Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2022 or o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to_______ Commission file number: 001-40680 MeridianLink, Inc. (Exact Name of Registrant as Specified in its Charter) __________ ...

MeridianLink, Inc. (NYSE:MLNK) Q2 2022 Earnings Conference Call August 9, 2022 5:00 PM ET Company Participants Erik Schneider - Head, Investor Relations Nicolaas Vlok - Chief Executive Officer Sean Blitchok - Chief Financial Officer Chris Maloof - President, Go-To-Market Conference Call Participants Koji Ikeda - Bank of America Saket Kalia - Barclays Nik Cremo - Credit Suisse Cris Kennedy - William Blair Matt VanVliet - BTIG Max Osnowitz - Stifel Andrew Schmidt - Citi Operator Ladies and gentlemen, thanks ...

| --- | --- | --- | |-----------------------|-------------------------------------------------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Transforming financial services for the better. | | | | | | | | | | | | | | | | | | | Second Quarter Review | | | | | | | | August 2022 | | | | | | | | | | | © 2022 MERIDIANLINK, INC. ALL RIGHTS RESERVED. © 2022 MERIDIANLINK, INC. ALL RIGHTS RESERVED. Disclaimer Information in this presentation and the accompanying oral presentation, including an ...

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) The unaudited financial statements show increased total assets and revenue, but decreased net income and operating cash flow for the first half of 2022 [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets grew slightly to $1.06 billion, driven by accounts receivable, while total liabilities and stockholders' equity also increased Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2022 (unaudited) | December 31, 2021 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $100,259 | $113,645 | | Goodwill | $569,129 | $564,799 | | Intangible assets, net | $293,430 | $298,597 | | **Total Assets** | **$1,058,959** | **$1,025,893** | | **Liabilities & Equity** | | | | Long-term debt, net | $424,439 | $425,371 | | Total Liabilities | $482,642 | $469,615 | | Total stockholders' equity | $576,317 | $556,278 | | **Total Liabilities & Equity** | **$1,058,959** | **$1,025,893** | [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Revenue grew 7% for the first six months of 2022, but net income declined significantly due to higher operating expenses Condensed Consolidated Statements of Operations (in thousands, except per share data) | Metric | Three Months Ended June 30, 2022 | Three Months Ended June 30, 2021 | Six Months Ended June 30, 2022 | Six Months Ended June 30, 2021 | | :--- | :--- | :--- | :--- | :--- | | Revenues, net | $72,987 | $68,474 | $145,741 | $136,285 | | Gross profit | $45,761 | $47,368 | $93,977 | $95,703 | | Operating income | $8,900 | $19,234 | $23,494 | $38,639 | | Net income | $2,172 | $7,432 | $9,651 | $14,663 | | Diluted EPS | $0.03 | $(0.03) | $0.12 | $(0.07) | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Operating cash flow slightly decreased, while significant cash was used for investing activities, resulting in a net decrease in cash for the period Summary of Cash Flows (in thousands) | Cash Flow Activity | Six Months Ended June 30, 2022 | Six Months Ended June 30, 2021 | | :--- | :--- | :--- | | Net cash provided by operating activities | $47,670 | $49,909 | | Net cash used in investing activities | $(57,618) | $(124,147) | | Net cash provided by (used in) financing activities | $(3,438) | $65,814 | | **Net decrease in cash** | **$(13,386)** | **$(8,424)** | | Cash, beginning of period | $113,645 | $39,881 | | Cash, end of period | $100,259 | $31,457 | - Investing activities in H1 2022 included **$23.1 million for the acquisition of StreetShares** and a **$30.0 million escrow deposit**, compared to prior year acquisitions of TazWorks ($85.4 million) and Saylent ($36.0 million)[18](index=18&type=chunk)[216](index=216&type=chunk)[217](index=217&type=chunk) [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Notes detail the StreetShares acquisition, revenue disaggregation showing lending software growth, long-term debt, and a new stock repurchase program - On April 1, 2022, the Company acquired StreetShares, Inc for **$27.9 million in cash consideration**, plus a **$30.0 million escrow** for a contingent earnout, to accelerate its small business lending service capabilities[125](index=125&type=chunk) Disaggregation of Revenue (in thousands) | Revenue Type | Three Months Ended June 30, 2022 | Three Months Ended June 30, 2021 | Six Months Ended June 30, 2022 | Six Months Ended June 30, 2021 | | :--- | :--- | :--- | :--- | :--- | | Lending Software Solutions | $51,668 | $45,243 | $100,835 | $88,377 | | Data Verification Software Solutions | $21,319 | $23,231 | $44,906 | $47,908 | | **Total** | **$72,987** | **$68,474** | **$145,741** | **$136,285** | - The company's long-term debt consists of a 2021 Term Loan with a balance of **$433.9 million** as of June 30, 2022[86](index=86&type=chunk) - In May 2022, the Board of Directors authorized a stock repurchase program to acquire up to **$75.0 million** of common stock; during Q2 2022, 12,300 shares were repurchased for approximately **$0.2 million**[98](index=98&type=chunk)[99](index=99&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=30&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses revenue growth driven by lending software, offset by declines in data verification, and attributes lower profitability to rising costs [Overview](index=30&type=section&id=Overview) The company provides cloud-based software solutions to financial institutions via a SaaS model, pursuing growth through customer expansion and strategic acquisitions - The company is a leading provider of cloud-based software solutions for financial institutions, focusing on **loan origination software (LOS)**, digital lending platforms, and data analytics[143](index=143&type=chunk) - The business model is primarily **SaaS-based**, with multi-year contracts (typically three years) that include annual base fees and volume-based fees for transactions processed[146](index=146&type=chunk) - Recent acquisitions to expand the product portfolio include TCI (DecisionLender), TazWorks (CRA solutions), Saylent (data analytics), and **StreetShares (small business lending technology)**[152](index=152&type=chunk) [Results of Operations](index=36&type=section&id=Results%20of%20Operations) Revenue increased 7% in H1 2022, but gross profit decreased as higher cloud storage and share-based compensation costs outpaced revenue growth Revenue Change by Period (in thousands) | Period | 2022 | 2021 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Three Months Ended June 30 | $72,987 | $68,474 | $4,513 | 7% | | Six Months Ended June 30 | $145,741 | $136,285 | $9,456 | 7% | - Revenue growth was primarily from new and ramping customers in **Lending Software Solutions**, partially offset by a decline in **Data Verification Software Solutions** revenue due to lower mortgage refinance volumes[186](index=186&type=chunk) - Subscription and services cost of revenues **increased 29%** for the six months ended June 30, 2022, due to higher cloud-based data storage costs ($1.9M), increased share-based compensation ($2.0M), and additional headcount[188](index=188&type=chunk) - General and administrative expenses **increased 14%** for the six months ended June 30, 2022, driven by higher share-based compensation ($3.1M) and increased D&O insurance costs ($2.5M)[194](index=194&type=chunk) [Liquidity and Capital Resources](index=40&type=section&id=Liquidity%20and%20Capital%20Resources) The company's primary liquidity sources are its cash balance and an undrawn revolving credit facility, which are deemed sufficient for the next twelve months - As of June 30, 2022, principal sources of liquidity were cash and cash equivalents of **$100.3 million** and an unused revolving credit facility of **$50.0 million**[206](index=206&type=chunk) - Net cash provided by operating activities for the six months ended June 30, 2022 was **$47.7 million**, a decrease from $49.9 million in the prior year period[211](index=211&type=chunk)[214](index=214&type=chunk) - Primary uses of cash are funding operations, acquisitions, capital expenditures, debt payments, and stock repurchases[207](index=207&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=42&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company reports no significant changes in its market risk exposures since year-end 2021 - There have been **no significant changes** in the company's exposures to market risk since December 31, 2021[223](index=223&type=chunk) [Item 4. Controls and Procedures](index=42&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls during the quarter - Based on an evaluation as of the end of the period, the principal executive officer and principal financial officer concluded that the company's **disclosure controls and procedures were effective** at a reasonable assurance level[225](index=225&type=chunk) - **No changes** in internal control over financial reporting occurred during the quarter ended June 30, 2022, that materially affected, or are reasonably likely to materially affect, internal controls[226](index=226&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=44&type=section&id=Item%201.%20Legal%20Proceedings) The company is not party to any material litigation but is subject to ordinary course legal matters - The company is not currently a party to any litigation or claims that, if determined adversely, would have a **material adverse effect** on its business, operating results, financial condition, or cash flows[229](index=229&type=chunk) [Item 1A. Risk Factors](index=44&type=section&id=Item%201A.%20Risk%20Factors) Key risks include customer retention, economic downturns, security breaches, high indebtedness, and the controlling influence of its majority stockholder [Risks Related to Our Strategy and Industry](index=45&type=section&id=Risks%20Related%20to%20Our%20Strategy%20and%20Industry) The company faces risks from intense competition, challenges in integrating acquisitions, and susceptibility to economic factors affecting the financial services industry - Failure to attract and retain customers, or expand offerings, could **limit growth and profitability** in a highly-fragmented and competitive landscape[234](index=234&type=chunk)[237](index=237&type=chunk) - The mortgage lending market and financial services industry are subject to economic factors, such as **rising interest rates**, which could lower loan volumes and adversely affect performance[234](index=234&type=chunk)[254](index=254&type=chunk)[255](index=255&type=chunk) - The business depends on deriving all revenues from the financial services industry, making it **vulnerable to downturns**, consolidation, or decreased technology spending in that sector[259](index=259&type=chunk) [Risks Related to Our Business and Operations](index=51&type=section&id=Risks%20Related%20to%20Our%20Business%20and%20Operations) Operational risks include potential security breaches, reliance on third-party data centers, and revenue volatility from usage-based pricing models - A **breach or compromise of security measures** could lead to unauthorized access to customer data, causing reputational harm and potential liability[234](index=234&type=chunk)[266](index=266&type=chunk) - The business depends on data centers and third-party internet hosting providers, and **any disruption could adversely affect service delivery**[272](index=272&type=chunk) - The seasonal and cyclical nature of the business, combined with usage and volume-based pricing, could result in **volatile operating results**[234](index=234&type=chunk)[286](index=286&type=chunk) [Risks Related to Legal and Regulatory Matters](index=60&type=section&id=Risks%20Related%20to%20Legal%20and%20Regulatory%20Matters) The company faces significant risks from data privacy regulations and the need to ensure its solutions help customers maintain their own regulatory compliance - Failures in data protection, privacy, and information security could **critically impair offerings**, with evolving regulations like CCPA and CPRA requiring ongoing compliance efforts[235](index=235&type=chunk)[308](index=308&type=chunk) - The company must provide solutions that assist customers in complying with their own regulatory requirements, and failure to do so could lead to **customer loss and reputational harm**[235](index=235&type=chunk)[311](index=311&type=chunk) - The inability to **protect intellectual property** through patents, copyrights, and trade secrets could adversely affect the company's competitive advantage[301](index=301&type=chunk) [Risks Related to Finance and Accounting](index=65&type=section&id=Risks%20Related%20to%20Finance%20and%20Accounting) Financial risks include fluctuating quarterly results, limitations from high indebtedness, and the potential for goodwill impairment - **High levels of indebtedness** and restrictive covenants in debt agreements may limit operational flexibility and the ability to fund future needs[236](index=236&type=chunk)[331](index=331&type=chunk)[332](index=332&type=chunk) - A significant amount of **goodwill ($569.1 million)** and other intangibles ($293.4 million) are on the balance sheet, which could be impaired, leading to a significant charge to earnings[329](index=329&type=chunk) - Quarterly results may **fluctuate significantly** due to factors like transaction volumes, seasonality, and the timing of customer activations, and may not fully reflect underlying business performance[323](index=323&type=chunk) [Risks Related to Potential Conflicts of Interests and Related Parties](index=69&type=section&id=Risks%20Related%20to%20Potential%20Conflicts%20of%20Interests%20and%20Related%20Parties) The primary risk stems from Thoma Bravo's controlling stake, which exempts the company from certain governance rules and may lead to conflicts of interest - Thoma Bravo holds a controlling stake (approximately **50.1%** as of August 5, 2022), making MeridianLink a **'controlled company'** under NYSE rules and exempt from certain corporate governance requirements[236](index=236&type=chunk)[339](index=339&type=chunk)[340](index=340&type=chunk) - Thoma Bravo's interests **may conflict with those of other stockholders**, and it may pursue corporate opportunities independently of the company[343](index=343&type=chunk)[344](index=344&type=chunk) [Risks Related to Our Common Stock and Governance Structure](index=70&type=section&id=Risks%20Related%20to%20Our%20Common%20Stock%20and%20Governance%20Structure) Stock-related risks include price volatility, a no-dividend policy, and reduced disclosure requirements as an 'emerging growth company' - The trading price of the common stock could be **volatile**, and the company **does not intend to pay dividends**, making stockholder returns dependent on stock price appreciation[345](index=345&type=chunk)[353](index=353&type=chunk) - The stock repurchase program of up to **$75.0 million** is not guaranteed to be fully consummated and could increase stock price volatility or diminish cash reserves[354](index=354&type=chunk) - As an **'emerging growth company,'** the company is exempt from certain public company requirements, which may result in less information for investors[349](index=349&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=74&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reports no material change in the use of IPO proceeds and details its Q2 2022 stock repurchase activity - There has been **no material change** in the use of proceeds from the company's IPO[361](index=361&type=chunk) Stock Repurchase Activity (Q2 2022) | Period | Total Shares Purchased | Average Price Paid Per Share | Approximate Dollar Value Remaining Under Program (in thousands) | | :--- | :--- | :--- | :--- | | June 1 to June 30, 2022 | 12,300 | $15.66 | $74,807 | [Item 6. Exhibits](index=75&type=section&id=Item%206.%20Exhibits) This section provides an index of all exhibits filed with the Form 10-Q, including corporate documents and officer certifications - The Exhibit Index lists documents filed with the report, including the Certificate of Incorporation, Bylaws, employment agreements, and officer certifications[367](index=367&type=chunk)

MeridianLink, Inc. (NYSE:MLNK) Q1 2022 Earnings Conference Call May 12, 2022 5:00 PM ET Company Participants Erik Schneider - Head, IR Nicolaas Vlok - CEO Chad Martin - CFO Conference Call Participants Lory Luo - Bank of America Andrew Schmidt - Citi Saket Kalia - Barclays Nik Cremo - Credit Suisse Matt VanVliet - BTIG Cris Kennedy - William Blair Alex Sklar - Raymond James Max Osnowitz - Stifel Operator Ladies and gentlemen, thank you for standby, and welcome to MeridianLink's First Quarter 2022 Earnings C ...

| --- | --- | --- | |----------------------|-------------------------------------------------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | Transforming financial services for the better. | | | | | | | | | | | | | | | | | | | First Quarter Review | | | | | | | | May 2022 | | | | | | | | | | | © 2022 MERIDIANLINK, INC. ALL RIGHTS RESERVED. © 2022 MERIDIANLINK, INC. ALL RIGHTS RESERVED. Disclaimer Information in this presentation and the accompanying oral presentation, including any statements ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 or o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to_______ Commission file number: 001-40680 MeridianLink, Inc. (Exact Name of Registrant as Specified in its Charter) ______________ ...

| --- | --- | |-------------------------------------------------|-------| | | | | | | | | | | | | | | | | | | | Transforming financial services for the better. | | | | | | | | | | | | | | | Fourth Quarter and Fiscal Year 2021 Review | | | | | | March 2022 | | | | | | | | © 2022 MERIDIANLINK, INC. ALL RIGHTS RESERVED. © 2022 MERIDIANLINK, INC. ALL RIGHTS RESERVED. Disclaimer Information in this presentation and the accompanying oral presentation, including any statements regarding MeridianLink's customer dat ...

MeridianLink, Inc. (NYSE:MLNK) Q4 2021 Earnings Conference Call March 10, 2022 5:00 PM ET Company Participants Erik Schneider ??? Head of Investor Relations Nicolaas Vlok ??? Chief Executive Officer Chad Martin ??? Chief Financial Officer Conference Call Participants Koji Ikeda ??? Bank of America Timothy Chiodo ??? Credit Suisse Saket Kalia ??? Barclays Matt VanVliet ??? BTIG Andrew Schmidt ??? Citi Alex Sklar ??? Raymond James Bob Napoli ??? William Blair Parker Lane ??? Stifel Operator Ladies and gentlem ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 or o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______ to_______ Commission file number 001-40680 MeridianLink, Inc. (Exact Name of Registrant as Specified in its Charter) ____________________ ...