26 slides from Cardlytics, Inc. Common Stock's earnings presentation, Mar 1, 2022
Slide 1: Q4 2021 Earnings Presentation
CARDLYTICS Q4 2021 Earnings Presentation March 1, 2022
Slide 2: Disclaimer
Disclaimer This presentation includes forward-looking statements. All statements contained in this presentation other than statements of historical facts, including statements regarding expectations about future financial performance or results of Cardlytics, Inc. (“Cardlytics,” “we,” “us,” or “our)
Slide 3: Company overview
01 Company overview
Slide 4: We power a native ad platform in our partners' digital channels
We power a native ad platform in our partners’ digital channels. © 2021 Cardlytics 4
Slide 5: Scaled solution and distinctive benefits
Cardlytics provides a scaled solution based on 175M+ Monthly Active Users(1) purchase intelligence $3.7T+ Distinctive benefits for marketers + Reach valuable banking customers + Operate in a brand-safe, privacy-protected, in Annual Spend(2) trusted digital channel + Market to the most valuable custo
Slide 6: Five strategic initiatives to create shareholder value
Cardlytics is focused on five strategic initiatives to create shareholder value Ad server and ads manager + 50% of MAUs connected to new ad server by year end of 2022 + Increasing adoption by agency, middle market and SMB clients adoption + Upgraded UI / UX for more content and better offer construc
Slide 7: Dosh overview
Dosh Innovative platform + Dosh’s technology complements Cardlytics’ product and technology roadmap overview + Modern, efficient platform that can quickly integrate with neo-banks, fintechs, smaller banks, and consumer-facing organizations Founded: 2016 | HQ: Austin, TX Partnerships with + Dosh brin
Slide 8: Bridg overview
Bridg Product-level Insights that differentiate from + + Access to SKU and UPC data through its client relationships Connects to merchant’s point-of-sale through proprietary technology overview CDP peers + Capable of connecting to most point of sale systems in the U.S. + Ability to ingest, clean and
Slide 9: Entertainment overview
Entertainment New offer capabilities + + High-value middle market and local business content Merchants located in nearly every U.S. MSA covering ~95% of overview the population + Offers available after banks launch the ad server and evolve the user experience Founded: 1962 | HQ: Detroit, MI Engageme
Slide 10: Financial information & operating metrics
02 Financial information & operating metrics
Slide 11: Trended consolidated results
Trended consolidated results Revenue Adj. Contribution(1) Billings(1) Q4 Billings 42.6% y/y $134.0 $90.0 Q4 Revenue $100.9 $94.0 $98.4 34.2% y/y $82.8 $85.3 $73.8 $76.3 $69.3 $67.8 $67.1 $65.0 $62.1 $58.9 $58.6 $56.4 $53.2 $48.7 $45.5 $39.5 $46.1 Q4 Adj. $36.0 Contribution $28.2 $44.0 $31.0 $29.7 $2
Slide 12: Billings and adjusted contribution best reflect performance
Billings and adjusted contribution best reflect performance Billings Consumer incentive Enhanced consumer GAAP revenue Partner share Adjusted Total in aggregate Set by CDLX to achieve incentive Recognized as Revenue; Portion of Revenue contribution paid by marketers marketing objectives; Additional
Slide 13: Q4 2021 year-over-year consolidated results
Q4 2021 year-over-year consolidated results Three Months Ended Change December 31 2020 2021 $ % Billings(1) $93,965 $133,973 $40,008 42.6% Consumer Incentives 26,883 43,924 17,041 63.4% $43,924 42.6% Revenue $67,082 $90,049 $22,967 34.2% BILLINGS Consumer Adjusted Partner Share and other third-party
Slide 14: Cardlytics platform advertiser spend by industry
Cardlytics platform advertiser spend by industry % Change % of Total Advertiser Spend Three Months Ended Three Months Ended December 31, 2021 December 31, Industry vs 2020 vs 2019 2019 2020 2021 Grocery & Gas > 75% > 55% < 10% > 5% < 15% Restaurant > 5% > 0% > 25% > 30% > 15% Retail > 45% > 35% > 35
Slide 15: Cardlytics platform engagement metrics
Cardlytics platform Offer Activation Rates by Industry Q4 2020 Q4 2021 engagement metrics(1) 6.65% 6.32% 4.69% 4.04% 4.01% 3.67% 3.65% 3.53% 2.99% There may be variation in future quarters due to factors such as 2.55% 2.57% 2.59% 2.66% 2.77% 2.87% 2.86% global economic events, bank launches, new adv
Slide 16: Significant MAU increase precedes opportunity for growth
Significant MAU increase precedes opportunity for expected billings growth and future ARPU expansion for the Cardlytics platform MAUs(1) ARPU(1) $0.52 170.6 175.4 $0.44 168.5 167.6 161.6 163.6 $0.49 157.2 $0.40 140.8 $0.33 133.4 $0.41 128.3 120.1 $0.36 108.5 $0.34 $0.32 $0.32 $0.29 $0.18 Q1 19 Q2 19
Slide 17: Appendix
03 Appendix
Slide 18: Q4 2021 results
Q4 2021 results Three Months Ended Change Year Ended Change December 31, December 31, 2021 2020 AMT % 2021 2020 AMT % Revenue $90,049 $67,082 $22,967 34.2% $267,116 $186,892 $80,224 42.9% Billings(1) 133,973 93,965 40,008 42.6% 394,075 263,355 130,720 49.6% Gross Profit 36,163 24,787 11,376 45.9% 10
Slide 19: Reconciliation of GAAP revenue to billings
Reconciliation of GAAP revenue to billings Three Months Ended Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 2021 Cardlytics Platform Revenue $35,988 $48,730 $56,419 $69,293 $45,509 $28,222 $46
Slide 20: Reconciliation of GAAP gross profit to adjusted contribution
Reconciliation of GAAP gross profit to adjusted contribution Three Months Ended Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Cardlytics Platform 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 2021 Revenue $35,988 $48,730 $56,419 $69,293 $
Slide 21: Reconciliation of GAAP partner share and other third-party costs
Reconciliation of GAAP partner share and other third-party costs to adjusted partner share and other third-party costs Three Months Ended Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Cardlytics Platform 2019 2019 2019 2019 2020 2020 2020 2020 202
Slide 22: Reconciliation of GAAP net loss to adjusted EBITDA
Reconciliation of GAAP net (loss) income to adjusted EBITDA Three Months Ended Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Mar 31, Jun 30, Sept 30, Dec 31, Cardlytics Platform 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 2021 Net (loss) income ($6,314) ($6,510) ($7,74
Slide 23: Reconciliation of GAAP net loss to non-GAAP net loss
Reconciliation of GAAP net loss to non-GAAP net loss and non-GAAP net loss per share Three Months Ended Year Ended December 31, December 31, 2021 2020 2021 2020 Net loss ($11,834) ($6,777) ($128,565) ($55,422) Plus: Stock-based compensation expense 12,849 7,584 50,264 32,396 Foreign currency loss (g
Slide 24: Definitions
Definitions Adjusted contribution: We define adjusted contribution measures of the degree by which revenue generated from our marketers exceeds the cost to obtain the purchase data and the digital advertising space from our partners. Adjusted contribution demonstrates how incremental marketing spend
Slide 25: Industry and account definitions
Industry and account definitions Segment Segment Constituents Agency Accounts Merchants on the Cardlytics platform in which we interact with an advertising agency that we believe holds significant influence over the decision-making process as it relates to the design and management of advertising ca
Slide 26: fa] cardlytics
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