Slide 1: Earnings Call Presentation
Earnings Call Presentation Q3 2022 – November 10, 2022
Slide 2: Safe Harbor
SAFE HARBOR This presentation contains forward-looking statements. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Se
Slide 3: Eric Remer, Chairman and Chief Executive Officer
Eric Remer Chairman and Chief Executive Officer 3
Slide 4: Q3 2022 Highlights
Q3 2022 Highlights > On pace to meet full-year growth objectives: mid-double digit organic Revenue growth > Solid 3Q22 YoY growth: 23% reported Revenue growth; 13% Pro Forma Revenue growth; 18% LTM YoY Pro Forma Revenue growth > Strong customer metrics: 22% YoY Total Payments Volume (TPV) growth and
Slide 5: 600,000+ Global Customers, $595M LTM Revenue
600,000+ Global Customers $595M LTM REVENUE 33% 2,100+ Global Employees LTM YoY REVENUE GROWTH 18% 19% LTM YoY PRO FORMA REVENUE GROWTH LTM Adj. EBITDA MARGIN $10.5B EST. ANNUALIZED TPV Simplifying and empowering the lives of business owners whose services support us every day 5
Slide 6: Diverse Customer Base Across Key Verticals
Diverse Customer Base Across Key Verticals Other Services Home Services Health Services Fitness & Wellness Services NORTH AMERICA TAM $59B $84B $21B $356B HVAC Primary Care Big Box Gyms Nonprofit Plumbing Behavioral Health Health Clubs Professional Services Electrical Cardiology Boutique Studios Edu
Slide 7: Customers Utilizing Multiple Solutions Drives ARPU, Retention
Customers Utilizing Multiple Solutions Drives ARPU, Retention Customers Utilizing More Than One Solution (000s)1 70 65 >70k customers currently utilize more 60 than one solution 30% YoY growth 54 55 Increased adoption drives Annualized Net Revenue Retention of 100% in 3Q22 3Q21 4Q21 1Q22 2Q22 3Q22 1
Slide 8: Payment Volume Steadily Expands
Payment Volume Steadily Expands Total Payment Volume (TPV, B) Embedded payments a key lever to drive $10.1 $10.5 customer expansion $9.1 $9.5 $8.6 Customers who take embedded payments not only yield higher ARPU, but also improved retention TPV growth is driven by both increased customer adoption and
Slide 9: A Roofing Solution That Helps Communities
A Roofing Solution That Helps Communities RoofSnap software for roofing contractors provides accurate measurement and estimate solutions Aids the U.S. government in national disasters by helping homeowners with damaged roofs acquire temporary protection +150,000 +24,000 Q1 2019 SaaS PAID MEASURMENTS
Slide 10: Marc Thompson, Chief Financial Officer
Marc Thompson Chief Financial Officer
Slide 11: Continued Organic Growth
Continued Organic Growth Revenue (M) Pro Forma Revenue Growth Rate1 $ 157.2 $ 158.1 $ 143.6 3Q22 LTM 3Q222 $ 135.6 $ 128.5 PF Growth % 12.7% 17.9% 23% reported 3Q22 YoY Revenue growth includes M&A; 13% Pro forma YoY growth normalizing for acquisitions 3Q21 4Q21 1Q22 2Q22 3Q22 3Q22 Recurring & Re-occ
Slide 12: Adjusted EBITDA Margins Near Target Level
Adjusted EBITDA Margins Near Target Level Adjusted EBITDA (M) 3Q21 4Q21 1Q22 2Q22 3Q22 $ 30.8 $ 30.2 $ 29.0 $ 29.3 Adj. Gross Profit Margin1 66.6% 68.5% 64.7% 65.0% 63.5% $ 23.0 Adj. EBITDA 22.6% 21.6% 16.0% 19.6% 19.1% Margin1 Timing of certain product-level expenses resulted in lower adjusted gros
Slide 13: Consistent Cash Flow…
Consistent Cash Flow… Levered Free Cash Flow Adjusted Unlevered Free Cash Flow1 (LFCF, M) (aUFCF, M) 21.7 22.1 22.3 22.0 20.0 14.9 8.5 9.1 6.5 5.7 3Q21 4Q21 1Q22 2Q22 3Q22 3Q21 4Q21 1Q22 2Q22 3Q22 3Q22 LFCF of $9.1M 3Q22 aUFCF of $22.0M $44.0 TTM LFCF, a 7.4% margin TTM aUFCF of $81.4M, a 13.7% marg
Slide 14: Allows Us to Maintain an Optimal Capital Structure and Efficiently Allocate Capital
…Allows Us to Maintain an Optimal Capital Structure and Efficiently Allocate Capital $50M, 6-month share repurchase ($mm) Q3 2022 program authorized on June 14 BALANCE SHEET Cash and cash equivalents $91 Repurchased 2.1M shares through September 30 for $21.9M2 Debt, gross $547 Debt, net of cash and
Slide 15: Outlook
Outlook Q4 2022 FY 2022 Total Revenue $157 – 159M $616 – 618M Adjusted EBITDA $32 – 33M $116 – 117M 15
Slide 16: Q&A
Evercommerce Q&A
Slide 17: Appendix
Appendix
Slide 18: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Adjusted EBITDA LTM ($ in 000s) Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 3Q21 3Q22 Net Loss $(36,906) $(4,731) $(13,309) $(12,881) $(15,853) $(98,156) $(46,776) Adjusted to Exclude the Following: Interest and Other Expense, Net 5,148 4,849 5,478 6,702 8,890 41,948 24,9
Slide 19: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Adjusted Gross Profit LTM ($ in 000s) Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 3Q21 3Q22 Gross Profit1 $80,327 $87,808 $87,278 $96,542 $95,027 $279,543 $366,655 Adjusted to Exclude the Following: Depreciation and Amortization 5,249 5,099 5,553 5,601 5,444 18,815 21,697
Slide 20: aUFCF and LFCF Reconciliations
aUFCF and LFCF Reconciliations Levered and Adjusted Unlevered Free Cash Flow LTM ($ in 000s) Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 3Q21 3Q22 Cash Flow from Operations $9,841 $23,809 $12,854 $11,150 $13,610 $66,939 $61,421 Adjusted for the Following: Purchase of PP&E (796) (1,171) (889) (676) (590)
Slide 21: GAAP to Non-GAAP OpEx Reconciliation
GAAP to Non-GAAP OpEx Reconciliation Adjusted Operating Expenses LTM ($ in 000s) Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 3Q21 3Q22 Sales and Marketing $25,156 $26,142 $30,145 $29,946 $29,440 $81,588 $115,673 Adjusted for the Following: Stock-based Compensation Expense (157) (207) (328) (419) (380) (
Slide 22: Definitions
Definitions Adjusted Gross Profit: Adjusted Gross Profit is calculated as gross profit adjusted to exclude depreciation and amortization allocated to cost of revenues. Gross profit is calculated as total revenues less cost of revenues (exclusive of depreciation and amortization), amortization of dev
Slide 23: Definitions
Definitions Levered Free Cash Flow: Levered Free Cash Flow (LFCF) is calculated as Cash Flow from Operations, adjusted for purchases of PP&E and capitalized software costs. Purchases of PP&E and capitalized software costs are cash expenses unrelated to financing activities and as such are included i