SEMrush Holdings, Inc. · FWB:628
SEMrush — Investor Day (October 2024)
113 slides from SEMrush's investor day presentation, Oct 1, 2024
Slide 1: Semrush Analyst Day 2024
10.01.2024New York
Slide 2: Agenda
Agenda 2SEMRUSH ANALYST DAY 2024 History & Vision Oleg Shchegolev — CEO Product Strategy Eugene Levin — President Enterprise SEO Solution Andrew Warden — CMO Go To Market Strategy Andrew Warden & Tommie OʼBrien — CMO & CSO Financial Strategy Brian Mulroy — CFO Q&A Break → → → → → →
Slide 3: Safe Harbor
Safe Harbor 3 This presentation will contain forward-looking statements which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements concerning our expected future business and fi
Slide 4: History & Vision
D HISTORY faa & VISION
Slide 5: Our Journey
Our Journey 5 2012 Founded Semrush 2024 Launched Enterprise SEO and Expect to Surpass $400M in ARR2022 Launched First AI Powered Product with ChatGPT 1.0 2018 Launched Semrush Local & Intelligence 2016 Launched Semrush Brand & Content 2008 Built First SEO Product 2015 10,000 Customers 2018 Completed
Slide 6: Our Journey: From a Product to a Platform
6 2008 Started with a Single SEO Product 2012 Expanded into a Search Engine Marketing Toolkit 2015 Became a Suite of Online Visibility Tools 2020 Evolved into a Digital Marketing Platform 2024 Becoming an Enterprise-Ready AIPowered Digital Marketing Platform Our Journey From a Product to a Toolkit
Slide 7: Pillars of Semrush Success
Pillars of Semrush Success 7 Strong Foundation & Track Record of Success 01 Solving Increasingly Complex & Critical Problems 02 Extensive Opportunity with Multiple Growth Drivers 03
Slide 8: Strong Foundation & Track Record of Success
8 → Diverse & Loyal Customer Base → Strong Financial Performance → Innovative Talent & Culture → Large Addressable Market → Sustainable Competitive Moat History & Vision / Oleg Shchegolev — CEO Strong Foundation & Track Record of Success 01
Slide 9: Our Diverse & Loyal Customer Base
Our Diverse & Loyal Customer Base 9 Enterprise Customers 8,000 Countries 150 Customers 116,000 Industries, Market Segments and Marketing Disciplines All All metrics as of 6/30/24. Enterprise Customers are companies with 500+ employees.
Slide 10: Nearly 40% of the Fortune Trust Us
Nearly 40% of the Fortune 500 Trust Us 10
Slide 11: Our Strong Financial Performance
Our Strong Financial Performance 11 36% ARR CAGR Q2ʼ24 vs. Q2ʼ18 $400M Estimated FY24 Ending Annual Recurring Revenue Double Digit Non-GAAP Operating Margin $230M Cash, Cash Equivalents and Short-Term Investments ARR projected for 2024; remaining metrics as of 6/30/24 See Appendix for GAAP to No
Slide 12: Our World Class Talent & Culture
12 13 Offices All Over the World ~1600 Employees & Contractors Our World Class Talent & Culture All metrics as of 6/30/24
Slide 13: 2023 & 2024 Award Winning
13 2023 & 2024 Award Winning → Ownership → Innovation → Creativity → Data-Driven → Efficiency
Slide 14: Our Large Market Opportunity
14 Our Large Market Opportunity + Evolved from Suite to Platform + Enterprise GTM Investment + Enhanced Sophistication + Enterprise SEO Launch + Portfolio Investment + Pricing Leverage + Market Growth $13B $40B TodayAt IPO See Appendix for detailed TAM calculation
Slide 15: Our Strong Competitive Moat
Our Strong Competitive Moat Extensive Data Set that Enables Proprietary Insights History & Vision / Oleg Shchegolev — CEO Network Effect to Enhance AIPowered Intelligence High Gross Margin Structural Advantage Leading Brand Loyalty Integrated Platform Global Scale 1 2 3 4 5 6 15
Slide 16: How We Solve Increasingly Complex & Critical Problems
16 → AI Powered → Comprehensive → Multi-Product Platform → Proven Return on Investment History & Vision / Oleg Shchegolev — CEO How We Solve Increasingly Complex & Critical Problems 02
Slide 17: Our Success Linked to Our Customer's Success
Our Success Linked to Our Customerʼs Success 17 Create Brand Awareness Online Create Relevant Content that Resonates Be Present in Conversations Maintain Favorable Reputation & Perception 04 03 01 02
Slide 18: Attention, Martech Tools and Budgets
Attention is Limited Content & Martech Tools are Exploding Budgets are Limited 18
Slide 19: Semrush Marketing Platform
Semrush Marketing Platform 19
Slide 20: Don't just take our word for it
… donʼt just take our word for it International Awards 22 "...the all in one tool you need" "THE Best in the Business!!!" "The best feature of Semrush might be its ability to offer multiple tools in one place!" "...covers all aspects of Digital Marketing at a competitive price" "If you're using anyt
Slide 21: © SEMRUSH
© SEMRUSH
Slide 22: Extensive Opportunity with Multiple Growth Drivers
22 → Increase Paying Customers → Expand Average ARR → Enterprise SEO Solution → Enhance Portfolio History & Vision / Oleg Shchegolev — CEO Extensive Opportunity with Multiple Growth Drivers 03
Slide 23: Core Strategies for Growth
Core Strategies for Growth 23 Increase Paying Customers Across All Segments Expand Average ARR per Customer with Semrush Marketing Platform Extend SEO Reach with new Enterprise Product Enhance Product Portfolio with more Enterprise Capabilities 04 03 01 02
Slide 24: Product Strategy
eal © PRODUCT STRATEGY
Slide 25: Pillars of Product Success
Pillars of Product Success 25 Understanding the Increasingly Complex & Critical Problems 01 Delivering Market Leading Technology & Data 02 Leading with AI 03
Slide 26: Increasingly Complex & Critical Problems
26 Increasingly Complex & Critical Problems
Slide 27: Overwhelming Digital Noise
Overwhelming Digital Noise 27 Information barrier gets bigger every day: average consumer already spends 6.5 hours a day online and is overwhelmed with information 2.3M 720K 1B 8.5B 50B hours of video uploaded to Youtube Facebook stories across all apps blog posts on Wordpress alone Google sear
Slide 28: Constantly Evolving Digital Marketing Channels
28 Constantly Evolving Digital Marketing Channels In 20 years we went from website and email to ● Google / Bing ● Content Marketing ● Youtube / TikTok ● FB / X / Snapchat / Instagram / Linkedin ● Mobile ● Influencers ● Blogs / Digital media ● Review websites ● AI agents Yelp Digital reviews Google b
Slide 29: Rank Organically: Only Page One Matters
29 Rank Organically Only Page 1 Matters 01 Click Through Rate (CRT) by Position Source: Semrush Intelligence 70% of organic traffic generated by the first THREE organic links WIP Source: Estimate based on Semrush Intelligence as of August 2024
Slide 30: Pay for Paid Advertising, But Costs Increasing
30 Pay for Paid Advertising …But Costs Increasing 02 WIP
Slide 31: Increase Followers, Likes, Shares & Comments
31 Increase Followers, Likes, Shares & Comments 03
Slide 32: Maintain Favorable Reviews & Reputation
32 Maintain Favorable Reviews & Reputation 04
Slide 33: Establish Local Presence
33 Establish Local Presence 05
Slide 34: Create Relevant Content
34 Create Relevant Content 06
Slide 35: Growing Complexity Drives Demand for Martech
Growing Complexity Drives Demand for Martech As complexity increased, marketers needed more data, tools and features and that demand created a market that greatly benefits from the most complete platforms such as Semrush Source: chiefmartec.com Marketing Technology Landscape as of May 2024 (with 201
Slide 36: Businesses Have Three Bad Options
Businesses Have Three Bad Options 36 Biased Use tools provided by Google, Facebook and other networks Challenges: ● Paid Channel Focus ● Siloed ● Single Network ● Conflict of Interest Fragmented Use point solutions for each channel Challenges: ● Inefficient ● Siloed ● Limit Visibility ● Disaggrega
Slide 37: Delivering Market Leading Technology & Data
37 Delivering Market Leading Technology & Data
Slide 38: Unique Combination of Data Assets
Unique Combination of Data Assets … with 16 Years of History 38 Total Profiles 200+ million domains Monitored in 150 countries Keyword Data 25+ billion keywords Anonymized Panel Data Billions of events analyzed per week Display Ads Data 300+ million ad samples Web Index 33+ trillion backlinks 17+ b
Slide 39: Network Effects
Over time customers run more campaigns and share more data Network Effects 39 As customers use more products they convert to paying customers Unique Insights generate demand Data from customers allows us to improve quality of insights for all customers
Slide 40: Semrush Marketing Platform
Semrush Marketing Platform 40
Slide 41: Semrush Provides a Platform for the Holistic Workflow
Semrush Provides a Platform for the Holistic Workflow 41
Slide 42: Industry Analysts Recognize Our Leadership
…and Industry Analysts recognize our leadership 42 SEO Tools SEO Leader Leader Leader Local SEO Local Leader Leader Local Marketing Leader Leader Local Listing Management Leader Leader Social Media Suites Social Media Leader Leader Leader Social Media Analytics Leader Leader Leader Social Media Mana
Slide 43: Leading with AI
43 Leading with AI
Slide 44: Pillars of AI Monetization
3 Pillars of AI Monetization 44 Core Features for All to Increase Retention & Conversion Premium Features to Drive Upgrades Stand Alone Products to Drive Cross-Sell Examples ● Reply to review feature Examples ● ContentShake ● SocialContent AI ● AdCreative AI Examples ● Copilot ● Report summary
Slide 45: cA iE
cA iE a are ye La? - ri pa
Slide 46: Q&A
Q&A 46
Slide 47: Enterprise SEO Solution
© ENTERPRISE fa SEO SOLUTION
Slide 48: Key takeaways from this session
Key takeaways from this session 48 With the evolution from Semrush Core → Enterprise SEO, we operate at the cutting-edge of digital marketing SaaS Organic traffic remains one of the most efficient channels for customer acquisition Todayʼs SEOs spend more than 90% of their time analyzing data, and on
Slide 49: SEOs spend nearly 90% of time collecting & analyzing data
Todayʼs SEOs and digital marketers spend nearly 90% of time collecting & analyzing data vs. taking action More and more complexity with frequent Google Updates and rise of AI Lack of time and resources with demand for results and cross-functional collaboration Many point solutions— that donʼt solve
Slide 50: How SEOs solve their problems today
50 How SEOs solve their problems today
Slide 51: Rankings Drop: Days to Find Out Why
Rankings Drop: 7 Days to Find Out Why Reduced to 30 Minutes with Enterprise SEO 51 Filter and Format the Data Clean Up Data & Remove Outliers Apply Rules to Identify Patterns Report on Findings Move Data to Pivot Table Collect Data Do It All Again 3 DAYS 4 DAYS Complete in 30 mins with Statistics a
Slide 52: Expensive SEO Stacks
Expensive SEO Stacks Bad Options) Example of Enterprise SEO Stack 52 Position Tracking Technical Research Backlink Monitoring Reporting Content Additional Tools in annual subscriptions alone $1M $300,000+ when subscription fees, labor from finance, legal, IT, and productivity costs are factored in
Slide 53: Demonstrating the value
Demonstrating the value 53 Greater traffic outcomes, faster recovery MORE REVENUE Value in aggregation Value in interpreting the data in record time The ability to take action within the same business day vs. weeks Semrush Data & Intelligence Platform
Slide 54: Semrush Enterprise SEO Solution
Forecasting Forecast how much SEO traffic impact and potential revenue opportunity exists SEO Forensics Automate SEO research using powerful insights from our integrated data lake. Content Analysis Determine how content is performing across your site as well as what content to create with AI Interna
Slide 55: Semrush Enterprise SEO Solution
Semrush Enterprise SEO Solution Eliminate Time Spent getting SEO things done Forecasting Forecast how much SEO traffic impact and potential revenue opportunity exists SEO Forensics Automate SEO research using powerful insights from our integrated data lake. Content Analysis Determine how content is
Slide 56: Forecasting Workflow
56 Forecasting Workflow ● Lightning-fast, precise SEO valuation forecasting. Quantify traffic, revenue gains; and SEO value ● Budget optimization for maximum efficiency. Achieve higher organic traffic with improved cost-efficiency compared to the expenses of paid advertising. ● Save time with crysta
Slide 57: AI-Powered Comprehensive Content Management
AIPowered Comprehensive Content Management ● Best-in-class content creation refined with AI precision. Produce high-caliber content with AI enhancements. ● Rapid, effective content production. Utilize AI for multilingual content briefs and real-time scoring. ● Strategic content alignment. Optimize
Slide 58: SEO A/B Analysis
58 SEO A/B Analysis ● Cut through the guesswork & save time. Gain clarity on which changes yield results from a single platform, saving time and effort on ineffective tasks. ● Unmatched flexibility. Unparalleled versatility in testing, diverse page groups and types to perfectly tailor comparisons an
Slide 59: Expert Network
Expert Network Save time and mitigate risk. Avoid lengthy procurement processes and advocacy battles. Access top SEO talent. Leverage a network of leading industry experts to bridge skill and talent gaps. Comprehensive SEO solutions: ● SEO Ideation / Brown Bag ● SEO Training ● Technical/Content SEO
Slide 60: What our customers say
60 What our customers say
Slide 61: 61
61
Slide 62: Analyst Day
© SEMRUSH ANALYST —
Slide 63: Customer speaker introduction
= Hi, I" m Bein Indig. eh ANALYST 7 DAY 2024 E
Slide 64: Thank you
Thank you
Slide 65: Go To Market Strategy
Slide 66: Semrush Go-To-Market Strategy
Semrush Go-To-Market Strategy Semrush Target Market 01 Efficient Product- Led Growth 02 Sales-Led Growth & Expanded Opportunity for the Enterprise 03
Slide 67: Semrush Target Market
67 Semrush Target Market 01
Slide 68: The Evolution of our Buyer
The Evolution of our Buyer Marketing Specialists ● Research ● Content ● Brand ● Social ● Local ● SEM ● SEO Marketing Generalists ● Generalists ● Solopreneurs ● Business Owners Marketing Leadership ● Organic Marketing ● Brand Marketing ● Digital Marketing ● Analytics ● Decision Makers: CMO/CFO/CIO
Slide 69: Go-To-Market Motions
Go-To-Market Motions 69 Product-Led Motion → Automated → One-to-Many → Standard Pricing → SelfGuided Purchase → Higher Volume, Lower Value → Large Addressable Market → Efficient LTVCAC Ratio for Business Owners, Marketing Generalists and Specialists Sales-Led Motion → Personalized → One-to-One → N
Slide 70: Efficient Product-Led Growth
70 → Brand Awareness → Present in Conversation → Favorable Brand Reputation → Content that Inspires → Content that Educates Go-To-Market Strategy Efficient Product-Led Growth 02
Slide 71: Foundation of a Strong Product-Led Motion
Foundation of a Strong Product-Led Motion 71 Create Brand Awareness Online Create Relevant Content that Resonates Be Present in Conversations Maintain Favorable Reputation & Perception 04 03 01 02
Slide 72: Content that Educates, Content that Inspires
Content that Educates Content that Inspires
Slide 73: Product-Led Motion Stages
Product-Led Motion Stages ProductLed Motion Awareness + Education Registration Trial Conversion to Paid with Rapid Time to Value Upgrade + Support 73
Slide 74: Expanded Opportunity & Investments in Enterprise
74 → Sales-Led Motion Foundation → Massive Untapped Opportunity → Demand for Enterprise Solutions → Execution Readiness Go-To-Market Strategy Expanded Opportunity & Investments in Enterprise 03
Slide 75: Sales-Led Motion Stages
Sales-Led Motion Stages SalesLed Motion Demand Generation Lead Qualification Meeting Demo Technical Review Commercial Negotiation Close Post-Sale Upgrade 75
Slide 76: Sales-Led Motion Success To-Date: Average ARR
Sales-Led Motion Success To-Date 76 20182023 are as of 12/31 and 2024 YTD represents an ending 9/30/24 estimate Average ARR per Paying Customer
Slide 77: Sales-Led Motion Success To-Date
Sales-Led Motion Success To-Date 77Customers with ARR $50KCustomers with ARR $10K 20182023 are as of 12/31 and 2024 YTD represents an ending 9/30/24 estimate
Slide 78: Sales-Led Opportunity Ahead
Sales-Led Opportunity Ahead 78 Install Base Competitor Displacement Whitespace
Slide 79: Enterprise SEO Customers We Have Already Won
Enterprise SEO Customers We Have Already Won 79
Slide 80: Logos in Our 8,000 Installed Base
Logos in Our 8,000 Installed Base Weʼre Laser-focused on… 80
Slide 81: Sales-Led Motion Investments
Sales-Led Motion Investments Demand Generation Targeted, relevant outbound marketing Talent & Winning Culture in both Sales and Customer Success Advanced Selling Process (from transactional to trusted advisor) Systems & Process (CPQ, Salesforce.com, Guardrails, Deal Desk, Quote to Cash)04 03 01 02 0
Slide 82: Slide 82
Slide 83: Financial Strategy
Brian © FINANCIAL fi STRATEGY
Slide 84: Pillars of Financial Success
Pillars of Financial Success 84 Strong Foundation & Track Record of Success 01 Extensive Opportunity with Multiple Growth Drivers 02 Continued Growth & Expanding Profitability 03
Slide 85: Strong Foundation & Track Record of Success
85 → Consistent Growth → Increasing Average ARR → Expanding Up-Market Mix → Multiple Segments → Expanding Profitability Financial Strategy / Brian Mulroy — CFO Strong Foundation & Track Record of Success 01
Slide 86: Strong ARR Growth
Strong Track Record of Growth Strong ARR Growth 86 36% CAGR Q2ʼ2018Q2ʼ2024 20182023 are as of 12/31 and 2024E is our projected guidance for 2024. 36% represents a 6 year CAGR from Q2ʼ18 through Q2ʼ24
Slide 87: Strong New Customer Demand
Strong Track Record of Growth Strong New Customer Demand 87 3X Since 2018 20182023 are as of 12/31 and 1Hʼ24 represents ending 6/30/24
Slide 88: Consistent Average ARR Per Customer Expansion
Strong Track Record of Growth Consistent Average ARR Per Customer Expansion 88 2X Since 2018 20182023 are as of 12/31 and 2024 YTD represents an ending 9/30/24 estimate
Slide 89: Semrush Customer Segmentation
89 Semrush Customer Segmentation
Slide 90: Significant Large Customer Growth
Strong Track Record of Growth Significant Large Customer Growth 90Customers with ARR $10K Customers with ARR $50K 20182023 are as of 12/31 and 2024 YTD represents an ending 9/30/24 estimate
Slide 91: Semrush Customer Segmentation: % of ARR
Semrush Customer Segmentation % of ARR Solopreneur & Freelancer → 20% of ARR → NRR 80% → ARR Declining Y/Y → Seasonal or Project Use Business & Agency → 80% of ARR → NRR 120% → ARR Up 30% Y/Y → Increasing Engagement Segmentation Data estimated as of 9/30/24. Solopreneurs and Freelancers repr
Slide 92: Segmentation: % of ARR for Business & Agency
Semrush Customer Segmentation % of ARR for Business & Agency Segment Segment Diversity 55% of ARR from Sophisticated Enterprise, Mid-Market and Marketing Agency Accounts Approximately 8,000 Enterprise, over 17,000 Mid-Market and over 21,000 Marketing Agencies → → Segmentation Data estimated as of
Slide 93: Average ARR per Customer for Business & Agency
Semrush Customer Segmentation Average ARR per Customer for Business & Agency Average ARR per Customer Expansion Since September 2018 Average ARR Expansion 2X Overall Increase since 2018 More Pronounced for Enterprise Driven by Cross-Sell, Up-Sell and Pricing Leverage Expect Acceleration with New Ent
Slide 94: Efficient Performance
Efficient Performance As we scale, our efficiency continues to improve 94 2000 Basis Point Increase to Non-GAAP Operating Margin Since 2022 20182023 are our full year Non-GAAP Operating Margin results for the year ending 12/31; Q2ʼ24 is for the quarter ending 6/30/24
Slide 95: Efficient Performance: Cost Efficiency Drivers
Efficient Performance Cost Efficiency Drivers 95 Highly Scalable Platform which gives us a structural advantage to reinvest into Product, Sales and Marketing Strong CAC to LTV economics by using Semrush Products AI and Automation investments that enable an efficient, frictionless journey through Pro
Slide 96: Extensive Opportunity with Multiple Growth Drivers
96 → Increase Paying Customers → Expand Average ARR → Enterprise SEO → Enhance Portfolio Financial Strategy / Brian Mulroy — CFO Extensive Opportunity with Multiple Growth Drivers 02
Slide 97: Extensive Opportunity: $40B TAM
97 Extensive Opportunity $40B TAM + Evolved from Suite to Platform + Enterprise GTM Investment + Enhanced Sophistication + Enterprise SEO Launch + Portfolio Investment + Pricing Leverage + Market Growth $13B $40B TodayAt IPO See Appendix for detailed TAM calculation
Slide 98: Extensive Opportunity: Average ARR per Customer
Extensive Opportunity Driven by continued increase in Average ARR per Customer 98 Major Inflection Drivers ● Enterprise SEO Solution ● AI Powered Products ● Expanded Enterprise GTM Continued Drivers ● Pricing Initiatives ● Existing Cross-Sell Paths ● Retention Initiatives Future Drivers ● Improving
Slide 99: Extensive Opportunity: Net New Customer Additions
Extensive Opportunity … and continued net new customer additions 99 Segment Potential Average ARR per Customer Potential Target Accounts Total Addressable Market TAM Enterprise $100,000 90,000 $9.0B Mid-Market $16,000 360,000 $5.8B SMB $4,000 6,300,000 $25.2B Total Addressable Market Opportunity $
Slide 100: Continued Growth & Expanding Profitability
100 → Q3ʼ24 Update → Near-Term Outlook → Updated Long-Term Model → Capital Allocation Strategy Financial Strategy / Brian Mulroy — CFO Continued Growth & Expanding Profitability 03
Slide 101: Q3'24 Preliminary Results
Q3ʼ24 Preliminary Results 101 Guidance Metric Q3ʼ24 Guidance as of August 5, 2024 Preliminary Q3ʼ24 Results as of October 1, 2024 Revenue Guidance Range $96M — $97M Preliminary Results at High End of Guidance Range Non-GAAP Operating Margin Approximately 11% Approximately 12%
Slide 102: Core Strategies for Growth
Core Strategies for Growth 102 Increase Paying Customers Across All Segments Expand Average ARR per Customer with Semrush Marketing Platform Extend SEO Reach with new Enterprise Product Enhance Product Portfolio with more Enterprise Capabilities 04 03 01 02
Slide 103: Near-Term Outlook
Near-Term Outlook Continued Strong Growth and Profitability Expansion 103 01 02 Sustained 20% Near Term Revenue CAGR Continued Free Cash Flow Margin Expansion
Slide 104: Long-Term Target Operating Model
Long-Term Target Operating Model 104 Gross Margin Sales & Marketing Research & Development General & Administrative Non-GAAP Operating Income Loss Margin FCF Margin *20202023 are as of 12/31. 2024E projected as of 12/31/24. All metrics calculated as a percentage of revenue FY 2020 FY 2021 FY 2022
Slide 105: Capital Allocation Strategy
Capital Allocation Strategy Focused on Building Shareholder Value 105 1 Invest in Organic Growth ● Platform infrastructure ● Product suite offerings ● Sales and marketing 2 Invest in Inorganic M&A ● Close Adjacencies ● Talent ● Technology 3 Maintain Strong Balance Sheet ● $230M Cash & Equivalents ●
Slide 106: Key Takeaways
106 Key Takeaways 1. Market Opportunity is Massive: TAM tripled since IPO with increased share through displacement and white space opportunity 2. Recognized Market Leader in Online Visibility with only Enterprise Ready, Integrated Platform and Network Effect that protects our Competitive Moat 3. Sa
Slide 107: Thank you for your time
Thank you for your time. Please share your feedback.
Slide 108: Appendix
APPENDIX
Slide 109: TAM Calculation Details
TAM Calculation Details 109 We estimate that, based on our potential customer spending levels for Semrush products in market, the annual global potential market opportunity for our Marketing SaaS Platform is currently $40 billion. We calculated this estimate based on the number of Enterprise (those
Slide 110: GAAP to Non-GAAP Operating Margin Reconciliation
GAAP to Non-GAAP Operating Margin Reconciliation 110 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 Q2 2024 GAAP operating income (loss) 6.6 8.2 6.1 2.5 36.4 7.7 3.4 Stock-based compensation expense 0.2 0.5 1.0 2.7 7.4 15.3 7.2 Amortization of acquired intangibles - - 0.1 0.2 1.9 2.3 0.
Slide 111: GAAP to Non-GAAP Gross Margin Reconciliation
GAAP to Non-GAAP Gross Margin Reconciliation 111 FY 2020 FY 2021 FY 2022 FY 2023 Q2 2024 GAAP Gross Margin 76% 77.7% 80.9% 83.0% 83.6% Stock-based compensation expense - - - - 0.1% Amortization of acquired intangibles - - 0.4% 0.3% 1.0% Restructuring and other costs - - - - - Acquisition-related cos
Slide 112: Definitions
Definitions 112 Annual Recurring Revenue (ARR): we define ARR as of a given date as the monthly recurring revenue that we expect to contractually receive from all paid subscription agreements that are actively generating revenue as of that date multiplied by 12. We include both monthly recurring pai
Slide 113: Estimated Stats Source
113 Estimated Stats Source Average consumer already spends 6.5 hours a day online “Digital 2023 Global Overview Report - The Essential Guide to the World’s Connected Behaviors” by We Are Social and Meltwater; and GlobalWebIndex Insight Reports (2017-2022) +720K hours of video uploaded to Youtube dai