Onespan Inc. · NASDAQ:OSPN

Onespan — Q1 2025 Earnings Presentation

23 slides from Onespan's earnings presentation, May 1, 2025

  1. Slide 1: Investor Presentation – Q1 2025

    Investor Presentation – Q1 2025 May 1, 2025

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements This presentation contains forward-looking statements within the meaning of applicable U.S. securities laws, including statements regarding our 2025 financial guidance; our plans to continue our focus on operational excellence and drive efficient revenue growth and profita

  3. Slide 3: Company Overview

    Company Overview O OneSpan

  4. Slide 4: OneSpan At-a-Glance

    OneSpan At-a-Glance1 $570M $242M $168M 107% $105M 4,000+ 100+ >60% Market Cap Revenue ARR2 NRR3 Cash & Equiv. Customers Countries of the World’s (TTM) 100 Largest Banks are Customers 1 Approximate market capitalization as of 4/30/25. Other metrices as of 3/31/25. 2,3 See appendix for definitions. PR

  5. Slide 5: Trusted Security Partner to Global Blue-Chip Enterprises

    Trusted Security Partner to Global Blue-Chip Enterprises Other Financial Banking Insurance Government Healthcare Other Services PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 5

  6. Slide 6: Security Solutions & Digital Agreements Business Units

    Security Solutions & Digital Agreements Business Units Total Revenue: $242M1 Common BU Attributes Operational Excellence Recurring Revenue Growth Security Digital Enterprise Class Solutions Solutions Agreements Key Verticals – BFSI, Healthcare, Government $180M $62M 74% 26% Revenue by Geography1,2 E

  7. Slide 7: Security Solutions

    SECURITY SOLUTIONS Industry Leader in Securing Digital Banking Transactions • Trusted by the who’s who of global banks to secure high value digital transactions • (5%) Revenue growth1,2 • 6% Software & Services growth1,3 • 23% Subscription revenue growth1,3 MFA & Passwordless Digital Transaction Mob

  8. Slide 8: Digital Agreements

    DIGITAL AGREEMENTS Key Enterprise-Class Solutions • Robust security, white-labelling and pricing model differentiate; transition to SaaS substantially complete • 16% Revenue growth1,2 • Transition to SaaS model substantially complete • 23% Subscription revenue growth1 E-Signatures Identity Verificat

  9. Slide 9: GTM Focused on Enterprise Sales and Growing Partner Network

    GTM Focused on Enterprise Sales and Growing Partner Network CUSTOMER SEGMENTATION BASED ON EMPLOYEE COUNT OSPN SALES FOCUS PARTNER COVERAGE Tiers Efficient Resource Global System Resellers & Platform (Employee Count) Allocation with Sellers Integrators Distributors Partners Large Enterprise SAM 100,

  10. Slide 10: Competitive Differentiation

    Competitive Differentiation World-class security DNA in authentication, transaction signing and identity verification Deep expertise in end-user experience, cloud workflows, document verification and e-signatures Strong roots and experience in highly regulated global markets Broadest authentication

  11. Slide 11: Financial Highlights & Outlook

    Financial Highlights & Outlook

  12. Slide 12: Q1 2025 Financial Highlights

    Q1 2025 Financial Highlights $63M $44M $168M 107 % Revenue Subscription Revenue ARR1 NRR2 (-2% growth) (9% growth) (9% growth) $23M $0.45 $105M $0.12 Adjusted EBITDA Non-GAAP EPS Cash and Equiv. Dividend3 (36% margin) no long-term debt 1,2 See appendix for definition. 3 OneSpan paid its first regula

  13. Slide 13: Q1 2025 Revenue Growth

    Q1 2025 Revenue Growth1,2 Security Solutions Digital Agreements Total Company (-5% growth) (9% growth) (-2% growth) $64.8M $63.4M $50.4M $47.7M $14.4M $15.7M Q1 2024 Q1 2025 Q1 2024 Q1 2025 Q1 2024 Q1 2025 Subscription Maintenance Subscription Maintenance Subscription Maintenance PS & Other Hardware

  14. Slide 14: Q1 2025 ARR Growth

    Q1 2025 ARR Growth1 Security Solutions Digital Agreements Total Company (7% growth) (12% growth) (9% growth) $168M $155M $107M $100M $61M $55M Q1 2024 Q1 2025 Q1 2024 Q1 2025 Q1 2024 Q1 2025 1 Headwinds from sunsetted products impacted Security ARR growth by 2 percentage points, Digital Agreements A

  15. Slide 15: 2025 Guidance Metrics

    2025 Guidance Metrics Metric FY 2025 Guidance Revenue $245M – $251M Adjusted EBITDA1 $72M – $76M ARR2 $180M – $186M 1 Adjusted EBITDA is a non-GAAP financial measure. The Company is not providing a reconciliation of Adjusted EBITDA guidance to GAAP net income, the most directly comparable GAAP measu

  16. Slide 16: Revenue and ARR: FY 2025 Guidance and Prior Year Results

    Revenue and ARR: FY 2025 Guidance and Prior Year Results Revenue1,2 ARR2,3 FY 2025 FY 2025 Guidance Guidance $245M - $251M $180M - $186M $235M $243M $219M $168M $155M $139M FY 2022 FY 2023 FY 2024 FY 2025E FY 2022 FY 2023 FY 2024 FY2025E Security SW & Services Security Hardware Digital Agreements Se

  17. Slide 17: Adjusted EBITDA: Sharp Increase Driven by Cost Reductions

    Adjusted EBITDA: Sharp Increase Driven by Cost Reductions Adjusted EBITDA1 Cumulative Annualized Cost Savings2,3 December 31, 2022: $10.0 million FY 2025 Guidance December 31, 2023: $58.5 million $73M $72M - $76M December 31, 2024: $77.0 million* * Annualized cost savings initiatives were substantia

  18. Slide 18: Appendix

    Appendix O OneSpan

  19. Slide 19: Reconciliation of Net Income to Adjusted EBITDA

    Reconciliation of Net Income to Adjusted EBITDA5 (in thousands, unaudited) Three months ended March 31, 2024 2025 Net income (loss) $ 13,468 $ 14,505 Interest income (expense), net (101) (692) Provision for income taxes 1,034 3,360 1 Depreciation and amortization of intangible assets 2,082 2,129 2 L

  20. Slide 20: Definitions

    Definitions 1 – ARR, or Annual Recurring Revenue, is calculated as the approximate annualized value of our customer recurring contracts as of the measurement date. These include subscription, term-based license, and maintenance and support contracts and exclude one-time fees. To the extent that we a

  21. Slide 21: Non-GAAP Financial Measures

    Non-GAAP Financial Measures We report financial results in accordance with GAAP. We also evaluate our performance using certain non-GAAP financial metrics, including Adjusted EBITDA, Non-GAAP Net Income and Non-GAAP Net Income Per Diluted Share. Our management believes that these measures, when take

  22. Slide 22: Copyright and Trademarks

    Copyright and Trademarks Copyright© 2025 OneSpan North America Inc., all rights reserved. OneSpan , the “O” logo, “BE BOLD. BE SECURE.” , DIGIPASS® and “The Digital Agreements Company” are registered or unregistered trademarks of OneSpan North America Inc. or its affiliates in the U.S. and other cou

  23. Slide 23: OneSpan

    OneSpan

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