Klaviyo IPO Presentation Deck

Disclaimer Klaviyo, Inc. (the "Company" or "we") has filed a registration statement on Form S-1 (File No. 333-274211) (including a preliminary prospectus) with the Securities and Exchange Commission (the "SEC") for the offering to which this communication relates. The registration statement has not yet become effective. Shares of the Company's Series A common stock may not be sold, nor may offers to buy be accepted, prior to the time the registration statement becomes effective. Before you invest, you should read the preliminary prospectus in that registration statement and the other documents the Company has filed with the SEC for more complete information about the Company and this offering. You can obtain these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, copies of the preliminary prospectus may be obtained from Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, New York 10282, by telephone at (866) 471-2526, or by email at [email protected]; Morgan Stanley & Co. LLC, Attention: Prospectus Department, 180 Varick Street, 2nd Floor, New York, New York 10014; and Citigroup, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 or by telephone at 1-800-831-9146. This presentation and the accompanying oral presentation are not a prospectus and shall not constitute an offer to sell, nor a solicitation of an offer to buy, any of the Company's securities. The information contained in this presentation and the accompanying oral presentation has been prepared solely for informational purposes for you to familiarize yourself with the Company's business. We request that you keep any information we provide at this meeting confidential and that you do not disclose any of the information to any other parties without the Company's and the underwriters' prior express written permission. This presentation and the accompanying oral presentation contain forward-looking statements that involve substantial risks and uncertainties. All statements other than historical factual information are forward-looking statements, including without limitation statements regarding: our strategies, mission, plans, objectives and goals; the market demand for our platform; our ability to efficiently use our capital resources; projections regarding the demand and market size for our platform in the U.S. and globally; growth opportunities and plans for future operations, products and services; our ability to attract new customers and expand our relationships with existing customers; and any other statements that address events or developments that we intend or believe will or may occur in the future. In some cases, you can identify forward-looking statements because they contain words such as "may," "will," "shall," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans or intentions, although not all forward-looking statements are accompanied by such words. Forward-looking statements are based on assumptions and assessments made by our management in light of their experience and perceptions of historical trends, current conditions, expected future developments and other factors they believe to be appropriate, and speak only as of the date of this presentation. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or other events to be materially different from any future results, performance or other events expressed or implied by the forward-looking statements. Given these uncertainties, you should not place undue reliance on forward-looking statements. Our actual future results, performance or other events may be materially different from what we expect. Important factors that could cause actual results, performance or other events to differ materially from our expectations include our expectations regarding our revenue, expenses, and other operating results; our ability to acquire new customers and grow our customer base; our ability to successfully retain existing customers and expand sales within our existing customer base; our ability to increase usage of our platform and upsell and cross-sell additional products and communications channels; our ability to move up market and address enterprise and other larger customers; launching new products and adding new product capabilities; future investments in developing and enhancing our platform and our business; our expectations regarding our ability to expand internationally; our ability to add more use cases to our platform and increase our presence in other verticals; our anticipated capital expenditures and our estimates regarding our capital requirements; the estimated size of our addressable market opportunity for our platform; investments in our selling and marketing efforts and our ability to promote our brand; expectations regarding our integrations with third-party platforms, including Shopify; our ability to compete effectively with existing competitors and new market entrants; our reliance on our senior management team and our ability to identify, recruit, and retain skilled personnel; our growth strategies for our platform and our ability to effectively manage our growth; economic and industry trends and other macroeconomic factors, such as fluctuating interest rates and rising inflation, including the impact on our customer spending and consumer spending generally; and the impact of the COVID-19 pandemic or future global pandemics and other global financial, economic, and political events on our industry, business, and results of operations. Except as required by law, we assume no obligation to update these forward-looking statements, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. This presentation and the accompanying oral presentation also contain estimates and other statistical data made by third parties and by the Company relating to market size and growth and other industry data. These data involve a number of assumptions and limitations, and you are cautioned not to give undue weight to such estimates. Market data and industry information used throughout this presentation are based on management's knowledge and experience in the markets in which the Company operates. We also relied, to the extent available, upon management's review of independent industry surveys and publications and other publicly available information prepared by a number of third party sources. All of the market data and industry information used in this presentation involves a number of assumptions and limitations, and you are cautioned not to give undue weight to such estimates. Although we believe that these sources are reliable as of their respective dates, we cannot guarantee the accuracy or completeness of this information, and we have not independently verified this information. Projections, assumptions and estimates of our future performance and the future performance of the industry in which we operate are necessarily subject to a high degree of uncertainty and risk due to a variety of factors. These and other factors could cause results to differ materially from those expressed in our estimates and beliefs and in the estimates prepared by independent parties. All third-party brand names and logos appearing in this presentation are trademarks or registered trademarks of their respective holders. Any such appearance does not necessarily imply any affiliation with or endorsement of the Company. Non-GAAP Financial Measures We present non-GAAP operating (loss) income, non-GAAP operating income margin, free cash flow and free cash flow margin as supplemental measures of performance that are neither required by, nor presented in accordance with, accounting principles generally accepted in the United States of America ("GAAP"). We present these non-GAAP financial measures because we believe they are useful to investors in assessing the operating performance of our business without the effect of non-cash items and significant expenses and income that are required by GAAP to be recorded in our consolidated financial statements. In addition, we may use these non-GAAP financial measures to assess our historical and prospective operating performance, to provide meaningful comparisons of operating performance across periods, and to better understand trends in our business. We also use these for internal planning purposes, and to enhance our understanding of our operating performance. Our non-GAAP financial measures may not be comparable to similarly titled measures in other organizations because other organizations may not calculate non-GAAP financial measures in the same manner as we do, thus limiting its usefulness as a comparative measure. Because of these limitations, non-GAAP financial measures should not be considered in isolation or as substitutes for performance measures calculated in accordance with GAAP. We compensate for these limitations by relying primarily on our GAAP results and using non-GAAP financial measures on a supplemental basis. You should review the reconciliations of these non-GAAP measures to the most directly comparable GAAP measure included as an appendix to this presentation and not rely on any single financial measure to evaluate our business. 2023 Ⓒ Klaviyo Confidential 2