NICE Systems Investor Presentation November 2015 Forward Looking Statements Disclaimer This presentation contains statements, including statements about future plans and expectations, which constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward looking statements are generally stated in terms of the Company’s plans, expectations and intentions. These statements are based on the current beliefs, expectations and assumptions of the Company’s management and the current economic environment. Forward looking statements are inherently subject to significant economic, competitive and other uncertainties and contingencies, many of which are beyond the control of management. The Company cautions that these statements are not guarantees of future performance. There are or will be important known and unknown factors and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward looking statements. These factors, include, but are not limited to, risks associated with the global economic environment on the Company’s customer base (particularly financial services firms) potentially impacting our business and financial condition; competition; changes in technology and market requirements; decline in demand for the Company's products; inability to timely develop and introduce new technologies, products and applications; difficulties or delays in absorbing and integrating acquired operations, products, technologies and personnel; loss of market share; an inability to maintain certain marketing and distribution arrangements; and the effect of newly enacted or modified laws, regulation or standards on the Company and its products; and other factors and uncertainties discussed in our filings with the U.S. Securities and Exchange Commission (the “SEC”). You are encouraged to carefully review the section entitled “Risk Factors” in our latest Annual Report on Form 20-F and in our other relevant filings with the SEC for additional information regarding these and other factors and uncertainties that could affect our future performance, and undue reliance should not be placed upon these statements. The forward-looking statements contained in this presentation are made as of the date hereof, and the Company undertakes no obligation to update or revise them, except as required by law. SUSTENANCE EXPERIENCES MONEY SAFETY COMMUNITY SPIRITUALITY HEALTH BELONGING PEOPLE’S PRIMARY NEEDS MONEY SAFETY Disrupted by technology as we speak EXPERIENCES Technology is the opportunity Require a unique set of capabilities MONEY SAFETY WHY EXPERIENCES WE KNOW HOW TO WE KNOW HOW TO WE KNOW HOW TO WE KNOW HOW TO capture complex data across multiple sources handle massive amounts of data implement tons of analytics transform technology to business use cases CUSTOMER INTERACTIONS FINANCIAL CRIME AND COMPLIANCE SECURITY EXPERIENCES MONEY SAFETY Making people’s experiences timely and seamless Protecting organizations and their clients in a digital world Ensuring public safety around the world >150 >80% 1986 Countries Fortune 100 Customers Founded ~3,300 ~25,000 NASDAQ: Employees >35 Local Offices Customers ~1200 R&D Professionals CREATING PERFECT EXPERIENCES INNOVATION IN ACTION • Expand multi channel offering • Grow cloud solutions • Increase presence in the mid-market • Further increase analytics NICE ENGAGE & VIDEO EMPLOYEE ENGAGEMENT MANAGER INTERACTIONS IVR JOURNEY OPTIMIZATION ROBOTICS AUTOMATION PROTECTING PEOPLE’S MONEY INNOVATION IN ACTION • Gain dominance in the world of risk operations • Serve tier 2 financial institutions and services • Convergence of Fraud and Cyber • Expand into non-FS verticals HOLISTIC COMPLIANCE FRAUD & CYBER MANAGEMENT HUB PROTECTING PEOPLE AROUND THE WORLD INNOVATION IN ACTION • Expand from incident capture to holistic investigation • Further scale into fast growing digital evidence market NICE INVESTIGATE NICE VISION Empowering organizations to work smarter by unleashing the power of data EXECUTE ON VISION MANAGEMENT TEAM ON BOARD EFFECTIVE OPERATIONAL AND STRATEGIC PLAN INCREASE INNOVATION ENHANCED GOTO-MARKET STRATEGY INTELLIGENCE AND PHYSICAL SECURITY DIVESTITURES MANAGEMENT TEAM ON BOARD EFFECTIVE OPERATIONAL AND STRATEGIC PLAN CORPORATE CFO & Operations INCREASE INNOVATION CUSTOMER INTERACTIONS Product Group Sarit Sagiv Miki Migdal Marketing, Corp. Dev. Americas Eran Liron Tom Dziersk Services & Cloud EMEA Barry Cooper ENHANCED GOTO-MARKET STRATEGY PUBLIC SAFETY Chris Wooten FINANCIAL CRIME & COMPLIANCE Benny Einhorn Joe Friscia HR APAC Sigal Gill-More Feferman Raghav Sahgal INTELLIGENCE AND PHYSICAL SECURITY DIVESTITURES MANAGEMENT TEAM ON BOARD EFFECTIVE OPERATIONAL AND STRATEGIC PLAN INCREASE INNOVATION ENHANCED GOTO-MARKET STRATEGY • Realigning internal processes from R&D to sales • Disciplined expense management • Establish shared services • Align global workforce distribution INTELLIGENCE AND PHYSICAL SECURITY DIVESTITURES MANAGEMENT TEAM ON BOARD EFFECTIVE OPERATIONAL AND STRATEGIC PLAN INCREASE INNOVATION ENHANCED GOTO-MARKET STRATEGY INTELLIGENCE AND PHYSICAL SECURITY DIVESTITURES • Delivering products faster to market • Increasing patent creation • Hackathon • Global talent center • More efficient and effective R&D process Robotic Automation Multichannel Customer Services NICE Engage Audio Examiner IVR Journey Analytics Employee Engagement Manager Fraud Management Hub MANAGEMENT TEAM ON BOARD EFFECTIVE OPERATIONAL AND STRATEGIC PLAN INCREASE INNOVATION • Large portfolio deals • Expanding footprint within customer base • Combining the technologies of Customer Interactions and Financial Crime and Compliance • Increase market share ENHANCED GOTO-MARKET STRATEGY INTELLIGENCE AND PHYSICAL SECURITY DIVESTITURES MANAGEMENT TEAM ON BOARD EFFECTIVE OPERATIONAL AND STRATEGIC PLAN INCREASE INNOVATION ENHANCED GOTO-MARKET STRATEGY INTELLIGENCE AND PHYSICAL SECURITY DIVESTITURES • Focusing on synergetic, product driven, enterprise software businesses • Streamlining and simplifying the company • Improving profitability Q3 2015 Highlights * Revenue Growth 7% revenue growth, 10% growth excluding FX impact Gross Margin Increased gross margin to 69.8% compared to 67.2% last year Product Revenue Product revenue grew 13% EPS Growth 27% increase to $0.75, above guidance Improving Profitability Increased operating margin to 25.2% compared to 18.5% last year Guidance Increased full-year 2015 EPS guidance * All numbers exclude results from the Intelligence and the Physical Security divisions ** All numbers are Non-GAAP Strong Growth REVENUE ($M, Non-GAAP) GROSS MARGIN (Non-GAAP) 69.8% $221 67.2% $208 6.5% OPERATING MARGIN (Non-GAAP) 2.6 pp EARNINGS PER SHARE $0.75 25.2% 6.7pp 18.5% ($, Non-GAAP) 27% $0.59 * All numbers exclude results from the Intelligence and the Physical Security divisions Revenue Breakdown by Business Unit (Non-GAAP) – Q3 2015 * FINANCIAL CRIME AND COMPLIANCE 26% CUSTOMER INTERACTIONS 74% * All numbers exclude results from the Intelligence and the Physical Security divisions Revenue Breakdown by Geographies (Non-GAAP) – Q3 2015 * APAC 12% EMEA AMERICAS 22% 66% * All numbers exclude results from the Intelligence and the Physical Security divisions Analytic Applications Growth * As % of new bookings 60% 49% 49% Q1 14 Q2 14 53% Q3 14 Q4 14 55% 48% 48% Q1 15 Q2 15 Q3 15 Analytic applications are the growth driver of the business * All numbers exclude the Physical Security division SUMMARY Market Leader Large addressable market that continues to expand, and leader in each of the markets that we operate in Innovation A fundamental cornerstone of NICE’s DNA with a commitment to continuously accelerate innovation within NICE’s domains of expertise Financial Results Successful execution of operational and strategic plan leads to strong financial results Thank you