#1home design 500 Wix.com Q2 2014 Earnings Summary illustration 000 hat's up: 2013 On The Road Camper Design Series coming soon! B.LOVE BLOVE STUDIOS recent projects handmade natural skincare E about contact 000 A4 http://www.blovestudios.com/ m - ***** skincare 0 AM http://www.mo-skincare.com/ C 100% natural communication through 000 http://www.mo-skincare.com/ about us handmade natural skincare RECC mo skincare products welcome to branched out contact us Rema skin 000 47 ļ http://www.branchedout.co.uk/ branched out INSULATION SOLAR RENEWABLE REA Facebook C eee 000 AP http://www.burasurfhouse.com/ Welcome About HOME BACK PACKERS Surf House Book your FREE Survey Today: Services ACT ON CO2 http://www.chadlefkowitz-brown.com/ Contact CHAD LEFKOWITZ-BROWN SAXOPHONIST | COMPOSER HO THE HOSTEL LA45 B Departur Od Nights 1#2Safe Harbor Forward-Looking Statements This presentation contains forward-looking statements, within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, that involve risks and uncertainties. Such forward-looking statements may include projections regarding our future performance and may be identified by words like "anticipate," "assume," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "future," "will," "seek" and similar terms or phrases. The forward-looking statements contained in this presentation are based on management's current expectations, which are subject to uncertainty, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Important factors that could cause our actual results to differ materially from those indicated in the forward-looking statements include, among others, our ability to grow our user base and premium subscriptions; our ability to maintain and enhance our brand and reputation; our ability to manage the growth of our infrastructure effectively; changes to technologies used in our solutions or in global, national, regional or local economic, business, competitive, market, regulatory and other factors discussed under the heading "Risk Factors" in our annual report on Form 20-F for the year ended December 31, 2013 filed with the Securities and Exchange Commission on March 20, 2014. Any forward-looking statement made by us in this presentation speaks only as of the date hereof. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statements, whether as a result of new information, future developments or otherwise. Non-GAAP Financial Measures To supplement its consolidated financial statements, which are prepared and presented in accordance with U.S. GAAP, Wix uses the following non-GAAP financial measures: collections, prior adjusted EBITDA, new adjusted EBITDA, free cash flow, non-GAAP net loss and non-GAAP net loss per share (collectively the "non-GAAP financial measures"). Collections represents the total cash collected by us from our customers in a given period and is calculated by adding the change in deferred revenues for a particular period to revenues for the same period. Prior adjusted EBITDA represents net loss before financial expenses (income), net, other expenses, taxes on income, depreciation and amortization, share-based compensation expense, withdrawn secondary offering expenses, and acquisition related expenses. New adjusted EBITDA represents net loss before financial expenses (income), net, other expenses, taxes on income, depreciation and amortization, share-based compensation expense, withdrawn secondary offering expenses, acquisition related expenses, changes in deferred revenue and changes in prepaid domain registration costs. Free cash flow represents cash flow from operating activities minus capital expenditures. Non-GAAP net loss represents net loss calculated in accordance with GAAP as adjusted for the impact of share-based compensation expense and other non-GAAP adjustments. Non-GAAP net loss per share represents non-GAAP net loss divided by the weighted average number of shares used in computing GAAP loss per share. The presentation of this financial information is not intended to be considered in isolation or as a substitute for, or superior to, the financial information prepared and presented in accordance with GAAP. The company uses these non-GAAP financial measures for financial and operational decision making and as a means to evaluate period-to-period comparisons. The company believes that they provide useful information about operating results, enhance the overall understanding of past financial performance and future prospects, and allow for greater transparency with respect to key metrics used by management in its financial and operational decision making. For more information on the non-GAAP financial measures, please see the "Reconciliation of GAAP to Non-GAAP Financial Measures" table in this press release. This accompanying table has more details on the GAAP financial measures that are most directly comparable to non-GAAP financial measures and the related reconciliations between these financial measures. The company has not reconciled adjusted EBITDA guidance to net profit because it does not provide guidance for net profit. As items that impact net profit are out of the company's control and/or cannot be reasonably predicted, the company is unable to provide such guidance. Accordingly, a reconciliation to net profit is not available without unreasonable effort. Certain data in this presentation was obtained from various external sources, and the company has not verified such data with independent sources. Accordingly, the company makes no representation as to the accuracy or completeness of that data or to update such data after the date hereof. Such data involves risks and uncertainties and is subject to change based on various factors. The trademarks included herein are the property of the owners thereof and are used for reference purposes only. Such use should not be construed as an endorsement of the products or services of the company. Wix.com 2#3Key Metrics: Q2 2014 $ $39.9 Million Collections Wix.com | $33.9 Million Revenue Ť 50.3 Million Registered Users 1.02 Million Premium Subscribers#4Highlights Financial Highlights: Collections Y/Y growth of 79% to $39.9 million Revenue Y/Y growth of 82% to $33.9 million Record premium subscription growth - 110,000 net adds, 62% Y/Y growth Business Highlights: Announced WixShoutOut, an integrated communication and engagement tool > Launched first vertically tailored product, WixHotels Google Domains partnership provides new go-to-market partner Further penetration of proprietary billing system in several geographies driving subscription growth internationally Wix.com 4#5SMB Communications: WixShoutOut Email Create and Distribute Wix.com SALE! Men's Clothing 50% Off Now until the end of the week, all of our men's. clothing is 50% off. Come grab designer jeans and gorgeous cashmere sweaters for your favorite man "G Social Media Mobile حاد Landing Pages Trigger Action HUNTER VALLEY COM AU EVERYTHING HUNTER VALLEY DINE WINE AUSTRALIA'S Must Visit Wix site - direct traffic Buy RSVP In page actions Conversation Analyze and Improve History, edits, analytics 01 5#6Vertically Tailored Products WixHotels 620 TAKE A DEER BREATH. Wix.com Dashboard Vertical Products TT Contacts CRM Wix Hive !!! WixShoutOut TT Wix App Market T ()#7Introducing WixHotels Enable independent hotels, B&Bs and vacation rentals to run their business online 2014 Owck due Wix.com Tigers TAKE A DEEP BREATH. Colon HOTEL Dindin C me.com Change Dates Check in 213/2014 22J 2014 Ad : 0 Search Again 8 0 : Available Rooms for: Jul 21-22, 2014| 1 night Standard Room Our andard Rooms are the perfect combination funcionandcont Size 250 Sqft Bad 1000le Junior Suite cen Size 260 Sq Ft 20ouble ** breaking views of the Superior Room OurSome are confortable, cony and er Size 200 Sq Ft Bad King * 11 Clear Search From $150 Book Now From $250 Book Now Roge $350 Book Now 29 Website + back office Seamless guest booking experience Supports multiple devices: desktop, mobile and tablet Simple room and reservations management 7#8Users and Subscriptions Registered Users (Millions, at End of Period) 8 11 14 2011 17 Wix.com 20 22 28 2012 42 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2013 41% Y/Y 46 50 2014 Premium Subscriptions (Thousands, at End of Period) 223 192 2011 298 266 338 378 414 2012 549 470 707 627 2013 62% Y/Y 790 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 1,019 908 2014 8#9Collections and Revenues Revenues ($ Millions) Collections ($ Millions) 116% $30 $14 2010 77% Wix.com 2011 88% $53 2012 $99 2013 79% $22 Q2 '13 $40 Q2 '14 150% $25 $10 78% 2010 2011 84% $44 2012 $80 2013 82% $19 Q2 '13 $34 Q2 '14 9#10Deferred Revenue Growth Deferred Revenue ($ Millions) 98% $5 2010 Wix.com 86% $10 96% $19 $37 I Deferred Revenue growth exceeding GAAP Revenue growth 93% $27 $52 Revenues ($ Millions) 2011 2012 2013 H1'13 H1'14 150% $10 2010 78% $25 2011 84% $44 2012 $80 2013 I I 84% $34 H1'13 $63 H2 '14 10#11Consistent Behavior Active Premium Subscriptions from Q1 User Cohorts Registered Users Q1'14 4,089,253 Q1'13 3,714,472 Q1'12 2,651,656 Q1'10 919,221 92,019 Q1'11 1,833,897 33,747 29,612 18,513 62,071 Wix.com 1 122,474 2 Note: Data as of June 30, 2014 3 86,298 4 5 6 37,982 7 8 9 10 11 12 Number of Quarters Passed 29,579 13 14 15 16 17 18 19,619 11#12Marketing Efficiency One Time Marketing, Ongoing Monthly Collections After 2 Quarters 2.6x 0.8x $18 $14 To Date Q1'14 Cohort ... After 6 Quarters Wix.com $8 Marketing Cost ($mm) Note: Data as of June 30, 2014 $21 To Date Q1'13 Cohort After 10 Quarters 3.2x $5 $15 To Date Q1'12 Cohort Cohort Net Collections ($mm) After 14 Quarters 4.9x $15 To Date Q1'11 Cohort After 18 Quarters 10.9x $11 To Date Q1'10 Cohort 12#13Non-GAAP Financial Summary (in thousands) Revenues Gross Profit Gross Margin Net Loss New Adjusted EBITDA Prior Adjusted EBITDA Free Cash Flow Wix.com 2011 $24,600 $19,350 79% ($17,923) ($12,457) ($17,035) ($12,353) 2012 $43,676 $34,548 79% ($13,718) ($5,354) ($13,070) ($4,555) 2013 $80,473 $65,706 82% ($20,953) ($1,745) ($18,244) $1,173 Q2 '13 $18,594 $15,254 82% ($4,181) ($330) ($3,600) ($32) Q2 '14 $33,931 $27,839 82% ($10,351) ($4,098) ($9,478) ($3,249) 13#14Reconciliation of Prior EBITDA to New EBITDA Guidance (in millions) Quarterly guidance Q1 guidance (at 2/12/14) Q1 actual Q2 guidance (at 5/13/14) Q2 actual Q3 guidance (at 8/6/14) FY2014 guidance Provided on 2/12/14 Provided on 5/13/14 Provided on 8/6/14 Wix.com Prior EBITDA $(13) - $(14) $(10.7) $(11) - $(12) $(9.5) $(11) - $(12) $(38) - $(42) $(38) - $(42) $(38) - $(42) Change in Deferred Revenue $7.0 $8.7 $7.0 $5.9 $7.0 $18 - $20 $25 - $27 $27 - $28 Prepaid Domain Reg. Costs $(0.7) $(0.7) $(0.6) $(0.6) $(0.6) $(2.5) $(2.7) $(2.8) New EBITDA $(7) - $(8) $(2.7) $(5) - $(6) $(4.1) $(4) - $(5) $(22) - $(24) $(15) - $(17) $(14) - $(16) 14#15APPENDIX Wix.com 15#16Reconciliation of GAAP to Non-GAAP (in thousands) Revenues Change in Deferred Revenues Collections (in thousands) Net Cash (used)/from Operating Activities Capital Expenditures Free Cash Flow Wix.com 2011 $24,600 5,048 $29,648 2011 ($10,599) (1,754) ($12,353) 2012 $43,676 8,803 $52,479 2012 ($3,608) (947) ($4,555) 2013 $80,473 18,200 $98,673 2013 $4,243 (3,070) $1,173 Q2 '13 $18,594 3,636 $22,230 Q2 '13 $641 (673) ($32) Q2 '14 $33,931 5,944 $39,875 Q2 '14 ($1,738) (1,511) ($3,249) 16#17Reconciliation of GAAP to Non-GAAP (in thousands) GAAP Net Loss Adjustments: Financial expenses (income), net Other expenses (income) Taxes on income Depreciation Amortization Withdrawn secondary offering expenses Acquisition related expenses Stock-based compensation Total adjustments Prior Adjusted EBITDA Wix.com 2011 ($22,740) 41 127 212 592 4.733 $5.705 ($17,035) 2012 ($14,972) (487) 2 496 871 1,020 $1.902 ($13,070) 2013 ($28,720) 603 18 1,572 1,229 7,054 $10,476 ($18,244) Q2 '13 ($5,151) 297 316 299 639 $1.551 ($3,600) Q2 '14 ($13,802) (59) 1 344 587 20 3,430 $4,596 ($9,478) 17#18Reconciliation of GAAP to Non-GAAP (in thousands) GAAP Net Loss Adjustments: Financial expenses (income), net Other expenses (income) Taxes on income Depreciation Amortization Withdrawn secondary offering expenses Acquisition related expenses Stock-based compensation Change in deferred revenue Change in prepaid domain registration costs New Adjusted EBITDA Wix.com 2011 ($22,740) 41 127 212 592 4,733 5,048 (470) ($12,457) 2012 ($14,972) (487) 2 496 871 1,020 8,803 (1,087) ($5,354) 2013 Q2 '13 ($28,720) ($5,151) 603 18 1,572 1,229 7,054 18,200 (1,701) ($1,745) 297 316 299 639 3.636 Q2 '14 ($13,802) (59) 1 344 587 20 3,430 5,944 (366) (564) ($330) ($4,098) 18#19Reconciliation of GAAP to Non-GAAP (in thousands) GAAP Gross Profit Stock-based Compensation Non-GAAP Gross Profit GAAP Net Loss Stock-based Compensation and other Non GAAP Adjustments Non-GAAP Net Loss Wix.com 2011 $19,310 40 $19,350 ($22,740) 4,817 ($17,923) 2012 2013 $34,443 $65,216 105 490 $34,548 $65,706 ($14,972) ($28,720) 1,254 7,767 Q2 '13 $15,219 35 $15,254 ($5,151) 970 Q2 '14 $27,533 306 $27,839 ($13,802) 3,723 ($13,718) ($20,953) ($4,181) ($10,351) 19