Joint : Q1 2024 Results Presentation

Q1 2024

Financial Results

As of March 31, 2024 | Reported on May 2, 2024

Safe Harbor Statements

Certain statements contained in this presentation are "forward-looking statements" about future events and expectations. Forward-looking statements are based on our beliefs, assumptions and expectations of industry trends, our future financial and operating performance and our growth plans, taking into account the information currently available to us. These statements are not statements of historical fact. Words such as, "anticipates," "believes," "continues," "estimates," "expects," "goal," "objectives," "intends," "may," "opportunity," "plans," "potential," "near-term,""long-term," "projections," "assumptions," "projects," "guidance," "forecasts," "outlook," "target," "trends," "should," "could," "would," "will," and similar expressions are intended to identify such forward-looking statements. Specific forward looking statements made in this presentation include, among others our mission to improve quality of life through routine and affordable chiropractic care; our refranchising strategy; our implementation of new marketing programs and related strategic goals; and 2024 guidance for system-wide sales, system-wide comp sales for all clinics open 13 months or more, and new franchised clinic openings excluding the impact of refranchised clinics; our belief that people will continue to seek more noninvasive, holistic ways to manage their pain and that we'll be there to treat them; our leading chiropractic care franchise concept. Forward-looking statements involve risks and uncertainties that may cause our actual results to differ materially from the expectations of future results we express or imply in any forward-looking statements, and you should not place undue reliance on such statements. Factors that could contribute to these differences include, but are not limited to, our inability to identify and recruit enough qualified chiropractors and other personnel to staff our clinics, due in part to the nationwide labor shortage and an increase in operating expenses due to measures we may need to take to address such shortage; inflation, and the current war in Ukraine, which has increased our costs and which could otherwise negatively impact our business; the potential for disruption to our operations and the unpredictable impact on our business of outbreaks of contagious diseases; our failure to profitably operate company-owned or managed clinics; short-selling strategies and negative opinions posted on the internet, which could drive down the market price of our common stock and result in class action lawsuits; our failure to remediate future material weaknesses in our internal control over financial reporting, which could negatively impact our ability to accurately report our financial results, prevent fraud, or maintain investor confidence; and other factors described in our filings with the SEC, including in the section entitled "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2023 filed with the SEC on March 8, 2024 and subsequently-filed current and quarterly reports. We qualify any forward-looking statements entirely by these cautionary factors. We assume no obligation to update or revise any forward-looking statements for any reason or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future. Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, unless expressed as such, and should only be viewed as historical data.

Business Structure

The Joint Corp. is a franchisor of clinics and an operator of clinics in certain states. In Arkansas, California, Colorado, District of Columbia, Florida, Illinois, Kansas, Kentucky, Maryland, Michigan, Minnesota, New Jersey, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, South Dakota, Tennessee, Washington, West Virginia and Wyoming. The Joint Corp. and its franchisees provide management services to affiliated professional chiropractic practices.

© 2024 The Joint Corp. All Rights Reserved.

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©©20242024 TheTheJointJointCorpCorp. AllA lRightsRightsReservedReserved.

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Overcoming Consumer Uncertainty

9%	3%	(3)%
Increase in	Increase in	Decrease in
system-wide sales 1	system-wide comp sales 2	system-wide comp sales 2
Q1 2024 over Q1 2023	for all clinics >13 months	for all clinics >48 months
	in operation	in operation
	Q1 2024 over Q1 2023	Q1 2024 over Q1 2023

	Q1 2024	Q1 2023
Revenue	$29.7M	$28.3M
Op. Income/(Loss)	$1.1M	$(653)k
Other Income 3	$35k	$3.8M
Net Income	$947k	$2.3M
Adjusted EBITDA 4	$3.5M	$2.0M

Unrestricted cash $18.7M at Mar. 31, 2024, compared to $18.2M at Dec. 31, 2023

1 System-wide sales include revenues at all clinics, whether operated or managed by the company or by franchisees. While franchised sales are not recorded as revenues
by the company, management believes the information is important in understanding the company's financial performance, because these revenues are the basis on
which the company calculates and records royalty fees and are indicative of the financial health of the franchisee base. | 2 System-wide comp sales include only the sales
from clinics that have been open at least 13 or 48 full months and exclude any clinics that have permanently closed. | 3 Net income included the receipt of the employee
retention credits of $3.9 million in Q1 2023. | 4 Reconciliation of Adjusted EBITDA to GAAP earnings is included in the Appendix.	©2024 The Joint Corp All Rights R served	4
	© 2024 The Joint Corp. All Rights Reserved.

		Q1 24	Q1 23
	Franchise	15	17
	Licenses Sold
	Franchised	23	29
	Clinics
	Opened
	Franchised	4	1
	Clinics
	Closed
	Corporate Clinics	0	4
	Opened
	Clinics in	163	217
	Development

23 Franchised Clinics

Opened in Q1 2024

TOTAL CLINICS OPEN

		Series1		Series2												935	954
																838		135
																135
															706		126
														579	96
													513	64
											399	442	60
										370	48						800		819
									312	47						712
									61
													610
								246	47					515
								4					453
											394
										309	352
									265
								242
							175
						82
12	26
2010	2011	2012	2013	2014	2015	2016	2017	2018	2019	2020	2021	2022	2023	Q1 24
														© 2024 The Joint Corp. All Rights Reserved.
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Refranchising Strategy

Vast majority of corporate clinics:

• Quality assets of value
• Methodical clustering

Vetting potential franchisees:

• Engaging investment bank
• Negotiating potential block transactions

Value maximization:

• Generates capital
• Increases franchise revenue
• Reduces corporate costs

© 2024 The Joint Corp. All Rights Reserved.

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Q1 2024 Franchise License Sales Tripled Sequentially

15	163	1,263
Franchise licenses	Clinics in active	Gross cumulative franchise
sold in Q1 2024	development 1 of Mar. 31, 2024	licenses sold 1 of Mar. 31, 2024

27%	68%	55%
Sold in Q1 2024 by	Of clinics supported by	Metropolitan statistical
regional developers	17 RDs as of Mar. 31, 2024	areas (MSAs) covered by

RD territories as of Mar. 31, 2024

1 Of the 1,263 franchise licenses sold as of Mar. 31, 2024, 163 are in active development, 819 are currently operating and

the balance represents terminated/closed licenses.

© 2024 The Joint Corp. All Rights Reserved.

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Implementing New Marketing Programs

Annual Patient Survey

• 64% Net Promotor Score
• 92% rank The Joint experience the same or higher than prior

Focused on Driving Awareness

• Social media influencers, national and regional
• Stronger local store marketing tools

Testing Digital Initiatives

• Initial booking visit

Strategic Goals

• Reach 1M+ and drive engagement in the social space
• Build credibility through brand association with national athletes
• Showcase the role of chiropractic care in athlete routines and performance
• Drive brand consideration through compelling in-clinic and lifestyle content with a prominent figure

© 2024 The Joint Corp. All Rights Reserved.

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Q1 2024 Financial Results as of Mar. 31, 2024

$ in M 1	Q1 2024	Q1 2023		Differences
Revenue	$29.7	$28.3	$1.4	5%
• Corporate clinics	17.5	17.1	0.4	2%
• Franchise fees	12.2	11.2	1.0	9%
Cost of revenue	2.7	2.5	0.2	10%
Sales and marketing	3.9	4.2	(0.2)	(7)%
Depreciation and amortization	1.4	2.2	(0.8)	(37)%
G&A	20.3	20.0	0.3	2%
Loss on disposition or impairment 2	0.3	0.1	0.2	NA
Operating income / (loss)	1.1	(0.7)	1.8	NA
Other income 3	0.0	3.8	(3.8)	NA
Net income	0.9	2.3	(1.4)	(59)%
Adjusted EBITDA 4	3.5	2.0	1.5	72%

1. Due to rounding, numbers may not add up precisely to the totals.
2. Loss on disposition or impairment, including those corporate clinics that were announced to be held for sale.
3. Net income included the receipt of the employee retention credits of $3.9 million in Q1 2023.
4. Reconciliation of Adjusted EBITDA to GAAP earnings is included in the Appendix.

© 2024 The Joint Corp. All Rights Reserved.

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Reiterating 2024 Guidance

$ in M	2023	2024 Low	2024 High
Actual	Guidance	Guidance
System-wide sales 1	$488.0	$530	$545
System-wide comp sales for all clinics open 13 months or more 2	4%	Mid-single digits
New franchised clinic openings excluding the impact of refranchised clinics	104	60	75

1 System-wide sales include revenues at all clinics, whether operated or managed by the company or by franchisees. While franchised sales are not recorded as revenues by the company, management believes the information is important in understanding the company's financial performance, because these revenues are the basis on which the company calculates and records royalty fees and are indicative of the financial health of the franchisee base. | 2 System-wide comp sales include only the sales from clinics that have been open at least 13 or 48 full months and exclude any clinics that have permanently closed..

© 2024 The Joint Corp. All Rights Reserved.

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