Caesarstone Company Overview September, 2018

1 Written and oral statements made in this presentation and responses to various questions that reflect our views about our future performance, the Company’s financial position, business strategy and plans and objectives of management for future operations constitute “forward-looking statements” under the Private Securities Litigation Reform Act of 1995. These statements, which contain words such as "believe,” “expect,” “anticipate,” “intend,” “estimate,” “forecast,” “project,” “will,” “may,” “should”, “plan”, “seek” and similar expressions or references to future periods, reflect the beliefs and expectations of the Company and are subject to risks and uncertainties, including those described under “Risk factors” in the Company’s most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission, that may cause actual results to differ materially from the results discussed in our forward- looking statements. These risks and uncertainties include, among other factors, but are not limited to the strength of the home renovation and construction sectors; economic conditions within any of our key existing markets; actions by our competitors; changes in raw material prices, particularly polymer resins and pigments; fluctuations in currency exchange rates; the success of our expansion efforts in the United States; the outcome of silicosis claims and the claim by our former quartz processor; unpredictability of seasonal fluctuations in revenues; delays in manufacturing and other factors. These and other factors could adversely affect the outcome and financial effects of the plans and events described herein.

These forward-looking statements are made only as of the date hereof, and neither the Company, nor any of its respective agents, employees or advisors intend, undertake or have any duty or obligation to supplement, amend, update or revise any of the forward-looking statements contained in this presentation, whether as a result of new information, future events or otherwise. The information and opinions contained in this document are provided as at the date of this presentation and are subject to change without notice.

This presentation includes certain non-GAAP measures, which should all be considered in addition to, and not as a substitute for, comparable GAAP measures. A reconciliation of GAAP net income to adjusted EBITDA and adjusted net income are provided below. The Company provides these non- GAAP financial measures because it believes that they present a better measure of the Company’s core business and management uses the non-GAAP measures internally to evaluate the Company’s ongoing performance. Accordingly, the Company believes that they are useful to investors in enhancing an understanding of the Company’s operating performance. However these measures should not be Disclaimer considered as substitutes for GAAP measures and may be inconsistent with similar measures presented by other companies.

2 A Global Leader in the Attractive Quartz Surface Market

Caesarstone invented the engineered Diversified geographical revenue Proven track record of innovation quartz countertop; Product and the market with North America portion of ~58% and sustainable growth

Solid global distribution platform - World-class capabilities in: Attractive across over 50 countries Manufacturing, R&D and Marketing financial profile

Premium brand, with superior A Global market leader Experienced and motivated customer value proposition with ~9% global market share (by volume)1 management team

1 Source: Freedonia February 2017 study; company market share derived from company volume sales data and Freedonia global market size

Caesarstone surfaces are a centrepiece in millions of homes around the world

3 New and Energized Management Team Yuval Dagim, Chief Executive Officer

• Mr. Dagim joined as CEO in 2018

• Over 28 years of experience in global business and leadership across multiple industries, including building materials, consumer and construction

• Successfully spearheaded numerous organizational enhancements and global business developments at several companies

Ophir Yakovian, Chief Financial Officer

• Mr. Yakovian joined as CFO in 2018

• Nearly 20 years of experience in various financial and leadership roles

• Formerly served as CFO of Lumenis Ltd. (previously NASDAQ: LMNS), Tnuva Group and Perion Network Ltd. (NASDAQ:PERI)

• Certified Public Accountant

4 The Quartz Market Opportunity1

Between 2010 – 2016 $95B1 Global Counter-top Market The market is historically dominated by Granite, Solid Surface & Laminate Total Counter-top market grew 4.9% CAGR Marble - 4% Laminates - 10% Quartz Counter-top market grew 17.9% CAGR Granite - 27%

Material Other - 20% Segmentation (2016 sales) Engineered Quartz - 16% Solid Surfaces - 24%

Counter-top Material Share 2010 vs.2016 Quartz Is the Fastest Growing Category and Is Still In Its Growth Phase

Granite 2010 2016 27% 24% Solid Surface Quartz 7% 16% Quartz 16% Laminate 17% 10% 10% Laminate

Market Share Market 4% 4% Marble Granite 28% 27%

Development Growth Maturity Dwindling

1 Source: Freedonia February 2017 study; company market share derived from company volume sales data and Freedonia global market size 5 2 Based on Freedonia retail price (end-user consumer installed price, which includes installation and other related costs) Caesarstone’s Superior Value Proposition

Killer application - Superior to any natural stone Endorsement

Impact Resistant Quartz received the highest overall score Flexible among countertop materials” “Consumer Reports Magazine, USA

Scratch Resistant Easy Fabrication With computers, quartz has supplanted granite as the people’s choice” “The Washington post, USA Stain Resistant Multi-functional You walk into a home and you see the kitchen has Caesarstone in it. It changes the way you look at the value of that house” Heat Resistant Versatile Designs “Ty Pennington, TV Personality, USA

To me, Caesarstone is where beauty Non Porous and function come together” “Mario Batali, Prominent Chef, USA

Low cost of ownership & Ever lasting beauty Caesarstone - where creativity meets quality

6 A Comprehensive and Lucrative Product Offering

Classico Metropolitan Supernatural Concetto

Premium Positioning Our wide range Inspired by the Inspired by nature Hand-incorporated of evergreen colors industrial trend semi-precious and designs Luxurious marble & stones Proprietary granite designs technology Proprietary technology 7 Leading Global Footprint with Diverse Revenue Mix

Canada

UK

USA

Israel

Singapore

31 Caesarstone Direct Sales in 6 countries (DC & offices)

48 Caesarstone Distributors Australia

6% - ROW 10% CS partners along the value chain Indirect 6% - Europe 22% - Australia Architects & Designers ~240 K distribution H1’18 7% - Israel H1'18 Kitchen & Bath ~18 K 90% Channels Region Fabricators ~9 K Direct Split distribution 18% - Canada Split Developers/builders ~9 K 41% - USA relevant in the direct sales market

8 Positioned to Capture Future Quartz Market expansion

Quartz Share of Total Countertop Market Caesarstone Quartz Countertop )By Volume(1 Market Share )By Volume(2

87% 85% 82% 2016 2010

52% 45% 39% 32%

24%

14% 13% 9% 5%

Israel Australia Canada U.S. Israel Australia Canada U.S.

1 Source: Freedonia February 2017. Sales figures are based on retail price (end-user consumer installed price, which includes installation and other related costs) 9 2company market share derived from company volume sales data and Freedonia market size in each region The U.S. Remains a Significant Opportunity

U.S. New Housing Starts1 U.S. Home Improvement Product Sales2

1,286k 1,177k $397 bn $327 bn

2016 2018E 2015 2019E

U.S. Market Penetration (by volume)3 Caesarstone U.S. Revenue Performance ($mm)

YoY organic growth (0%) 10% 245 1% increase 20% 223 223 in penetration 14% 186 ≈ $390mm4 50% 123 2010 42% 21% 87 2016 9% 60 5% 31

Quartz Share of Countertop Market 2010 2011 2012 2013 2014 2015 2016 2017

1HousingEconomics.com – Feb’18 2 Home Improvement Research Institute, September 201 10 3 Source: Freedonia February 2017. Company market share derived from company sales volume data and Fredonia market size 4 Calculation applies 1% increase in quartz penetration (by volume) based on 2016 total market volume and 2016 quartz retail prices as provided by Freedonia February 2017 report World Class Manufacturing and R&D Capabilities

3 Production sites

1 in The US, Richmond hill – 2 lines

2 in Israel: Sdot Yam and Bar-lev – 5 lines

Leading by Innovation Caesarstone invented the engineered quartz countertop

Since then, our R&D capabilities have advanced to maintain the company’s product line at the forefront of the industry

Our technologies, product & colors, have been a role model to a long list of followers

The company intends to accelerate the investment in R&D and boost the throughput of its capabilities

12 The Surface of Choice in Commercial Properties

A long list of design celebrities have chosen CS for their private residences for ex.: Tommy Hilfiger | Cher | Alexandra Von Furstenberg Courtney Cox | Mario Batali | Neal Patrick Harris

14 Pioneering Innovative Designs and Technology

Color Leadership

Rugged Concrete 4033 15 Pioneering Innovative Designs and Colors

Proprietary Technology

Excava 4046 16 Pioneering Innovative Designs and Colors

A Trend Setter

Cloudburst concrete 4011 17 Financial Section

18 Growth and Profitability

Revenue ($mm) Gross Profit and % Margin ($mm)

43.0% 45.5% 42.4% 39.4% 40.2% 40.1% 39.5% 33.5% 588.1 538.5 499.5 212.5 447.4 189.7 200.2 197.2 356.6 162.1 296.6 259.7 127.4 104.3 198.8 78.3

2010 2011 2012 2013 2014 2015 2016 2017 2010 2011 2012 2013 2014 2015 2016 2017

Adj. EBITDA and % Margin ($mm) Adj. Net Income and % Margin ($mm)1

25.4% 25.7% 26.1% 25.2% 24.2% 17.9% 18.4% 16.8% 22.6% 23.4% 15.1% 15.0% 14.8% 13.4% 125.7 130.3 17.1% 116.6 83.7 81.2 100.4 82.5 8.5% 91.7 64.0 69.4 49.8 58.8 44.0 50.5 34.8 29.8

2010 2011 2012 2013 2014 2015 2016 2017 2010 2011 2012 2013 2014 2015 2016 2017

¹ Adjusted net income attributable to controlling interest 19 Q2’18 Financial Performance

Revenue (1.5%) CCB Gross Profit 0.2% $ (6.9%) $51.9M $148.9M $149.2M $48.3M M$

% margin 34.9% 32.4%

Q2'17 Q2'18 Q2'17 Q2'18 o Reduced throughput in Israel (6.9%) 0.6% (16.2%) o Significant improvement in CCB: 3.8% o Inventory and logistical inefficiencies throughput and yield at RCH o Raw materials cost inflation

Adj. EBITDA Adj. Net Income

(13.1%) (16.9%) M$ M$ $16.9M $29.6M $14.6M $24.6M

% margin 19.9% 16.5% EPS 0.49$ 0.43$ Q2'17 Q2'18 Q2'17 Q2'18 o Primarily reflects the lower gross margin o CCB – Constant Currency Basis

20 Caesarstone - Recent Challenges

Two major challenges affecting our performance: Short term key focus areas: 1. Competition and execution – mainly in the US . Increased low cost competition, mainly from China U.S. . Internal sales and logistics execution challenges . Enter and expand Big Box channel 2. Manufacturing efficiency: . Develop an optimized distribution strategy . Innovative designs and colors putting more pressure on our production . Leadership change . Richmond Hill ramp up is longer and more complex than anticipated Operation Gross Profit ($mm&%) and Adj EBITDA Margin . Operations process improvement lead by our new VP Operation

70.0 42.1% 45.0% 40.5% . Richmond Hill – Sep’17 leadership change and know-how 38.1% 36.5% 40.0% transfer from Israel already showing major positive results 60.0 36.1% 34.9% % GM 60.0 35.0% 58.5 32.1% 31.3% 32.4% 50.0 27.9% 51.4 51.9 30.0% 26.0% 49.2 49.7 25.2% 48.3 46.3 40.0 42.6 22.2% 25.0% Enhance offering introducing Innovative designs % Adj EBITDA 19.7% 19.9% 17.8% 20.0% 30.0 16.5% 34.2 16.5% and colors 14.2%

15.0%

20.0 8.2% 10.0%

10.0

5.0%

- 0.0% Q1'16 Q2'16 Q3'16 Q4'16 Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 21 Caesarstone Cash Flow Supports Future Growth

Capital Expenditure ($mm) Free Cash Flow ($mm)

$86.4 $78.2 $76.5 $48.3 $40.7 $38.2 $21.6 $19.9 $0.9 $27.4 $22.9 $22.7 $13.5 2010 2011 2012 2013 2014 2015 2016 2017 $8.8 $5.5 -$22.9

2010 2011 2012 2013 2014 2015 2016 2017

% of 2.8% 3.4% 4.5% 7.7% 19.3% 15.3% 4.3% 3.8% revenue:

Adj. EBITDA Less Capital Expenditure ($mm)

$107.3 Flexible capital structure with $104.6M in cash and short term bank deposits $77.7 $64.3 $56.0 $50.0 $49.2 $45.0 Caesarstone current cash position and future cash generation $30.2 should enable us to accelerate investments in future growth opportunities, both organically and via potential acquisitions

2010 2011 2012 2013 2014 2015 2016 2017 % of 22.6% 19.3% 18.9% 18.0% 6.7% 9.8% 19.9% 13.2% revenue: 22 CEO Message From Industrial Leader to a World Class Commercial Organization

Caesarstone was established as a manufacturer – a plant with an innovative superior product.

Over the years, it consolidated its sale’s channels and developed a desirable premium brand.

The company will continue to increase the proximity and the offering to its customers base worldwide.

To do that, we will need to continue to shift the center of gravity of the company, from an industrial leader to a world class commercial organization. Along this journey, we will need to use our special tools – innovation, superior service, premium brand ,together with our experienced and motivated team.

23 Thank You

24 Quarterly Financial Performance

Revenue ($mm) Adj. EBITDA ($mm)

39.8

37.5

154.7

36.2

35.9

149.2

148.9

148.1

144.3

142.3

33.5

136.8

136.4

136.1

135.0

30.4

30.4

127.5

127.4

30.0

29.6

123.3

28.1

116.9

116.1

113.6

25.6

25.5

107.8

24.6

24.3

94.4

23.0

22.1

21.0 11.2

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 YoY Growth: YoY Growth:

‘13-’14 23.5% 30.4% 30.7% 17.4% ‘13-’14 25.4% 23.3% 42.4% 16.1% ‘14-’15 14.2% 9.9% 11.0% 12.1% ‘14-’15 15.3% 10.4% 0.8% 8.2% ‘15-’16 8.4% 11.6% 5.5% 6.0% ‘15-’16 (9.8%) 18.7% 3.6% (1.5%) ’16-’17 16.7% 4.6% 7.2% 9.7% ’16-’17 5.5% (25.5%) (31.8%) (30.0%) ’17-’18 (0.3%) 0.2% ’17-’18 (53.8%) (16.9%)

Consistent year-over-year revenue growth across quarters through 2017 - Solid and growing Adjusted EBITDA through 2016 Industry characterized by seasonality with strong Q3 and weaker Q1 annually - Experiencing significant margin erosion since Q2’17 primarily related to manufacturing performance, raw materials prices and strategic M&S investments in the U.S and UK - Commenced counter-measures to improve manufacturing performance

2014 2015 2016 2017 2018 25 Adjusted EBITDA Reconciliation

USD (0,000) 2010A 2011A 2012A 2013A 2014A 2015A 2016A 2017A Net Income $29,006 $29,304 $40,367 $64,353 $80,256 $79,458 $76,483 $27,558 Interest Expense, net $2,370 $4,775 $2,773 $1,314 $1,048 $3,085 $3,318 $5,583 Taxes on income $7,399 $3,600 $6,821 $10,336 $13,738 $13,843 $13,003 $7,402 Depreciation and Amortization $10,034 $14,615 $14,368 $14,994 $17,176 $22,334 $28,254 $29,926 Legal settlements and loss contingencies (1) $4,654 $5,868 $24,797 Equity in losses of affiliate, net -$296 -$67 Minority Share in Canada (45%) $348 $252 Adj.EBITDA $49,105 $52,361 $64,329 $90,997 $112,218 $123,374 $126,926 % of sale $0 $0 $0 $0 $0 $0 Compensation paid by a shareholder (2) $266 Excess cost of acquired inventory (3) $4,021 $885 $188 $231 Share-based compensation expense (4) $1,384 $1,259 $3,007 $2,514 $2,642 $2,293 $3,068 $5,277 Inventory - change of estimate -$3,458 $0 Follow-on expenses (5) $1,470 $657 IPO bonus $1,970 Caesarstone USA contingent consideration adjustment $255 Litigation gain -$1,783 -$1,001 Microgil loan and inventory write down $2,916 Provision for employees fringe benefits (6) $939 -$114 Settlement with the tax authorities -$134 Adjusted EBITDA $50,489 $58,774 $69,445 $91,711 $116,553 $125,667 $130,260 $100,429 % of sale 25.4% 22.6% 23.4% 25.7% 26.1% 25.2% 24.2% 17.1%

(1) Consists of legal settlements expenses and loss contingencies, net, in 2017 related primarily to Kfar Giladi arbitration, as well as to product liability claims and other adjustments to on-going legal claims. (2) One time bonus paid by a shareholder to Company's employees. (3) Consists of charges to cost of goods sold for the difference between the higher carrying cost of the inventory of two of the Company's subsidiaries- Caesarstone USA's inventory at the time of its acquisition and inventory that was purchased from its distributor and Caesarstone Australia Pty Limited's inventory that was purchased from its distributor, and the standard cost of the Company's inventory- which adversely impacts the Company's gross margins until such inventory is sold. The majority of the inventory acquired from Caesarstone USA was sold in 2011, and the majority of the inventory acquired from the Australian distributor was sold in 2012. (4) Share-based compensation includes expenses related to stock options and restricted stock units granted to employees of the Company. In addition, includes expenses for phantom awards granted and related payroll expenses as a result of exercises. (5) Consists of direct expenses related to a follow-on offering that closed in June 2014. (6) Relates to an adjustment of provision for taxable employee fringe benefits as a result of a settlement with the Israel Tax Authority and with the National Insurance Institute of Israel. 26 Adjusted Net Income Attributable to Controlling Interest Reconciliation

USD (0,000) 2010A 2011A 2012A 2013A 2014A 2015A 2016A 2017A Net income attributable to controlling interest $28,658 $29,052 $39,632 $63,344 $78,436 $77,766 $74,596 $26,202 Legal settlements and loss contingencies (1) $4,654 $5,868 $24,797 Compensation paid by a shareholder (2) $266 Excess cost of acquired inventory (3) $4,021 $885 $188 $231 Share-based compensation expense (4) $1,384 $1,259 $3,007 $2,514 $2,642 $2,293 $3,068 $5,277 IPO bonus $1,970 Caesarstone USA contingent consideration adjustment $255 Inventory - change of estimate -$3,458 $0 Follow-on expenses (5) $1,470 $657 Litigation gain -$1,783 -$1,001 Microgil loan and inventory write down $2,916 Provision for employees fringe benefits (6) 939.25 -$114 Settlement with the tax authorities -134.20 Tax adjustment (7) 342.00 -$1,158 Total adjustments before tax $1,384 $6,413 $5,116 $714 $4,677 $6,947 $8,044 $29,960 Less tax on above adjustments (8) $279 $700 $740 $99 $618 $1,031 $1,456 $6,343 Total adjustments after tax $1,105 $5,713 $4,376 $615 $4,059 $5,916 $6,588 $23,617 Adjusted Net Income $29,763 $34,765 $44,008 $63,959 $82,495 $83,682 $81,184 $49,819 % of sales 15.0% 13.4% 14.8% 17.9% 18.4% 16.8% 15.1% 8.5%

(1) Consists of legal settlements expenses and loss contingencies, net, in 2017 related primarily to Kfar Giladi arbitration, as well as to product liability claims and other One time bonus paid by a shareholder to Company's employees. (2) Consists of charges to cost of goods sold for the difference between the higher carrying cost of the inventory of two of the Company's subsidiaries- Caesarstone USA's inventory at the time of its acquisition and inventory that was purchased from its distributor and Caesarstone Australia Pty Limited's inventory that was purchased from its distributor, and the standard cost of the Company's inventory- which adversely impacts the Company's gross margins until such inventory is sold. The majority of the inventory acquired from Caesarstone USA was sold in 2011, and the majority of the inventory acquired from the Australian distributor was sold in 2012. (3) Share-based compensation includes expenses related to stock options and restricted stock units granted to employees of the Company. In addition, includes expenses for phantom awards granted and related payroll expenses as a result of exercises. (4) Consists of direct expenses related to a follow-on offering that closed in June 2014. (5) Relates to an adjustment of provision for taxable employee fringe benefits as a result of a settlement with the Israel Tax Authority and with the National Insurance Institute of Israel. (6) Relates to an adjustment of provision for taxable employee fringe benefits as a result of a settlement with the Israeli Tax Authority and with the National Insurance Intitute of Israel. (7) Tax adjustments for the three and twelve months ended December 31, 2017 and 2016 were based on the effective tax rates for these periods, respectively. 27