Eventbrite, Inc.

Ladies and gentlemen, thank you for standing by and welcome to the Eventbrite second quarter 2021 earnings conference call. At this time, all participants are in listen-only mode. After the speaker's presentation, there will be a Q&A answer session. If you would like to ask a question today, please press star followed by one in the telephone keypad. Please be advised that today's conference is being recorded. I'd like to now hand over the conference to Miss Catherine Chen, Head of Investor Relations. Please go ahead.

Good afternoon and welcome to Eventbrite's second quarter of 2021 earnings call. Prior to this call, we released our shareholder letter announcing our financial results, which can be found on our website at investor.eventbrite.com. Before we begin, I would like to remind you that during today's call, we will be making forward-looking statements regarding future events and financial performance. We caution that such statements reflect our best judgment as of today, August 5th, based on factors that are currently known to us, and that actual future events or results could differ materially due to several factors, many of which are beyond our control. For a more detailed discussion of the risks and uncertainties affecting our future results, we refer you to the section titled Forward Looking Statements in our shareholder letter and our filings with the SEC. We undertake no obligation to update any forward looking statements made during the call, to reflect events or circumstances after today, or to reflect new information or the occurrence of unanticipated events, except as required by law. During this call, we will present adjusted EBITDA, a non-GAAP financial measure. This non-GAAP financial measure is not prepared in accordance with generally accepted accounting principles and of limitations as an analytical tool. You should not consider it an isolation or as a substitute for analysis of our results of operations as reported under GAAP. A reconciliation to the most directly comparable GAAP financial measure is available in our shareholder letter. We encourage you to read our shareholder letter as it contains important information about GAAP and non-GAAP results. And with that, I'll now turn the call over to Julia Hart, co-founder and chief executive officer.

Thank you, Kathryn. Hi, everyone, and thank you for joining us this afternoon. Eventbrite is fueled with a mission of bringing people together through live experiences, and the second quarter of 2021 was a testament to the enduring nature of that mission. As restrictions lifted across many regions, we hosted an all-time record number of events, nearly 1.5 million in the quarter, and demand for in-person events came roaring back as evidenced in our results. Our platform helps millions of people get back to doing what they love and reclaim an important part of their normal lives. At the same time, we all recognize by now that our collective recovery as a society from this pandemic will not be perfectly linear. We are well positioned for any recovery scenario because of three key reasons. First, The decisive actions we've taken have created a stronger, more profitable business model that can effectively weather volatile periods. Second, we've built and strengthened our format-agnostic platform such that we can successfully meet the needs of our creators, whether they are hosting in-person or virtual events. And finally, The creators that are using Eventbrite today are battle-tested. They survived or even created new business through this tumultuous year, and they know that when people can gather safely, their content is in high demand. Eventbrite's second quarter results paint a clear picture that the desire to gather and be together is stronger than ever. The demand for unique and local in-person events accelerated revenue and adjusted EBITDA to year-over-year growth. We also continue to build a structurally more powerful company thanks to our focused go-to-market strategy, product-like growth, and improved cost structure. Lani will share more details on how we're thinking about that framework later in this call. Let me give a little color on the growth drivers that led to our strong results. Second quarter sales were more than five times higher than that of the same period last year, thanks to strong paid ticket volumes around the globe. In the U.S. alone, paid ticket volume nearly quadrupled from a year ago. And in Australia, we saw a new all-time quarterly record for paid ticket volume. It was almost five times higher year over year. Whether it's author readings at the local bookshop or a weekend food festival or workout classes with friends, these events filled our social calendar and gave us the much-needed respite from social isolation. The demand signals we're seeing underscore this point. 86% of paid tickets in the second quarter were for in-person events compared to 67% in the first quarter of this year. This rapid uptick in tickets sold for in-person experiences as soon as restrictions were lifted is a very promising sign that our core creators are ready and able to support the recovery. The Church of Eight Wheels is a great embodiment of that momentum. After more than a year of leading his congregation outdoors, David Miles Jr., a.k.a. the Father of Skates, welcomed them home to his historic church-turned-roller rink. With the use of key information in our event safety playbook, automated waivers in the checkout flow, and following local mask mandates, this temple of disco and skating can safely host up to five separate events in a single day, resulting in over 6,000 tickets sold this year so far, and they're just getting started. This is just one example of how creators are successfully navigating the world of pandemic-era safety and health restrictions. Throughout it all, Eventbrite has been their trusted partner not only building and improving product features to save them time and expand their reach, but also providing relevant content so that they can focus on what they do best. Case in point, our inaugural virtual customer summit in May titled Reconvene was an example of our deep connectedness to the creator community. Thousands of new, returning, and prospective creators gathered online to learn from thought leaders, industry experts, and each other. Over the two-day experience, our community was bolstered by connectivity and inspiration to redefine the live events industry for the future. Of that reconvene audience, more than two-thirds reported that they either were new customers or returning customers to Eventbrite. In fact, for the second quarter, we acquired over 88,000 total new creators, a 13% increase versus last quarter. All of these signs point to confidence around the return of live events and creators choosing Eventbrite as their platform of choice to help produce events and reconnect with audiences. As we've said before, frequent creators are central to our strategy. For the second quarter of 2021, paid ticket volume for this group more than tripled from a year ago. Frequent Creators comprised roughly two-thirds the total paid ticket volume in the second quarter, up from 64% a year ago and 58% in the second quarter of 2019. Looking through the lens of paid events, the numbers are just as compelling, with Frequent Creators accounting for more than 80% of paid events organized on the Eventbrite platform in the second quarter. I'm proud to report that our product and engineering teams delivered more new products and enhancements to existing features in the month of May than any other month in the past year. We are rolling out features that make multi-event management easier and more intuitive, and we're strengthening our infrastructure to ensure an improved user experience. In addition to making it easier to create events and sell tickets, we're also focused on expanding audiences and reach. Demand generation and audience discovery are an important part of our long-term strategy, and we'll keep Eventbrite at the forefront of meeting the needs of independent and entrepreneurial creators. Eventbrite Boost, which was launched in May, aims to help event creators increase audience size through marketing and analytical tools like automated ad campaigns and branded event pages. This product has been available to creators for just a few months, and we are pleased with the early results. We're also evaluating the potential of a future growth and monetization channel with our Eventbrite-driven tickets. In other words, directing audiences to events through the Eventbrite website and mobile app. These Eventbrite-driven tickets already accounted for 24% of total ticket volume for the second quarter, and our goal is to continue growing that number over time. To conclude, our second quarter results showed a glimpse of what is to come, and it's an exciting picture. We're adaptable and nimble to move quickly, better enable our customers to thrive in any environment. We have the power of a horizontal platform that can empower any creator to produce their event in person or virtually to meet their audiences where they are. And those creators are enjoying powerful demand for live experiences. My team and I are thankful for the partnership and support of our resilient creators, our talented and dedicated employees, and our valued shareholders. We are proud of what we've achieved and excited to keep you updated on our progress. With that, I'll now turn the call over to Lanny.