Earnings Call
Supplementary Slides

Safe Harbor

This presentation contains forward-looking statements. All statements contained in this presentation other than statements of historicalfacts, including, without limitation, future financial and business performance for the second quarter 2023, attractiveness of our productofferings and platform and the value proposition of our products, are forward-looking statements. The words “anticipate,” “believe,”“continue,” “estimate,” “expect,” “intend,” “guide,” “may,” “will” and similar expressions and their negatives are intended to identify forwardlooking statements. We have based these forward-looking statements largely on our current expectations and projections about future
events and financial trends that we believe may affect our financial condition, results of operations, business strategy, short-term andlong-term business operations and objectives and financial needs. These forward-looking statements are subject to a number of risks
and uncertainties, including, without limitation, risks related to our rapid growth and ability to sustain our revenue growth rate,competition in the markets in which we operate, market growth, our ability to innovate and manage our growth, our ability to expand
effectively into new markets, risks that the anticipated benefits of an acquisition may not be fully realized or may take longer to realize
than expected, the effects of the current terrorist attacks by Hamas, and the war and hostilities between Israel and Hamas and Israeland Hezbollah as well as the possibility that this could develop into a broader regional conflict involving Israel with other parties, may
affect our operations and may limit our ability to produce and sell our solutions, any disruption in our operations by the obligations ofour personnel to perform military service as a result of current or future military actions involving Israel, our ability to operate incompliance with applicable laws, as well as other risks and uncertainties set forth in the “Risk Factors” section of our latest Form 20-F
filed with the Securities and Exchange Commission and any subsequent reports that we file with the Securities and Exchange
Commission. Moreover, we operate in a very competitive and rapidly changing environment. New risks emerge from time to time. It is
not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which
any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking
statements we may make. In light of these risks, uncertainties and assumptions, we cannot guarantee future results, levels of activity,performance, achievements or events and circumstances reflected in the forward-looking statements will occur. We are under noobligation to update any of these forward-looking statements after the date of this presentation to conform these statements to actual
results or revised expectations, except as required by law. You should, therefore, not rely on these forward-looking statements asrepresenting our views as of any date subsequent to the date of this presentation.
This presentation also includes certain guidance on non-GAAP financial measures. These non-GAAP financial measures are in addition
to, and not as a substitute for or superior to measures of financial performance prepared in accordance with GAAP. There are a numberof limitations related to the use of these non-GAAP financial measures versus their nearest GAAP equivalents. For example, othercompanies may calculate non-GAAP financial measures differently or may use other measures to evaluate their performance, all ofwhich could reduce the usefulness of the Company’s non-GAAP financial measures as tools for comparison. The Company provides areconciliation of certain non-GAAP measures to the most directly comparable GAAP measures, which are available in the earnings
press release for the relevant period and in the appendix of this presentation.
Therefore, please review the information contained in our press release, dated November 2, 2023, with respect to our earnings for fiscal
year Q3 2023 (the “Q3 Press Release”). The Q3 Press Release contains additional information regarding our financial outlook and certain
non-GAAP metrics and their reconciliations.
The information contained in this presentation, or delivered or to be delivered in connection with this presentation, does not constitutean offer, express or implied, or a recommendation to do any transaction, or make any investment, in our securities or in any securities of
our affiliates or subsidiaries.

3Q 2023

AudioCodes
Scale &Reach
We are theleading provider
of enterprise
voice cloudservices

9of Fortune Top
10 Enterprises

65of Fortune 100
Companies areCustomers

3Q 2023#1Microsoft Teams Phone Partner

938

Employees asof 9/30/23

120Countries

3Q’23FinancialHighlights

Total revenues of $61.6M vs. $60.0M in 2Q’23, up 2.6% QoQ

Service revenues of $30.6M vs $28.5M in 2Q’23, up 7.4% QoQ
Non-GAAP gross margin of 67.3% vs. 64.5% in 2Q’23
Non-GAAP operating margin at 15.5% vs. 9.5% in 2Q’23Non-GAAP EPS of $0.25 vs. $0.16 in 2Q’23

3Q 2023CustomerExperience (CX)
businessincreased 13%YoYMicrosoftbusinessincreased
13% YoY

3Q’23

BusinessPerformanceConversational
AI businessincreased >50%
YoY

Live ARR
increased >50%
YoY

Service provider/
Other revenues
declined 53% YoY

3Q 2023

AudioCodes again ranked #1 Enterprise SBC vendor in 2Q’23
by Omdia

3Q’23
OperationalandCustomer
Highlights

Signed a 36-month contract with a tier-1 system integrator,
providing conversational IVA system to a large auto service
firm with a broad distribution of local affiliates across the US

Signed a 36-month contract with a tier-1 system integrator,
providing Live Premium services to a large government
agencyWon initial award with a US federal agency for Teams nativesolution wrapped with professional services

Received follow-on awards from tier-1 system integrator forcompleting migration of a US healthcare firm to Microsoft
Teams voice from legacy telephony solution
Live ARR increased over 50% to $43 million

3Q 2023

Non-GAAP
Gross
MarginSequential margin
improvement frommore favorable
product/ service
mix and more
efficient utilizationof serviceresources

70.0%

67.3%

65.8%
65.0%

64.5%
63.2%
62.1%

60.0%
3Q:22

3Q 2023

4Q:22

1Q:23

2Q:23

3Q:23

NonGAAP
OperatingMargin

20.0%
17.7%
15.5%

15.5%
15.0%

9.5%

10.0%

4.9%

5.0%

0.0%
3Q:22

3Q 2023

4Q:22

1Q:23

2Q:23

3Q:23

AudioCodes
Live ARR
Ongoing
momentum with
3Q ARR up >50%
year-over-year(USD Millions)$75.0$46-$50

$50.0

$43
$31

$28
$25.0

$0.0
3Q:22

3Q 2023

3Q:23

2022

2023 Target

2023
Outlook

Revenues (in million)

Non-GAAP EPS$240 - $250$0.65-$0.75

3Q 2023

Financial
Model And
Long-Term
Targets

Revenue
growth yearover-year

3Q22

4Q22

1Q23

2Q23

3Q23

Long-Term
Targets

10.0%

6.9%

-10.8%-12.2%-11.7%

6%-12%

Non-GAAP EPS
growth yearover-year *25%-50%Non-GAAP Grossmargin

63.2%

65.8%

62.1%

64.5%

67.3%

65%-68%

Non-GAAP OPEX
as % of revenues

47.7%

48.0%

57.2%

55.0%

51.8%

47%-50%Non-GAAP
Operating margin

15.5%

17.7%

4.9%

9.5%

15.5%

15%-20%* 2023 quarterly earnings: 1Q - $0.08; 2Q - $0.16; 3Q - $0.25
3Q 2023

GAAP to NonGAAP
Reconciliation

3Q 2023