Slide 1: Investor Presentation
Investor Presentation November 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 PlateRanger CaseBuilder CrimeTracer SafePointe Proven Gunshot Community-First Patrol License Plate Reader & Case Investigative Law Enforcement Weapons Detection Detection Management Vehicle Recognition Tools Platform Platform ▪ Increases police ▪ P
Slide 5: Public Safety and Security Market Landscape
Public Safety and Security Market Landscape Security (>$115bn US6) Access Controls ($2.5B)5 Video & Surveillance ($4.3B)5 LE Adjacencies RTCC TBD ($25bn) 3 Digital Concealed Weapons Forensics Detection ($10B, 12% growth)3 ($20B)6 Current LE Digital Solutions Evidence ($5.0bn) 2 Management Pre- TBD A
Slide 6: SoundThinking, Inc. at a Glance
SoundThinking, Inc. at a Glance $104-$106M $92.7mm 18-20% 15% 2024 Revenue Guidance 2023 Revenue1 2024 Adj. EBITDA 2023 Adj. EBITDA Margin Guidance Margin1 107% 99% $0.52 66 Net Revenue Gross Retention Of S&M Spend to NPS Score5 Retention Rate2 Rate3 Generate $1 of ACV4 $2.5bn+ ~1,100mi2 ~1.0bn 34 S
Slide 7: 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 66 World Class Level1 NE TRUSTED RELATIONSHIPS WITH THE MOST LA DEMANDING LAW ENFORCEMENT AGENCIES D RE TIONS S TE HI U C E 170+ Law Enforcement PS IEN CU TR ER Agenc
Slide 8: 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 8
Slide 9: ShotSpotter – Gunshot Detection Solutions
ShotSpotter – Gunshot Detection Solutions
Slide 10: Proprietary Gunshot Detection Technology
ShotSpotter Proprietary Gunshot Detection Technology 10
Slide 11: Rapid, Precise, Intelligent
ShotSpotter Rapid, Precise, Intelligent 11
Slide 12: ResourceRouter - Proactive Patrol Management
ResourceRouter - Proactive Patrol Management
Slide 13: Intelligent, Equitable, Effective AI Solution
ResourceRouter Intelligent, Equitable, Effective AI Solution “ResourceRouter uses AI and machine learning to provide risk assessments for where and when crimes are more likely to occur on a given day and time. The system directs police to these areas and suggests non-enforcement activities to preven
Slide 14: CaseBuilder - Case Management Solution
CaseBuilder - Case Management Solution
Slide 15: Complete CaseBuilder Case Management Software
CaseBuilder Complete CaseBuilder Case Management Software Impact on Homicide Case Clearance Rate 15
Slide 16: CrimeTracer – Law Enforcement Search Engine
CrimeTracer – Law Enforcement Search Engine
Slide 17: 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 18: SafePointe – Intelligent Weapons Detection
SafePointe – Intelligent Weapons Detection
Slide 19: The Security Dilemma
The Security Dilemma Digital Disruption Opportunity = Optimal Security High Do Nothing + = Seamless Experience High Risk Visitor Experience Do Everything = Low High Friction Low High Safety 19
Slide 20: 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 21: PlateRanger – License Plate Reader & Vehicle Recognition
PlateRanger – License Plate Reader & Vehicle Recognition
Slide 22: Real-Time Alerting and AI Recognition
PlateRanger Real-Time Alerting and AI Recognition PlateRanger doesn’t just read the license plate. It uses AI to determine what is occurring on the road and extracts valuable data including plate number, vehicle characteristics, vehicle behavior, and other unique variables. Vehicle make, model, and
Slide 23: Perfect Solution For All Agencies
PlateRanger Perfect Solution For All Agencies By capturing data using proprietary systems, PlateRanger can process data at the edge with AI and machine learning. This transforms unstructured HD video streams into value-added insights that help close more cases, faster. Collect Data from Organize and
Slide 24: Growth Strategy
5) SOUNDIHINKING’ Growth Strategy
Slide 25: Success Formula
Success Formula Tight Product Market Fit Increases High-Quality LTV Sustainable, Solutions Drives long-term NPS = profitable Consultative Reduces growth G-T-M CAC Customer Success Focus 25
Slide 26: Financials
5) SOUNDIHINKING’ Financials
Slide 27: Revenue Growth
Revenue Growth Revenues ($M) 22% CAGR $104-$106M Revenue Growth (Est.) $92.7 $81.0 $58.2 ~40% 2021 2022 2023 2024 27
Slide 28: Financials
Financials $000’s Q2’23 Q3’23 Q4’23 FY 2023 Q1’24 Q2’24 Q3’24 Revenue $22.1 $24.0 $26.0 $92.7 $25.4 $27.0 $26.3 Gross Profit $12.7 $13.8 $15.0 $52.7 $14.9 $16.1 $15.2 Gross Profit Margin 57% 57% 58% 57% 59% 60% 58% Sales and Marketing $7.4 $6.3 $7.4 $27.0 $7.1 $7.3 $7.2 Research and Development $3.1
Slide 29: Best-In-Class Customer Retention
Best-In-Class Customer Retention Net Revenue Retention Rate1 125% 124% 111% 107% 107% 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 such year
Slide 30: 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 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. Calculated as total S
Slide 31: Operational Leverage to Improve Adj EBITDA
Operational Leverage to Improve Adj EBITDA • Gross Margin Improvement • COGS Across All products Will Grow Less than Revenue Growth • Examples: o Incident Review Center for ShotSpotter; ARC for SafePointe o Telecommunications Reductions • International Sales Have a Higher Gross Margin Profile • Oper
Slide 32: 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% 32
Slide 33: Thank you
®) SOUNDIHINKING’ Thank you