VIZIO Holding Corp. (NYSE:VZIO) Q4 2022 Earnings Conference Call February 28, 2023 4:30 PM ET

Company Participants

Michael Marks – Director-Investor Relations

William Wang – Founder and Chief Executive Officer

Adam Townsend – Chief Financial Officer

Mike O’Donnell – Chief Revenue and Strategic Growth Officer

Conference Call Participants

Laura Martin – Needham

Cory Carpenter – J.P. Morgan

Ben Swinburne – Morgan Stanley

Steve Cahall – Wells Fargo

Nick Zangler – Stephens

Vasily Karasyov – Cannonball Research

Scott Searle – Roth

Michael Marks

Good afternoon, and welcome to VIZIO's Q3 2022 earnings call. I'm Michael Marks, Director of Investor Relations. Joining me for today’s discussion are William Wang, our Founder and CEO; and Adam Townsend, our CFO. Also joining us for the Q&A portion of today’s call is Mike O’Donnell, our Chief Revenue and Strategic Growth Officer.

Please note that in addition to our earnings release and today’s remarks, a slide presentation can be found on our Investor Relations website at investors.vizio.com.

I’ll refer you to the third slide in the presentation and remind you that certain statements made on this call, including certain statements about our expected first quarter results, advertising relationships and partners, product rollouts and functionality and future customer demand for our products are forward-looking statements that involve risks and uncertainties. These risks and uncertainties that could cause actual results to differ materially from these forward-looking statements are discussed in more detail in our filings with the SEC and our press release that was issued this afternoon. We undertake no obligation to revise any statements to reflect changes that occur after this call, except as required by law.

During the call, we also refer to non-GAAP financial measures, including adjusted EBITDA and certain operating and financial metrics. Reconciliations to the most comparable GAAP measures for non-GAAP financial information discussed on this call, as well as further information related to guidance, definitions and metrics can be found in our earnings release or in the Investors section of our website.

Note that all quarterly comparisons in today’s remarks will be made on a year-over-year basis unless otherwise specified.

Now, I will turn the call over to William.

William Wang

Thank you, Michael. And hello everyone. Thank you for joining us today. 2022 marks our 20th anniversary of the company that has always been focused on delivering great products and experiences at affordable prices. There is no doubt that this last year presented numerous challenges, but despite them, our team did a great job executing on our dual revenue model. In just a third year since this launch our Platform+ business through revenue, revenue by 55% and gross profit by 41% in 2022. The growth at now a greater scale we have achieved in our Platform+ provides a new level of financial strengths and strategic flexibility. This combined with our focus on cost management delivered 15% growth in the adjusted EBITDA in the fourth quarter, further demonstrating the beneficial transformation in our business model.