THE ROAD TO TURNAROUND March 23, 2026 FORWARD-LOOKING STATEMENTS Forward-looking statements are based upon various estimates and assumptions, as well as information known to the Company as of the date of the release of this presentation, and are subject to risks and uncertainties. Accordingly, actual results could differ materially due to a variety of factors, including: the Company's ability to effectively compete in the fitness and nutrition industries; the ability to successfully acquire and integrate ne ...

Core Insights - Beachbody has achieved a financial turnaround, posting positive net income in Q3 and Q4 2025, marking the first time since 2021 that the company has reported both positive operating income and adjusted net income for the full year [1][4][6] Financial Performance - For Q4 2025, Beachbody reported total revenue of $55.5 million, a decrease of 7.3% sequentially and 35.7% year-over-year, which was expected due to the business model change [7] - The company recorded an operating income of $8.2 million and a net income of $5.2 million for Q4 2025, compared to an operating loss of $32.9 million and a net loss of $34.6 million in Q4 2024 [9][10] - Full-year 2025 adjusted EBITDA was $12.9 million, marking the ninth consecutive quarter of positive adjusted EBITDA [9] Business Model Transition - Beachbody has transitioned from a multi-level marketing (MLM) model to a new five-pronged omni-channel strategy, which includes direct-to-consumer sales, marketplaces, retail distribution, a single-level affiliate program, and a win-back program targeting over 8 million former customers [3][4][7] - The company expects to provide "clean" year-over-year comparisons starting Q3 2026, as the first quarter fully reflecting the new model [2][7] Future Outlook - Management is focusing on a significant push into nutrition and retail in 2026, with plans to launch new P90X and Shakeology products at price points of $15–$35, which are now feasible due to the elimination of the high-commission MLM structure [5][15] - The company anticipates Q1 2026 revenue between $49 million and $54 million, with a net income ranging from negative $2 million to positive $1 million [19] Digital and Product Development - Digital revenue for Q4 2025 declined 5.8% sequentially to $34.3 million, with digital subscriptions falling 3.3% quarter-over-quarter to approximately 870,000 [11] - The company is launching a new micro-workout tier called "10 Minute BODi," which has seen about 8% of total platform viewership shift to shorter workouts [12] Nutrition Strategy - Nutrition is framed as central to Beachbody's growth strategy, with the global nutritional supplement market valued at $164 billion [14] - The company plans to introduce a new 7-serve Shakeology product at $34.99 and is exploring retail distribution, starting with Sprouts Farmers Market in May 2026 [16][18] Brand Positioning - Beachbody's brand positioning includes well-known programs like P90X and Insanity, while the BODi brand aims to reach a broader audience beyond traditional fitness messaging [21] - Management views the trend of GLP-1 weight loss drugs as a potential tailwind, suggesting that users may need complementary resistance training and nutrition [22]

Financial Data and Key Metrics Changes - The company reported a Q4 2025 operating income of $8.2 million, a significant improvement of $41.1 million compared to a loss of $32.9 million in Q4 2024 [8][34] - Q4 2025 net income was $5.2 million, compared to a net loss of $34.6 million in the same quarter last year, marking the second consecutive quarter of positive net income [9][35] - Adjusted EBITDA for Q4 2025 was $12.9 million, a 48% increase from $8.7 million in Q4 2024, representing the ninth consecutive quarter of positive adjusted EBITDA [9][35] - The company achieved a cash balance of $39 million against an outstanding debt of $25 million, providing a cash cushion of $14 million above the required $4.6 million [7][17] Business Line Data and Key Metrics Changes - Digital revenue for Q4 2025 decreased by 5.8% sequentially to $34.3 million and declined 31.9% year-over-year, reflecting continued pressure on digital subscriptions [31] - Nutrition and other revenue decreased 9.6% from the prior quarter to $21.2 million and fell 39% year-over-year, although nutrition subscriptions increased 14.3% sequentially [32] Market Data and Key Metrics Changes - The company is transitioning from a multi-level marketing model to an omni-channel model, which has impacted revenue comparisons due to the legacy business shutting down [4][30] - The nutrition supplement market is significantly larger than the digital fitness market, valued at $164 billion compared to the digital fitness category [11] Company Strategy and Development Direction - The company is focusing on a new omni-channel model that includes direct-to-consumer sales, retail distribution, and a revamped affiliate program [4] - A major innovation pipeline is set to launch in 2026, including the 10 Minute BODi program aimed at a broader audience [10][20] - The company plans to enter the retail market with new nutritional products, leveraging established brand names like P90X and Shakeology [12][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the financial turnaround, achieving positive operating income and net income a year ahead of schedule [8][17] - The company anticipates that Q3 2026 will be the first quarter for clean year-over-year comparisons, as the legacy business model elements will have been phased out [18][39] - Management highlighted the importance of maintaining financial discipline while reallocating marketing spend towards new initiatives [46] Other Important Information - The company has successfully reduced its break-even point from over $900 million to $180 million, enhancing operational leverage [17] - The transition to a new Shopify e-commerce platform is expected to improve customer experience and sales conversion rates [26][68] Q&A Session Summary Question: What are management's priorities moving forward? - Management emphasized that profitability remains a primary focus, but there will be a reallocation of marketing spend towards new initiatives [44][46] Question: Any early reads on the P90X launch? - Initial customer response has been positive, with solid uptake among subscribers, but it is still early to assess long-term success [48][50] Question: How is the consumer response to the 10 Minute BODi program? - The program has shown strong initial uptake, with 8% of viewership coming from microdose fitness workouts, indicating a positive trend [57][60] Question: What is the status of the nutritional brick-and-mortar rollout? - The company is in discussions with multiple retailers, with Sprouts Farmers Market confirmed for a launch in May 2026 [66][68] Question: How relevant is the Beachbody brand to younger consumers? - The company is focusing on the BODi brand to appeal to a broader audience, while leveraging the legacy of established brands like Shakeology and P90X [79][80]

Financial Data and Key Metrics Changes - The company reported a cash balance of $39 million against an outstanding debt level of $25 million, providing a $14 million cash cushion above the required $4.6 million [6][16] - Positive net income of $5.2 million was achieved in Q4 2025, marking a $39.8 million improvement from a net loss of $34.6 million in Q4 2024 [9][34] - Adjusted EBITDA for Q4 2025 was $12.9 million, a 48% increase from $8.7 million in Q4 2024, marking the ninth consecutive quarter of positive adjusted EBITDA [9][34] Business Line Data and Key Metrics Changes - Digital revenue decreased 5.8% sequentially to $34.3 million and 31.9% year-over-year, reflecting continued pressure on digital subscriptions [30] - Nutrition and other revenue decreased 9.6% from the prior quarter to $21.2 million and fell 39% year-over-year, although nutrition subscriptions increased 14.3% sequentially [31] Market Data and Key Metrics Changes - The company is transitioning from a multi-level marketing model to an omni-channel model, which has impacted revenue comparisons [4][29] - The nutrition supplement category globally is valued at $164 billion, significantly larger than the digital fitness category [11][12] Company Strategy and Development Direction - The company is focusing on a new innovation pipeline, including the launch of the 10 Minute BODi program and the P90X Generation Next program, aimed at reaching a broader audience [10][19] - Plans to enter the retail market for the first time with new nutritional products, including a new 7-serve Shakeology product, are set for Q2 2026 [12][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the financial turnaround, achieving positive operating income and net income for the first time since going public in 2021 [28][34] - The company anticipates that Q3 2026 will be the first quarter for clean year-over-year comparisons, as the legacy business model elements will have been phased out [17][37] Other Important Information - The company has secured improved financial covenants with lenders, allowing for greater operational flexibility [5][35] - The transition to a new Shopify e-commerce platform is expected to enhance direct-to-consumer sales [26][68] Q&A Session Questions and Answers Question: What are management's priorities moving forward? - Management emphasized that profitability remains a primary focus while also reallocating marketing spend towards new initiatives [43][44] Question: Any early reads on the P90X launch? - Initial customer response has been positive, with solid uptake within the subscriber base, but it is still early to assess long-term success [47][48] Question: How is the consumer response to the 10 Minute BODi program? - The program has shown strong uptake, with 8% of viewership coming from microdose fitness workouts, indicating a positive trend [56][58] Question: What is the status of retail conversations for nutritional products? - The company is actively engaging with retailers, with initial placements expected in grocery channels, including a significant deal with Sprouts Farmers Market [65][66]

Core Viewpoint - Several financial institutions have initiated coverage on various companies with differing ratings and price targets, reflecting a mix of optimism and caution regarding their future performance. Group 1: Netflix (NFLX) - Barclays reinstated coverage with an Equal Weight rating and a price target of $115, suggesting that the stock's valuation may benefit from potential estimates upside as the company divests from Warner Bros. assets, but concerns about the rationale behind the bidding remain [1]. Group 2: Beachbody Company (BODI) - Craig-Hallum initiated coverage with a Buy rating and a price target of $15, highlighting the company's effective cost management during its turnaround and multiple growth initiatives, including the retail launch of Shakeology, P90X, and Insanity products, as well as a new P90X program after 20 years and a fitness program targeting 180 million inactive Americans [1]. Group 3: Forgent Power Solutions (FPS) - Goldman Sachs initiated coverage with a Buy rating and a price target of $48, noting that Forgent is among the few companies capable of providing a complete powertrain to data centers, positioning it to benefit as a marginal supplier of capacity. Other firms like KeyBanc, JPMorgan, and TD Cowen also started coverage with Buy-equivalent ratings, while Morgan Stanley and Baird opted for Neutral-equivalent ratings [1]. Group 4: Bob's Discount Furniture (BOBS) - KeyBanc initiated coverage with an Overweight rating and a price target of $28, indicating a 32% upside potential. The firm views Bob's as a compelling small-cap growth story, with several other institutions also starting coverage with Buy-equivalent ratings, while Goldman Sachs and Baird provided Neutral-equivalent ratings [1]. Group 5: Genmab (GMAB) - Wells Fargo initiated coverage with an Overweight rating and a price target of $40, expressing confidence that the upcoming readouts for Epkinly and petosemtamab are largely de-risked based on Phase 2 data [1].

Core Insights - Tiger Finance has amended its credit facility with The Beachbody Company, Inc. (BODi) to enhance financial flexibility, reflecting BODi's improved performance and growth initiatives in the fitness and nutrition sector [1][2] Group 1: Financial Performance and Amendments - The revised terms with BODi acknowledge its strengthened liquidity position and financial performance, indicating a positive outlook for the company [2] - The amended financial covenants provide BODi with additional flexibility to execute growth strategies as it transitions from financial restructuring to new revenue opportunities in 2026 [2] Group 2: Company Background - BODi, originally known as Beachbody, has been innovating home fitness and nutrition programs for 25 years, with notable programs like P90X and Shakeology, helping over 30 million customers [4] - The BODi community supports individuals in achieving health goals, emphasizing accountability and well-being [4] Group 3: Tiger Finance Overview - Tiger Finance specializes in asset-based lending, providing various secured debt financing options across multiple industries, focusing on working capital and other assets [3]

Core Insights - Beachbody has demonstrated a successful turnaround, achieving net income profitability for the first time since going public, with a net income of over $3 million in Q3 2025 [7][8] - The company is shifting from a multi-level marketing (MLM) model to a multi-channel strategy, including retail distribution, which is expected to enhance growth opportunities [6][8] Company Overview - Beachbody, founded in 1998, has transitioned from DVD-based workout programs to a subscription-based digital platform, offering on-demand streaming of fitness content and nutrition coaching [19][20] - The company has built a strong portfolio of fitness brands, including P90X and Insanity, and has accumulated over 140 proprietary programs and 11,000 videos on its streaming platform, BODi [4][19] Market Opportunity - The overall wellness market is estimated at $6.5 trillion, with fitness and nutrition segments each valued at $1.1 trillion, indicating significant growth potential for Beachbody [2] Financial Performance - Beachbody has achieved eight consecutive quarters of positive adjusted EBITDA, totaling approximately $50 million, and has improved free cash flow from negative $300 million in 2021 to positive $13.1 million year-to-date in 2025 [7][8] - The company has successfully reduced its cash break-even point from approximately $900 million to about $180 million, a reduction of $720 million [8] Strategic Initiatives - The company plans to launch new products, including the P90X Generation Next program in February and the 10-Minute Body program, aimed at non-exercisers [10][11] - Beachbody is expanding its retail presence by introducing nutritional supplements under the P90X and Insanity brands, with plans to utilize QR codes for promotional offers [12][13] Cost Structure and Debt Management - The company has significantly reduced its workforce from over 1,000 employees to fewer than 300, optimizing its operational structure [18] - Debt refinancing efforts have led to a 44% reduction in overall interest expenses, improving financial stability [18]

Financial Data and Key Metrics Changes - The company has reduced its cash break-even level from $900 million in 2022 to approximately $180 million today, representing a $720 million reduction [24][25] - Free cash flow improved from negative $300 million in 2021 to positive $13.1 million in the first three quarters of 2025, marking a $300 million improvement [25] - Adjusted EBITDA transitioned from a loss of $86 million in 2021 to approximately $18 million of positive Adjusted EBITDA in 2025 [26] - The company achieved net income positive of over $3 million in Q3 2025 for the first time since going public [26] Business Line Data and Key Metrics Changes - The company has transitioned from a multi-level marketing (MLM) model to a multi-channel strategy, which includes direct-to-consumer, Amazon/Marketplace, affiliates, and retail [14][15] - The restructuring has led to a significant reduction in employee count from over 1,000 to less than 300 [15][22] - The company has maintained eight consecutive quarters of positive adjusted EBITDA, cumulatively around $50 million [17][22] Market Data and Key Metrics Changes - The general wellness market is valued at $6.5 trillion in 2023, with the fitness and nutrition categories each representing a $1.1 trillion potential market [5][6] - The company has a significant opportunity to expand its retail presence, which has not been previously utilized for its products [13] Company Strategy and Development Direction - The company is focusing on an innovation pipeline with new product launches scheduled between 2026 and 2027, including the 10-Minute Body program and a new P90X program [18][19] - A retail strategy is being implemented to sell previously unretail products, including nutritional supplements under well-known brand names [20][21] - The company aims to address the total addressable market (TAM) of non-exercisers and enhance brand exposure through retail partnerships [21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the turnaround, stating that the company is a year ahead of schedule and financially stable with cash levels exceeding debt [22][24] - The focus is now on innovation and creative exercise-related programs rather than financial survival [22][32] - The management highlighted the importance of adapting marketing strategies to different demographics and the potential benefits of retail exposure [38][39] Other Important Information - The company has restructured its debt, reducing overall interest expenses by 44% [15][22] - The average interest rate on debt is approximately 15.5%, with a cash position of $34 million against $25 million of debt [28] Q&A Session Summary Question: Has the retail rollout process changed? - The retail process is slower than anticipated due to planogram schedules, but the company is actively aggregating retailer responses [34] Question: What could the long-term margin structure look like? - Gross margins are expected to normalize in the low- to mid-70s, with potential for high 80s-90% in fitness and mid-40s-50% in nutrition as retail expands [36][37] Question: What online media has been most effective for the target demographic? - The company has not yet identified the best medium but acknowledges the need to tailor content for different platforms and demographics [38]

Financial Data and Key Metrics Changes - The company has reduced its cash break-even level from $900 million in 2022 to approximately $180 million today, representing a $720 million reduction [24][25] - Free cash flow improved from nearly negative $300 million in 2021 to positive $13.1 million in the first three quarters of 2025, a $300 million improvement [25] - Adjusted EBITDA transitioned from a loss of over $86 million in 2021 to approximately $18 million of positive Adjusted EBITDA in 2025 [26] - The company achieved net income positive of over $3 million in Q3 of 2025 for the first time since going public [26] Business Line Data and Key Metrics Changes - The company has transitioned from a multi-level marketing (MLM) model to a multi-channel strategy, which includes direct-to-consumer, Amazon/Marketplace, affiliates, and retail [14][15] - The restructuring has led to a significant reduction in employee count from over 1,000 to less than 300 [15][22] - The company has maintained eight consecutive quarters of positive adjusted EBITDA, cumulatively around $50 million [17][22] Market Data and Key Metrics Changes - The general wellness market is valued at $6.5 trillion in 2023, with the fitness and nutrition categories each representing a $1.1 trillion potential market [5][6] - The company aims to tap into a broader audience by launching retail products, including a new small serve of Shakeology priced below $40 [21][20] Company Strategy and Development Direction - The company is focusing on an innovation pipeline with new product launches scheduled between 2026 and 2027, including the 10-Minute BODi program and a new P90X program [18][19] - A retail strategy is being implemented to sell previously unretail products, enhancing brand exposure and market reach [13][20] - The company is addressing the non-exerciser demographic with new content and products designed to engage this audience [21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the turnaround, stating that the company is a year ahead of schedule and positioned for growth in 2026 and 2027 [24][32] - The financial flexibility gained from the turnaround allows the company to focus on innovation and creative product development rather than financial survival [22][32] Other Important Information - The company has restructured its debt, reducing overall interest expenses by 44% [15][22] - The average interest rate on debt is approximately 15.5%, with a cash position of $34 million against $25 million of debt [28] Q&A Session Summary Question: Has the retail rollout process changed? - The retail process is slower than anticipated due to planogram schedules, but the company is actively engaging with retailers and aggregating responses [34] Question: What could the long-term margin structure look like on an EBITDA level? - Management indicated that gross margins should normalize in the low- to mid-70s, with potential for high 80s to 90% on fitness and mid-40s to 50% in nutrition as the company grows [36][37] Question: What online media has been most effective for the target demographic? - The company has not yet identified the best medium but acknowledges the need to tailor content for different platforms, noting that audiences over 30 are less engaged with TikTok [38]

Financial Data and Key Metrics Changes - The company has reduced its cash break-even level from $900 million in 2022 to approximately $180 million today, representing a $720 million reduction [15][23] - Free cash flow improved from nearly negative $300 million in 2021 to positive $13.1 million in the first three quarters of 2025, a $300 million improvement [23] - Adjusted EBITDA transitioned from a loss of over $86 million in 2021 to approximately $18 million of positive Adjusted EBITDA in 2025 [24] - The company achieved net income positive status for the first time since going public, reporting over $3 million in Q3 of 2025 [24] Business Line Data and Key Metrics Changes - The company has transitioned from a multi-level marketing (MLM) model to a multi-channel strategy, which includes direct-to-consumer, Amazon/Marketplace, affiliates, and retail [14] - The restructuring has led to a significant reduction in employee count from over 1,000 to less than 300 [15] - The company has launched new products, including the 10-Minute Body program and a new P90X program, which are aimed at expanding its customer base [17][18] Market Data and Key Metrics Changes - The general wellness market is valued at $6.5 trillion, with the fitness and nutrition categories each representing a $1.1 trillion potential market [5] - The company aims to tap into the retail market for its products, which have never been sold in retail before, indicating a significant growth opportunity [13] Company Strategy and Development Direction - The company is focused on innovation and has a robust pipeline of new products scheduled for launch between 2026 and 2027 [17][30] - The strategy includes launching a retail line for its major brands, such as P90X and Shakeology, to increase brand exposure and sales [19][20] - The company is addressing the non-exerciser market with new content and smaller product sizes to attract a broader audience [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the turnaround, stating that the company is a year ahead of schedule and financially stable with cash levels exceeding debt [16][21] - The management highlighted the importance of the innovation pipeline and the potential for significant growth in the coming years [30] Other Important Information - The company has restructured its debt, reducing overall interest expenses by 44% [15] - The marketing expenses have been reduced from over 50% to the low-to-mid-30s percentage, allowing for increased media spending [27] Q&A Session Summary Question: Has the retail rollout process changed? - The retail process is slower than anticipated due to planogram schedules, but the company is actively engaging with retailers for product placement [32][33] Question: What could the long-term margin structure look like? - Gross margins are expected to normalize in the low- to mid-70s, with potential for high 80s-90% on fitness and mid-40s-50% in nutrition as retail grows [34][35] Question: What online media has been most effective for the demographic? - The company has not yet identified the best platform but acknowledges the need to tailor content for different audiences across various media [36][38]