#1Acast Interim Report Jan-Sep 2022 8 Nov 2022 www.acast.com A#2Hello! We're Acast. A#3A In The "Room" Ross Adams CHIEF EXECUTIVE OFFICER Emily Villatte CHIEF FINANCE OFFICER & DEPUTY CEO 3 A#4PODCAST CREATORS VICE BBC FT MY DAD Perne THAT PETER CROUCH PODCAST Rod EO The The New York Times Economist WTF 1.3Bn 88,000 OFF RERU Acast's Business Strategy Is To become the largest marketplace for podcast monetization globally B PBS UNQUALIFIED ART TRAFFIC LISTENS / QTR SHOWS (1) Uniques defined as unique combination of IP adress and Device Acast To get there we are winning the trust of the Supply and the Demand side PERFORMANCE BRIDGE HAVAS MEDIA 20¹ FOX ADVERTISERS & LISTENERS dentsu AEGIS network VERITONE. amnet OXFORD. WPP VIVAKI OmnicomMedia Group IPG MH.M accuen AD RESULTS MITSUS MOTORS Google TELE2 XAXIS 94M Microsoft LEGO EURO SPORT OSE 2,400 ADVERTISERS/ бабабаба MONTHLY UNIQUES (¹) 4 A#5DEEZER Google Podcasts VICE FT MY DAD WROTE A Porne METR BAINA The Acast Marketplace We have built the infrastructure required to match podcasters and advertisers Podcatchers iHeart RADIO pandora Luminary Professional Publishers Podcasts BBC NEWS Ba Big Independents OFF RERU PBS Long Tail Safar TRAPPI S PLATEM mat ▬▬▬▬▬▬▬▬ Spotify STITCHER hi himalaya HEARST The Economist SAVEZ POINTS 3SHOTE TEQUILA TUNE IN Smart Speakers And Other Platforms android T polestar TESLA Apple CarPlay auto PODCASTERS Google Assistant amazon alexa LISTENERS A Acast Google HOME Cortana ADVERTISERS 1 DUBBEL BAR Embedded players This is a short message from our sponsor. Visit sponsor 110:30/1:00 20 FOX OXFORD. WPP HAVAS MEDIA Media agencies accuen CADREON LEXUS Coca-Cola VİVAKİ VERITONE. dentsu AEGIS network PERFORMANCE BRIDGE OmnicomMediaGroup" Brands H.M XAXIS n MITSUCISHI MOTORS 1x K AD RESULTS MEDIA amnet SQUARESFACE Microsoft LEGO NETFLIX stamps Google audible.com The New York Times airbnb peast TELE2 EURO SPORT BOSE Garu Capital One#6Ad-spend share is larger than share of media consumption 100 Index Ad-spend share is lower than share of media consumption Source: WARC Data, 2021 The Global Gap in Ad-Spending 200 150 100 50 0.0 Linear TV I Social media Online video Print press Radio Online press T Online audio Podcasts 6 A#7Quarterly Listens 809 0,17 Q3-20 863 0,28 A World Leading Network of Podcasters We have expanded our podcaster network significantly and we keep growing the number of shows and listens 872 0,23 880 0,26 891 0,30 1091 0,31 1256 0,24 Listens (Millions) ARPL (SEK) 1 238 0,26 Q4-20 Q1-21 Q2-21 03-21 Q4-21 01-22 Q2-22 1318 0,24 Q3-22 88,000 shows 7 A#8No. listens HEAD PROFESSIONAL PUBLISHERS & BIG INDEPENDENTS Current revenue mainly through direct sales The Podcast Portfolio ILLUSTRATIVE EXAMPLE HEART High ROI potential for advertisers. Potential revenue through programmatic ads, self-serve and a more streamlined way of selling sponsorships SHOWS WITH HIGH LISTENS TAIL SHOWS WITH FEW LISTENS No. shows 8 A#9No. listens Acast Has Many Shows Left to Monetize REALITY MONETIZED NOT MONETIZED SHOWS WITH HIGH LISTENS SHOWS WITH FEW LISTENS No. shows 9 A#10New Innovation: The Industry's Smartest Ad Targeting Opportunities Conversational Episodic Level Categories 700, Tier 1/2/3 Categories Keywords By relevancy of keyword, topics or trending topics Sentiment Positive, negative, towards or away from competition Audience Listener Level Acast Audience Segments Using Nielsen data Audience Demographics 1st party data via Nielsen Advertiser Audience Segments 1st party data via Liveramp, Nielsen, Tapad 1 O Curated Show Level 40+ Content Collections Curated by Acast Experts O PODCHASER 10 A#111 CEO Update#12Financial Highlights Q3-2022 21% NET SALES GROWTH 35% GROSS MARGIN -23% Adj. EBITDA MARGIN Moving towards profitability in 2024 12 A#13Podchaser Delivers Discoverability, Dollars and Data DISCOVERABILITY O Podchaser $ DOLLARS rai DATA 13 A#14Acast: Major US Force 1 2345 ●●PODTRAC WONDERY CUMULUS 4 libsyn PODCASTONE Source: Podtrac US Sales Networks Ranker, October 2022 Acast 22 million monthly uniques 37+ thousand US podcasts#15Acast and Amazon Music strike deal to deliver ad-free listening to fans Acast X amazon music 15 A#162 Financials#17Quarterly Listens YoY . 891 0,30 48% growth in listens unaffected by macro context Q3-21 +48% 1318 0,24 Q3-22 Listens (Millions) ARPL (SEK) Listens grew +48% compared to Q3 -21 ARPL of 0.24 SEK has reduced compared to Q3 -21 (0.30 SEK) as listens have grown faster than revenues in the quarter Quarterly Listens 809 0,17 863 0,28 Q3-20 Q4-20 872 Note: Number of listens based on Acast's IAB 2.0 certified measurement. A listen is defined as a minimum download of at least 60 seconds of the episode and Acast only count one listen per listener per episode within 24 hours. ARPL: Average Revenue Per Listen measured in SEK 0,23 880 0,26 891 0,30 1091 0,31 1 256 0,24 Listens (Millions) ARPL (SEK) 1 238 0,26 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Number of shows reaches c. 88,000 - with listens reaching over 1.3 billion The potential for ARPL to grow over time remains 1318 0,24 Q3-22 17 A#18Q3 Net Sales (SEKm) 265 · Net Sales grow by 21% despite a cyclical ad-market Q3 2021 +21% 322 Q3 2022 All segments contributed to net sales growth of 21% • FX contributed +13% to net sales growth and the acquisition of Podchaser contributed +2% Organic growth of 7% reflects a growing podcasting ad market Quarterly Net Sales (SEKm) 66% 140 Q3-20 95% 240 04-20 74% 197 130% Towards the end 227 89% 265 336 40% 298 51% 316 39% Net Sales YOY Growth 322 21% Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 the quarter, a certain recovery was visible in advertising sales. 18 A#19Net Sales (SEKm) 174 Q3-21 CBIT (¹) (SEKm) 26 15% Q3-21 All segments grow reported net sales by double digits Europe +22% 212 Q3-22 -CBIT 34 16% Q3-22 CBIT margin, % Europe has seen steady net sales growth during the year including Q3 and delivers 22% net sales growth despite advertiser sentiment • CBIT margin improves to 16% (1) CBIT refers to a local market or segment's operating profit before allocation of global costs Net Sales (SEKm) 69 Q3-21 North America CBIT (¹) (SEKM) 1 1%! +16% 79 Q3-22 -26% -21 ➡CBIT -CBIT margin, % Q3-21 • North America net sales growth of 16% significantly impacted by FX and had single digit organic net sales reduction when eliminating Podchaser contribution and FX impact • The end of the quarter saw a pick-up in momentum Q3-22 Net Sales (SEKm) 23 Q3-21 Other markets CBIT (¹) (SEKm) 6% 1 Q3-21 +36% 31 Q3-22 -3% -1 Q3-22 CBIT CBIT margin, % • Other markets deliver 36% net sales growth and a marginal reduction in contribution profits 19 A#20Q3 Gross Profit (SEKm) 36% 97 Q3 2021 Gross profit increased by 16% • The gross margin in the period was 35% Gross Margin rebounds to 35% 113 -35% Q3 2022 Gross Profit -Gross Margin (%) Quarterly Gross Profit (SEKm) 36% 50 93 39% 71 36% 83 37% Q3-20 Q4-20 Q1-21 Q2-21 97 36% 123 36% 106 36% Q3-21 Q4-21 Q1-22 Gross margin rebounds to 35% in Q3-22 following a dip in Q2-22 94 30% Gross Profit Gross Margin (%) Q2-22 113 35% Q3-22 20 A#21Q3 Other Operating Expenses (SEKm) 149 Cost reductions to be finalized by year end Q3 2021 215 Q3 2022 Other Operating Expenses grew from 149 MSEK to 215 MSEK Geographically the operating expense increases were focused on North America By cost category the cost increase was focused on Product Development as well as Sales and Marketing Quarterly Other Operating Expenses (SEKm) 88 Q3-20 106 116 172 HPO 149 162 186 206 215 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 The heavy investment period that the company has gone through has come to an end and a reduction in workforce of c. 15% was announced in Q3 One off costs of 8 MSEK related to the restructure were posted in Q3 with some further costs anticipated in Q4 The reorganization will realize annualized cost savings of c. 77 MSEK 21 A#22Q3 Adj. EBITDA (SEKM) ● Q3 2021 -16% -42 Moving towards profitability Q3 2022 -23% Adj. EBITDA -Adj. EBITDA margin % -75 Adj. EBITDA Margin of -23% compares to -16% in the same quarter last year Quarterly Adj. EBITDA (SEKm) Q3-20 -31 -22% 04-20 Q1-21 Q2-21 Q3-21 -3% -17% -34 -21% -47 Adj. EBITDA -16% -42 Q4-21 -8% -28 Q1-22 Q2-22 -23% -68 -Adj. EBITDA margin % -31% -98 Q3-22 -23% -75 The Adj. EBITDA margin reached an inflection point in Q2 and is expected to improve moving forward, subject to usual seasonality • The path towards profitability is underpinned by the cost reductions announced in Q3 22 A#23Working capital fluctuations impact Operating Cash Flow Q3 cash flow from operating activities (SEKm) Q3-21 -71 Q3-22 -120 • The operating cash flow was impacted by losses in the quarter as well as a negative impact from changes in working capital Quarterly cash flow from operating activities (SEKm) -39 -55 1 -64 Q3-20 Q4-20 Q1-21 Q2-21 -71 Q3-21 12 "III -87 -98 Q4-21 Q1-22 Q2-22 Q3-22 As EBITDA and operating results move towards profitability, operating cash flows are expected to follow a similar trend, albeit with working capital fluctuations impacting individual quarters -120 • The cash balance at the end of Q3 was 902 MSEK including Financing and Investing cash flows incorporating e.g. the acquisition of Podchaser Q3 Cash Balance 902MSEK 23 A#243 Recent Events and Upcoming Areas of Focus#25Recent & Upcoming Events New Ad Capabilities First party data targeting WTF WTF with Marc Maron Podcast+ watu hor Misforing back 2009 Select membership The Full Maron $5.00 The WTF Archives Plussers $3.00 ED. Sh*ged Married Annoyed+ RHISTR Select membership Plus Plus Lucrative Lucrative Sponsor LUCERNATIONA SPONSOR RHLSTP with Richard Herring+ Plussers S £3.50 Select membership Plussers Plus Plus the Plussers HIST Lucrative Sponsor CONSOR £3.00 Acast Creators of all sizes launch subscriptions 25 A#264 Q&A#27Follow us on Investors.acast.com/subscribe Acast.com/blog https://shows.acast.com/acast-financial-reporting 27 A#28Acast For The Stories.#29Appendix Financial KPIs#30Group financial KPI's and alternative performance measures SEK thousand Net Sales Net Sales growth (%) Organic net sales growth (%) Gross profit Gross margin (%) EBITDA EBITDA margin (%) Adj. EBITDA* Adj. EBITDA margin (%)* Operating loss Operating margin (%) Adj. operating loss* Adj. operating margin (%) * Items affecting comparability* Loss for the period Cash flow from operating activities Basic and diluted earnings per share (SEK)*** Listens (millions) Average revenue per listen, ARPL (SEK) 2022 Jul-Sep 321,950 21% 7% 112,551 35% -86,117 -27% -75,144 -23% -101,986 -32% -91,013 -28% 10,973 -65,793 -120,771 -0.38 1,318 0.24 *2022 adjusted for costs from the acquisition of Podchaser. 2021 adjusted for costs related to our IPO. **Adjustment of cashflow for previous periods has been done. For more information see note 9. ***50:1 sharesplit undertaken in Q2-21 applied to all reporting periods. For definitions and purpose see note 10, and for reconciliations see note 11. 2021 Jul-Sep 265,142 89% 87% 96,740 36% -42,040 -16% -42,009 -16% -52,747 -20% -52,716 -20% 31 -46,132 -70,830 -0.26 891 0.30 2022 Jan-Sep 936,069 36% 23% 312,839 33% -252,518 -27% -241,228 -26% -294,008 -31% -282,718 -30% 11,290 -212,379 -282,445 -1.19 3,812 0.25 2021 Jan-Sep 689,211 96% 100% 250,665 36% -153,489 -22% -122,247 -18% -182,134 -26% -150,892 -22% 31,242 -275,105 -134,191 -1.83 2645 0.26 2021 Jan-Dec 1.025,702 73% 74% 373,476 36% -181,618 -18% -150,480 -15% -221,646 -22% -190,508 -19% 31,138 -300,394 -121,806** -1.91 3,735 0.27#31Acast For The Stories.