Investors Presentation July 2013

This presentation contains information that is proprietary to ClickSoftware. Any copying, distribution, display, transmission or dissemination of the information contained in this presentation to third parties without the prior written consent of ClickSoftware is strictly prohibited. No part of this presentation may be reproduced, translated or transmitted in any form or by any means, electronic, optic or mechanical, including photocopying, recording, or any information storage or retrieval system without written prior permission from the owner of the copyright. ©2012 ClickSoftware Technologies Ltd. All rights reserved.

July 2013 Investors Presentation

ClickSoftware Technologies Ltd. (NasdaqGS: CKSW)

Safe Harbor Statement

This presentation contains express or implied forward-looking statements within the Private Securities Litigation Reform Act of 1995 and other U.S Federal securities laws. These forward-looking statements include, but are not limited to, those regarding future results of operations, including our outlook for full year 2013 revenues, visibility into future periods, growth and rates of growth, expectations of future cash flows and dividends, and expectations regarding closing of contracts, receipt of orders, recognition of revenues and deferred revenues. Such “forward-looking statements” involve known and unknown risks, uncertainties and other factors, which may cause actual results or performance to be materially different from those projected. ClickSoftware's achievement of these results may be affected by many factors, including among others, the following: uncertainties regarding the general economic outlook; the length of or change in the Company's sales cycle; the Company’s ability to identify potential customers and to close sales to potential customers in a timely manner; the Company’s ability to maintain relationships with strategic partners, the ability of the Company’s professional services group to successfully complete implementations; and the Company’s ability to predict and control expenses and to align revenues and expenses. The forward-looking statements contained in this presentation are subject to other risks and uncertainties, including those discussed in the "Risk Factors" section and elsewhere in ClickSoftware's annual report on Form 20-F for the year ended December 31, 2012 and in subsequent filings with the Securities and Exchange Commission. Except as otherwise required by law, ClickSoftware is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.

Please note that ClickSoftware reports net income and net earnings per share on both a GAAP basis and on an adjusted non-GAAP basis. ClickSoftware’s financial reports include a reconciliation of non-GAAP information to the most directly comparable GAAP information and is posted in the Investors section of the Company's Web site at www.clicksoftware.com.

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Presentation Outline

Who We Are and What We Do

Market and Leadership Position

Our Customers and Partners

Our Solutions and Unique Capabilities

Return On Investment

Financials

Accelerated Growth Strategy

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ClickSoftware – Who We Are

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Leadership Market leader in workforce management and enterprise mobility

Recognized by leading industry analysts such as Gartner and Info-Tech

Worldwide blue-chip customers using ClickSoftware solutions

Fundamentals

NASDAQ listed “CKSW” since June 2000

Consistent annual growth (5 year CAGR of 20%)

Strong cash generation, no debt

Q2 2013 cash dividend of $0.05

Q2-2013 revenues: $24.7 million (10% y/y growth)

2013 guidance: $110-115 million (10%-15% y/y growth)

Global Presence

Offices in Americas, EMEA, and APAC

Over 580 employees worldwide

Eco system of major players, such as SAP, IBM, Accenture, Salesforce

Hundreds of enterprise customers

Hundreds of thousands of service people managed by ClickSoftware solutions every day

What We Do?

We maximize the productive use of human resources, asset uptime, and customer satisfaction with end-to-end enterprise

workforce service optimization, mobilized for every role

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Market | Service sector where the primary resources are people and their time

Business Expertise| Workforce management, customer service, performance measurement, Service Chain Optimization (patent for “Continuous Planning”)

Solution| Software products automating and optimizing decision-making, leveraging mobility technology to the maximum (hand-held devices, real-time customer communication, GPS, real-time traffic updates)

Addressable Market | All service industry verticals, any size of business (small to fortune-500 companies)

Market and Leadership Position

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Huge WFM Market With High Growth Potential

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Workforce Management for Service Sector

Field Service / Mobile Workers

Mobility Software solutions for mobile field service is

estimated to reach $2.8 billion in 2016, from $1.7 billion in

2011

(VDC Research)

FSM Addressable market of

about $12 billion

(Company estimate)

License revenues will reach $329 million in

2013, up 7% from $308 million in 2011

(Gartner)

Shift Planning

Indoor / Outdoor Services

A $2 billion market

(Company estimate)

Market penetration for field service applications has reached only 25% (Gartner)

The global mobile worker population exceeded 1 billion in 2010 and is expected to reach 1.2 billion workers by 2014 (VDC Research)

~15% of current mobile workers are using mobile device to support an enterprise mobility application (VDC Research)

Recognized and Clear Leadership

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ClickSoftware ranked as a CHAMPION in the field service automation landscape

vendors

ClickSoftware positioned as a TOP LEADER in the Visionaries quadrant of

field service management vendors

Info

-Te

ch

Gar

tne

r

October 2012

Market Drivers for ClickSoftware Customers

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Competitive Edge

Cost Pressures

Tablet & Smartphone Revolution

Compliance with

Regulation

Growth in Developing Countries

Customers demand for faster, cheaper,

improved and more reliable

service

Economically challenging times | Rising fuel prices leading to higher

travel costs

Real-time resource optimization | Demand for

improved personal efficiency

| BYOD trend

Increasingly challenging and costly regulatory

compliance restrictions

Rapid infrastructure

projects

Our Customers and Partners

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Delivering Value Across the World

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Communications Utilities Computer & Office Equipment

Capital Equipment

Home & Business Services

Public Sector

Financial & Insurance

Strong Partners and Channels Ecosystem…

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System Integrators

Resellers & Partners

Hundreds of trained SI individuals worldwide

Our Solutions and Unique Capabilities

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End-To-End Service Chain Optimization

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Job Scheduling: finding the optimal schedule

Field Execution: enabling field resources to execute the work

Intra-day Scheduling: managing exceptions with real-time optimization, schedule shuffles

Demand Forecasting: develop future work demand forecasts for months/years in advance

Resource Planning: Align resource capacities with future work demand forecasts

Shift Planning: align resource availability with planned demand, and allocate resources to required shifts

Performance Analysis: measurements and business insights

Optimization – The Source of Tremendous Value

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Manual

Optimized

Scheduled singularly so no shuffling or rescheduling

High travel distances between tasks and from home

Most resources do not have a lunch break

Numerous tasks are assigned during overtime

Tight schedule, greater availability, increased utilization

Reduced travel distances and time, lower emission rate

Planned lunch break, increased employee satisfaction

Almost zero utilization of overtime Man

ual

Op

tim

ize

d

Our Scheduling & Optimization Unique Capabilities

Intra-day Scheduling: constantly optimizes the schedule throughout the day according to real-time events, and real-time resource availability

Customer Interaction Management: customers define and control their own service experience including web self-service appointment booking and updating, automatic customer notifications, and post-service survey. Costs go down. Satisfaction goes up. Everybody wins

Single solution for multiple business lines and work types: from simple short tasks to multi-day, multi-staged jobs that require multiple resources

Ability to schedule and manage any type of resources

Proven scalability - support small service businesses to large enterprise field service organization (40,000+ field resources)

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The ClickSoftware Mobility Suite

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Real-time monitoring tools with exceptions handling, including strong integration into automated decision making capabilities

Powerful development environment for rapidly creating enterprise mobile applications with minimal coding

Intelligent products for mobile employees that are constantly on the move executing the work

Mobile Market Trends

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More People in the

Organization

Different Role (Project Managers,

Collectors, Surveyors, Sales Rep In-Store)

Used Everywhere

People are Bringing Their Own Devices

(BYOD)

ClickAppStore – Complete Platform for Enterprise Mobility

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Enterprise mobility app store with a unique repository of ready-to-use business mobile apps that connect business operations to field workers using mobile devices

Dynamic organizations need dynamic solutions: with ClickAppStore, customers can enhance their solution, add new features and new functionality, without having to upgrade the entire suite

Getting the most out of the mobile device: streamlining communications, increasing productivity and empowering mobile users with modern tools that help to provide great customer service

A Day in a Life with ClickMobile

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Clock-in from any location to start your day

Time & Attendance

See day plan and best way to get there

Maps & GPS

Clock-out and drive home

Time & Attendance

Navigate optimally to the next job

Maps & GPS

Update job details, add

action items, fill reports, perform data capturing

Work Orders

Optimize ahead in front of the

customer

Appointment Booking

Propose specific products or

services based on customer

profile

Upselling

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View the details of your next meeting and head out

Calendar

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4

5

6

7

8

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What it does: AI-based personal assistant for business users

Provide the mobile employee with intelligent ‘Next Best Action’ recommendations: “Can I call the next customer for you?”

“Sales volume is 10% higher than normal. Shall I reserve capacity for more new installs?”

“Context aware”: business events, customers, traffic, required work

Business value: Trades minutes & ‘clicks’ from everyday tasks into productive time

Pro-active action with greater business agility

Increase employee safety (no contact lookups, no dialing & driving)

Shorten time-to-service by avoiding work interruptions

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ClickButler: Artificial Intelligence (AI) Goes Mobile

Our Mobility Unique Capabilities

Device Agnostic: Windows, Handhelds, Smartphones, Tablets etc…

Mobility Studio for Rapid Development: Implementers Friendly, visual editing tools, Developers Kits, API’s

Flexible Object Model to Support any Business Need: Ability to manage any type of Object for any type of Resource, for every Industry and for every purpose

Proven Architecture: large to small live enterprise customers, almost infrastructure agnostic – Microsoft, Sybase (iAnywhere), SUP

ClickAppStore for Enhancing the Solution Post-‘Initial Deployment’: Introduce new and rich functionality to be quickly deployed in customer’s existing ClickMobile environment

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Shift Scheduling solution that helps build the most optimized employees roster for the organization

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Shift Planning Unique Capabilities

Single solution for different categories of staff within one enterprise, e.g. field service, contact centers, retail stores etc…

Highly scalable solution

Balancing the needs of the business with employee preferences in the most optimal way

Organizes both in-house and mobile workforces into appropriate rosters

Our Cloud Solutions Facing Growing Demand

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Business IT Productivity

Pay as you scale Simpler contracts Minimal upfront investment No commitments

Time to market Access flexibility Unlimited growth capacity Redundancy

ClickExpress Enterprise Cloud Offering

Small-mid market Fast deployment Always latest version

Enterprise market Fit deployment: short to

standard deployment

Cloud Services Unique Capabilities: The Cloud market is going to grow to a $24 billion

market by 2015! 3 times bigger than today

(Gartner)

Better visibility and control Work backlog: -95%, Completed tasks logged: +39% 90% of appointments are scheduled automatically Emergency response time: 20% reduction

Revenue increase Tasks per technician: 33% increase Daily inspections: 25-30% increase Preventative maintenance visits: average increased from ~4.5 to 6.5 visits/day – up nearly 50%

Cost reduction Dispatcher workforce: 70% (reduced ratio of dispatchers/workers) Travel savings: $400,000/year Fleet mileage: down 12% in the 1st year; 5-6% in each subsequent year

Service quality improvement Days wait between report & appointment: down 45% (from 4.2 to 2.9 days) Customer waiting time: down 14M hours due to smaller appointment “slots” SLA compliance: increased from 50% to 90%

Proven, Real & Achievable Benefits – The 4 Pillars of ROI

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Financials and Growth Strategy

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Consistent Revenue Growth (in U.S. $K)

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( * Note: The above guidance was reiterated on July 24, 2013 and speaks only as of such date. The Company does not intend to republish or update such guidance by inclusion herein )

Annual Revenue Guidance for 2013* $110 to $115 million, representing about 10% to 15% growth

Revenue Distribution by Industry & Territory

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By Industry (LTM)

By Territory (LTM)

Annual P&L Statements (Non-GAAP Results*)

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2012 2011 2010 2009

Revenues ($K)

License

Services

100,046

34,541

65,505

87,087

31,542

55,545

71,019

25,825

45,194

61,123

19,259

41,864

Y/Y Change (%) 15% 23% 16% 17%

Gross Profit ($K) 62,084 56,312 44,954 40,702

Gross Margin (%) 62% 65% 63% 67%

Operating Income ($K) 10,522 18,172 12,191 12,488

Operating Margin (%) 11% 21% 17% 20%

Net Income ($K) 10,197 17,027 11,950 12,652

Net Margin (%) 10% 20% 17% 21%

EPS ($) 0.31 0.53 0.37 0.41

Operating Cash Flow ($K) 16,209 11,927 16,369 7,546

* Gross profit and margin, operating income and margin, net income and margin, and EPS, are non-GAAP numbers

Quarterly P&L Statements (Non-GAAP Results*)

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2Q 13 1Q 13 4Q 12 3Q 12 2Q 12

Revenues ($K)

License

Services

24,660

6,076

18,584

24,540

7,039

17,501

28,399

10,847

17,552

27,317

10,969

16,348

22,482

6,307

16,175

Gross Profit ($K) 13,618 14,393 18,723 17,699 12,952

Gross Margin (%) 55% 59% 66% 65% 58%

Operating (Loss) Income ($K) (2,434) 698 4,388 3,905 948

Operating Margin (%) (10)% 3% 15% 14% 4%

Net (Loss) Income ($K) (2,314) 808 4,238 3,658 971

Net Margin (%)

(9)% 3% 15% 13% 4%

EPS ($) (0.07) 0.02 0.13 0.11 0.03

* Gross profit and margin, operating income and margin, net income and margin, and EPS, are non-GAAP numbers

Jun.30, 2013

Dec.31, 2012

Dec.31, 2011

Cash and Investments ($K) 54,373 59,359 54,964

Total Assets ($K) 91,820 94,469 90,632

Deferred Revenues ($K) 13,361 9,047 9,529

Long-Term Deferred Revenues ($K) 821 1,503 1,828

Total Debt ($K) 0 0 0

Shareholders’ Equity ($K) 57,564 62,918 59,104

Strong Balance Sheet: No Debt

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Plan for Accelerated Growth – 2013 and Beyond

Expand into new territories (Latin America, Eastern Europe and Africa) - Establish local presence to support acceleration of sales and increase brand awareness. Capitalize on early successes in these emerging markets and our global leadership position in the utilities, telecommunication, and oil & gas industries.

Accelerate sales to prospects which prefer to start with mobility solutions, as opposed to optimization solutions, significantly expanding our addressable market. Leveraging our leadership position in deploying large scale enterprise mobility solutions to some of the most demanding organizations in the world as well as our rich ClickAppStore for business mobility solutions.

Established a separate division fully dedicated to selling cloud-based solutions of all our products, including ClickExpress product for the mid-market and its built-in mobility component.

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Summary: Positioned for Further Growth

Fast growing markets with a significant need for our solutions

Capitalizing on smartphone phenomenon

Industry leader with high barriers to entry: Leading technology and broad portfolio of solutions

Largest number of customers in our industry with a high portion of blue chip customers

Strength across diverse industries and geographies

Strong and effective marketing partnerships, including with SAP, leading system integrators and platform vendors

Financial strength: strong and sustainable revenue growth; strong balance sheet with no debt

Clear growth strategy capitalizing on core market strength and emerging mobility opportunity

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Thank You [email protected]

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