SoundThinking, Inc. (NASDAQ:SSTI) Q1 2023 Results Conference Call May 9, 2023 4:30 PM ET Company Participants Ralph Clark - CEO Alan Stewart - CFO Conference Call Participants Brian Ruttenbur - Imperium Capital Richard Baldry - ROTH MKM Jeremy Hamblin - Craig-Hallum Jaeson Schmidt - Lake Street Willow Miller - William Blair & Company Operator Good afternoon, and welcome to SoundThinking's First Quarter 2023 Conference Call. My name is Ali, and I will be your operator for today's call. Joining us are SoundTh ...

Revenue Performance - For the three months ended March 31, 2023, the company generated revenues of $20.6 million, a decrease from $21.2 million in the same period of 2022, with ShotSpotter sales accounting for approximately 71% of total revenues[85]. - Revenues generated within the United States accounted for $20.2 million, or 98% of total revenues for the three months ended March 31, 2023[86]. - Revenues for Q1 2023 were $20.62 million, a decrease of 3% compared to $21.21 million in Q1 2022, primarily due to a $2.4 million decrease in monthly support contract revenues[123]. Customer and Market Insights - The two largest customers, the City of New York and the City of Chicago, represented 27% and 10% of total revenues for the three months ended March 31, 2023, respectively[85]. - The company had ShotSpotter coverage areas under contract for approximately 1,100 square miles, with 1,034 square miles having gone live as of March 31, 2023, covering over 155 cities and 19 campuses/sites[77]. - The net new "go-live" cities for the first quarter of 2023 were 6, down from 8 in the same period of 2022, indicating a decrease in operational performance[91]. Financial Performance - The company reported a net loss of $(1.8) million for the three months ended March 31, 2023, compared to a net income of $0.4 million in the same period of 2022[86]. - Net loss for Q1 2023 was $1.79 million, compared to a net income of $0.39 million in Q1 2022, marking a significant decline of 563%[123]. - Cash used in operating activities was $1.2 million in Q1 2023, compared to cash provided of $1.3 million in Q1 2022, primarily due to a $9.7 million decrease in deferred revenue[142]. Cost and Expenses - Cost of revenues increased by $1.0 million to $9.24 million in Q1 2023, driven by higher product and personnel costs[125]. - Operating expenses totaled $13.11 million in Q1 2023, an increase of 5% from $12.49 million in Q1 2022, with sales and marketing expenses rising by 5%[123]. - The company anticipates increased costs due to inflation, which may lead to budget shortfalls for customers and delays in contract approvals[101]. Strategic Initiatives - The company has focused on expanding its business through acquisitions, including LEEDS and Forensic Logic, to enhance its suite of solutions[79][80]. - The company plans to invest in research and development to enhance its software solutions and improve functionality, with a focus on data science modeling and user experience[113]. - The company aims to increase its international presence and expand coverage among existing customers, recognizing challenges in the lengthy sales cycle[87][89]. Cash and Financing - Cash and cash equivalents stood at $5.1 million, with accounts receivable of $22.4 million as of March 31, 2023, and an available loan facility of $25 million[131]. - A stock repurchase program was approved for up to $25.0 million, allowing for repurchases in open market transactions[137]. - During Q1 2023, the company repurchased 35,369 shares at an average price of $35.43, totaling approximately $1.3 million[138]. Acquisitions - The acquisition of Forensic Logic in January 2022 was for $31.6 million, including a contingent earnout of up to $20 million based on future revenues[135]. - The acquisition of LEEDS was completed for a total consideration of $21.6 million in cash and $2.0 million in stock, with a contingent earnout of $1.5 million paid in Q1 2023[136]. Market Risk - There were no material changes in market risk during Q1 2023 compared to the previous year[152].

& SOUNDTHINKING Cautionary Note Regarding Forward-Looking Statements Investment Highlights Loyal customer base with minimum churn and down-sell 3 | --- | --- | --- | --- | |------------------------------------|-----------------------------|---------------------------------------------|--------------------------------| | | | | | | $2.5bn+ Core TAM | $81mm 2022 Revenue 1 | ~23% 2021A-2025E Revenue CAGR 2 | 20% 2022 Adj. EBITDA Margin 1 | | 124% Net Revenue Retention Rate 3 | 99% Gross Retention Rate 4 | $0.40 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO Commission File Number 001-38107 ShotSpotter, Inc. (Exact Name of Registrant as Specified in its Charter) Delaware 47-0949915 (State or other jurisdiction of inco ...

Financial Data and Key Metrics Changes - The net income for 2022 was $6.4 million, or $0.52 per share, compared to a net loss of $4.4 million, or $0.38 per share, in the prior year [1] - Adjusted EBITDA for 2022 was $15.9 million, a 54% increase from $10.4 million in 2021, with a revenue retention rate of 124% [87][67] - Q4 2022 revenues increased 50% to $21 million from $14 million in Q4 2021, with adjusted EBITDA increasing 131% to $4.3 million [67][87] Business Line Data and Key Metrics Changes - The company added over 100 miles live during 2022, contributing to significant revenue growth [86] - The Forensic Logic acquisition contributed to revenue growth, with a full quarter of revenues included in Q4 2022 [81] - The gross profit for Q4 2022 was $11.9 million, or 57% of revenue, compared to $7.5 million, or 54% of revenue, in the prior year [105] Market Data and Key Metrics Changes - Deferred revenue as of December 31 was $43.7 million, up from $26.7 million at the end of 2021, indicating strong cash generation [87] - The funding environment remains constructive at local, state, and federal levels, with $10 billion committed to public safety technology [68] - The company expects to achieve revenue guidance of $94 million to $96 million for 2023, driven by a strong pipeline of domestic and international deals [111] Company Strategy and Development Direction - The company is focusing on integrating the Coplink X solution into its sales and support infrastructure to enhance upsell opportunities [66] - There is a strategic emphasis on expanding into Tier 4 and Tier 5 markets, which have shown promising sales cycles [18] - The company aims to transition into a precision policing platform provider, moving beyond just gunshot detection technology [10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the ability to drive profitable growth due to strong demand drivers and a robust funding environment [78] - The company anticipates adjusted EBITDA to increase from 20% in 2022 to between 24% and 26% in 2023 [2] - Management noted that the demand for technology solutions is increasing due to rising violent crime and the need for effective policing strategies [77] Other Important Information - The company reported a net loss of $1 million for Q4 2022, an improvement from a net loss of $3.3 million in the prior year [82] - The gross margin is expected to improve, with projections of reaching 60% in 2023 and potentially 70% in the coming years [129][131] - The company has no short or long-term debt and approximately $25 million available on its line of credit [135] Q&A Session Summary Question: Can you discuss the deferred revenue growth and its implications for cash deployment? - Management noted that deferred revenue growth was significant, and they are considering aggressive cash deployment strategies, including potential share buybacks [6] Question: What impact did the sensor replacement cycle have on the P&L? - Management indicated that the sensor replacement cycle was a drag on the P&L but is expected to ease in 2023 [7] Question: How is the company integrating Forensic Logic into its operations? - The integration of Forensic Logic is ongoing, with a focus on aligning sales efforts and leveraging state and federal opportunities [123][151] Question: What is the outlook for gross margins and EBITDA margins? - Management expects gross margins to reach 60% in 2023 and adjusted EBITDA margins to move towards 40% in the coming years [59][60] Question: What is the appetite for additional acquisitions? - The company is open to acquisitions that provide strategic value, although they have not pursued any recently [43][45]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) Commission File Number: 001-38107 ShotSpotter, Inc. (Exact Name of Registrant as Specified in its Charter) Delaware 47-0949915 (State or other jurisdiction of incorporation or organization) 39300 Civic Center Dr., Suite 300 Fremont, California 94538 (Address of principal executive offices) (Zip Code) (I.R.S. Employer Identification No.) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT ...

ShotSpotter, Inc. (NASDAQ:SSTI) Q3 2022 Earnings Conference Call November 8, 2022 4:30 PM ET Company Participants Ralph Clark - Chief Executive Officer Alan Stewart - Chief Financial Officer Conference Call Participants Richard Baldry - ROTH Capital Mike Latimore - Northland Capital Markets Matt Pfau - William Blair Jack Cole - Craig-Hallum Capital Operator Good afternoon and welcome to ShotSpotter's Third Quarter 2022 Earnings Conference Call. My name is Sarah and I will be your operator for today's call. ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-38107 ShotSpotter, Inc. (Exact Name of Registrant as Specified in its Charter) Delaware 47-0949915 (State or other jurisdiction of ...

ShotSpotter, Inc. (NASDAQ:SSTI) Q2 2022 Earnings Conference Call August 9, 2022 4:30 PM ET Company Participants Ralph Clark - Chief Executive Officer Alan Stewart - Chief Financial Officer Conference Call Participants Richard Baldry - Roth Capital Matt Pfau - William Blair Operator Good afternoon, everyone and welcome to ShotSpotter's Second Quarter 2022 Earnings Conference Call. My name is Jamie and I will be your operator for today's conference. Joining us are; ShotSpotter's CEO, Ralph Clark; and CFO, Ala ...

[০] ShotSpotter® | --- | --- | --- | --- | --- | --- | --- | --- | |-------|--------------|-------|-------|-------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Investor | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Presentation | | | | | | | | | | | | | | | | | | | | | | | | | | | June 2022 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | DISCLAIMER Cautionary Note Regarding Forward-Looking Statements 2 This presentation cont ...