#1Taboola INVESTOR PRESENTATION#2Forward-Looking Statements - Disclaimer Certain statements in this presentation are forward-looking statements, including our Q1 and full-year 2023 guidance. Forward-looking statements generally relate to future events including future financial or operating performance of Taboola.com Ltd. (the "Company"). In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expect", "guidance", "intend", "will", "estimate", "anticipate", "believe", "predict","target", "potential" or "continue", or the negatives of these terms or variations of them or similar terminology. Such forward-looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from those expressed or implied by such forward looking statements. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by the Company and its management, are inherently uncertain. Uncertainties and risk factors that could affect the Company's future performance and cause results to differ from the forward-looking statements in this press release include, but are not limited to: the ability to recognize the anticipated benefits of the recent acquisition of Connexity and the business combination between the Company and ION Acquisition Corp. 1 Ltd. (together, the "Business Combinations"), which may be affected by, among other things, competition, the ability of the Company to grow and manage growth profitably, maintain relationships with customers and retain its management and key employees; the Company's ability to successfully integrate the Connexity acquisition; costs related to the Business Combinations; changes in applicable laws or regulations; the Company's estimates of expenses and profitability and underlying assumptions with respect to accounting presentations and purchase price and other adjustments; ability to attract new digital properties and advertisers; the ability to generate or achieve the financial results, including the increase in Adjusted EBITDA and Free Cash Flow in 2024 to the levels assumed in this presentation or at all; ability to meet minimum guarantee requirements in contracts with digital properties; intense competition in the digital advertising space, including with competitors who have significantly more resources; ability to grow and scale the Company's ad and content platform through new relationships with advertisers and digital properties; ability to secure high quality content from digital properties; ability to maintain relationships with current advertiser and digital property partners; ability to make continued investments in the Company's Al-powered technology platform; the need to attract, train and retain highly-skilled technical workforce; changes in the regulation of, or market practice with respect to, "third party cookies" and its impact on digital advertising; continued engagement by users who interact with the Company's platform on various digital properties; the impact of the ongoing COVID-19 pandemic; reliance on a limited number of partners for a significant portion of the Company's revenue; changes in laws and regulations related to privacy, data protection, advertising regulation, competition and other areas related to digital advertising; ability to enforce, protect and maintain intellectual property rights; and risks related to the fact that we are incorporated in Israel and governed by Israeli law; and other risks and uncertainties set forth in the Company's Annual Report on Form 20-F for the year ended December 31, 2021 under Item 3.D. "Information About the Company - Risk Factors" and in the Company's subsequent filings with the Securities and Exchange Commission ("SEC"). Nothing in this presentation should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on these forward- looking statements, which speak only as of the date they were made. The Company undertakes no duty to update these forward-looking statements except as may be required by law. Non-GAAP Financial Measures This Presentation includes ex-TAC Gross Profit, Adjusted EBITDA, Ratio of Adjusted EBITDA to ex-TAC Gross Profit, Free Cash Flow, Non-GAAP Net Income and Non-GAAP EPS Diluted, which are non-GAAP financial measures. These non-GAAP financial measures are not measures of financial performance in accordance with GAAP and may exclude items that are significant in understanding and assessing the Company's financial results. Therefore, these measures should not be considered in isolation or as an alternative to revenues, gross profit, earnings per share, net income, cash flows from operations or other measures of profitability, liquidity or performance under GAAP. You should be aware that the Company's presentation of these measures may not be comparable to similarly-titled measures used by other companies. The Company believes non-GAAP financial measures provide useful information to management and investors regarding future financial and business trends relating to the Company. The Company believes that the use of these measures provides an additional tool for investors to use in evaluating operating results and trends and in comparing the Company's financial measures with other similar companies, many of which present similar non-GAAP financial measures to investors. Non-GAAP financial measures are subject to inherent limitations because they reflect the exercise of judgments by management about which items are excluded or included in calculating them. Please refer to the appendix at the end of this presentation for reconciliations to the most directly comparable measures in accordance with GAAP. About Cash Investment in Publisher Prepayments (Net) We calculate cash investment in publisher prepayments (net) for a specific measurement period as the gross amount of cash publisher prepayments we made in that measurement period minus the amortization of publisher prepayments that were included in traffic acquisition cost during that measurement period, which were the result of cash publisher prepayments made in that measurement period and previous periods. Industry and Market Data In this presentation, the Company relies on and refer to certain information and statistics obtained from third-party sources, which it believes to be reliable. The Company has not independently verified the accuracy or completeness of any such third-party information. You are cautioned not to give undue weight to such industry and market data. This presentation may include trademarks, service marks, trade names and copyrights of other companies, which are the property of their respective owners. Solely for convenience, some of the trademarks, service marks, trade names and copyrights referred to in this Presentation may be listed without the TM, SM, (c) or (r) symbols, but the Company will assert, to the fullest extent under applicable law, the right of the applicable owners, if any, to these trademarks, service marks, trade names and copyrights. Taboola 2#3TODAY'S PRESENTERS Taboola ADAM SINGOLDA FOUNDER & CEO → Founded Taboola over 15 years ago Has led the company as its CEO ever since STEPHEN WALKER CFO → 8+ years at Taboola → Led several of Idealab's portfolio companies, including Perfect Market Prior experience at Disney & General Electric#4Taboola AGENDA 1 2 3 Capturing Share of $70B Open Web Ad Market & Taboola Overview Taboola's Differentiation and Why We Win Q4 Updates & Momentum Financial Update#5Taboola POWERING RECOMMENDATIONS FOR THE OPEN WEB HELPING PEOPLE DISCOVER THINGS THEY MAY LIKE Taboola#6TABOOLA = SEARCH "IN REVERSE" Taboola FROM PEOPLE LOOKING FOR INFORMATION TO INFORMATION LOOKING FOR PEOPLE slpoo you gniles m'l dose elgood#7* THE OPEN WEB where we spend 25% of our time RECOMMENDATION Al, personalized, relevant, based on the user and the context Company estimate $70B* WHAT video, product, tv show, app,... WHERE article page, homepage, app, ctv,...#8help where GRE MACHI DONECTS WRONGNOVATE FASTED e and social ap upport Hurrican fo andy Relief Effor Donate At: idy.AdCouncil.org iPod nano Completely renanoed. Just $149. platform INNOVATE FASTER Build mobile and social apps Are you comfortable in your retirement? salesforce HIGHEST rate of HOMELESSNESS? NINJA Taboola If you have a $500,000 portfolio, download the guide for retirees written by Forbes columnist and money manager Ken Fisher's firm. It's called "The 15-Minute Retirement Plan." Even if you have something else in place right now, it still makes sense to request your guidel Click Here to Download Your Guide! FER INVESTMENTY 5785590 Tampa New York Watch the Webinar to learn about cloud app platforms MATTRESS FIRM Save Money. Sleep Happy. INJA FEE MUG BUY HERE NOT YOUR AVERAGE Shop Now stv Great HD content, AirPlay, and more on your widescreen TV. Just $99. Fon / More Get the Report the ONION Berries. NOT YOUR AVERAGE TRICYCLE. LEARN MORE > CHECK EVERYONE CHOCOLATE. --in cloud M box MASS There's Still Time to send the perfect present Merry Christmas MHD mazon Gift Cards E-mail or print amazon.c at restaurants in your city FORRESTER mam JE 1 Amazon Gift Cards There's still time to send the perfect present t MONE PRICE FITS ALL McCafe amazonkindle MIN. Turner Now B I have owned running watc Suunto and Free GAR Average Amazon.com Customer Review ✰✰✰✰✰(169) 12/13/12 Forerunner 410 amazon.com Spward th amazonlocal AND LEAN SAR 1442 Spa Polsk VISA PMIS 50% off SHOP GIFTS UNDER $50 $50 Off Instantly Pipremium roas Learn more coffee RICE SIZE = Gingerbread Man Daisy Dipped Strawber HOLIDAY BLOWOUT AUCTIONS Y SHOP NOW $59.81 Nikon D5100 EdibleArrangements.com Edible ARRANGEMENT Ⓒ300 Angon Save up to at restaurants 75% off in your city T AMERICA Mix 100.7 34 27 Taken sight to the edg 929 OFF! The New 32GB iPad BID NOW $42.16 BID NOW Canon T $34.17 BID NOW $87.13 BID NOW MacBook Pro up ne 93% OFF! A la carte only. Al participating McDonald's C BAD-ANON: one Game from 94% OFFI 96% OFF! Get Your FREE Credit Score 6 HOLIDAY INTERNET SALE NOV 22-DEC 31 exede Infernet wildblue. khkzpe Toon ANNIE AWARD NOMINATIONS AS LITTLE AS SOU61 COULD GET YOU AN IPAD, CAMERA, HUTV & MORE! Qui Bids UREST ANIMATED FEATURE 2 SAVE 25% ON HIGH SPEED INTERNET Vaga par amaz FOR YOUR CONSIDERATION Nokia Lumia 920. BEST ANIMATED FEATURE Only from AT&T. www.waitisneystudiosa $99.99 GOLDEN GLOBE NOMINEE BEST ANIMATED FEATURE Diwrp TURESK RALPH C ornings Free at 7:30am baysmix ¡HeartRADIO 4#9Paid ...DONE RIGHT Walled garden integrated ad experience facebook. facebook Os Sisu Outfitters Spored K Sisu brings the best of Scandinavian design to New England! Check out the latest collection Taboola Comment Learn More 34 Shares C Share Paid Organic a Google Google auto insurance Now Maps Adwww.bm.com Best Auto Insurance Compare Qu & Save See Forbes Top Rated Auto Insurance Providers. Apply Online and Get Covered Today Quick & EasyWith Instant Quotes That Are Tailored To You Get A Quote L Videos www.dincauto.com Direct Auto Insurance Get affordable car insurance with the coverage options you need even if you have a less than perfect dring record through Direct Auto insurance Make a Payment About My Account Find a Loc A www.tate.com autoi Car Insurance | Get An Auto Insurance Quote | Allstate Car insurance quotes from Alistate are just a few clicks away. Find auto insurance coverage options, discounts and more Paid Organic Learningatlan Self-study your way to the D Associate certification with help directly from Co twitter Devet Pep Your uma FREE e-sty c www ( cisco.com Join DevNet Prep! Nieman Lab DemanLab 13h "We weren't the only ones there, but we in the army like me, O P Black Rifle Coffee has a reputation. It military news site is alming for Organic Paid amazon amazon twin bed Ⓒeliver to New York 10010 Beds FILTER BY CATEGORY Bed Frames WIL Sign in RESULTS ce and other details may vary based on products and opi Amazon's ChoicE T Q Filters Amazon Banics Foldable, 14 Black Metal Platform Bed Frame with Tool Free Assembly, No. 食食食食食 528 180 prime Good Tomorrow FREE Sony A $179 Getri Apr 1 Wed, Apr Max Twin Bed Frame with Headboard and Foot Board Weed Twin Size Platform Twin... ***** Hadedah Metal Twin Complete Paid Chy Boutique SnapChat City Boutique Opening Telephone CALL US NOW#10Taboola Paid Editorial INDEPENDENT = wishes tune yet to gene die mat i U enthusiasm, but I wish her well. I hope she hangs the moon," McCaskill said. Tab@la Feed Hot or Not: Europeans Named the Hottest on the Sand EXPEDIA SPONSORED PAS Discover Something New About Gravity, That Will Make You See the World in a New Light. THE INDEPENDENT | 1 HOUR TABOOLA REVOLUTION Bring power of walled gardens to open web with Tens of billions clicks a year#11(BUT) OPEN WEB TODAY IS NOT PERSONALIZED Taboola ONE SIZE DOES NOT FIT ALL 200 personalization.com#12ROCKET ENGINE (AI) ● ● Deep Learning since 2017 $100M Annual R&D Spend¹ Editorial recommendations Paid recommendations SmartBid Taboola (1) Source: Company data, see slide titled "Key 2023 Model Assumptions"#13ROCKET FUEL ● ● ● ● ● 500M+ DAU Context Tens of billions clicks a year Curiosity graph ("people who read this also do this") 90% of revenue direct (pixel on page) Source: Company data Taboola 37 14 NASA/MAF/Steven Seipel#14Taboola D WE BUILD THE BEST ROCKETS Walled Garden Dynamics for The Open Web AI Engine DATA Fuel#15TECH 10 years partnerships, trust DIFFERENTIATION Taboola CBS Interactive CNBC msn axel springer___ Lagardère sport1 Bloomberg SAMSUNG USA TODAY NBC Sports MCCLATCHY NBC NEWS Daily Mail vivo oppo וח GM verizon WELLS FARGO citi salesforce HSBC IBM eToro QUALCOMM Mercedes-Benz M HITACHI Playtika DELL W (intel) AMERICAN EXPRESS CISCO#16AN OPEN WEB POWERED BY TABOOLA RECOMMENDATIONS Taboola 298 2010 584 2015 1,426 2020 4,909 The Number of interactions/Capita/Day 2025 Source: Data Age 2025, sponsored by Seagate with data from IDC Global DataSphere Nov 2018#17Taboola Over the next 3 years WE EXPECT TO CROSS $1B EX-TAC WHILE MAINTAINING OUR MARGINS#18ANYTHING. ANYWHERE. Taboola ACOO INDEPENDENT Travel News & Advice What are Blue Zones and why do some suggest they are the secret to living longer? TRENDWATCH Compost loos, campfire cuisine and compasses: switching off and tuning into nature has never bee more glamorous, says Lucy Thackray#19Taboola ⒸAMOO INDEPENDENT WHAT ARE BLUE ZONES AND WHY THEY ARE THE SECRET TO LIVING LONGER? TAL FG-4 LEEMIS AUTORNILE 10 00 75 FERE C 4 H 60 ANYTHING. ANYWHERE. AUTO 21 84 Latest Videos (16) T SPORT NEWS MOVIES MUSIC#20✅))) What are Blue Zones and why they are the secret to ANYTHING. ANYWHERE. Taboola **|||||*...#21Taboola AGENDA 1 2 3 Capturing Share of $70B Open Web Ad Market & Taboola Overview Taboola's Differentiation and Why We Win Q4 Updates & Momentum Financial Update#22TABOOLA'S DIFFERENTIATION HOW IT DRIVES SUPERIOR FINANCIAL PERFORMANCE & EXPANDING MARGINS Taboola 1 2 3 4 5 Growth fueled by a network effect Long-term yield increases Taboola's technology is resilient to the future disappearance of third-party cookies Platform advantage driven by Taboola's technology (Brands & Agencies, Taboola News, Newsroom) Connexity provides further differentiation#23EXPANDING EX-TAC MARGINS POINT TO COMPETITIVE ADVANTAGE ex-TAC Margin By Year ex-TAC Margin 45.00% 40.00% 35.00% 30.00% 25.00% 20. 15.00% 18.8% 2015A 22.5% 2016A 28.2% 2017A 31.0% 2018A Taboola (1) Non-GAAP measure, see appendix for reconciliation to GAAP 27.0% 2019A 32.3% 2020A 37.3% 2021A 40.7% 2022A ex-TAC Margin has increased significantly since 2015 → Competitive landscape has not changed significantly in that time period → Margins increase as competitive advantages increase#24SCALE MATTERS IN OUR INDUSTRY GROWTH WITH A BUILT-IN NETWORK EFFECT Taboola More Publisher Partners Higher Yield Better Targeting Drives Better Results for Advertisers Taboola More Users Reached More Frequently More Data Generated#25WHAT MAKES UP YIELD Taboola Click Through Rate (CTR): →> The number of clicks that an ad receives divided by the number of times the ad is shown (impressions) A high CTR is a good indication that users find your ads relevant Cost Per Click (CPC): The amount advertisers pay for each click on their ads. Conversion Rate: The percentage of users who have completed a desired action (e.g. purchase) after clicking on an ad. CTR Click Through Rate CPC Cost Per Click Conversion Rate YIELD#26HOW WE INCREASE YIELD Taboola Ⓒ CPC Cost Per Click More advertisers on the platform increases auction density Better attribution measurement better reflects the value of conversions Automated bidding (SmartBid) optimizes bids dynamically CTR and Conversions Click Through Rate, Conversion Rates Algorithmic improvements drive better prediction of what users will engage with More advertisers on the platform and higher diversity of campaigns More data that provides more contextual signals enables more accurate targeting Better user experience increases the likelihood of engagement with the ad#273 TABOOLA TECH IS BUILT FOR A COOKIE-LESS, IDFA / ATT WORLD Taboola has its own 1st party cookie - recommending personalized editorial content enables serving our own 1st party identifier Unique readership context Taboola - deep access to the context of the page, allowing advertisers to target context (vs. "3rd party cookie behavior") (1) Source: Company data. Clicks represent total clicks on Taboola recommendations, including paid advertisements ("sponsored content") and editorial ("organic") content چه People click on Taboola recommendations tens of billions of times a year¹ Jun-20 nam omo Sep-20 اساسید Dec-20 Jun-21 Mobile - Chrome -Mobile - Safari Mar-21 Taboola's strong yield performance despite 3rd party cookies being blocked in the industry for years: Apple started blocking 3rd party cookies in 2017 Firefox, Edge, etc are also blocking 3rd party cookies GDPR launched in 2018 Sep-21 CCPA launched in 2019 IDFA launched April, 2021 Dec-21#284 PLATFORM ADVANTAGE DRIVEN BY INVESTMENT IN TECHNOLOGY CAPABILITIES NOT AVAILABLE FROM OUR COMPETITORS Taboola PUBLISHER PLATFORM COMPREHENSIVE COMPREHENSIVE ADVERTISER PLATFORM Publisher Strategy UX Al Controls. Analytics Code-on-Page Marketing Objective Ad Experience AI Brand Safety Audiences & Targeting Analytics Channels Code-on Page Organic Engagement Feed Awareness Next Up Native Placements Audience Development. Algo Editorial Controls Formats - Capture Attention Pre-Bid Controls Contextual Self-Service Explore More Native Placements Website Traffic Subscription Video Slider E-Commerce Video Reel Personalized Recommendation Engine Ad Content Review Taboola Newsroom Analytics / Insights / Reporting Readership Data Engagement Environmental & Experience Controls Advertiser 1st Party Managed Taboola Ads (Insights & Reporting) Readership Data Taboola Ads Reco Reel Ad Controls Lead Generation SmartBid "Dimensions" Taboola News Formats-Drive Customer Action Pub Direct Ad Demand Purchase Intent Data Custom Homepage 4U Purchase Measurement & Verification Tools Programmatic Purchase Intent Data#29TABOOLA FOR BRANDS & AGENCIES High Impact Placements: a premium solution for achieving brand awareness Premium Ad Placements & Experiences Brand Safety & Adjacency Control Unique Readership Data & Insights Tabgela 400 mencomen-us x+ msn powered by Microsoft New Outlook.com CORONAVIRUSNEAS P PA Wayfair Clever To Your Car Has A Key Fob Marm Microsoft Store We Warn You - It's Going to Be Tough Choice Fox News veter pentaks y sin 2020 presidential election Tu Flertion 2020 KAMION Shopping DISCOVER THE PLATFORM DIFFERENCE WITH JEROG PIPELINES CI/CD NIW YORK/455/ NEWS ELECTION 2000 ENTERTAINMENT SPORTS ESPORTS MONEY LIFESTYLE SHOPPING HEALTH FOOD TRAVEL > PRESIDENTIAL ELECTION RESULTS: AP projects Biden will win Maine, Arizona Click to see MSN's results ma Facebook Hurricone a ses cours toward US Gulf Coaster punneling Nicaragua Spend $500 get $200 with this top card Track the vote: Follow elections results live TRENDING NOW Tumparaced in the fight SCA ellay Afood of malalts altes v Potch of DC ADC 2nd in colles for com RECOMMENDED SEARCHES 0 Aveld St. NC Car Ter ory Coast Frider Ou Belarus Nader Mart Alexander Traded Deboh Des Ph Day VAM Cheye Sports Sign in Online Games THE Unified DevOps Experience EN-EMOCD Pam Peny B > USA TOGAT EN What a Biden Presidence Would Meun for the Midde 3 bombing Smith wins reelection in Minnesota An anxious nation prepares ODS 9:41 ESPO EP-TL4 SCORES TabaFood We Warn You - It's Going To De Tough Choice How an assistance coach helped get Election Day off for all Div. 1 athletes ESPN/236#304 TABOOLA NEWS Bringing Premium Content To People Everywhere & Driving Audience For Our Publisher Partners Taboola News delivers relevant content from our premium publisher partners, integrated into mobile phones and other user touchpoints. It creates new opportunities for engagement and revenue for mobile carriers, device manufacturers, publishers and brands. → Running in more than 60 markets around the world → With over 85M Monthly devices → Becoming a meaningful source of traffic to our publishers WORKING WITH THE TOP OEMS: SAMSUNG ni xiaomi Taboola HUAWEI vivo oppo motorola 5:45 PM 32° SAT, 18 AUG#314 ACTIONABLE INSIGHTS TO GROW READERSHIP & ENGAGEMENT Easily ANALYZE: ● ● NEWSROOM ● ● Instantly ACT: ● Real-Time Audience Data Article Engagement Metrics Trending Topic Insights Subscription Analytics Taboola Identify high-performing content A/B test Headlines & Images Boost subscriptions 00 NR Topic Insights | Real Time US Topics of Interest Categories Trend sports high school cnn politics ohlo art entertainment reporter miami michigan notre dannell kim jong trump putin arkansas 4 russialabama nf twitter All Topics society moore 13 add A fashion PAGEVIEWS Top Articles | 24h 1.28M 50000 co 00000 hollywood 411565 education. 04 PM SOCIAL 187.14K FI news 00PM george floyd Society 15% SEARCH 50 really creepy things you can buy on Amazon 98% chauvin Politics Export Q travel Ling Vu, Albert Yawn Best Nintendo Switch deals for 2019: Get up to 10% off Switch or Switch Lite G 38% 21% 3% 1% 1% 10 FM travel Jake Motater Watch NASA blow a hole in the world's largest rocket fuel tank G38%29% 10% 10% 2 travel Justin Woo Star Wars: Rise of Skywalker's CGI-free Carrie Fisher is 'shockingly successful 85% G10% RELATED TERMS chauvin, police brutality, racism ALL TRAFFIC 3.7M-4% 1.1K 0% 02 AM Social Traffic Search Traffic Direct Traffic Other Traffic coronavirus Health & Fitness ALL TRAFFIC 1.3M-20% 698.14K es G 48% 3% 51% ALL TRAFFIC 2.1M-2% 3.8K 0% 12 AM MY TRAFFIC MY COVERAGE RELATED TERMS george floyd, police brutality, racism RELATED TERMS vaccine, trump, george floyd 01 02 MY TRAFFIC MY COVERAGE 04 AM 03 MY TRAFFIC MY COVERAGE 2.7K 0% DIRECT ans 321.83K CLAM DE AM 25% PAGEVIEWS OTHER 10 AM 71.493 2% 91% 1% 66,702 64,426 30,979 24,344 12PM TIME ON PAGE 17s 32s ~1m 8s 37s Taboola Newsroom#32Taboola Newsroom HOMEPAGE FOR YOU LEAD International ing Handbook Typ k Tis A papar b களட் சி விinikளங் Source: FIU employee confided to colleague that Rosenberg had been harassing her LATE Seward Paron o trucciar be xpand K Abram at and Entered X Sunday CD-16 Hab www autors Colle Are your cholesal members creeping up ye Is the free to De tar francy old Miami Herald COLLAPSE * 3.6k Fu a blang" kdən tik warghada www de pr pe up rem This does not pass the smell test. Kush to hire Miami school superintendent angers many Hadi M Ino Ma-bade olu Wawasan ال Mabadba layip b T pode at, vlte deti men w podrow to pr L maion C des de be cdonal ex DE www.waw.com VER mack-ended t spavant tr Whing this n Trinkw open? When y FOR ALL Must-know information, hand-curated by editors FOR YOU Personalized recommendations, powered by editor- enhanced algo#335 1/3 OF OPEN WEB PUBLISHER REVENUE WILL BE E-COMMERCE Taboola 1/3 OPEN WEB PUBLISHER REVENUE Source: Company Estimates.#345 CONNEXITY FURTHERS OUR COMPETITIVE ADVANTAGE INTRINSIC VALUE OF BUSINESS Significant expansion of our addressable TAM with long runway of growth SYNERGIES Tremendous opportunity to leverage our scale, combined relationships and Connexity's e-commerce market maker capabilities STRATEGIC VALUE 13 of Open Web Publisher Revenue will be e-commerce¹ and Taboola with Connexity is uniquely differentiated Taboola 1 Company estimates. થવ connexity#355 CONNEXITY SYNERGIES SHORT-TERM 1. Connexity on Taboola Publishers, growing publishers % of traffic with intent 2. Take Connexity Global 3. Expanding Connexity's Client base by Leveraging Taboola Ad Sales MEDIUM-TERM 1. Connexity merchant demand on Taboola publisher supply 2. Better personalization/yield by merging data: recommendations + e- commerce Taboola#36Taboola AGENDA 1 2 3 Capturing Share of $70B Open Web Ad Market & Taboola Overview Taboola's Differentiation and Why We Win Q4 Updates & Momentum Financial Update#37Q4 2022 IN REVIEW - capturing more of the $70 billion Open Web ad market Renewing and building new long term relationships → Signed new digital property partner agreements, including competitive wins with Prisa, Grupo Godó, Network18, Kodansha, Buzzfeed Japan. → Signed key renewals and new deals with CBSi, Tegna, Fox Sports, United Internet Media, as well as our massive new deal to bring us to all Yahoo properties. Seeing strength in key business areas → Taboola Header Bidding selected by 50+ publishers → Taboola News continues to gain meaningful traction PRISA grupoGodo KODANSHA CBS Interactive TEGNA united internet Taboola#38DELIVERED ON FY 2022 FINANCIAL EXPECTATIONS Revenues Gross Profit ex-TAC Gross Profit¹ Adj. EBITDA1 Taboola 2022 Actuals $1,401M $464M $570M $157M GROWTH RATE -2% 5% 10% 16% Guidance $1,388 to $1,404M $458 to $470M $564 to $576M $152 to $160M (1) Non-GAAP measures, see appendix for reconciliation to GAAP#39GUIDANCE IN 2023: Investing for Yahoo temporarily impacts expected performance Revenues Gross Profit ex-TAC Gross Profit¹ Adj. EBITDA² Taboola 1Q 2023 GUIDANCE (1) Non-GAAP measure, see appendix for reconciliation to GAAP (2) Non-GAAP measure, see appendix for note regarding reconciliation $299 to $325M $76 to $88M $103 to $115M -$6 to $6M FY 2023 GUIDANCE $1,419 to $1,469M $416 to $436M $526 to $546M GUIDANCE IN 2024: At least $200M in Adj. EBITDA and $100M Free Cash Flow $60 to $80M#40Taboola AGENDA 1 2 3 4 Capturing Share of $70B Open Web Ad Market & Taboola Overview Taboola's Differentiation and Why We Win Q4 Updates & Momentum Financial Update#41TABOOLA FOCUSES ON PROFITABLE GROWTH ex-TAC Gross Profit ¹ ($ in millions) $124 $214 Taboola CAGR '17A-¹22A: $282 21.6% $296 $382 $519 $570 $63 2015A 2016A 2017A 2018A 2019A 2020A 2021A 2022A 96.8% 72.6% 31.8% 5.0% 29.1% 35.9% 9.8% YOY growth Adj. EBITDA² ($ in millions) $23 $48 $67 $34 $106 $179 $157 2015A 2016A 2017A 2018A 2019A 2020A 2021A 2022A 1.4% 18.5% 22.4% 23.8% 11.5% 27.8% 34.5% 27.5% Ratio of Adjusted EBITDA to ex-TAC Gross Profit 3 PROFITABLE GROWTH Rule of 40 Business Upside in our model Conservative growth assumed for core base → Additional upside from existing growth initiatives Long-term model 20%+ ex-TAC Gross Profit Growth → 30% + Ratio of Adjusted EBITDA to ex-TAC Gross Profit (1), (2), (3) Non-GAAP measure, see appendix for reconciliation to GAAP#42GROWTH DRIVEN BY CORE OPEN WEB INSTALLED BASE 2 ex-TAC Gross Profit Growth % Net Dollar Retneion (%) 30% 20% 10% 0% -10% -20% 140% 130% 120% 110% 100% 90% 80% Taboola 18% 2018 114% 2018 New Publisher ex-TAC Gross Profit 1% Outliers 2019 104% 11% 2019 2020 Net Dollar Retention (ex-TAC Gross Profit) 118% 2020 10% 2021 (Pro Forma) 115% 2021 (Pro Forma) 6% 2022 (Pro Forma) 93% 2022 (Pro Forma) CONTINUED GROWTH FROM NEW SUPPLY... HELPS PROVIDE FUEL FOR GROWTH FROM A STRONG INSTALLED BASE. 2 New Publisher¹ ex-TAC Gross Profit Approximately 40% of total growth → Historically 10%+ new supply growth → Projecting similar range going forward Net Dollar Retention² Growth Has Two Elements Approximately 60% of total growth → Improvements in yield ➜>> More supply from existing pubs → Historically 110-120% on average (1) New digital property partners within the first 12 months that were live on our network. Pro forma effect of the Connexity acquisition as if completed on January 1, 2021. (2) Net Dollar Retention (ex-TAC Gross Profit) is the net growth of ex- TAC Gross Profit from existing digital property partners, including the growth of new digital property partners (beyond the revenue contribution determined based on the run-rate revenue generated by them when they are first on-boarded) for the given period divided by the ex-TAC Gross Profit from the same period in the prior-year. Pro forma effect of the Connexity acquisition as if completed on January 1, 2021.#43EXCEPTIONAL MOMENTUM IN 2022 Taboola NEW PUBLISHER ili dl... 2020 2018 Avg. Monthly Publisher New Revenue 2019 2021 2022 2022 Was A Banner Year For New Publisher Partnerships →> Measured by average gross Revenues added per month from new publishers Over 90% higher than 2020 and 2021 average Second best year on record Sample of New Publisher Partnerships in 2022 →>> Gray TV Huffington Post Penske Media Dumont Time.com United Internet Media → →> Buzzfeed Prisa Grupo Godó Network 18 Kicker Media News Group#44STRONG FINANCIAL PROFILE Taboola FAST GROWING $570M 2022A ex-TAC¹ 21.6% Five Year Compounded ex-TAC Growth Rate4 (1) (2) (3) (4) (5) HIGH PROFITABILITY $157M 2022A Adj. EBITDA² 27.5% 2022 Adjusted EBITDA Margin %² STRONG BALANCE SHEET $27.8M Q4 2022 Net Cash³ $262.8M Q4 2022 Cash Balance5 GENERATING CASH FLOW Strong Positive Free Cash Flow Generation $165M Free Cash Flow Cumulative in 2020-2022 Non-GAAP measure; see appendix for reconciliation to GAAP Non-GAAP measure; see Note in appendix regarding Adjusted EBITDA Reconciliation. Non-GAAP measure; calculated as December 31, 2022. Cash, cash equivalents and short-term investments of $262.8 million minus long-term loan (including current portion) of $235.0 million. Note: The Company's current estimate of minimum cash and cash equivalents needed for working capital is $80-100 million. It is only one factor considered in evaluating operating, investing and other strategies, is highly dependent on multiple conditions, is not a projection and subject to change at any time without notice. Growth Rate includes actual results for 2017-2022 Cash, cash equivalents and short-term investments.#45Taboola Thank you. 45#46Taboola APPENDIX#47OUR MODEL IN A NUTSHELL Model components: Revenues (1) Traffic Acq Cost (Value to publishers) ex-TAC Gross Profit (2) Cost of Revenues Gross profit R&D S&M G&A Operating Income + Dep, Amort, Share Based Comp, Other item Adjusted EBITDA(³) + Change in WC, Other items (4) + PP&E and Capitalized Platform Costs Free Cash Flow (3) Sample inputs / financials: $909 ($627) $282 ($48) $234 ($73) ($110) ($34) $17 $50 $67 ($22) $45 Illustrative Taboola economics: $1.00 (100%) ($0.69) $0.31 ($0.05) $0.26 ($0.08) ($0.12) ($0.04) (1) Revenue paid by Advertisers, before traffic acquisition costs (TAC) paid to Publishers. CNX Revenues paid by advertisers after traffic acquisition costs paid to Publishers. (2) Revenue to Taboola after TAC paid to Publishers. Non-GAAP measure, see appendix for reconciliation to GAAP (3) Non-GAAP measure, see appendix for reconciliation to GAAP (4) Non cash charges, Cash charges excluded from Adjusted EBITDA 47#48HISTORICAL REVENUES & EX-TAC GROSS PROFIT¹ (REPORTED BASIS) Gross Revenue $336 64.3% 37.3% 20.0% 20.3% Tabocia $552 $758 $909 $1,094 8.7% 15.9% 1.7% $1,189 $1,378 $1,401 2015A 2016A 2017A 2018A 2019A 2020A 2021A (1) Non-GAAP measure, see appendix for reconciliation to GAAP 2022A YoY growth ex-TAC Gross Profit $63 96.8% 72.6% 31.8% $124 $214 $282 ex-TAC Revenue Margin 5.0% $296 29.1% 35.9% $382 $519 2015A 2016A 2017A 2018A 2019A 2020A 2021A 18.8% 22.5% 28.2% 9.8% $570 2022A 31.0% 27.0% 32.1% 37.7% 40.7% 48#49SELECTED GAAP AND NON-GAAP METRICS ($ in millions, FYE) Revenues % YoY Growth ex-TAC Gross Profit¹ % YoY Growth % ex-TAC Gross Profit margin Gross Profit % Adj margin Adjusted EBITDA¹ % margin $ $ $ 2018A 909 20.0% 282 31.8% 31.0% 234 83.1% 67 23.8% Taboola (1)Non-GAAP measures, see appendix for reconciliation to GAAP Note: 2023 projections reflect the midpoint of current company guidance. 2019A $ 1,094 20.3% $ 296 5.0% 27.1% 232 78.4% 34 11.5% $ $ $ 2020A 1,189 8.7% 382 29.1% 32.2% 319 83.4% 106 27.7% 2021A $ 1,378 15.9% 519 35.9% 37.7% 441 85.0% 179 34.5% 2022A $ 1,401 $ $ $ 1.7% 570 9.8% 40.7% 464 81.5% 157 27.5% $ $ $ $ 2023E 1,444 3.1% 536 -5.9% 37.1% 426 79.5% 70 13.1% Long-Term Model 20%+ 30%+ 49#50FY 2023 GUIDANCE ($ in millions) Revenues ex-TAC Gross Profit 1 Gross Profit Adjusted EBITDA 1 Non GAAP Net Income 1 Taboola Actual FY 2021 $1,378 $519 $441 $179 $114 (1) Non-GAAP measure, see appendix for reconciliation to GAAP Actual FY 2022 $1,401 $570 $464 $157 $91 Guidance FY 2023 $1,419 to $1,469 $526 to $546 $416 to $436 $60 to $80 ($10) to $10 1% -8% -10% -62% -111% YoY% to to to to to 5% -4% -6% -49% -89% 50#51ADDITIONAL MODELING ASSUMPTIONS ● ● Taboola Interest payment of approximately $5M per quarter associated with $235M term loan related to the Connexity acquisition. Share based compensation of $128M in 2021 unusually high as a result of going public triggering event, 2022 at $75M and 2023 estimated at $74M. Depreciation & Amortization of $53M in 2021; increase related to Connexity Purchase Price Accounting allocation, 2022 at $91M and 2023 estimated at $91M. CAPEX of $35M in 2022 includes investments in property and equipment, leasehold improvements and capitalized software, 2023 estimated at $30M. Free Cash Flow before publisher prepayments (net) expected to be 50 - 60% of Adjusted EBITDA in long-term models. 51#52ADJUSTED EBITDA RECONCILIATION ($ in millions) Net income (loss) Adjustments: Financial expenses (income), net Tax expenses Depreciation and amortization Share-based compensation expenses Revaluation of Contingent Liability 2 M&A costs Restructuring expenses Holdback compensation expenses Adjusted EBITDA Taboola 1 $ 2016A (2.7) 0.8 4.3 13.3 6.3 1.4 $ 23.4 $ 2017A 2.8 (0.3) 5.1 28.2 10.8 1.6 48.2 2018A $ S 10.7 1.3 5.3 35.3 10.5 3.8 66.9 ¹A substantial majority is share-based compensation expenses related to going public. 2 Relates to the acquisition of ION Acquisition Corp. 1 Ltd. and going public. 2019A $ (28.0) $ 3.4 5.0 39.4 8.2 6.1 34.1 $ $ 2020A 8.5 2.7 14.9 34.0 28.3 17.8 106.2 $ 2021A (24.9) (11.3) 23.0 53.1 124.1 - 11.7 3.7 $ 179.4 2022A $ (12.0) (9.2) 7.5 91.2 63.8 - 0.8 3.4 11.1 $ 156.7 52#532022 QUARTERLY RESULTS: ADJUSTED EBITDA RECONCILIATION ($ in millions) Net income (loss) Adjustments: Financials expenses (income),net Tax expenses Depreciation and amortization Share-based compensation expenses 1 M&A costs & Transaction cost of Going Public ² Restructuring expenses Connexity holdback Adjusted EBITDA Taboola Q1-22A $ 3.9 (11.2) (0.4) 22.7 17.0 0.0 - 2.8 34.9 ¹A substantial majority is share-based compensation expenses related to going public. 2 Relates to the acquisition of ION Acquisition Corp. 1 Ltd. and going public. Q2-22A (5.0) (4.8) 0.2 22.8 17.6 0.5 2.8 34.2 e Q3-22A (26.0) 3.6 1.0 23.2 15.9 0.3 3.4 2.8 24.2 Q4-22A $ 48 15.2 3.2 6.7 22.5 13.2 2.7 63.5 FY 2022 $ CA (12.0) (9.2) 7.5 91.2 63.8 0.8 3.4 11.1 156.7 53#54EX-TAC GROSS PROFIT RECONCILIATION ($ in millions) Revenues Traffic Acquisition Cost (TAC) Other Cost of Revenues Gross Profit Other Cost of Revenues ex-TAC Gross Profit Taboola $ $ 2016A 552.1 427.7 23.2 101.2 23.2 124.4 $ $ $ 2017A 757.9 544.2 35.1 178.6 35.1 213.7 $ $ $ 2018A 909.2 627.7 47.3 234.2 47.3 281.5 2019A $ 1,093.8 $ 798.0 63.9 231.9 63.9 295.8 $ $ 2020A 1,188.9 806.5 62.9 319.5 62.9 382.4 $ $ 2021A 1,378.5 859.6 77.8 441.1 77.8 518.9 2022A $ 1,401.2 $ $ 831.6 105.3 464.3 105.3 569.6 54#55RATIO OF ADJUSTED EBITDA TO EX-TAC GROSS PROFIT RECONCILIATION ($ in millions) Gross Profit Net Income (loss) Ratio of Net income (loss) to Gross profit ex-TAC Gross Profit Adjusted EBITDA Ratio of Adjusted EBITDA to ex-TAC Gross Profit Taboola $ $ 2016A 101 (3) -3% 124 23 19% $ $ 2017A 179 3 2% 214 48 23% $ $ 2018A 234 11 5% 282 67 24% $ S 2019A 232 (28) -12% 296 34 11% $ $ 2020A 319 8 3% 382 106 28% $ S 2021A 441 (25) -6% 519 179 34% 2022A $ $ 464 (12) -3% 570 157 28% 55#56EX-TAC GROSS PROFIT MARGIN RECONCILIATION ($ in millions) Revenues Gross Profit Gross Profit Margin Revenues ex-TAC Gross Profit ex-TAC Gross Profit Margin Taboola $ 2016A 552 101 18% 552 124 23% $ $ 2017A 758 179 24% 758 214 28% $ $ 2018A 909 234 26% 909 282 31% 2019A $ 1,094 232 21% 1,094 296 27% 2020A $ 1,189 319 27% 1,189 382 32% $ $ 2021A 1,378 441 32% 1,378 519 38% 2022A $ 1,401 464 33% $ 1,401 570 41% 56#57HISTORICAL ADJ. GROSS PROFIT MARGIN RECONCILIATION ($ in millions) Revenues Traffic Acquisition Cost (TAC) ex-TAC Gross Profit Other Cost of Revenues Gross Profit Gross Profit Margin Adj. Gross Profit Margin $ 2020A Taboola Note: Adj. Gross Profit Margin is calculated by dividing Gross profit by ex-TAC Gross Profit. 1,189 807 382 63 319 27% 84% ✔A 2021A 1,378 859 519 78 441 32% 85% 2022A $ 1,401 10 832 570 105 464 33% 81% 57#58HISTORICAL FREE CASH FLOW RECONCILIATION ($ in millions) Net cash from operating activities Net cash used in the following investing activities Intangible assets Purchase of IT equipment & Leasehold Improvement Free Cash Flow 1 Taboola S 2019A 18 (44) (6) (38) (26) 2020A 139 (18) (9) (9) 121 (1) Adj. EBITDA plus the change in working capital reflects the Net cash provided by operating activities. S 2021A 64 (39) (14) (25) 25 $ 2022A 54 (35) (13) (22) 19 58#59SUPPLEMENTAL CASH FLOW INFORMATION Free Cash Flow Add back: Cash investment in publisher prepayments (net) (1) Cash interest expense for money borrowed Total - Cash generated before cash interest and publisher prepayments (net) Taboola 2020A $ 121.3 (4.5) 0.0 116.8 2021A 24.5 7.3 1.1 32.8 2022A 18.6 15.3 20.7 54.6 (1) We calculate cash investment in publisher prepayments (net) for a specific measurement period as the gross amount of cash publisher prepayments we made in that measurement period minus the amortization of publisher prepayments that were included in traffic acquisition cost during that measurement period, which were the result of cash publisher prepayments made in that measurement period and previous periods. 59#60EXAMPLE OF PUBLISHER PREPAYMENTS $3,000 Prepayment ($M) Taboola Assumptions: Accrual Accounting Revenue Traffic Acquision costs (TAC): Rev Share Amortization of prepayment Total ex-TAC Gross Profit ex-TAC Gross Profit Margin % Cash Basis Revenue Traffic Acquision costs (TAC): Rev Share Prepayment Total Cash Flow Delta - Cash Flow vs. ex-TAC Gross Profit 50% Revenue Share Year 1 $6,000 $3,000 $600 $3,600 $2,400 40% $6,000 $3,000 $3,000 $6,000 $0 -$2,400 5 Year Term Year 2 $6,000 $3,000 $600 $3,600 $2,400 40% $6,000 Year 3 $6,000 $600 $3,000 $600 $3,600 $2,400 40% $6,000 $6,000 Annual Revenue ($M) $600 Year 5 $6,000 $3,000 $600 $3,600 $2,400 40% $3,000 $3,000 $3,000 $0 $0 $0 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $6,000 $600 Year 6 $6,000 $3,000 $600 $3,600 $2,400 40% $6,000 $3,000 $0 $3,000 $3,000 $600 60#61CONSOLIDATED BALANCE SHEET Taboola ($ in millions) Cash, cash equivalents and short-term deposits Total Assets Total Liabilities & Convertible Shares Accumulated Deficit Additional Paid-in-capital Total Shareholders' Equity As of Dec 31, 2019 $116 $ 482 $ 475 $ (40) $ 47 $ 7 As of Dec 31, 2020 $ 243 $580 $ 534 $ (31) $78 $ 47 As of Dec 31, 2021 $ 319 $ 1,598 $ 830 $ (56) $ 824 $768 As of Dec 31, 2022 $263 $1,530 $695 $(68) $903 $835 61#622023 FULL YEAR GUIDANCE: EX-TAC GROSS PROFIT RECONCILIATION Taboola ($ in millions) Revenues Traffic Acquisition Cost (TAC) Other Cost of Revenues Gross Profit Other Cost of Revenues ex-TAC Gross Profit Guidance FY 2023 $1,419 to $1,469 ($893 - $923) ($107 - $113) $416 to $436 $107 - $113 $526 to $546 62#63Note Regarding Adjusted EBITDA Guidance Although we provide guidance for Adjusted EBITDA, we are not able to provide guidance for projected Net income (loss), the most directly comparable GAAP measure. Certain elements of Net income (loss), including share-based compensation expenses, are not predictable due to the high variability and difficulty of making accurate forecasts. As a result, it is impractical for us to provide guidance on Net Income (loss) or to reconcile our Adjusted EBITDA guidance without unreasonable efforts. Consequently, no disclosure of projected Net income (loss) is included. For the same reasons, we are unable to address the probable significance of the unavailable information. Taboola#64Taboola THANK YOU!