Cazoo Group Ltd · OTC:CZOOF
Cazoo — H1 2023 Earnings Presentation
15 slides from Cazoo's earnings presentation, Aug 1, 2023
Slide 1: Investor Presentation Q2 and H1 2023
Investor Presentation Q2 and H1 2023 01 August 2023 1
Slide 2: Disclaimer: Forward-Looking Statements
2 Disclaimer Forward - Looking Statements This Communication on Form 6 - K contains “forward - looking statements” within the meaning of the “safe harbor ” provisions of the Private Securities Litigation Reform Act of 1995. The expectations, estimates, and projections of the bus ine ss of Cazoo may
Slide 3: Contents
3 Contents Progress to date and focus on unit economics Q2 and H1 2023 Performance Highlights Summary remarks 2023 Guidance Reiterated
Slide 4: Progress to date and focus on unit economics
4 Progress to date and focus on unit economics Note: Financial information as of and for three and six months ended June 30, 2023 is preliminary and unaudited. Retail GPU (Gross Profit per Unit) is derived from retail revenues divided by retail units sold (net of returns). Retail reve nue also compr
Slide 5: Q2 and H1 2023 Performance Highlights
5 Q2 and H1 2023 Performance Highlights Note: Financial information as of and for three and six months ended June 30, 2023 is preliminary and unaudited. Retail GPU (Gross Profit per Unit) is derived from retail revenues divided by retail units sold (net of returns). Retail revenue also comprises anc
Slide 6: Optimized the operational footprint and reduced fixed cost base; focus on the UK opportunity
6 Optimized the operational footprint and reduced fixed cost base; focus on the UK opportunity Actions implemented to improve the unit economics of the business in 2022 and H1 2023 Reduced our fixed cost base through optimizing the network and headcount Withdrew from mainland Europe to focus resourc
Slide 7: Buying process is now based on car desirability and likelihood of finance income
7 Buying process is now based on car desirability and likelihood of finance income Actions implemented to improve the unit economics of the business in 2022 and H1 2023 (cont.) Forecast Vehicle Desirability Estimate Refurbishment Cost Estimate Ancillary Revenue Purchase Vehicle Sell Vehicle Our mach
Slide 8: Driving continuous improvement in Retail GPU in 2023 through better economics of each component
8 Driving continuous improvement in Retail GPU in 2023 through better economics of each component Note: Forward - looking projections are for illustrative purposes and should not be relied upon as being necessarily indicative of futur e results. Retail GPU (Gross Profit per Unit) is derived from ret
Slide 9: Relentless focus on reducing fixed and variable costs
9 Relentless focus on reducing fixed and variable costs Note: Forward - looking projections are for illustrative purposes and should not be relied upon as being necessarily indicative of futur e results. CCC is a Cazoo Customer Centre; VPC is a Vehicle Preparation Centre. Reduction of fixed and vari
Slide 10: H1 2023 income statement and results
10 1 The H1 2022 comparatives have been restated to show the EU segment as a discontinued operation. 2 Revenue excludes £nil of sales where Cazoo sold vehicles as an agent for third parties and only the net commission received from those sales is recorded within revenue (s ix months ended June 30, 2
Slide 11: H1 2023 Cash flow
11 1 Adjustments include tax; finance income; finance expense; depreciation and impairment of tangible assets; amortization and im pa irment of intangible assets; share - based payment expense; fair value movement in Convertible Notes, embedded derivative, and warrants; foreign exchange movements; g
Slide 12: 2023 guidance reiterated
12 2023 guidance reiterated Note: Forward - looking projections are for illustrative purposes and should not be relied upon as being necessarily indicative of future results. Retail GPU (Gross Profit per Unit) is derived from retail and ancillary revenues, divided by retail units sold (net of return
Slide 13: In summary
13 In summary We have demonstrated our ability to grow at scale; we are fully focused on delivering better unit economics We have established a market leading platform, team, brand and infrastructure in the UK Retail GPU progress and reducing fixed costs will provide foundations for profitable growt
Slide 14: See Appendix
“SEE Appendix
Slide 15: Adjusted EBITDA reconciliation
15 1 Depreciation and impairment of tangible assets includes a non - cash impairment charge of £16 million (2022: £ nil ) largely related to the various restructuring activities undertaken by the Group. 2 Amortization and impairment of intangible assets includes a non - cash impairment charge of £ni