Q3 2020 Earnings Presentation

INVESTORS PRESENTATION NASDAQ: HEAR AUGUST 2021 SAFE HARBOR STATEMENT

Forward-Looking Information This presentation includes forward-looking information and statements within the meaning of the federal securities laws. Except for historical information contained in this release, statements in this release may constitute forward-looking statements regarding assumptions, projections, expectations, targets, intentions or beliefs about future events. Statements containing the words “may”, “could”, “continue”, “would”, “should”, “believe”, “expect”, “anticipate”, “plan”, “goal”, “estimate”, “accelerate”, “target”, “project”, “intend” and similar expressions constitute forward-looking statements. Forward-looking statements involve known and unknown risks and uncertainties, which could cause actual results to differ materially from those contained in any forward-looking statement. These statements are based on management’s current belief, as well as assumptions made by, and information currently available to, management. While the Company believes that its expectations are based upon reasonable assumptions, there can be no assurances that its goals and strategy will be realized. Numerous factors, including risks and uncertainties, may affect actual results and may cause results to differ materially from those expressed in forward-looking statements made by the Company or on its behalf. Some of these factors include, but are not limited to: risks related to the substantial uncertainties inherent in the acceptance of existing and future products; the difficulty of commercializing and protecting new technology; the impact of competitive products and pricing; the impact of the coronavirus (COVID-19) pandemic on consumer demands and manufacturing capabilities; delays or disruptions in the supply of components for our products; risks relating to, and uncertainty caused by or resulting from, the COVID-19 pandemic; the Company's partnerships with influencers, athletes and esports teams; risks associated with the expansion of our business, including the implementation of any businesses we acquire, the integration of such businesses within our internal control over financial reporting and operations; and our liquidity. These risks may be in addition to the other factors and matters discussed in the Company’s most recent Annual Report on Form 10-K, Quarterly Report on Form 10-Q and other periodic reports filed with the Securities and Exchange Commission. Except as required by the securities laws of the United States, the Company does not intend to publicly update or revise these forward-looking statements after the date of this release whether as a result of new information, future developments or otherwise. This presentation also contains trademarks and trade names that are property of their respective owners.

Non-GAAP Financial Measures In addition to its reported results, the Company has included in this presentation certain financial results, including adjusted EBITDA, and adjusted net income, that the Securities and Exchange Commission defines as “non- GAAP financial measures.” Management believes that such non-GAAP financial measures, when read in conjunction with the Company's reported results, can provide useful supplemental information for investors analyzing period-to-period comparisons of the Company's results. “Adjusted Net Income” is defined as net income excluding (i) integration and transaction costs related to the acquisition of the business and assets related to the ROCCAT brand, (ii) the effect of the mark-to-market requirement of the financial instrument obligation, (iii) any change in fair value of contingent consideration and (iv) the release of valuation allowances on deferred tax assets. “Adjusted EBITDA” is defined by the Company as net income (loss) before interest, taxes, depreciation and amortization, stock-based compensation (non-cash), and certain non-recurring items that we believe are not representative of core operations (e.g., the integration and transaction costs related to the acquisition of the business and assets related to the ROCCAT brand, the mark-to-market adjustment for the financial instrument obligation and the change in fair value of contingent consideration). These non-GAAP financial measures are presented because management uses non-GAAP financial measures to evaluate the Company’s operating performance, to perform financial planning, and to determine incentive compensation. Therefore, the Company believes that the presentation of non-GAAP financial measures provides useful supplementary information to, and facilitates additional analysis by, investors. The presented non-GAAP financial measures exclude items that management does not believe reflect the Company’s core operating performance because such items are inherently unusual, non-operating, unpredictable, non-recurring, or non-cash. See a reconciliation of GAAP results to Adjusted Net Income and Adjusted EBITDA included in the appendix for the three and six months ended June 30, 2021.

NASDAQ: HEAR

CLEAR LEADER IN CONSOLE GAMING HEADSETS FOR OVER 10 YEARS 2021 Guidance $385 MILLION IN REVENUES 5 Year CAGR of 17%

$50 MILLION IN EBITDA

$1.55 EPS

RAPIDLY GROWING, AWARD-WINNING PC GAMING KEYBOARDS, MICE, HEADSETS, AND MORE STRONG BALANCE SHEET, NO DEBT EXPANDING PORTFOLIO IN NEW CONSOLE AND PC ACCESSORY CATEGORIES

1. $8.5B 2020 Gaming Accessory Market includes gaming headsets for consoles and PC, PC gaming keyboards, and PC gaming mice, 3 game controllers, mics and flight simulation hardware. GAMING IS THE MARKET TO BE IN...

GAMING LEADS THE A MASSIVE OPPORTUNITY ENTERTAINMENT WORLD The global game market will grow The broader gaming market is by far the from $176B in 2021 to more than largest and most expansive industry in $200 billion in 2024(1) the world of entertainment, worth over $254 billion(2)

ESPORTS ARE QUICKLY NEW CONSOLES ENERGIZE RISING IN POPULARITY THE GAMING MARKET Secular shift to esports with The global market for approximately 50% increase in gaming consoles expected to (3) value from 2020(4) reach $58 billion in 2021

A BREAKTHROUGH IN GAMING GAMING DRIVING STREAMING SIMULATION TECHNOLOGY In 2021, the livestream gaming Visually stunning realism on console audience is likely to grow by and PC is driving booming growth in 10% to 728M, and to 920M by simulation segments 2024(1)

1. Newzoo: Game market will hit $200B in 2024 3. Gaming Industry Biz Global Console Market Report March 2021 2. Vizara Entertainment Industry April Report 4. Statista Esport Market Report March 2021 4 WE'RE EXECUTING ON OUR STRATEGY TO LEVERAGE THOSE TRENDS

Continue our decade-plus of leadership in $1.7 • 10 of the top 15 US console headsets by revenue YTD are TB(1) billion console headset market. • Launched Recon 500, the first dual-driver console headset Maintain a portfolio for all levels of gamers with • Both Xbox and PS announced record sales of new consoles innovation and great execution. Continue rapid expansion into the $3.5 billion • Launched 8 new ROCCAT PC gaming products year-to-date PC gaming accessories market. • ROCCAT revenues up over 200% YTD year-over year(2) Further build out ROCCAT portfolio of • Exceeded market growth in major regions award-winning PC gaming accessories.

Expand into the $2.3 billion global market for microphones. • Launching Neat's first new 2021 product – King Bee II Launch Neat Microphones' new generation of high- • Launching ROCCAT's Torch mic for streamers and creators performance digital/USB and analog mics. • $700M Digital/USB market segment experiencing rapid growth

Enter additional new categories to drive • further growth over time. Recon Controller for Xbox launched with outstanding reviews Launch first products in console game controller and • Over 15k fans registered for notifications on VelocityOne Flight console/PC gaming sim hardware markets. • Expanding portfolio in both categories over time

Tracking to ~$100 million in non-console headset revenues for 2022 (ahead of plan)

1. The NPD Group/Retail Tracking Service/Video Games/Dollars/U.S/Jan-June 2021 5 2. The NPD Group, Inc., U.S. Retail Tracking Service, Gaming-Designed: PC Headsets/PC Microphones, Mice, and Keyboards, Dollar Sales, Jan. 2021- June 2021 combined vs. Jan. 2020- June 2020 combined. ...AND DELIVERING ON OUR LONG-TERM FINANCIAL GOALS

Drive 10% to 20% top • Confirmed revenue guidance to record $385M for 2021 • Expecting roughly $100M of non-console headset revenues in 2022 line growth over time. • 5 Year revenue CAGR through 2020 is over 17%

Deliver category leading EBITDA • Maintained EBITDA guidance of $50M, providing 13% margin margins while investing to drive • Investing to drive growth including new category entries growth. • 5 Year EBITDA CAGR through 2020 over 90%1

Maintain a strong balance sheet • $56M in cash with zero debt to enable the above including • Over $50 million in cash flow in 2020 selective M&A. • $80M revolving credit facility

1-Year and 5-Year TSR of >60% and >600% (Exceeding Sector Benchmarks)2

1. Using headset EBITDA in 2015 6 2. Per Factset as of Aug. 1, 2021 #1 In Gaming Audio Award-Winning High-Performance The Global Market Leader in German Design & Digital USB & Console Gaming Headsets Build Quality Analog XLR Microphones for Over 10 Years Broad & Expanding Next-Generation 55 Million+ Portfolio of PC Gaming Mics that Embrace Cutting-Edge Audio Headsets Sold Since 2010 Accessories Technology and Innovative Design

Industry-Leading Innovation at Every Price Point with Over 313 Patents

7 THE LEADER IN CONSOLE GAMING HEADSETS FOR OVER 10 YEARS RUNNING

#1 GAMING HEADSET PROVIDER HIGHER REVENUE SHARE STRONG BRAND & REPUTATION FOR XBOX, PLAYSTATION & NINTENDO THAN NEXT FOUR PLAYERS COMBINED Among Gamers, Retailers, Gaming Industry

PRODUCT FOR EVERY GAMER Entry Level to Professional

PRODUCT INNOVATIONS And Unique Features – Many patented US, CANADA & MEXICO CONSOLE Other GAMING HEADSET WHY & HOW 1 54.2% REVENUE SHARE 290K+ POINTS OF DISTRIBUTION 2020 70+ Countries 45.8% STRONG PARTNERSHIPS With Leading Esports Teams & Influencers

OVER 10 YEARS EXPERIENCE Gaming Headsets & with Xbox & PlayStation 8 OF TOP 10 SELLERS 13 OF TOP 20 SELLERS OVERALL ARE TURTLE BEACH OVERALL ARE TURTLE BEACH Over 150 ISSUED PATENTS2 Gaming Headsets

Source: The NPD Group/Retail Tracking Service/Video Games/Dollars/U.S., Canada and Mexico/January-December 2020 1. Includes only Console gaming headsets 8 2. Counts only patents related to headsets (not including additional patents relating to ROCCAT brand products, Neat Microphones or HyperSound products) PRODUCTS IN MULTIPLE PRICE POINTS THAT CONSUMERS LOVE

"This $40 headset is worth every penny." "4.5/5. A very impressive sounding headset." “A best gaming headset of 2020.” - Windows Central - Games Radar - Tom’s Guide

9 THE MOST COMPLETE PORTFOLIO ENABLE CONSUMER UPGRADES OVER TIME FROM ENTRY-LEVEL TO PRO ESPORTS ATHLETES Innovations that drive immersion, enjoyment, and competitive - Esports-Focused advantages at every price point - Bluetooth Connectivity Performance - Wireless - App-Based Settings Features - 50mm & 60mm Speakers - Premium Quality - Powerful Amplified Audio - Glasses Friendly - Bass Boost & Audio Presets - Superhuman Hearing - Memory Foam Cushions - Mic Monitoring - 40mm Speakers - Metal-Reinforced Headband - Gaming Earbuds - Flip-to-Mute Mic - Multiplatform

$249.95

$99.95 $149.95 Esports Gamers Plays 15+ Hours Per Week $49.95 $59.95 $79.95 Enthusiast/Core Gamers Plays 7-15 Hours Per Week $29.95 $39.95 Casual Gamers Plays 4-6 Hours Per Week Entry-Level Gamers Plays Approx. 4 Hours Per Week Small sampling shown of Turtle Beach’s portfolio of console gaming headsets. The full lineup is available at www.turtlebeach.com 10 XBOX AND PLAYSTATION CONSOLE OUTLOOK

“With the launch of new systems and continued sales for existing consoles, we forecast Microsoft and Sony combined hardware sales will set records in 2021 and 2022.” PlayStation and Xbox Console Unit Sales David Cole, Head DFC Intelligence, Video games industry analyst 40 Gen 9 Xbox

30 Release: November 10, 2020 Price: $499 for Xbox Series X $299 for Xbox Series S 20

Gen 9 PlayStation 10 Hardware Unit Sales (inmillions) Sales Unit Hardware

0 Release: November 12, 2020 Price: $499 for PS5 $399 for PS5 Digital Edition Gen 7 Gen 8 Gen 9

Source: DFC Intelligence updated July 2021 Worldwide Video Game Market Forecasts 11 THE CONSOLE GAMEPAD CONTROLLER OPPORTUNITY GAME CONTROLLERS Total Addressable Market for third-party controllers is roughly $600 million(1). MICROSOFT PARTNERSHIP Leverage MSFT partnership to enter market with wired controller for Xbox Series X|S, Xbox One, and Windows 10. WIRED, WIRELESS AND MORE Grow controller line beyond initial wired Xbox offering, including wireless and other console platforms. 1. Newzoo 2020 Peripheral Market – updated April 2021 and internal estimations 12 INTRODUCING THE RECON CONTROLLER FOR XBOX

Game-Changing Audio Meets Game-Winning Controls

Launches August 2021 MSRP: $59.95 Unveiled at E3 2021, the Designed for Xbox Recon Controller was proudly designated with “Best of E3” awards from CNN Underscored and Android Authority for blending game-changing controls with Turtle Beach’s signature audio technologies.

Also available in Black Gamers on Xbox Series X|S, Xbox One, and compatible Windows 10 PCs will be able to plug in any wired headset with a standard 3.5mm audio interface and take advantage of proven Turtle Beach features, including Superhuman Hearing, Mic Monitoring, Signature Audio Presets, and more.

Plus, Pro-Aim Focus Mode, four profiles, mappable rear quick-action buttons, next-gen vibration, and an "Best Gaming "Best of E3: Accessory of E3 2021." ergonomic shape with cooling rubber grips round out Turtle Best Gaming Beach's first ever game controller. Accessory." 13 THE FLIGHT SIMULATION CONTROLLER MARKET OPPORTUNITY

MSFT FLIGHT SIM 2020 PC Screenshot from Microsoft Flight Sim 2020 LAUNCHES AUGUST 2020 Game delivers a quantum leap in realism, fully leveraging modern processing capabilities and cloud computing/storage MSFT FLIGHT SIM 2020 COMES TO XBOX Capture a new audience of gamers experiencing Microsoft's Flight Sim 2020 on Xbox Series X|S GAMING SIMULATION HARDWARE PC/console flight sim hardware adds roughly $400M in global market not including expansion into racing hardware 14 INTRODUCING VELOCITYONE FLIGHT FOR XBOX

Take Flight on Xbox Series X|S and Windows 10

Launches Fall 2021 Announced during E3 2021, VelocityOne Flight garnered a MSRP: $349.95 “Best of Show” from Android Authority and boldly marks Turtle Beach’s foray into the gaming simulation hardware market.

VelocityOne Flight is the complete flight control system, developed in collaboration with aeronautical engineers and pilots and by a dedicated Turtle Beach team with over two decades of experience creating many premier flight and racing simulation controllers.

VelocityOne Flight delivers the most immersive, authentic, and modern Xbox and PC flying experience on the market, and is the only full flight controller system launching alongside Microsoft Flight Simulator 2020 on Xbox Series X|S.

"Best Gaming Accessory of E3 2021."

15 IT’S TIME TO EXPERIENCE PRECISION

"The ROCCAT Vulcan TKL Pro is a gorgeous optical gaming keyboard with superb build quality." - Rock Paper Shotgun "The world's best gaming mouse." "With the 3D audio and customizable EQ the user - Alex Rowe - Medium has the capablity to get the perfect sound." - Hardcore Gamer

16 GROWING & AWARD-WINNING PC LINEUP

Vulcan Pro Vulcan TKL Pro | Vulcan TKL Vulcan 120/121/122 Pyro Magma MSRP: $199.99 MSRP: $159.99 | $129.99 MSRP: $159.99 MSRP: $99.99 MSRP: $59.99

Syn Pro Air Syva In-Ear Juke 7.1 USB Soundcard Elo 7.1 Air | Elo 7.1 USB | Elo X Stereo 17 MSRP: $149.99 MSRP: $99.99 | $69.99 | $49.99 MSRP: $29.99 MSRP: $19.99 NEAT MICROPHONES (ACQUIRED JANUARY 2021)

DIGITAL USB & ANALOG MICROPHONES Today's global microphone market is $2.3B overall, with ~$700M in the digital/USB category. THE TEAM The former founders of Blue Microphones, the Neat Microphones team has a combined 100+ years of experience creating leading mic products. A NEW PRODUCT LINE In 2H 2021, launch a second-generation of Neat's award-winning "Bee" line of analog XLR and digital USB microphones. 18 INTRODUCING NEAT MICROPHONES' KING BEE II

The Return of the King!

The King Bee II is the long-awaited successor to Neat Microphones’ original award-winning King Bee. Whether you’re a musician, podcaster, or streamer, the King Bee II offers outstanding versatility and incredible sound quality.

Vocals, drums, electric guitar, piano, and acoustic instruments shine with the King Bee II, and spoken word applications, from voiceovers to podcasting to streaming content, can be captured with crystal-clear clarity and depth.

Thanks to customized Class-A discrete electronics, powerful design, and a precision, gold-sputtered condenser microphone capsule, what you hear at the output is what the King Bee II hears Includes custom Beekeeper shockmount at its input. & Honeycomb pop filter

Launches Summer 2021 MSRP: $169.99

19 WE PARTNER WITH LEADING TEAMS

INFLUENCERS & EVENTS Over 862M Gamers and 202M esports fans in the Americas and Europe1

Ali-A Dr. Disrespect Mr Savage Castro_1021 Skyrroz (30M Reach) (8M Reach) (8M Reach) (6M Reach) (4M Reach)

NRG Esports OpTic Chicago A leading collective of top Franchise team in influencers and world champion Activision Blizzard’s CDL esports teams

Kevin De Bruyne Josh Hart Grayson Allen KayPea Scump (Man City & Belgium, (New Orleans Pelicans, (Memphis Grizzlies, (2M Reach) (6M Reach) 17M Reach) 1M Reach) 650k Reach)

2021 Official Mouse and Keyboard Partner Team WaR RIOT LCS League of Legends Tournament Rising amateur CoD team

HECZ Clix Kickstradomis BenjyFishy Clare Siobhan Titles shown represent games played by our partner esports teams and influencers (3M Reach) (9M Reach) (565k Reach) (7M Reach) (2M Reach) and do not indicate a partnership with the publisher 20 1Newzoo 2020 Global Esports and Global Games Market Report QU October 2020 2021 OUTLOOK(1)

2021 2021 Outlook Commentary

Maintaining annual outlook and 7% growth revenue guidance. Semiconductor constraints are holding back Net Revenue ~$385M several console headset products. However, PC accessories and new categories, including mics, game controllers and gaming simulation hardware are forecasted to offset the constraints.

Margins expected to be more aligned with historical levels. Lower air freight costs and fixed cost leverage were Gross Margin Mid 30%s slightly offset by business mix, a return to a more normalized level of promotional spend and higher ocean and land-based freight costs.

Maintaining $50 million adjusted EBITDA outlook, acknowledging and monitoring the dynamic ocean and land- Adj. EBITDA ~$50M based freight cost increases, which remain variable and prone to short-notice changes.

Reflects above factors including the recognition of certain tax changes and credits which we expect to flow Adj. EPS ~$1.55 through to a full year effective tax rate of ~ 20%.

Assumes a higher average share price in 2021, which has the effect, under the treasury method, of increasing Diluted Shares ~18M the share count used for EPS purposes.

1. Guidance provided August 5, 2021. 21 REVENUE PROFILE

Company Revenues Millions

$360 $385 Stay- Growth Drivers: at- $287 home Battle surge Continued leadership in the $1.7B console gaming headset market Royale $235 surge Continued growth in $3.5B market for PC gaming headsets, keyboards, and mice with ROCCAT brand expansion $149 Entry into the $2.3B global microphone market with recent acquisition of Neat Microphones

Further expansion into game controllers and simulation hardware, adding $1B in addressable market

Total addressable market has grown to $8.5B(2) 2017 2018 2019 2020 2021E (1)

1. Reaffirmed guidance provided August 5, 2021. 22 2. Newzoo 2020 Peripheral Market – updated April 2021 and internal estimations ADJUSTED EBITDA & CASH FLOW PROFILE

Adjusted EBITDA(2) Cash Flow From Operations Millions Millions

$61.4 13% EBITDA $51.0 $57.7 Target Battle Stay- $42.2 Royale at- ~$50 $39.4 surge home surge

$22.8

$11.6 $3.4

2017 2018 2019 2020 2021E (1) 2017 2018 2019 2020

1. Guidance provided August 5, 2021. 2. See appendix for a reconciliation of non-GAAP measures. 23 LONG-TERM FINANCIAL TARGETS

Maintain leadership position in Metric Target console gaming headsets

Drive growth in PC gaming headsets, Revenue $ 10-20% CAGR keyboards, and mice (leveraging ROCCAT brand and portfolio), game controllers and gaming simulation hardware Gross Margins % Mid 30’s Maintain category leading EBITDA while investing for growth

EBITDA $ 15-30% CAGR Leverage brand, skills, and global footprint to enter new categories over time (organic and M&A)

24 EXPERIENCED BOARD OF DIRECTORS

Juergen Stark - COO of Motorola Mobility’s mobile business - 10 years as Principal at McKinsey & Company, Inc. Chairman & CEO - MBA, Harvard Business School

- Former CFO of Qualcomm Incorporated (NASDAQ: QCOM) William Keitel - During his tenure, Qualcomm grew revenues from ~$800M to ~$25B Lead Independent Director - Held senior financial roles at Nortel (OTC: NRTLQ) & Pepsico (NYSE: PEP)

Dr. Andrew Wolfe, PhD - Founder & principal of Wolfe Consulting Director - Former Chief Technology Officer for SONICblue, Inc. - Expert in IP strategy and licensing

Gregory Ballard - General partner with Eleven Ventures Director - Former senior VP for mobile & social games at Warner Bros. - Former CEO of Glu Mobile, former board member with DTS

- Former SVP and COO, Samsclub.com Kelly Thompson - Former SVP Merchandising, Planning, and Marketplace for Walmart.com Director - 10 years in management positions at Gap, Inc.

- CEO of New York Life Investment Management Yie-Hsin Hung - Formerly with investment firms Bridgewater Associates and Morgan Stanley Director - Named in Barrons’ 2020 100 Most Influential Women in U.S. Finance for second year in a row

25 EXPERIENCED MANAGEMENT TEAM

Rene Korte General Manager, PC Products Juergen Stark Chairman & CEO - Founder of ROCCAT GmbH and CEO for 12 years - COO Of Motorola Mobility’s Mobile Business - VP Europe for RAZER - 10 Years As Principal At Mckinsey & Company - Professional gamer and founder of MTW esports team

Skipper Wise VP & Founder of Neat Microphones John Hanson CFO - Co-founder & President, Blue Microphones - EVP & CFO at Dialogic - Recording artist, engineer and entrepreneur with 40+ - CFO at One Communications Corp years creating microphones

Cris Keirn SVP, Global Sales David Angress VP & Head of Neat Microphones - Led headset transition as VP of business planning & - Decades-long career in music products industry strategy - 15 years EVP at Guitar Center - 17 years with Motorola in product management, operations, quality & customer relations - Former CEO, Adam Audio GmbH

Megan Wynne General Counsel Joe Stachula CTO & SVP, Product Development - 5 years with I-Flow, a Kimberly-Clark Health Care - 20+ years in consumer electronics Company - 12 years at Plantronics engineering audio headsets - 13 years with Morris Polich & Purdy law firm

Ryan Dell SVP, Marketing Jose Rosado SVP, Global Operations - 15 years of brand, consumer & digital marketing experience - Former Sr. Director, Global Supply Chain Operations for HP - Formerly CMO at MVMT, VP of Marketing & Acquisitions at FTD Companies (Pro Flowers, Shari's Berries) - 22 years of supply chain management with Motorola, ON Semiconductor, HP, Cisco

Matt Seymour SVP, Product Management - 20+ years in the Consumer Electronics industry 26 - Previously with Sony leading television portfolio planning & development, product marketing INVESTOR RELATIONS: PR/MEDIA CONTACT: TURTLE BEACH CONTACT: Cody Slach/Alex Thompson Jordan Schmidt MacLean Marshall Gateway Investor Relations Gateway Investor Relations Sr. Director, Communications +1 (949) 574-3860 +1 (949) 386-6332 Turtle Beach Corp. +1 (310) 431-6215 [email protected] [email protected] [email protected]

COMPANY WEBSITES www.turtlebeachcorp.com | www.turtlebeach.com | www.roccat.com | www.neatmic.com

27 APPENDIX

28 FULL YEAR FINANCIAL OVERVIEW

$ in millions (except per-share data) 2019 2020 Commentary

Increased demand from new and existing gamers and returning lapsed gamers, as well as work/learn-from-home users. Superior supply and retail execution led Revenue $234.7 $360.1 to further market share gains. Doubling of ROCCAT business with new launches also added to growth. Lower-than-normal promotional environment, favorable business mix, volume- Gross Margin 33.5% 37.2% driven fixed cost leverage, partially offset by roughly $9 million in higher air freight spend to facilitate sales.

Reflects revenue-related increases as well as full year of ROCCAT OpEx and Operating Expenses $68.3 $84.6 investments to drive growth.

Adjusted EBITDA¹ $22.8 $61.4 Reflects above factors.

Net income in 2019 included a tax benefit of $7.4M from the release of a Net Income (Loss) $17.9 $38.7 valuation allowance related to deferred tax assets.

Diluted EPS $1.04 $2.37 Reflects above factors.

Adjusted Diluted EPS¹ $0.74 $2.22 Reflects above factors.

Diluted Shares 15.7M 16.4M

1. See appendix for a reconciliation of non-GAAP measures. 29 BALANCE SHEET

Balance Sheet Highlights Balance Sheet Improvements

At December 31, 2019 At December 31, 2020 ➢ Cash and equivalents increased significantly due to record revenue, Cash & Equivalents $8.2M $46.7M higher margins and fixed cost leverage.

➢ Inventory increase driven by higher Inventories $45.7M $71.3M current demand, and anticipation of Q1 2021 sales.

Revolver (asset-based) $15.7M $0 ➢ First time in at least ten years that total debt has been zero at year-end. Highest level of net cash in the Company’s Total Debt $15.7M $0 history.

30 GAAP NET INCOME TO ADJUSTED EBITDA RECONCILIATION Full years

December 31, 2020 December 31, 2019 Consolidated

Net Income (Loss) 38,746 17,944

Depreciation 4,359 4,556

Amortization of intangibles 889 642

Interest 467 929

Taxes 13,711 (6,237)

Stock Compensation 5,549 3,558

Acquisition-related settlement (1702) -

Business Transaction Expense 550 3,516

Change in Fair Value of Contingent Consideration (1,121) (471) Unrealized loss (gain) on financial instrument - (1,601) obligation Adj EBITDA 61,448 22,836

31 GAAP NET INCOME TO ADJUSTED NET INCOME RECONCILIATION 2020 COMPARED TO 2019

Twelve Months Ended December 31, December 31, 2020 2019 Net Income (Loss) GAAP Net Income (Loss) $ 38,746 $ 17,944

Adjustments, net of tax: Gain on financial instrument obligation — (1,601) Release of valuation allowance — (7,439) Gain on acquisition-related settlement (1,702) - Change in fair value of contingent consideration (1,121) (422) Acquisition integration costs 405 3,154 Non-GAAP Earnings $ 36,328 $ 11,636

Diluted Earnings Per Share GAAP- Diluted $ 2.37 $ 1.04

Gain on financial instrument obligation — — Release of valuation allowance — (0.47) Gain on acquisition-related settlement (0.10) — Change in fair value of contingent consideration (0.07) (0.03) Acquisition integration costs 0.02 0.20 Non-GAAP- Diluted $ 2.22 $ 0.74

32 GAAP NET INCOME TO ADJUSTED EBITDA RECONCILIATION TWELVE MONTHS ENDED DECEMBER 31, 2020

Adj As Adj Adj Stock Adj Reported Depreciation Amortization Compensation Other (1) EBITDA Net revenue $ 360,093 $ - $ - $ - $ - $ 360,093 Cost of revenue 226,305 (2,365) - (928) - 223,012 Gross Profit 133,788 2,365 - 928 - 137,081

Operating expenses 84,621 (1,994) (889) (4,621) (550) 76,567

Operating income 49,167 4,359 889 5,549 550 60,514

Interest expense 467 Other non-operating expense (income), net (3,757) 2,823 (934)

Income before income tax 52,457 Income tax expense 13,711 Net income $ 38,746 Adjusted EBITDA $ 61,448

1. Other includes certain business acquisition costs, gain on an acquisition-related settlement and change in fair value of contingent consideration. 33 GAAP NET INCOME TO ADJUSTED EBITDA RECONCILIATION TWELVE MONTHS ENDED DECEMBER 31, 2019

Adj As Adj Adj Stock Adj Reported Depreciation Amortization Compensation Other (2) EBITDA Net revenue $ 234,663 $ - $ - $ - $ - $ 234,663 Cost of revenue 155,950 (1,950) - (150) - 153,850 Gross Profit 78,713 1,950 - 150 - 80,813

Operating expenses 68,286 (2,606) (642) (3,408) (3,516) 58,114

Operating income 10,427 4,556 642 3,558 3,516 22,699

Interest expense 929 Other non-operating expense (income), net (2,209) 2,072 (137)

Income before income tax 11,707 Income tax benefit (6,237) Net income $ 17,944 Adjusted EBITDA $ 22,836

2. Other includes certain business acquisition costs, gain on an acquisition-related settlement and change in fair value of contingent consideration. 34