February 2017 Calix Investor Presentation

1. Investor Presentation
February 2017
1

2. Safe Harbor
2
This presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act
of 1995. Such statements relate to future events and expectations and involve known and unknown risks and
uncertainties. Examples of forward-looking statements include, but are not limited to, statements about our anticipated
growth and growth drivers; our future financial condition and results of operations; our future business, financial and
operating performance; our growth strategy and market outlook; our development of new products and product features;
and the success and/or market adoption of our products and solutions. We have based these forward-looking statements
on our current expectations, assumptions and projections. Our actual results or actions may differ materially from those
projected in forward-looking statements. These forward-looking statements are subject to a number of risks,
uncertainties and factors that could cause results to differ materially as described in our filings with the Securities and
Exchange Commission, including our annual report on Form 10-K and quarterly reports on Form 10-Q. Except as may
be required by law, we undertake no obligation to, and expressly disclaim any obligation to, update or alter any forward-
looking statements, whether as a result of new information, future events, changes in assumptions or otherwise.

3. 1.
2.
3.
4.
Calix at a Glance
The Coming Wave – Access rEvolution
The Rising Tide – Infrastructure Investment
Financial Update4.
5. Supplemental Information
Agenda
3

4. Calix at a Glance
4

5. Calix strategic focus: The access network
5
Content
Applications
Device-enabled
Subscriber

6. Our Customers – Over 1,300 and growing
6
21%
15%
54%
9%
Customer Mix - 2016
CenturyLink Windstream
Other Medium/Small Domestic International

7. $98.4M
$107.4M
$121.2M
$131.8M
$112.0M
$0.0
$20.0
$40.0
$60.0
$80.0
$100.0
$120.0
$140.0
1Q16 2Q16 3Q16 4Q16 1Q17E
$inmillions
Y/Y
+13.9%
Y/Y
+25.5%
Our Revenue Growth
7
$330.2
$382.6
$401.2
$407.5
$458.8
$200.0
$250.0
$300.0
$350.0
$400.0
$450.0
$500.0
$550.0
2012 2013 2014 2015 2016 2017E
$M
CAGR
+7.3%
Y/Y
+12.6%
Y/Y +
>10% Y/Y +8.1%
Y/Y +8.4%
Y/Y +7.9%
Note: 2017 and 1Q17 estimated revenue levels based on mid-point of guidance provided on February 14, 2017

8. The Coming Wave
8

9. Our Place
9
Content
Applications
Device-enabled
Subscriber

10. Devices Globally
0
10
20
30
40
50
60
2015 2016 2017 2018 2019 2020
IoT
Tablets
PCs
TVs
Non-Smartphones
Smartphones
Other
50B
16B
(B)
Source: Cisco VNI and Business Intelligence
10

11. Cloud Growth
-
100
200
300
400
500
600
700
2006 2011 2016 2021 2026 2031
Public
Private
Traditional IT
TotalWorkloads
(M)
Source: VMware
11

12. The Opportunity
12
Content
Applications
Device-enabled
Subscriber
-
100
200
300
400
500
600
700
2006 2011 2016 2021 2026 2031
0
10
20
30
40
50
60
2015 2016 2017 2018 2019 2020
IT Workloads Total Devices
Proprietary and Confidential

13. The End State: a Global LAN with Flexible Operating
Systems and Robust Analytics
13
Content
Applications
SimpleAlways OnFast Secure
ElevateSimplifyDiscover
Proprietary and Confidential

14. Global
SDN/NFV
Ecosystem Policy Device & Service ActivationAnalytics
API
PLANNING OPERATIONS SUPPORT MARKETING SUBSCRIBER
Virtual
Applications
Data
Center
G.fast
NG-PON2
GigaCenter
GPON
rEvolution – Software Defined Access
14

15. E7-2
E7-20 E3-16FE5-16F
GigaFamily
E3-2
E9-2
E5-308
E5-520
rEvolution – Systems
Data Center Outside Plant Premises
15

16. 60% of TCO related
to Network Operations
SimpleAlways On
$10B of Access
downtime
Management REST SNMP NETCONF / YANG CLI OpenFlow
Infrastructure
Hardware Abstraction Layer
Service Abstraction Layer
Control &
Data
Multi-Service Protocols
Layer 3 Protocols OAM Host Services 3rd Party
Topology &
Discovery Protocols
Layer 2 Protocols Multicast Protocols Traffic Management
Performance
Monitoring
QoS Manager
Platform Configuration
and Upgrade
Diagnostics Syslog
Timing
rEvolution – AXOS
35
Fast
2 years to certify
and activate a service
Note: Over 100 customers deploying AXOS
16

17. Next generation cloud services that reveal
actionable insights for key business functions
and their strategic needs
 Discover the path to revenue growth and business
efficiency through analytics
 Simplify decision making and accelerate time to act
through data correlation
 Elevate key business functions to be agile and subscriber
driven through actionable insights
Note: Over 400 customers using Cloud products
rEvolution – Calix Cloud
17

18. Before:
Traditional Network Architecture
• Master headend and Central office
• Maximum reach of 20km from each office
• Branch network serving up to seven hubs
• Many offices, staffed and powered
After:
With AXOS E3-2 Intelligent Node
• Distributed Access/Service Management Collapse
• Extend the reach of data centers by up to 140 km
• Integrated routing and subscriber management
• Up to 80% TCO savings realized after shuttering offices
140 km
rEvolution – Disruptive Economics of the AXOS E3-2
E3-2
18

19. rEvolution – Disruptive Economics of the AXOS E9-2
Defining the Access Edge
 Subscriber facing functions
 Agnostic deployments (DC,CO,HE)
 Ride the VNF wave
Unbounded Performance
 Non-blocking
 Lowest power
 Snaps into Data Center fabrics
 Fewer to provision and manage
 Less rack space, HVAC, power
Aggregation
Subscriber
Management
OLT
Aggregation
switch
OLT
Core
Router
Edge
Router
Open
White Box
Switching
Compute
Store
Current
Future
19

20. The Rising Tide
20

21. “…one thing that we've been telling you all along is any capital that we spend on Fioptics is success-
based…We have about 67% of the city covered with Fioptics…Due to the cost to build it out as well
as install being better than what was in the plan and the penetration rates being higher, our returns
are better and we are going to continue to build.” February 15, 2017
" Fios revenue growth was primarily driven by an increase in the total customer base and strong
demand for higher internet speeds. We continue to innovate with our Fios platform, utilizing our fiber
assets and earlier this month we introduced Instant Internet, which is a new service that offers both
upload and download speeds of 750 megabits per second. This service was introduced in New York,
New Jersey, Philadelphia, and Richmond, and other markets will see the service soon.”
January 24, 2017
“…consumer broadband adds were slightly positive for the fourth quarter and showed a 22,000 unit
improvement compared to the fourth quarter of 2015. This is a positive trend, and we are
encouraged that it appears to be carrying over into early 2017…we believe the greatest potential for
us to drive returns on our capital investment lies in enabling and delivering broadband services. ..
we're seeing partially the results of the build-out of greater capacity and greater speed in the
network, and that is starting to pay off.”. February 8, 2017
Access is Key for Communication Service Providers
Q4 Earnings Comments – A Rising Tide
21

22. Broadband Demand Growth Unrelenting (exponential)
22
Nielsen’s Law
(50% annualized
growth for high-
end connections)
has proven to be
accurate for 35+
years
Source: Nielsen Norman Group
Bitspersecond

23. COPPERFIBERWIRELESSCABLE
Unified Access
Bandwidth on
demand
Transparent
quality of
experience
VDSL2
Unlicensed Spectrum
Wi-Fi 4x4
5G /
Wi-Fi
GPON
EPON
XGPON-1
NG-PON2
DOCSIS 3.0
CCAP
G.fast A2
Unmatched
subscriber
experience
G.hn
XGS-PON
Community
Wi-Fi
G.fast A1HotSpot 2.0Remote OLT
DOCSIS 3.1
FTTH
Gigabit
experience
New Technologies Meet the Demand
10G-EPON
23

24. With the shift toward higher data speeds…
DOCSIS 3.0
24 Bonded
Gigabit GPON
DOCSIS 3.1
(initial)
10000
Gigabit FTTH
10G PON
XGS/NG-PON2
…
10G XGS/NG-PON2
24

25. Lower Operating Costs
Source: RVA LLC: North American FTTH Accelerates, (Q4 2014), RVA LLC North America FTTH Progress and Impact
2015 (June 2015), Google Fiber Kansas City, Bernstein Proprietary Census. Survey conducted by Haynes and Company
(May 2014)
Estimated Operating Expense Savings
High Customer Take Rates
25
83%
62%
81%
72%
27%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
$140,000
Wornall Homestead Countryside Roanoke Central Hyde Park Community College
Median HH Income Take Rate

26. …leading to higher revenue and penetration rates…
26
Source: Cincinnati Bell (September 2014)

27. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
100% Aerial/0% MDU
100% Aerial/20% MDU
50% Aerial/0% MDU
50% Aerial/50% MDU
Non-Electronics/Sub Electronics/Sub
…while infrastructure builds lead electronics
Source: Suburban FTTP Network Scenarios, Telecom & Networking Equipment, The FTTP
Renaissance, Implications for Vendors – Jefferies Group LLC May 6, 2015
Electronics represent ~15-25% of the total capex cost per unit served in a fiber deployment after initial build
costs
27

28. Connect America Fund
Repurposed Universal Services Fund
 100 year fund drove universal voice services
 Nearly $4B annually now completely focused on universal broadband
 5 year plan for large carriers commenced in 2015, and 10 year plan for smaller
carriers commencing in 2017 with broad acceptance by all carriers
Terms
 10/1 Mbps minimum for all carriers, up to 25/3 Mbps minimum for many smaller
carriers
 Targeted by state and census block at all “uncompetitive” areas
 Milestone-driven buildout requirements with first Tier 1 & 2 milestone in 2017
Calix Strength
 Market leader among eligible U.S. carriers
28

29. Financial update
29

30. Target Financial Model
($ in millions, except percentage and per share amounts)
2015 Long-Term Target
Revenues $407.5 $600.0
Non-GAAP gross margin 49.0% >50%
Non-GAAP operating expenses (%) 47.4% 38-42%
Non-GAAP operating margin 1.5% >10%
Non-GAAP EPS $0.12 >$1.25
30
Please refer to the reconciliations of GAAP to Non-GAAP financial measures in the supplemental information and on the Investor Relations section of calix.com

31. Bridging the long-term financial model
2015 Base
Target
Revenue
Base business
growth driven by
existing customer
access network
investments
Increased market
penetration with
new customers and
new market
opportunities
Innovation driven
disruption driven by
customer
investments in next
generation networks
31

32. 2016 Year in Review
Revenues increased more than 12% year-over-year
Fourth consecutive year of revenue growth
Product and platform innovation accelerated
32

33. Q4 2016 Financial Results vs. Guidance
Please refer to the reconciliations of GAAP to Non-GAAP financial measures in the supplemental information and on the Investor Relations section of calix.com
($ in millions, except percentages and per
share amounts)
Actual Non-
GAAP
Guidance Non-
GAAP
Actual GAAP Guidance
GAAP
Revenues $131.8M $127 - $131M $131.8M $127 - $131M
Gross margin 40.4% 44.5 - 45.5% 39.6% 43.7 – 44.7%
Operating expenses $60.7M $58.5 - $59.5M $64.4M $62.4 - $63.4M
EPS ($0.14) ($0.04) – $0.00 ($0.23) ($0.14) – ($0.09)
Cash flow from
operations
$19.2M Negative
33

34. Q1 2017 Operating Performance Guidance
($ in millions, except percentages and per share amounts)
Non-GAAP GAAP
Revenues $110 - $114M $110 - $114M
Gross margin 30.0 – 34.0% 29.3 – 33.2%
Operating expenses $61.0 - $63.0M $64.9 - $66.9M
EPS ($0.57) – ($0.49) ($0.67) – ($0.59)
Cash flow from operations Negative
Please refer to the reconciliations of GAAP to Non-GAAP financial measures in the supplemental information and on the Investor Relations section of calix.com
34

35. 2017 Full Year Operating Performance Guidance
At least 10% year over year revenue growth
Lower Non-GAAP net loss than reported in 2016
2017 GAAP EPS estimated to be approximately $0.34 lower than Non-GAAP
EPS
Please refer to the reconciliations of GAAP to Non-GAAP financial measures in the supplemental information and on the Investor Relations section of calix.com
35

36. Q&A
36

37. Additional Information
• Additional information available at http://investor-relations.calix.com/
• Stock Information
• News & Financial Information
• Events & Presentations
• Leadership & Governance
• Investor Resources
37
37

38. Supplemental Information
38

39. GAAP to Non-GAAP Reconciliation
($ in thousands, except percentages)
(Unaudited) Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016
GAAP Revenues $91,038 $99,129 $112,297 $104,999 $98,375 $107,425 $121,187 $131,800
GAAP Cost of revenue $48,548 $50,840 $59,184 $58,462 $52,893 $57,419 $67,643 $79,614
Stock-Based Compensation (175) (211) (163) (160) (127) (183) (174) (188)
Amortization of Intangibles (2,088) (2,088) (2,088) (2,089) (1,663) (814) (813) (814)
Non-GAAP Cost of revenue $46,285 $48,541 $56,933 $56,213 $51,103 $56,422 $66,656 $53,188
GAAP Gross Profit $42,490 $48,289 $53,113 $46,537 $45,482 $50,006 $53,544 $52,186
GAAP Gross Margin 46.7% 48.7% 47.3% 44.3% 46.2% 46.5% 44.2% 39.6%
Stock-Based Compensation 175 211 163 160 127 183 174 188
Amortization of Intangibles 2,088 2,088 2,088 2,089 1,663 814 813 814
Non-GAAP Gross Profit $44,753 $50,588 $55,364 $48,786 $47,272 $51,003 $54,531 $53,188
Non-GAAP Gross Margin 49.2% 51.0% 49.3% 46.5% 48.1% 47.5% 45.0% 40.4%
Q1 2015 – Q4 2016 Cost of Revenue and Gross Profit
39

40. ($ in thousands, except per share amounts)
Unaudited Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016
GAAP Operating Expenses $54,377 $54,054 $52,236 $56,272 $56,220 $55,887 $52,809 $64,421
Stock-Based Compensation (3,487) (4,130) (2,427) (3,052) (2,594) (2,785) (4,503) (3.731)
Amortization of Intangibles (2,552) (2,552) (2,552) (2,552) (1,701) 0 0 0
Acquisition-Related Costs (190) (52) (106) (24) (275) (76) 0 0
Non-GAAP Operating Expenses $48,148 $47,320 $47,151 $50,644 $51,650 $53,026 $48,306 $60,690
GAAP Net Income/(Loss) ($11,930) ($5,779) $922 ($9,546) ($10,729) ($5,826) $636 ($11,483)
Stock-Based Compensation 3,662 4,341 2,590 3,212 2,721 2,968 4,677 3,919
Amortization of Intangibles 4,640 4,640 4,640 4,641 3,364 814 813 814
Acquisition-Related Costs 190 52 106 24 275 76 0 0
Non-GAAP Net Income/(Loss) ($3,438) $3,254 $8,258 ($1,669) ($4,369) ($1,968) $6,126 ($6,750)
Basic Shares 51,732 51,950 51, 756 50,578 48,591 48,371 48,773 49,146
Diluted Shares 51,732 52,455 52,016 50,578 48,591 48,371 49,309 49,146
GAAP Income/(Loss) per share ($0.23) ($0.11) $0.02 ($0.19) ($0.22) ($0.12) $0.01 ($0.23)
Stock-Based Compensation 0.07 0.08 0.05 0.06 0.06 0.06 0.09 0.08
Amortization of Intangibles 0.09 0.09 0.09 0.09 0.07 0.02 0.02 0.02
Acquisition-Related Costs 0.00 0.00 0.00 0.00 0.01 0.00 0.00 0.00
Non-GAAP Income/(Loss) per share ($0.07) $0.06 $0.16 ($0.03) ($0.09) ($0.04) $0.12 ($0.14)
GAAP to Non-GAAP Reconciliation
Q1 2015 – Q4 2016 Operating Expense and Net Income/(Loss)
40

41. ($ in thousands, except percentages and per share amounts)
Outlook
Three Months Ending
April 1, 2017
GAAP Gross Margin 29.3% - 33.2%
Stock-Based Compensation 0.02%
Amortization of Intangibles 0.71% - 0.74%
Non-GAAP Gross Margin 30.0 – 34.0%
GAAP Operating Expenses $ 64,919 - $ 66,919
Stock-Based Compensation (3,919)
Amortization of Intangibles (0)
Non-GAAP Operating Expenses $61,000 - $63,000
GAAP net loss per diluted share ($0.67) – ($0.59)
Stock-Based Compensation 0.08
Amortization of Intangibles 0.02
Non-GAAP net loss per diluted share ($0.57) – ($0.49)
GAAP to Non-GAAP Reconciliation
Q1 2017 Operating Performance Outlook
41

42. Outlook
Twelve Months
Ending
December 31, 2017
Estimated per common share adjustments for:
Stock-Based Compensation $0.32
Amortization of Intangibles 0.02
Total GAAP to non-GAAP net loss per common share adjustments $0.34
GAAP to Non-GAAP Reconciliation
2017 Net Loss Outlook
42

43. 43