q1 2013 earnings deck

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First Quarter 2013 Results Call May 8, 2013

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Page 1: Q1 2013 Earnings Deck

First Quarter 2013 Results Call May 8, 2013

Page 2: Q1 2013 Earnings Deck

Cautionary Note Regarding Forward Looking Statements Certain statements in this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including statements regarding our ability to roll out additional networks, including native incented app-install feed ads in May and our plans regarding launching new products and the effectiveness of these new products. All statements other than statements of historical facts contained herein, including statements regarding the continued growth in our platform, are forward-looking statements. The words “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “could,” “target,” “potential,” “is likely,” “will,” “expect” and similar expressions, as they relate to us, are intended to identify forward-looking statements. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Important factors that could cause actual results to differ from those in the forward-looking statements include: our ability to roll out additional networks, including native incented app-install feed ads in May, whether mobile monetization will continue to not monetize as well as the web audience; whether mobile monetization momentum will continue with updates to the MeetMe + subscription service; whether we will effectively execute our plans to launch new products, such as new features for Ask Me, including features that enable users to discover who has been asking them anonymous questions and to browse the app in stealth mode, to avoid triggering profile and photo identifications, and the effectiveness of these new products; whether investing in mobile expansion and building the infrastructure of mobile monetization will strengthen the Company and speed its growth; whether the Company is well positioned to capitalize on the culture-wide shift of traffic from web to mobile; whether the Company will drive a quality experience for its millions of mobile users; whether the Company’s product offering is best suited to mobile and location based users; whether we will further increase our mobile revenue potential by leveraging our popular virtual currency product to incent subscribers to take actions that advertisers want; whether top line growth will resume if CPMs begin to align, mobile ad dollars increase and the average revenue for per user on mobile catches up to the web; whether we will meet our financial expectations and projections; whether we will experience revenue growth; whether social discovery apps will be one of the most frequently visited apps in the course of daily lives of our target market of 1.5 billion people age 18 to 30 and whether our efforts to continually enhance MeetMe’s features will position us to continue to realize growth from that engagement. Further information on our risk factors is contained in our filings with the SEC, including the Form 10-K for the year ended December 31, 2012 and the Current Report on Form 8-K filed May 1, 2013. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

Regulation G – Non-GAAP Financial Measures This presentation includes a discussion of Adjusted EBITDA from continuing operations which is a non-GAAP financial measure. A reconciliation to the most directly comparable GAAP financial measure is provided on the Investor Relations section of the MeetMe corporate website at http://www.meetmecorp.com/investors/non-gaap/.

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Page 3: Q1 2013 Earnings Deck

Q1 Highlights

Q1 ‘13 Mobile MeetMe Platform revenue grew 150% from Q1 ’12 to $1.9M

27% of MeetMe Platform revenue from mobile in Q1 ’13

Launch of Mobile Subscription product, MeetMe+, on iPhone and Android

Subsequent to quarter-end, MeetMe closed on a line of credit from Western Technology Investment (WTI)

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Avg. Revenue per Daily Active User (ARPDAU) represents MeetMe Platform mobile revenue divided by average daily active users (DAUs) for mobile.

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Page 4: Q1 2013 Earnings Deck

Total Revenue from Continuing Operations

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2012 Revenue from discontinued operations is not included. Affiliated revenue in Q1 2012 and Q2 2012 was $2M and $4M, respectively.

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Revenue charts refer to total Revenue of MeetMe, previously myYearbook. Mobile Revenue refers to mobile advertising and mobile virtual currency revenue on MeetMe’s mobile apps and mobile web site.

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MeetMe Platform Revenue

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MeetMe Platform Revenue Composition

Virtual Currency and Advertising Revenue refer to revenue generated from the MeetMe Platform (MeetMe website and mobile app).

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Page 7: Q1 2013 Earnings Deck

Cross Platform Revenue

Cross Platform revenue includes SocialTheater on Facebook and other networks. Affiliated revenue in Q1 2012 and Q2 2012 was $2M and $4M, respectively.

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Page 8: Q1 2013 Earnings Deck

Adjusted EBITDA from Continuing Operations

Adjusted EBITDA is a non-GAAP financial measure.

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Page 9: Q1 2013 Earnings Deck

Investment Highlights

#1 most visited social network for meeting new people in the US.1

#1 Top Grossing Social App on Android.2

150% growth in mobile revenue in Q1 2013 vs. Q1 2012.

34% growth in mobile daily active users in Q1-2013 vs. Q1-2012.

Addressable market of over 1.5 billion people globally.

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1comScore US, March 2013. MeetMe vs. Tagged and Badoo.2Android Market Top Grossing Social App as of May 6, 2013.

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Page 10: Q1 2013 Earnings Deck

Appendix

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Page 11: Q1 2013 Earnings Deck

MeetMe Platform DAU

DAU charts refer to total DAU of MeetMe, previously myYearbook.

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Page 12: Q1 2013 Earnings Deck

MeetMe Platform MAU

MAU charts refer to total MAU of MeetMe, previously myYearbook.

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Page 13: Q1 2013 Earnings Deck

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Traffic Metrics (All Platforms)

Registered Users, Visits, and Page Views refer to total traffic to both MeetMe Platform (MeetMe website and mobile app) and Quepasa website (excluding Quepasa Games discontinued Operations). Effective Q1 2013, Visits and page views from iOS application and device metrics are included. Periods prior to Q1 2013 excludes iOS visits and page views due to third-party software limitations.

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Mobile Registered Users

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Page 15: Q1 2013 Earnings Deck

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MeetMe Platform Average Revenue Per User (ARPU)

ARPU represents the Average Revenue per User. This is calculated by dividing quarterly MeetMe web and mobile revenue by the average monthly active users (MAUs) for web and mobile.

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Page 16: Q1 2013 Earnings Deck

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MeetMe Platform Average Revenue Per Daily User (ARPDAU)

ARPDAU represents the Average Revenue per Daily Active User. This is calculated by dividing average daily MeetMe web and mobile revenue by the average daily active users (DAUs) for web and mobile.

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