#1iteris Investor Presentation NASDAQ: ITI January 2024#2Safe Harbor Statement This presentation may contain "forward-looking statements" within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995. Words such as "anticipates," "expects," "intends," "goals," "plans," "believes," "seeks," "estimates," "continues," "may," "will," "would," "should," "could," and variations of such words and similar expressions are intended to identify such forward-looking statements. These forward-looking statements may include the potential or anticipated growth relating to the total addressable market (TAM) or market opportunity, the development status and planned availability of new products and features, and guidance provided on future revenue, gross margins, and certain operating expenses. All statements that we make or incorporate by reference in the presentation, other than statements or characterizations of historical fact, are forward-looking statements and involved many risks and uncertainties that could cause actual results to differ materially from those expressed or implied in these forward-looking statements. It should be clearly understood that these forward-looking statements, and our assumptions about the factors that influence them, are based on the limited information available to management at the date of this presentation (unless an earlier date is indicated). Such information is subject to change, and we may not inform you when changes occur. We undertake no obligation to revise or update publicly any forward-looking statement to reflect future events or circumstances. Forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that are difficult to predict. Therefore, our actual results could differ materially and adversely from those described in the statements you hear today as a result of various factors. For further information on Iteris, Inc., including additional risk factors that may affect our forward-looking statements that could contribute to such differences or otherwise affect our business, results of operations and financial condition is contained in our Annual Report on Form 10-K, our Quarterly Reports on Form 10-Q, our Current Reports on Form 8-K, and our other SEC filings that are available through the SEC's website (www.sec.gov). For additional financial and statistical information, including the information disclosed in accordance with SEC Regulation G, please see the Investors section of our website (www.iteris.com). Non-GAAP Financial Measures: This presentation includes certain non-GAAP financial measures, such as adjusted EBITDA. To supplement our assessment of results prepared in accordance with GAAP, we use non-GAAP measures as defined by the Securities and Exchange Commission. For a reconciliation of such non-GAAP financial measures to the closest GAAP measure as well as why management believes these measures are useful, see "Non-GAAP Financial Measures" in the Appendix of this presentation. © 2024 Iteris, Inc. All rights reserved. iteris#3Iteris combines leading software, hardware, and services on a platform that's built to enable the future of connected transportation. 10k+ public agency & commercial customers 200k+ sensors installed 2bn+ Detections per day 3 1.5 Petabytes of data processed annually $156.1M FY 2023 revenue 32 patents 17% Year-over-year revenue growth 440 Industry, technical & domain experts 25% Current ARR as % of total revenue © 2024 Iteris, Inc. All rights reserved. As of 09/30/2023 iteris#4Church A7 ONE Liberty Trink We believe the world's oldest infrastructure is also its newest opportunity. Aa iteris#5LO But to unlock this opportunity, we must evolve. From physical network, © 2024 Iteris, Inc. All rights reserved. リ A highly fragmented landscape >$60B legacy market with dozens of categories, each comprised of multiple point solutions. An outdated patchwork of technology Local agencies often struggle to operate in complex, heterogeneous environments, with limited resources and expertise. An impediment to shared goals Despite increasing interdependencies, the existing infrastructure makes it difficult for agencies to collaborate with one another, let alone with industry stakeholders (e.g. auto OEMs, fleet operators, and insurers). iteris#6To data-driven, dynamic ecosystem. 6 0000 0000 0000 0000 DODO 0000 0000 © 2024 Iteris, Inc. All rights reserved. 13 ClearMobility Cloud رود Connected by the cloud The adoption of new cloud architectures and process virtualization will enable greater interoperability. Empowered by always-on insights Virtualizing common challenges will enable agencies and businesses to rapidly shape solutions. Transformed through partnership Ecosystem collaboration will create a virtuous cycle that benefits all participants. iteris#7Only Iteris has what it takes to deliver on the promise of smarter infrastructure for a cloud-connected world. Today Disparate applications Built on outmoded practices. Closed systems Brittle legacy architecture Fragmented resources & support Tomorrow Integrated platform Multi-disciplinary best practices Open, configurable & extensible software Dynamic, intelligent ecosystem Partnership at every step © 2024 Iteris, Inc. All rights reserved. iteris#8How we collaborate is at the center of true connectivity- and lasting transformation. Bridging public and private sectors. Empowering local and global leaders. Developing easily configurable, shared solutions. Working with―not against-our current reality. Designing for a world of constant change. 8 © 2024 Iteris, Inc. All rights reserved. iteris#9We are ushering in the next era of transportation: a virtuous cycle where everyone wins. Smart sensors Detect incoming pedestrian or bicyclist (i.e., vulnerable road users) and alert drivers at the intersection. 6 © 2024 Iteris, Inc. All rights reserved. BACK 0000 0000 0000 0000 0000 DODO DODO # iteris#10We are ushering in the next era of transportation: a virtuous cycle where everyone wins. Smart vehicles Connect to a cloud-based platform that can dynamically harmonize road infrastructure with real-time traffic. 10 10 © 2024 Iteris, Inc. All rights reserved. E 0000 0000 0000 0000 0000 0000 0000 iteris#11We are ushering in the next era of transportation: a virtuous cycle where everyone wins. Smart Apps Push alerts and other critical information about incoming traffic and danger to vulnerable road users. 11 © 2024 Iteris, Inc. All rights reserved. 0000 0000 0000 DOOD 0000 L iteris#1212 We are ushering in the next era of transportation: a virtuous cycle where everyone wins. Smart Systems Provide innovative software and rich mobility data sets that enable agencies and enterprises to create better outcomes for their constituents. © 2024 Iteris, Inc. All rights reserved. 659 F 0000 DOOD 0000 DODO 0000 0000 0000 1 iteris#1313 Where all stakeholders within the infrastructure can collaborate, so smart mobility can thrive. © 2024 Iteris, Inc. All rights reserved. Multi-directional data flow Among public agencies, commercial entities, and the travelling public. 0000 DODD 0000 1 Cloud-powered ecosystem Connecting all elements of the mobility infrastructure and its users. Curated and enriched third-party data Contributes to continuous enhancement in the ecosystem. iteris#14We do this by delivering the industry's first end-to-end platform... Mobility Management Capabilities Routing and Navigation C-V2X Integration Corridor management Real-time, historic and predictive transportation analytics Mobility alerts and notifications Travel time and congestion information Transportation planning and operations Cloud Computing Services Geolocation and mapping Mobility algorithms Object identification and applied Al and classification Mobility data ingestion and enrichment Big data management and analytics 14 © 2024 Iteris, Inc. All rights reserved. ClearMobility Cloud Infrastructure to vehicle communication iteris#15that enables the flexible delivery of industry-leading solutions. Expertise End-Customer 15 © 2024 Iteris, Inc. All rights reserved. Cloud-Enabled Solutions ClearGuide ClearAsset ClearFleet ClearRoute Clear Data™ Congestion Management Asset Management Maintenance Management Cloud-Enabled Delivery Models Software as a Service Platform as a Service Data as a Service Cloud-Enabled Managed Services Third-Party Data Sources ClearMobility Cloud Sensors Third-Party Infrastructure Providers iteris#16Smarter infrastructure means better outcomes. Collaboration Seamless exchange of critical data enables stronger public and private partnerships, resulting in accelerated mobility innovation. Safety Fewer crashes and collisions, fewer injuries, and better data for further improvement. ..... Efficiency Cloud-based platform improves traffic throughput, enables cost sharing, and produces scale benefits. Sustainability Less congestion lowers carbon footprint; data-driven planning enables smarter, greener cities. 16 © 2024 Iteris, Inc. All rights reserved. iteris#17Smarter infrastructure means more possibilities for all stakeholders. Municipal Transportation Operators Emergency Management Departments Infrastructure providers 17 © 2024 Iteris, Inc. All rights reserved. Port Authorities ClearMobility Cloud Fleet Operators Emergency Vehicle OEMs Automotive OEMs Infrastructure users iteris#18Smarter infrastructure means continuous value. $8.3B TAM (NA only) by CY26 8% CY21-26 CAGR >35% or $3.2B of TAM convertible to SaaS or other recurring revenue 18 © 2024 Iteris, Inc. All rights reserved. CY2026 TAM Estimate $0.5B Cloud-Enabled Managed Services $1.0B Platform-as-a-Service $0.5B Data-as- a-Service $1.1B Software-as-a-Service $0.5B Detection Sensors $2.5B Infrastructure Hardware $1.5B Other Services $1.2B Mobility Consulting iteris#19Vision 2027 ~$245M - $265M in revenue by fiscal 2027 (14-16% CAGR*) 199 19 25% ARR 35%-37% ARR FY 2023 $156M Revenue ~76%+ increase in Net Revenues from 2023 $39M ARR to 2027 (mid-point) FY 2027F $245M - $265M Revenue $85M - $98M * Excludes any potential upside from the Infrastructure Investment and Jobs Act (IIJA), future new product introductions, and / or acquisitions © 2024 Iteris, Inc. All rights reserved. ARR iteris®#20Vision 2027 Focus on supply chain improvement plan and operational excellence results in significant improvement in both gross margins and adjusted EBITDA margins 20 20 Gross Margins (%) 27% 2023 49% - 51% 2027F Scale from Revenue Growth + Strategic Acquisitions + Increasing ARR + Prudent Cost Management and Improved Investment Decisions Adj. EBITDA Margin (%) -4% 2023 16% -19% 2027F © 2024 Iteris, Inc. All rights reserved. * Adjusted for one-time non-recurring items iteris#21A Smarter Future q Attractive business model A scalable, platform-based model that addresses critical market requirements, by enabling essential insight and collaboration. Ripe, dynamic market The landscape is primed for Iteris adoption. Public- and private-sector stakeholders are highly vested in the evolution of smarter infrastructure. 6 x Strategic optionality ClearMobility Platform is designed to scale horizontally to address a wide spectrum of agency and enterprise customers. 21 © 2024 Iteris, Inc. All rights reserved. iteris#22Thank you NASDAQ: ITI Contact for Investor Relations: Todd Kehrli (MKR) at [email protected] © 2024 Iteris, Inc. All rights reserved. iteris 22 22#23Key Statistics Trading Data (at 12-29-23) Stock Price 52 Week Low/High Avg. Daily Vol. (3 mos.) 23 23 Shares Outstanding Public Float, est. Institutional Holdings Market Cap Source: Yahoo Finance. ITI fiscal year ends Mar 31. © 2024 Iteris, Inc. All rights reserved. Financial Highlights (at 09-30-23) $5.20 Total Revenue (ttm) $170.2M $2.93/$5.49 93,430 Cash $20.2M 42.73M Total Assets 97.99% Total Debt 50.53% Total Liabilities $222.63M Total Backlog $116.6M $0.0M $49.0M $124.0M iteris#24Non-GAAP Financial Measures Note Regarding Non-GAAP Financial Information This presentation contains non-GAAP financial measures, including Adjusted EBITDA (which excludes interest expense, income tax expense (benefit), depreciation, amortization, stock-based compensation expense, net gain on divestitures, project loss reserves and restructuring charges). The Company believes the presentation of these non-GAAP financial measures provide important supplemental information to management and investors regarding financial and business trends relating to its financial condition and results of operations. The Company's management uses these non-GAAP financial measures along with the most directly comparable GAAP financial measures in evaluating the Company's actual and forecasted operating performance, capital resources and cash flow. The non-GAAP financial information presented herein should be considered supplemental to, and not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. The Company discloses different non-GAAP financial measures in order to provide greater transparency and to help the Company's investors to more meaningfully evaluate and compare the Company's results to its previously reported results. The non-GAAP financial measures that the Company uses may not be comparable to similarly titled financial measures used by other companies. For more information on our non-GAAP financial measures and a reconciliation of such measures to the nearest GAAP measure, please see our latest 10-Q filing. 24 24 © 2024 Iteris, Inc. 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