marketing strategy & cm update · (in thousands) 2015 2016 2017 1h 2017 1h 2018 gaap operating...
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INVESTOR PRESENTATIONSeptember 2018
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This presentation contains forward-looking statements. All statements other than statements of historical fact contained in this presentation are forward-looking statements. In some cases, you can identify
forward-looking statements by terminology such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negative of these terms or other
comparable terminology. These statements are only current predictions and are subject to known and unknown risks, uncertainties and other factors that may cause our or our industry’s actual results, levels
of activity, performance or achievements to be materially different from those anticipated by the forward-looking statements. Although we believe that the expectations reflected in the forward-looking
statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Except as required by law, we are under no duty to update or revise any of the forward-looking
statements, whether as a result of new information, future events or otherwise, after the date of this presentation.
In addition to U.S. GAAP financials, this presentation includes certain non-GAAP financial measures. These non-GAAP financial measures are in addition to, and not a substitute for or superior to, measures
of financial performance prepared in accordance with U.S. GAAP.
This presentation contains statistical data that we obtained from industry publications and reports generated by third parties. Although we believe that the publications and reports are reliable, we have not
independently verified this statistical data.
The trademarks included herein are the property of the owners thereof and are used for reference purposes only. Such use should not be construed as an endorsement of the products or services of the
Company or this offering.
This document may not be retained, reproduced or distributed, in whole or in part, by any means (including electronic) without the prior written consent of CyberArk Software Ltd.
This document will not be left behind after this presentation, and by accepting this document and attending the presentation, you agree to be bound by the foregoing limitations.
DISCLAIMER
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INVESTMENT
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Innovative
technology that
breaks the cycle
of cyber attacks
Pioneer and
leader in
privileged
account security
Loyal blue-chip
global customer
base with large
upsell opportunity
Strong revenue
growth and track
record of
sustainable
profitability
Differentiated
platform that is
adding a critical
layer of security
PROVEN RECORD OF GROWTH & PROFITABILITY
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41%5 Year CAGR
• 4,000+ global customers
• More than 50% of Fortune 100
• More than 30% of Global 2000
$47$66
$103
$161
$217
$262
$8 $9$22
$44$58 $52
2012 2013 2014 2015 2016 2017
Revenue
1See appendix for Non-GAAP reconciliation
Non-GAAP Operating Income1
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PRIVILEGED ACCOUNTS - “KEYS TO THE IT KINGDOM”
Provides Proactive
Protection and Detection
MALICIOUS INSIDERSEXTERNAL ATTACKERS
PRIVILEGED ACCOUNTS“Keys to the IT Kingdom”
CYBERARK’S MISSION
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HEART OF THE ENTERPRISEfrom advanced cyber threats
Provide a critical layer of security to protect the
THE ATTACK SURFACE CONTINUES TO GROW
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CYBERARK BREAKS THE ATTACK CHAIN
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CYBERARK’S PRIVILEGED ACCESS SECURITY SOLUTION
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MULTIPLE DRIVERS FOR LONG-TERM GROWTH
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TRUSTED BY CUSTOMERS WORLDWIDE
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4,000+ Global Customers
More than 50% of Fortune 100
More than 30% of Global 2000
Analytics
ICS
Authentication
Identity & Access
Management
Detection
ITSM
DevOps
Orchestration
& Response
Discovery
Robotic
Process
Automation
Governance
SIEM
HSM
Vulnerability
Management
CPM Plug-ins PSM Plug-ins
100+ Certified Joint Solutions 200+ Plug-ins
C3 ALLIANCE
80+ Certified Partners
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FINANCIAL OVERVIEW
TRACK RECORD OF STRONG GROWTH
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$100$132
$148
$63$79
$61
$85
$114
$53
$70
$161
$217
$262
$116
$149
2015 2016 2017 6 Months 2017 6 Months 2018
Maint. / PS
License
($mm) 21%GROWTH
56%GROWTH
GROWTH
35%
28%GROWTH
GLOBAL BUSINESS ACROSS DIVERSE INDUSTRIES
Americas
EMEA
APJ
62%
31%
7%
Geographies
FY2017
5%
4%9%
Verticals
FY2017
Bookings by VerticalRevenue by Geography
29%
10%
10%9%
7%
7%
4
4%
4%
4%4%
8%
Banking
Government
Manufacturing
Insurance
Energy
Health
Transportation & Travel
Retail
IT Services
Telecom
Professional Services
Other
LAND AND EXPAND MODEL BUILDS PREDICTABILITY
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NEW
Customers
EXISTING
Customers
1 Includes both license and maintenance & professional services
Customer cohorts by bookings1:
PROFITABLE WHILE INVESTING FOR GROWTH
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$44
$58$52
$22$30
2015 2016 2017 6 Months 2017 6 Months 2018
Non-GAAP Operating Income1 and Margins
1 See appendix for Non-GAAP reconciliation
($mm)
20%27%
27%
20%
18%
HISTORY OF STRONG CASH FLOW
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$59 $56
$81
$30
$56
2015 2016 2017 6M 2017 6M 2018
Operating Cash Flow and Margins
25%
($mm)
$54
$74
$105
$83
$130
2015 2016 2017 Jun-17 Jun-18
Total Deferred Revenue
($mm)
37%
43%GROWTH
31%
26%
35%GROWTH
38%
56%GROWTH
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NASDAQ: CYBRwww.cyberark.com
GAAP TO NON-GAAP RECONCILIATION
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(in thousands) 2015 2016 2017 1H 2017 1H 2018
GAAP operating income to Non-GAAP operating income:
Operating Income $33,222 $35,956 $20,326 $7,008 $10,992
Public offering related expenses 1,568 - - - -
Share-based compensation 7,049 17,535 25,237 11,441 15,336
Acquisition related costs &
amortization of acquired intangibles1,802 4,523 5,945 3,056 3,339
Facility exit costs - - 342 -- --
Non-GAAP operating income $43,641 $58,014 $51,850 $21,505 $29,667
GAAP net income to Non-GAAP net income:
Net Income $25,794 $28,124 $16,015 $10,782 $14,798
Public offering related expenses 1,568 - - - -
Share-based compensation 7,049 17,535 25,237 11,441 15,336
Acquisition related costs &
amortization of acquired intangibles1,802 4,523 5,945 3,056 3,339
Facility exit costs - - 342 - --
Non-GAAP tax adjustments (951) (4,937) (5,644) (7,289) (8,193)
Non-GAAP net income $35,262 $45,245 $41,895 $17,990 $25,280