CalAmp : IR Presentation - January 2021

World-Class Telematics

Connectivity. Analytics. Data in Motion.

IR Presentation

January 2021

Forward Looking Statements

This presentation may contain forward-looking statements that are intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are neither historical facts nor assurances of future performance. These forward-looking statements include, but are not limited to, future strategic plans and other statements that describe our business strategy, outlook, objectives, plans, intentions or goals, and any discussion of future operating or financial performance, including, without limitation, the long-term growth of our revenue and gross margin. The words "may," "will," "expect," "plan," "anticipate," "could," "intend," "target," "project," "estimate," believe," "predict," "potential" or "continue" or the negative of these terms or other similar expressions are intended to identify forward-looking statements, although not all forward-looking statements may contain these identifying words. Accordingly, you should not place undue reliance on such statements. Particular uncertainties that could materially affect future results include any risks associated with global political and economic conditions and concerns; the effects of global outbreaks of pandemics or contagious diseases or fear of such outbreaks, such as the ongoing and resurgent coronavirus (COVID-19) pandemic; disruptions in sales, operations, relationships with customers, suppliers, employees, and consumers given our decision to wind-down LoJack U.S. operations, as well as unanticipated developments that may prevent or delay our wind- down activities; our ability to successfully and timely accomplish our transformation to a SaaS company; our transition out of the automotive vehicle financing business; competitive pressures; pricing declines; demand for our MRM products; rates of growth in our target markets; prolonged disruptions of our contract manufacturers' facilities or other significant operations; force majeure or force-majeure-like events at our contract manufacturers' facilities; the ongoing diversification of our global supply chain; our dependence on outsourced service providers for certain key business services and their ability to execute to our requirements; our ability to improve gross margin; cost-containment measures; legislative, trade, tariff, and regulatory actions; integration, unexpected charges or expenses in connection with our acquisitions; the impact of legal proceedings and compliance risks; implementation of our new ERP system; the impact on our business and reputation from information technology system failures, network disruptions or losses or unauthorized access to, or release of, confidential information; the ability of the Company to comply with laws and regulations regarding data protection and privacy; our ability to protect our intellectual property and the unpredictability of any associated litigation expenses; any expenses or reputational damage associated with resolving customer product and warranty and indemnification claims; our ability to sell to new types of customers and to keep pace with technological advances; market acceptance of the end products into which our products are designed; and other events and trends on a national, regional and global scale, including those of a political, economic, business, competitive, and regulatory nature. Any forward-looking statement is based on current plans and expectations of our management, expressed in good faith and believed to have a reasonable basis. However, there can be no assurance that anticipated results will be achieved. More information on factors that could cause actual results to differ materially from those anticipated is included in the Risk Factors section in our most recent Annual Report on Form 10-K, and other documents filed from time to time with the Securities and Exchange Commission. The forward-looking statements included in this presentation speak only as of the date hereof, and we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

1

Telematics pioneer	Global
for 39 years.	Operations

#1 Global	1.3 million	Over 300 Global
Telematics devices
Patents &
company with 20	SaaS subscribers
55 Patents Pending
million in the field

Company Overview

CalAmp is a telematics pioneer leading transformation in a global connected economy

		Revenues ($M)
			8% CAGR
Nasdaq: CAMP			$366	$364	$366
Irvine, CA headquarters		$351
$88M in total revenue in the Third Quarter, FY2021	$281	$62	$64
~ includes approximately 31% in international revenue	$36
SaaS revenue reached 39% of consolidated revenue in Q3
FY2021		$289	$302	$288
	$245	$241

26% SaaS revenue growth CAGR (5 Years)

FY16	FY17	FY18	FY19	FY20
~1,032 Employees	Telematics Systems	SaaS

Fiscal Year ends February 28th

5

CalAmp Leadership Team

Jeff Gardner

President, CEO & Director

Kurt Binder

Arym Diamond

Jeff Clark

Steve Moran

Anand Rau

Executive VP & CFO

SVP, Chief Revenue Officer

SVP, Product Management

SVP, General Counsel & Secretary

SVP, Engineering

Nathan Lowstuter		Justin Schmid	Nadine Traboulsi		Monica Van Berkel
SVP, Global Supply Chain and
SVP & GM, LoJack International	SVP, Corporate Marketing	SVP, Human Resources
	Operations		Operations

6

Strategic Operating Plan

1. Increase Organic Growth Rate of SaaS Business
2. Engage at Strategic Level with Key Customers
3. Focus Valuable R&D Resources on Most Promising Verticals
4. Accelerate Supply Chain Improvements
5. Transition Hardware to Recurring Telematics Model

6 Improve EBITDA by Focusing on Most Profitable Markets

7

CalAmp Model Transition with Increased SaaS Revenue

A company with solid foundation for long-term growth and profitability

FY2020 | Historical Financials

$366M Revenue

39% Gross Margin

10% Adjusted EBITDA

Long-Term Target Model

+10% Y/Y Revenue Growth

50% Gross Margin

20% Adjusted EBITDA

	34%	40%
66%
	60%

SaaS

Telematics Systems

Connected Telematics Solutions

SaaS Solutions and Data Monetization

8

CalAmp - LoJack U.S. SVR Wind Down Plan

Announced wind down of LoJack U.S. operations effective December 2020

Maintain Brand Equity

Ensure consumer brand remains strong for international entities

Current Service Obligation

Fulfill commitment to public safety and support continuing vehicle recovery services

Dealer Relationships

Transition significant, long-standing relationships into CalAmp customers

Nationwide Coverage

Optimize tower coverage in certain metropolitan areas to meet service obligations

Law Enforcement

Maintain partnerships with U.S. law enforcement agencies in select metropolitan areas

Telematics Transition

Transition relevant partnerships to next-gen telematics with subscription model - broader CalAmp solutions

9

CalAmp's Technology - Enabling an Ecosystem

Data & analytics to propel your digital transformation

©2020 CalAmp | Private and Confidential 11

Representative Customer Base

CalAmp technology - a hub for business-critical data and decisions

Telematics Systems

Software & Subscription Services

*CalAmp supplies its products, services, and solutions to these representative customers. The trademarks and trade names mentioned are the property of their respective owners.

12

CalAmp Global Revenue Growth Drivers

Uniquely positioned to drive adoption of telematics for emerging applications

Drive SaaS applications across key vertical markets

Monetize installed base of telematics devices

Capitalize on 3G to 4G technology migration

13

Financial Slides

Financial Highlights

1. Accelerating SaaS Revenue Growth
2. Growth in Worldwide Subscriber Base
3. Path to Margin Expansion
4. Solid Free Cash Flow Generation
5. Well-CapitalizedBalance Sheet

15

Growing Global Software and Subscription Base

Driving long-term predictable revenues

Global Subscriber Base

Application Subscriptions & Other Services Revenue

22% CAGR

					1,331
		628	730	937
	482
	FY16	FY17	FY18	FY19	FY20
			(in Thousands)
			26% CAGR
					$125
		$59	$64	$76
	$43
	FY16	FY17	FY18	FY19	FY20
			($ in Millions)

16

Revenue and Gross Margin Performance

Solid track record of stable revenue and margin performance

Revenue & Gross Margin

	$351	$366	$364	$366
$281					$252
	42%	41%	41%					40%
	39%	38%	39%
37%				37%
						$80	$84	$88
FY16	FY17	FY18	FY19	FY20*	Q3'21	Q1'21*	Q2'21*	Q3'21*
					YTD*
			Revenue ($M)	Gross Margin (%)

Path to Margin Expansion:

• Product mix improvements
• Cost optimization initiatives
• Exit from non-strategic businesses
• Transition device installed base to SaaS solutions

*Note: Revenue and gross margin were impacted by items contained under "Other favorable (unfavorable) impacts to Adjusted basis net income and Adjusted EBITDA" within the Appendix.

Fiscal Third Quarter 2021 ended 11/30/2020.

17

Profitability & Cash Flow

		Adj. Basis						Free Cash Flow
		Net Income			Adjusted EBITDA
									$59
				$49	$49	$52
				$48
$42	$39	$42	$40						$43
					$37
							$36
							$21		$18
			$15
								$13
			$2						$-
FY16	FY17 FY18 FY19 FY20 YTD'21		FY16	FY17	FY18 FY19 FY20 YTD'21	FY16 FY17 FY18 FY19 FY20* YTD'21
	Adj. Basis Net Income ($M)			Adjusted EBITDA ($M)	Free Cash Flow ($M)

*Free cash flow is calculated as: net cash flow from operating activities less capital expenditures. See Appendix for reconciliation of GAAP to Non-GAAP figures. Free cash flow was negative in FY20 due to our GAAP net loss of $79.3 million coupled with net cash outflow for working capital requirements and capital expenditures. The free cash flow metric was not included in this presentation as we believe it is not representative of our operations in fiscal 2020.

18

Appendix

Appendix: Non-GAAP Reconciliations (1 of 2)

CalAmp Corp.

Reconciliation of Non-GAAP Measures to GAAP

(Unaudited)

"GAAP" refers to financial information presented in accordance with U.S. Generally Accepted Accounting Principles. This presentation includes historical non-GAAP financial measures, as defined in Regulation G promulgated by the Securities and Exchange Commission. CalAmp believes that its presentation of historical non-GAAP financial measures provides useful supplementary information to investors. The presentation of historical non-GAAP financial measures is not meant to be considered in isolation from or as a substitute for results prepared in accordance with GAAP.

In this announcement, we report the non-GAAP financial measures of Adjusted basis net income, Adjusted basis net income per diluted share, Adjusted EBITDA (Earnings Before Investment Income, Interest Expense, Taxes, Depreciation, Amortization and stock-based compensation, gain on legal settlement, impairment loss and other adjustments as identified below), and Adjusted EBITDA margin. We use these non-GAAP financial measures to provide investors with an overall understanding of the financial performance and future prospects of our core business activities. Specifically, we believe that the use of these non-GAAP measures facilitates the comparison of results of core business operations between its current and past periods.

Adjusted Basis Net Income and Net Income per Diluted Share					Year Ended February 29/28,							Three Months Ended			Nine Months Ended
The reconciliation of GAAP basis net income (loss) to Adjusted basis (non-GAAP) net income is as follows (in thousands except per share amounts):				2020				Nov 30, 2020				Nov 30, 2020
		2016			2017			2018			2019
GAAP basis net income (loss)	$	16,940	$	(7,904)	$	16,617	$	18,398	$	(79,304)	$	(23,680)	$	(47,580)
Intangible assets amortization expense		6,626			15,061			14,989			11,436				12,321				1,855				5,591
Stock-based compensation expense		5,854			7,833			9,298			11,029				12,421				3,030				8,624
Non-cash interest expense		4,613			6,232			6,627			10,406				13,764				2,493				7,712
GAAP basis income tax provision (benefit)		4,572			(1,563)			10,681			(1,330)				20,454				319				825
Equity in net loss of affiliate and related impairment loss		829			1,284			1,411			6,787				530				-				-
Acquisition and integration expenses		1,980			4,513			-			935				2,210				-				-
Loss on extinguishment of debt		-			-			-			2,033				2,408				-				-
Gain on legal settlement		-			-			(28,333)			(18,333)				-				-				-
Litigation and non-recurring legal expenses		2,900			9,192			10,738			(11,020)				6,213				205				1,168
Restructuring		-			-			-			8,015				4,400				92				2,551
Impairment loss		-			-			-			-				19,143				17,999				22,574
Other		-			5,073			1,008			1,530				1,534				450				1,105
Adjusted basis income before income taxes
	44,314			39,721			43,036			39,886				16,094				2,763				2,570
Income tax provision (non-GAAP basis) (a)		(499)			(1,164)			(875)			(78)				(1,050)				(150)				(430)
Adjusted basis net income
$	42,399		$	38,557		$	42,161		$	39,808			$	15,044			$	2,613			$	2,140
Adjusted basis net income per diluted share	$	1.15	$	1.06	$	1.17	$	1.13	$	0.44	$	0.07	$	0.06
Weighted average common shares outstanding on diluted basis		36,950			36,397			36,139			35,294				33,934				34,873				34,490

(a) The non-GAAP income tax provision represents cash taxes paid or payable for the period after giving effect to the utilization of net operating losses and tax credit carry forwards.

20

Appendix: Non-GAAP Reconciliations (2 of 2)

Adjusted EBITDA and Adjusted EBITDA Margin

The reconciliation of GAAP basis net income (loss) to Adjusted EBITDA, and the calculation of Adjusted EBITDA margin, are as follows (in thousands):

					Year Ended February 29/28,						Three Months Ended		Nine Months Ended
		2016			2017			2018			2019			2020				Nov 30, 2020			Nov 30, 2020
GAAP basis net income (loss)	$	16,940	$	(7,904)	$	16,617	$	18,398	$	(79,304)	$	(23,680)	$	(47,580)
Investment income		(1,871)			(1,691)			(2,256)			(5,258)			(4,497)				(584)			(1,282)
Interest expense		7,595			9,896			10,280			16,726			20,096				3,880			11,814
GAAP basis income tax provision (benefit)		4,572			(1,563)			10,681			(1,330)			20,454				319			825
Depreciation and amortization		10,208			23,469			22,957			20,016			31,987				6,880			20,599
Stock-based compensation expense		5,854			7,833			9,298			11,029			12,421				3,030			8,624
Equity in net loss of affiliate and related impairment loss		829			1,284			1,411			6,787			530				-			-
Loss on extinguishment of debt		-			-			-			2,033			2,408				-			-
Acquisition and integration related expenses		1,980			4,513			-			935			2,210				-			-
Litigation and non-recurring legal expenses		2,900			9,192			10,738			(11,020)			6,213				205			1,168
Gain on legal settlement		-			-			(28,333)			(18,333)			-				-			-
Restructuring		-			-			-			8,015			4,400				92			2,551
Impairment loss		-			-			-			-			19,143				17,999			22,574
Other		-			4,339			989			217			840				630			1,388
Adjusted EBITDA
$	49,007		$	49,368		$	52,382		$	48,215		$	36,901			$	8,771		$	20,681
Other Favorable (Unfavorable) impacts to Adjusted basis net
income & Adjusted EBITDA (b):
Deferred revenue purchase accounting adjustment
								$	-	$	(8,622)	$	(778)	$	(2,535)
Manufacturing variances											(1,522)			(4,326)				-			-
Resolution of a product performance matter											-			-				-			(1,400)
Inventory excess and obsolescence											(2,496)			(2,896)				-			(596)
Total other Favorable (Unfavorable) impacts to Adjusted basis net
									$	(4,018)		$	(15,844)		$	(778)		$	(4,531)
income & Adjusted EBITDA
Revenue	$	280,719	$	351,102	$	365,912	$	363,800	$	366,107	$	88,012	$	251,764
Adjusted EBITDA margin		17%			14%			14%			13%			10%				10%			8%

(b) Other favorable (unfavorable) impacts to Adjusted basis net income (loss) and Adjusted EBITDA represent financial impacts that cannot be included in these Non-GAAP measures, but management believes can provide insights into underlying operational earnings for the periods presented above. These items include deferred revenue purchase accounting adjustment resulting from business acquisitions which reduces revenue and gross profit, resolution of a product performance matter with a customer and inventories related to the automotive vehicle financing business that are obsolete or in excess of demand forecast.

21

Business Cases

CalAmp iOn for Service Fleet with iOn Tag Micro Services

EXIT

6:00 am -	• Van has appropriate	6:15 am -
• Driver logs in mobile app	tools for job	• Departing from yard

• App automatically pairs driver

with vehicle based on skill set	7: 00 am -

• Driver arrived at worksite

2:02 pm -

• Driver heads back to

worksite to retrieve tool

• Alert sent to driver on app	2:00 pm -
saying item is missing
• Driver leaving worksite

3: 00 pm -

• Driver arrived back to yard and

disconnected from vehicle	23

CalAmp iOn for Asset Management: The Cargo Journey

6:00 am - Deployment Validation

		6:30 am -
7:02 am -	6:51 am -	• In-Transit Validation
• Temperature Logging	• Shock Logging

7:23 am -	7:27 am -	7:30 am -
• Delivery Validation
• Location Logging	•	Light Logging

24

The Student Journey - Here Comes The Bus / SureDrive + CrashBoxx

Before school

After school

3:45 pm -

• Parent checks in on children through SureDrive app

7:40 am -	7:55 am -
•	Parent receives alert via SureDrive that	•	Bus arrives at bus stop
•	bus is approaching bus stop	7:56 am -
Parent communicates to child to leave	•	Parent receives alert that
	for bus stop		child got on bus

8:15 am -

• Parent receives alert that bus arrived

• Child gets off the bus

3:35 pm -	1:30 pm -
•	Teen sibling picks up child from school	•	School fundraiser for
			the sale of SureDrive

4:45 pm -

• Children arrive home and

alert is sent to Parent

4:00 pm -

• Parent learns that teen has a minor fender bender via CrashBoxx Instant Crash Alerts

25

Case Study

Challenge

A major logistics company was struggling to find and provide status updates for each one of their trailers to optimize integration for their delivery service. It required significant amounts of staff to scour depots nationwide to continuously capture utilization data

Solution

CalAmp's asset telematics solution was selected to help streamline the management of thousands of trailers, providing location and other data to the CalAmp Telematics Cloud for reporting and notification alerts. CalAmp's TTU devices were installed on the trailers in a weekly rotation

Results

The company has benefited from real-time information, while reducing manual labor. They are now better able to schedule the trailers based on location and reduce idle time. The data helps them right-size their fleet and optimize utilization