Slide 1: Q4 2023 Investor Presentation
NYSE: DHX Q4 2023 Investor Presentation February 7, 2024
Slide 2: Forward looking statements
Forward looking statements This press release and oral statements made from time to time by our or maintain the number of customers who purchase recruitment packages, representatives contain forward-looking statements within the meaning of the cyclicality or downturns in the economy or industries we
Slide 3: Our vision: indispensable career marketplaces
Our vision is to create indispensable career marketplaces to match the highest quality candidates with the right client career opportunities. 3
Slide 4: DHI company overview
DHI company overview Year-end Listed HQ 12/31 NYSE: Denver, CO Diluted shares outstanding Q4 2023 DHX (2007) Est. 1990 45M Q4 2023 financial results (ended December 31, 2023) Subscription Employees Revenue Bookings1 clients 460 7,547 $37.3M down 6% YoY $36.1M down 4% YoY Adjusted EBITDA2 Adjusted EB
Slide 5: Technologists fueled the digitization of the US economy
Technologists fueled the digitization of the US economy U.S. job growth for high-tech and creative industries Percent Growth from 2007 Source: U.S. Bureau of Labor Statistics and CBRE Research, August 2022 5
Slide 6: Tech workers will continue to fuel it in the decade to come
6 And tech workers will continue to fuel it in the decade to come Midpoint automation scenario, with generative AI acceleration Resilient and growing occupations Stalled but rising occupations Hit and declining occupations Employment Occupational category Net Change in labor demand, 2022-30, % 2022,
Slide 7: DHI business model elements
DHI business model elements Clients ~90% 68% Fee for job ads subscription of annual and profile/ based revenue contracts CV views paid upfront 85% Candidates revenue Free access to renewal rate platforms 7 Metrics are Q4 2023 for combined Dice and ClearanceJobs
Slide 8: Our Marketplace Evolution
Our Marketplace Evolution 1990 2025 (E) Job Board Marketplace PAST PRESENT Primary Audience Primary Audience Active Job Seekers Passive Candidates Focus Focus Transactions Lead Gen Communication Communication One-Way Two-Way 8 A Job Board mimics the newspaper classified ad while a Marketplace create
Slide 9: DHI skills mapping finds the best candidate
DHI skills mapping finds the best candidate Data wrangling Tech recruiting is all about the unique skills required Data analysis by a position and the candidate profile Statistical Computer vision models Data science Data mining Neuroscience Artificial DHX has spent 10+ years creating a data model t
Slide 10: Clients hire technologists for their skills
Clients hire technologists for their skills 20-30 skills indicated in each job posting Senior Software Engineer Education, Experience • Bachelor’s degree in MIS, Computer Science, • Experience with Git (Bitbucket a plus) Computer Engineering or related discipline or • Experience mentoring and provid
Slide 11: $103M Tech Candidate Marketplace
2023 Revenue $103M 80,000+ Commercial accounts Tech Candidate Subscription clients1 Growth opportunity 18,000 5,492 Staffing, Recruiting, Marketplace Consulting Firms 11 1 As of December 31, 2023
Slide 12: Dice bookings
Dice bookings Quarterly bookings1 ($ in millions) Dice Dice Revenue Renewal Rate $40 110% $35 $36.8 $37.6 100% $30 Pandemic 90% $29.0 $25 $27.9 $25.9 $25.6 $25.7 $25.0 80% $20 $21.4 $21.8 $22.2 $20.2 $19.2 $19.1 70% $15 $16.1 $14.7 60% $10 $5 50% $0 40% Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 202
Slide 13: Dice revenue
Dice revenue Quarterly revenue ($ in millions) Dice Total revenue $39.8 $38.6 $38.5 $38.5 $37.4 40 $37.1 $37.3 $33.7 $34.3 35 Pandemic $30.8 $29.4 $28.7 30 $27.6 $27.1 $27.0 $26.7 $27.3 $28.2 $26.8 $26.9 $26.3 $24.4 $24.6 $24.8 $24.6 25 $22.5 $22.3 $20.5 $19.8 $20.6 $19.4 $19.1 20 15 10 5 0 Q1 2020
Slide 14: $49M Cleared Professionals
2023 Revenue $49M 10,000+ Cleared employers Cleared Professionals Subscription clients1 Growth opportunity 100+ 2,055 Marketplace Government agencies 14 1 As of December 31, 2023
Slide 15: ClearanceJobs bookings
ClearanceJobs bookings Quarterly bookings1 ($ in millions) ClearanceJobs CJ Revenue Renewal Rate $20 110% 100% $16 $15.9 90% $13.9 $13.9 $12 Pandemic 80% $12.1 $12.1 $11.5 $10.6 $10.3 $10.5 $8 $9.7 $9.4 $9.7 70% $7.3 $7.6 $7.6 $6.5 60% $4 50% $- 40% Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3
Slide 16: ClearanceJobs revenue
ClearanceJobs revenue Quarterly revenue ($ in millions) ClearanceJobs 14 $12.3 $12.7 $12.7 Pandemic $11.6 $11.7 12 $11.2 $10.2 $9.4 $9.7 10 $8.1 $8.5 8 $7.3 $7.6 $7.6 +9% $6.9 $7.1 YoY 6 4 2 0 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2
Slide 17: DHI Group Profitability
DHI Group Profitability Quarterly adjusted EBITDA/Margin1 ($ in millions) Adjusted EBITDA Adjusted EBITDA Margin 27% $10.0 25% 30.0% 25% 23% 21% 21% 20% 21% 25.0% $8.0 22% 22% 21% 21% 21% 20% 19% 19% 20.0% In Millions $6.0 $10.1 15.0% $9.4 $8.7 $4.0 $7.8 $8.1 $8.1 $8.1 $7.1 $7.1 $6.9 10.0% $6.1 $5.9
Slide 18: DHI Group Liquidity
DHI Group Liquidity Operating cash flow & Capex ($ in millions) Operating cash flow Capex $12.9 $10.2 $9.2 $9.2 $8.1 $7.3 $7.6 $7.1 $6.4 $6.3 $5.6 $5.8 $5.3 $4.4 $4.4 $4.9 $4.8 $4.1 $4.6 $4.4 $4.3 $4.1 $4.1 $4.2 $3.7 $3.9 $3.6 $3.6 $2.9 $3.1 $3.0 $0.0 Q1 '20 Q2 '20 Q3 '20 Q4 '20 Q1 '21 Q2 '21 Q3 '21
Slide 19: DHI Group Liquidity
DHI Group Liquidity Debt & Cash ($ in millions) Debt Cash Leverage Ratio 1.6 1.43 1.30 1.17 1.4 40 1.20 1.20 1.20 1.05 1.10 1.07 1.2 1.00 0.97 30 1.0 0.84 0.72 0.72 0.68 0.8 20 0.58 0.6 $27.8 $27.5 $26.8 0.4 10 0.2 $7.6 $7.3 $7.9 $37.0 $37.0 $37.0 $20.0 $20.0 $16.0 $18.0$3.5 $23.0$1.5 $33.0$5.0 $30.
Slide 20: DHI Group Buyback History
DHI Group Buyback History Shares Repurchased1 and Outstanding (in thousands) Shares Repurchased Shares Outstanding 56,000 2,500 54,077 49,211 54,000 52,935 52,694 49,868 52,160 2,000 52,000 51,219 51,440 48,117 50,000 1,500 48,756 48,524 48,003 48,000 47,368 47,100 46,690 46,875 1,000 46,000 500 44,
Slide 21: Why DHX
Why DHX Tech sector employment Millions of Our unique candidate Continued demand is anticipated to grow by candidate profiles matching tool is a for tech double digit rates this amassed over 30 must for recruiters professionals drives decade years long-term growth 21
Slide 22: Supplemental data - customer data (unaudited)
DHI Group, Inc. Supplemental data - customer data (unaudited) Dice Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Bookings1 (in millions) $ 29.0 $ 16.1 $ 14.7 $ 19.2 $ 27.9 $ 20.2 $ 21.4 $ 25.9 $ 36.8 $ 25.6 $ 25.0 $ 25
Slide 23: 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 comparisons from period to period by excluding potential differences caused by variations in capital structures (affecting interest expense) and tax positions (such as the impac
Slide 24: Supplemental data - non-GAAP (unaudited)
DHI Group, Inc. Supplemental data - non-GAAP (unaudited) 24