Slide 1: Q1 2025 Results
Q1 2025 Results Gleb Budman Marc Suidan CEO and Co-Founder CFO Backblaze May 7, 2025 Backblaze ©2024 Confidential | 1
Slide 2: Important Information About This Presentation
Important Information About This Presentation Cautionary Note Regarding Forward-Looking Statements This presentation contains forward-looking statements, which involve risks and uncertainties. These forward-looking statements are generally identified by the use of forward-looking terminology, includi
Slide 3: Our Mission
Our Mission We make it astonishingly easy to store, use, and protect data. Backblaze ©2025 | 3
Slide 4: Key Highlights
Key Highlights ● Strong Q1 Results ○ Beat on Revenue & Adj. EBITDA Margin ● AI Momentum ○ Announced New “B2 Overdrive Offering” ○ 25x AI Data Growth ● Go-to-Market Transformation Progress ○ Signed Largest TCV deal ○ Doubled Bookings NOTES: Financial data is based on unaudited financial information. B
Slide 5: Driving Strong AI Momentum
Driving Strong AI Momentum +66% y/y +25x y/y AI customer count AI customer data NOTES: Financial data is based on unaudited financial information. “AI customer” determination is based on emails with an ‘.ai’ designation or the customer has disclosed that its use of Backblaze cloud Backblaze ©2025 | 5
Slide 6: Backblaze B2 Overdrive
Backblaze B2 Overdrive Terabit speed at exabyte scale to maximize throughput-intensive workload performance without maximizing cloud bills–ideal for AI/ML, HPC, and more ● High throughput at scale: Up to a terabit per second throughput capacity ● Cost-effective performance: Predictably priced storag
Slide 7: Go-to-Market Transformation Underway
Go-to-Market Transformation Underway Initiatives Proof Points ● Upskill the Sales Team ● More than 2x bookings y/y in Q1 2025 ● Deepen Partnerships ● Expanded sales capacity ● Execute Core Sales Plays ● Announced strategic AI workload and media & entertainment partnerships ● Won largest TCV deal eve
Slide 8: Record Total Contract Value Deal
Record Total ● Multi-million dollar TCV deal over a Contract Value multi-year period Deal ● Existing customer with a small initial contract ● Amazon AWS displacement Backblaze ©2025 | 8 NOTE: Largest TCV deal consists of a multi-million customer contract over a multi-year period which represents the
Slide 9: Financial Overview
Financial Overview Marc Suidan CFO Backblaze ©2024 Confidential | 9
Slide 10: Key Financial Highlights
Key Financial Highlights ● B2 Cloud Storage Momentum ○ 23% y/y Growth in Q1, Up From 22% in Q4 ○ Second quarter of increased organic B2 Revenue Growth ● Beat on Revenue & Adj. EBITDA Margin for Q1 2025 ● Raised Full Year Adjusted EBITDA Margin Guidance NOTES: 23% growth of B2 Cloud Storage is based
Slide 11: Strong Q1 2025 Revenue Growth
Strong Q1 2025 Revenue Growth Total Company +15%, B2 Cloud Storage +23% Total Company B2 Cloud Storage $34.6M $18.0M $30.0M $140.8M $14.6M $73.8M 15% Q1’25 ARR Q1’25 ARR 23% Q1’24 Q1’25 Q1’24 Q1’25 Revenue Revenue NOTES: Financial data for the revenue for the total Company and for B2 Cloud Storage o
Slide 12: Financial and Operational Q1 Highlights
Financial and Operational Q1 Highlights Gross Revenue Y/Y Customer ($M) Growth NRR Retention B2 Cloud Storage $18.0 23% 117% 89% Computer Backup $16.6 8% 108% 90% Total Company $34.6 15% 113% 90% NOTES: All financial information is as of March 31, 2025, with year-over-year revenue comparisons to the
Slide 13: The B2 Growth Journey
The B2 Growth Journey 30%+ 25-28% 23-25% NOTES: The financial information for 2023 and each quarter of 2024 reflects the total B2 revenue growth compared to the respective prior period a year ago and the approximate percentage of B2 revenue growth, on a pro forma basis excluding the effect of the pric
Slide 14: On The Path to Positive Adj. Free Cash Flow
On The Path to Positive Adj. Free Cash Flow Adj. EBITDA Margin 20%+ Adj. Free Cash Flow Margin 10% 18% 5% IPO Q1 Q4 2021 2024 2025 2025E 2022 2023 IPO 2022 2023 2024 Q1 Q4 2021 2025 2025E (4%) (16%) (6%) (11%) (29%) (42%) (54%) NOTES: Adjusted EBITDA and Adjusted Free Cash Flow margins are shown for
Slide 15: Roadmap to Reduce Equity Dilution
Roadmap to Reduce Equity Dilution Near Term Long Term (1-2 years) (3 years+) RSU Tax Withholdings: We plan to RSU Tax Withholdings: We are consider transitioning from “Sell to transitioning from “Sell to Cover” to Cover” to “Net Share Settlement” for all “Net Share Settlement” for executive executiv
Slide 16: Q2'25 and 2025 Outlook Ranges
Q2’25 and 2025 Outlook Ranges Revenue ($M) Adj. EBITDA Margin Q2’25 Q2’25 $ 35.2 to $35.6 14% to 16% Raised FY 2025 FY 2025 $144.0 to $146.0 17% to 19% (from 16% to 18%) NOTES: The above financial information guidance for Q2 of 2025 and fiscal year 2025 are forward-looking statements. These forward-lo
Slide 17: Q&A
Q&A Backblaze ©2025 | 17
Slide 18: Thank You!
Thank You! Backblaze ©2025 | 18
Slide 19: Appendix
Appendix Backblaze ©2025 | 19
Slide 20: Definitions
Definitions ● “ARR” means Annual Recurring Revenue and is based on the monthly revenue from all B2 Cloud Storage and Computer Backup arrangements (excluding revenue for Physical Media) for the last month of a period and multiplying it by 12. Our annual recurring revenue for each of Computer Backup an
Slide 21: Definitions
Definitions ● Adjusted EBITDA is defined as net loss adjusted to exclude depreciation and amortization, stock-based compensation, interest expense, investment income, income tax provision, realized and unrealized gains and losses on foreign currency transactions, impairment of long-lived assets, and o
Slide 22: Reconciliation of Non-GAAP Measures: Gross Margin
Reconciliation of Non-GAAP Measures: Gross Margin Adjusted Gross Profit Q1’25 Q1’24 Gross Profit $19.256 $15.811 Gross Margin 56% 53% Adjustments for Cost of Revenue: Stock Based Compensation 0.420 0.386 Depreciation and Amortization 7.644 6.774 Adjusted Gross Profit $27.320 $22.971 Adjusted Gross Marg
Slide 23: Reconciliation of Non-GAAP Measures: Net Income
Reconciliation of Non-GAAP Measures: Net Income Q1’25 Q1’24 Net Loss $(9.324) $(11.053) Net Loss Margin -27% -37% Adjustments: Total Stock Based Compensation 7.359 5.529 Foreign Exchange (gain) loss 0.149 -0.018 Non-GAAP Net Income (Loss) $(1.816) $(5.542) Non-GAAP Net Income Margin -5% -18% Non-GAA
Slide 24: Reconciliation of Non-GAAP Measures: Adjusted EBITDA
Reconciliation of Non-GAAP Measures: Adjusted EBITDA Q1’25 Q1’24 Net Loss $(9.324) $(11.053) Net Loss Margin -27% -37% Adjustments: Total depreciation & amortization 7.764 6.912 Total stock based compensation 7.359 5.529 Interest expense and investment income 0.320 0.537 Income tax provision 0.084 0
Slide 25: Reconciliation of Non-GAAP Measures: Adjusted Free Cash Flow
Reconciliation of Non-GAAP Measures: Adjusted Free Cash Flow Q1’25 Q1’24 Net Cash Provided by (Used In) $4.943 $3.416 Operating Activities Capital Expenditures (2.626) (3.746) Principal Payments on Finance Leases and Lease Financing (4.543) (4.802) Obligations Workforce Reduction 0.115 — Adjusted Fr