Dhi Group, Inc. · NYSE:DHX
Dhi — Q1 2025 Earnings Presentation
39 slides from Dhi's earnings presentation, May 7, 2025
Slide 1: Q1 2025 Investor Presentation
NYSE: DHX Q1 2025 Investor Presentation May 7, 2025
Slide 2: Forward looking statements
Forward looking statements This press release and oral statements made from time to time by our representatives contain misuse of our intellectual property, claims against us for intellectual property infringement or forward-looking statements within the meaning of the Private Securities Litigation
Slide 3: Listed NYSE: DHX (2007)
Listed HQ Year End Diluted Shares Outstanding (Q4 2024) NYSE: Denver, CO December 31 46M DHX (2007) Est. 1990
Slide 4: DHI Company Overview
DHI Company Overview 2024 Annual Results and Five-Year Performance $142M $141M $35M 25% Revenue Bookings1 Adjusted EBITDA2 Adjusted EBITDA Margin2 +6% CAGR3 +6% CAGR3 +12% CAGR3 $21M $14M $32M $2M Operating Capex Debt Share Cash Flow Repurchases $70M From 2020 – Q1 2025 1 See d efinition of book ing
Slide 5: DHI Group: Two-Sided Marketplaces
DHI Group: Two-Sided Marketplaces Tech Companies and Professional Recruiters Candidates 7.4M Tech Professionals 1.8M Tech candidates with Security Clearances Help Companies and Two Online SaaS Business Model Millions of Candidate Recruiters Attract, Recruiting Platforms with approximately Profiles d
Slide 6: DHI Offers Candidates that Cannot be Found Elsewhere
DHI Offers Candidates that Cannot be Found Elsewhere • Many active Dice tech professionals are not • LinkedIn has no profile field for government found on Monster, CareerBuilder (Resumes), clearance ZipRecruiter, Indeed or LinkedIn. • Government workers and contractors have • In cases where compe
Slide 7: Compelling ROI for Companies
Compelling ROI for Companies “Dice has paid for itself already as we made one hire that we could not find anywhere else.” American National Insurance Tech Professionals are very expensive. Most recruiters charge between 20-25% of the first-year salary of a candidate they place. Dice and CJ charge be
Slide 8: Forbes Claims Dice is the #1 Tech Job Resource
Forbes Claims Dice is the #1 Tech Job Resource Source: Forbes: The Go-To Job Boards for Tech and IT Job Seekers, July 19, 2024
Slide 9: Tech Workforce Growth
Tech Workforce Growth Over the next ten years, the tech workforce is projected to grow twice as fast as the overall U.S. workforce1. Projected tech growth rates Projected tech population growth rate 2 above the national rate2: 7.1M 304% Data Scientists and Data Analysts 267% Cybersecurity Analysts a
Slide 10: What's inside our profiles leads to better tech hires
What’s inside our profiles leads to better tech hires Visible Profiles Include: • Name • Resume • Job Title • Work Authorization • Work Preference • At Least 5 Skills • Location • Email • Clearance Level (ClearanceJobs)
Slide 11: Demonstrating ROI for Clients
Demonstrating ROI for Clients ClearanceJobs: To Leidos, ClearanceJobs is more than a vendor Results: Leidos: ClearanceJobs customer for 10 years. Purchased additional database seats, career • Great response time contacting cleared candidates events and media programs since 2014 • Carry ClearanceJobs
Slide 12: Opportunity for ClearanceJobs and Dice
Opportunity for ClearanceJobs and Dice 2024 Revenue1 10,000+ $54M, +16% CAGR2 Cleared employers Cleared Professionals Subscription clients Growth opportunity 100+ Marketplace 1.9K Government agencies 2024 Revenue1 $88M, +2% CAGR2 80,000+ Commercial accounts 18,000 Subscription clients Growth Tech Ca
Slide 13: How do we make money?
How do we make money? Clients Candidates Contracts Engagement Pay for Annual Don’t Pay to Create a Most have an We strategically limit Subscription Profile or Engage autorenewal clause and profile views and Contracts with Recruiters price escalator encourage connections 90%+ annual recurring revenue
Slide 14: DHI Group Annual Financial Performance
DHI Group Annual Financial Performance DHI Bookings2 ($M) DHI Revenue2 ($M) DHI Adjusted EBITDA ($M) & $152 Adjusted EBITDA Margin2 $150 $160 $142 0.3 $153 $36 $35 $141 $133 $120 $111 $31 0.25 $110 $26 25% $23 24% 22% 21% 0.2 20% 0.15 0.1 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 2020 2021 2
Slide 15: DHI Group Quarterly Financial Performance
DHI Group Quarterly Financial Performance DHI Adjusted EBITDA ($M) & DHI Bookings ($M) DHI Revenue ($M) Adjusted EBITDA Margin 6% 3% 8% 9% 7% 7% 6% 7% $9 $9 $9 $9 9% $36 $36 10% $49 $35 $35 14% $32 19% 26% $42 25% $7 9% 24% 24% 7% 7% $33 $30 $29 22% Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q1 24 Q2 24 Q3 24 Q4
Slide 16: Revenue Stability: Recurring Revenue Model
Revenue Stability: Recurring Revenue Model Monthly Revenue Composition Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Backlog Renewal New Business Transactional With a subscription-based business, a large portion of revenue is contracted and booked at the beginning of each year with high predictabi
Slide 17: DHI Group Cash Flow
DHI Group Cash Flow Operating cash flow, Capex & Cap Dev 1 ($ in millions) Quarterly Cash Flow Operating cash flow Capex Cap Dev Operating cash flow Capex Cap Dev $36 $29 $9.1 $21 $20 $21 $19 $18 $16 $17 $16 $15 $14 $13 $14 $5.5 $12 $4.4 $4.4 $3.4 $3.5 $3.2 $3.2 $3.1 $2.8 $2.7 $2.1 $2.2 $2.2 $2.0 20
Slide 18: Illustration of DHI Group Free Cash Flow
Illustration of DHI Group Free Cash Flow Adjusted EBITDA to Free Cash Flow1 Adjusted EBITDA Capex Working capital 2 Interest expense Income taxes Other Free Cash Flow Long term goal to deliver free cash flow at 10% of Revenue DHI Group Free Cash Flow Sources/ Uses composed of multiple elements, with
Slide 19: DHI Group Liquidity
DHI Group Liquidity Debt & Cash ($ in millions) 1 2 Debt Cash $ Shares Repurchased Leverage Ratio 1.05 Quarterly Liquidity 1.00 $41 $38 0.91 0.84 $35 $32 1.12 $33 0.72 $30 $32 $32 $23 $24 $20 $18 0.98 $13 0.95 $11 $8 0.91 0.88 $3 $4 $4 $4 $3 $3 $2 $2 $2 $2 $3 $2 $0 $0 $0 2020 2021 2022 2023 2024 Q1
Slide 20: DHI Group Buyback History
DHI Group Buyback History Shares Outstanding and Share Repurchases 1 (shares in thousands) Shares Repurchased Shares Outstanding 51,219 48,756 48,217 48,282 47,368 46,875 4,422 4,815 4,236 2,814 775 886 2020 2021 2022 2023 2024 YTD 2025 Shares outstanding generally decreasing from share repurchase p
Slide 21: Brand Performance
BRAND PERFORMANCE DHi
Slide 22: ClearanceJobs
ClearanceJobs 2024 Revenue1 10,000+ Cleared Professionals $54M, +16% CAGR2 Cleared employers Marketplace Subscription clients Growth opportunity 100+ 1.9K Government agencies 1 We had previously disclosed t hat career events were recorded with in Dice. Career events have been reclassified between Cl
Slide 23: ClearanceJobs Bookings
ClearanceJobs Bookings ClearanceJobs Bookings1 by Year ($M) $56 ClearanceJobs Bookings by Quarter3 ($M) $53 $48 $39 5% 1% $32 $17 0% $17 4% 8% $14 $13 $12 2020 2021 2022 2023 2024 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 ClearanceJobs Bookings CAGR 15% Q1 2025 Bookings for ClearanceJobs down $0.2M, or -1% YoY
Slide 24: ClearanceJobs Revenue
ClearanceJobs Revenue ClearanceJobs Revenue 1 by Year ($M) ClearanceJobs Revenue by Quarter3 ($M) $54 $50 $44 $35 7% 7% 8% 3% $30 10% $14 $14 $14 $13 $13 2020 2021 2022 2023 2024 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 ClearanceJobs revenue CAGR 16% ClearanceJobs revenue up +3% YoY in Q1 2025 1 We had previou
Slide 25: ClearanceJobs
ClearanceJobs Adjusted EBITDA and Capital Expenditures ($ in millions) 1 Adjusted EBITDA Capex Cap Dev Adjusted EBITDA Margin $6.3 $6.4 $6.0 $5.5 $5.7 46% 46% 44% 42% 43% $0.7 $0.7 $0.7 $0.7 $0.6 $0.6 $0.5 $0.5 $0.4 $0.3 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q1 2025 Adjusted EBITDA at $5.7M, or a margin of
Slide 26: Dice
Dice 2024 Revenue1 80,000+ $88M, +2% CAGR2 Commercial accounts Tech Candidate Subscription clients Growth opportunity 18,000 Marketplace 4.5K Staffing, Recruiting, Consulting Firms 1 We had previously disclosed t hat career events were recorded within Dice. Career events have been reclassified betwe
Slide 27: Dice Bookings
Dice Bookings Dice Bookings1 by Year ($M) $112 Dice Bookings by Quarter3 ($M) $100 $94 $85 $78 15% $32 20% $25 15% 14% 15% $19 $18 $16 2020 2021 2022 2023 2024 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Dice Bookings CAGR 2% Q1 2025 Dice bookings down $6.5M, or -20% YoY Q1 2025 revenue renewal rate for Dice at 7
Slide 28: Dice Revenue
Dice Revenue Dice Revenue1 by Year ($M) Dice Revenue by Quarter3 ($M) $106 $102 $85 $88 $81 14% 14% 12% 14% $23 18% $22 $21 $21 $19 2020 2021 2022 2023 2024 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Dice Revenue CAGR 2% Dice revenue down -18% YoY in Q1 2025 1 We had previously disclosed that career events were
Slide 29: Dice
Dice Adjusted EBITDA and Capital Expenditures ($ in millions) 1 Adjusted EBITDA Capex Cap Dev Adjusted EBITDA Margin 22% 22% 20% $5.0 19% $4.8 18% $4.3 $4.0 $3.4 $3.0 $2.7 $2.7 $2.6 $2.7 $2.5 $2.4 $2.2 $1.7 $1.6 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q1 2025 Adjusted EBITDA of $3.4M, a margin of 18%. Cap dev
Slide 30: Catalysts for Expected Growth
Catalysts for Expected Growth • Annual contract value expansion through subscription packages • Built for potential double-digit growth in a “normal” demand environment with Dice and ClearanceJobs Total Addressable Markets • Expansion of Dice transactional services • New CJ revenue line: Live Stream
Slide 31: Why Buy DHX Stock
WHY BUY DHX STOCK DHi
Slide 32: Why Buy DHX Stock
Why Buy DHX Stock • SaaS business with market cap of <1x revenue and <3x Adjusted EBITDA • 24%+ Adjusted EBITDA margin • Approximately 90% annual recurring revenue • CJ historically has minimal economic cycles or competition • Dice is a cyclical business entering an expected growth phase • Both CJ a
Slide 33: Appendix
M Appendix DHi
Slide 34: DHI Group, Inc. Supplemental data - customer data
DHI Group, Inc. Supplemental data - customer data (unaudited) 1 We had previously disclosed that career events were recorded within Dice. Career events have been reclassified between ClearanceJobs and Dice based on the nature of the event for all periods presented 2 Bookings represent the value of a
Slide 35: DHI Group, Inc. Supplemental data - Historical Activity
DHI Group, Inc. Supplemental data – Historical Activity (unaudited) (dollars in millions)
Slide 36: Notes regarding the use of non-GAAP financial measures and guidance
Notes regarding the use of non-GAAP financial measures and guidance Notes Regarding the Use of Non-GAAP Financial Measures Margin is computed as Adjusted EBITDA divided by revenue. We also consider Adjusted EBITDA and Adjusted EBITDA Margin, The Company has provided certain non-GAAP financial inform
Slide 37: DHI Group, Inc. Supplemental data - non-GAAP
DHI Group, Inc. Supplemental data - non-GAAP (unaudited) 1 Capitalized development costs consists of capitalized software costs and website development costs.
Slide 38: DHI Group, Inc. Supplemental data - non-GAAP
DHI Group, Inc. Supplemental data - non-GAAP (unaudited)
Slide 39: DHI Group, Inc. Supplemental data - non-GAAP
DHI Group, Inc. Supplemental data - non-GAAP (unaudited) 1 Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by that period’s revenue.