LegalZoom.com Results Presentation Deck slide image

LegalZoom.com Results Presentation Deck

Reconciliation of Gross Profit to Non-GAAP Gross Profit FYE Dec 31, $K Gross profit Cost of revenue stock-based compensation (¹) Cost of revenue depreciation & amortization Cost of revenue other non-recurring items (2) Non-GAAP gross profit(³) Gross profit margin(3) Non-GAAP gross profit margin(3) 2020 2021 2022 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 $316,073 $385,716 $408,884 $100,573 $100,612 $93,859 $99,245 $105,498 $104,963 $ 99,178 $105,541 108 707 779 148 277 1,331 597 726 874 1,662 6,430 2,931 8,581 1,398 1,403 1,951 2,070 8,324 67% 69% $324,505 $393,808 $420,396 $102,678 $102,794 $95,958 $101,592 $109,013 $107,526 $ 102,265 $109,037 66% 68% 68% 70% 67% 68% 66% 68% 67% 68% 68% 70% 2,184 1,966 64% 65% 65% 67% 2,361 2,622 68% 69% 64% 66% (1) Stock-based compensation expense excludes amounts paid in cash to certain employees as part of a buyback program that concludes in 2022. (2) Includes acquisition-related expenses, restructuring expenses, legal reserves and settlements, and other IPO-related costs and other transaction related expenses, as detailed in Reconciliation of Net Income (Loss) to Non-GAAP Net Income (Loss) below. (3) We define non-GAAP gross profit as gross profit adjusted to exclude amortization of acquired intangible assets from our business combinations, non-cash stock-based compensation expense, losses from impairments of goodwill, long-lived and other assets, and other non-recurring expenses associated with our cost of revenue. Our non-GAAP gross profit financial measure differs from GAAP in that it excludes certain items of income and expense. We define gross profit margin as gross profit as a percentage of revenue. We define non-GAAP gross profit margin as non-GAAP gross profit as a percentage of revenue. Z 23
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