Exasol AG

Investor Presentation • Nov 13, 2024

E. $\operatorname{cosol}$

Investor Call 9M 2024 figures

Jörg Tewes (CEO) and Jan-Dirk Henrich (CFO)

Agenda

01 Trading Update 9M 2024 \& Outlook 2024
02 Update on Strategy
03 Q\&A

Jörg Tewes, CEO

Jan-Dirk Henrich, CFO

Disclaimer

This presentation contains future-oriented, forward-looking statements ("Forward- looking Statements"), estimates, opinions, projections and forecasts representing the current assessments and views with respect to anticipated future performance of Exasol AG. These assessments, views and Forward-looking Statements are subject to changes. There are uncertain conditions that are for the most part difficult to predict and are beyond the control of Exasol AG. Exasol AG is not under any obligation to publish any information resulting in changes in framework conditions or to publish revised information.

The information in this presentation as well as the Forward-looking Statements are of preliminary and abbreviated nature and may be subject to updating, revision and amendment, and such information may change materially. Neither Exasol AG nor any of its directors, officers, employees, agents or affiliates undertakes or is under any duty to update this presentation or to correct any inaccuracies in any such information which may become apparent or to provide any additional information.

The Forward-looking Statements can be identified by the use of forward-looking terminology, including the terms "believes", "estimates", "anticipates", "expects", "intends", "aims", "plans", "predicts", "may", "will" or "should" or, in each case, their negative, or other variations or comparable terminology. These Forward-looking Statements include all matters that are not historical facts. They appear in a number of places throughout this presentation and include statements regarding Exasol's intentions, beliefs or current expectations concerning, among other things, Exasol's prospects, growth, strategies, the industry in which it operates and potential or ongoing acquisitions. By their nature, Forward-looking Statements involve significant risks and uncertainties, because they relate to events and depend on circumstances that may or may not occur in the future. Forward-looking Statements should not be read as guarantees of future performance or results and will not necessarily be accurate indications of whether or not such results will be achieved.

Summary of key points

FINANCIALS 9M 2024
(2024 figures are unaudited)
ARR: $40.4 \mathrm{~m} €$
$(+12 \%$ yoy $)$
Revenue: $29.1 \mathrm{~m} €$
$(+11 \%$ yoy $)$
EBITDA: $1.0 \mathrm{~m} €$
(9M 2023: $-4.1 \mathrm{~m} €^{*}$ )

Liquid Funds: $17.8 \mathrm{~m} €$
(Dec 31, 2023: $13.3 \mathrm{~m} €$ )

• Positive EBITDA for three consecutive quarters now
• Liquid funds above end of last year's level providing sufficient financial headroom
• ARR up 12\% year-on-year and back to q-on-q net growth in Q3 on comparable level to prior year's Q3
• Gross new ARR in 9M 2024 slightly above prior year's period
• 9M 2024 churn in line with expectations
• Saisonal increase in new business and a growing momentum in new logo generation expected for Q4
• Strategy review completed resulting in sharpened positioning in market for 2025
• Outlook 2024 confirmed and substantiated

Outlook 2024 (substantiated)

ARR Growth:
Up to 10\% (no change)

Revenue growth:
$10-15 \%$ (no change)

EBITDA:
$1.5-2.0 \mathrm{~m} €$
(previously: positive)

Liquid Funds:
$11-13 \mathrm{~m} €$
(previously: $>10 \mathrm{~m} €$ )

• adjusted

01 Trading update 9M 2024

Quarterly ARR development in 2023/2024

In EUR million at const. FX and methodology, in percent, # of customers

ARR development end Q3 2024 - Global

In EUR million at const. FX and methodology, in percent

Comments

• Net ARR retention rate at 109\% (vs. 108\% in PY)
• Gross Upsell rate at 124\% (vs. 116\% in PY)
• ARR churn rate at 15\% (vs. 8\% in PY)

ARR development by region

In EUR million at const. FX and methodology, in percent

Comments

• Gross upsell rate at 124\%
• ARR churn rate at 16\%
• Net ARR retention rate at 108\%

North America

Comments

• Gross upsell rate at 124\%
• ARR churn rate at 8\%
• Net ARR retention rate at 116\%

Development of LTM ARR Churn Rate

In percent

• Based on OpenEngine's FY23 data: 12\% churn rate as of April 2024. Updated to 16\% by mid-July 2024.

OpenEngine continuously updates figures as new information becomes available, without a fixed cutoff date.

P\&L 2024/23 by quarter

In EUR million

2024 figures are unaudited

Revenue	Q3 2024	Q3 2023	Change	9M 2024	9M 2023	Change
- thereof recurring revenue	9.6	8.5	1.1	29.1	26.3	2.8
- thereof non-recurring revenue	9.6	8.5	1.1	29.0	25.4	3.6
Gross Profit*	0.0	0.0	0.0	0.1	0.9	$-0.8$
Personnel expenses	9.3	8.1	1.2	29.3*	25.7*	3.6
Training and Recruiting	$-6.5^{ }$	$-6.6^{ }$	0.1	$-20.2^{ }$	$-21.5^{ }$	1.3
Marketing	$-0.1$	$-0.2$	0.2	$-0.1$	$-0.3$	0.2
IT infrastructure	$-0.1$	$-0.5$	0.5	$-0.9$	$-2.4$	1.5
Others (FY 2023: adj.)	$-1.1$	$-0.6$	$-0.5$	$-2.8$	$-1.8$	$-1.0$
Total Costs (FY 2023: adj.)	$-1.3$	$-1.0$	$-0.3$	$-4.2$	$-3.8$	$-0.4$
EBITDA (FY 2023: adj.)	$-8.9$	$-8.9$	0.0	$-28.2$	$-29.9$	1.7
	0.4	$-0.7$	1.1	1.0	$-4.1$	5.1

[^0]
[^0]: *incl. 1.0m EUR (booked in Q2 2024) and 0.9m EUR (booked in Q2 2023) other operating income from granting of R\&D subsidies by ministry of finance
** incl. 0.9 m EUR restructuring expenses in 9 M 2024 (of which ca. 0.1 m in Q 3 ) and 0.7 m EUR restructuring expenses in 9 M 2023 (of which ca. 0.1 m in Q 3 )

EBITDA to cashflow reconciliation 9M 2024

In EUR million
2024 figures are unaudited

Liquid Funds and adj. EBITDA

In EUR million

2024 figures are unaudited

[^0]
[^0]: *incl. short term financial assets
** excl. non-recurring effects from pre-IPO stock programs (until 2024) and excl. effects from capital increase in June 2023

Financial Outlook 2024 (substantiated)

	2023	2024
ARR growth	$18 \%$	Up to 10\% (unchanged)
Revenue Growth	$6 \%$	$10-15 \%$ (unchanged)
EBITDA	$-5.4 \mathrm{~m} €$ (adj.)	$1.5-2.0 \mathrm{~m} €$ (previously: positive)
Liquid Funds	$13.3 \mathrm{~m} €$	$11-13 \mathrm{~m} €$ (previously: $>10 \mathrm{~m} €$ )

02 Update on Strategy

Exasol's Product Offerings

Exasol's offerings scale to address our customers' pain points. From BI acceleration to full data warehouse solutions, Exasol's products help achieve faster, deeper, and cheaper data analytics

BI Acceleration
"I have a spinning wheel problem with my BI tool."

Consumption Layer

"I have a database performance and/or cost issue."

Data Warehouse
"I need a high-performance data warehouse for my division."

Exasol offers a powerful engine that allows customer to generate lightning-fast analytics on massive data volumes at low costs thereby expediting customers' journey into a GenAI driven world

Exasol's high-quality products are the natural choice for all organizations with high performance requirements, particularly those
leveraging on-premises or hybrid set-ups for cost, security, or compliance reasons

Increasing momentum in ARR and new logo generation

Key subscriptions metrics by vertical groups

In percent

Exasol has an exciting growth path by re-committing to its core strengths through stronger focus on fastest growing customer groups

Future strategy is designed to be focused on defensible and sustainable strengths with the goal to return to a dynamic growth on a profitable basis

Exasol will concentrate its GTM focus even more to on-premise and hybrid customers

Market research shows that the on-premise market continues to be a multi-billion dollar market growing in single digit rates

The $\sim \$ 3$ bn on-prem serviceable obtainable market (SOM) is sizeable enough to sustain growth; success relies on ability to win market share

INDICATIVE

Key customer archetype is an on-premise customer in regulated industries. Strategy also targets cloud smart customer looking to optimize their tech stack

Financial calendar

Erasol

Thank you!