Eventbrite, Inc.

Good day, everyone, and welcome to the Eventbrite, Inc. First Quarter 2025 Earnings Conference Call. At this time, all participants have been placed on a listen-only mode. If you have any questions or comments during the presentation, you may press star 1 on your phone to enter the question queue at any time, and we will open the floor for your questions and comments after the presentation. It is now my pleasure to turn the floor over to your host, Megan Manister. Megan, the floor is yours.

Good afternoon and welcome to Eventbrite's first quarter 2025 earnings call. My name is Megan Manister, Investor Relations. With us today are Julia Hartz, our co-founder and chief executive officer, and Anand Gandhi, our chief financial officer. As a reminder, this conference call is being recorded and will be available for replay at Eventbrite's investor relations website at investor.eventbrite.com. Please also refer to our investor relations website to find our press release announcing our financial results, which was released prior to the call. Before we get started, I would like to remind you that during today's call, we'll be making forward-looking statements regarding future events and financial performance. We caution that such statements reflect our best judgment as of today, May 8th, based on the 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 press release 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'll present adjusted EBITDA and adjusted EBITDA margin, which are non-GAAP financial measures. These non-GAAP financial measures are not prepared in accordance with generally accepted accounting principles and have limitations as an analytical tool. You should not consider them in isolation or as a substitute for analysis for our results of operation as reported under GAAP. A reconciliation to the most directly comparable GAAP financial measure is available in our investor presentation, which is available on our investor relations website. We encourage you to read our investor presentation, which contains important information about GAAP and non-GAAP results. And with that, I'll now turn the call over to Julia.

Thanks, Megan, and thank you to everyone joining our call today. We're off to a solid start this year. In Q1, we delivered $73.8 million in revenue, landing at the high end of our guidance. Adjusted EBITDA came in at $4.6 million, representing a 6% margin right in line with what we told you to expect. But more importantly, we're seeing continued progress in our recovery. paid ticket trends improved for a third quarter in a row. While ticket volume was still down 7.7% year over year, it showed clear improvement over Q4, which was down 10%, and Q3, which was down 14%. This was the plan. We knew this year would still carry the impact of last year's organizer fee reversal. We're managing through it and working to get back to growth in the second half of the year. We're driving consistent momentum across our strategic levers, the consumer flywheel is turning, our most impactful creators are sticking with us, and we're investing with discipline. Let's jump into the quarter's highlights, starting with the consumer side. This is the year where we're reintroducing Eventbrite, not just as a ticketing tool, but as the place to find something great to do. To deliver on this promise, we launched a new Eventbrite app and brand campaign in Q1, and consumer response has been strong. The app's focus on user preferences, discoverability, and real-world connection is making Eventbrite a go-to destination for live experiences. March app installs accelerated post-launch and paid tickets generated from the app were up 11% compared to last year's Q1. Total average monthly app users were up 13% in Q1 year-over-year. Total discovery users, who are people looking for something to do across our platform on any surface, rose 16% year over year. That matters to our creators because they succeed when more people come to Eventbrite to find events. To build on this growth, we're focused on improving how we match the right event to the right person at the right time, both within our marketplace and across our distribution channels. Now let's talk creators. We saw solid momentum on both of our sales and self sign-on channels, thanks in large part to powerful creator solutions we're delivering. Our new timed entry solution launched in late 2024 continues to gain traction. The experience improvements we made are resonating with creators who used to rely on manual workarounds to manage session-based events. Let's bring that to life with a few examples. iBoat NYC is based in New York and has sold more than 110,000 tickets on Eventbrite, over half of those driven directly by our efforts. They use the full suite of tools, timed entry to manage big crowds on multi-level yachts, Eventbrite ads to fill seats, and our TikTok integration to reach younger audiences. By automating event creation, they save up to 8 to 10 hours per series, That's a full workday back, time they can now spend focusing on the experience and growing their business. In Q1, Eventbrite ads revenue was up 30% year over year. Creators are seeing the impact. One of the clearest examples is Orlove. They're known for throwing some of the most exciting parties in the U.S., producing over 250 events each year across 40 cities. For their national St. Patrick's Day rollout, they leaned into Eventbrite ads and it delivered. The campaigns drove high sales with very little manual work. It was so effective, they've now built Eventbrite ads into their broader marketing strategy for both current and future events. These creators are proof. Eventbrite doesn't just help you sell tickets, it helps you operate smarter, reach more people, and scale what you're best at. and we're making it easier to do that every day. Our sales team is focused on the right segments, helping our largest and most frequent creators drive even greater retention and revenue. Now let's talk about how we're running the business. We're operating with financial discipline. Q1 operating expenses were down 14% year to year, reflecting cost actions from last year. We held G&A dollars flat by staying tight on costs and we directed investment toward go-to-market functions and scaling consumer engagement and ads, where we see the greatest leverage. Our liquidity position remains strong, with $550 million in cash and $240 million in available liquidity, up from $230 million at year-end. To sum it up, Q1 played out as expected. The year is off to a steady, focused start. We're on track for what we laid out, returning to paid ticket volume growth in the second half of the year, and driving long-term profitability. Before I hand it over to Anand, I want to share a quick update on our executive team. As we recently announced, Julia Taylor, our Chief Legal and People Officer, and Vivek Sagi, our Chief Technology Officer, have decided to move on to pursue new opportunities outside of Eventbrite. JT, as we all know her, has been an incredible leader, partner, and champion of our culture. Vivek has played a key role in modernizing our platform, strengthening reliability, and building a solid engineering foundation. I'm deeply grateful for their impact. Just as important, both JT and Vivek have built strong teams that will carry their work forward. That includes Lisa Gorman, who was recently promoted to general counsel. As we kick off searches for our next executive teammates, I want to personally thank JT and Vivek for the legacy they're leaving behind and for helping develop leaders who are ready to step up. Now I'll turn it over to Anand to walk through our Q1 financials and outlook.