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Owlet Owlet , Inc. ( NYSE : OWLT ) Q2 2026 Financial Results August 11 , 2026
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Confidential | 22026 Owlet, Inc. (NYSE: OWLT) | Q2 2026 Financial Results Conference Call Speakers ● Kurt Workman - President, CEO, and Co-Founder ● Amanda Twede Crawford - CFO ● Jay Gentzkow - VP Investor Relations and Corporate Development Webcast ● Domestic Callers: 833-461-5787 ● International Callers: 585-542-9983 ○ Meeting ID: 883284960 ● Webcast Archive Available: investors.owletcare.com Contacts ● Website: investors.owletcare.com ● Email: IR@owletcare.com
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Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the “Reform Act”). All statements contained in this presentation that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding the Company’s expected financial performance, including the Company’s financial outlook, the timing, scope, and potential impact of global regulatory clearances, approvals, certifications and/or classifications, growth prospects, future operational efficiencies or results, the Company’s product, subscription, telehealth and artificial intelligence strategies, initiatives, and development plans, expectations regarding customer acquisition, retention, subscriber base targets, and long-term business model positioning, and changes in senior management. In some cases, you can identify forward-looking statements by terms such as “estimate,” “may,” “believes,” “plans,” “expects,” “anticipates,” “intends,” “goal,” “potential,” “upcoming,” “outlook,” “guidance,” the negation thereof, or similar expressions, although not all forward-looking statements contain these identifying words. Forward-looking statements are based on the Company’s expectations at the time such statements are made, speak only as of the dates they are made and are susceptible to a number of risks, uncertainties and other factors. For all such forward-looking statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the Reform Act. The Company’s actual results, performance or achievements may differ materially from any future results, performance or achievements expressed or implied by our forward-looking statements. Many important factors could affect the Company’s future results and cause those results to differ materially from those expressed in or implied by the Company’s forward-looking statements. Such factors include, but are not limited to, (i) the commercial success of Owlet’s products, including its subscription services, and the Company’s ability to support, scale and maintain its subscription services; (ii) the regulatory pathway for Owlet’s products, including submissions to, actions taken by and decisions and responses from regulators, such as the FDA and similar regulators outside of the United States, as well as Owlet’s ability to obtain and maintain regulatory approval or certification for our products and other regulatory requirements and legal proceedings; (iii) Owlet’s competition and the Company’s ability to profitably grow and manage growth; (iv) Owlet's ability to successfully develop, launch, support and scale new products and services, including subscription, telehealth and artificial intelligence-enabled offerings; (v) the Company’s ability to enhance future operating and financial results or obtain additional financing to continue as a going concern; (vi) Owlet’s ability to obtain additional financing in the future, as well as risks associated with the Company’s current loan and debt agreements, including compliance with debt covenants, restrictions on the Company’s access to capital, the impact of the Company’s overall debt levels and the Company’s ability to generate sufficient future cash flows to meet Owlet’s debt service obligations and operate Owlet’s business; (vii) the ability of Owlet to implement strategic initiatives, reduce costs, grow revenues, develop and launch new products, innovate and enhance existing products, meet customer demands and adapt to changes in consumer preferences, promotional timing and retail trends; (viii) Owlet’s ability to acquire, defend and protect its intellectual property, transition and manage payment checkout channels, and satisfy regulatory requirements, including but not limited to requirements concerning privacy and data protection, breaches and loss, as well as other risks associated with Owlet’s digital platforms and technologies; (ix) Owlet’s ability to maintain relationships with customers, manufacturers and suppliers and retain Owlet’s management and key employees; (x) Owlet’s ability to upgrade and maintain its information technology systems; (xi) changes in applicable laws or regulations in the United States and other jurisdictions; (xii) the impact of and disruption to Owlet’s business, financial condition, operations, supply chain and logistics due to economic and other conditions beyond the Company’s control, such as health epidemics or pandemics, macro-economic uncertainties, tariffs, duties, trade restrictions, the timing and outcome of tariff refund requests or administrative decisions, social unrest, hostilities, natural disasters or other catastrophic events; (xiii) the possibility that Owlet may be adversely affected by other economic, business, regulatory, competitive or other factors, such as changes in discretionary consumer spending and consumer preferences; and (xiv) other risks and uncertainties set forth in the Company’s other releases, public statements and filings with the U.S. Securities and Exchange Commission (“SEC”), including those identified in the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025, as updated in the Company’s quarterly reports on Form 10-Q, as any such factors may be updated from time to time in the Company’s other filings with the SEC. All such forward-looking statements attributable to the Company or any person acting on the Company’s behalf are expressly qualified in their entirety by the cautionary statements contained or referred to above. Moreover, the Company operates in an evolving environment. Except as required by law, the Company assumes no obligation to update any forward-looking statements after the date of this presentation, whether because of new information, future events or otherwise, although Owlet may do so from time to time. The Company does not endorse any projections regarding future performance that may be made by third parties. Revision of Previously Issued Financial Statements In connection with the preparation of the consolidated financial statements as of and for the three and six months ended June 30, 2026, management identified errors impacting historical interim and annual financial statements, which we determined not to be material, individually or in the aggregate, to any previously issued financial statements. These errors primarily relate to the overstatement of stock-based compensation expense due to valuation miscalculations underlying the employee stock purchase plan. However, if the corrections were recorded in the three months ended June 30, 2026, they would be material to that period. As such, we will revise the previously issued consolidated financial statements for the three-month period ended March 31, 2026, in addition to quarterly and year-to-date periods for 2025 and for the annual periods ended December 31, 2025 and 2024. In conjunction with the revision, we will also correct certain other errors that were previously identified and disclosed and concluded to be immaterial, individually and in the aggregate, to the Company’s consolidated financial statements as of and for the relevant periods. Our Q2 2026 press release and the numbers in this presentation reflect revised prior period financial information for the periods presented herein to correct for these errors. The additional impacted periods noted above will be revised in our Form 10-Q for the quarterly period ended June 30, 2026, expected to be filed by August 14, 2026. Non-GAAP Financial Measures To supplement our unaudited condensed consolidated financial statements, which are prepared in conformity with U.S. GAAP, we use adjusted EBITDA, a non-GAAP financial measure, to enhance our understanding of U.S. GAAP financial measures, as an internal measure of business operating performance, and as a performance measure for benchmarking against our peers and competitors. We believe our presentation of adjusted EBITDA provides a meaningful perspective of the underlying operating performance of our current business and enables investors to better understand and evaluate our historical and prospective operating performance. We believe that this non-GAAP financial measure is an important supplemental measure of operating performance because it facilitates period-to-period comparisons of our operating performance by excluding certain items that management believes are not reflective of our core operating performance, highlighting trends in our business that may not otherwise be apparent when relying solely on GAAP financial measures. These non-GAAP financial measures should not be construed as indicative of our future operating results. We believe investors, analysts and other interested parties use adjusted EBITDA in evaluating issuers, and the presentation of these measures facilitates a comparative assessment of our operating performance in addition to our performance based on GAAP results. Non-GAAP financial measures should not be considered as an alternative to net loss as a measure of financial performance or any other performance measure derived in accordance with GAAP, and should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items. Adjusted EBITDA is defined as net loss adjusted for income tax provision, interest expense, net, depreciation and amortization, impairment of intangible assets, common stock warrant liability adjustment, stock-based compensation, charges related to certain legal matters, restructuring costs, and loss on debt extinguishment. Adjusted EBITDA is not a recognized term under GAAP, and our presentation of this non-GAAP measure does not replace the presentation of our financial results in accordance with GAAP. Because all companies do not use adjusted EBITDA (and similarly titled financial measures) in the same way, those measures as used by other companies may not be consistent with the way we calculate such measures. The non-GAAP financial measure included in this report should not be construed as a substitute for or better indicator of our performance than the most directly comparable GAAP financial measure. Confidential | 32026 Disclaimer
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Owlet Business Update Confidential | 42026
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Confidential | 52026 The Pediatric Health Platform Weʼre Building Dream Sock The first and only FDA cleared monitor on the market, Dream Sock is our wedge into the nursery. It's the product parents reach for in the earliest, highest-anxiety weeks, when nothing matters more than a baby's safety. Sock earns a level of trust few brands ever get, and becomes a partner across the whole parenthood journey. Dream Sight Camera Intelligence Beyond great clips and video history, the camera is an integrated part of a family's daily routine with many customers using the camera well beyond 24 months, making it a natural anchor for a multi-year subscription. It pairs naturally with Dream Sock: Sock is the unique hook that brings parents into our ecosystem, and camera is the continued intelligence that bridges beyond year one, adding the visual component that gives parents a more complete view of their baby's health and sleep. Owlet360 Subscription The cornerstone of our evolution into a data-driven pediatric health company. Owlet360 turns Sock and camera data into personalized sleep and health insights, leveraging our massive pediatric health dataset. Owlet OnCall Telehealth We are building toward a pediatric experience where families can share relevant Dream Sock data with physicians, providing additional context to support informed conversations about their child's health. by connecting families with licensed healthcare providers, OnCall is designed to make it easier for parents to access clinical guidance when they choose to seek care. AI-Powered Parenting Copilot We believe Owlet is uniquely positioned to combine device data with personalized parent inputs to deliver meaningful, contextualized guidance. As we build toward an interactive AI parenting copilot, our goal is to support parents with real-time, actionable insights around sleep and daily wellness routines.
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Confidential | 62026 Our Subscription Growth Framework Note: Illustrative long-term framework. Contains forward-looking statements — see Safe Harbor Disclaimer. Strategic Path to 1+ Million Subscribers 1 WIN ~1 million new customers a year 2 CONVERT Subscription up-front 3 KEEP 2+ years with each family + + = 1+ Million Recurring Subscribers
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Confidential | 72026 Owlet Business Update | Second Quarter 2026 Revenue $33.9M Growth of 29.9% y/y Gross Margin 54.0% Expanded 270 bps y/y Incl. tariff refund, GM = 64.4% Business Highlights ● Record Q2ʼ26 financial performance across all key metrics ○ Record revenue – strong 29.9% y/y growth ○ Record gross profit – 54.0% gross margin (excl. one-time tariff refunds) ○ Record adj. EBITDA – $2.9M (excl. one-time tariff refunds) ● Owlet360 subscription continues to thrive ○ 130,000 paying subscribers to end Q2ʼ26 ○ Record $3.2M in Q2ʼ26 subscription revenue, up $2.4M ○ MRR surpassed $1.1 million to end Q2ʼ26 ○ Dream Sock U.S. penetration rate increased to 36% ● Expanding Owlet OnCall telehealth service access more broadly Adj. EBITDA $2.9M Growth of $2.4M y/y Incl. tariff refund, Adj. EBITDA = $6.7M
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Confidential | 82026 Drive Adoption of Dream Sock & Dream Duo in Core Markets ● Domestic Duo sell-through in Q2ʼ26 ○ 16% growth y/y, adj. for Prime Day(1) ○ 29% growth y/y, excl. Prime Day(1) ● Domestic Dream Sock sell-through in Q2ʼ26 ○ 16.5% growth y/y, adj. for Prime Day(1) ○ 21% growth y/y, excl. Prime Day(1) ● Total domestic sell-through in Q2ʼ26 ○ 12% growth y/y, adj. for Prime Day(1) ○ 20% growth y/y, excl. Prime Day(1) ● International revenue in Q2ʼ26 = 214% growth y/y ● International sell-through in Q2ʼ26 = 38% growth y/y Note: Unless noted otherwise, all figures highlighted are for Q2 2026, and growth compared to Q2 2025 (1) Including y/y comparison with Prime Day adjustment, due to Prime moving from July Q3 in 2025 to June Q2 in 2026
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Confidential | 92026 Expand Subscription Platform with Owlet360 and Owlet OnCall ● Owlet360 = 130,000 paying subscribers to end Q2ʼ26 ● MRR = surpassed $1.1 million to end Q2ʼ26 ● Dream Sock U.S. penetration rate increased to 36% ● Rolling out Web Pay, moving subscription enrollment and billing onto our own web-based checkout ● Up-front subscription live on our own website – sign up for Owlet360 at moment of purchase vs. later in app ○ Already live on our own website, and will be going live with Babylist soon ● Expanding Owlet OnCall telehealth service access more broadly
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Financial Highlights Confidential | 102026
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Confidential | 112026 Financial Review | Q2 2026 Total Revenue ● Record $33.9M Q2ʼ26 total revenue ● 29.9% growth y/y Subscription Revenue ● Record $3.2M Q2ʼ26 subscription revenue ● $2.4M growth y/y $ in millions Amounts may not sum due to rounding.
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Confidential | 122026 Financial Review | Q2 2026 Overall Gross Margin ● 54.0% Q2ʼ26 gross margin excl. tariff refunds ● Expanded 270 bps y/y ● Q2ʼ26 gross margin of 64.4% incl. tariff refunds Subscription Gross Margin ● 68.4% Q2ʼ26 subscription gross margin ● Majority of subscription costs are app store fees (1) Amounts may not sum due to rounding. (1) Excluding one-time tariff refunds
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Confidential | 132026 Financial Review | Q2 2026 Operating Expenses ● $20.1M Q2ʼ26 total operating expenses ● OpEx as a percentage of revenue was 59% in Q2ʼ26 vs. 58% in Q2ʼ25 Adj. EBITDA ● Record $2.9M Q2ʼ26 adj. EBITDA excl. tariff refunds ● $2.4M growth y/y ● $6.7M Q2ʼ26 adj. EBITDA incl. tariff refunds $ in millions Note: Adjusted EBITDA is defined as net loss adjusted for income tax provision, interest expense, net, depreciation and amortization, impairment of intangible assets, common stock warrant liability adjustment, stock-based compensation, charges related to certain legal matters, restructuring costs, and loss on debt extinguishment. Amounts may not sum due to rounding. (1) Excluding one-time tariff refunds $ in millions (1) (1)
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Previous Guidance New 2026E Guidance Revenue $118M – $122M $118M – $122M Gross Margin 50% – 52% 53% – 55% Increase reflects only the one-time $3.5M tariff refund Adj. EBITDA $7M – $9M $10.75M – $12.75M Increase reflects only the one-time $3.75M tariff refund Confidential | 142026 Updated 2026 Guidance Note: Adjusted EBITDA is defined as net loss adjusted for income tax provision, interest expense, net, depreciation and amortization, impairment of intangible assets, common stock warrant liability adjustment, stock-based compensation, charges related to certain legal matters, restructuring costs, and loss on debt extinguishment.
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Appendix Confidential | 152026
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Confidential | 162026 Non-GAAP EBITDA Reconciliation Amounts may not sum due to rounding. Includes routine, immaterial revisions to prior year amounts across certain line items, including revenue and operating expenses; adjustments have no impact on our cash balance or cash flows. Complete details will be provided in upcoming Form 10-Q filing.
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2026 Thank You