(1) Defined as Adj. EBITDA, minus CAPEX, plus or minus change in contract assets
2
2021 Financial Highlights
FY 2021
FY 2020
Total Certs
171,697
94,226
Revenue
$215.7 million
$108.9 million
Adj. EBITDA
$155.0 million
$69.5 million
Adj. Operating Cash Flow1
$129.2 million
$41.9 million
(1) Defined as Adj. EBITDA, minus CAPEX, plus or minus change in contract assets
3
Well Defined Growth Plan
Near Term
Growth
Strategy
Longer
Term
Growth
Strategy
Expand Core Business
OEM Opportunity
CECL Relief
Refinance Opportunities
Broaden Our Offerings
Launch into New Channels
Drive Loan Volume through Further Wallet-Share Increase and Customer Penetration
Expansion of Lender Base
Increase OEM Captive Penetration by Addressing Broader Credit Spectrum and Deployment of Subvention Capabilities
Enhanced Value Proposition to Lenders Provided via CECL Relief
Increased Profitability for Financial Institutions in Near Prime Auto
Enhanced Focus on Refinance Program to Drive Additional Cert Volume
Ease of Customer Access in Reduced Interaction Environment
Prime Decisioning SaaS Solution
Expansion into Other Consumer Asset Classes
Expansion into Adjacent Asset Classes (e.g., leases)
Establish Broader Auto Platform (e.g., hub and spoke)
4
Understanding Changes in Contract Assets and Profit Share Revenue
In LTM period on a net basis, ~103% of Changes in Contract Asset Estimates Driven by Realized Portfolio
Performance as Opposed to Changes in Prospective Estimates
Change in Contract Asset Estimates and Profit Share Revenue:
($ in millions)
$11.8
Prospective
$7.5
$6.5
Changes in
Assumptions
$7.5
$4.0
$3.8
$1.3
$5.1
$10.5
Realized
$1.1
$9.5
Portfolio
$7.8
$5.3
$6.2
Performance
($12.0)
($0.9)
$4.0
$0.7
($1.5)
($1.7)
($3.0)
($3.0)
($12.0)
Lower than projected claims and severity of losses in historical periods drove positive changes to contract asset estimates that in turn drive strong near-termcash flows
Covid Impact
Q1-20
Q2-20
Q3-20
Q4-20
Q1-21
Q2-21
Q3-21
Q4-21
5
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Open Lending Corporation published this content on 24 February 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 24 February 2022 21:32:42 UTC.
Open Lending Corporation is a provider of lending enablement and risk analytics to credit unions, regional banks, finance companies and the captive finance companies of automakers. The Company provides loan analytics, risk-based pricing, risk modeling and default insurance to auto lenders throughout the United States. It targets the financing needs of near-prime and non-prime borrowers, or borrowers with a credit bureau score generally between 560 and 699. Lenders Protection platform (LPP), the Company's flagship product, is a cloud-based automotive lending platform. LPP supports the full transaction lifecycle, including credit application, underwriting, real-time insurance approval, settlement, servicing, invoicing of insurance premiums and fees and advanced data analytics of the automotive lender's portfolio under the program. Its risk models project loan performance, including expected losses and prepayments, in arriving at the optimal rate. It serves around 454 active lenders.
OPEN LENDING CORPORATION 
