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1 ©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential. Cyren Cloud Security 100% cloud. 100% better.

Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

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Page 1: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

1©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Cyren Cloud Security100% cloud. 100% better.

Page 2: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

2©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

This presentation contains forward-looking statements, including projections about our business, within the meaning ofSection 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 thepresentation; we assume no obligation to update any of them. The statements in this presentation are not guaranteesof future performance and actual results could differ materially from our current expectations as a result of numerousfactors, including business conditions and growth or deterioration in the Internet market, commerce and the generaleconomy, 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 OEMpartners to successfully penetrate markets with products integrated with Cyren technology; a slower than expectedacceptance rate for our newer product offerings; availability of qualified staff; and technological difficulties andresource constraints encountered in developing new products, as well as those risks described in the text of thispresentation and the company's Annual Reports on Form 20-F and reports on Form 6-K, which are availablethrough www.sec.gov.

© 2016 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.

Safe Harbor and Forward-Looking Statements

Page 3: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

3©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Investor Value Proposition

Premier, Pioneering Cloud-based Cybersecurity Platform

Cyren’s integrated cloud-based security platform provides unsurpassed threat visibility and intelligence, analyzing billions of security events across hundreds of millions of users, and blocking millions of threats each day in email, web and DNS.

Significant Customers and Partners Highlight Technology Value

Cyren has many blue-chip partners and enterprise customers that rely on its technology to meet their critical cybersecurity challenges, including Google, Microsoft, Check Point, SAP, and Porsche.

Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market

Cloud-based security offers superior performance across environments, with greater integratability, speed, and ease-of-use; high levels of investment and M&A activity—with robust valuations—underscore the value.

Expanding Upstream in the Security Value Chain

Cyren is fundamentally shifting from a provider of underlying security technology to a full service provider of SaaS securityservices, and increasing average revenue per user by an order of magnitude.

Cyren is a Scarce Asset

Cyren uniquely combines scale, advanced technology, proven infrastructure, momentum, and deep know-how to discover and remediate a myriad of cybersecurity threats.

Page 4: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

4©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Cyren is trusted by some of the world’s leading companies

Page 5: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

5©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Cyren - the world’s largest security cloud

DATA CENTERS

600M+Users protected

17B+Transactions daily

130M+Threats blocked daily

Page 6: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

6©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

• Real-time categorization of botnets, URLs, IPs, spyware, scripts, etc.

• Highest detection of zero-hour malware and phishing

• Lowest false positives

• Real-time fingerprinting

• Inbound and outbound traffic

• Recurring pattern detection

• Reputation based on URLs, hosts, IPs, domains, registrants, and more

Cyren GlobalView™ Threat Intelligence Network

Collection Inspection Detection

• 17B daily transactions

• 600M users

• 600K local honeypots

• 190+ countries

• 40+ partner feed

• Web, email, and DNS traffic

Big data analytics classify cyber-threats in real time from massive volumes of Internet transactions

Page 7: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

7©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

• Integrated, multi-tenant platform shares threat data across all customers, with centralized management/visibility

• 20+ security technologies power enterprise SaaS and partner suites

• Dramatically lower TCO from reduced infrastructure, operational, and maintenance costs

Web security

Email security

Cloud sandboxingDNS security

100% cloud security, protecting people from Internet threats.

Cyren Cloud Security Platform

Threat intelligence

Page 8: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

8©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Cyren Cloud Security Platform

Web SecurityGateway

Enterprise SaaS Security Solutions

Email Security Gateway

CloudSandboxing

DNS SecurityGateway

Threat Intelligence Services

Email Security Services

Web Security Services

Advanced Threat Defense

GlobalViewTM Threat Intelligence Network

Cyren owns all of its detection engines, technology, and IP –a key differentiator in the security industry

100% cloud security, protecting people from Internet threats.

Page 9: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

9©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Ente

rpri

se S

aaS

Secu

rity

Se

rvic

es

• Block web-borne threats

• Manage web usage

• Protect everyone, everywhere, on every device.

Cyren WebSecurity

• Block email-borne threats and spam

• Stop phishing, ransomware, and zero-day threats

• SaaS simplicity and low TCO

Cyren EmailSecurity

• Manage web usage

• Block malicious web and SSL sites• Easy to deploy protection for your business locations

Cyren DNS Security

• Advanced threat protection for web and email

• Block zero-day threats and evasive malware• Detailed forensic reporting

Cyren Sandboxing

Glo

bal

Vie

wTM

Thre

atIn

telli

gen

ce N

etw

ork

Cyren Cloud Security SuiteEnterprise SaaS security services protect users from Internet threats.

Page 10: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

10©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Broad protection from advanced cyber threats

• Block malicious URLs

• Block malware and viruses

• Block phishing and botnet sites

• Block zero-day attacks

• Inspect SSL

• Identify infected devices

Page 11: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

11©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Fastest time-to-protection in the industry

Cyren stops phishing attacks before other vendors even

know they exist

Page 12: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

12©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Large Market Opportunity in Fast-Growing Cloud Segments

$11.0 B

$20.8 B CAGR

Source: Gartner, IDC, Frost & Sullivan, Markets & Markets

Cyren – Total Available Market

13.6%CAGR

5.6% Web Security Gateway

1.2% Email Security Gateway

17.4% Cloud Sandboxing

17.6% CASB

Page 13: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

13©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

SMB

Enterprise SaaS Suite

<250Employees

SME

250-3000Employees

Enterprise

3000+Employees

Reseller partners

High-velocity SaaS sales model

Channel

Direct

Scalable go-to-market model

Page 14: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

14©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

High-predictability cloud business model

SaaS Subscription Model

• Subscription, recurring revenue business

• 90%+ renewal rates

• No professional services or maintenance revenues

• Annual and 3 year subscriptions, paid in advance

• Average customer tenure > 5 years

• Billings amortized over contract term

Global Customer Base

• Diversified, horizontal customer base

• No customer concentration risk

• SaaS offerings enable cost-effective service to all segments

BillingModel

Page 15: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

15©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

GAAP Revenue, YoY

Third Quarter 2016 Financial Comparison

$6,934

$7,902

$6,200

$6,700

$7,200

$7,700

$8,200

2015-Q3 2016-Q3

($ in thousands - GAAP)

+14%

GAAP Net Loss, YoY

-$1,330

-$975

-$1,500

-$1,000

-$500

$0

2015-Q3 2016-Q3

($ in thousands - GAAP)

-27%

Operating Cash Flow, QoQ

-$167

$428

-$300

-$100

$100

$300

$500

2016-Q2 2016-Q3

Cash Balance, QoQ

$12,968$12,438

$10,000

$11,000

$12,000

$13,000

$14,000

2016-Q2 2016-Q3

-$530

+$595

($ in thousands - GAAP)

($ in thousands - GAAP)

Page 16: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

16©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

Trailing Revenue Growth

Revenue and Balance Sheet

$6,726

$6,934

$7,109

$7,411

$7,559

$7,902

$6,000

$6,200

$6,400

$6,600

$6,800

$7,000

$7,200

$7,400

$7,600

$7,800

$8,000

2015-Q2 2015-Q3 2015-Q4 2016-Q1 2016-Q2 2016-Q3

Balance Sheet (as of September 30, 2016)

Cash & Equivalents $12,438

Total Debt $0

Shares Outstanding 39,166,552

($ in thousands - GAAP)($ in thousands - GAAP)

+14% Year over Year

Page 17: Cyren Cloud Security...Cloud-based Solutions are the Highest Growth Segment of the Cybersecurity Market Cloud-based security offers superior performance across environments, with greater

17©2014. CYREN Ltd. All Rights Reserved. Proprietary and Confidential.©2016 Cyren Ltd. All Rights Reserved. Proprietary and Confidential.

You can also find us here:

www.Cyren.com

Twitter.com/cyreninc

Linkedin.com/company/cyren

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