Babylon Investor Presentation Deck
Disclaimer
Additional information and where to find it
Babylon Holdings Limited ("Babylon") is subject to the informational reporting requirements of the Securities Exchange Act of 1934, as amended
(the "Exchange Act"). We file reports and other information with the Securities and Exchange Commission (the "SEC") under the Exchange Act. Our
SEC filings are available over the Internet at the SEC's website at www.sec.gov.
Forward-looking statements
This presentation contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking
statements generally relate to future events or our future financial or operating performance. When used in this presentation, the words "estimates,
"projected," "expects," "anticipates," "forecasts," "plans," "intends," "believes," "seeks," "may," "will," "should," "future," "propose" and variations
of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements.
These forward-looking statements include, without limitation, information concerning Babylon's possible or assumed future results of operations,
business strategies, debt levels, competitive position, industry environment and potential growth opportunities.
These forward-looking statements are not guarantees of future performance, conditions, or results, and involve a number of known and unknown
risks, uncertainties, assumptions and other important factors, many of which are outside of Babylon's management's control, that could cause
actual results to differ materially from the results discussed in the forward-looking statements. These risks, uncertainties, assumptions and other
important factors include, but are not limited to our future financial and operating results and that we may require additional financing; uncertainties
related to our ability to continue as a going concern; the growth of our business and organization; our failure to compete successfully; our ability to
renew contracts with existing customers, and risks of contract renewals at lower fee levels, or significant reductions in members, pricing or
premiums under our contracts due to factors outside our control; our dependence on our relationships with physician-owned entities; our ability to
maintain and expand a network of qualified providers; our ability to increase engagement of individual members or realize the member healthcare
cost savings that we expect; a significant portion of our revenue comes from a limited number of customers; the uncertainty and potential
inadequacy
of our claims liability estimates for medical costs and expenses; risks associated with estimating the amount and timing of revenue
recognized under our licensing agreements and value-based care agreements with health plans; risks associated with our physician partners'
failure to accurately, timely and sufficiently document their services; risks associated with inaccurate or unsupportable information regarding risk
adjustment scores of members in records and submissions to health plans; risks associated with reduction of reimbursement rates paid by third-
party payers or federal or state healthcare programs; risks associated with regulatory proposals directed at containing or lowering the cost of
healthcare, including the ACO REACH model; immaturity and volatility of the market for telemedicine and our unproven digital-first approach; our
ability to develop and release new solutions and services; the impact of COVID-19 or any other pandemic, epidemic or outbreak of an infectious
disease in the United States or worldwide on our business; and the other risks and uncertainties identified in Babylon's Annual Report on Form 20-F
filed with the SEC on March 30, 2022, and in other documents filed or to be filed by Babylon with the SEC and available at the SEC's website at
www.sec.gov.
Babylon cautions that the foregoing list of factors is not exclusive and cautions readers not to place undue reliance upon any forward-looking
statements, which speak only as of the date made. Except as required by law, Babylon does not undertake any obligation to update or revise its
forward-looking statements to reflect events or circumstances after the date of this presentation.
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Information sources
The information herein is derived from various internal and external sources. Unless otherwise indicated, information contained in this
presentation concerning Babylon's industry and the regions in which it operates, including Babylon's general expectations and market
position, market opportunity, market share and other management estimates, is based on information obtained from various independent
publicly available sources and reports provided to us, and other industry publications, surveys and forecasts. We have not independently
verified the accuracy or completeness of any third-party information. Similarly, internal surveys, industry forecasts and market research,
which we believe to be reliable based upon our management's knowledge of the industry, have not been independently verified. While we
believe that the market data, industry forecasts and similar information included in this presentation are generally reliable, such information
is inherently imprecise. In addition, assumptions and estimates of our future performance and growth objectives and the future performance
of our industry and the markets in which we operate are necessarily subject to a high degree of uncertainty and risk due to a variety of
factors, including those discussed under the heading "Forward-looking statements" and our filings with the SEC.
This presentation contains references to trademarks, trade names and service marks belonging to other entities. Solely for convenience,
trademarks, trade names and service marks referred to in this presentation may appear without the ® or TM symbols, but such references
are not intended to indicate, in any way, that the applicable licensor does not assert, to the fullest extent under applicable law, its rights to
these trademarks and trade names. We do not intend our use or display of other companies' trade names, trademarks or service marks to
imply a relationship with, or endorsement or sponsorship of us by, any other companies.
Use of Non-IFRS Financial Measures
This presentation includes certain financial measures to evaluate Babylon's projected financial and operating performance, and measures
calculated based on these measures, including Adjusted EBITDA and Adjusted EBITDA margin, that are not prepared in accordance with
IFRS. EBITDA is defined as profit (loss) for the period, adjusted for depreciation, amortization, net finance income (costs), and income taxes.
Adjusted EBITDA is defined as profit (loss), adjusted for depreciation and amortization, finance costs and income, tax provision or benefit,
recapitalization transaction expense, share-based compensation, change in fair value of warrant liabilities, gains on remeasurement of
equity interest, gain on sale of subsidiary, impairment expense, and foreign exchange gains or losses. Loss for the period is the most
directly comparable IFRS measure to Adjusted EBITDA. Adjusted EBITDA margin is defined as Adjusted EBITDA divided by IFRS revenue
for the corresponding period to give the Adjusted EBTIDA margin.
We believe that EBITDA, Adjusted EBITDA and Adjusted EBITDA margin are useful metrics for investors to understand and evaluate our
operating results and ongoing profitability because they permit investors to evaluate our recurring profitability from our ongoing operating
activities. EBITDA, Adjusted EBITDA and Adjusted EBITDA margin have certain limitations, and you should not consider them in isolation or
as a substitute for analysis of our results of operations as reported under IFRS. We caution investors that amounts presented in accordance
with our definition of EBITDA, Adjusted EBITDA and Adjusted EBITDA margin may not be comparable to similar measures disclosed by
other issuers, because some issuers calculate EBITDA, Adjusted EBITDA and Adjusted EBITDA margin differently or not at all, limiting their
usefulness as direct comparative measures.
A reconciliation of IFRS Loss for the period, the most directly comparable IFRS measure, to Adjusted EBITDA, and the calculation of
Adjusted EBITDA margin, has been provided at the end of this presentation.
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