EX-99.2 3 aaxnq32017-supplementalres.htm EXHIBIT 99.2 Exhibit


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Operating Metrics (Unaudited)
 
 
2017
 
2016
 
2015
 
 
Q3
Q2
Q1
 
Q4
Q3
Q2
Q1
 
Q4
Q3
 
 
 
 
 
 
 
 
 
 
 
 
 
Axon & Evidence.com Bookings (millions)
 
$
78.0

$
81.9

$
60.1

 
$
72.5

$
57.5

$
72.0

$
52.1

 
$
44.7

$
36.9

Sequential % Change
 
-5
 %
36
%
-17
 %
 
26
%
-20
 %
38
%
17
%
 
21
%
21
%
 
 
 
 
 
 
 
 
 
 
 
 
 
Annual Service Revenue (millions) (1)
 
$
63.7

$
54.7

$
46.2

 
$
40.2

$
32.0

$
21.1

$
18.1

 
$
16.7

$
12.0

 
 
 
 
 
 
 
 
 
 
 
 
 
Future Contracted Revenue (millions) (2)
 
$
494.2

$
446.4

$
390.0

 
$
350.8

$
302.0

$
262.8

$
202.3

 
$
159.0

$
122.4

Sequential % Change
 
11
 %
14
%
11
 %
 
16
%
15
 %
30
%
27
%
 
30
%
29
%
 
 
 
 
 
 
 
 
 
 
 
 
 
Multiple Year Contract % (3)
 
98
 %
97
%
94
 %
 
88
%
89
 %
95
%
95
%
 
92
%
91
%
 
 
 
 
 
 
 
 
 
 
 
 
 
LTV/CAC
 
4.2x

5.5x

4.3x

 
6.0x

4.9x

6.2x

5.1x

 
4.3x

4.6x

 
 
 
 
 
 
 
 
 
 
 
 
 
Weapons Op Inc %
 
30
 %
33
%
35
 %
 
36
%
38
 %
33
%
34
%
 
37
%
35
%
 
 
 
 
 
 
 
 
 
 
 
 
 
Evidence.com new seats booked
 
18,400

20,600

16,400

 
21,400

15,600

20,200

15,800

 
13,200

9,300

 
 
 
 
 
 
 
 
 
 
 
 
 
Evidence.com cumulative seats booked
 
187,400

169,000

148,400

 
132,000

110,600

95,000

74,800

 
59,000

45,800

 
 
 
 
 
 
 
 
 
 
 
 
 
(1) Monthly recurring license, integration, warranty and storage revenue annualized.
 
(2) Cumulative bookings for the Software and Sensors segment minus cumulative recognized revenue related solely to Software and Sensors segment
(3) For orders booked with Evidence.com seats, the % that signed multiple year contracts
 





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SG&A Expenses by Segment (Unaudited)
 
Three Months Ended September 30,
 
Dollar Change
 
Percent Change
 
2017
 
2016
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TASER Weapons segment:
 
 
 
 
 
 
 
 
 
 
 
Salaries, benefits and bonus
$
7,937

 
21.8
%
 
$
6,214

 
22.1
%
 
$
1,723

 
27.7
 %
Stock-based compensation
1,469

 
4.0

 
806

 
2.9

 
663

 
82.3

Professional, consulting and lobbying
3,701

 
10.2

 
2,165

 
7.7

 
1,536

 
70.9

Sales and marketing
1,977

 
5.4

 
1,357

 
4.8

 
620

 
45.7

Travel and meals
1,317

 
3.6

 
1,152

 
4.1

 
165

 
14.3

Other
4,174

 
11.5

 
4,745

 
16.9

 
(571
)
 
(12.0
)
Total TASER Weapons segment
20,575

 
56.5

 
16,439

 
58.5

 
4,136

 
25.2

Software and Sensors segment:
 
 
 
 
 
 
 
 
 
 
 
Salaries, benefits and bonus
7,411

 
20.4

 
4,742

 
16.9

 
2,669

 
56.3

Stock-based compensation
630

 
1.7

 
542

 
1.9

 
88

 
16.2

Professional, consulting and lobbying
2,922

 
8.0

 
2,643

 
9.4

 
279

 
10.6

Sales and marketing
2,242

 
6.2

 
1,568

 
5.6

 
674

 
43.0

Travel and meals
1,652

 
4.5

 
1,354

 
4.8

 
298

 
22.0

Other
966

 
2.7

 
833

 
3.0

 
133

 
16.0

Total Software and Sensors segment
15,823

 
43.5

 
11,682

 
41.5

 
4,141

 
35.4

Total sales, general and administrative expenses
$
36,398

 
100.0
%
 
$
28,121

 
100.0
%
 
$
8,277

 
29.4











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R&D Expenses by Segment (Unaudited)
 
Three Months Ended September 30,
 
Dollar Change
 
Percent Change
 
2017
 
2016
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TASER Weapons segment:
 
 
 
 
 
 
 
 
 
 
 
Salaries, benefits and bonus
$
947

 
6.7
%
 
$
707

 
9.6
%
 
$
240

 
33.9
 %
Stock-based compensation
136

 
1.0

 
143

 
1.9

 
(7
)
 
(4.9
)
Professional and consulting
213

 
1.5

 
230

 
3.1

 
(17
)
 
(7.4
)
Travel and meals
71

 
0.5

 
34

 
0.5

 
37

 
108.8

Other
489

 
3.5

 
294

 
4.0

 
195

 
66.3

Total TASER Weapons segment
1,856

 
13.1

 
1,408

 
19.1

 
448

 
31.8

Software and Sensors segment:
 
 
 
 
 
 
 
 
 
 
 
Salaries, benefits and bonus
8,670

 
61.2

 
3,625

 
49.3

 
5,045

 
139.2

Stock-based compensation
1,631

 
11.5

 
648

 
8.8

 
983

 
151.7

Professional and consulting
476

 
3.4

 
443

 
6.0

 
33

 
7.4

Travel and meals
461

 
3.3

 
179

 
2.4

 
282

 
157.5

Other
1,072

 
7.6

 
1,055

 
14.3

 
17

 
1.6

Total Software and Sensors segment:
12,310

 
86.9

 
5,950

 
80.9

 
6,360

 
106.9

Total research and development expenses
$
14,166

 
100.0
%
 
$
7,358

 
100.0
%
 
$
6,808

 
92.5