The Beachbody Company (BODY) investor relations material

Leadership and turnaround strategy

• Leadership team has deep experience in turnarounds and public companies, with a focus on leveraging a strong asset base and proven fitness brands.

• A three-year turnaround plan was initiated in June 2023, with the first two years dedicated to financial restructuring and the third year (2026) focused on growth and innovation.

• Overhead and breakeven revenue requirements were significantly reduced, with headcount cut from over 1,300 to under 300.

• Marketing spend as a percentage of revenue was reduced from 51% to 39%, with a target of below 35%.

• The multilevel marketing model was discontinued in 2024, replaced by a multi-channel approach including direct-to-consumer, affiliates, Amazon, retail, and the company website.

Financial performance and capital structure

• Achieved seven consecutive quarters of positive adjusted EBITDA, totaling nearly $40 million.

• Became free cash flow positive in the first half of 2025, with $4.1 million generated.

• Debt was reduced from $50 million to under $20 million, with refinancing lowering the cost of capital by almost 40%.

• Cash now exceeds debt, and the company holds significant federal and state NOLs ($380M and $400M, respectively).

• Transitioned stock listing from NYSE to NASDAQ to align with technology-focused investors.

Product innovation and growth initiatives

• Plans for 2026 include launching P90X, Insanity, and Shakeology brands into retail with new packaging and product lines.

• New P90X and Insanity exercise programs will be released, cross-promoted with nutritional supplements at retail.

• A virtual CPG model is being implemented, outsourcing commodity functions while retaining proprietary product development and marketing.

• Regional rollouts in major retail chains will begin in 2026, expanding to a broader rollout in late 2026 and 2027.

• The company aims to reengage over 8 million former customers with new products and digital offerings.