Slide 1: Investor Presentation May 2024
Investor Presentation May 2024
Slide 2: Cautionary Note Regarding Forward-Looking Statements
DISCLAIMER Cautionary Note Regarding Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements regarding the company’s business
Slide 3: Introducing the SafetySmart Platform
Introducing the SafetySmart Platform The SafetySmart Platform brings together specialized software solutions and objective data to help law enforcement, civic leadership, and private entities better protect their communities by ensuring the right resources are provided when and where they’re needed
Slide 4: The SafetySmart Platform
The SafetySmart Platform ShotSpotter ResourceRouter Casebuilder CrimeTracer Proven Gunshot Detection Community-First Patrol Mgmt. Case Investigative Tools Law Enforcement Platform Weapons Detection Platform ▪ Increases police response ▪ Proactive patrol management ▪ Collaboration tools ▪ Industry’s
Slide 5: The Public Safety Gap
The Public Safety Gap 1 2 3 Increasing Need for Law Rise Policeof customerNationwide Departments Government Focuses Enforcement with Rising Crime Rate experience Facing Staff Shortages3 on “Refunding the Police” Gun-related Violence Spiked in management Continuous Increase in Government Recent Years
Slide 6: Public Safety and Security Market Landscape
Public Safety and Security Market Landscape Security (>$115bn US8) Access Controls ($2.5B)7 Video & Surveillance ($4.3B)7 LE Adjacencies Digital CCTV Forensics ($25bn) 3 TBD ($10B, 12% growth)3 RTCC Concealed Weapons TBD Detection ($20B)8 Current LE Solutions ($2.5bn) 2 Digital Pre- Evidence Acquisi
Slide 7: The Security Dilemma
The Security Dilemma High Do Nothing = Digital Disruption Opportunity High Risk = Optimal Security + Seamless Experience Visitor Experience Do Everything = Low High Friction Low High Safety 7
Slide 8: SoundThinking, Inc. at a Glance
SoundThinking, Inc. at a Glance $2.5bn+ $92.7mm ~23% 15% Smart Policing 2021A-2025E 2023 Adj. EBITDA 2023 Revenue1 TAM Revenue CAGR2 Margin1 107% 99% $0.52 64 Net Revenue Gross Retention Of S&M Spend to NPS Score Retention Rate3 Rate4 Generate $1 of ACV5 ~280 ~1,100mi2 1.3bn 34 Paying Customers Cove
Slide 9: Competitive Landscape Highlights
COMPETITIVE LANDSCAPE HIGHLIGHTS Strong Competitive Advantages NET PROMOTER SCORE TO TALA T DDRE PR O M SSABLE O TER S MA CO RK RE ET 64 World Class Level1 NE TRUSTED RELATIONSHIPS WITH THE MOST LA DEMANDING LAW ENFORCEMENT AGENCIES D RE TIONS S TE HI U C E 160+ Law Enforcement PS IEN CU TR ER Agenc
Slide 10: Uniquely positioned to capture several organic and inorganic growth vectors
Uniquely positioned to capture several organic and inorganic growth vectors 7 Best-in-class customer retention 6 5 Strategic M&A 4 International 3 Product expansion 2 innovation Square miles expansion 1 Cross-sell products New customer acquisition 10
Slide 11: ShotSpotter – Gunshot Detection Solutions
ShotSpotter – Gunshot Detection Solutions
Slide 12: Proprietary Gunshot Detection Technology
ShotSpotter Proprietary Gunshot Detection Technology 12
Slide 13: ShotSpotter: Rapid, Precise, Intelligent
ShotSpotter Rapid, Precise, Intelligent 13
Slide 14: ResourceRouter - Proactive Patrol Management
ResourceRouter - Proactive Patrol Management
Slide 15: ResourceRouter: Intelligent, Equitable, Effective
ResourceRouter Intelligent, Equitable, Effective I think the value of having ResourceRouter at our agency is really that it allows us to meet the expectations of modern- day policing. And it's a way for us to demonstrate commitment to today's policing standards of being data-driven and evidence-base
Slide 16: CaseBuilder - Case Investigative Tools
CaseBuilder - Case Investigative Tools
Slide 17: Complete CaseBuilder Case Management Software
CaseBuilder Complete CaseBuilder Case Management Software Impact on Homicide Case Clearance Rate 17
Slide 18: CrimeTracer – Law Enforcement Search Engine
CrimeTracer – Law Enforcement Search Engine
Slide 19: CrimeTracer: Producing Actionable Results
CrimeTracer Producing Actionable Results Consolidation Rule-based Entity Consolidation Across Records Visualization Association of Entities Produces Actionable Leads Casing to Conviction Link Shell Casing to Reports, Suspects and Entities Query Results Algorithm Display Most Useful Records for Law E
Slide 20: SafePointe – Intelligent Weapons Detection
SafePointe – Intelligent Weapons Detection
Slide 21: SafePointe: Actively Identifying Threats
SafePointe Actively Identifying Threats • Defense technology inspired • Low-cost passive sensors built within low-profile devices ruggedized for indoor or outdoor use • Low-friction screening experience (no overt security equipment, no security presence required, no divestment of possessions needed)
Slide 22: Growth Strategy
5) SOUNDIHINKING’ Growth Strategy
Slide 23: Case Study: NPS Led Expansion
CUSTOMER Case Study: NPS Led Expansion East Cleveland 4 Q2 2022 (Tier 5) 6 Cleveland Toledo Q2 2020 (Tier 3) 6 8 Jacksonville Q2 2019 (Tier 3) 7 Q2 2017 (Tier 2) Mansfield Warrensville Heights Q4 2020 (Tier 4) Q4 2021 (Tier 5) 5 Youngstown OH Q4 2009 (Tier 4) Tampa Q1 2019 (Tier 3) 3 FL 9 Lake Park
Slide 24: Financials
5) SOUNDIHINKING’ Financials
Slide 25: Financial Highlights
Financial Highlights 90%+ 14% 107% subscription revenue1 YoY Revenue Growth1 Net Revenue Retention Rate2 Highly Recurring Strong, Consistent Proven Land Revenue Growth and Expand $0.52 ~99% 15% Sales Efficiency Ratio3 Gross Retention Rate4 2023 Adj. EBITDA Margin < 0% Net Attrition⁵ Strong Unit Impr
Slide 26: Best-In-Class Customer Retention
Best-In-Class Customer Retention Net Revenue Retention Rate1 139% 125% 124% 111% 107% 107% 2018A 2019A 2020A 2021A 2022A 2023A Consistently achieving 99%+ gross retention rate2 in core offerings Source: Company filings 1 Net revenue retention rate is calculated as dividing the (a) total revenues for
Slide 27: ShotSpotter Growth Since IPO
ShotSpotter Growth Since IPO 200 1400 180 166 1200 1122 160 140 1000 120 800 100 90 600 479 80 60 400 40 200 20 0 0 Miles Cities IPO End 2023 IPO End 2023 27
Slide 28: Attractive unit economics drive long term profitability
Attractive unit economics drive long term profitability Sales Efficiency Ratio1 $0.51 $0.52 $0.43 $0.40 $0.37 $0.30 2018A 2019A 2020A 2021A 2022A 2023A Source: Company filings; Management Actuals as reported 1 Reflects Sales and Marketing expense per $1.00 of new Annualized Contract Value. Calculate
Slide 29: ARR Trend
ARR Trend ($’M) 100.5 100 95.4 7.6 2.6 90 8.0 8.5 80 79.7 10.6 10.6 7.2 70 63.2 10.3 60 9.5 50 40 74.2 73.8 30 62.2 53.7 20 10 0 2021 2022 2023 2024 Est 1 ShotSpotter Technologic Solutions Forensic Logic SafePointe 1 CaseBuilder is included in ShotSpotter data 29
Slide 30: Revenue Growth
Revenue Growth Revenues ($M) -22% CAGR $104-$106M Revenue Growth (Est.) $92.7 $81.0 $58.2 ~40% 55% 49% 2021 2022 2023 2024 30
Slide 31: Long-Term Model Progression
Long-Term Model Progression Strong Operational Leverage Above and Below the Line Q1 2024 FY 2024 Long-Term (Actual) (Estimate) Model Revenue Growth (Y/Y) 23.3% 13.3% 15%+ Gross Margin 58.6% 60.0% ~70% Adj. EBITDA 12.0% 19.0% ~40% 31
Slide 32: Thank you
®) SOUNDIHINKING’ Thank you