SmileDirectClub Investor Presentation Deck
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Q2 2023 results.
Revenue for the quarter was $101.8 million, which is
down (19.1%) year-over-year due to macroeconomic
conditions and down (15.0%) from Q1 2023,
following typical seasonal trends of sequential
decline.
Gross margin for the quarter was 71.6%, which
represents a (129 bps) decrease year-over-year,
driven by the deleveraging of fixed expenses on
lower aligner volumes.
Q2 Adjusted EBITDA) improvement of $12.9 million
over the first quarter of 2023, and an improvement
of $9.6 million over the prior year period at ($13.6)
million, driven primarily by cost control actions and
increased marketing efficiencies despite a
($24.0mm) decrease in year-over-year revenue.
Net loss for the quarter was ($53.8mm), an $11.7mm
year-over-year improvement over Q2 2022.
Q2 Free Cash Flow improved $7.5 million year-
over-year compared to Q2 2022 and improved
$12.5 million sequentially compared to Q1 2022. On
a YTD basis, Free Cash Flow improved by over
$43.0 million compared to the prior year.
smile
DIRECT CLUB
Net Revenue
Gross Profit
Gross Margin %
Adjusted EBITDA (1)
EPS, Diluted
Free Cash Flow(1)
$126
$92
($23)
Q2 2022
Q2 2023
Revenue
$ 101.8mm
$ 72.9mm
$
$
(15.0%)
(16.1%)
(91 bps)
(13.6mm) $12.9mm $
(0.13) $ 0.03 $
(28.1mm) $12.5mm $
71.6%
($36)
QoQ
Year-Over-Year Financial Results ($ in millions)
Gross Profit
$102
YOY
$73
(19.1%)
(20.5%)
(129 bps)
9.6mm
0.04
7.5mm
Q2 2023
■Adjusted EBITDA
Q2 2023 revenue decreased $24 million compared to Q2 2022 while Adjusted
EBITDA increased $10 million and Free Cash Flow improved $8 million
($14) ($28)
FCF
(1) Adjusted EBITDA and Free Cash Flow are non-GAAP financial measure. See appendix for definition of Adjusted EBITDA and Free Cash Flow. 24
Prior period reconciliations are available in historical SEC filings at https://investors.smiledirectclub.com/financial-filings/sec-filings.View entire presentation