Executive Summary

FOXO reported full-year 2022 revenue of $0.511M, up from $0.120M in 2021, but net loss widened to $(95.3)M or $(8.40) per share, driven largely by fair-value and forward purchase agreement charges; Adjusted EBITDA was $(19.8)M .
Management emphasized a strategic reset: streamlined operations, cost reduction, sale of the regulated insurance entity to unlock $4.751M of statutory capital, and focus on commercializing saliva-based epigenetic underwriting and the FOXO Longevity Report .
Distribution capacity increased via five partner relationships reaching >3,000 independent agents; the company will pursue MGA distribution and not launch new policies through FOXO Life Insurance Company given capitalization/regulatory constraints .
Capital structure derisked after termination of the ELOC with Cantor (Nov 8, 2022) and termination/amendment of the Meteora forward purchase agreement (Nov 11, 2022), eliminating forward purchase derivatives .
No quantitative guidance or Wall Street consensus estimates were available for Q4 2022; the narrative centers on product development, distribution build-out, and liquidity actions (S&P Global consensus not available).

What Went Well and What Went Wrong

What Went Well

“We sought to reset our vision and mission…realigned our workflows…eliminating much of our non-core activities, and streamlined our cost structure to preserve capital,” said Interim CEO/CTO Tyler Danielson; company also unlocked $4.751M previously held as statutory capital via sale of FOXO Life Insurance Company .
Built distribution: FOXO Life recruited five distribution partnerships reaching >3,000 independent agents to sell “Life Insurance Designed to Keep You Alive” .
Advanced science and data: the team generated one of the largest epigenetic datasets with decades of follow-up and moved into analytics with top academic collaborators to accelerate underwriting product development .

What Went Wrong

2022 loss deepened to $(95.3)M (vs. $(38.5)M in 2021), driven by non-cash fair value changes (convertible debentures), forward purchase agreement expense, and higher SG&A; Adjusted EBITDA also worsened to $(19.8)M .
Royalty economics compressed: Illumina mouse array royalty rate reduced from 5% to 1.25%, weighing on 2022 revenue contribution .
Regulatory/capital headwinds led FOXO to pause issuing policies via its insurance entity and pivot to MGA distribution; FOXO Life Insurance Company will not be launched for new policies due to funding/regulatory constraints .

Financial Results

Income Statement – Annual Comparison (USD)

Metric	FY 2021	FY 2022
Revenues ($M)	$0.120	$0.511
Cost of Sales ($M)	$0.000	$0.344
Gross Profit ($M)	$0.120	$0.167
Research & Development ($M)	$4.879	$3.047
SG&A ($M)	$10.272	$27.196
Loss from Operations ($M)	$(15.031)	$(40.167)
Non‑Operating Expense ($M)	$(23.457)	$(55.088)
Net Loss ($M)	$(38.488)	$(95.255)
Diluted EPS ($)	$(6.61)	$(8.40)
Adjusted EBITDA ($M)	$(15.038)	$(19.828)

Notes: 2022 SG&A increase reflects stock‑based comp, amortization of intangibles/cloud assets, and implementation of the business plan .

Segment Snapshot – Q3 Year‑over‑Year (USD)

Segment	Q3 2021 Revenue ($K)	Q3 2022 Revenue ($K)	Q3 2021 Segment Earnings ($K)	Q3 2022 Segment Earnings ($K)
FOXO Labs	$23	$7	$(1,632)	$(499)
FOXO Life	$8	$7	$(831)	$(1,157)

Quarterly Operating Metrics – Q3 2022 (USD)

Metric	Q3 2022
Total Revenue ($K)	$14
R&D ($K)	$558
SG&A ($K)	$8,269
Loss from Operations ($K)	$(8,813)
Net Loss ($K)	$(41,026)
Net Loss per Class A Common Share ($)	$(6.70)

Comparability: Q2 and earlier periods reflect pre‑merger SPAC financials; management cautioned results are not comparable across periods due to the business combination and accounting impacts .

Balance Sheet – Year End (USD)

Metric	Dec 31, 2021	Dec 31, 2022
Cash & Equivalents ($K)	$6,856	$5,515
Reinsurance Recoverables ($K)	$19,463	$18,573
Total Assets ($K)	$30,304	$35,408
Policy Reserves ($K)	$19,463	$18,573
Total Liabilities ($K)	$55,524	$28,700
Stockholders’ Equity ($K)	$(25,220)	$6,708

Key 2022 movements include conversion of debentures to equity at closing, warrant liability recognition, and disposal of the insurance entity increasing access to capital .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Issuing policies via FOXO Life Insurance Company	FY 2023	Launch regulated entity products	Will not move forward; pivot to MGA distribution	Lowered
Liquidity (statutory capital access)	Q4 2022	Capital held within regulated entity	Accessed $4.751M via sale of FOXO Life Insurance Company	Raised
Distribution capacity	Q4 2022	Building partnerships	5 distribution partners; reach >3,000 agents	Raised
Capital facilities (ELOC, Meteora FPA)	Q4 2022 (post‑Q3)	ELOC and FPA in place	ELOC terminated (11/8/22); FPA amended/terminated (11/11/22)	Simplified/derisked

No quantitative revenue/margin/opex guidance ranges were provided in the period .

Earnings Call Themes & Trends

Topic	Previous Mentions (Q‑2 and Q‑1)	Current Period (Q4 2022)	Trend
Epigenetic/AI underwriting	Parallel run study with insurer/reinsurer; target ≥2,500 participants; collaboration advancing	Reaffirm saliva‑based underwriting vision; large dataset with academic partners; analytics phase underway	Advancing toward productization
Distribution/MGA	Plan to sell through MGA partners beginning 2023	5 distribution partners; reach >3,000 agents; Longevity Report bundled with policies	Scaling distribution
Cost discipline	Corporate costs elevated in 2022; plan to reduce expense base	Streamlined workflows; eliminated non‑core activities; cost reduction plan	Improved focus/efficiency
Capital structure	FPA and forward purchase derivatives added at closing	ELOC and FPA terminated in Nov 2022; derivatives removed	De‑risking balance sheet
Regulatory/legal	Insurance entity required RBC ≥301%; post‑closing funding insufficient; reconsider path	Decision not to issue policies via insurance entity; focus on MGA model	Strategic pivot

Management Commentary

“We have realigned our workflows, eliminating much of our non-core activities, and streamlined our cost structure to preserve capital…Our strategy to create and sell products that revolutionize life insurance by leveraging epigenetics and artificial intelligence is now established.” — Tyler Danielson, Interim CEO/CTO .
“We have generated one of the largest epigenetic datasets with decades of follow-up…now entering the analytic phase in collaboration with top academic scientists to accelerate research and inform product development.” — COO Taylor Fay .
CFO summary: 2022 net loss $(95.3)M vs $(38.5)M in 2021; Adjusted EBITDA $(19.8)M vs $(15.0)M; SG&A $27.2M vs $10.3M, primarily stock-based comp, intangible/cloud amortization, and implementation costs; unlocked ~$4.7M of statutory capital via divestiture .

Q&A Highlights

The furnished transcript is a prepared script and business update; no detailed Q&A discussion was included in the exhibit .
Management reiterated strategic priorities (distribution/MGA, underwriting tool commercialization, cost discipline) and liquidity actions; no numerical guidance ranges were discussed .

Estimates Context

Wall Street consensus (S&P Global) for Q4 2022 EPS and revenue was not available; therefore, no beats/misses analysis versus estimates is presented (values retrieved from S&P Global were unavailable).

Key Takeaways for Investors

Execution pivot reduces risk: exiting issuance via the regulated insurance entity and focusing on MGA distribution simplifies regulatory burdens and capital needs, while unlocking $4.751M in capital .
Commercial path forming: five distribution partners (>3,000 agents) and bundling the FOXO Longevity Report with policies creates near‑term revenue opportunities and accelerates market access .
Underwriting tech progress: saliva‑based epigenetic underwriting is advancing with large datasets and academic collaborations, a potential catalyst if validated and adopted by carriers .
Balance sheet de‑risking: termination of the ELOC and forward purchase agreement removes derivative overhang and simplifies capital structure .
Cost focus: streamlined operations and elimination of non‑core activities aim to bend the cash burn curve amid modest revenue base; SG&A drivers were identified to normalize over time .
Revenue base remains small and royalties compressed (Illumina rate cut to 1.25%), highlighting the importance of scaling services and distribution to improve unit economics .
Near‑term trading implications: stock narrative likely driven by commercialization milestones (MGA policy sales with Longevity Report, underwriting pilot outcomes) and further capital actions rather than quarterly financial beats/misses given limited consensus coverage .

FOXO TECHNOLOGIES INC. (FOXO)·Q4 2022 Earnings Summary