Dariohealth Corp. · NASDAQ:DRIO
Dariohealth — Investor Presentation (May 2021)
40 slides from Dariohealth's investor presentation, May 18, 2021
Slide 1: DarioHealth Corp.
DarioHealth Corp. Al-powered, digital solutions that drive durable behavior change in chronic disease Nasdaq | DRIO
Slide 2: Forward Looking Statement
| Forward Looking Statement “This presentation of Dariotealth Corp. the Company’) our or ted lor may contain statements within ‘the meaning ofthe Private Securities Litigation Reform Act of 1995 (the “Ac. Statements which are not historical reflect our current expectations and projections about our
Slide 3: Dario Health - Opportunity
| Dario Health - Opportunity Industry > Digital Health / Digital Therapeutics accelerated during and post COVID — ‘otal addressable market of $1088 for metabolic disease market, additional Sere iA > $908 for the musculoskeletal market and $98 for the Behavior Health market 75,000 users on the metabo
Slide 4: Mission statement
| Mission statement Empowering behavior change to alleviate the burden of chronic conditions through simple, clinically proven digital tools and coaching - Making the right thing to do, the easy thing to do.
Slide 5: Chronic disease management represents a significant unmet need
Chronic disease management represents a significant unmet need. peoplein the US. adults in the US. deaths caused by spenton annual total cost have chronic have twoor chronicdisease healthcare from totheUS. conditions more chronic chronic diseases economy conditions
Slide 6: Employer's well-being priorities for 2021
Employer's well-being priorities for 2021 Employers with 500 or more employees Fonda welts —— TS Physical activity SL >: Muscles —_ conor —————— Hered 2020 Mercer National Survey of Employer-Sponsored Health Plans
Slide 7: Global Addressable Market - Digital Therapeutics
crete Global Addressable Market - Digital Therapeutics $1628 opportunity in US alone. Of which less then 1% is already penetrated. $72B Metabolic total US Market 51M 34.2M eae Diabete 103M 126.6M Hypertension Musculaskeletal “costars PuPtr cats S29PUPMtr hypertension sSOPHNIO MS BH total US Market $
Slide 8: Efficiency / Scale
Efficiency / Scale Consumerization of Healthcare Scale up chronic condition management by deploying user centric technologies. A Dario - Digital Therapeutics Platform + Users/Patients are key stakeholder and are partothe solution + Accessed bythe wer 24/7 upon ther specicneed (asynchronous between d
Slide 9: DarioHealth Solution
DarioHealth Solution Fully-integrated digital solutions for managing multiple chronic conditions Dario offers solutions for: Diabetes Hypertension Prediabetes Musculoskeletal Behavioral Health 1 Propriety Medical Devices Holistic, Integrated Service For Chronic Disease Management @ Distal
Slide 10: Digital Health Standard Approach
Digital Health Standard Approach Diabetes > + Matiple programs Hypertension —> Matt screenings BH > = Matiple coaching programs = Matiplejourneys MsK 2 rn rn Personalized per condition - Multiple data sets MSK ——tiertemion Diabetes BH Data ‘Data Data Data Dario Digital Therapeutics Approach One inte
Slide 11: Multi-Condition, Single Platform Approach
| Multi-Condition, Single Platform Approach Benefits User and Payer through Coordinated, Improved Patient Centric Virtual Care Model &% sige et ma Pater eaten Low # eee axtred <¢€c¢c <'-+?)7) ‘ =< $ Member Employers / fo) © 485,000 Payers veoggammnns Fars}
Slide 12: Dario's simplicity makes engagement easy
Dario’s simplicity makes engagement easy Proprietary medical device, mobile application, digital and human coaching myDario™ DarioEngage™ eo & i] a & W ) wt & & s Telemedicine Sehavioral Devices «= SK Gamieation Unlimited tv Food Realtime based Education Performance Providers health support lucomete
Slide 13: DarioHealth accelerates behavior change
DarioHealth accelerates behavior change by making the right thing to do, the easy thing to do Without Dario With Dario “Even when | know what I need to do, it feels impossible’ “Its hard to keep up with devices and supplies” Tm unique—the solutions I'm offered ‘My experience is pe don't fit me me st
Slide 14: Dynamic Personalization for Each Individual
Dynamic Personalization for Each Individual Al Insights Continuously Applied to the Six Domains of Personalization for Each User “Jack's” Dario Journey “Jack's” Competitor Journey ©e e © Cy roe @ o? iawn (fy) oO. 66000 © DARI weatre Timing Tone Channel Content Frequency intervention
Slide 15: DarioHealth - different by design
| DarioHealth - different by design 30% - 50% Pay for engagement Unlimited ROI Up to 100% lower cast, ‘measured monthly, not once ‘supplies and $2376 {fees atriskbasedon vo parcondtn ee stacking in semen coche, may ‘ucoe mers 21 Clinical Studies with 2-year sustained results 1.4% reduction 38% reduc
Slide 16: Dario's Competitive Advantage
Dario’s Competitive Advantage Positive user experience with proven data driven return on investment in scale « Market with less then 1% penetration * Limited competitors with scale * Dario positioned for Market Leadership Role ist eat ‘Conoetiive ope 1 Livongo! Blonede Sanaa seatie/ svctre © © © @ 6
Slide 17: Leverage D2C core to penetrate the B2B2C market
Leverage D2C core to penetrate the B2B2C market Following the successful penetration and growth in the D2C market, demonstrated requisite clinical results at scale, now enables the Company to move into and target the B2B2C market. + Thishas enabled the Company to significantly accelerate and scale o
Slide 18: Strong Client Base / Expanding Pipeline
| Strong Client Base / Expanding Pipeline ef a ieseeinesn @) Hern Contracts: through strategic partners. Om 2.2 a, -® OQ) ro cor Bo S Annualrevenue pipeline ‘Remote Ps =f oo “Annual pipeline arecaleulated as ati on multiliedby 10% condition prevalence times 35% DARIO. enrolinentst $59/month times 12
Slide 19: SaaS
SaaS Sofware se2 ‘ere + Consumer / Retail © Standard Membership 1stCondton $25 PMPM ita.) aching 2nd Condition 1stCondton 2nd Conon +$10 $60PMPM +$10 Our Highly Scalable SaaS / PaaS Business Model Drives recurring revenue and high growth margin. PaaS Pratoonars + Membership Program eR 1 mse Licensin
Slide 20: Roadmap & M&A Strategy
Roadmap & M&A Strategy
Slide 21: Product Roadmap 2021
| Product Roadmap 2021 Layering on New Chronic Conditions for a More Complete Virtual Care Solution 2021 BenavieriHesth Fulton foray Fully ineated MSK soliton or Employers J zee min eee Mult Devices. COM. Hyper personalization through A. chronic Conditions 21 -2017~=«ONBSC*«iTSCSCNSCSC«
Slide 22: DarioHealth's Growth Strategy
DarioHealth’s Growth Strategy Disciplined Approach Requires Specific Criteria for Adding Conditions ‘Superior ser experience vin or Focus on chronic Solve a big problem with capabilities to engage and conditions or Significant total fetain users overs ‘comorbidities that are addressable market Behav
Slide 23: Acquisition of Upright (MSK)
Slide 24: DarioHealth - MSK Solution
| DarioHealth - MSK Solution UPRIGHT Satisfies All of Dario's Selection Criteria Q) wevrstcome Significant user base that proves durable behavioral change ay Use technology that combines HW, SW and light service a ® Company culture ~ consumer fst! '02€ Focused with very hh usr satisfaction Covers 52
Slide 25: Digital First Solution for MSK and Pain Management
| Digital First Solution for MSK and Pain Management integrated Virtual Platform Focused on Behavior Change Min Hardware / Sensors Enablesbioteedbac to drive pesenolaed exeence In Eembiation th sft ent Offering Human coaching Stppot the dita experience Provides durable betaira
Slide 26: Upright - Scalable, Sustainable Results
Upright - Scalable, Sustainable Results ‘+ Unique approach prevents and treats MSK conditions via sustainable behavioral change. + Bio-Feedback platform Unique data aggregation with an average usage of 5.5 hours/day + Resulted in a sustainable (18 months) significant decrease in back pain (54%-61%)
Slide 27: UPRIGHT's High User Satisfaction
| UPRIGHT’s High User Satisfaction Satisfaction Leads to Engagement which In turn Leads to Clinical Performance © ra Fa) 4 autor 83% Would recommend within Report improvement in Employer posture within 2weeks amazon « Deconery 4oonsts eke 4AT cross we HS 4 4roross te KE ‘4k customers ratings 78K tin
Slide 28: UPRIGHT - Clinical Results
| UPRIGHT - Clinical Results Real World Health Outcomes Highlight Strength of Offering Cost savings of $73.23 for every /1% Of pain reduction q $4,467 61%O Moderate pain level reduction User's pain level rating over 13 o 18 months w¥, 16% 57k Users — 261K data points /54%0 IC Severe pain level reduc
Slide 29: Digital Therapy - MSK Solution Landscape
| Digital Therapy - MSK Solution Landscape UPRIGHT Compares Favorably to Peers Ayupnicur> 90K. A Menge Matt 60K venvsers 10K eee exe ‘One MSK Scalable Players Ea stage most players have upto Upightare the only companies 4 vem Hinge [26 Fecused- Recent “rated $300M ina valuation of $36, Estimated rev
Slide 30: Acquisition of wayForward (BH)
PAR Acquisition of wayForward (BH)
Slide 31: DarioHealth - BH Solution
| DarioHealth - BH Solution wayForward Satisfies Many of Dario's Selection Criteria GB Consumer Centric 02 Fed it vey ihr scion @ (>) iia cn ve > CREE Ie BH contonsby moving ston or deen (o) Senin ee tnat proves yet hr ser mia dein © Sanh betel cree Use techn thet cobs iia i ia ins onl. fee er ls >
Slide 32: wayForward
wayForward Screening and Tage Process pon = MODERATE i~— Cy External v Network- centric Solutions Poyenay if Db 22
Slide 33: Behavioral Health Market Landscape
Behavioral Health Market Landscape wayForward adds value and shows outcomes across the user's journey. 89% Employees creene 48% anxiety >17% Serene 82% on 9 37% 59%, Depression Users Fee! Better tena ‘After using wayForward Productivity (UNC Research study) Employees Engaged (Over 20% in 2020) Utili
Slide 34: Behavioral Health Market Landscape
Behavioral Health Market Landscape As the digital layer for BH, wayForward lies on TOP of network-centric solutions, which makes even the indirectly competitive players in the field potential partners or clients in the future. lyra Comprehensive care springhealth DA, Modern Health Network-contrie so
Slide 35: Experienced Executive Management Team
| Experienced Executive Management Team cierto anon ben Davis Cnr Mane. £0. Based Member ees cro (het eal Ofer =| Ocatasys Given. s Ocatasys BarboraBe" Stack SvP&Headof Manaeed (Markets North Armeries a omada mM = ceo encen Ocatasys owcovint WUHE ra chey Ose cohen De Nowa Sieh faving) SVP Heath Stes
Slide 36: Board of Directors and Advisors
| Board of Directors and Advisors Yeo Sated Demi Meath ‘en Koner o rant oth pra lan ; ccna erator ueonearcro = u acaiel nn Mp ivrive Ee Milde Sata stener HiaKerah ‘iste Chamanofte Bowed ter airy Bord — Borden oud ent oo... Board eee" OFERNORES
Slide 37: Financial Highlights
| Financial Highlights Following Uprights acquisition the > Above $81MasofMar.31,2021 —_revenueshave the potential to triple during 2021, > providers provide intial indication for a compared to 2020 more gnficantsalesrampup in 2021. 2020 - $7.6M 2021 S47M* Gross Margin 44% a cy 3 as at GAAP revenues
Slide 38: Multi Growth Drivers
Multi Growth Drivers Strength of platform allows for broad market reach, increased number of users and better outcomes per user Scale Via B2B Clients Product Enhanceme Expand D2C user base Expand market through leverage of existing and new partnerships Expanding product offering to Continue to grow
Slide 39: Capital Structure
Capital Structure Balance Sheet & Capitalization Snapshot Stock Price $14.52 Shares Outstanding 15,543K Market Cap $225M Cash Balance as of March 31, 2021: Exceeding $81.2M Q__ Minurnversareas of ay 7.2021 DARIO Shares Outstanding Preferred Shares Prefunded Warrants Warrants (Exercise Price: $405-$1
Slide 40: Thank You
— Thank You