Slide 1: BlackLine Investor Presentation 4Q'24
BlackLine Investor Presentation | 4Q’24 As of February 11th, 2025
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements. These statements may relate to, but are not limited to, expectations of future operating results or financial performance of BlackLine, Inc. (“BlackLine” or the “Company”), the calculation of certain key financial and operating metri
Slide 3: Market Leader with Large & Underpenetrated TAM
Market Leader with Large & Underpenetrated WHO WE ARE $45B TAM Champions of strategic accounting and finance transformation OUR WINNING ASPIRATION To inspire, power, and guide $$ digital finance transformation Compelling Land Durable Business Model & Expand Model with Investment in Profitable Growt
Slide 4: BlackLine's Market: The Office of the CFO
BlackLine’s Market: The Office of the CFO Internal External Invoice-to-Cash Reporting Reporting Intercompany Consolidation Financial Planning Financial Close Financial Data By being positioned upstream within the Office of the CFO, BlackLine is uniquely able to ensure comprehensive control, enhanced
Slide 5: Financial Systems Environments are Highly Complex
Financial Systems Environments are Highly Complex Vendor Data Market Intel Data Commissions Mgmt. System Expense Mgmt. System Contract Mgmt. System CRM Payroll Accounts Revenue System (US) Payable Mgmt. System ERP A Payroll System (Intl.) Customer Indirect Tax Employee Data ERP B ERP C Mgmt. System
Slide 6: Market Leader with Large & Underpenetrated TAM
Market Leader with Large & Underpenetrated TAM These two process areas, Record-to-Report and Invoice-to-Cash, represent distinct addressable markets. Record-to-Report Invoice-to-Cash $34B $11B $45B Total Addressable Market Comprised of over 160,000 companies across BlackLine’s target markets in Nort
Slide 7: Blue-Chip, Industry-Agnostic Customer Base
Blue-Chip, Industry-Agnostic Customer Base INDUSTRY BREADTH INDUSTRY DEPTH 8 5 8 1 7 of the of the of the of the of the Top 10 Top 10 Top 10 Top 10 Top 10 EXAMPLE: HEALTHCARE & LIFE SCIENCES MANUFACTURING CONSUMER RETAIL ENERGY FINANCIAL SERVICES HEALTHCARE & LIFE SCIECNES PHARMA & MEDTECH BIOTECH 4
Slide 8: Transforming the World's Largest Companies
Transforming the World’s Largest Companies We are focused on deepening and expanding our relationships with the world's largest and most complex organizations. 70%+ DOWJ 20%+ 60%+ 35 %+ Nikkei 225 40%+ Fortune 500 FSTE 100 CAC 40 60%+ 40%+ 30% + DAX 40 ASX 100 NASDAQ (Enterprise) PRIORITY OPPORTUNIT
Slide 9: Building an Industry Leading Automation Platform
Building an Industry Leading Automation Platform BlackLine is closer than ever before to realizing its plan to become a platform financial operations solution provider. 2014 2023 Intercompany Hub Consolidation 2001 2007 2016 2020 2022 2023 BlackLine Task Management Acquisition of Invoice-to-Cash mar
Slide 10: Studio – A Platform for the Future
Studio 360 – A Platform for the Future The BlackLine Platform enables financial operations that are accurate, efficient, and intelligent. APPLICATIONS OUTCOMES PLATFORM DATA SOURCES Identify Risks & Anomalies Studio360 Control ERPs Centralized management of financial hierarchies, policies & certific
Slide 11: Our Go-To-Market & Customer Strategy
Our Go-To-Market & Customer Strategy Enterprise Mid-Market Account Expansion >$750M Annual Revenue $100M-750M Annual Revenue After Initial Sale BlackLine Account BlackLine Direct Sales Management Global Sales SAP Reseller through SolEx Deployment Partner Ecosystem (Channel, SIs, BPOs, ERP, Consultin
Slide 12: Proven Ability to Drive Land and Expand Platform
Proven Ability to Drive Land and Expand Platform Growth Cohort Multiple Annualized Revenue by Customer Cohort1 2024 1.0x 2023 1.2x 2022 1.1x 2021 1.1x 2020 1.2x 2019 1.4x 2018 1.5x 2017 1.7x 2016 1.9x 2015 2.2x 2014 2.6x 2013 4.4x 2012 5.1x 1 Reflects annualized subscription and support revenue for
Slide 13: Expanding Within Our Customers
Expanding Within Our Customers Enterprise Consumer Retail Customer Enterprise Global Industrials Customer Current ACV of ~$540k Current ACV of ~$1.3M USERS ACV USERS ACV Higher ASPs of Strategic Strategic Solutions enable 250 Solutions enable significant ACV $600 1,000 significant ACV expansion $1,5
Slide 14: Extending the Competitive Moat Fuels Growth
Extending the Competitive Moat Fuels Growth Indispensable Platform for the Office of the CFO Indispensable • Expanded functionality for the controllership Platform for • SaaS-based platform the Office of • End-to-end accounting automation technology the CFO • Highly scalable and configurable • ERP a
Slide 15: Numerous Levers to Drive Sustained Growth
Numerous Levers to Drive Sustained Growth Functional Adjacencies 5 Expand to relevant adjacencies through innovation & strategic M&A International Expansion 4 Grow existing footprint and leverage partners for ROW distribution 3 Partner Ecosystem Deepen and extend partner relationships 2 Customer Exp
Slide 16: 4Q'24 Financial Highlights
4Q’24 Financial Highlights 4,400+ Customers 9% Revenue Growth $641M Total ARR1 22% FCF Margin2 95% SaaS recurring revenue 6% YoY increase $37M of FCF generated $ $$ $1.6k+ 80% $879M 102% ARPU3 Gross Margin2 RPO Net Revenue Retention On our 397,000+ user base Highly-profitable business model 4% YoY
Slide 17: Highly Visible Subscription Growth Model
Highly Visible Subscription Growth Model Total Revenue Subscription & Support Revenue $M $M $619 $556 $653 $491 11%1 Y/Y Growth 11%1 $399 $590 Y/Y Growth $329 $523 $426 2020 2021 2022 2023 2024 $352 Services Revenue $34 $34 $M $32 $27 (1%)1 $23 Y/Y Growth 2020 2021 2022 2023 2024 2020 2021 2022 2023
Slide 18: Expanding our High-Quality Customer & User Base
Expanding our High-Quality Customer & User Base Customers Users ‘000s 397 387 367 4,398 4,443 4,188 328 3,825 292 3,433 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 18
Slide 19: Continuously Growing Our Customer Wallet Share
Continuously Growing Our Customer Wallet Share 603 customers with an ARR1 of $250k+ 71 $1M+ 64 56% 48 36 CAGR in customers 27 spending $1M or more $250k+ 14 23% 532 7 485 429 6 367 295 2 251 203 CAGR in customers 162 112 spending $250K or more 2016 2017 2018 2019 2020 2021 2022 2023 2024 19 1ARR ref
Slide 20: Demonstrated Profitability
Demonstrated Profitability Non-GAAP Operating Income Margin1 Non-GAAP Net Income Margin1 25% 25% 19% 17% 13% 12% 9% 9% 9% 6% 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 20 1 See appendix for GAAP financial measures and reconciliations.
Slide 21: Sustained Cash Flow Generation
Sustained Cash Flow Generation Free Cash Flow Margin Free Cash Flow $M $164 66%1 Y/Y Growth 25% $99 17% 13% $56 10% $35 5% $26 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 21 Note: Free cash flow defined as cash flows from operating activities less capex. 1 LTM growth as of December 31, 2024.
Slide 22: Target Model Framework
Target Model Framework Metric 2020 2021 2022 2023 2024 Target Model Primary Drivers GTM execution, strategic solutions, Total Revenue Growth 22% 21% 23% 13% 11% 13%-16% partnership strategy, industry strategy, platform/product innovation, gov’t GCP migration completion, Cloud Gross Margin1 83% 80% 7
Slide 23: Appendix
Appendix 23
Slide 24: Non-GAAP Reconciliations: Gross Profit and Free Cash Flow
NON-GAAP RECONCILIATIONS, NON-GAAP GROSS PROFIT AND FREE CASH FLOW ($ IN 000’S) Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 2020 2021 2022 2023 2024 Non-GAAP Revenues GAAP revenues $120,236 $128,477 $134,268 $139,957 $138,984 $144,574 $150,708 $155
Slide 25: Non-GAAP Reconciliations: Operating Income and Net Income
NON-GAAP RECONCILIATIONS, NON-GAAP OPERATING INCOME AND NON-GAAP NET INCOME ($000’S) Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 2020 2021 2022 2023 2024 Non-GAAP Income from Operations GAAP income (loss) from operations ($25,364) ($12,693) ($21,41
Slide 26: Non-GAAP Reconciliations: S&M, R&D, G&A
NON-GAAP RECONCILIATIONS, NON-GAAP S&M, NON-GAAP R&D, NON-GAAP G&A ($000’S) Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 2020 2021 2022 2023 2024 GAAP Sales and Marketing Expense $60,027 $66,000 $64,540 $66,295 $61,931 $62,749 $61,576 $56,898 $61,11