Slide 1: Q4 2022 Earnings
Q4 2022 Earnings February 2023
Slide 2: Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 These materials, our press release and our conference call, may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. The use of words such as "anticipates," "e
Slide 3: Bringing the Home Service Category Online by Evolving Business Models and Brands
Bringing the Home Service Category Onlineby Evolving BusinessModels and Brands Advertising Consumers Directory Match with Research Pros Book Pros Pros Intelligent Full Suite of Experiences to Comprehensively Address Needs Matching of Consumers and Service Professionals Comprehensive products for hom
Slide 4: 4x Bigger than any other Digital Home Services Company
4x Bigger than any other Digital Home Services Company Home Services Revenue $1.6B Angi Competitor A Competitor B Competitor C Competitor D Competitor E Source: Internal estimates 4 Angi shown as net revenue, see revenue reconciliation on page 16 in Appendix
Slide 5: Introducing New Segments for Increased Transparency
Introducing New Segments for Increased Transparency FY2022 Revenue by Segment ($m)1 FY2022 Adjusted EBITDA by Segment ($m) Ads and Leads Service Professionals pay for exposure to consumers Services Consumers receive instant prices, schedule jobs, and pay online; Angi coordinates with Service Profess
Slide 6: Ads and Leads: Profitable Business with Upside
Ads and Leads: Profitable Business with Upside Revenue Growth (Y/Y) Adjusted EBITDA 6
Slide 7: Services: Future Growth with De-Risked Financial Profile in 2023
Services: Future Growth with De-Risked Financial Profile in 2023 Net Revenue Growth (Y/Y) Adjusted EBITDA Includes $13M of legal related and restructuring costs 7 See revenue reconciliation on page 16 in Appendix
Slide 8: Services: Focus on Best, Scalable, Profitable experiences
Services: Focus on Best, Scalable, Profitable experiences Steadily Improving Unit Economics 100% Customers receive an immediate option Value per of Services priced online1 to get their job done completed job 2x Higher repeat rate for customers who Customer repeat rate complete a Services job1 vs Ang
Slide 9: Multiple Growth Levers and Considerable Headroom
Multiple Growth Levers and Considerable Headroom Considerable growth and profit opportunity in re-establishing The Successful Service Professionals Stick with Us levels previously achieved 4.5 years pre-rebrand pre-rebrand pre-rebrand Average Lifetime of Service +32% Professionals with tenure +75% +
Slide 10: Sales and Marketing Efficiency Can Drive Profitability
Sales and Marketing EfficiencyCan Drive Profitability Driving More Efficient Salesforce Advertising Expenses After Excessive Growth Higher Service Professional Spend is Offsetting Lower Nominal Service Professionals 10
Slide 11: Realigned Cost Structure for Focused Priorities
Realigned Cost Structure for Focused Priorities Product cost savings already in evidence, down 28% in Q4’22 vs. peak in Q2’22 and will be lower in 2023 -28% Over $100M of Savings in 2023 Combined Operating Expenses and Capital Expenditures Product Development Expense and Capital Expenditures 11 Prod
Slide 12: 2023 Outlook
2023 Outlook • FY 2023 Adjusted EBITDA: $60 million - $100 million • FY 2023 Capital Expenditures: $40 million – $60 million • Q1 2023 Revenue: $370 million - $400 million • Beginning January 1, 2023, Angi Total Revenue will reflect Services revenue reported on a net basis (a) • Services reported re
Slide 13: Appendix
Appendix 13
Slide 14: Introducing Updated Metrics
Introducing Updated Metrics Service Requests Monetized Transactions Updated to include Service Requests generated in the directory Transacting Service Professionals Legacy Updated Leads A Service Request that was paid for by at least 1 Service Every paid lead Professional (max 1 per Service (can be
Slide 15: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures 15
Slide 16: Reconciliation of Gross Revenue to Net Revenue
Reconciliation of Gross Revenue to Net Revenue ($ in millions) FY 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 FY 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 FY 2022 Gross to Net Revenue Reconciliations (a) Services (b) Reported Revenue $ 162.5 $ 54.7 $ 72.8 $ 80.0 $ 82.4 $ 289.9 $ 76.4 $ 108.2 $ 105.9 $ 90.7 $ 38
Slide 17: Reconciliation of Operating Income to Adjusted EBITDA
Reconciliation of Operating Income to Adjusted EBITDA Three Months Ended March 31, 2022 Stock-Based Amortization of Adjusted Operating Loss Compensation Depreciation Intangibles EBITDA Expense ($ In millions) Ads & Leads $ 15.5 $ 4.9 $ 11.3 $ 2.7 $ 34.3 Services (25.7) 4.5 1.7 1.0 (18.6) Roofing (6.
Slide 18: Reconciliation of Operating Income to Adjusted EBITDA
Reconciliation of Operating Income to Adjusted EBITDA Three Months Ended June 30, 2022 Stock-Based Amortization of Adjusted Operating Loss Compensation Depreciation Intangibles EBITDA Expense ($ In millions) Ads & Leads $ 23.5 $ 5.4 $ 10.6 $ 2.7 $ 42.2 Services (21.1) 4.5 1.7 1.0 (13.9) Roofing (3.8
Slide 19: Reconciliation of Operating Income to Adjusted EBITDA
Reconciliation of Operating Income to Adjusted EBITDA Three Months Ended September 30, 2022 Stock-Based Amortization of Adjusted Operating Loss Compensation Depreciation Intangibles EBITDA Expense ($ In millions) Ads & Leads $ 24.3 $ 5.0 $ 11.4 $ 2.7 $ 43.3 Services (10.6) 4.0 3.7 1.0 (1.9) Roofing
Slide 20: Reconciliation of Operating Income to Adjusted EBITDA
Reconciliation of Operating Income to Adjusted EBITDA Three Months Ended December 31, 2022 Stock-Based Amortization of Goodwill Adjusted Operating Loss Compensation Depreciation Intangibles Impairment EBITDA Expense ($ In millions) Ads & Leads $ 27.4 $ 4.7 $ 14.3 $ 2.7 $ - $ 49.1 Services (37.3) 4.9
Slide 21: Reconciliation of Operating Income to Adjusted EBITDA
Reconciliation of Operating Income to Adjusted EBITDA For the twelve months ended December 31, 2022 Stock-based compensation Amortization of Goodwill Operating loss expense Depreciation intangibles Impairment Adjusted EBITDA Ads and Leads $ 90.7 $ 20.0 $ 47.6 $ 10.7 $ - $ 169.0 Services (94.7) 18.0
Slide 22: Reconciliation of Operating Income to Adjusted EBITDA
Reconciliation of Operating Income to Adjusted EBITDA ($ in millions) FY 2023 Outlook Operating loss ($110-$45) Amortization of intangibles 5-10 Depreciation 100-110 Stock-based compensation expense 40-50 Adjusted EBITDA $60-$100 2222
Slide 23: Reconciliation of Product Development Expense and Capital Expenditures
Reconciliation of Product Development Expense and Capital Expenditures ($ in thousands) Q1 2022 Q2 2022 Q3 2022 Q4 2022 FY 2022 Product Development Expense (a) $ 17,859 $ 20,953 $ 15,817 $ 19,191 $ 73,821 Less: Product Development Stock-Based Compensation (a) (2,111) (2,864) (2,077) (1,808) (8,860)