Twilio Inc. · NYSE:TWLO
Twilio — Q3 2022 Earnings Presentation
17 slides from Twilio's earnings presentation, Nov 3, 2022
Slide 1: Q3 2022 Earnings Results
Q3 2022 Earnings Results November 3, 2022
Slide 2: Legal Disclaimer
Legal Disclaimer This presentation and the accompanying conference call contain forward-looking statements within the meaning of the federal securities laws, which statements involve substantial risks and uncertainties. Forward-looking statements generally relate to future events or our future finan
Slide 3: Financial Overview
FINANCIAL OVERVIEW 3
Slide 4: Results Highlights
Results Highlights • Third quarter revenue of $983 million, up 33% year-over-year • Third quarter organic revenue1 of $946 million, up 32% year-over-year • Third quarter revenue dollar-based net expansion of 122% • More than 280,000 active customer accounts, as of September 30, 2022 • Initiates Q4’2
Slide 5: Q3 Non-GAAP Loss From Operations Bridge
Q3 Non-GAAP Loss From Operations Bridge Non-GAAP loss from operations ($35M) Less: Non-cash accrual for the adoption of a new ($29M) sabbatical program Non-GAAP loss from operations excluding the non- cash accrual for the adoption of a new sabbatical ($6M) program 5
Slide 6: Quarterly Revenue
Quarterly Revenue $983 $943 $875 $843 $740 33% $669 $590 $548 $448 Q3’22 REPORTED REVENUE GROWTH Y/Y 65% 62% 67% 65% 52% 54% 48% 41% 33% 1 1 1 1 1 Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Reported Revenue ($M) Reported Revenue Growth Y/Y 1 Includes revenue from Zipwhip, which closed Jul
Slide 7: Q3'22 Organic Revenue Bridge
Q3’22 Organic Revenue Bridge $983M $946M $37M $717M 32% Q3’22 ORGANIC REVENUE GROWTH Y/Y Q3’22 Q3’22 Acquisitions Q3’21 Organic Reported Organic Revenue1 Revenue Revenue Revenue 1 Represents all acquisitions closed after July 1, 2021, including $17M in 10DLC A2P fees related to Zipwhip. 7
Slide 8: Organic Revenue Trend
Organic Revenue Trend $946 $862 $780 32% $685 $590 $606 $510 $531 $438 Q3’22 ORGANIC REVENUE GROWTH Y/Y 48% 54% 50% 47% 38% 34% 35% 33% 32% Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Organic Revenue ($M) Organic Revenue Growth Y/Y Note: Organic revenue excludes revenue from all acquisitio
Slide 9: Dollar-Based Net Expansion
Dollar-Based Net Expansion 137% 139% 133% 135% 131% 126% 127% 123% 122% Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Note: Zipwhip, which closed July 14, 2021, will not be included in the calculation until Q4 2022. Segment, which closed on November 2, 2020 is excluded from the calculation u
Slide 10: Top Customer Accounts
Top 10 Customer Accounts Represents top 10 customer accounts as a percentage of total revenue in the respective quarter 14% 13% 13% 12% 12% 12% 12% 11% 11% Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 10
Slide 11: International Revenue Mix
International Revenue Mix 34% 35% 35% 34% 32% 33% 29% 27% 27% 1 Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 1 Revised from previous misclassi cation of domestic customer revenue as reported in Q4 2021. For more information, refer to the appendix. Note: We de ne U.S. revenue as revenue from
Slide 12: Quarterly Non-GAAP Gross Profit
Quarterly Non-GAAP Gross Pro t $499 $481 $460 $432 $400 $360 $246 $307 $327 25% Q3’22 NON-GAAP GROSS PROFIT GROWTH Y/Y 62% 58% 61% 63% 42% 41% 41% 33% 25% Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Reported Non-GAAP Gross Pro t ($M) Reported Non-GAAP Gross Pro t Growth Y/Y Note: Non-GAAP
Slide 13: Thank You
THANK YOU
Slide 14: Appendix
APPENDIX 14
Slide 15: Operating Metrics
Operating Metrics Dollar-Based Net Expansion Rate. Twilio’s ability to drive growth and generate incremental revenue depends, in part, on the Company’s ability to maintain and grow its relationships with . existing Active Customer Accounts and to increase their use of the platform. An important way
Slide 16: Non-GAAP Reconciliation
Non-GAAP Reconciliation TWILIO INC. Reconciliation to Non-GAAP Financial Measures (In thousands, except share and per share amounts) Three Months Ended September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, September 30, 2020 2020 2021 2021 2021 2021 2022 2022 20
Slide 17: Reconciliation to Non-GAAP Financial Measures
TWILIO INC. Reconciliation to Non-GAAP Financial Measures (In thousands, except share and per share amounts) Three Months Ended September 30, December 31, March 31, June 30, September 30, December 31, March 31, June 30, September 30, 2020 2020 2021 2021 2021 2021 2022 2022 2022 GAAP loss from operat