Germain LamondeChairman, President & CEO

March 30-31, 2016

MARKETING WITH NORTHLAND CAPITAL MARKETS

2© 2016 EXFO Inc. All rights reserved.

Certain statements in this presentation, or given in response to your questions, may constitute

forward-looking statements within the meaning of the Securities Act of 1934. The Private

Securities Litigation Reform Act of 1995 provides “safe-harbors” for such forward-looking

statements and we intend that any forward-looking statements made today be subject to the

safe harbors. We caution you that any forward-looking statements are just predictions. They

are not guarantees of future performance and involve risks and uncertainties. Actual results

may differ materially from those projected in forward-looking statements and we invite you to

review the company’s most recent filings with the Securities and Exchange Commission or

Canadian securities commissions for a discussion of the factors at risk. These forward-looking

statements speak only as of the date of this presentation and, unless required by law or

applicable regulations, we will not be reviewing or updating the material that is contained

herein.

For a reconciliation of adjusted EBITDA to net earnings, refer to the Q2 2016 press release or

the “Non-IFRS Measures” section on EXFO’s website.

All amounts in millions of US dollars, except otherwise noted.

FORWARD-LOOKING STATEMENTS

3© 2015 EXFO Inc. All rights reserved.

EXFO BY NUMBERS

IN PORTABLE

OPTICAL TESTING

LEADER

FY 2015 SALES OF $222.1 M

(GLOBAL NO.2 PLAYER)

SCALE

GEOGRAPHICAL SALES

FOR FY 2015

DIVERSIFIED

1500EMPLOYEES

IN 25 COUNTRIES

GLOBAL

OF TOTAL BOOKINGS

IN FY 2015

WIRELESS

30%

CASH RETURNED TO

SHAREHOLDERS VIA SHARE

REPURCHASE PLANS

SHAREHOLDER VALUE

4© 2016 EXFO Inc. All rights reserved.

- MULTI-TECHNOLOGY PLATFORMS- WORLD NO. 1 IN OPTICAL TEST- SIMPLIFICATION & AUTOMATION

LEADER IN PORTABLE TEST

5© 2016 EXFO Inc. All rights reserved.

TESTFLOW: FIELD TEST AUTOMATION

› Drives efficiency of network operator processes;

M&P pushed out to platforms via Cloud

› Ensures compliancy, “right the first time,” test

consistency and test result integrity (no cheating)

› Test results automatically stored in EXFO│Xtract

› Ideal for FTTA, FTTH, small cell, DAS rollouts

› Runs on all FTB test platforms and modules

6© 2016 EXFO Inc. All rights reserved..

LEADER IN SERVICE ASSURANCE

- FULL END-TO-END SOLUTION PORTFOLIO- CONVERGED & VIRTUALIZED IP SERVICES- OVER 100 DEPLOYMENTS WORLDWIDE

7© 2016 EXFO Inc. All rights reserved..

ANALYTICS FOR E2E VISIBILITY

- CORRELATE NETWORK PERFORMANCE,SERVICE DELIVERY & QUALITY OF EXPERIENCE

- MULTI-LAYER END-TO-END ANALYTICS- PROVEN PERFORMANCE AT TIER-1 SCALE

8© 2016 EXFO Inc. All rights reserved.

CONSUMER AND BUSINESS TRENDS

By 2021…

COMMUNICATION

SERVICES

VIDEO AUGMENTED

REALITY

CONNECTED

CARS

HEALTHCARE INTERNETOF THINGS

MOBILITY ⎪ BROADBAND ⎪ CLOUD

Source: Ericsson Mobility Report, November 2015

› 9.1B mobile subscribers

› 7.7B mobile broadband subscribers

› 28B connected devices

› 10X mobile data traffic growth (from 2015)

9© 2016 EXFO Inc. All rights reserved.

MAJOR OPPORTUNITIES FOR EXFO

FIELD

AUTOMATION

›Operational efficiency

›Deploy services faster

›Reduce time-to-

revenue

QoE + E2E

VISIBILITY

›QoE and retention

›Reduce service costs

›Prioritize and predict

›Simplify operations

FIBER

EVERYWHERE

›… rich in the core

›… deeper in access

›… to-the-home

›… to-the-antenna

High-Speed, NFV,

Cloud, Data Centers

›NFV + H/W co-exist

›Service complexity

›Operational cost

›QoE and retention

›World No.1 in portable test›Consistent share gains›Frost & Sullivan Market Leadership Award for 2015

›Major new offerings

›EXFO Connect penetration›iOLM, FIP, etc.›TestFlow™ process automation

›Wins at tier-1 MNO … more to come

›Active/Passive + analytics›Both NFV + HW-centric›NFV driving active SA›Xtract: Major wins & funnel

›NFV ready for deployment›100G+ growth (labs & field)›Web-scale + data centers›Driving active/analytics opportunities

RELEVANCE TO EXFO

10© 2016 EXFO Inc. All rights reserved.

GROWTH STRATEGYTOP-LINE DRIVEN: BOLSTER SALES AND GROSS MARGIN

TRANSFORMInto a solutions partner. Customers

seeking E2E solutions to enhance

network performance and service

experience quality.

EXPANDShare of wallet with tier-1 network

operators. Top-15 operators account

for lion’s share of capital spending.

ACCELERATEPenetration of data center, Cloud

and web-scale operator markets.

Web-scale operators spending at a

faster rate than network operators.

INCREASEWireless presence. Bookings to

wireless customers reached 30-32%

of total bookings in FY 2015.

11© 2016 EXFO Inc. All rights reserved.

PROFITABILITY TARGET

1 Adjusted EBITDA represents net earnings before interest, income taxes, depreciation and amortization, stock-based compensation costs and foreign exchange gain or loss.

REDUCED OPEX FROM RESTRUCTURING AND CURRENCY TRENDS

$3.5M

RICHER PRODUCT MIX

ADJUSTED EBITDA1

>40% Growth YoY

$20M

FY 2016

REQUIRES ~3% YoYREVENUE GROWTH

GOOD START IN H1/16.ADJ. EBITDA TYPICALLY STRONGER IN H2.

$10.6M

12© 2016 EXFO Inc. All rights reserved.

PROTOCOL(Wireless, T&D, SA, Analytics)

PHYSICAL(Optical & Access)

TELECOM MARKET

TAM

SAM

Major competitors

Market growth rate

Sales ― FY 2015

Gross margin profile

$815 M

$495 M

Viavi, Anritsu

0-5%

$144.1 M

55-60%

$4.3 B

$2.4 B

Viavi, IXIA,

Netscout

10-15%

$80.6 M

70-75%

PROTOCOL TO DRIVE REVENUE AND EARNINGS GROWTH

*Excludes losses on FX contracts.

$5.1 B

$2.9 B

Single-digit

$224.7 M*

63%-65%

TOTAL

13© 2016 EXFO Inc. All rights reserved.

PHYSICAL-LAYER SOLUTIONS

COPPER ACCESS

› Most advanced product portfolio for

high-speed copper links

› MaxTester secured contract wins

with several tier-1 operators

› Supports pair bonding, vectoring

and G.fast (up to 1 Gbit/s)

PORTABLE OPTICAL

› No. 1 player with >34% market share

› Market dominance in OTDR testing

› Key differentiator: iOLM software

› Market leader in dispersion testing

› Unmatched product breadth & depth

14© 2016 EXFO Inc. All rights reserved.

PROTOCOL-LAYER SOLUTIONS

SERVICE ASSURANCE &

ANALYTICS SOFTWARE

› Probe-based systems targeted at

medium to large network operators

› E2E solutions with fully integrated

active/passive monitoring and

infrastructure polling to assure SLAs

› Real-time analytics for unmatched

network performance and service

experience visibility

TRANSPORT AND DATACOM

› Multi-service analyzers for

SONET/SDH, OTN and Ethernet

rates from 10M to 100G

› Comprehensive portfolio for wireless

backhaul and fronthaul

› Pioneered new standard for Ethernet

testing (EtherSam)

WIRELESS

› Network simulators: Large-scale

emulation of IMS, WebRTC

subscriber sessions to test routers,

gateways and session border

controllers

15© 2016 EXFO Inc. All rights reserved.

Q2 2016 HIGHLIGHTS

› Sales increased 5.1% YoY to $53.6 M

› Bookings improved 9.2% YoY to $59.7 M, B/B ratio of 1.11

› Gross margin1 reached 64.7%, highest level in 4 years

› Adjusted EBITDA2 amounted to $5.3 M, 9.9% of sales

› Cash flows from operating activities totaled $15.3 M

› Cash position attained $44.4 M and no debt

1Gross margin before depreciation and amortization is a non-IFRS measure and represents sales less cost of sales, excluding depreciation

and amortization.2Adjusted EBITDA represents net earnings before interest, income taxes, depreciation and amortization, stock-based compensation costs

and foreign exchange gain.

16© 2016 EXFO Inc. All rights reserved.

ANNUAL FINANCIAL RESULTS1

(in US$ millions, except gross margin)

1 All financial results from continuing operations, except net earnings/loss and adjusted EBITDA.

2 Gross margin before depreciation and amortization is a non-IFRS financial measure and represents sales less cost of sales, excluding depreciation and amortization.3 Adjusted EBITDA represents net earnings (loss) before interest, income taxes, depreciation and amortization, restructuring charges, stock-based compensation costs,

changes in the fair value of the cash contingent consideration, gain from the disposal of discontinued operations and foreign exchange gain or loss.

Sales

Gross Margin2 Net R&D Expenses Adjusted EBITDA3

Net Earnings/LossSG&A Expenses

17© 2016 EXFO Inc. All rights reserved.

STRONG VALUE PROPOSITIONWHY INVEST?

1. History of market-share gainsCaptured market share in growth and downward markets

2. Well positioned for key growth drivers3G, 4G/LTE, wireless backhaul, small cells, DAS, RRH, FTTx, 100G

3. Balancing sales growth and profitabilityTargeting Adj. EBITDA of $20 M at a revenue level of about $230 M for FY 2016

4. Solid balance sheet Cash position of $44.4 M and no debt — as at Feb. 29, 2016

5. Experienced and disciplined management teamAveraging >15 years of experience in sales, marketing, R&D, manufacturing, finance, HR

1Adjusted EBITDA represents net earnings before interest, income taxes, depreciation and amortization, stock-based compensation costs and foreign exchange gain or loss.