SmileDirectClub Investor Presentation Deck slide image

SmileDirectClub Investor Presentation Deck

Balance sheet highlights. ● ● ● We ended Q2 with $58.0 million in cash and cash equivalents. Cash from operations for the second quarter was ($17.8) million which is consistent with Q2 2022. Cash spent on investing for the second quarter was ($10.2) million, down $7.6mm from Q2 2022. Free Cash Flow was ($28.1) million in the quarter, an improvement of $7.5mm compared to ($35.6) million in Q2 2022. In Q2 2023, SmilePay financing usage, as a percentage of total aligners purchased was 66.4%, which increased about 500 bps compared to Q1 2023. Overall, SmilePay delinquency rates continue to be in line with past performance. In August, our founders provided a $10.0 million revolving line of credit to fund working capital and the new initiatives. smile DIRECT CLUB ($ in millions) Cash Debt Accounts Receivable, Net Cash Flow from Operations Cash Flow from Investing Free Cash Flow(¹) Q1 2022 | Q2 2022 | Q3 2022 | Q4 2022 Q1 2023 | Q2 2023 $144.7 $158.3 $120.2 $118.4 $86.3 $58.0 $739.6 $792.2 $792.4 $849.4 $860.2 $240.5 $221.6 $201.8 $187.0 $183.5 $178.8 ($61.3) ($17.8) ($24.1) ($51.5) ($32.6) ($17.8) ($15.1) $863.4 ($17.8) ($10.8) ($11.8) ($8.0) ($10.2) ($76.4) ($35.6) ($34.9) ($63.3) ($40.6) ($28.1) Fifth consecutive quarter of YOY Free Cash Flow improvement (1) Free Cash Flow is a non-GAAP financial measure. See appendix for definition of Free Cash Flow. Prior period reconciliations are available in historical SEC filings at https://investors.smiledirectclub.com/financial-filings/sec-filings. 29
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