TD Securities Technology Conference The test, monitoring and analytics experts Philippe Morin Chief Executive Officer November 14, 2019

1. Philippe Morin
Chief Executive Officer
November 14, 2019
TD Securities Technology Conference
The test, monitoring and analytics experts

2. © 2019 EXFO Inc. All rights reserved. 2
Forward-
looking
statements
Certain statements in this presentation, or given in response to your questions,
may constitute forward-looking statements within the meaning of the Securities
Act of 1934. The Private Securities Litigation Reform Act of 1995 provides “safe-
harbors” for such forward-looking statements and we intend that any forward-
looking statements made today be subject to the safe harbors. We caution you
that any forward-looking statements are just predictions. They are not
guarantees of future performance and involve risks and uncertainties. Actual
results may differ materially from those projected in forward-looking statements
and we invite you to review the company’s most recent filings with the Securities
and Exchange Commission or Canadian securities commissions for a discussion
of the factors at risk. These forward-looking statements speak only as of the date
of this presentation and, unless required by law or applicable regulations, we will
not be reviewing or updating the material that is contained herein.
For a reconciliation of adjusted EBITDA to IFRS net earnings, refer to the
Q4 2019 news release on EXFO’s website.
All amounts in millions of US dollars, except otherwise noted.

3. © 2019 EXFO Inc. All rights reserved. 3
The test,
monitoring
& analytics
experts.
No.1in optical test
equipment market
Top 5in communications
monitoring market
1,900employees in
25+ countries

4. EXFO by numbers1
$297.8M
Bookings grew
11.2% YoY
1Astellia contributed a full year to EXFO’s financial results in 2019 compared to seven months in 2018.
2Adjusted EBITDA is a non-IFRS measure and represents net loss before interest and other expense, income taxes, depreciation and amortization, stock-based compensation costs, restructuring charges, acquisition-
related deferred revenue fair value adjustment and foreign exchange loss.
$2.5M
IFRS net loss
reduced 79.8% YoY
$286.9M
Revenue increased
6.4% YoY
$25.6M
Adjusted EBITDA2
surged 48.8% YoY
© 2019 EXFO Inc. All rights reserved. 4
FY 2019

5. © 2019 EXFO Inc. All rights reserved 5
Profitability target
Adjusted EBITDA1
Result: $25.6M
1Adjusted EBITDA is a non-IFRS measure and represents net loss before interest and other expense, income taxes, depreciation and amortization, stock-
based compensation costs, restructuring charges, acquisition-related deferred revenue fair value adjustment, and foreign exchange loss.
2This adjusted EBITDA target is a forward-looking statement and is based on the newly adopted IFRS 16 accounting standard. In addition, as it excludes items
that pertain to future events that are not currently estimable with a reasonable degree of accuracy, such as foreign exchange gain or loss and income taxes,
no corresponding IFRS measure has been provided.
Goal: $24M
Adjusted EBITDA2
$33M
FY 2019 FY 2020

6. © 2019 EXFO Inc. All rights reserved. 6
Test and
measurement
Built-in intelligence,
automation and
ease-of-use across
entire optical,
transport and
copper test portfolio.

7. Smarter insights
across the entire lifecycle
7
Test &
Measurement
SASS
INNOVATE &
PRODUCE
Develop &
manufacture
FIBER, ACCESS
& TRANSPORT
Design
& build
FIELD TEST
AUTOMATION
Activate &
validate
Detect &
diagnose
REAL-TIME
INSIGHTS
QoS & QoE
ASSURANCE
Operate &
assure
AUTOMATED
OPERATIONS
Optimize &
resolve
Strategic growthMarket leadership
© 2019 EXFO Inc. All rights reserved.

8. SA, systems
and services
Offering end-to-end
network performance,
service reliability and
subscriber insights for
fixed and mobile
networks.
© 2019 EXFO Inc. All rights reserved. 8

9. © 2019 EXFO Inc. 20190453 9
SASS solutions
diagram
diagram
End-to-end
service
assurance
& analytics
NFV service
assurance
Fiber
monitoring
Backhaul &
transport
assurance

10. diagram
Automated outage
detection,
prediction &
resolution
SASS solutions
Topology &
inventory
modeling
Spectral
efficiency &
xHaul
monitoring
RAN
optimization
Automated
outage
detection,
prediction &
resolution

11. EXFO’s playground
1 Based on EXFO’s estimates.
2 Reported bookings for FY 2019.
3 Excludes losses on FX contracts.
4 Benefited from full-year contribution from Astellia in 2019 vs. seven months in 2018.
Market1
$2.9B
Bookings2
$298M
T&M SASS
Market size $900M $2.0B
Market growth 3-5% 13-15%
Growth drivers
FTTx, 100/400G,
small cells
5G, NFV/SDN,
IoT
EXFO bookings
—2019
$210.1M3 $88.3M3
EXFO bookings
growth—2019
8% 21%4
Key competitors Anritsu, Viavi Netscout, Viavi
© 2019 EXFO Inc. All rights reserved. 11

12. Fiber buildouts
Closer to network edge
Connecting small cells
Inside/between data centers
Accelerating digital
transformations
© 2019 EXFO Inc. All rights reserved. 12

13. Multiple use cases
Accelerating digital
transformations
5G deployments
© 2019 EXFO Inc. All rights reserved. 13
1 Enhanced mobile broadband (eMBB):
smartphones, UHD video, AR, VR
Massive machine type communications
(mMTC): smart meters, IoT
Ultra-reliable, low latency communications
(URLLC): self-driving cars, industrial
automation
Stringent
requirements
Enabled by
network slicing
2
3
Peak data rate: 20 Gbit/s
Connection density:
1M devices/km2
Latency: 1 ms
Multiple virtual networks
sharing a common
physical infrastructure

14. © 2019 EXFO Inc. All rights reserved 14
5G solution portfolio
Network densification RAN optimization Network monitoring
Early 2020
– Mobile operators installing radio
equipment for standalone 5G
standard
– EXFO offers RAN optimization
solutions for customers
– Enabling to maximize capacity
and coverage on high, mid, and
low-band spectrum
Mid-2020
– Commercial rollouts of 5G
networks become mainstream
– EXFO’s troubleshooting and
monitoring solutions provide
end-to-end visibility
– Expecting inflection of SASS
business
Ongoing
– Service providers deploying small
cells to support 5G
– Small cells need to be connected
with fiber to ensure QoE
– EXFO is No. 1 with ~40% share of
global optical test market

15. Complete
solution
© 2019 EXFO Inc. All rights reserved 15
Expanded presence at tier-1 NEM
Installing & troubleshooting core and
Metro networks—field services team
– Complete test solution with high-speed Ethernet,
OSA, OTDR and fiber inspection probe
– 100G-ready portfolio with floating licenses
– Trusted advisor for methods of procedure (MoP)
– Generated >$5M in orders at NEM in FY 2019
(directly and via channel partner)

16. Beware of water buffalo,
snakes and mozzies!
EXFO’s fiber monitoring solution
deployed Down Under
– Fiber Guardian remote units rolled out
nationwide across NBN’s transit network
– Fiber monitored 24/7 from NOC
in Melbourne
– Drastically reduces response time and costs
16© 2019 EXFO Inc. All rights reserved.

17. We decided to go
with EXFO’s probe-
based, big data
analytics solution as
we feel the company
has the right
mindset and
approach to NFV.
Prasath
Jagathrakshakalu
OSS Technical Design
Authority, 3UK
‟
Fully virtualized
monitoring and
analytics solution
Using NFV and
cloud-based
technologies
Improves network
performance,
service agility,
cost effectiveness
Key multi-
million dollar
contract win
© 2019 EXFO Inc. All rights reserved. 17

18. © 2019 EXFO Inc. All rights reserved. 18
SASS in
FY 2019
Five multi-year contract wins
– Increased SASS backlog to >$65M
– Recurring revenue stream: 15% of company revenue
Four 5G monitoring deals
– Strong proof points for handling complexity of next-
gen networks with virtualized architectures
First telco-cloud deployment
– Three UK went live with EXFO’s fully virtualized
monitoring and analytics solution

19. 2. Strong innovation
engine
– History of launching
disruptive solutions
(Optical Xplorer™, iOLM,
EtherSAM, etc.) that
provide a first-mover
advantage
3. Robust cash flows
– Generated cash flows
from operations of
$17.2M in FY 2019
4. Seasoned
management team
– Mix of new managers
with fresh ideas and
experienced executives
– Deep telecom knowledge
– Focused on profitable
growth
1. Well positioned
for growth drivers
– Fiber buildouts
– 5G deployments
Why invest?
© 2019 EXFO Inc. All rights reserved. 19

20. Q&A
© 2019 EXFO Inc. All rights reserved. 20