SoundThinking : Investor Presentation - November

Investor Presentation

November 2023

DISCLAIMER

Cautionary Note Regarding Forward-Looking Statements

This presentation contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to statements regarding the company's business plans, international expansion, expectations regarding future sales and expenses, our ability to capitalize on market opportunities, the ability to achieve near and long-term growth and profitability estimates, anticipated timing and volume of customer contract renewals, and revenue and GAAP profitability. Words such as "expect," "anticipate," "should," "believe," "target," "project," "goals," "estimate," "potential," "predict," "may," "will," "could," "intend," variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, many of which involve factors or circumstances that are beyond the company's control. The company's actual results could differ materially from those stated or implied in forward-looking statements due to a number of factors, including but not limited to: the company's ability to successfully negotiate and execute contracts with new and existing customers in a timely manner, if at all, the

company's ability to address the business and other impacts and uncertainties associated with the COVID-19 pandemic, maintain and increase sales; the availability of funding for the

company's customers to purchase the company's solutions; the complexity, expense and time associated with contracting with government entities; the company's ability to maintain and expand coverage of existing public safety customer accounts and further penetrate the public safety market; the company's ability to sell its solutions into international and other new markets; the lengthy sales cycle for the company's solutions; changes in federal funding available to support local law enforcement; the company's ability to deploy and deliver its solutions; and the company's ability to maintain and enhance its brand, as well as other risk factors included in the company's most recent annual report on quarterly report on Form 10-Q and other SEC filings. These forward-looking statements are made as of the date of this presentation and are based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. Except as required by law, the company undertakes no duty or obligation to update any forward-looking statements contained in this presentation as a result of new information, future events or changes in its expectations.

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Investment Highlights

Leading integrated SaaS platform for precision policing and data solutions

Proprietary, widely adopted gunshot detection technology

Loyal customer base with minimum churn and down-sell

Massive and underpenetrated opportunity with multiple growth levers

Consistent growth with strong and improving margins

Seasoned operators with a track record of exceptional performance

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By the Numbers

$2.5bn+

Smart Policing

TAM

124%

Net Revenue

Retention Rate3

>250

Paying Customers

$81mm

2022 Revenue1

99%

Gross Retention

Rate4

~1,100mi2

Coverage Area6

~23%

2021A-2025E

Revenue CAGR2

$0.40

Of S&M Spend to

Generate $1 of ACV5

1.3bn

Data Records

(CrimeTracer)

20%

2022 Adj. EBITDA

Margin1

64

NPS Score

34

Patents

Note: Except as otherwise noted, data is as of September 30, 2022

1 Actual 2 Includes the acquisition impact from Forensic Logic; 3 As of December 31, 2022; Based on revenue; Calculated as dividing the (a) total revenues for such year from

those customers who were customers during the corresponding prior year by (b) the total revenues from all customers in the corresponding prior year; 4 Excludes downsell; 5

4

Reflects S&M expense per $1 of new Annualized Contract Value as of December 31, 2022. Calculated as total S&M expense during the year / the first 12 months of contract value for contracts entered into during the same year; 6 Includes all product lines

TIMELINE

Corporate Timeline

				Acquires
			Further Expands	HunchLab
	Transitions to		into Chicago	AI-base Predictive
			Policing Solution
	Cloud-Based	NYPD Adopts	Initial Public
	(Now
SoundThinking	SaaS Model	ShotSpotter	Offering	ResourceRouter)
Founded	Transitions to Recurring		at $11.00 per
		share
	Revenue Model and
	Creation of Incident
	Review Center

			Acquires
			SafePointe
		Acquires	Intelligent Weapons
		Forensic Logic
		Detection Solution
	Expands	Crime Analytics
	Beyond Law	Platform
Acquires Leeds	(now CrimeTracer)
Enforcement
Investigative Case
Management Solution
(Now CaseBuilder)

Land &

Expand

International

Expansion

New

Products

Tuck-in M&A

1996	2010	2015	2017	2018	2020	2021	2022	2023	Future
		Leader in Outdoor Gunshot Detection		Multi-Product Adoption		Becoming the Precision Policing Platform
		Revenue ($mm)		$12	$24	$35	$46	$58	$81	$92-94E
											5

The Public Safety Gap

1

Increasing Need for Law

Enforcement with Rising Crime Rate

Gun-related Violence Spiked in

Recent Years1,2

2

Rise of customer

Police Departments Nationwide

experienceFacing Staff Shortages3

management

18%

3

Government Focuses

on "Refunding the Police"

Continuous Increase in Government

Spending on Police Protection4

20,951 deaths

13,570 deaths

20152021

Increase in Resignation

45%

Increase in Retirement

$123bn

$105bn

2015

2019

16 of 23

Major US Cities

Increased FY22

Police Budgets

$30bn

Federal Resource

Dedicated to Law

Enforcement5

"Murders in the U.S. rose nearly 30% in 2020 from the prior year and remained at elevated levels in 2021. About 8 in 10 murders were

committed with guns in 2020."

86%

Police Departments Reported

Staffing Shortage

"As violent crime surges ahead…[officials]

are toughening their talk on crime, and refunding the police."

Structural Tailwinds Creating a Need for Technology in Order to Do More with Less

Source: Public news, The White House briefing, Urban Institute, US Census Bureau
1 Reflects data from 67 out of 70 police agencies of select major cities in 2019, and 70 out of 70 for 2020 and 2021; 2 Includes homicides, murders, unintentional shooting, and	6
defensive use deaths; 3 PERF Special Report. Surveys from 194 police national agencies; 4 Reflects total state and local government spending on police protection; 5 Figure

represents President Biden's proposal for new mandatory resources to support law enforcement and crime prevention

MARKET OVERVIEW

Smart Policing TAM Opportunity

Stage

(Market Size)

InvestigativePolicing

AnalyticsWorkforce

Management

					Digital	Adjacencies
					Evidence		($15bn) 3
					Management
			Current Solutions				Records
				Surveillance	Management
			($2.5bn) 2			System
	Pre-Acquisitions
	($1.5bn)1					Court Management
1
Gunshot Detection	2
	Patrol Management, Data &		3
	Analytics and Investigative Tools	Law Enforcement
					Software

Source: Gartner, The Urban Institute and public investor presentations

1. Includes domestic opportunities in security, police departments, domestic commercial, and international opportunities
2. As presented in the June 2022 investor presentation
3. Reflects estimated TAM based on other public sector focused peers
4. Reflects 2019 total state and local government spending on police protection

Total Law Enforcement

Spending

4

Broader Universe

($100bn) 4

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MARKET OVERVIEW

Weapons Detection TAM Opportunity

Sports Arenas	Tourist and Cultural Institutions
Performing Arts Venues
Hospitals
Government Buildings

Office Buildings

Schools

Hospitality/Casinos

$20B-$26B

Worldwide TAMWarehouses/Mfg >100 ee

w/400k Potential Sites

Source: Range across financial analyst and SafePointe Estimates

Schools

Broader Universe

Warehouses/Mfg >100 ee

($100bn) 4

Hospitality/Casinos

Office Buildings

Government Buildings

Hospitals

Performing Arts Venues

Tourist and Cultural Institutions

Sports Arenas

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Introducing the SafetySmart™ Platform

The SafetySmart Platform™ brings together specialized software solutions and objective data to help law enforcement, civic leadership, and private entities better protect their communities by ensuring the right

resources are provided when and where they're needed most.

Tackling the challenges facing

Law Enforcement Today

Across the country, law enforcement agencies are being pushed to their limit in the face of high crime levels and staffing shortages. Agencies need to be evidence- based and proactive, all while putting the

community's needs front and center.

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The SafetySmart™ Platform

ShotSpotter

ResourceRouter

Casebuilder

CrimeTracer

Proven Gunshot Detection

Community-First Patrol Mgmt.

Case Investigative Tools

Law Enforcement Platform

Weapons Detection Platform

▪

Increases police response

▪

Proactive patrol management

▪

Collaboration tools

▪

Industry's leading search

▪

Low-friction screening sensors

speed to gun crime scenes

▪

Controls / limits over-policing

▪

Links analysis connect people,

engine for law enforcement

▪

AI-based learning software

▪

Improves evidence recovery

▪

Mitigates implicit bias

place and property

▪

1.3bn+ law enforcement

detects guns, explosives and

▪

Saves lives

▪

Identifies cases needing

records

tactical knives

attention

▪

Accelerates investigations

▪

Cost advantage in market

%ARR 2022:

%ARR 2025E:

%ARR 2022:

%ARR 2025E:

%ARR 2022:

%ARR 2025E:

%ARR 2022:

%ARR 2025E:

%ARR 2025E:

76%

58%

1%

2%

13%

17%

10%

8%

15%

Cities / Local Law Enforcement

Federal, State, and Local Law Enforcement

Private Sector

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