Zoominfo Technologies Inc. · NASDAQ:GTM
Zoominfo Technologies — Q1 2022 Earnings Presentation
37 slides from Zoominfo Technologies's earnings presentation, May 2, 2022
Slide 1: Investor Overview and Financial Results
Investor Overview and Financial Results DATE May 2, 2022
Slide 2: Forward-Looking Statements
Q1 EARNINGS CALL > SAFE HARBOR STATEMENT Forward-Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform A
Slide 3: Business Model Delivering Durable Growth and Profitability at Scale
Q1 EARNINGS CALL > OVERVIEW Business Model Delivering Durable Growth and Profitability at Scale Growing TAM $70Bn Scale Growth Retention Estimated TAM(1) $967M 58% 116% Network Effects Annualized Q1 2022 Revenue Q1 2022 YoY Revenue Growth FY 2021 Net Revenue Retention rate(6) >100M Contact record ev
Slide 4: Sales and Marketing is Still Inefficient
Q1 EARNINGS CALL > OVERVIEW Sales and Marketing is Still Inefficient Sales reps need critical Constant change questions answered ADMIN & OTHER GATHERING & ENTERING DATA amplifies inefficiency before they can sell The business world is always changing “Is it a parent or a subsidiary?” People leave th
Slide 5: Best-of-Breed in a Unified Platform: RevOS
Q1 EARNINGS CALL > OVERVIEW Best-of-Breed in a Unified Platform: RevOS Category Solutions Market Reputation Ranked #1 for Lead Intelligence Contact Data 180m+ Contacts by G2 Ranked #1 in Market Intelligence Company Data 100m+ Companies by G2 30k+ Individual ZoomInfo Aligns Marketing and Sales Tech R
Slide 6: The Modern Revenue Operating System
Q1 EARNINGS CALL > OVERVIEW The Modern Revenue Operating System Display and Social Advertising Sales Intelligence Account-Based Marketing Buyer Intent Data Website Chat Key Contact Tracking Form Enrichment Conversation Intelligence Abandoned Form Tracking Pipeline Forecasting Audience Solutions Sale
Slide 7: The Modern Revenue Operating System
Q1 EARNINGS CALL > OVERVIEW The Modern Revenue Operating System Company & Contact Data Brick; Cleanse, Route, Prevent & Multi-Vendor Foundational Data Layer Enrichment; API solutions Audiences & Advertising Building Awareness WebSights; FormComplete; Website Chat; Route Capturing Leads Advanced Sear
Slide 8: Diverse Data Sourcing Feeds Evidence-Based AI/ML Algorithms
Q1 EARNINGS CALL > OVERVIEW Diverse Data Sourcing Feeds Evidence-Based AI/ML Algorithms 8
Slide 9: Consistently Ranked as a Product Leader
Q1 EARNINGS CALL > OVERVIEW Consistently Ranked as a Product Leader The Forrester Wave B2B G2 Grid Sales Intelligence Conversation Intelligence Marketing Data Providers for Sales Intelligence Software TrustMap Data Quadrant ZoomInfo Technologies ZoomInfo Technologies ZoomInfo Technologies ZoomInfo T
Slide 10: Addressing a Large and Growing Opportunity
Q1 EARNINGS CALL > OVERVIEW Addressing a Large and Growing Opportunity ZoomInfo's Global TAM As of 2021 (2)(3)(4) $14Bn $12Bn $6Bn $18Bn $7Bn $7Bn $6Bn North America International Engage Data Chat Recruiter Conversation $70Bn Intelligence Intelligence Management Intelligence At IPO (1) $13Bn $11Bn N
Slide 11: Multiple Levers for Sustained Growth
Q1 EARNINGS CALL > OVERVIEW Multiple Levers for Sustained Growth Select acquisitions to complement platform Expand to international markets Expand Personas: MarketingOS, OperationsOS, Additional high-value TalentOS solutions to existing customers Incremental penetration within enterprises Acquire ne
Slide 12: Recent New and Expansion Customers
Q1 EARNINGS CALL > OVERVIEW Recent New and Expansion Customers More than 25,000 Customers from Small, Mid-sized, and Large Organizations Across a Diverse Set of Industries 12
Slide 13: Recent Platform Highlights
Q1 EARNINGS CALL > OVERVIEW Recent Platform Highlights SalesOS MarketingOS OperationsOS • Launched MarketingOS, an account-based marketing (ABM) • Created Account Teams and Opportunity Teams within • Released additional features that enable tracking of key platform aligning sales and marketing teams
Slide 14: Recent Acquisitions
Q1 EARNINGS CALL > OVERVIEW Recent Acquisitions Comparably Dogpatch Advisors • Comparably adds a suite of popular SaaS solutions for employer • Dogpatch Advisors is a modern sales advisory consultancy that branding and recruitment marketing combined with an employee helps enterprises scale revenue o
Slide 15: Demos of Selected Product Functionality
Q1 EARNINGS CALL > OVERVIEW Demos of Selected Product Functionality Comparably Engage Workflows Slack Chorus Mobile Integration 15
Slide 16: Customer Case Study - Demodesk
Q1 EARNINGS CALL > CASE STUDIES Customer Case Study - Demodesk The Results 2 Hours Saved per Rep per Day The Challenge Demodesk’s sales team was looking to build a more efficient and streamlined outbound strategy. At the time, their sales team was wasting time manually researching prospects and uplo
Slide 17: Customer Case Study - Demodesk
Q1 EARNINGS CALL > CASE STUDIES Customer Case Study - Demodesk The Results 2 Hours Saved per Rep per Day The Solution The Results With ZoomInfo, Demodesk’s sales representatives are now armed with actionable data Partnering with ZoomInfo has enabled the teams at Demodesk to better prospect and and b
Slide 18: Customer Case Study - Elite Interactive Solutions
Q1 EARNINGS CALL > CASE STUDIES Customer Case Study - Elite Interactive Solutions The Results 30K in Recurring Revenue Every Month The Challenge Elite Interactive Solutions (EIS) was looking to build a go-to-market strategy that would enable them to successfully bring their products to market and ma
Slide 19: Customer Case Study - Elite Interactive Solutions
Q1 EARNINGS CALL > CASE STUDIES Customer Case Study - Elite Interactive Solutions The Results 30K in Recurring Revenue Every Month The Solution The Results “After evaluating different competitors in the space, we decided to move forward with ZoomInfo’s unified system With access to ZoomInfo’s all-in
Slide 20: Video Case Studies - Esker & Litmus
Q1 EARNINGS CALL > CASE STUDIES Video Case Studies - Esker & Litmus Esker Litmus 20
Slide 21: Q1 2022 Financial Results
Q1 2022 Financial Results
Slide 22: Financial Results Overview
Q1 EARNINGS CALL > FINANCIAL RESULTS Financial Results Overview >25,000 Paying Customers1 Financial Results “ZoomInfo delivered a great start to the year as reflected in our first quarter results, which include another quarter of strong >1,623 revenue growth and free cash flow,” said Henry Schuck, C
Slide 23: Q1 2022 Financial Summary (Unaudited)
Q1 EARNINGS CALL > FINANCIAL RESULTS Q1 2022 Financial Summary (Unaudited) GAAP Non-GAAP(1) Quarterly Increase Quarterly Increase ($M, except per share amounts and percent figures) Results YoY Results YoY Revenue $241.7 58% Adjusted Operating Operating Income $32.4 16% $95.7 45% Income Adjusted Oper
Slide 24: GAAP Revenue Growth ($M)
Q1 EARNINGS CALL > FINANCIAL RESULTS GAAP Revenue Growth ($M) 58% $241.7 Q1 2022 58% $153.3 GAAP Revenue Growth 49% Organic Revenue Growth1 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 GAAP Revenue 1. Organic Revenue excludes revenue from products acquired within the last
Slide 25: Adjusted Operating Income ($M) and Margin
Q1 EARNINGS CALL > FINANCIAL RESULTS Adjusted Operating Income ($M) and Margin(1) 45% Q1 2022 $95.7 39% $66.1 Adjusted Operating Income Margin(1) 43% 39% 45% YoY Growth in Adjusted Operating Income(1) Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Adjusted Operating Income (
Slide 26: Unlevered Free Cash Flow (uFCF) and uFCF Conversion
Q1 EARNINGS CALL > FINANCIAL RESULTS Unlevered Free Cash Flow (uFCF) and uFCF Conversion(1)(2) 29% $125.9 Q1 2022 $97.5 132% 148% Unlevered free cash flow conversion(1)(2) 132% 52% Unlevered Free Cash Flow Margin(1) Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Unlevered Fr
Slide 27: Balance Sheet Highlights and Net Leverage
Q1 EARNINGS CALL > FINANCIAL RESULTS Balance Sheet Highlights and Net Leverage As of As of ($M, except Leverage Ratios) December 31, 2021 March 31, 2022 Total contractual maturity of outstanding indebtedness $1,250.0 $1,250.0 Cash, cash equivalents, restricted cash, and short-term $332.5 $412.6 inve
Slide 28: Guidance (as of May 2, 2022)
Q1 EARNINGS CALL > FINANCIAL RESULTS Guidance (as of May 2, 2022)(1) FY 2022 FY 2022 Q2 2022 (as of 2/15/2022) (as of 5/2/2022) GAAP Revenue $253 - $255 million $1.01 - $1.02 billion $1.06 - $1.07 billion Adjusted Operating Income(1) $98 - $100 million $405 - $415 million $418 - $424 million Adjuste
Slide 29: Non-GAAP Reconciliations
Non-GAAP Reconciliations
Slide 30: Non-GAAP Financial Measures
Q1 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Non-GAAP Financial Measures To supplement our consolidated financial statements presented in accordance with GAAP, this presentation contains non-GAAP financial measures, including Adjusted Operating Income, Adjusted Operating Income Margin, Adjusted Ne
Slide 31: Non-GAAP Financial Measures
Q1 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Non-GAAP Financial Measures We define Unlevered Free Cash Flow as net cash provided from operating activities less (i) purchases of property and equipment and other assets, plus (ii) cash interest expense, (iii) cash payments related to restructuring an
Slide 32: Reconciliation from GAAP Net Income (Loss) to Adjusted Operating Income
Q1 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Adjusted Operating Income ($M except percent figures) Q1 2021 Q1 2022 Net income (loss) $(33.9) $6.2 Add (less): Expense (benefit) from income taxes 49.7 13.0 Add: Interest expense, net 6.5 11.8 Add: Loss on
Slide 33: Reconciliation from GAAP Net Income (Loss) to Cash EBITDA
Q1 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Cash EBITDA ($M) Trailing Twelve Months as of March 31, 2021 Trailing Twelve Months as of March 31, 2022 Net income (loss) $(64.4) $135.0 Add (less): Expense (benefit) from income taxes 54.8 (30.6) Add: Inte
Slide 34: Reconciliation of Non-GAAP Leverage Ratios
Q1 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation of Non-GAAP Leverage Ratios As of As of ($M, except Leverage Ratios) December 31, 2021 March 31, 2022 Total Net Leverage Ratio (Adjusted EBITDA) Total contractual maturity of outstanding indebtedness $1,250.0 $1,250.0 Less: Cash and cash
Slide 35: Reconciliation from GAAP Operating Cash Flow to Unlevered Free Cash Flow
Q1 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Operating Cash Flow to Unlevered Free Cash Flow ($M except percent figures) Q1 2021 Q1 2022 Cash flow from operating activities $93.0 $105.0 Interest paid in cash 6.8 19.5 Purchases of property and equipment and other assets (4.
Slide 36: Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income Per Share
Q1 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income Per Share Amortization of Acquired Tax Impacts of Three months ended March 31, 2022 Equity-based Intangibles and Fair Value Transaction Related GAAP Margin% Adjustments from Adjustments a
Slide 37: Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income Per Share
Q1 EARNINGS CALL > NON-GAAP FINANCIAL MEASURES Reconciliation from GAAP Net Income (Loss) to Adjusted Net Income Per Share Amortization of Acquired Tax Impacts of Three months ended March 31, 2021 Equity-based Intangibles and Fair Value Transaction Related GAAP Margin% Adjustments from Adjustments a
ZoomInfo Technologies — Q1 2022 Earnings Presentation on 6ix