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◆ pattern Second Quarter 2026 Financial Results PTRN Pattern Inc. August 5 , 2026 investors.pattern.com
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Cautionary Note Regarding Forward-Looking Statements The information presented herein may contain forward-looking statements within the meaning of the federal securities laws. All statements other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws and include, but are not limited to, statements of management’s expectations regarding the Company’s future performance, growth, opportunities, profitability, cash flows, conversion, offerings, performance and capabilities of Pi and other products and services, momentum, growth of new and existing brand partners, expectations regarding our share repurchase program, growth of our non-Amazon and international business, business strategies, market position, macro environment, impacts of trade or tariff policies, potential supply chain disruptions, price increases, market trends, consumer spending, sentiment and practices, including use of AI in shopping, and our ability to navigate the same; financial guidance regarding Revenues, Revenues growth, Adjusted EBITDA, Adjusted EBITDA growth, and other financial items; and statements involving timing, beliefs or assumptions underlying any of the foregoing. You should not place undue reliance on any forward-looking statements, which speak only as of the date they were made. We undertake no obligation to update any forward-looking statement after the date hereof or to conform such statements to actual results or changes in the Company’s expectations, except as required by applicable law. Forward-looking statements are inherently difficult to predict. Actual results could differ materially for a variety of reasons, including but not limited to, those related to the Company’s relatively limited operating history as a public company which makes it difficult to evaluate the Company’s business and prospects, the market for the Company’s product or service offerings developing slower or differently than expected, any difficulties we may experience with our brand partners, marketplaces, sourcing of products, accessing and utilizing marketplace data, responding to technological advancement, attracting/retaining key employees, forecasting consumer demand and practices, maintaining customer satisfaction, optimizing operations, driving traffic to our products; any difficulties with our infrastructure, fulfillment partners, supply chain, payment processors, data storage, data processing, shipping, insurance, competition, macroeconomic factors, consumer discretionary spending, tariffs or trade policies, global or political conflict, inflation rates, exchange rates, or any inability to sustain profitable growth. Other risks and uncertainties include, among others, any problems with product or tool integration, protection of our intellectual property, cyber-attacks or data breaches affecting us, adverse tax, compliance, regulatory or legal developments, or lawsuits or claims. This presentation should be considered in conjunction with the risk factors, warnings, and cautionary statements contained in our most recent filings with the Securities and Exchange Commission, which identify important factors that could cause our actual results to differ materially from those contained in or contemplated by our projections, estimates, and other forward-looking statements. This presentation includes certain non-GAAP financial measures that should not be considered a substitute for the financial information prepared in and presented in accordance with GAAP . Definitions and a reconciliation are provided in the appendix of this presentation for each historical non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP . We encourage investors to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures, and not to rely on any single financial measure to evaluate our business. We have not provided a reconciliation to the forward-looking GAAP equivalent measures for our non-GAAP guidance due to uncertainty regarding, and the potential variability of, reconciling items. Therefore, a reconciliation of these non-GAAP guidance measures to their corresponding GAAP guidance measures is not available without unreasonable effort. PTRN Intro to Pattern 001
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Q2 2026 Financial Results ($ in millions) Adj. EBITDA 3 +54% $54M Net Income 2 +16% $27M Revenues +47% $877M $24M $598M $35M Q2’25 Q2’26 Q2’25 Q2’26 Net Income % 4.0% 3.1% Q2’25 Q2’26 Adj. EBITDA % 3 5.9% 6.1% NRR 1 118% 129% et Reenue Retention (RR) is a metic e use to measue te lontem eomance o ou an atne elationsis ee enition in eni 2 Q226 et income is inclusie o $2 million in stocase comensation an elate taes uste an uste ain ae non nancial measues ee econciliation in eni PTRN Intro to Pattern 002
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Q2 2026 Operating Expenses and Disaggregated Expenses (% of revenues) GAAP Operating Expenses Disaggregated Expenses - 1 . 3 % 1.5% 1.4% 1.7% 7.6% 7.6% 19.5% 14.2% 14.2% 14.6% 15.0% SBC Expenses 1 1.1% 19.5% Technology 2 Sales, G&A Fulfillment Research & Dev Sales & Marketing Ops, G&A Commissions Marketplace 17.3% 18.8% Cost of Goods Sold 57.1% 56.2% Cost of Goods Sold 57.1% 56.2% Q2'25 Q2'26 4.0% 3.1%Net Income % toased opensation and reated taxes ere 2 iion in Q226 2 enoog inudes internause softare deveopent aortiation expenses dusted ED and dusted ED argin are non nania easures ee reoniiation in ppendix PTRN Intro to Pattern Q2'25 5.9% Q2'26 6.1%Adj. EBITDA % 3 Variable components 003
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TTM Q2 2026 Cash Flow ($ in millions) Operating Cash Flow Free Cash Flow +76% +92% $136M 1 $106M $77M $55M TTM Q2’25 TTM Q2’26 TTM Q2’25 TTM Q2’26 Cash on Hand 2 $215M $346M Total Liquidity Available 3 $265M $496M F Cash Flow is a non nanial mas an is alla sain hass o o an imn om n ash oi oain aiiis oniliaion in ni 2 n o io Toal iii is ash on han a n o io ls h amon aailal o aw on n o olin lin o i ($0 million Q22 $0 million Q226) PTRN Intro to Pattern 004
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Guidance 2026 ($ in millions) Q3 2026 –$840 $860M Full Year 2026 –$3 , 460M$3 , 420 37 $211 –$213M 6.2% Revenues YoY Growth % 31-34% -38% $51 – 6.1% $53M Adj. Adj. EBITDA EBITDA Margin % (midpoint) 1 oe e ae no oided a econciliaion o e oadlooin G euialen measues o ou nonG uidance due o unceain eadin and e oenial aiaili o econcilin iems eeoe a econciliaion o ese nonG uidance measues o ei coesondin G uidance measues is no aailale iou uneasonale eo 26 dused assumes aoimael 2 eecie a ae inancial Guidance is as o uus 2026 PTRN Intro to Pattern 005
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PTRN Intro to Pattern Appendix 006
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T erms and Definitions Existing brand partners are brand partners that have been with Pattern for more than twelve months since Pattern first generated over $1,000 in revenue attributable to such brand partner. New brand partners are all other brand partners that are not existing brand partners. Net Revenue Retention (“NRR”) is an important metric to measure the long-term performance of our brand partner relationships. In any given period, we calculate NRR by comparing total revenue attributable to all existing brand partners in the current trailing 12-month period to that of the previous trailing 12-month period. This metric, expressed as a percentage, provides valuable insight into the accelerated growth delivered through our platform, the effectiveness of our brand expansion strategies and our ability to deepen relationships with existing brand partners. For the purpose of our NRR calculation, we only include brand partners that, as of the measurement date, are existing brand partners. Additionally, for those existing brand partners that, as of the measurement date, have been with Pattern for more than twelve full months but less than 24 full months since we first generated over $1,000 in revenue attributable to such brand partner, we only include current period revenue for the corresponding months in the current period for which the brand partner had attributable revenue in the previous period. Adjusted EBITDA is a non-GAAP financial measure that is calculated as net income excluding depreciation and amortization; interest income, net; provision for income taxes; share-based compensation expense and related taxes; indirect IPO costs; and other items that we do not consider representative of our underlying operations. We believe it is useful to exclude charges, such as depreciation and amortization and share-based compensation expense from our Adjusted EBITDA because the amount of such expenses in any specific period may not directly correlate to the underlying performance of our business operations. We believe it is useful to exclude interest income, net; provision for income taxes; and other items that are not components of our core business operations. Non-GAAP financial measures such as Adjusted EBITDA should not be considered in isolation or as an alternative to net income or any other measure of financial performance calculated and prescribed in accordance with GAAP . In addition, Adjusted EBITDA may not be comparable to similarly titled measures in other organizations because other organizations may not calculate Adjusted EBITDA in the same manner as we do, thus limiting its usefulness as a comparative measure. Adjusted EBITDA Margin is Adjusted EBITDA as percentage of Revenues. Free Cash Flow is a non-GAAP financial measure that is calculated as net cash provided by operating activities reduced by purchases for property and equipment. We believe Free Cash Flow is a useful measure to evaluate the cash impact of the operations of the business including purchases of property and equipment which are a necessary component of our ongoing operations. Trailing Twelve Months (“TTM”) is defined as the most recent twelve consecutive months. PTRN Intro to Pattern 007
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Pattern’s Long T erm Durable Growth Financial Model Revenue Adj. EBITDA 3 CAGR 36% CAGR 104% $2,501M $153M $991M $1,366M $1,796M $65M $101M $18M 2022 2023 2024 2025 2022 2023 2024 2025 115% NRR 1 116% Net Income (Loss) $41M $68M 2 107% 124% -$3M $16M ote G is measured oer ears et eenue etention is a metric we use to measure the longterm erormance o our brand artner relationshis ee denition in endi et income is inclusie o million in stocbased comensation and related taes dusted TD dusted TD Margin and Free ash Flow are nonGP nancial measures ee reconciliation in endi PTRN Intro to Pattern -$2M 2022 $14M Free Cash Flow 3 Cumulative FCF $154M $79M $50M $27M 2023 2024 2025 Operating Cash Flow $41M $70M $99M 008
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Capital Efficient Business Model with Improving Cash Conversion Cycle Free Cash Flow1 Cash Conversion Cycle2 Days CCC DIO DPO DSO 117 24 93 64 104 20 84 49 101 19 82 40 $79M 93 21 72 $50M $27M 30 -$2M 2022 -53 -55 2023 2024 2025 -61 -63 Capital Efficiency 12.6% %3 9.9% 8.1% 7.4% 2022 2023 2024 2025 ree Cash low is a non nancial measure and is calculated y sutracting purchases o property and euipment rom net cash provided y operating activities ee reconciliation in ppendi Cash Conversion Cycle CCC I I verage Inventory Balance Et Et E Cost o oods old verage ccounts ayale Balance Et Et E Cost o oods old verage ccounts eceivale Balance Et Et E et evenue Capital Efficiency C e Cash Cape et evenue et oring Capital e Cash Current assets Cash Cash Euivalents Current iailities PTRN Intro to Pattern 009
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Adjusted EBITDA Reconciliation ($ in millions) Net income (loss) Add (deduct): Depreciation and amortization Interest income, net Provision for income taxes EBITDA Other: Share Goodwill and intangibles impairment Loss (income) from wind down of subsidiary Stoc k amendment expense Indirect initial public o ff ering and secondary o ff ering costs O ther Ad j usted EBITDA R e v enues Ad j usted EBITDA Ma r g in 2022 ($3) 2023 $41 2024 $68 2025 $16 Q2’25 $24 Q2’26 $27 9 1 1 $8 12 (3) 15 $66 15 (6) 23 $100 17 (7) (17) $9 4 (2) 8 $34 6 (2) 10 $41 -based compensation and related taxes — 6 3 — 1 — $18 $991 1.8% — — — — 1 (1) $ 65 $1 , 366 4 .7% — 104 — — — — — 33 1 6 — 1 $1 0 1 $1 53 $1 , 79 6 $2 , 50 1 5 . 6 % 6 .1% — — — — 1 — $ 35 $ 5 98 5 .9% 12 — — — 1 — $ 54 $877 6 .1% ote Aounts ae esented in illions and ounded As a esult sutotals and totals a not oot due to oundin Adjusted EBITDA and Adjusted EBITDA ain ae nonAA nancial easues used in conjunction it esults esented in accodance it AA and sould not e elied uon to te eclusion o AA nancial easues Reie ou nancial stateents and ulicl led eots in tei entiet and do not el on an sinle nancial easue PTRN Intro to Pattern 010
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Free Cash Flow Reconciliation ($ in millions) Net cash provided by operating activities Purchases of property and equipment Free Cash Flow 2022 $14 ($16) ($2) 2023 $41 ($14) $27 2024 $70 ($20) $50 2025 $99 ($20) $79 TTM Q2’25 $77 ($22) $55 TTM Q2’26 $136 ($30) $106 ote onts are resente in illions an rone s a reslt stotals an totals a not oot e to ronin Free Cash Flow is a non nancial easre se in connction with reslts resente in accorance with an shol not e relie on to the eclsion o nancial easres Reiew or nancial stateents an licl le reorts in their entiret an o not rel on an sinle nancial easre PTRN Intro to Pattern 011