Brilliant Earth Group, Inc. · NASDAQ:BRLT

Brilliant Earth — Q3 2023 Earnings Presentation

16 slides from Brilliant Earth's earnings presentation, Nov 10, 2023

  1. Slide 1: Third Quarter 2023 Financial Results

    Third Quarter 2023 Financial Results November 9, 2023

  2. Slide 2: Forward-Looking Statements

    Forward-Looking Statements This Presentation and statements to be made on the earnings conference call (collectively, the “Presentation”), contain forward-looking statements. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements containe

  3. Slide 3: The Next Generation Fine Jeweler for Today's Consumer

    The Next Generation Fine Jeweler for Today’s Consumer Mission-Driven Ethos Brilliant Earth is a global leader in fine jewelry. Personalized, Digitally Native, Joyful We are successfully Tech-Driven Omnichannel and Customer- Customer executing our strategy to Obsessed Experience transform and moderni

  4. Slide 4: Highlights and Key Achievements

    Highlights and Key Achievements  9 consecutive quarters of positive Adjusted EBITDA as a public company, validating our ability to deliver sustainable profitability  2.5% Q3 2023 revenue growth year-over-year and a 22% four-year CAGR, outperforming the industry in Q3 by an estimated more than 1000

  5. Slide 5: Third Quarter & Nine Months Fiscal Year 2023 Financial Results

    Third Quarter & Nine Months Fiscal Year 2023 Financial Results Q3 NET SALES ($MILLIONS) Q3 GROSS MARGIN Q3 ADJUSTED EBITDA ($MILLIONS) ($MILLIONS) $111.4 $114.2 58.5% 54.7% $60.9 $66.8 $7.6 Q3 2023 Q3 2022 Q3 2023 Q3 2022 Q3 2023 6.7% OF NET SALES +2.5% YoY +380 bps YoY GROWTH NINE MONTHS NET SALES

  6. Slide 6: 2023 Priorities

    2023 Priorities  Continue on our path to become the premier global jewelry brand for today’s consumer  Expand and refine distinctive, high-quality product offering  Expand and elevate omnichannel experience  Invest in technology and systems to enable continued profitable growth 6

  7. Slide 7: Growing Brand Reach and Resonance

    Growing Brand Reach and Resonance  First-ever national brand campaign with major multi-city takeover  Engaged Emmy-nominated actress Camila Morrone, in our first “face of” the campaign partner  More celebrities, including Meghan Markle and Miley Cyrus, are wearing Brilliant Earth jewelry  Unaide

  8. Slide 8: Beautifully Designed, Trend-Leading, Distinctive, Personalized Products

    Beautifully Designed, Trend-Leading, Distinctive, Personalized Products The Sol Collection Logan Hollowell Collaboration  Introduced a groundbreaking new collection, The Sol Collection, featuring eight signature pieces crafted with recycled gold, silver, and Beyond Conflict Free diamonds  Strong g

  9. Slide 9: Continued Uplift from Showroom Expansion

    Continued Uplift from Showroom Expansion  Opened 5 new showrooms in Q3 2023 Detroit including our first 3 indoor mall locations  Exceeded our 2023 goal with 37 total showrooms now open  Cluster locations with multiple showrooms in a single metro open at least one year are yielding strong incremen

  10. Slide 10: Power of Omnichannel Model

    Power of Omnichannel Model  Digital platform and efficient store footprint allow faster new product launches with less inventory than others in the industry  Differentiated business model has produced sales growth outpacing the jewelry industry by an estimated more than 1000 basis points in Q3* *B

  11. Slide 11: Brilliant Earth's Competitive Advantages

    Brilliant 1 Earth’s VAST INDUSTRY THAT IS RIPE FOR DISRUPTION Competitive Advantages 2 AGILE BUSINESS MODEL THAT CAN SWIFTLY ADAPT 3 USING DATA TO INFORM DECISION-MAKING ASSET LIGHT MODEL NOT BURDENED BY HOLDING EXCESS INVENTORY 4 OMNICHANNEL MODEL PROVIDES A JOYFUL, SEAMLESS SHOPPING EXPERIENCE 5 O

  12. Slide 12: Third Quarter and Nine Months 2023 Financial Results

    Third Quarter and Nine Months 2023 Financial Results Q3 TOTAL ORDERS Q3 AOV NINE MONTHS TOTAL ORDERS NINE MONTHS AOV (IN THOUSANDS) (IN THOUSANDS) 121.6 $3,058 $3,013 104.7 $2,647 43.2 $2,645 37.0 Q3 2022 Q3 2023 Q3 2022 Q3 2023 YTD 2022 YTD 2023 YTD 2022 YTD 2023 +17% ORDER GROWTH +16% ORDER GROWTH

  13. Slide 13: Long-Term Growth Targets

    Long-Term Growth Targets 1 NET SALES GROWTH RATE: HIGH 20s TO LOW 30s % 2 GROSS MARGIN: MID 50s % 3 MARKETING % OF NET SALES: MID TO HIGH TEENS 4 ADJUSTED EBITDA MARGIN: 15-20%+ 13

  14. Slide 14: Our 2023 Outlook

    Our 2023 Outlook Fiscal Year $444m–$450m NET SALES $22m–$24m ADJUSTED EBITDA 14

  15. Slide 15: Appendix

    Appendix 15

  16. Slide 16: GAAP to Non-GAAP Reconciliations

    GAAP to Non-GAAP Reconciliations Three months ended Nine months ended ADJUSTED EBITDA AND ADJUSTED EBITDA MARGIN September 30, September 30, (Unaudited and $ in 000’s) 2023 2022 2023 2022 Net income, as reported $1,998 $5,719 $2,793 $12,839 Interest expense 1,322 778 3,808 3,700 Income tax expense 9

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