Log mein investor-day-december-19-2017

LogMeIn Investor Day
DECEMBER 19TH, 2017

Welcome
ROB BRADLEY
VICE PRESIDENT, IR

2© 2017, LogMeIn, Inc.
Safe Harbor
This presentation contains forward-looking statements, as defined by federal and state securities laws. Forward-looking statements include statements
concerning plans, objectives, goals, strategies, expectations, intentions, projections, developments, future events, performance or products, underlying
assumptions, and other statements which are other than statements of historical facts. In some cases, you can identify forward-looking statements by
terminology such as “may,” “will,” “should,” “hope,” “expects,” “intends,” “plans,” “anticipates,” “contemplates,” “believes,” “estimates,” “predicts,” “projects,”
“potential,” “continue,” and other similar terminology or the negative of these terms. From time to time, we may publish or otherwise make available forward-
looking statements of this nature. All such forward-looking statements, whether written or oral, and whether made by us or on our behalf, are expressly qualified
by the cautionary statements described in this message including those set forth above. Forward-looking statements are only predictions that relate to future
events or our future performance and are subject to known and unknown risks, uncertainties, assumptions and other factors, many of which are beyond our
control, that may cause actual results, outcomes, levels of activity, performance, developments or achievements to be materially different from any future
results, outcomes, levels of activity, performance, developments or achievements expressed, anticipated or implied by these forward-looking statements. As a
result, we cannot guarantee future results, outcomes, levels of activity, performance, developments or achievements and there can be no assurance that our
expectations, intentions, anticipations, beliefs or projections will be achieved or accomplished. These forward-looking statements are made as of the date
hereof and are based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. LogMeIn’s actual
results could differ materially from those stated or implied in forward-looking statements. Past performance is not necessarily indicative of future results. We
do not intend to update these forward looking statements even though our situation may change in the future. Further, we encourage you to review the risks
that we face and other information about us in our filings with the SEC, including our Annual Report on Form 10-K which was filed March 1, 2017, and our
Quarterly Reports on Form 10-Q, all of which are available at www.SEC.gov. We have also included GAAP and non-GAAP and adjusted EBITDA financial
measures in this presentation. A reconciliation of GAAP and non-GAAP financial measures are available in our press release dated October 26th, 2017 located
on our website at www.LogMeInInc.com.

Agenda
Welcome
Strategy Overview
Collaboration
Identity & Access Management
Service
Financial Update
Q&A
Rob Bradley
Bill Wagner
Chris Battles
Matt Kaplan
Paddy Srinivasan
Ed Herdiech

Strategic Overview
BILL WAGNER
PRESIDENT & CEO

Unlock the potential of the
modern workforce

+ Disruptive innovator
+ Freemium go-to-market
+ Efficient development
+ Adjacent markets
+ Pricing & packaging
+ Efficient inside sales
$0
$200
$400
$600
$800
$1,000
$1,200
+ Portfolio of leading products
+ Unique financial profile
+ Market expansion opportunities
join.me,
LastPass,
& Bold
Growth
Legacy
Start-up success story
2003 - 2012
Maturing public company
2013 - 2016
SaaS at scale
2017 and beyond
Pro &
Rescue
$0
$100
$200
$300
$400

595%
LogMeIn’s total return from IPO
through December 1, 2017

A $6B company with scale
>2M
Customers
>6B
Annual
interactions
4M
Daily
active users
24M
Free users

A $6B company with operational leverage
Global
engineering
centers
High-velocity
go-to-market
model
Enormous base
of customers
& users
Portfolio of
leading
products

Power of the
end user
experienced some level of
unauthorized provisioning of
cloud services
83%of surveyed CEOs
TRENDS

Evolving modern
workforce
will be made up of millennials
in the next decade
75%of the workforce
TRENDS

Artificial intelligence
85%of customer interactions
will be managed without a human
TRENDS
Gartner

Poised for strategic expansion
$2.9B
$0.6B
$1.3B
Web
Conferencing1
Remote
Support
& Chat3
Remote
Access2
Current market opportunity
$25.5B
$6.8B
$13.8B
Unified
Communication
& Collaboration
(UCC)4
Customer Service
& Contact
Center6
Identity and Access
Management5
Expanded market opportunity
1Frost & Sullivan, Analysis of the Global Web Conferencing Market, January 2016, 2IDC,, Worldwide Remote Access Services and Applications 2013–2017. 3Frost & Sullivan, Web Chat Market, June 2015, and IDC, Worldwide Clientless Remote
Support Software, September 2015, 4IDC, Worldwide Unified Communications and Collaboration Revenue Snapshot, 2016-2021, May 2017, 5IDC, Worldwide Identity and Access Management Forecast 2017-2021, August 2017, 6Forrester
Research, The Business Applications Landscape 2017 To 2020, November 2017

$2.9B
$0.6B
$1.3B
Web
Conferencing1
Remote
Support
& Chat3
Remote
Access2
$25.5B
$6.8B
$13.8B
Unified
Communication
& Collaboration
(UCC)4
Customer Service
& Contact
Center6
Identity and Access
Management5
1Frost & Sullivan, Analysis of the Global Web Conferencing Market, January 2016, 2IDC,, Worldwide Remote Access Services and Applications 2013–2017. 3Frost & Sullivan, Web Chat Market, June 2015, and IDC, Worldwide Clientless Remote

$2.9B
$0.6B
$1.3B
Web
Conferencing1
Remote
Support
& Chat3
Remote
Access2
$25.5B
$6.8B
$13.8B
Unified
Communication
& Collaboration
(UCC)4
Customer Service
& Contact
Center6
Identity and Access
Management5
1Frost & Sullivan, Analysis of the Global Web Conferencing Market, January 2016, 2IDC, Worldwide Remote Access Services and Applications 2013–2017. 3Frost & Sullivan, Web Chat Market, June 2015, and IDC, Worldwide Clientless Remote

Unlocking the potential of the modern workforce
SaaS portfolio at scale
Operational leverage
Strong secular trends
Poised for market expansion

Collaboration
CHRIS BATTLES
CHIEF PRODUCT OFFICER

Key themes
Opportunities to accelerate growth
Compelling market position

190
Countries
worldwide
17B
Audio minutes
per year
28M
Participants
per month
+$590M
Revenue
2017E
Collaboration by the numbers

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
$50M
$73M
$134M
$335M
2017E
Our Collaboration portfolio
Sustained growth through adding new solutions to meet specific user needs

Our markets
Mid-marketMicro-Businesses/
solopreneurs
SMB Enterprise
Customers we serve
Problems we solve
Video
conferencing
Audio
conferencing
Business
voice
Training &
enablement
On-demand
lead gen
Web
events

Our markets
Mid-marketMicro-businesses/
solopreneurs
SMB Enterprise
Customers we serve
Problems we solve
Business
voice
Training &
enablement
On-demand
lead gen
Web
events
Video
conferencing
Audio
conferencing

Our markets
solopreneurs
SMB Enterprise
Customers we serve
Problems we solve
Video
conferencing
Audio
conferencing
Business
voice
Training &
enablement
On-demand
lead gen
Web
events

Our markets
solopreneurs
SMB Enterprise
Customers we serve
Problems we solve
Video
conferencing
Audio
conferencing
Training &
enablement
On-demand
lead gen
Web
events
Business
voice

Key themes

Accelerating growth
$25.5B
TAM2
Unified
Communication
& Collaboration
$2B+
TAM3
Vertical
markets
$2.9B
TAM1
Web
Conferencing
1Frost & Sullivan, Analysis of the Global Web Conferencing Market, January 2016, 2IDC, Worldwide Unified Communications and Collaboration Revenue Snapshot, 2016-2021, May 2017,, 3IAB, Internet Advertising Revenue Report November 2016

Our strategy for growth
Better meetings

Better meetings Expand interactions

Better meetings Expand interactions Vertical solutions

Better meetings

Better meetings
Eliminate friction
1

Better meetings
Eliminate friction
1
Best in class audio
and screen sharing2

Better meetings
Eliminate friction
1
Unlocking
meeting value3
Best in class audio
and screen sharing
2

VIDEO

Better meetings
Eliminate friction
1
Best in class audio and screen sharing
2
Unlocking meeting value
3

Expand interactions
ANY DEVICE ANY LOCATION
Unified experience
MEETING
Voice
Video
conferencing
Audio
conferencing
Screen sharing
Document
sharing
Presence
Text
Team
messaging
Fax

Expand interactions
join.me: The UCC for
micro-biz/solopreneurs1

micro-biz/solopreneurs
Expand interactions

Mid-marketSMB EnterpriseMicro-businesses/
solopreneurs
Expand interactions

Expand interactions
1
GoTo expand outside
the meeting: Messaging2

Expand interactions
GoTo expand outside
the meeting: Messaging

Expand interactions
1
GoTo expand outside
the meeting: Voice3
GoTo expand outside
2

Expand interactions
1
3
GoTo expand outside
2
GoTo expand outside
the meeting: Voice

Vertical solutions

Vertical solutions
By the numbers
#1
Market position
10%
Growth
$134M
Revenue

Vertical solutions
#1
Lead gen tactic
#1
Challenge
$2B
Lead gen spend
Marketer, lead gen & webinars
By the numbers

Vertical solutions
Win with Live
1

Vertical solutions
Win with Live
1
Move into on-demand
2

Vertical solutions
Move into on-demand

Vertical solutions
Win with Live
1
Tailored coaching
and insight3
Move into on-demand
2

Vertical solutions
Win with Live
1
3
Move into on-demand
2
Tailored coaching and insight

Vertical solutions

Summary
Better
meetings
Expand
interactions
Vertical
solutions

Identity & Access Management
MATT KAPLAN
GM EMERGING PRODUCTS

Agenda
History of LogMeIn Access
Evolution of Identity strategy
Expanding our market opportunity

LogMeIn Access and Identity portfolio
$286M
2017E
REVENUE
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Key Strategies
+ Understanding our customer needs
+ Adapting to trends in cloud and mobility
+ Optimizing go-to-market strategies

Sustained growth by optimizing go-to-market and discovering new customer needs
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Introduced LogMeIn
mobile apps
Ended
LogMeIn Free
Optimized
packaging
Remote Access

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Remote Access
Remote Access
Opportunity for margin
expansion

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
SMB-IT
focused
packaging
Introduced endpoint
security features
Remote Access
IT Support and Device Mgmt
Remote Access

Leader in a mature market
We serve
$600M
remote access
market1
10Mweekly sessions
750kcustomers
70kIT providers
1IDC, Worldwide Remote Access Services and Applications 2013–2017

2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Remote Access
Remote Access

Remote Access
Password Management
Remote Access
Accelerated growth
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
LastPass fit LogMeIn profile
+ Big and growing problem
+ Freemium leader
+ Personal/SMB use cases

60%
of companies expect to
be breached in 2017
$7.3M
is the cost of an average
breach in US2
Cybersecurity is “the number one problem with mankind”
— Warren Buffett
1 71% of cyber attacks occur at businesses with fewer than 100 employees 2 Ponemon Institute© Research Report – June 2017.
5 Months
is the average time to
detect a breach
Cybersecurity is a serious business risk

The largest threat surface is the “human factor”
4.2B
Number of passwords leaked in 2016
due to massive hacks like Yahoo!
191
Average number of passwords in use
by employees
2017
2016
81%
63%
Hacking-related breaches caused by
weak or stolen passwords

VS
IT practices are not solving for the human factor
Protect and control
IT needs to increase the security posture of the
organization amidst the increased risk
employee behavior introduces
Get work done
Employees want productivity and
convenience and always find the path of
least resistance to get work done

LastPass solves the human problem effortlessly
PERSONAL BUSINESSES
69%
of employees
would use a
password
manager if it were
offered to them 64%
of IT execs have
no technology in
place to monitor
password sharing
78%
of IT executives
do not have full
control of all the
cloud-based apps

LastPass
is used by
companies of
all sizes and
industries

Market leader in
password management
We serve
$1.7B
cloud IAM
market1
13MUsers
850kCustomers
33kBusinesses
1Component, Cloud IAM Market

The “human factor” is driving evolution in security
Use non-sanctioned
IT apps for work
Use untrusted public
Wifi networks
Share company files
using personal accounts
Use personal
devices for work

20
$0.6B
PAM1
$4.6B
Endpoint
Protection2
$7.8B
Cloud App Security3
$3.5B
SSO1
Adjacent SMB
security needs
$6.8B
Identity and Access
Management1
1IDC, Worldwide Identity and Access Management Forecast 2017-2021, August 2017, 2IDC, Worldwide Endpoint Security Forecast, 2016–2020, October 2016,
3Component, Cloud Application Security Market

Extend value
of core Access
products
© 2017, LogMeIn, Inc.
Win password
management
Solve adjacent
security needs
Our playbook
© 2017, LogMeIn, Inc.

Service
PADDY SRINIVASAN
CES GENERAL MANAGER

2© 2017, LogMeIn, Inc. 2© 2017, LogMeIn, Inc.
250M
Support Sessions
1B
Interactions
55K
Customers
Service cloud by the numbers
$185M
2017E Revenue

Service Cloud Business Market Trends Our Strategy

business
Customer
Engagement
> 10 digital channels including Live
chat, Self Service, knowledge
management & conversational BOTs
Full lifecycle management of digital
Interactions
Employee
Support
Power tools for remote diagnostics,
fixing of computers & mobile devices
Market leader in
technical remote support
our

Large B2C Contact Centers,
Tech, Telcos, Online
retailers, Travel, Education
Internal IT Departments,
Managed Service Providers,
Business Process Outsourcers
Customer
Engagement
Employee
Support
customers
our

6© 2017, LogMeIn, Inc. 6© 2017, LogMeIn, Inc.
THEN NOW
Agent Led Self-Service first
PC Centric Cloud, App centric
Reactive Support Proactive Service

95%->70%
2014-17
Voice
customer service channels are
changing …
Plan Now for Critical Shifts in Customer Interaction Patterns
Gartner: June 2017
Digital Channels

65%
digital channels
2020
Voice
Messaging
Live Chat
Chatbot
In -App
Proactive
CoBrowse
Social
customer service
channels are changing
…rapidly
Video

Call center
Infrastructure &
software
Digital
engagement
software
CRM service
management
software
customer
service
software stack
Users
COMPANY

Call center
Infrastructure &
software
Digital
engagement
software
CRM service
management
software
Forrester: The Business Applications Landscape 2017 To 2020: SaaS Disruption And Vendor Proliferation
$4B
customer
service
software stack

engagement
software
digital
Call center
Infrastructure &
software
CRM - Service
Management Software
Digital
Engagement
Software
$14B
Forrester: The Business Applications Landscape 2017 To 2020: SaaS Disruption And Vendor Proliferation

Our Strategy
platform consolidation
streamlined packaging
intelligent engagement

AI Powered
Enable our customers
deliver superior customer experience
reduce delivery costs
have happier, engaged employees & agentsengagement
intelligent
Omni-Channel Contextual

Live Web Chat
Email
Messaging
Digital Self-Service
In-App Engagement
Facebook Messenger
Apple Messaging
Google Click to Chat
Whatsapp business
…
Co-Browse
Remote View
Agent Video
Live streaming
Remote Diagnostics
Remote Control
Omni-Channel
engagement
intelligent
Channels
Tools
NPS
AHT
FCR
AI Powered Contextual

AIREMOTE TECH SUPPORT
Self Service IT Support
Smart Diagnostics
CRM SERVICE MANAGEMENT
Smart Agent Assistance
Automation of Actions
Omni-Channel
DIGITAL ENGAGEMENT
Channel Steering , Agent routing
3600 graph of the userengagement
intelligent
AI Powered
Contextual

Interaction
history based
Location
sensitive
Identity driven
Asset aware
Omni-Channel
engagement
intelligent
Contextual
AI Powered

AI Powered
Enable our customers
deliver superior customer experience
reduce delivery costs
have happier, engaged employees & agents
engagement
intelligent
Omni-Channel Contextual

Financial Update
ED HERDIECH
CHIEF FINANCIAL OFFICER

Agenda
Historical results
Compelling investment thesis
Financial outlook

Key business drivers
SaaS
innovator
Pioneer in
freemium
High
volume
sales
Predictable
business
model
Market
expansion

Highly scalable SaaS platform
$74M
$1.02B
Revenue
$13M
$369M
Adjusted EBITDA
$21M
$306M
Free cash flow
2009 2017E 2009 2017E 2009 2017E
A reconciliation of GAAP and non-GAAP financial measures are available in our press release dated October 26, 2017 located on our website at www.LogMeInInc.com.

LogMeIn’s total
shareholder return
has outpaced peers
and the broader
market
Average annual total shareholder return
2009-2017
25%
19%
14%
LogMeIn Peers S&P500
Peers include: Ansys, Inc. Blackbaud, Inc. Cadence Design Systems, Inc. Citrix Systems, Inc. F5 Networks, Inc. j2 Global, Inc. NetScout Systems, Inc.
Nuance Communications, Inc. Open Text Corporation PTC Inc. RealPage, Inc. Red Hat, Inc. Tyler Technologies, Inc. Barracuda Networks, Inc. GoDaddy Inc.

Platform for growth
$1.1B $369M $6/share
6%
Revenue
growth
36%
Adjusted
EBITDA
margin
30%
Free
cash flow
margin

$2.9B
$0.6B
$1.3B
Web
Conferencing1
Remote
Support
& Chat3
Remote
Access2
$25.5B
$6.8B
$13.8B
Unified
Communication
& Collaboration
(UCC)4
Customer Service
& Contact
Center6
Identity and Access
Management5
1Frost & Sullivan, Analysis of the Global Web Conferencing Market, January 2016, 2IDC, Worldwide Remote Access Services and Applications 2013–2017. 3Frost & Sullivan, Web Chat Market, June 2015, and IDC, Worldwide Clientless Remote

2018-2019
$590M
To be deployed through 2019
2013-2017E
$270M
Share repurchases
$180M
Disciplined capital returns
Dividends
$90M

Financial outlook
2017E
Revenue
$1,021M - $1,022M
~6%
EBITDA
$366M - $369
~36%
FCF
$306
~30%
Capital return $110M
Leverage $0
2018 Outlook (Organic)
$1,135M - $1,150M
5% - 6%
$440M
38% - 39%
14% YoY
$375M
32% - 33%
19% YoY
$285M
$0
2020 Targets (Organic)
$1,250M - $1,325M
5% - 7%
$525M
40% - 41%
11% CAGR
$450M
34% - 35%
12% CAGR
$900M
Over three year period
$0
The above table is a depiction of long-term management targets and should not be construed as forecasts, projections, or guidance, and the 2018 and 2020 YoY growth rates are based on pro forma 2017 results

M&A criteria
Strategic
opportunity
Leveraging our
operational
strengths
Long-term
accretive
Debt:
2.0X – 2.5X
EBITDA

Summary
Scalable and predictable platform
Large adjacent market opportunities
Compelling investment thesis

Unlocking the potential of the modern workforce
SaaS portfolio at scale
Operational & financial leverage
Poised for market expansion

Log mein investor-day-december-19-2017

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