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 Adjusted EBITDA² $ $ September 30, 2019 (76,149) $ (7,938) (84,087) $ September 30, 2019 (227,375) $ (10,317) 8,654 1,481 (1,296) 20,646 161,228 4,604 December 31, 2019 (66,842) $ (9,093) (75,935) $ December 31, 2019 (42,375) $ (240,704) $ (10,463) 14,775 (17,536) 332 20,620 166,655 8,628 100,000 42,307 $ Three Months Ended March 31, 2020 6,283 $ (10,891) (4,608) $ March 31, 2020 Three Months Ended (305,936) $ (8,589) 15,113 12,389 659 21,204 172,049 11,874 June 30, 2020 (81,237) $ (66,554) $ (15,767) (82,321) $ June 30, 2020 (325,951) $ (4,768) 24,727 (3,575) (1,041) 20,925 186,171 7,942 (95,570) $ September 30, 2020 (54,828) $ (14,727) (69,555) $ September 30, 2020 (199,853) $ (2,801) 28,212 5,669 909 21,804 192,080 10,341 56,361 $ December 31, 2020 (52,545) (16,447) (68,992) December 31, 2020 (113,099) (1,969) 29,176 (29,471) 18,127 22,811 219,882 20,152 165,609 ¹We 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 (expense), 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. 41
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