TeamViewer AG — Investor Presentation 2020

Jan 13, 2020

Anyone. Anything. Anywhere. Anytime.

Commerzbank German Investment Seminar 2020

January 13, 2020 - New York

Important Notice

This presentation as well as any information communicated in connection therewith (the "Presentation") contains information regarding TeamViewer AG (the "Company") and its subsidiaries (the Company, together with its subsidiaries, "TeamViewer"). It is being provided for informational purposes only and should not be relied on for any purpose and may not be redistributed, reproduced, published, or passed on to any other person or used in whole or in part for any other purpose.

Certain statements in this presentation may constitute forward looking statements. These statements are based on assumptions that are believed to be reasonable at the time they are made, and are subject to significant risks and uncertainties, including, but not limited to, those risks and uncertainties described in TeamViewer's disclosures. You should not rely on these forward-looking statements as predictions of future events and we undertake no obligation to update or revise these statements. Our actual results may differ materially and adversely from any forward-looking statements discussed in these statements due to several factors, including without limitation, risks from macroeconomic developments, external fraud, lack of innovation capabilities, inadequate data security and changes in competition levels.

This presentation may include supplemental financial measures-not clearly defined in the applicable financial reporting framework-that are or may be alternative performance measures (non-IFRS measures). TeamViewer's financial position, financial performance and cash flows should not be assessed solely based on these alternative supplemental financial measures. Under no circumstances do they replace the performance indicators presented in the consolidated financial statements and calculated in accordance with the applicable financial reporting framework. The calculation by other companies that report or describe similarly titled alternative performance measures may vary despite the use of the same or similar terminology.

The Company undertakes no obligation, and does not expect to publicly update, or publicly revise, any forward-looking statement, whether as a result of new information, future events or otherwise. All subsequent written and oral forwardlooking statements attributable to it or to persons acting on its behalf are expressly qualified in their entirety by the cautionary statements referred to above and contained elsewhere in this Presentation.

1 Introduction To TeamViewer

At A Glance

• Cash conversion >90% (7)

1. A device which reported any activity type within 12 month

2. LTM Q3 2019; Net revenue retention rate = 1 - net value churn (gross value churn - expansion); gross value churn as billings lost from customers that had an invoice in LTM-1 but not in LTM 3. 9M 2019

3. 1. Preliminary figure as of 13 January 2020, subject to audit
4. 1. 9M 2019; Gross profit margin excluding D&A and non-recurring COGS

5. FY 2018; CLTV, the expected customer lifetime value, defined as (annual recurring billings (ARB) per customer * gross margin) / gross value churn; CAC, the customer acquisition cost, defined as sales & marketing costs / # new customers

6. Cash Conversion defined as Pre-tax FCF / Cash EBITDA; Pre-tax FCF defined as Cash EBITDA less capital expenditure and adjusted for change in net working capital

We Have An Experienced And Highly Motivated Team To Deliver 1

2 Strategy We Deliver Business Connectivity Across The Enterprise

Remote Connectivity Has Become Business Critical 2 Strategy

DIGITAL TRANSFORMATION

Digital transformation market size by 2023

IOT & AI

€186bn

Total IoT endpoint hardware spending

FUTURE OF WORK

Employees globally work outside main office headquarters at least 2.5 days a week

ROBOTICS & AUTOMATION

Worldwide spending on robotics systems & drones in 2022

DEVICE & APPLICATION PROLIFERATION

24

Average number of devices and connections per household in North America by 2022

CARBON FOOTPRINT REDUCTION

EU's target to reduce greenhouse gas emissions by 2030 compared to 1990

Anyone Anything Anywhere Anytime

Source: Company information based on third-party market study and publicly available information, Cisco VNI, IDC, IWG, MarketsandMarkets

2 Strategy TeamViewer Enables To Connect, Manage And Interact In Any Way

2 Strategy Our Offering Is Highly Valued By Our Users And Customers

Source: Company information based on third-party market study and B2B customer survey

Note: B2B customer survey with ~1,200 participants (across key markets: US, Brazil, Germany, UK, Spain, Australia, China, India) as of May 2019

1. Based on n=527 participants for TeamViewer

2 Strategy We Operate On A Modular And Highly Scalable Technology Stack …

1. Illustrative only, Monitis is running on a different technology stack

2. Referring to remote connection networks

3. As defined by Federal Association of IT Experts and Reviewers, with 5-stars being the highest possible

4. June 2019 YTD

2 Strategy … With A Large & Growing Installed Base With Potential For Future Conversion (1)

Source: Company information based on third-party market study

• 1. Latest available figures unless otherwise stated
• 1. On average a single added device that established a connection once (outreaching) results in 4 more devices installing TeamViewer software as of April 2019
• 1. A device which reported any activity type within 12 months as of December 2018
• 1. Preliminary figure as of 13 January 2020, subject to audit

2 Strategy The Broad Array Of Use Cases Across All Three Categories Comprised A €10 Billion TAM Already In 2018

Source: Company information based on third-party market study

1. Current distribution of use cases deployed by TeamViewer users; n=506 with total number of use cases deployed of 2,054

2 Strategy We Have A Clear Strategy To Penetrate Our TAM: Tangible Growth Initiatives Along Three Dimensions

3 100+ Use Cases In Just Over 14 Years, We Developed From A Local Single-Use Application…

1. Billings generated in ~180 countries

2. Devices with at least one successful incoming / outgoing connection in the last year

3 100+ Use Cases …Into A Global Open Connectivity Platform Delivering Significant Business Value Across A Multitude Of Use Cases

Creating Significant Value For Our Customers 3 100+ Use Cases

Our Platform Is Flexible To Support Customers With Highest Expectations Across A Wide Array Of Industries 3 100+ Use Cases

Fast, remote technical support provided through TeamViewer cuts time per support case by 20%

MediTouch offers patients secure, at home physical therapy sessions with TeamViewer

Medical diagnoses for astronauts in space with excellent image quality and instant response times

Powering A Global IT Helpdesk

100+ Use Cases

• Solution for centralised internal IT support

• Scalable architecture and highest security standards

• Open platform enables support of customers

• Manufacturer with locations in 7 countries

"Unlike before, we now enjoy stable connections every time, which has allowed us to cut the support cost by 20 percent"

with TeamViewer. The software lets us handle support cases efficiently"

TeamViewer Solution

Customer Situation

Challenge

• Need for reliable, safe, and cost-effective IT support from centralised IT helpdesk for all countries
• International expansion requires a scalable solution

• Occasional external customer support provided by an internal helpdesk

Source: Company information

"With TeamViewer, we feel wellequipped to handle further growth, including on the IT support side"

Centralising Digital Signage Management 3 100+ Use Cases

• Single platform for Philips clients to manage their professional signage screens worldwide

• Pre-installed on many screens by default
• Philips needs solution for its customers to access commercial screens
• Screens used for wide array of applications
• Signage screens distributed worldwide, partially in limited bandwidth locations
• 24/7 access needs to be ensured in all locations

"We have embedded […] TeamViewer in all our signage screens"

Solution

Customer Situation

Challenge

"You have total control of what is happening [on the screen] everywhere in the network globally."

"We can change picture content anywhere across the globe"

Enabling Smart Agriculture & Farming 3 100+ Use Cases

Revolutionising agriculture through monitoring, control, and technical support

TeamViewer Solution Customer Situation • Pre-installed on Trimble devices for remote fleet management and monitoring from factory • Broad remote management capabilities for farmers • Agricultural equipment geographically dispersed, oftentimes in remote regions • Functioning equipment is business critical

Challenge

""We were really ecstatic when we found out that Trimble had partnered with TV […] We were just able to log in remotely"

• Smart farming equipment increasingly complex requiring frequent technical support

"With TeamViewer customers did not have to explain what they are seeing [on their equipment]"

• Increasing data intensity of smart farming methods

Source: Company information

"He logged in from Ottawa which is a 1.5

Powering Remote Physical Therapy 3

100+ Use Cases

"We needed to be able to see the patients and adjust the rehabilitation in real time"

"After we did a trial with TeamViewer we realised it fits our exact needs"

Source: Company information

1. LTM Q3 2019; Net revenue retention rate = 1 - net value churn (gross value churn - expansion); gross value churn as billings lost from customers that had an invoice in LTM-1 but not in LTM

2. Preliminary figure as of 13 January 2020, subject to audit

3. 9M 2019; Gross profit margin excluding D&A and non-recurring COGS

4. 9M 2019

5. FY 2018; CLTV, the expected customer lifetime value, defined as (annual recurring billings (ARB) per customer * gross margin) / gross value churn; CAC, the customer acquisition cost, defined as sales & marketing costs / # new customers

Highly Efficient Customer Acquisition Resulting In Outstanding Unit Economics 4 Financials And Outlook

Note: Figures as of 2018A

1. Billings from incremental Up-sells to higher value products + Cross-sales of add-ons / additional products to existing subscribers

Strong Growth Track Record Now Accelerating After Shift To Subscription 4 Financials And Outlook

Billings (€m)

Billings Ahead Of 2019 Guidance 4 Financials And Outlook

1. Preliminary figure as of 13 January 2020, subject to audit

2. Preliminary figure as of 13 January 2020, subject to audit

APAC +40%

Continuous Growth in Enterprise Segment 4

Financials And Outlook

Customers With ACV (1)Above €10k (any product)

Top 3 Deals in Q4 2019

• 1) Retail: €215k (Upsell)
• 2) Software & Services: €120k (Upsell)

• 3) Industrial Machinery: €120k (New License)

• ACV: Annual Contract Value

• Preliminary figure as of 13 January 2020, subject to audit

Billings to FCF Bridge (9M 2019)

1. G&A includes other income, other expenses and bad debt expenses

2. NAL capex (€1,3) not yet included

3. Cash Conversion defined as Pre-tax FCF / Cash EBITDA; Pre-tax FCF defined as Cash EBITDA less capital expenditure and adjusted for change in net working capital

Billings To Cash EBITDA Bridge

1. Includes other expense / income and impairment allowance

2. Based on preliminary billings figure as of 13 January 2020, subject to audit

3. Based on the mid-point of the FY2019 guidance, i.e. €180m Cash EBITDA FY2019

Cash EBITDA is expected in the mid range of 2019 guidance 4 Financials And

1. Based on the mid-point of the FY2019 guidance, i.e. €180m Cash EBITDA FY2019

2. Based on preliminary billings figure as of 13 January 2020, subject to audit

Outlook

			FY 2018	FY 2019 Guidance	FY 2019 Preliminary Figures
s g n Billi	Billings		€230m	€310 – 320m	€325m(1)
	% Y-o-y Growth		+25%	35 – 39% growth	41% growth(1)
	Renewal (Net Retention)		Over 100%	Marginally above 100%
	Revenue		€258	€386 – 391m	Will be published with TeamViewer's full year results 2019 (unaudited) on February 10, 2020
	Cash EBITDA		€121m	€177– 183m

1. Preliminary figure as of 13 January 2020, subject to audit

Financial Calendar 2020

January 21	Frankfurt, German Corporate Conference, (IR only)
	UniCredit & Kepler Cheuvreux, 21-22 January 2020
February 10	Preliminary Full-Year 2019 Results (unaudited)
February 11	San Francisco, Technology and Internet Conference, Goldman Sachs, (11-12 February 2020)
March 26	Annual Report 2019
May 12	Q1 2020 Quarterly Statement
May 29	Annual General Meeting, Stuttgart

Investor Relations Contact Carsten Keller Head of IR & Capital Markets carsten.keller@teamviewer.com +49 151 1941 7780