Business Wire | Aug 12, 2021 04:06PM EDT

The Beachbody Company, Inc. Announces Second Quarter 2021 Financial Results

Aug. 12, 2021

SANTA MONICA, Calif.--(BUSINESS WIRE)--Aug. 12, 2021--The Beachbody Company, Inc. (NYSE: BODY) ("Beachbody" or the "Company"), a leading subscription health and wellness company, today announced financial results for its second quarter and six months ended June 30, 2021.

Beachbody completed a three-way business combination with Myx Fitness Holdings ("Myx") and Forest Road Acquisition Corp. on June 25, 2021. Results for the second quarter and six months ended June 30, 2021 include five days of results for Myx.

"Over the last two decades, Beachbody has established itself as a worldwide leader in subscription health & wellness through the development of compelling digital fitness content and proprietary nutritional products that deliver results for millions of customers," said Carl Daikeler, Beachbody's Co-founder, Chairman and Chief Executive Office. "Completing our merger, adding connected fitness to the Beachbody portfolio, and bringing Beachbody to the public market has now set the stage for a multi-year period of accelerated growth," he added. "The addition of Myx enhances our holistic approach to health & wellness and provides us with tremendous opportunity to serve our customers with the enhancements they have been asking for, specifically a high quality connected indoor bike and live content produced with the same innovation that has been Beachbody's signature since the days of P90X. Looking ahead, we believe the business is poised to benefit from several drivers, including our first ever Beachbody brand advertising campaign, the launch of our new live interactive content subscription offering BOD Interactive (BODi), and the sell-in of the MYX bike to our customer base and powerful network of coaches and influencers."

"We continued to execute to our proven business model during the second quarter, introducing new digital content and nutritional products that have been well received by our subscribers," said Sue Collyns, Beachbody's President and Chief Financial Officer. "However, the delay in closing our business combination resulted in us deferring $12 million of media investments and postponing the launch of the MYX bike within our coach ecosystem until the second half of the year," she added. "Moving forward, we are well positioned to execute on our strategic objectives with over $347 million of cash on our balance sheet, a decision to ramp up connected fitness unit projections, and increase media investment by an incremental $33 million in the second half of 2021 compared to previous forecasts."

"The digital disruption of fitness is here, unlocking and expanding the total addressable market. Beachbody is uniquely positioned at the forefront of three mega trends driving this shift-the rise of digital streaming subscriptions, the popularity of connected fitness and the heightened demand for effective health & wellness solutions," stated Daikeler. "Beachbody has a proven approach, with entry points across multiple platforms and our long history of successfully acquiring, engaging and retaining subscribers. While we remain keenly aware that the near-term COVID variant and macro conditions present heightened uncertainty as we head into the second half of the year, I remain very upbeat on our long-term prospects and confident in our ability to scale the business and create significant shareholder value as conditions begin to normalize."

Due to the impact of COVID-19 on second quarter 2020 results, the Company is also providing comparisons to the second quarter of 2019.

Second Quarter 2021 GAAP Results

* Total Revenue was $223.1 million, a 2% increase compared to 2020 and a 21% increase compared to 2019 * Digital revenue was $94.3 million, a 20% increase compared to 2020 and a 61% increase compared to 2019 Digital subscriptions were 2.7 million at period end, a 13% increase compared to 2020 and a 61% increase compared to 2019 31.9% DAU/MAU, a 130-basis point decrease compared to 2020, and a 330 basis points increase compared to 2019 44.5 million total streams, a 20% decrease compared to 2020, and a 75% increase compared to 2019 94.9% month-over-month digital retention, 140-basis point decrease compared to 2020 and 30-basis point decrease compared to 2019 * Nutrition and other revenue was $128.8 million, an 8% decrease compared to 2020 and a 3% increase compared to 2019 Nutritional subscriptions were 0.4 million, compared to 0.5 million in 2020 and 0.3 million in 2019 * Net loss was $12.4 million, compared to a net loss of $10.0 million in 2020 and net income of $19.6 million in 2019 * Adjusted EBITDA was ($4.4) million, compared to $0.9 million in 2020 and $17.7 million in 2019

Six Months 2021 GAAP Results

* Total Revenue was $449.3 million, a 16% increase compared to 2020 and a 14% increase compared to 2019 * Digital revenue was $189.5 million, a 34% increase compared to 2020 and a 52% increase compared to 2019 Digital subscriptions were 2.7 million at period end, a 13% increase compared to 2020 and a 61% increase compared to 2019 33.5% DAU/MAU, a 190-basis point increase compared to 2020, and a 440 basis points increase compared to 2019 100.4 million total streams, a 13% increase compared to 2020, and a 93% increase compared to 2019 95.4% month-over-month digital retention, 20-basis point decrease compared to 2020 and 30-basis point increase compared to 2019 * Nutrition and other revenue was $259.9 million, a 5% increase compared to 2020 and a 4% decrease compared to 2019 Nutritional subscriptions were 0.4 million, compared to 0.5 million in 2020 and 0.3 million in 2019 * Net loss was $42.5 million, compared to a net loss of $18.3 million in 2020 and net income of $27.1 million in 2019 * Adjusted EBITDA was ($16.1) million, compared to $3.6 million in 2020 and $39.7 million in 2019

Financial Performance Guidance for 20212

The merger between Beachbody, Forest Road Acquisition Corp., and Myx Fitness Holdings, LLC on June 25, 2021 occurred one quarter after the forecasted date and resulted in deferring $12.0 million of media investments to the second half of the year. With the merger complete, we now plan to integrate the content of both digital platforms onto the bike in September 2021. In addition, given our strong cash position of $347.2 million, we also plan to increase our media investment in the second half of 2021 compared to previous forecasts by $33.0 million, for a total of $189.0 million in 2021. Additionally, we are increasing our estimated connected fitness bike forecasts by approximately 30% to 95,000 units. While we expect these initiatives to drive long-term value, they are projected to negatively impact Adjusted EBITDA in the second half of 2021 as they are not forecasted to generate a meaningful in-year payback. Given the many consumer and supply chain variables created by the pandemic, we feel it is prudent to present a more conservative view with respect to our outlook for the remainder of the year. Accordingly, for the fiscal year ending December 31, 2021 the Company currently expects:

* Total revenue1 between $930.0 million and $960.0 million * Adjusted EBITDA1 between ($110.0) million and ($100.0) million

^ Total revenue and Adjusted EBITDA projects the post-merger consolidated1 revenue and Adjusted EBITDA ranges (with only six months and five days of Myx results in 2021 from 6/26/2021-12/31/2021).

^ Net loss guidance is not reasonably available due to changes in stock2 compensation, taxes and other matters that we cannot forecast at this time.

Conference Call and Webcast Information

Beachbody will host a conference call at 5.00pm ET on Thursday, August 12, 2021 to discuss its financial results. To participate in the live call, please dial (833) 989-3106 (domestic) or (873) 415-0233 (international) and provide the conference identification number: 1094283. The conference call will also be available to interested parties through a live webcast at https://investors.thebeachbodycompany.com/.

A replay of the call will be available until August 19, 2021, by dialing (800) 585-8367 (domestic) or (416) 621-4642 (international) and entering the conference identification number: 1094283.

After the conference call, a webcast replay will remain available on the investor relations section of the Company's website for one year.

About The Beachbody Company, Inc.

Headquartered in Southern California, Beachbody is a worldwide leading digital fitness and nutrition subscription company with over two decades of creating innovative content and powerful brands. The Beachbody Company is the parent company of the Beachbody On Demand streaming platform (BOD), the Openfit live digital streaming platform and MYXfitness, the company's connected fitness brand. For more information, please visit TheBeachbodyCompany.com.

Safe Harbor Statement

This press release contains "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are statements other than statements of historical facts and statements in future tense. These statements include but are not limited to, statements regarding our future performance and our market opportunity, including expected financial results for the full year, the potential impact of COVID-19 on the fitness and wellness industry in general as well as our business, our business strategy, our plans and our objectives and future operations.

Forward-looking statements are based upon various estimates and assumptions, as well as information known to us as of the date hereof, and are subject to risks and uncertainties. Accordingly, actual results could differ materially due to a variety of factors, including: our ability to effectively compete in the fitness and nutrition industries; our ability to successfully acquire and integrate new operations; our reliance on a few key products; market conditions and global and economic factors beyond our control; intense competition and competitive pressures from other companies worldwide in the industries in which we operate; and litigation and the ability to adequately protect our intellectual property rights. You can identify these statements by the use of terminology such as "believe", "plans", "expect", "will", "should," "could", "estimate", "anticipate" or similar forward-looking terms. You should not rely on these forward-looking statements as they involve risks and uncertainties that may cause actual results to vary materially from the forward-looking statements. For more information regarding the risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these forward-looking statements, as well as risks relating to our business in general, we refer you to the "Risk Factors" section of our Securities and Exchange Commission (SEC) filings, including those risks and uncertainties included in the Amendment No. 5 to Form S-4 Registration Statement filed with the SEC on May 27, 2021, which are available on the Investor Relations page of our website at https://investors.thebeachbodycompany.com and on the SEC website at www.sec.gov.

All forward-looking statements contained herein are based on information available to us as of the date hereof and you should not rely upon forward- looking statements as predictions of future events. The events and circumstances reflected in the forward-looking statements may not be achieved or occur. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, performance, or achievements. We undertake no obligation to update any of these forward-looking statements for any reason after the date of this press release or to conform these statements to actual results or revised expectations, except as required by law. Undue reliance should not be placed on forward-looking statements.

The Beachbody Company, Inc.Condensed Consolidated Balance SheetsUnaudited (in thousands)

As of June As of 30, December 31, 2021 2020

AssetsCurrent assets: Cash and cash equivalents $ 347,229 $ 56,827

Accounts receivable, net 3,165 855

Inventory, net 74,238 65,354

Prepaid expenses 10,438 8,650

Other current assets 46,286 37,364

Total current assets 481,356 169,050

Property and equipment, net 94,439 80,169

Content assets, net 30,955 19,437

Intangible assets, net 95,917 21,120

Goodwill 176,903 18,981

Right-of-use assets, net 29,366 33,272

Other assets 7,026 14,224

Total assets $ 915,962 $ 356,253

Liabilities and Stockholders' EquityCurrent liabilities: Accounts payable $ 50,648 $ 28,981

Accrued expenses 87,440 79,955

Deferred revenue 116,590 97,504

Current portion of lease liabilities 9,976 10,371

Other current liabilities 2,352 3,106

Total current liabilities 267,006 219,917

Long-term lease liabilities, net 26,466 31,252

Deferred tax liabilities 7,977 3,729

Warrant liabilities 50,173 -

Other liabilities 5,887 2,097

Total liabilities 357,509 256,995

Commitments and contingencies (Note 14) Stockholders' equity: Preferred stock, $0.0001 par value; 100,000,000 - - shares authorized, none issued and outstanding as of June 30, 2021 and December 31, 2020 Common stock, $0.0001 par value, 1,900,000,000 shares authorized (1,600,000,000 Class A, 200,000,000 Class X and 100,000,000 Class C); 166,925,632 and 101,762,614 Class A shares issued and outstanding at June 30, 2021 and December 31, 31 24 2020, respectively; 141,250,310 Class X shares issued and outstanding at June 30, 2021 and December 31, 2020, respectively and no Class C shares issued and outstanding at June 30, 2021 and December 31, 2020. Additional paid-in capital 597,598 96,097

Accumulated other comprehensive loss (17 ) (202 )

Retained earnings (accumulated deficit) (39,159 ) 3,339

Total stockholders' equity 558,453 99,258

Total liabilities and stockholders' equity $ 915,962 $ 356,253

The Beachbody Company, Inc.

Condensed Consolidated Statements of Operations and Comprehensive Loss

Unaudited(in thousands, except per share data)

Three Months Ended June 30,Six Months Ended June 30,2021

2020

2021

2020

Revenue:Digital$

94,325

$

78,357

$

189,475

$

140,882

Nutrition and other128,783

140,127

259,852

246,938

Total revenue223,108

218,484

449,327

387,820

Cost of revenue:Digital11,612

9,292

22,734

17,664

Nutrition and other57,158

50,097

114,153

90,572

Total cost of revenue68,770

59,389

136,887

108,236

Gross profit154,338

159,095

312,440

279,584

Operating expenses:Selling and marketing140,194

134,666

284,890

228,892

Enterprise technology and development26,949

22,373

54,038

43,706

General and administrative17,231

14,522

35,177

29,706

Total operating expenses184,374

171,561

374,105

302,304

Operating loss(30,036

)

(12,466

)

(61,665

)

(22,720

)

Other income (expense)Change in fair value of warrant liabilities5,390

-

5,390

-

Interest expense(305

)

(248

)

(428

)

(343

)

Other income, net1,654

34

2,953

442

Loss before income taxes(23,297

)

(12,680

)

(53,750

)

(22,621

)

Income tax benefit10,857

2,677

11,252

4,290

Net loss$

(12,440

)

$

(10,003

)

$

(42,498

)

$

(18,331

)

Net loss per common share, basic$

(0.05

)

$

(0.04

)

$

(0.17

)

$

(0.08

)

Net loss per common share, diluted$

(0.05

)

$

(0.04

)

$

(0.17

)

$

(0.08

)

Weighted-average common shares outstanding, basic247,062

238,143

245,049

238,143

Weighted-average common shares outstanding, diluted247,062

238,143

245,049

238,143

The Beachbody Company, Inc.

Condensed Consolidated Statements of Operations and Comprehensive Loss

Unaudited (in thousands,except per share data)

Three Months Ended June Six Months Ended June 30, 30, 2021 2020 2021 2020

Revenue: Digital $ 94,325 $ 78,357 $ 189,475 $ 140,882

Nutrition and other 128,783 140,127 259,852 246,938

Total revenue 223,108 218,484 449,327 387,820

Cost of revenue: Digital 11,612 9,292 22,734 17,664

Nutrition and other 57,158 50,097 114,153 90,572

Total cost of revenue 68,770 59,389 136,887 108,236

Gross profit 154,338 159,095 312,440 279,584

Operating expenses: Selling and marketing 140,194 134,666 284,890 228,892

Enterprise technology and 26,949 22,373 54,038 43,706 development General and 17,231 14,522 35,177 29,706 administrativeTotal operating expenses 184,374 171,561 374,105 302,304

Operating loss (30,036 ) (12,466 ) (61,665 ) (22,720 )

Other income (expense) Change in fair value of 5,390 - 5,390 - warrant liabilities Interest expense (305 ) (248 ) (428 ) (343 )

Other income, net 1,654 34 2,953 442

Loss before income taxes (23,297 ) (12,680 ) (53,750 ) (22,621 )

Income tax benefit 10,857 2,677 11,252 4,290

Net loss $ (12,440 ) $ (10,003 ) $ (42,498 ) $ (18,331 )

Net loss per common share, $ (0.05 ) $ (0.04 ) $ (0.17 ) $ (0.08 )basicNet loss per common share, $ (0.05 ) $ (0.04 ) $ (0.17 ) $ (0.08 )dilutedWeighted-average common 247,062 238,143 245,049 238,143 shares outstanding, basicWeighted-average common 247,062 238,143 245,049 238,143 shares outstanding,dilutedThree Months Ended June 30,Six Months Ended June 30,2021

2020

2021

2020

Net loss$

(12,440

)

$

(10,003

)

$

(42,498

)

$

(18,331

)

Other comprehensive income:Change in fair value of derivative financial instruments, net of tax(99

)

(217

)

(208

)

193

Reclassification of losses on derivative financial instruments-

-

-

-

included in net loss172

(73

)

339

(47

)

Foreign currency translation adjustment12

49

54

(327

)

Total other comprehensive income (loss)85

(241

)

185

(181

)

Total comprehensive loss$

(12,355

)

$

(10,244

)

$

(42,313

)

$

(18,512

)

Three Months Ended June Six Months Ended June 30, 30, 2021 2020 2021 2020

Net loss $ (12,440 ) $ (10,003 ) $ (42,498 ) $ (18,331 )

Other comprehensive income: Change in fair value of (99 ) (217 ) (208 ) 193 derivative financial instruments, net of tax Reclassification of losses - - - - on derivative financial instruments included in net loss 172 (73 ) 339 (47 )

Foreign currency 12 49 54 (327 ) translation adjustment Total other comprehensive 85 (241 ) 185 (181 ) income (loss)Total comprehensive loss $ (12,355 ) $ (10,244 ) $ (42,313 ) $ (18,512 )

The Beachbody Company, Inc.

Condensed Consolidated Statements of Cash Flows

Unaudited(in thousands)

Six Months Ended June 30,2021

2020

Cash flows from operating activities:Net loss$

(42,498

)

$

(18,331

)

Adjustments to reconcile net loss to net cash provided by (used in) operating activities:Depreciation and amortization expense25,941

20,678

Amortization of content assets6,119

3,196

Provision for excess and obsolete inventory2,791

(76

)

Allowance for doubtful accounts-

32

Change in fair value of derivative financial instruments169

199

Gain on investment in convertible instrument(3,114

)

-

Change in fair value of warrant liabilities(5,390

)

-

Equity-based compensation5,095

1,908

Deferred income taxes(11,349

)

(3,973

)

Changes in operating assets and liabilities:Accounts receivable(2,007

)

(2,184

)

Inventory(194

)

(2,477

)

Content assets(14,237

)

(6,399

)

Prepaid expenses(1,789

)

6,502

Other assets(5,604

)

(5,487

)

Accounts payable6,656

(1,013

)

Accrued expenses(461

)

17,831

Deferred revenue16,547

40,502

Other liabilities(2,162

)

(6,862

)

Net cash provided by (used in) operating activities(25,487

)

44,046

Cash flows from investing activities:Purchase of property and equipment(27,200

)

(18,756

)

Investment in convertible instrument(5,000

)

-

Equity investment(5,000

)

-

Cash paid for acquisition of Myx, net of cash acquired(37,280

)

-

Net cash used in investing activities(74,480

)

(18,756

)

Cash flows from financing activities:Borrowings under Credit Facility42,000

32,000

Repayments under Credit Facility(42,000

)

(32,000

)

Business Combination, net of issuance costs paid389,775

-

Net cash provided by financing activities389,775

-

Effect of exchange rates on cash594

(638

)

Net increase in cash and cash equivalents290,402

24,652

Cash and cash equivalents, beginning of period56,827

41,564

Cash and cash equivalents, end of period$

347,229

$

66,216

Supplemental disclosure of cash flow information:Cash paid during the year for interest$

283

$

69

Cash paid during the year for income taxes, net$

198

$

114

Supplemental disclosure of noncash investing activities:Property and equipment acquired but not yet paid for$

15,322

$

3,103

Class A common shares issued in connection with the acquisition of Myx$

162,558

$

-

Fair value of Myx instrument and promissory note held by Old Beachbody$

22,618

Supplemental disclosure of noncash financing activities:Business Combination transaction costs, accrued by not paid$

650

$

-

Net assets assumed from Forest Road in the Business Combination$

293

$

-

The Beachbody Company, Inc.

Adjusted EBITDA

In addition to our results determined in accordance with accounting principles generally accepted in the United States, or GAAP, we believe the following non-GAAP financial measure of Adjusted EBITDA is useful in evaluating our operating performance.

We define and calculate Adjusted EBITDA as net income (loss) adjusted for depreciation and amortization, amortization of capitalized cloud computing implementation costs, amortization of content assets, interest expense, income taxes, equity-based compensation, and other items that are not normal, recurring, operating expenses necessary to operate the Company's business.

The presentation of this non-GAAP financial measure is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Investors are encouraged to review the reconciliation of this non-GAAP financial measure to their most directly comparable GAAP financial measure. A reconciliation of the non-GAAP Adjusted EBITDA to GAAP measures can be found below:

The Beachbody Company, Inc.

Condensed Consolidated Statements of Cash Flows

Unaudited (in thousands)

Six Months Ended June 30, 2021 2020

Cash flows from operating activities:Net loss $ (42,498 ) $ (18,331 )

Adjustments to reconcile net loss to net cash provided by (usedin) operating activities: Depreciation and amortization 25,941 20,678 expense Amortization of content assets 6,119 3,196

Provision for excess and obsolete 2,791 (76 ) inventory Allowance for doubtful accounts - 32

Change in fair value of derivative 169 199 financial instruments Gain on investment in convertible (3,114 ) - instrument Change in fair value of warrant (5,390 ) - liabilities Equity-based compensation 5,095 1,908

Deferred income taxes (11,349 ) (3,973 )

Changes in operating assets and liabilities: Accounts receivable (2,007 ) (2,184 )

Inventory (194 ) (2,477 )

Content assets (14,237 ) (6,399 )

Prepaid expenses (1,789 ) 6,502

Other assets (5,604 ) (5,487 )

Accounts payable 6,656 (1,013 )

Accrued expenses (461 ) 17,831

Deferred revenue 16,547 40,502

Other liabilities (2,162 ) (6,862 )

Net cash provided by (used in) (25,487 ) 44,046 operating activitiesCash flows from investing activities:Purchase of property and equipment (27,200 ) (18,756 )

Investment in convertible instrument (5,000 ) -

Equity investment (5,000 ) -

Cash paid for acquisition of Myx, net (37,280 ) - of cash acquired Net cash used in (74,480 ) (18,756 ) investing activitiesCash flows from financing activities:Borrowings under Credit Facility 42,000 32,000

Repayments under Credit Facility (42,000 ) (32,000 )

Business Combination, net of issuance 389,775 - costs paid Net cash provided 389,775 - by financing activitiesEffect of exchange rates on cash 594 (638 )

Net increase in cash and cash 290,402 24,652 equivalentsCash and cash equivalents, beginning of 56,827 41,564 periodCash and cash equivalents, end of $ 347,229 $ 66,216 periodSupplemental disclosure of cash flowinformation:Cash paid during the year for interest $ 283 $ 69

Cash paid during the year for income $ 198 $ 114 taxes, netSupplemental disclosure of noncashinvesting activities:Property and equipment acquired but not $ 15,322 $ 3,103 yet paid forClass A common shares issued in $ 162,558 $ - connection with the acquisition of MyxFair value of Myx instrument and $ 22,618 promissory note held by Old BeachbodySupplemental disclosure of noncashfinancing activities:Business Combination transaction costs, $ 650 $ - accrued by not paidNet assets assumed from Forest Road in $ 293 $ - the Business Combination The Beachbody Company, Inc.

Adjusted EBITDA

In addition to our results determined in accordance with accounting principles generally accepted in the United States, or GAAP, we believe the following non-GAAP financial measure of Adjusted EBITDA is useful in evaluating our operating performance.

We define and calculate Adjusted EBITDA as net income (loss) adjusted for depreciation and amortization, amortization of capitalized cloud computing implementation costs, amortization of content assets, interest expense, income taxes, equity-based compensation, and other items that are not normal, recurring, operating expenses necessary to operate the Company's business.

The presentation of this non-GAAP financial measure is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Investors are encouraged to review the reconciliation of this non-GAAP financial measure to their most directly comparable GAAP financial measure. A reconciliation of the non-GAAP Adjusted EBITDA to GAAP measures can be found below:

(in thousands) Three Months Ended June Six Months Ended June 30, 30, 2021 2020 2021 2020

Net loss $ (12,440 ) $ (10,003 ) $ (42,498 ) $ (18,331 )

Adjusted for:Depreciation and 12,215 10,534 25,941 20,678 amortizationAmortization of capitalized 168 - 336 - cloud computingimplementation costsAmortization of 3,302 1,715 6,119 3,196 content assetsInterest expense 305 248 428 343

Income tax benefit (10,857 ) (2,677 ) (11,252 ) (4,290 )

Equity- based 2,522 1,013 5,095 1,908 compensationTransaction costs 1,509 - 2,142 -

Other adjustment items 6,038 - 6,038 - (1)Non-operating costs (7,147 ) 60 (8,478 ) 54 (2)Adjusted EBITDA $ (4,385 ) $ 890 $ (16,129 ) $ 3,558

(1)

Other adjustment items includes incremental costs associated with Covid-19.

(2)

Non-operating primarily includes the change in fair value of warrant liabilities, interest income and gain on investment in the Myx convertible instrument.

Key Operating Metrics and Non-GAAP Financial Measures

In addition to the measures presented in our interim condensed consolidated financial statements, we are presenting Post Merger Operating Metrics for the three and six months ended June 30, 2021 and June 30, 2020.

The Post Merger Operating Metrics include the completed three-way business combination with Myx and Forest Road Acquisition Corp. on June 25, 2021 with results for the second quarter and six months ended June 30, 2021, including five days of results for Myx.

We are presenting this information to help readers understand the key operational and business metrics and non-GAAP financial measures in those respective periods.

(1) Other adjustment items includes incremental costs associated with Covid-19.

(2) Non-operating primarily includes the change in fair value of warrant liabilities, interest income and gain on investment in the Myx convertible instrument.

Key Operating Metrics and Non-GAAP Financial Measures

In addition to the measures presented in our interim condensed consolidated financial statements, we are presenting Post Merger Operating Metrics for the three and six months ended June 30, 2021 and June 30, 2020.

The Post Merger Operating Metrics include the completed three-way business combination with Myx and Forest Road Acquisition Corp. on June 25, 2021 with results for the second quarter and six months ended June 30, 2021, including five days of results for Myx.

We are presenting this information to help readers understand the key operational and business metrics and non-GAAP financial measures in those respective periods.

KeyOperationaland BusinessMetrics Post Merger Post Merger Beachbody For the Three Months Ended June 30, For the Six Months Ended June 30, Change v Change Change Change 2021 2020 2020 2019 v 2021 2020 v 2019 v 2019 2020 2019

Digital 2.7 2.4 11% 1.7 59% 2.7 2.4 11% 1.7 59%Subscriptions(in millions)Nutrition 0.4 0.5 -12% 0.3 23% 0.4 0.5 -12% 0.3 23%Subscriptions(in millions)Total 3.1 2.9 7% 2.0 53% 3.1 2.9 7% 2.0 53%Subscriptions

Average 94.9% 96.3% (140bps) 95.2% (30bps) 95.4% 95.6% (20bps) 95.1% 30bpsDigitalRetentionTotal Streams 44.4 55.5 -20% 25.5 74% 100.4 88.7 13% 52.0 93%(in millions)DAU/MAU 31.9% 33.2% (120bps) 28.6% 330bps 33.5% 31.6% 200bps 29.1% 440bps



Connected -- -- -- -- -- -- -- -- -- --FitnessDigital $94.2 $78.4 20% $58.8 60% $189.4 $140.9 34% $124.8 52%RevenueNutrition & $128.8 $140.1 -8% $124.9 3% $259.9 $246.9 5% $269.9 -4%Other RevenueRevenue $223.0 $218.5 2% $183.7 21% $449.3 $387.8 16% $394.7 14%(millions)Net Income/ ($12.1) ($10.0) -21% $19.6 -162% ($42.2) ($18.3) -130% $27.1 -256%(Loss)(millions)EBITDA ($4.1) $0.9 -557% $17.7 -123% ($15.8) $3.6 -544% $39.7 -140%(millions) Post Merger (includes 5 Days After Merger Post Merger (includes 5 Days After Merger Date Date from 6/26-6/30) from 6/26-6/30) Myx Fitness For the Three Months Ended June 30, For the Six Months Ended June 30, Change v Change Change Change 2021 2020 2020 2019 v 2021 2020 v 2019 v 2019 2020 2019

ConnectedFitness Units 0.5 -- -- -- -- 0.5 -- -- -- --Sold (inthousands)

DigitalSubscriptions 41.6 -- -- -- -- 41.6 -- -- -- --(inthousands)Nutrition -- -- -- -- -- -- -- -- -- --Subscriptions(in millions)TotalSubscriptions 41.6 -- -- -- -- 41.6 -- -- -- --(inthousands)

Average 95.0% -- -- -- -- 95.0% -- -- -- --DigitalRetentionTotal Streams 0.04 -- -- -- -- 0.04 -- -- -- --(in millions)DAU/MAU 23.4% -- -- -- -- 23.4% -- -- -- --



Connected $0.011 -- -- -- -- $0.011 -- -- -- --FitnessDigital $0.077 -- -- -- -- $0.077 -- -- -- --RevenueNutrition & -- -- -- -- -- -- -- -- -- --Other RevenueRevenue $0.1 -- -- -- -- $0.1 -- -- -- --(millions)Net Income/ ($0.3) -- -- -- -- ($0.3) -- -- -- --(Loss)(millions)EBITDA ($0.3) -- -- -- -- ($0.3) -- -- -- --(millions) Post Merger (Includes 5 Days of Myx Results Post Merger (Includes 5 Days of Myx Results from 6/26-6/30) from 6/26-6/30) Consolidated For the Three Months Ended June 30, For the Six Months Ended June 30, Change v Change Change Change 2021 2020 2020 2019 v 2021 2020 v 2019 v 2019 2020 2019

ConnectedFitness Units 0.5 -- -- -- -- 0.5 -- -- -- --Sold (inthousands)

Digital 2.7 2.4 13% 1.7 61% 2.7 2.4 13% 1.7 61%Subscriptions(in millions)Nutrition 0.4 0.5 -12% 0.3 23% 0.4 0.5 -12% 0.3 23%Subscriptions(in millions)Total 3.1 2.9 9% 2.0 55% 3.1 2.9 9% 2.0 55%Subscriptions

Average 94.9% 96.3% (140bps) 95.2% (30bps) 95.4% 95.6% (20bps) 95.1% 30bpsDigitalRetentionTotal Streams 44.5 55.5 -20% 25.5 75% 100.4 88.7 13% 52.0 93%(in millions)DAU/MAU 31.9% 33.2% (130bps) 28.6% 330bps 33.5% 31.6% 190bps 29.1% 440bps



Connected $0.011 -- -- -- -- $0.011 -- -- -- --FitnessDigital $94.3 $78.4 20% $58.8 61% $189.5 $140.9 34% $124.8 52%RevenueNutrition & $128.8 $140.1 -8% $124.9 3% $259.9 $246.9 5% $269.9 -4%Other RevenueRevenue $223.1 $218.5 2% $183.7 21% $449.3 $387.8 16% $394.7 14%(millions)Net Income/ ($12.4) ($10.0) -24% $19.6 -163% ($42.5) ($18.3) -132% $27.1 -257%(Loss)(millions)Adjusted ($4.4) $0.9 -593% $17.7 -125% ($16.1) $3.6 -553% $39.7 -141%EBITDA(millions) View source version on businesswire.com: https://www.businesswire.com/news/home/20210812005821/en/

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