Vroom (VRM) Investor Update summary

Strategic direction and business transformation

• Completed wind down of eCommerce used vehicle dealership to preserve liquidity and focus on remaining assets.

• Retained and plan to monetize Vroom's intellectual property and tech stack through asset sales, licensing, or SaaS.

• Focused on leveraging UACC (auto finance) and CarStory (AI analytics) for future growth and efficiency.

• Strategic plan built around three objectives: achieve or improve pre-COVID net losses, grow originations with controlled losses, and lower operating costs.

• Four strategic initiatives: world-class lending, sales/marketing, operational excellence in originations, and servicing.

Business and asset highlights

• UACC is a national indirect lender specializing in non-prime auto loans, with a $1B+ serviced portfolio and a 9,500+ dealer network.

• UACC has a 28-year history in subprime auto lending, serving thousands of dealers nationwide.

• CarStory provides AI-powered analytics, tracking over 3.5 million VINs daily and offering predictive pricing and digital retail solutions.

• CarStory’s VIN database covers 90% of US consumer vehicles, enabling more accurate vehicle valuations.

• Vroom retains its eCommerce platform technology, exploring monetization through asset sales, licensing, or SaaS.

Market position and opportunity

• UACC holds a 0.7% share in a $33B subprime auto lending market, which is highly fragmented.

• UACC funds operations through warehouse credit facilities and securitizations, with over $3 billion in notes issued since 2012.

• Near-prime expansion aims to broaden UACC’s dealer relationships and increase origination opportunities.

• CarStory's proprietary data and neural net algorithm enable more accurate vehicle valuations and pricing.

• CarStory provides patented pricing models for vehicle valuations.