Oportun Financial : Investor Presentation - June 2025

Published: 2025-06-18 22:42:05 ET OPRT

Published on 06/18/2025 at 22:42

Important information

Cautionary statement on forward-looking statements

Certain statements in this presentation are "forward-looking statements". These forward-looking statements are subject to the safe harbor provisions under the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact contained in this presentation, including statements as to our future performance, financial position, strategic initiatives and our upcoming Annual Meeting, are forward-looking statements. These statements can be generally identified by terms such as "expect," "plan," "goal," "target," "anticipate," "assume," "predict," "project," "outlook," "continue," "due," "may," "believe," "seek," or "estimate" and similar expressions or the negative versions of these words or comparable words, as well as future or conditional verbs such as "will," "should," "would," "likely" and "could." These statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. We have based these forward-looking statements on our current expectations and projections about future events, financial trends and risks and uncertainties that we believe may affect our business, financial condition and results of operations. These risks and uncertainties include those risks described in our filings with the Securities and Exchange Commission, including our most recent annual report on Form 10-K for the year ended December 31, 2024, as well as our subsequent filings with the SEC. These forward-looking statements speak only as of the date on which they are made and, except to the extent required by federal securities laws, we disclaim any obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events. In light of these risks and uncertainties, there is no assurance that the events or results suggested by the forward-looking statements will in fact occur, and you should not place undue reliance on these forward-looking statements.

Non-GAAP financial measures

This presentation includes the presentation and discussion of certain financial measures that are not calculated in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"). Adjusted Net Income is a non-GAAP financial measure defined as net income adjusted to eliminate the effect of certain items. We believe that Adjusted Net Income is an important measure of operating performance because it allows management, investors, and our Board of Directors to evaluate and compare our operating results, including return on capital and operating efficiencies, from period to period, excluding the after-tax impact of non-cash, stock-based compensation expense and certain non-recurring charges. Adjusted Earnings (Loss) Per Share is a non-GAAP financial measure defined as Adjusted Net Income divided by weighted average diluted shares outstanding. We believe Adjusted Earnings (Loss) Per Share is an important measure because it allows management, investors and our Board of Directors to evaluate the operating results, operating trends and profitability of the business in relation to diluted adjusted weighted-average shares outstanding. Adjusted EBITDA is a non-GAAP financial measure defined as net income, adjusted to eliminate the effect of certain items as described below. The Company believes that Adjusted EBITDA is an important measure because it allows management, investors and its board of directors to evaluate and compare operating results, including return on capital and operating efficiencies, from period to period, excluding the impact of income tax expense, as reported, depreciation and amortization and non-cash, stock-based compensation expense, interest expense associated with the Company's corporate financing activities, certain non-recurring charges and fair value mark-to-market adjustments on its loans receivable portfolio and asset-backed notes carried at fair value. See the Appendix for a reconciliation of the non-GAAP figures provided in this document to the corresponding GAAP figures.

This non-GAAP information should be considered as supplemental in nature and is not meant to be considered in isolation from, or as a substitute for, the related financial information prepared in accordance with GAAP. In addition, this non-GAAP financial measure may not be the same as similar measures presented by other companies. We are unable to predict or estimate with reasonable certainty the ultimate outcome of certain items required for corresponding GAAP measures without unreasonable effort. Information about the adjustments that are not currently available to the Company could have a potentially unpredictable and significant impact on future GAAP results.

Note

Throughout this presentation, permission to quote was neither sought nor obtained.

What is this proxy contest about?

Oportun provides inclusive, affordable financial services that empower hardworking individuals to build better futures

Supported by robust customer demand and favorable credit and market conditions, we pursued an ambitious growth strategy leading up to and following our 2019 IPO to extend our impact across underserved communities, strengtnen relationsnips witn our loyal members, and unlock long-term value for stocI‹noIders through an expanded suite of products

However, the economic environment changed rapidly and unexpectedly beginning in early 2022; rising and sustained inflation increased costs of living and impacted our customers' ability to repay their loans, putting significant pressure on our business, and rising interest rates increased our cost of Gapital

The Board and management took swift and decisive action to reposition the business - tightening credit standards, reducing our cost structure and streamlining our operations

As a result of these actions, our performance has improved; we nave delivered improved credit metrics and increased profitability, and the market has recognized our progress - our stock price nas more than doubled over the last J2 montns, outperforming all but one of our peers as well as tne relevant stock indices

Despite tne meaningful progress we nave made, one of our stocI‹noIders, Findell Capital Management, is pursuing a disruptive proxy contest, seeking to remove our CEO from the Board and replace him with a candidate wno, in our view, IacI‹s unique or additive sI‹iIIs and is not a suitable replacement for our CEO

Stockholders should vote on the GREEN proxy card to support the management team and incumbent directors who are delivering results and committed to advancing the Company's progress and momentum

We have met with Findell numerous times, objectively considered its suggestions and taken several actions consistent with its recommendations; we have continued to take actions to optimize our Board composition and governance to align witn best practices

Table of contents

Executive summary

We pursued an ambitious growth strategy

III

When the economic environment changed, we took swift action to reposition the Company

We remain focused on executing our three strategic priorities

Our actions have led to improved financial performance

Our Board and management are best positioned to oversee our strategy

VII

Findell's proxy contest is misguided and is grounded in false claims and comparisons

XIII

COOClUSIOO

Appendices

Disclaimer

Oportun Financial Corp. published this content on June 18, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on June 19, 2025 at 02:41 UTC.