Snap Inc Investor Presentation Deck slide image

Snap Inc Investor Presentation Deck

Snap Inc. Non-GAAP Financial Measures Reconciliation (in thousands, unaudited) Free Cash Flow Reconciliation Net cash used in operating activities Less: Purchases of property and equipment Free Cash Flow¹ Adjusted EBITDA Reconciliation Net loss Add (deduct): Interest income Interest expense Other (income) expense, net Income tax (benefit) expense Depreciation and amortization Stock-based compensation expense Payroll tax expense related to stock-based compensation Securities class actions legal charges Lease exit charges Reduction in force charges Adjusted EBITDA² $ $ 2018 (689,924) $ (120,242) (810,166) $ 2018 (1,255,911) $ (27,228) 3,894 8,248 2,547 91,648 538,211 21,927 31,143 9,884 (575,637) $ 2019 (304,958) $ (36,478) (341,436) S 2019 (1,033,660) $ (36,042) 24,994 (59,013) 393 87,245 686,013 27,840 100,000 (202,230) $ 2020 (167,644) (57,832) (225,476) 2020 (944,839) (18,127) 97,228 (14,988) 18,654 86,744 770,182 50,309 45,163 We define Free Cash Flow as net cash provided by (used in) operating activities, reduced by purchases of property and equipment. We define Adjusted EBITDA as net income (loss), excluding interest income; interest expense; other income (expensel net, income tax benefit (expense); depreciation and amortization; stock-based compensation expense and related payroll tax expense; and certain other non-cash or non-recurring items impacting net income (loss) from time to time. Securities class actions legal charges related to a preliminary agreement to settle the securities class actions that arose following our IPO. Charges recorded are net of amounts directly covered by insurance. These charges are non-recurring and not reflective of underlying trends in our business. 45
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