Q1 2015 VASCO Data Security International Earnings Conference Call

1. © 2014 - VASCO Data Security
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2. © 2014 - VASCO Data Security CONFIDENTIAL
Forward Looking Statements
Statements made in this presentation that relate to future plans, events or performances are forward-
looking statements within the meaning of Section 21e of the Securities Exchange Act of 1934 and
Section 27A of the Securities Act of 1933. These forward-looking statements (1) are identified by use
of terms and phrases such as “expect”, “believe”, “will”, “anticipate”, “emerging”, “intend”, “plan”,
“could”, “may”, “estimate”, “should”, “objective”, “goal”, “possible”, “potential”, “project” and similar
words and expressions, but such words and phrases are not the exclusive means of identifying them,
and (2) are subject to risks and uncertainties and represent our present expectations or beliefs
concerning future events. VASCO cautions that the forward-looking statements are qualified by
important factors that could cause actual results to differ materially from those in the forward-looking
statements. These risks, uncertainties and other factors that have been described in our Annual
Report on Form 10-K for the year ended December 31, 2013 and include, but are not limited to, (a)
risks of general market conditions, including currency fluctuations and the uncertainties resulting from
turmoil in world economic and financial markets, (b) risks inherent to the computer and network security
industry, including rapidly changing technology, evolving industry standards, increasingly sophisticated
hacking attempts, increasing numbers of patent infringement claims, changes in customer
requirements, price competitive bidding, and changing government regulations, and (c) risks specific to
VASCO, including, demand for our products and services, competition from more established firms and
others, pressures on price levels and our historical dependence on relatively few products, certain
suppliers and certain key customers. Thus, the results that we actually achieve may differ materially
from any anticipated results included in, or implied by these statements. Except for our ongoing
obligations to disclose material information as required by the U.S. federal securities laws, we do not
have any obligations or intention to release publicly any revisions to any forward-looking statements to
reflect events or circumstances in the future or to reflect the occurrence of unanticipated events.
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3. © 2014 - VASCO Data Security CONFIDENTIAL
Company Overview
VASCO is a global leader in strong authentication, digital signatures,
and identity management solutions specializing in securing financial
transactions and protecting access to data and applications.
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4. © 2014 - VASCO Data Security CONFIDENTIAL
Listed on NASDAQ in 1997
21% Compound Annual Growth Rate in
Revenues from 2004-2014
49 Consecutive Quarters of Profitability
Company Overview
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5. © 2014 - VASCO Data Security CONFIDENTIAL
10,000+ Customers in more than 100 Countries,
More than half of the Top 100 Global Banks
and 1,700+ Financial Institutions rely on VASCO
More than 200 Million Authenticators Sold
Company Overview
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6. © 2014 - VASCO Data Security CONFIDENTIAL
Global Company
VASCO HQ
VASCO Offices
VASCO Sales Presence
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Financial Institution Customers
VASCO is the world leader in providing two-factor
authentication and digital signature solutions to
financial institutions. More than half of the
Top 100 Global Banks rely on VASCO solutions.
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8. © 2014 - VASCO Data Security CONFIDENTIAL
Frequency and sophistication of attacks has increased
High-profile breaches have brought security
to the C-level and Board of Directors
Global Regulations to protect consumer
transactions and personal privacy
Mobile is becoming the device of choice
There is a greater need to enhance security
while improving convenience for users
Key Growth Drivers
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9. © 2014 - VASCO Data Security CONFIDENTIAL
"Two out of three attacks focus on [login] credentials at some
point in the attack. Trying to get valid credentials is part of many
styles of attacks and patterns"
- Jay Jacobs, senior analyst with Verizon
Authentication & Digital Signature Platform
Why Authentication
• Data breaches are up 49%(1)
• Protects against the newest attacks
• Easy to implement and use
(1) The Breach Level Index, released February, 2015.
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10. © 2014 - VASCO Data Security CONFIDENTIAL
Technology and Products
1988
1st DIGIPASS
“Access Key”
1989
1st DIGIPASS
with Keypad
2002
VACMAN
Controller
2004
DIGIPASS GO 3
1st 1-button token
2005
IDENTIKEY
SERVER
2005
DIGIPASS 810
EMV card reader
2006
DIGIPASS 905
1st connected
Card reader
2007
DIGIPASS 270
1st thin form
Token w/keypad
2008
DP for Mobile
Soft token
for phones
VASCO Solution Timeline
1991
DIGIPASS 550
with e-Signature
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11. © 2014 - VASCO Data Security CONFIDENTIAL
2014
Rabo Scanner
Card reader with
CrontoSIgn technology
2014
DIGIPASS for Apps
with CrontoSIgn
technology
Technology and Products
2013
DIGIPASS for Apps
SDK for integration
into applications
VASCO Solution Timeline
2011
DIGIPASS 920
Connected reader
for e-Government
2013
DIGIPASS 870
1st dual mode
e-Gov’t reader
2015
Risk IDS
1st RBA with
Intelligent engine
2013
DIGIPASS 760
1st token with
Cronto technology
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2014
DIGIPASS Bluetooth
Smart-enabled
Authenticators

12. © 2014 - VASCO Data Security CONFIDENTIAL
Host System
• VACMAN Controller: Combines all VASCO authentication
technologies into a unified backend platform.
• IDENTIKEY Authentication & Federation Servers: Off-
the-shelf centralized servers that with complete functionality.
• Cloud Services: Authentication and digital signature
services for web and mobile application developers run on
VASCO’s servers.
Client Authenticators
• DIGIPASS: Industry-leading number of hardware and
software authentication and signature (electronic and digital)
solutions available to customers.
• Embedded & OEM Solutions: DIGIPASS integrated into
client devices such as Intel’s Identity Protection Technology.
VASCO’s Product Offerings
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13. © 2014 - VASCO Data Security CONFIDENTIAL
On-Premise Business Model
Banking:
• Corporate Accounts
• Consumer Accounts
• Internet and Mobile
Applications
Enterprise Security:
• Remote access
• Application Security for
B-to-B and B-to-C
• Employee network access
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14. © 2014 - VASCO Data Security CONFIDENTIAL
Cloud-Based Business Model
A cloud-based expansion of VASCO’s traditional
on-premise solution.
“By 2017, more than 50% of enterprises
will choose cloud-based services as the
delivery option for new or refreshed
user authentication implementations,
up from less than 10% today.” - Gartner
Cloud advantages:
• Easy to implement
• Unlimited scalability
• Low implementation cost
• Operating vs. Capital expense
• Rapid deployment
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15. © 2014 - VASCO Data Security CONFIDENTIAL
• Strong Authentication in the cloud
• Allows customers to reduce implementation time and cost
• Provides strong authentication protection without
requiring a high level of expertise on staff
• Host system software maintained on VASCO servers:
• Business-to-Business (B2B)
• Business-to-Employee (B2E)
• Business-to-Consumer (B2C)
• Recurring revenue paid by the customer
DIGIPASS as a Service
DIGIPASS as a Service
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16. © 2014 - VASCO Data Security CONFIDENTIAL
Key Product Initiatives
DIGIPASS
760
New Attack Methods Require Innovative Solutions
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DIGIPASS
for Apps
DIGIPASS
Bluetooth
Risk-Based
Authentication

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• Developed by Cambridge University PhD’s
• Acquired by VASCO in May 2013
• Next generation HD Color QR Code
with expanded data capacity
• Combines authentication and
signature capabilities with a high level
of user convenience
• Defeats Man-in-the-Middle attacks
• Fully supported by VACMAN and IDENTIKEY
• Works from a mobile device or DIGIPASS 760
Cronto Visual Image Authentication
DIGIPASS 760
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Cronto Visual Image Authentication
How it Works – Scan to Sign
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• Incorporates security directly into the application
DIGIPASS for APPS
DIGIPASS for APPS
• Native integration
of two-factor
authentication
• Developers focus
on their application
and outsource the
security to VASCO
Source: Gartner
Global App Downloads Passed 100 Billion Last Year
Estimated mobile app downloads worldwide (in billions)
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20. © 2014 - VASCO Data Security CONFIDENTIAL
DIGIPASS for APPS
A Library of Advanced Security Applications
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All of the necessary building
blocks to secure applications at
every level, from provisioning to
the human interface.

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Geolocation
OS Version
JailBreak &
Root Detection
Malware
PIN Activated
Behavior
Analysis
Biometric
ClientScorePolicy
ScoreCalculation
OTPInjection
ClientSideDecisionPolicy
Action 1
Action 2
Action 3
Action 4
Action 5
Action 6
…
1 2
3 4
Action 1
Action 2
Action 3
Action 4
Action 5
Action 6
…
ServerScorePolicy
OTPExtraction
OTPValidation
5 6
ContextPlatformUser
DIGIPASS for APPS
Intelligent Risk Scoring for Mobile Devices

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• Eliminates the biggest hurdles to cloud adoption
• Boosts customer trust
• Security as a competitive differentiator
• Ease of implementation
• Provides a pay-as-you-grow approach
• Next step in DIGIPASS as a Service
Cloud-based Security for Application Developers
DIGIPASS for APPS
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23. © 2014 - VASCO Data Security CONFIDENTIAL
Bluetooth Smart-enabled
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Bluetooth Smart Enables Authentication
with almost any User Device
• Solves the problem of mobile devices with no USB port
• More convenient with no cables to connect
• Secure Bluetooth Smart-enabled connection
• Works in connected and unconnected mode

24. © 2014 - VASCO Data Security CONFIDENTIAL
Risk-Based
Authentication
How it works:
Risk IDS
Source: Gartner
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25. © 2014 - VASCO Data Security CONFIDENTIAL
• Contextual analysis to apply the appropriate level of security
• Real-time analysis and intelligent decision engine focusing on:
• Web and mobile application login
• Financial transactions via online and mobile channels
• Monitoring non-monetary events such as change of address
• Identification of accounts that demonstrate abnormal characteristics
for the prevention of money laundering.
Risk IDS
Risk-Based Authentication
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26. © 2014 - VASCO Data Security CONFIDENTIAL
Financials
Historical Overview
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27. © 2014 - VASCO Data Security CONFIDENTIAL
Revenue and Operating Income
Revenue Operating Income
in millions USD in millions USD
CAGR
(revenue)
2004-2014
21%
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28. © 2014 - VASCO Data Security CONFIDENTIAL
Cash Balance and Net Working Capital
Net Cash Balance Net working capital
in millions USDin millions USD
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29. © 2014 - VASCO Data Security

30. © 2014 - VASCO Data Security
Copyright
 2014 VASCO Data Security. All rights reserved.
No part of this publication may be reproduced, stored in a retrieval system, or
transmitted, in any form or by any means, electronic, mechanical, photocopying,
recording, or otherwise, without the prior written permission of VASCO Data
Security.
Trademarks
VASCO®, VACMAN®, IDENTIKEY®, aXsGUARD®, DIGIPASS® Cronto®
MYDIGIPASS.COM® and the ® logo are registered or unregistered
trademarks of VASCO Data Security, Inc. and/or VASCO Data Security
International GmbH in the U.S. and other countries
Copyright & Trademarks
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