Upstart Holdings, Inc. · NASDAQ:UPST

Upstart — Q3 2021 Earnings Presentation

25 slides from Upstart's earnings presentation, Nov 9, 2021

  1. Slide 1: Q3 2021 Earnings

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx CONFIDENTIAL October 2020 Q3 2021 Earnings November 9, 2021

  2. Slide 2: Disclaimer

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Disclaimer This presentation contains “forward-looking” statements that are based on our management’s beliefs and assumptions and on information currently available to management. Forward

  3. Slide 3: Upstart's mission

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Upstart’s mission Enable effortless credit based on true risk 3

  4. Slide 4: Upstart at a glance

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Upstart at a glance Upstart is an AI lending platform partnering with banks to improve access to affordable credit A leading AI lending platform with scale, rapid growth and profits Two-si

  5. Slide 5: Our value propositions to consumers and bank partners

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Our value propositions to consumers and bank partners Higher approval rates, lower APRs 67% instantly approved - no document uploads, calls or waiting1 Consumers More inclusive - improved

  6. Slide 6: Large and growing market

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Large and growing market $ 1 Mortgage Loan Originations 4.5T $ 2 Auto loan originations 672B $ 3 Personal loan 81B originations 1 Total mortgage originations using data provided by TransU

  7. Slide 7: Auto opportunity update

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Auto opportunity update Dealer Rooftops Prodigy is now “Upstart Auto Retail” Auto loan originations Tripled dealership footprint Y|Y Now adding an average of over one rooftop per day Firs

  8. Slide 8: Q3'21 Key financial highlights

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Q3’21 Key financial highlights Revenue, millions Revenue: $228M, up 250% Y|Y Income from Operations: $28.6M, up 134% Y|Y Contribution Profit: $95.9M, up 184% Y|Y, and representing 46% of fe

  9. Slide 9: Q3'21 summary P&L and non-GAAP metrics

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Q3’21 summary P&L and non-GAAP metrics (in millions, except ratios and per share data) Q3’21 Q2’21 Q|Q Q3’20 Y|Y Revenue $228.4 $193.9 18% $65.4 250% Revenue from Fees $210.4 $187.3 12% $

  10. Slide 10: Balance Sheet items and key operating metrics

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Balance Sheet items and key operating metrics (in millions, except Transaction Volume (number of loans), % fully automated, ratios and conversion rate) Q3’21 Q2’21 Q3’20 Cash and Restrict

  11. Slide 11: Key operating metrics

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Key operating metrics Transaction Volume, Number of Loans (000s), Transaction Volume, Dollars (Millions) Conversion Rate(1) 1 Conversion Rate equals number of loans transacted in a period

  12. Slide 12: Fully automated loans

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Fully automated loans 67% of Upstart loans were fully automated and instantly approved in Q3’21 while fraud rates remained minimal Note: Fraud rate represents recorded instances of ID the

  13. Slide 13: Continued profitable growth

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Continued profitable growth Q3’19 – Q3’21 Quarterly Financial Summary ($ ($ millions) mm) GAAP Total Revenue Contribution Profit GAAP Net Income / (Loss) Q3’19 Q4’19 Q1’20 Q2’20 Q3’20 Q4’20

  14. Slide 14: Outlook

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Outlook Q4’21 Revenue $255 to $265 million Contribution Margin approximately 47% Net Income $16 to 20 million Non-GAAP Adjusted Net Income $48 to $50 million Adjusted EBITDA $51 to $53 mi

  15. Slide 15: Financial Statements

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Financial Statements (in thousands, except share and per share data) December 31, September 30, 2020 2021 Assets Cash $ 250,819 $ 1,041,460 Restricted cash 60,514 130,301 Loans (at fair v

  16. Slide 16: Financial Statements

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Financial Statements (in thousands, except share and per share data) Three Months Ended Nine Months Ended September 30, September 30, 2020 2021 2020 2021 Revenue: Revenue from fees, net $

  17. Slide 17: Financial Statements

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Financial Statements (in thousands, except share and per share data) Nine Months Ended September 30, 2020 2021 Cash flows from operating activities Net income before attribution to noncon

  18. Slide 18: Financial Statements

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Financial Statements (in thousands, except share and per share data) Nine Months Ended September 30, 2020 2021 Cash flows from investing activities Principal payments received for loans h

  19. Slide 19: Financial Statements

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Financial Statements (in thousands, except share and per share data) Nine Months Ended September 30, 2020 2021 Cash flows from financing activities Proceeds from secondary offering, net o

  20. Slide 20: Reconciliation of non-GAAP financial measures

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Reconciliation of non-GAAP financial measures (in thousands, except ratios) Three Months Ended Nine Months Ended September 30, September 30, 2020 2021 2020 2021 Revenue from fees, net $ 62

  21. Slide 21: Reconciliation of non-GAAP financial measures

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Reconciliation of non-GAAP financial measures (in thousands, except ratios) Three Months Ended Nine Months Ended September 30, September 30, 2020 2021 2020 2021 Total revenue $ 65,359 $ 22

  22. Slide 22: Reconciliation of non-GAAP financial measures

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Reconciliation of non-GAAP financial measures (in thousands, except ratios, and per share data) Three Months Ended Nine Months Ended September 30, September 30, 2020 2021 2020 2021 Net inc

  23. Slide 23: Key Operating Metrics

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Key Operating Metrics Key Operating Metrics We review a number of operating metrics, including number of loans transacted and conversion rate, to evaluate our business, measure our perfor

  24. Slide 24: Non-GAAP Financial Metrics

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx Non-GAAP Financial Metrics About Non-GAAP Financial Measures In addition to our results determined in accordance with generally accepted accounting principles in the United States (“GAAP”

  25. Slide 25: Thank you

    IBDROOT\PROJECTS\IBD-NY\GRIFFINS2019\645303_1\Presentations\2020.12.02 Roadshow Deck\2020.12.02 Roadshow v7.pptx CONFIDENTIAL Thank you Thank you!

Upstart Holdings — Q3 2021 Earnings Presentation on 6ix