1 ©2015. cyren ltd. all rights reserved. proprietary and confidential. ©2015. cyren ltd. all...
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1©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential. This document and the contents therein are the sole property of CYREN and may not be transmitted or reproduced without CYREN’s express written permission.
INVESTOR PRESENTATION
May 2015NASDAQ: CYRN
2©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
Safe Harbor and Forward Looking Statements
This presentation contains forward-looking statements, including projections about our business, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. For example, statements in the future tense, and statements including words such as "expect," "plan," "estimate," "anticipate," or "believe" are forward-looking statements. These statements are based on information available to us at the time of the presentation; we assume no obligation to update any of them. The statements in this presentation are not guarantees of future performance and actual results could differ materially from our current expectations as a result of numerous factors, including business conditions and growth or deterioration in the Internet market, commerce and the general economy, both domestic as well as international; fewer than expected new-partner relationships; competitive factors, including pricing pressures; technological developments, and products offered by competitors; the ability of our OEM partners to successfully penetrate markets with products integrated with CYREN technology; a slower than expected acceptance rate for our newer product offerings; availability of qualified staff; and technological difficulties and resource constraints encountered in developing new products, as well as those risks described in the text of this presentation and the company's Annual Reports on Form 20-F and reports on Form 6-K and prospectus supplement dated May 15, 2015 and prospectus dated July 3, 2014 filed pursuant to Rule 424(b)(2), which are available through www.sec.gov.
© 2015 CYREN. All rights reserved. CYREN, Recurrent Pattern Detection, RPD, Zero-Hour and GlobalView are trademarks, and Authentium, Command Antivirus and Command AntiMalware are registered trademarks of CYREN. U.S. Patent No. 6,330,590 is owned by CYREN. All other marks are the property of their respective companies.
3©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
The Best Security Data Enables the Best Protection
CYREN is leveraging its unique position as a proven, trusted provider of cyber intelligence to deliver the industry’s best security.
4©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
CYREN Snapshot
U.S. Headquarters / / Offices in Europe, Middle East and APAC
190 employees
Worldwide direct sales and channel distribution
19 data centers worldwide / / fault-tolerant network
24x7x365 support
GlobalView™ Cloud Platform processing 17 billion transactions per day from 600+ million endpoints
200+ global partners in 190 countries
Company Facts Financials
Representative Global Partners
2014 revenue $31.9M (GAAP)
9-year revenue CAGR 29%
100% recurring SaaS revenues
2014 customers have generated $169.9M in lifetime revenue value
$8.5M cash on balance sheet
5©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
The CYREN Cloud by the Numbers
6©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
APPLICATIONPolicy, Enforcement, Logging, Alerting, Reporting
ANALYSISRPD, Heuristics, Signature, Human, etc.
THREAT DATA17 BILLION transactions per day
ENDPOINTS500 THOUSAND points of presence, protecting 600 MILLION users
SECURITYApplied
Cyber Intelligence
INSIGHTCyber Intelligence
Pre-Compromise Compromise Post-Compromise
Reconnaissance Weaponization Delivery Exploitation Installation Command & Control
Actions on Target
Helping Enterprises Disruptthe Cyber Kill Chain
CYREN Delivers Applied Cyber Intelligence
7©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
CYREN WebSecurity
CYREN WebSecurity for Public WiFi
CYREN EmailSecurity
CYREN Cyber Threat Protection
Cyber Intelligence Suite
Malicious IP Intelligence Feed
Malware Intelligence Feed
Phishing Intelligence Feed
Malware Attack Detection
AntiMalware
URL Filtering
Mobile Security
IP Reputation
AntiSpam
Outbound AntiSpam
Malware Attack Detection
Email Security Suite
CYREN Product Portfolio
8©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
CYREN Cloud Platform Solutions
Global threat analysis, behavioral, and dynamic reputation scoring is only available via the Cloud.
Cloud-driven security solution using full content inspection, including SSL traffic, to better protect employees from rapidly evolving cyber threats
Cyber security solutions responsive to advanced malware and other cyber attacks that routinely bypass conventional signature-based defenses
Our Security Cloud arms organizations with the intelligence needed to prevent and handle breaches.
CyberThreat Protection
9©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential. © 2014 CYREN Confidential and Proprietary 9
From multiple appliances by multiple vendors at every gateway
To a global Cloud security platform from the industry leader
Load Balancer
Edge FirewallServer–Side SSL Tunnel
Aggregation firewall
Client - side SSL tunnel
Sandbox SSLWeb Filter
Logfiles
Flow Management Content Inspection
SSLSSL
SSL
PAC File
SSL
SSL
We Are Disrupting Web Security Today
10©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential. © 2014 CYREN Confidential and Proprietary 10
Mobile App
Consumer Cloud
Private Cloud
Blocking Threats Enforcing Business Policy
Cloud AppPublic Cloud
Analyzing Web Traffic Applying Cyber Intelligence
BotExploits APT
Malware
Roaming HomeProduction Industrial Internet of
Things
Branch MobileHQ Remote Office
Protection for Every Business or Technology Model
11©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
Cloud security is already large/high growth and will eventually consume the entire security category
Cloud Security
$14B TAM20% CAGR
Traditional Security
$35B TAM
Market Opportunity and Comps
12©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
Revenue Breakdown
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
$3.9
$7.2
$11.3
$14.1$15.2
$18.2
$23.0$23.9
$32.2 $31.9
2005-2014 CAGR: 29%
2014 Revenue By Contract Sign Date($ in millions - GAAP)
2014 customers have delivered $169.9M in lifetime revenue
13©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
Balance Sheet Item March 31, 2015 March 31, 2014
Cash $8,489 $2,327
Current Assets $14,044 $10,079
Credit Line $4,543 $4,297
Deferred Revenue $4,387 $6,346
Current Liabilities $13,645 $15,043
Shareholder’s Equity $27,960 $26,797
Shares Outstanding 31,398 26,519
All numbers in thousands (000s)
Balance Sheet Review
14©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
Moving Upstream in the Cybersecurity Value Chain
Embedded SDK SolutionsASP $0.25 - $1.00 / user / year
Embedded SDK SolutionsASP $0.25 - $1.00 / user / year
Leverages all technology, data analytics and applied cyber intelligence assets to largest enterprise customer markets
Positions CYREN toward the top of the security value chain Customer economics up to 100X greater than embedded OEM model
Data subscription model produces 100% recurring revenue stream Embedded global OEM partners deliver stable revenue base and valuable data High customer stickiness; average customer contract length > 6 years
Cyber Intelligence Suite ASP $1.00 - $5.00 / user / year
Cyber Intelligence Suite ASP $1.00 - $5.00 / user / year
CYREN WebSecurity ASP $10.00 - $30.00 / user / year
CYREN WebSecurity ASP $10.00 - $30.00 / user / year
CWS + Cybersecurity ASP $20.00 - $60.00 / user / year
CWS + Cybersecurity ASP $20.00 - $60.00 / user / year
TAM $200M+
TAM $1B+
TAM $10B+
TAM $30B+
Cyber intelligence solutions leverage high value OEM security data Intelligence feeds/analytics expand addressable market into enterprise
CWS offers pure play SaaS solution model to enterprise customers Includes all benefits of embedded SDKs plus cyber intelligence solutions Customer economics 20-50X higher than embedded OEM model
15©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2015. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.
ENDPOINTS500 Thousand global points of presence,
protecting 600 Million users
DATA17 Billion
transactions per day
ANALYSISRecurrent Pattern
Detection, Sandbox Array, Heuristics,
Signature, Human
APPLICATIONPolicy, Enforcement,
Alerting, Logging, Reporting
OUR Cloud Platform
OUR Real-Time CYBER Intelligence
OUR Security Analytics
OUR Detection Engines
Why CYREN?