Liveone, Inc. · NASDAQ:LVO
Liveone — LiveXLive Media — Q3 FY2020 Earnings Presentation
13 slides from Liveone's earnings presentation, Feb 7, 2020
Slide 1: Transformative Acquisition of React Presents and Q3 FY 2020 Earnings Update
Transformative Acquisition of React Presents and Q3 FY 2020 Earnings Update NASDAQ: LIVX February 7, 2020 Livexlive.com 1
Slide 2: Safe Harbor
Safe Harbor The information in this presentation is provided to you by LiveXLive Media, Inc. (the “Company’) solely for informational purposes and is not an offer to buy or sell, or a solicitation of an offer to buy or sell, any security or instrument of the Company, or to participate in any investm
Slide 3: Agenda and participants
Agenda and participants Agenda About React Presents Transaction Snapshot Strategic Rationale Transaction Details Q3 Fiscal 2020 Earnings Update uw PwWwnr More information at: www.livexlive.com Call Participants Robert Ellin Chief Executive Officer & Chairman, LiveXLive Michael Zemetra Chief Financia
Slide 4: React Presents (RP)
React Presents (RP) re s iae a aa tet ¥ r ; em F rvice, Tub, ee and festival promotion in EDMSpace ™~ — Ae > Promotes over 250 ee mea | ot tp , o4't by 4 ay. op | “ beiMojor annueu efial clu Fava ning Fést ial yp & BAe!) “Summer Set Music Festival, A ha: each, i | React New, A ) Year'sEve ieee > A p
Slide 5: Transaction Snapshot
Transaction Snapshot Audio + Video + Social + Live New Subscription and Digital Opportunities react presents ransaction Summary Acquisition of React for a purchase price of $2.0 million in debt Expect significant revenue and operating cost synergies in FY 2021 | Expected to close in Q4 2020 > = * os
Slide 6: Live Events = Artist Relations
Live Events = Artist Relations > Partner directly with Artists > Offer new incentives for Artists to drive traffic and subscriptions > Opportunities to cross-promote across Facebook, YouTube and others > Brings LiveXLive closer to the Music Superfans > Strategic collaborations to sell more tickets a
Slide 7: Transaction Overview
Transaction Overview » Structure Acquisition price of $2.0 million of subordinated convertible debt with two-year maturity, 8% interest and a $4.50 conversion price > No immediate dilution or cash impact > Projected Financial Impact > No significant revenue, synergies or Adjusted Operating Income* d
Slide 8: LiveXLive Q3 FY 2020
LIVE X LIVE Q3 FY 2020 Earnings Update Livexlive.com
Slide 9: Q3 FY 2020 Key Highlights
Q3 FY 2020 Key Highlights * Reached 820,000 paid subscribers, up 28% Total Subscribers YoY 900,000 800,000 ° Livestreamed 9 events in Q3 and 36 events 700,000 YTD, generating over 67 million views YTD sooooe versus 24 events and 51 million views 400,000 entire fiscal March 2019 300,000 200,000 * Par
Slide 10: Consolidated Financials
Consolidated Financials Total Revenue $35.0 * Q3 Revenue was $9.7 million, up 8% $300 - YoY $25.0 $20.0 ~ $15.0 - * Q3 Contribution Margin* was $2.1 100 million, up 50% YoY ~ [ . | . Q3'19 Q3'20 YTD'19 MER BA nitions * Q3 Adjusted Operating Loss* was gee ated Peeearn tear $2.1 million, down 19% YoY
Slide 11: Financial Guidance
Financial Guidance** Guidance remains unchanged from original forecast 2020 Full Year Revenue of $38 - $40 million 2020 Full Year Adjusted Operating Loss* of $12 - $14 million 2020 Full Year CapEx range from $2 to $3 million 2020 Full Year expectations to livestream up to 40 music events * See Appen
Slide 12: Non-GAAP Definitions
Non-GAAP Definitions Appendix A To supplement our consolidated financial statements, which are prepared and presented in accordance with the accounting principles generally accepted in the United States of America (“GAAP”), we present Contribution Margin (Loss) and Adjusted Operating Loss (“AOL”), w
Slide 13: Reconciliation of Non-GAAP to GAAP
Reconciliation of Non-GAAP to GAAP Appendix A (In thousands and unaudited) Adjusted Operating Loss*: ‘Three Months Ended December 31, 2019 Music Operations Corporate Total ‘Three Months Ended December 31, 2018 Music Operations Corporate Total Revenue: Less Cost of Sales: ratio Operating Sree Income