Slide 1: Varonis Overview Q2 2026
Na varonis — Varonis . Overview * Q2 2026
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation has been prepared by Varonis Systems, Inc. (the “Company”) solely for informational purposes. It is not, and should not be assumed to be, complete. This presentation is not an offer to sell securities, nor is it a solicitation of an offer to buy securities. Th
Slide 3: Company Overview
Company Overview —
Slide 4: Varonis at a glance
Varonis at a glance The leader in data and AI security VRNS $726.0MM $598.1MM Founded in 2004 SaaS Annual Recurring Revenues SaaS ARR Ex. Conversions IPO in 2014 52% YoY Growth 25% YoY Growth ~2,700 $80.1MM $81.0MM Employees Worldwide YTD Operating Cash Flow YTD Adjusted Free Cash Flow 4
Slide 5: Proven technology
Proven technology DOMAINS OUR APPROACH Sensitivity On-prem & cloud Real-time file storage visibility SaaS apps AI inventory, & email posture, & run-time Permissions guardrails & Configurations Agentic Automated AI & LLMs remediation Cloud infrastructure Activity AI detection & & databases response 5
Slide 6: One platform to Secure AI and the data that powers it
One platform to Secure AI and the data that powers it Varonis DSP Varonis Atlas Varonis Interceptor Data Security AI Security & Governance Social Engineering Defense PROTECT DATA SECURE AI STOP AI THREATS Runtime Email Browser DSPM DLP AI-SPM Protection Security Protection Phishing Threat DAM DAG AI
Slide 7: Proven approach
Proven approach Find Fix Alert overexposed sensitive data by sensitive and stale data on unusual data exposure and analyzing data, account automatically, to remediate automatically respond to keep activity, and user behavior. current exposure and prevent data safe. future exposures. 7
Slide 8: Secular trends
Secular trends Data growth AI & cloud adoption Cyber threats The amount of data created in the 90% of organizations will adopt a In 2024 the global average cost of a world is expected to grow at a hybrid cloud approach through data breach was $4.9 million, compound annual growth rate of 2027 and mor
Slide 9: Industry changes
Industry changes Adoption & Board awareness standardization Regulation Boards of Directors are now A data-centric approach to security is The confluence of notable attacks, required to address cyber risks and becoming the standard as the digital media attention, and public outcry demonstrate appropr
Slide 10: Our SaaS platform enables relentless innovation
Our SaaS platform enables relentless innovation Varonis MCP Server Varonis for Varonis for ChatGPT Salesforce Enterprise Varonis for Agentic AI Google For MDDR Workspace Salesforce Varonis Varonis SaaS Prompt for Box Monitoring Automated Salesforce Varonis Posture Access for GitHub Management Graph
Slide 11: Innovation has meaningfully expanded our TAM
Innovation has meaningfully expanded our TAM • Coverage is now one of our biggest TOTAL: ~$51B competitive advantages • We are a leader in protecting large data stores in the cloud & on-prem • We expanded into new markets like SaaS / IaaS / PaaS / Varonis for IaaS, SaaS, PaaS, AI, AI / Databases / E
Slide 12: Data security platform use cases
Data security platform use cases Data discovery & classification Identity posture Accurately discover, classify, and label sensitive data. Detect and remediate risky or over-privileged accounts. DSPM Data risk assessment Improve your data security posture automatically. Map data risk and build a pat
Slide 13: First-mover advantage
First-mover advantage High-frequency Complexity iterations Data was stored in 20+ years of battle-testing, fewer places refinement, and innovation 2005 + Data volume Discipline Sales process drove tens Data volumes were of thousands of much smaller production installs 13
Slide 14: Predictable sales motion
Predictable sales motion Leads Risk Assessment Closing CHANNEL | MARKETING VARONIS SALES CHANNEL | VARONIS SALES Salesforce performs in-person or Channel resellers provide virtual risk assessment and builds Highly metrics-driven sales process introductions to the right buyers and business case help
Slide 15: Proven management team
Proven management team Yaki Faitelson CEO, President, Co-Founder Guy Melamed David Bass Jim O’Boyle & Chairman CFO & COO Executive VP & CTO Vice Chairman - Sales Varonis since 2005 Varonis since 2011 Varonis since 2005 Varonis since 2006 Dana Shahar Gilad Raz Shai Cohen-Golan Dov Gottlieb Chief Huma
Slide 16: Financial Results: Q2 2026 Highlights
Financial Results: Q2 2026 Highlights
Slide 17: SaaS Annual Recurring Revenues
SaaS Annual Recurring Revenues Q2 2026 GROWTH YoY 52% $726.0 $683.2 $638.5 $546.1 $478.3 $405.2 $340.2 $262.3 $210.3 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 In millions 17
Slide 18: Q2 2026 highlights
Q2 2026 highlights $726.0 52% SaaS ARR YoY Growth $478.3 25% SaaS ARR ex. Conversion YoY Growth $210.3 $81.0MM Q2 2024 Q2 2025 Q2 2026 YTD Adjusted Free Cash Flow SaaS Annual Recurring Revenues ($MM) 18
Slide 19: Quarterly net new SaaS ARR Breakdown
Quarterly net new SaaS ARR Breakdown Q3 2026 FY 2026 Guidance at Guidance at Q1 2025 Q2 2025 Q3 2025 Q4 2025 FY 2025 Q1 2026 Q2 2026 Midpoint Midpoint Starting SaaS Annual Recurring $340.2 $405.2 $478.3 $546.1 $340.2 $638.5 $683.2 $726.0 $638.5 Revenues (“ARR”) (+) Net New SaaS ARR Excluding $25.5 $
Slide 20: Q2 2026 SaaS ARR increased 52% YoY
Q2 2026 SaaS ARR increased 52% YoY Q2 2026 SaaS ARR ex. conversion increased 25% YoY Growth Rate / Comments Q2 2025 SaaS ARR $478.3MM (+) TTM Net New SaaS ARR Excluding Conversions $119.8MM See slide 19 footnote 1 Q2 2026 SaaS ARR Excluding Conversions $598.1MM 25%* (+) TTM Conversion ARR $127.9MM S
Slide 21: Q3 2026 Financial Guidance (SaaS ARR)
Q3 2026 Financial Guidance (SaaS ARR) Q3 2026 Guidance assumes Net New SaaS ARR Ex. Conversion of $28.0M to $31.0M and $0 conversion Growth Rate / Comments Q3 2025 SaaS ARR $546.1MM (+) TTM Net New SaaS ARR Excluding Conversions $120.9MM - $123.9MM See slide 19 footnote 3 Q3 2026 SaaS ARR Excluding
Slide 22: FY 2026 Financial Guidance (SaaS ARR)
FY 2026 Financial Guidance (SaaS ARR) FY 2026 Guidance assumes Net New SaaS ARR Excluding Conversion of $130.5M to $136.5M Growth Rate / Comments Q4 2025 SaaS ARR $638.5MM (+) FY 2026 Net New SaaS ARR Excluding Conversions $130.5MM - $136.5MM See slide 19 – Second row FY 2026 SaaS ARR Excluding Conv
Slide 23: Q3 & FY 2026 Financial Guidance (Additional Metrics)
Q3 & FY 2026 Financial Guidance (Additional Metrics) Guidance Q3 2026 FY 2026 Total Revenues $185.0MM – $188.0MM $735.0MM – $739.0MM YoY growth 14% – 16% 18% – 19% Non-GAAP Operating Income $2.5MM – $3.5MM $11.0MM – $13.0MM Diluted Shares Outstanding 131.1MM 131.5MM Non-GAAP Net Income per Diluted S
Slide 24: Our goal is to build a billion-dollar business
Our goal is to build a billion-dollar business that grows meaningfully with expanding profit and cash flow.
Slide 25: Thank you.
Thank you.
Slide 26: Appendix: Revenue Recognition Example #1
Appendix: Revenue Recognition Example #1 TERM-BASED ON-PREM SUBSCRIPTION $80k SaaS $25k $25k $25k $25k $5k $5k $5k $5k Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 ~80% Upfront / ~20% Ratable 100% Ratable ~85% of deal recognized in Q1 ~25% of deal recognized in Q1 100% of deal recognized in fiscal year 100% of deal reco
Slide 27: Appendix: Revenue Recognition Example #2
Appendix: Revenue Recognition Example #2 TERM-BASED ON-PREM SUBSCRIPTION $80k SaaS $25k $25k $5k $5k $5k $0k Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 ~80% Upfront / ~20% Ratable 100% Ratable ~80% of deal recognized in Q2 < 1% of deal recognized in Q2 ~90% of deal recognized in fiscal year ~50% of deal recognized in
Slide 28: Appendix: Revenue Recognition Example #3
Appendix: Revenue Recognition Example #3 TERM-BASED ON-PREM SUBSCRIPTION $80K SaaS $5k $0k Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 ~80% Upfront / ~20% Ratable 100% Ratable ~80% of deal recognized in Q4 < 1% of deal recognized in Q4 ~80% of deal recognized in fiscal year < 1% of deal recognized in fiscal year Both s
Slide 29: Appendix: Reconciliation of GAAP Measures to Non-GAAP
Appendix: Reconciliation of GAAP Measures to Non-GAAP Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 Reconciliation to non-GAAP operating income (loss): GAAP operating loss ($40,631) ($36,552) ($85,112) ($80,318) Add back: Stock-based compensation expense 34,619 33,859 68,
Slide 30: Appendix: Reconciliation of GAAP Measures to Non-GAAP
Appendix: Reconciliation of GAAP Measures to Non-GAAP Six Months Ended June 30, 2026 2025 Reconciliation to non-GAAP free and adjusted free cash flow: Net cash provided by operating activities $80,123 $89,349 Purchases of property and equipment ($9,352) ($5,716) Capitalized internal-use software ($1