Vivid Seats Inc. · NASDAQ:SEAT

Vivid Seats — Q1 2022 Earnings Presentation

21 slides from Vivid Seats's earnings presentation, May 10, 2022

  1. Slide 1: Vivid Seats Q1 2022 Financial Results

    Vivid Seats Q1 2022 Financial Results (Nasdaq: SEAT) May 10, 2022

  2. Slide 2: Agenda

    Agenda 01 Business Highlights & Update Stan Chia, Chief Executive Officer 02 Financial Results Lawrence Fey, Chief Financial Officer 03 Q&A Stan Chia, Chief Executive Officer Lawrence Fey, Chief Financial Officer

  3. Slide 3: Forward looking statements and use of non-GAAP financial measures

    Forward looking statements and use of non-GAAP financial measures Safe Harbor • Certain statements made in this presentation are "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. All statements other

  4. Slide 4: Business Highlights & Updates

    Business Highlights & Updates Stan Chia, Chief Executive Officer

  5. Slide 5: Q1 2022 Financial Highlights

    Q1 2022 Financial Highlights Marketplace GOV1 Revenues Adjusted EBITDA2 $742M $131M $21M Up from $116M in Q1’21 Up from $24M in Q1’21 Up from $4M in Q1’21 • Record first quarter Marketplace GOV & Revenues despite unexpectedly high cancellations • Excluding excess cancellations3 • Adjusted EBITDA wou

  6. Slide 6: Net Promoter Score

    Net Promoter Score Vivid Seats earns strong scores from fans & sellers alike Fans Sellers 51 31 1 -12 -26 -28 -52 -57 -71 -79 *Source: NPS survey among 979 Vivid Seats buyers and 95 sellers performed by MMR Research Associates in April 2021. As used in this presentation, NPS refers to a percentage,

  7. Slide 7: Key Brand Partnerships

    Key Brand Partnerships EPSN “Hot Ticket” Spotlight Capital One Entertainment Existing Official Ticketing Partner; now with branded Redeem rewards for unforgettable experiences, segment highlighting in-demand matchups built and powered by Vivid Seats Vivid Seats • 7

  8. Slide 8: Financial Updates

    Financial Updates Lawrence Fey, Chief Financial Officer

  9. Slide 9: Marketplace GOV and Revenues

    Marketplace GOV and Revenues (in thousands) Marketplace GOV11 Marketplace GOV RevenuesGOV1 Marketplace $163,888 $876,467 $139,538 $742,138 $130,772 $693,090 $713,062 $115,498 $116,473 $24,114 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Vivid Seats • 9 (1) Marketpl

  10. Slide 10: Net Income/(Loss) and Adjusted EBITDA

    Net Income/(Loss) and Adjusted EBITDA (in thousands) GAAP Net Income (Loss) 1 Adjusted EBITDA 2 $324 $3,138 $41,965 $45,000 50% $2,645 $5,000 100% 2% -1% 0% 2% $40,000 45% $0 0% $36,195 40% $35,000 -84% ($1,847) 35% ($5,000) Net Income (Loss) margin % -100% 31% $27,522 30% $30,000 30% $25,000 ($1 0,

  11. Slide 11: Net Debt and Cash Flow

    Net Debt and Cash Flow (in thousands) CashMarketplace Flow from Operations GOV1 Q2’21 benefited from change in net operating Cash Term Loan assets as pandemic subsided as of outstanding $152,235 principal as of 3/31/22 3/31/22 $314M $275M As compared to $39M net cash position $490M as of 12/31/21 wi

  12. Slide 12: 2022 Financial Guidance

    2022 Financial Guidance Key Financial Metrics May 10, 2022 March 10, 2022 Change Marketplace GOV $2.80B to $3.05B $2.7B to $3.0B Revenues $520M to $555M $510M to $550M Adjusted EBITDA1 $110M to $115M $110 to $115M (1) Adjusted EBITDA is not a measure defined under GAAP. We believe adjusted EBITDA pr

  13. Slide 13: Adjusted EBITDA Comparison

    Adjusted EBITDA Comparison (in millions) Adjusted EBITDA Comparison1 $160.0 Adjusted EBITDA Excluding $145.5 investments and pubco expenses $140.0 Combined $33M $9.0 of investments and pubco expenses $24.0 $120.0 incremental to 2019 $100.0 $80.0 $60.0 Mid-point $119.2 $112.5 Guidance $40.0 $20.0 $0.

  14. Slide 14: Closing Remarks

    Closing Remarks Stan Chia, Chief Executive Officer

  15. Slide 15: Key Takeaways

    Key Takeaways Flywheel Gathering Our marketplace flywheel is working as we emerge from the pandemic Momentum with record results and momentum with both buyers & sellers Healthy Supply- We sit at the intersection of supply and demand; recent volume indicates Demand Environment healthy environment and

  16. Slide 16: Q&A

    QSA vividseats

  17. Slide 17: Thank You

    Thank You investors@vividseats.com

  18. Slide 18: Supplementary Financial Data – Q1 2022

    Supplementary Financial Data – Q1 2022 (in thousands) Marketplace Revenues by Event Category EPS1 Three Months Ended March 31, Three Months 2022 2021 Change % Change Ended March 31, Revenues: Numerator—basic: 2022 Concerts $ 58,673 $ 7,014 $ 51,659 737% Net income $ 3,138 Sports 38,915 14,138 24,777

  19. Slide 19: Supplementary Financial Data – Historical AOS

    Supplementary Financial Data – Historical AOS1 Average Order Size ($) 500 485 450 427 405 397 400 385 368 355 350 329 331 322 299 303 300 285 250 200 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 (1) Average Order Size (“AOS”) is calculated b

  20. Slide 20: Non-GAAP Reconciliations

    Non-GAAP Reconciliations (in thousands except for percentages) 2021 2022 2021 2022 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Net income (loss) / Net income (loss) margin -$20,251 $2,645 -$1,847 $324 $3,138 -84.0% 2.3% -1.3% 0.2% 2.4% Income tax expense - - - $30

  21. Slide 21: Non-GAAP Reconciliations

    Non-GAAP Reconciliations Notes: (1) We have historically incurred sales tax expense in jurisdictions where we expected to remit sales tax payments but were not yet collecting from customers. During the second half of 2021, we began collecting sales tax from customers in all required states. The sale

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