Smartrent, Inc. · NYSE:SMRT
Smartrent — Q1 2023 Earnings Presentation
16 slides from Smartrent's earnings presentation, May 10, 2023
Slide 1: 2023 1Q Earnings Deck
2023 1Q Earnings Deck May 2023
Slide 2: Forward Looking Statements; Use of Non-GAAP Financial Measures
Forward Looking Statements This presentation contains forward-looking statements within the meaning of the safe harbor from civil liability provided for such statements by Securities Litigation Reform Act of 1995 (set forth in Section 27A of the Securities Act of 1933, as amended, and Section 21E of
Slide 3: Record Quarterly Revenue
Record Quarterly Revenue Solid growth in all three revenue streams Revenue by Type ($ in thousands) $70,000 $65,079 74% YoY Quarterly Revenue $52,500 Growth (vs. 1Q22) $47,502 37325 $42,409 $40,551 $37,359 $35,000 26683 20895 17680 22114 8791 12769 60% QoQ Quarterly Revenue $17,500 9123 7478 Growth
Slide 4: Steady Quarterly SaaS Revenue Expansion
Steady Quarterly SaaS Revenue Expansion Hub revenue amortization steady as SaaS continues to expand Hosted Services Revenue Breakdown ($ in thousands) $16,000 $13,341 $14,080 $14,985 11% $12,391 QoQ Quarterly SaaS Revenue Growth (vs. 4Q22) $12,000 5992 6000 5351 4747 $8,336 $8,000 4262 8080 8993 $36
Slide 5: Record Quarterly Gross Profit
Record Quarterly Gross Profit Fourth consecutive quarterly improvement Gross Profit ($ in thousands) & Gross Margin (%) 14.0% $10,000 14.0% 9.7% 10.5% 4.3% QoQ Gross Margin Percentage $6,250 7.0% Point Improvement 9115 3.5% 2.3% 2.5% $2,500 .0% 3921 988 1183 (3.5%) ($1,250) (7.0%) $5.2 million -4744
Slide 6: Quarterly Gross Profit Improvement
Quarterly Gross Profit Improvement Breakdown of gross profit improvement by revenue stream Gross Profit by Revenue Stream ($ in thousand) $10,000 $7,500 $5,000 9227 8392 6825 6036 $2,500 4753 3258 2617 256 1266 $0 -56 ($2,500) -4992 -4865 -6908 -7088 -8258 ($5,000) ($7,500) ($10,000) Hardware Profes
Slide 7: Quarterly Gross Margin Improvement
Quarterly Gross Margin Improvement Improvements in Professional Services and Hosted Services drive overall growth Gross Margins by Revenue Stream (%) 80.0% (2.1%) QoQ Hardware Margin Percentage Point Change 30.0% 59.6% 61.6% 48.7% 51.2% 39.1% 14.8% 12.7% 1.2% 4.7% (20.0%) (0.3%) (54.7%) (38.1%) 42.5
Slide 8: Quarterly SaaS Gross Margin Growth
Quarterly SaaS Gross Margin Growth Steady growth of SaaS gross margin SaaS Gross Profit ($ in thousands) & Gross Margins (%) $7,000 80.0% 2.6% 72.5% 69.9% $5,250 60.0% QoQ SaaS Margin Percentage 57.5% Point Improvement 51.8% $3,500 40.0% 6564 31.8% 5759 $1,750 3889 4533 20.0% $0.8 million QoQ SaaS G
Slide 9: Quarterly Operating Expense Reductions
Quarterly Operating Expense Reductions Efficiency gains driving operating expense improvement Operating Expenses ($ in thousands) $30,000 $28,001 $27,848 $26,191 $24,409 7% QoQ Operating Expense Improvement $23,559 $22,500 13832 15337 14185 12017 11951 $15,000 5162 6139 4901 4670 5161 $1.8 million Q
Slide 10: Quarterly Adjusted EBITDA Improvement
Quarterly Adjusted EBITDA Improvement Fourth consecutive quarter of improvements Adjusted EBITDA ($ in thousands) & Adjusted EBITDA % (of revenue) $0 0.0% -8474 -13.0% 40% QoQ Adjusted EBITDA Improvement ($6,000) -17.5% -14112 -17625 -19831 ($12,000) -23141 -34.8% -35.0% -37.1% -46.8% ($18,000) -61.
Slide 11: Illustrative Sales Cycle & Portfolio Rollouts
Illustrative Sales Cycle & Portfolio Rollouts Portfolio-wide rollouts of existing customers represent a significant organic growth opportunity 99% 99% 1 98% 95% UDR 94% portfolio rollout 0.75 December ‘18 Venterra Aimco portfolio rollout portfolio rollout October ‘20 Essex September ‘18 portfolio ro
Slide 12: Financial & Business Outlook
Financial & Business Outlook Intra-quarter profitability in 2023 Guidance 2Q 2023 Full Year 2023 Total Revenue $50M to $55M $225M to $250M Adjusted EBITDA $(7)M to $(3)M $(25)M to $(15)M The above estimates represent a range of possible outcomes and may differ materially from actual results. These e
Slide 13: TTM Condensed Consolidated Balance Sheet
TTM Condensed Consolidated Balance Sheet (Unaudited, $ in thousands, except per share amounts) 3/31/23 12/31/22 9/30/22 6/30/22 3/31/22 Cash and cash equivalents $ 203,933 $ 210,409 $ 210,112 $ 255,008 $ 278,003 Accounts receivable, net 59,069 62,442 64,085 45,135 62,543 Inventory 66,853 75,725 61,2
Slide 14: TTM Condensed Consolidated Statement of Operations
TTM Condensed Consolidated Statement of Operations (Unaudited, $ in thousands, except per share amounts) Three months ended 3/31/23 12/31/22 9/30/22 6/30/22 3/31/22 Revenue Hardware $ 37,325 $ 17,680 $ 26,683 $ 20,895 $ 22,114 Professional services 12,769 8,791 7,478 9,123 6,909 Hosted services 14,9
Slide 15: Reconciliation of Non-GAAP Metrics
Reconciliation of Non-GAAP Metrics ($ in thousands) Three months ended Reconciliation of Non-GAAP Measures 3/31/23 12/31/22 9/30/22 6/30/22 3/31/22 Net loss $ (13,215) $ (21,389) $ (25,950) $ (25,589) $ (23,394) Interest income, net (2,016) (1,199) (506) (253) 12 Provision for income taxes (7) 347 8
Slide 16: Definition of Key Operating Metrics
Definition of Key Operating Metrics SmartRent regularly monitors several operating and financial metrics to evaluate its operating performance, identify trends affecting its business, formulate business plans, measure its progress, and make strategic decisions. SmartRent’s key operating metrics may