Significant Opportunities for Long Term Growth
Significant Opportunities for Long Term Growth Pursue strategic acquisitions Continue international expansion Enhance and offer Become an additional supplier Attract new services buyers and grow enterprise wallet share with solution existing buyers © 2023 Xometry, Inc. and/or its affiliates. All rig
Slide 26: Forward Guidance
Forward Guidance © 2023 Xometry, Inc. and/or its affiliates. All rights reserved. Confidential © 2022 Xometry and/or its affiliates. All rights reserved. Confidential
Slide 27: Guidance
Guidance ($ in millions) Q2 2023 FY 2023 (in millions) (in millions) Low High Low High Revenue $109 $111 $470 $480 Adjusted EBITDA $(9.5) $(8.5) $(26.0) $(24.0) Note: For a reconciliation of Adjusted EBITDA to the most directly comparable GAAP measure, see Appendix. © 2023 Xometry, Inc. and/or its a
Slide 28: Xometry Financial Highlights
Xometry Financial Highlights $ in millions Total Revenue Adjusted EBITDA1 and Margin (18.2)% (11.0)% (5.0)% - (5.5)% $470-480 FY Guidance FY 2021 FY 2022 2023 $381.1 $218.3 YoY Growth 23-26% $(24)-(26) FY 2021 FY 2022 FY Guidance 2023 $(39.8) $(41.8) 1. We define Adjusted EBITDA as net loss, adjuste
Slide 29: Path to Adjusted EBITDA Profitability
Path to Adjusted EBITDA Profitability 2023 Outlook Changes Impact • Marketplace: Active buyer growth, Land and Expand/Top • 23-26% Total YoY Revenue growth 200 strategy, Marketplace improvements- expanding processes/IBE, International expansion in Europe and Asia • Marketplace Revenue growth in the
Slide 30: Appendix
Appendix © 2023 Xometry, Inc. and/or its affiliates. All rights reserved. Confidential © 2022 Xometry and/or its affiliates. All rights reserved. Confidential
Slide 31: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation ($ in thousands) (1) Represents depreciation expense of the Company’s long-lived tangible assets and amortization expense of its finite-lived intangible assets, as included in the Company’s GAAP results of operations. (2) Represents the non-cash expense related to stoc