Radware Ltd. · NASDAQ:RDWR
Radware — Investor Presentation (July 2021)
28 slides from Radware's investor presentation, July 2021
Slide 1: Investor Presentation
Investor Presentation July 2021 1
Slide 2: Safe Harbor
SAFE HARBOR This presentation includes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements made herein that are not statements of historical fact, including statements about Radware’s plans, outlook, beliefs or opinions, are forward
Slide 3: Radware in a Snapshot
Radware in a Snapshot $250M ~1,100 ~12,500 ~40 $50M Revenue Employees* Customers Countries Cash of Operations** * As of June 30, 2021 3 ** For 12 months period ending June 30, 2021
Slide 4: We Secure Digital Experiences
We Secure Digital Experiences All The Time. Everywhere. Making applications Keeping data Protecting AVAILABLE CONFIDENTIAL CLOUD TRANSITION DDoS ADC Web App Bot Global Elastic Cloud Workload Protection Multi-Cloud Firewall Manager License Protection 4
Slide 5: Radware's Evolution
Radware’s Evolution Cloud & Subscription Offering AppSec InfraSec ADC 5
Slide 6: Need for Holistic Security Protection
Need for HOLISTIC Security Protection Protect Secure Infra & Apps Cloud Environments L3-7 DDOS PUBLICLY EXPOSED ASSETS WEB APP ATTACKS MISCONFIGURATIONS BAD BOTS PRIVILEGE ESCALATION API ABUSE CREDENTIAL ABUSE PROTECT YOUR INFRA & APPS ACROSS MULTI ENVIRONMENTS 6
Slide 7: The Radware Competitive Differentiators
The Radware Competitive Differentiators LEADING END TO END COMPLETE FLEXIBLE ALGORITHMS SECURITY PROTECTION DEPLOYMENT Behavioral and Provide Broad End to Develops the Multiple deployment machine-learning End Real Time Technology, Provide options including technologies Block in Application Protectio
Slide 8: Investment Highlights
Investment Highlights Major Market A Leader in Strong Customer Fast Growing Opportunities Cybersecurity Base & Subscription Partnerships Business 8
Slide 9: Investment Highlights
Investment Highlights Major Market A Leader in Strong Customer Fast Growing Opportunities Cybersecurity Base & Subscription Partnerships Business 9
Slide 10: Major Market Opportunity
Major Market Opportunity ORGANIZATIONS’ ATTACK SURFACE INCREASES DUE TO CHANGING ECONOMY WORKING CLOUD FROM HOME MIGRATION ONLINE CONSUMPTION OF GOODS 10
Slide 11: Our Markets are Growing Fast
Our Markets are Growing Fast TOTAL ADDRESSABLE MARKET: $6.4B (FY2020) DDoS WAF BOT ADC PROTECTION MANAGEMENT MARKET SIZE(1) MARKET SIZE(2) MARKET SIZE(3) MARKET SIZE (4) $1.75B $1.04B $362M $3.2B Total Market CAGR(1): 16.0% Total Market CAGR(2): 8.6% CAGR(3): 36.7% Total Market CAGR(4): 7.8% Product
Slide 12: Investment Highlights
Investment Highlights Major Market A Leader in Strong Customer Fast Growing Opportunities Cybersecurity Base & Subscription Partnerships Business 12
Slide 13: Winning Industry Recognition
Winning Industry Recognition 2020 WAF WAVE API & HIGH SECURITY 2020 DDOS MITIGATION SOLUTION 2021 RANKED #1 STRONG PERFORMER LEADER 2020 CUSTOMER VALUE LEADERSHIP HOLISTIC WEB PROTECTION AWARD ‘Voice of the Customer’: Web KUBERNETES WAF Application Firewalls 2021 BOT MANAGEMENT, 2020 FEATURED FOR IN
Slide 14: Our Solutions Are Highly Effective
Our Solutions Are Highly Effective HIGH ATTACK VOLUMES ACROSS OUR CLOUD SERVICES INFRASTRUCTURE 7,132M 684M 2,090K Bad Bot Request Web Application DDoS Attacks Detected in Q2 Attack Transactions blocked in Q2 21 2021 blocked in Q2 21 +60% +132% +279% 14
Slide 15: Investment Highlights
Investment Highlights Major Market A Leader in Strong Customer Fast Growing Opportunities Cybersecurity Base & Subscription Partnerships Business 15
Slide 16: Strong Customer Base and Partnerships
Strong Customer Base and Partnerships DIVERSIFIED VERITCALS STRATEGIC PARTNERS HIGH SATISFACTION 15-20% 30-35% Radware DefensePro RANKED #1 BY CUSTOMERS 25-30% Radware WAF RANKED #2 BY CUSTOMERS 25-30% Radware CNP Radware Bot Manager AVG. 5-STAR REVIEWS 16
Slide 17: Leadership by Top Customers
Leadership by Top Customers 7 Of Top 12 8 Of Top 20 World’s Stock World’s Banks Exchanges 10 Of Top 10 3 Of Top 10 5 Of 10 World Telecom Cloud Service Providers Most Widely Used Companies SaaS Applications 17
Slide 18: Investment Highlights
Investment Highlights Major Market A Leader in Strong Customer Fast Growing Opportunities Cybersecurity Base & Subscription Partnerships Business 18
Slide 19: Fast Growing Subscriptions Business
Fast Growing Subscriptions Business Subscription as % of Total Bookings Subscription Revenue ($M) $65 $55 35% $42 >30% $30 >20% >15% $18 >10% 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 And More… 19
Slide 20: Growth Strategy
Growth Strategy 4 Expand our business Through ORGANIC GROWTH ACQUISITIONS 2 Cloud Services & Security Aggressive Investment in Portfolio & Market Share Move to Subscription/ARR 3 Market Footprint • OEM Partners Alliances • Global SIs 1 Data Center Cyber Security and • Cloud Providers Application Del
Slide 21: Financials
FINANCIALS 21
Slide 22: Q2 and H1 2021 Highlights
Q2 and H1 2021 Highlights $70M Record $136M 63% $177M Q2 H1 Recurring ARR* Revenue Revenue Revenue Q2 2021 total revenue increased 19% compared to Q2 2020 H1 2021 total revenue increased 15% compared to H1 2020 Strong performance across all geographies in H1 2021 Total ARR up 8% from Q2 2020 Q2 2021
Slide 23: Revenues Trends ($M)
Revenues Trends ($M) $136 $118 $70 $58 15% 19% 11% H1 2020 H1 2021 Q2 2020 Q2 2021 23
Slide 24: Revenues By Geographies ($M)
Revenues By Geographies ($M) $30 14% $26 $18 $45 32% 26% $36 $13 36% $24 $18 9% $57 $62 2% $27 $28 11% H1 2020 H1 2021 Q2 2020 Q2 2021 APAC EMEA Americas APAC EMEA Americas 24
Slide 25: EPS ($)
EPS ($) Good Leverage Model $0.19 $0.36 $0.26 $0.13 50% 35% H1 2020 H1 2021 Q2 2020 Q2 2021 25
Slide 26: Total Annual Recurring Revenue ($M)
Total Annual Recurring Revenue ($M) $177 $176 CAGR 9% $174 $169 $163 $160 $155 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 * ARR includes the annualized value of booked orders for term-based cloud services, subscription licenses and maintenance contracts that are in effect at the end 26
Slide 27: Cash Generation and Balance Sheet ($M)
Cash Generation and Balance Sheet ($M) $64 $440M $53 $49 $50 $61 $31 $121 $258 Cash and Equivalents Marketable Securities 2017 2018 2019 2020 LTM Deposits 27
Slide 28: Technical issues with adding a thank you slide to be fixed
Technical issues with adding a thank you slide to be fixed 28