Investor Presentation

NASDAQ: HEARNovember 2019

SAFE HARBOR STATEMENT

Forward-Looking InformationThis 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. Forward-looking 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, general business and economic conditions, 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, our indebtedness, the Company’s liquidity, and other factors discussed in our public filings, including the risk factors included in the Company’s most recent Annual Report on Form 10-K, Quarterly Report on Form 10-Q and the Company’s other periodic reports. Except as required by applicable law, including the securities laws of the United States and the rules and regulations of the Securities and Exchange Commission, the Company is under no obligation to publicly update or revise any forward-looking statement 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 MeasuresThis presentation contains certain financial measures, including adjusted EBITDA, adjusted net income and constant currency revenue, 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 integration and transaction costs related to the acquisition of the ROCCAT business and excluding the effect of the mark-to-market requirement of the financial instrument obligation. “Adjusted EBITDA” is defined by the Company as net income (loss) before interest, taxes, depreciation and amortization, stock-based compensation (non-cash), and certain special items that we believe are not representative of core operations (e.g., the integration and transaction costs related to the ROCCAT acquisition and the mark-to-market adjustment for the financial instrument obligation and). “Constant currency revenue” is defined by the Company as revenue excluding the impacts of fluctuations in exchange rates from prior periods. 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 non-GAAP results for the three and nine months ended September 30, 2019 and 2018 in the appendix.

© 2019 Turtle Beach Corporation. All Rights Reserved.

2

WHO WE ARE

31. The NPD Group/Retail Tracking Service/Video Games/Dollars/U.S. & Canada/Jan 2010-Dec 2018 & Jan-September 2019

Shown: Stealth 600 – The best-selling wireless

gaming headset for Xbox One for over two years.

• Key player in vibrant $148.8B gaming market

• Market leader in gaming headsets for 10 years running (40+% revenue share)¹

• Expanded into gaming keyboards & mice via ROCCAT acquisition

• Strong brand with high consumer loyalty

• Full line of differentiated products

• Innovative & valuable patent portfolio

• Critical accessory provider to esports fans & players

• Global distribution & partnerships

• Expanded growth opportunities going forward

KEY PLAYER IN $149B GLOBAL GAMING MARKET

4

PC Gaming: $35.3B2.8% YOY Growth1

Mobile Gaming: $68.2B9.7% YOY Growth1

Console Gaming: $45.3B7.3% YOY Growth1

$148.8BGlobal Gaming Opportunity1

Esports: $1,096.1M26.7% YOY Growth1

Virtual Reality: $6.4B 201873% YOY Growth2

$7B Opportunity(2)

1. Newzoo – Global Games Market Report QU October 2019 & Global Esports Market Report 2019

2. Statista Virtual Reality Worldwide Market Size

GLOBAL GAMING ACCESSORIES TAM

CONFIDENTIAL 5

$1.4B $1.5B

$1.3B$1.5B

$0.7B

$0.9B$0.8B

$1.0B

2019 2021

Source: Newzoo Peripheral Revenue Forecasts October 2019

$4.1B

$4.9B

TAM GROWTH2019 – 2021

+18% Strong overall gaming accessories growth

+24% Expanding keyboard lineup and geographies

+25% Expanding mouse portfolio and geographies

+20% Building into PC headset category

+10% Turtle Beach #1 in gaming audio today

KEYBOARDS

MICE

PC HEADSETS

CONSOLE HEADSETS

CONSOLE HEADSETS ARE LARGEST GAMING ACCESSORY SEGMENT

6

Global Gaming Accessory Market $4,135M1

1. Newzoo October 2019 Peripheral Market estimates

2. Newzoo 2019 Global Esports and Global Games Market Report QU October

Americas and Europe are 65% of the market

Console Headsets are $1.4B Addressable MarketWith over 821M Gamers and 195M esports fans in the Americas and Europe2

Console Headsets$1,388M

PC Headsets$1,292M

Mice$689M

Keyboards$765M

Sales 80%+ Brick & Mortar Retail Driven3

3. Turtle Beach estimates 80+% of North American console headset sales are via brick & mortar retailers

Where Consumers Can Try The Headsets

AUDIO HEADSETS ARE A CRITICAL ACCESSORY FOR GAMERS

7

A Gaming Headset Provides…

• High-quality microphone for multiplayer gaming• More immersive audio for a better gaming experience• A competitive advantage in picking up key audio cues• Privacy of game and chat audio

They Are Harder & More DifferentiatedThan Music Headphones

• Durability and comfort for long gaming sessions

• Great audio quality at all price points

• Excellent microphone with easy mute capabilities

• Mid- and high-tier headsets can also offer unique technologies:➢ Integration with Xbox or PlayStation➢ Dedicated wireless technologies➢ Digital processing of audio➢ Mobile application to control

• Come in many price points from $20-$299 with increasing features

• Often with different models for Xbox, PlayStation, PC, Switch

THE LEADER IN CONSOLE GAMING HEADSETS FOR 10 YEARS RUNNING

8

#1 GAMING HEADSETPROVIDER FOR XBOX & PLAYSTATION

HIGHER REVENUE SHARE THAN NEXT 4 PLAYERS COMBINED

1. Counts only patents related to headsets (not including additional patents from ROCCAT and HyperSound)Source: The NPD Group/Retail Tracking Service/Video Games/Dollars/U.S. & Canada/January-December 2018

6 OF TOP 10 SELLERSOVERALL ARE TURTLE BEACH

All 5 OF TOP 5 SELLERSOVERALL ARE TURTLE BEACH 91 ISSUED PATENTS

51 Pending1

280K+ POINTS OF DISTRIBUTION42 Countries

STRONG BRAND & REPUTATIONAmong Gamers, Retailers, Gaming Industry

PRODUCT FOR EVERY GAMEREntry Level to Professional

PRODUCT INNOVATIONSAnd Unique Features - Many patented

STRONG PARTNERSHIPSWith Leading Esports Teams & Influencers

OVER 10 YEARS EXPERIENCEGaming Headsets and with Xbox & PlayStation

WHY & HOW:

MSRP:$99.95

GREAT HEADSETS FOR EVERY LEVEL OF CONSOLE GAMER

ASP TB Key FeaturesSample Products

• Windows Sonic & DTS 7.1 surround sound• Active noise-cancellation• Bluetooth connectivity w/app-based control• Superhuman Hearing• Leatherette ear cushions

• Windows Sonic & Turtle Beach surround sound• Direct wireless connection to Xbox One• Superhuman Hearing

• High-quality 40mm speakers• High-sensitivity flip-to-mute mic• Synthetic leather ear cushions

• Pro-grade game & chat audio performance• Patented ProSpecs glasses-friendly design• Cooling gel-infused memory foam ear cushions• Bluetooth connectivity w/app-based control• Superhuman Hearing• Swappable deco-plates

> $150

$100 - $150

$50 - $100

< $50

9

Entry-Level Gamer

< 4 hours per week

Casual Gamer4-6 hours per week

Enthusiast Gamer

7-15 hours per week

Core Gamer16+ hours per week

Esports

• Innovative open earcup• Reversible left-right design

MSRP:$149.95

MSRP:$249.95

MSRP:$79.95

MSRP:$49-59.95

MSRP:$39.95

MSRP:$19.95

• Amplified audio with mic monitoring and bass-boost• Metal-reinforced headband• Memory foam ear cushions

• Audio EQ settings• 50mm drivers• Patented ProSpecs glasses-friendly design

Chat Headset

Full Headset

Amplified Headset

Audio Features

Wireless Headset

ANC and Bluetooth

Pro-levelHeadset

Major Step-Ups

New 2019

10

WE ARE EXPANDING INTO PC HEADSETS TO INCREASE OUR TAM

Source: The NPD Group, Inc./Retail Tracking Service/Video Games/Console Accessories/Dollars/U.S./January-December 2018Source: The NPD Group, Inc., U.S. Retail Tracking Service, PC Headset/PC Microphone, Gaming Designed, Headset Only (No Standalone Microphone), Based on Dollars, Jan.-Dec. 2018

Global Gaming Accessory Market $4,135M1

Americas and Europe are 65% of the market

2nd Largest Segment In $4.1B Accessory Market

Console Headsets$1,388M

PC Headsets$1,292M

Mice$689M

Keyboards$765M

And Have a Dominant, Growing Share of the Combined Markets

1. Newzoo October 2019 Peripheral Market estimates

MSRP:$49.95

TURTLE BEACH HEADSET LINE-UP FOR PC GAMERS

11

MSRP:$79.95

ASP Sample Products

• High-quality 40mm speakers• High-sensitivity mic• Synthetic leather ear cushions

$79 - $99

$49 - $79

< $49

Entry-Level Gamer

< 4 hours per week

Casual Gamer4-6 hours per week

Enthusiast Gamer

7-15 hours per week

Core Gamer16+ hours per week

Esports

MSRP:$79.95

MSRP:$99.95

MSRP:$39.95

• Metal-reinforced headband• Memory foam ear cushions• Patented ProSpecs glasses-friendly design• Flip-to-Mute mic

Entry Level

AmplifiedAudio

Pro Wired & Competitive

Major Step-Ups

Build Quality

Wireless

> $150 MSRP:$149.95

Wireless Pro 3D Audio & Streaming

New 2019

TB Key Features

• Wireless game & chat audio• DTS 7.1 Surround Sound• Superhuman Hearing

• Pro-grade game & chat audio performance• Patented ProSpecs glasses-friendly design• Magnetic, swappable deco-plates

• Amplified audio with mic monitoring• EQ Settings• Large 50mm drivers

• Pro-grade wireless game and chat audio• Immersive Waves 3D Surround Sound• Control Studio software suite to customize audio• PC-Optimized Superhuman Hearing• Cooling gel-infused memory foam ear cushions• 30-hour rechargeable battery

New 2019

TURTLE BEACH ACQUIRED ROCCAT IN MAY 2019

• Hamburg & Taipei-based provider of PC mice, keyboards, headsets & software with strong brand in Germany

• Full line of mice & keyboards with unique innovations, integrated lighting & associated PC software

• Product & engineering personnel with deep experience & innovations in PC mice & keyboards

• PC experienced sales & marketing personnel including coverage in major Asian countries

• Proforma 2018: ~$25M net revenues, positive EBITDA & gross margins in mid 30’s%¹

121. Financials are estimated based upon structure where ROCCAT functions stand-alone vs. today’s structure which is highly integrated with distributor/owner

Shown: Kain 120 AIMO RGB gaming mouse and Vulcan 122 AIMO

mechanical PC gaming keyboard, both in Arctic White

ROCCAT ACQUISITION SIGNIFICANTLY EXPANDS ADDRESSABLE MARKET

13

Console Headsets$1,388M

PC Headsets$1,292M

Mice$689M

Keyboards$765M

GLOBAL GAMING ACCESSORY MARKET $4,135M1 Turtle Beach Portfolio¹ ROCCAT Portfolio¹

9 MiceIncluding 7 RGB Models

$29 - $139 MSRP

8 KeyboardsIncluding 4 RGB Models

$79-$159 MSRP

5 HeadsetsIncluding 1 USB/RGB Wired Model

& 1 Earbud Model$29-$119 MSRP

5 HeadsetsIncluding 1 USB Wireless Model

& 3 new Atlas models$39-$99 MSRP

21 HeadsetsIncluding 4 Wireless Models,

2 Pro esports Models& 2 Earbud Models

$19-$249 MSRP

48 Active Core Models in PortfolioSource for market sizes: Newzoo Report 2019 Peripheral Market estimates1. Reflects core models, not all SKUs or products are included.

HistoricTB Addressable

Market -Goal is to continue

leadership

Additional Addressable Market with

ROCCAT –Goal is to build

incremental $100M

business

GAMING MOUSE LINE-UP FOR EVERY LEVEL OF PC GAMER

14

ASP Sample Products

• Titan click technology for exceptional precision• Durable Omron switches• 2D Titan mousewheel

$70 - $99

$30 - $49Entry-Level

Gamer< 4 hours per week

Competitive Gamer

16+ hours per week

MSRP:$49.99

Improved Click Mechanism

Evolutionary Coating

Core USP ROCCAT Key Features

MSRP:$69.99

MSRP:$69.99

MSRP:$39.99

Entry Level

Owl-Eye Optical Sensor

New 2019

New 2019• Textured side grips• 16k DPI Sensor

• 66g lightweight design (Kone Pure Ultra only)• Only ergonomic ultralight mouse• 16k DPI Owl-Eye sensor• 2D Titan mousewheel

• 16k DPI Owl-Eye sensor• Titan Click technology for exceptional precision• High-comfort ergonomic shape

Enthusiast Gamer

4-15 hours per week

Wireless

> $100

MSRP:$99.99

Wireless & Docking Station

MSRP:$149.99

$60 - $99

MSRP:$79.99

Enhanced RGB Illumination

New 2019

• 7 light areas• Tri-button thumb zone• 4D Titan mousewheel• Owl-Eye Sensor

• 50-hour rechargeable battery• Titan Click technology for exceptional precision• 16k DPI Owl-Eye Sensor• High-Comfort ergonomic shape

• 14 ergonomic mouse buttons• Owl-Eye sensor• X-Celerator analog paddle + Fin Switch

MSRP:$59.99

Ambidextrous• Additional quick-fire buttons• 2D Titan mousewheel• Versatile shape (left and right-handed use)

ULTRA

MSRP:$69.99

UltralightDesign

New 2019

GAMING KEYBOARD LINE-UP FOR EVERY LEVEL OF PC GAMER

15

MSRP:$129.99

ASP Sample Products

• Precise midway travel actuation point• Configurable RBG illumination• Tuning wheel for on-the-fly control• Two color variants

$100 - $149

$79 - $99Casual Gamer4-6 hours per week

Enthusiast Gamer

7-15 hours per week

Core Gamer16+ hours per week

MSRP:$99.99

• Per-key illumination in blue• All keys remappable• Tactile switches with 1.8mm actuation point

Membranical Keystroke

RGB Illumination

Additional Comfort

Core USP

Mechanical Titan Switch

> $150

MSRP:$159.99

ROCCAT Key Features

• Titan Tactile mechanical switches• Dust resistant switch housings• Mixer-style media keys• Magnetic ergonomic palm rest• Anodized Ash Black aluminum plate• AIMO lighting engine

• RGB per-key illumination with 16.8m colors• ROCCAT Easy-Shift technology• 1.8m cable

MSRP:$149.99

MSRP:$159.99

New 2019

Competitive Gamer

16+ hours per week

Titan SpeedMechanical

Switch• Titan Speed mechanical switches

MSRP:$159.99

New 2019

> $150121 AIMO

122 AIMONew 2019

Color Variant

120 AIMO

• Arctic White color variant

100 AIMO

80

• Ellipse shaped earcups for better fit• Premium fabric to prevent overheating• 210 grams lightweight

EXPANDED AUDIO LINE-UP FOR EVERY LEVEL OF PC GAMER

16

MSRP:$69.99

ASP Sample Products

• Deep bass and crisp trebles• In-Cable Mic & Remote• Ultra-Low weight

$40 - $69

< $30Entry-Level

Gamer< 4 hours per week

Casual Gamer4-6 hours per week

Enthusiast Gamer

7-15 hours per week

Competitive Gamer

16+ hours per week

MSRP:$29.99

• Real-Voice mic• Memory from• In-Cable Mic & Remote

Entry-Level In-Ear

Over-Ear Stereo

RGB Illumination

Core USP

Dual DriverIn-Ear

$70 - $99

MSRP:$109.99

Hi-Res Stereo sound

ROCCAT Key Features

• 7.1 High-res surround sound• Inbuilt 7.1 soundcard• Passive noise cancelation• Real-Voice mic

• Studio grade stereo sound• Earcup ventilation due to open design• Ergonomic headband for enhanced comfort

• High-res sound to pinpoint enemy locations• Real-voice mic – teammates can hear you crystal-clear • Multi-platform (PC, Mac, PS4, Xbox and mobile)• Passive noise cancelation

MSRP:$59.99

MSRP:$89.99

$70 - $110

Comfort & Lightweight

MSRP:$69.99

17

WE PARTNER WITH LEADING TEAMS, INFLUENCERS & EVENTS

Titles shown represent games played by our partner esports teams and influencers and do not indicate a partnership with the publisher

Official Audio Partner –EA Sports FIFA 20 Champions Cup

Exclusive Gaming Partner –Jay Z’s Made In America Festival

Castro_1021 (#1 FIFA Streamer)

Dr Disrespect (3.5M+ Subs)

Mae (1M+ Reach)

Ali-A (21M+ Subs)

Siefe (Top 5 on Mixer)

Josh Hart (New Orleans Pelicans,

1M+ Reach)

PJ Washington(Charlotte Hornets, 2019 Lottery pick)

Kevin Porter Jr. (Cleveland Cavaliers,

2019 First round pick)

MrSavage (3.5M+ Reach) MrBBoy45 (2.5M+ Reach)

Houston Outlaws – Franchise team in Activision Blizzard’s OWL

Astralis – 3-time Major Champions and top CS:GO team

Romelu Lukaku(Inter Milan &

Belgium, 4.5M+ Reach)

Kevin De Bruyne(Man City & Belgium,

15M+ Reach)

2018 FINANCIALS AND 2019 OUTLOOK

18

QUARTERLY FINANCIAL OVERVIEW

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

19

2018 2019Commentary

$ in millions (except per-share data) Q3 Q3

Revenue $74.4$46.7

$47.1 constant currency

Slightly ahead of expectations. Highest Q3 revenue other than 2018, as expected, given record new headset users driven by Battle Royale games last year.

Gross Margin 41.0% 32.2%More normal level of promo activity compared to ’18 when less promo necessary given record demand, revenue-driven operating leverage, product mix, ROCCAT purchase inventory accounting.

Operating Expenses $14.0 $17.6Incremental ROCCAT operating costs & acquisition integration costs (as expected), digital marketing & sponsorship initiatives.

Adjusted EBITDA¹ $17.6 $0.3 Reflects above factors.

Net Income (Loss) $14.9 $(3.1)Lower gross profit due to revenue decline and ROCCAT related increase in OpEx.

Diluted EPS $0.91 $(0.22) 14.5M weighted average diluted shares in Q3-19 vs. 16.2M in Q3-18.

Adjusted Diluted EPS¹ $0.91 $(0.18)Reflects above factors. Excludes ROCCAT transaction and integration expenses.

Balance Sheet Improvements

• Renegotiated revolver in Dec 2018, reducing interest rates and extending term to March 2024.

• Fully repaid all term loans and subordinated notes in Dec 2018 with operating cash flow.

• ROCCAT purchase price of $12.7M funded with cash and borrowings under revolver.

• Repurchased ~206,000 shares for $1.9M, or $9.43 per share since Apr 2019.

BALANCE SHEET

20

Capitalization

At 9-30-18

At9-30-19

Cash & Equivalents $6.2M $7.0M

Debt Principal

Revolver (asset-based) $3.5M $26.6M

Term Loans $12.5M –

Subordinated Notes $15.4M –

Total Debt $31.4M $26.6M

Leverage Ratio¹ 0.4x 0.4x

1. Defined as total term loans outstanding and average trailing twelve month revolving debt, divided by consolidated trailing twelve month adjusted EBITDA.

ANTICIPATED CONSOLE HEADSET MARKET DYNAMICS IN 2019

0

2

4

6

8

10

12

14

2017 2018 2019 Model 2020+

21

Incremental Battle Royale Driven

Headset Sales

Simplified Market Model¹US & Canada Console Gaming Headset Sell-ThroughMillions of Units

9.0

14.7

“Normal” Headset

SalesWithout

Battle RoyaleImpact

11.8Assuming 50% of incremental

2018 users replace or

upgrade in 2019

1. This is a highly simplified market model to illustrate overall dynamics as presented with original annual guidance - actual market dynamics are much more complex than shown.Source: The NPD Group/Retail Tracking Service/Video Games/Dollars/U.S. & Canada

Installed base of console headset users grew significantly in 2018 driven by Battle Royale games

Recent survey results indicate consumer intent to upgrade/replace <24-month cycle (with wide distribution around that average)

Biggest drivers of potential increase from 2019 model estimates are:• Faster upgrade/replace cycle among new headset users• Discount console prices in last holiday before new gen consoles• Stronger performance of Q4 games/major games going “free”

Biggest drivers of potential decrease from 2019 model estimates are:• Slower upgrade/replace cycle among new headset users• Weaker performance of Q4 games than expected• Market slowdown due to new console announcements

Market sell-in revenues (sales) will vary from sell-through units based on channel inventory adjustments to hold weeks-of-supply and ASP of product sales

+30%

“Normal” Headset

SalesBased on

Larger Installed Base of Users

22

Project Scarlett (announced at E3 2019)Release: Holiday 2020 (expected November)Price: Unknown

• Backward compatible with Xbox One

• Major power increase/faster game access/reduced load times

• Will support up to 8k resolution

• Still play discs/not completely online

• Game Pass subscription service is key/access to AAA games

• Project xCloud game streaming service

• Beefed up Game Studio acquisition for exclusive development

• Custom Zen 2 AMD chip

PlayStation 5/PS5 (announced in April 2019)Release: Holiday 2020 (expected November)Price: $499 (unconfirmed)

• Backwards compatible with PS4

• Major power increase/faster game access/reduced load times

• Will support up to 8k resolution

• Significant focus on high-quality, immersive 3D audio

• Still play discs/not completely online

• Ray tracing technology

• PlayStation Now streaming/focus on AAA titles

• AMD 8-core chip based on third generation Ryzen line with 7nm Zen 2

GEN 8 CONSOLE LAUNCH INFORMATION

Source : Microsoft and Sony announcements

Gen 8 Xbox (2020) Gen 8 PlayStation (2020)Gen 7 Xbox (Nov 2013) Gen 7 PlayStation (Nov 2013)

23

XBOX AND PLAYSTATION CONSOLE OUTLOOK

“With the launch of new systems and continued sales for existing console we forecast Microsoft and Sony combined hardware sales will set records in 2021 and 2022” David Cole, Head DFC Intelligence, Video games industry analyst

Source : DFC Intelligence September 2019 Worldwide Video Game Market Forecasts; Active Installed Base (In Millions). Year 1 for Gen 7 : 2013 & Year 1 for Gen 8 : 2020

Source : DFC Intelligence September 2019 Worldwide Video Game Market Forecasts; Hardware unit sales (In Millions)

0

10

20

30

40

2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023

PlayStation and Xbox Console Sales

Gen 6 Gen 7 Gen 8

• Console transition has typically created a market decline the year prior to transition, an increase late in the year of new console launch, and then several years of accelerated growth post-launch

• Accessories typically also follow same pattern with some lag as some users will wait on new accessory purchases, particularly at the high-end prior to launch and then upgrading accelerates post-launch

• DFC predicts the combined XB and PS hardware unit sales for Gen 7 and Gen 8 in the first 3 years of launch to be higher than the combined sales of Gen 6 and Gen 7 in the first 3 years, setting another record

• Active Installed Base (AIB) of Gen 8 in the first 4 years of launch is expected to be slightly higher than AIB of Gen 7

• Nintendo is not included; a new system core from Nintendo could substantially increase overall market potential0

20

40

60

80

Year 1 Year 2 Year 3 Year 4

Active Installed Base

Gen 7 Gen 8

REVISED 2019 OUTLOOK¹

24

2019(Prior)

2019(Revised) Comments

Net Revenue

$240M-$248M

$236M-$242M

Narrowed range with slightly reduced midpoint reflecting ROCCAT at lower end of $16-20M range due to close timing and channel inventory alignment.

Gross Margin

33%-34% 33%-34%Within range but slightly lower end of range due to $1-$1.5M tariff impact.

Adj. EBITDA

$27M-$31M

$23M-$25M

Includes above tariff impact and decision to increase marketing and promotional investments in Q4 to drive brand and products.

Diluted Shares

15.7M 15.7M

GAAP EPS²

$0.70-$0.90

$0.50-$0.60

Reflects above factors plus higher estimated tax rate of 19%.

Adj. EPS² $0.90-$1.10

$0.65-$0.75

Reflects above factors. Excludes ROCCAT transaction & integration costs.

1. Guidance updated on November 7, 2019.2. Include $1.2M in costs for purchase accounting step-up on acquired ROCCAT inventory.

Overall Console Headset Market Assumptions:

• Influx of new gaming headset users and upgrade/replace cycle reflect normal historical patterns (no “Fortnite effect” added)

• Console prices are discounted in final holiday before new launches creating holiday sales as % of full year sales similar to last transition (2012)

• Holiday AAA game launches are weaker than 2018 but COD: Modern Warfare launch is very strong

• Tariffs that were increased to 15% as of September 1 were partially mitigated but leave $1-$1.5M impact in 2019

REVENUE PROFILE

25

$163 $174$149

$287

$236-$242

$0

$50

$100

$150

$200

$250

$300

$350

2015 2016 2017 2018 2019E

Company Revenues (1)

Millions

Channel Inventory Adjustments

1. Company net revenues = wholesale revenues so not directly comparable to retail revenues in the chart on the right – shown just for perspective given channel inventory impacts on company net revenues.2. The NPD Group/Retail Tracking Service/Video Games/Dollars/U.S. & Canada/CY2015, CY2016, CY2017, CY2018, and Trailing Twelve Months Oct 2018-Sept 2019. 3. Guidance updated on November 7, 2019.

(3)

Company Product Retail Sell-Through in US & Canada Markets (2)

Millions

$174 $179 $175

$322

$268

$0

$50

$100

$150

$200

$250

$300

$350

2015 2016 2017 2018 TTM Sept2019

EBITDA PROFILE

26

-$11.4

$4.0

$11.6

$57.7

$23-$25

-$20.0

-$10.0

$0.0

$10.0

$20.0

$30.0

$40.0

$50.0

$60.0

$70.0

2015 2016 2017 2018 2019E²

Adjusted EBITDA1

Millions2016:Returned headset business to profitability. Converted HyperSound to licensing model. Entered esports, VR, streaming mic categories.

2017:Focused on core headset business and continued profitability improvements. Positioned the Company for improved balance sheet and loan terms. Laid groundwork for 2018+ growth initiatives.

2018:Continued to deliver increased profitability. Lowered cost and paid off debt. Made select investments to drive future growth.

2019 & Beyond:Hold position in console headsets. Accelerate PC headset growth in our core markets. Enter PC headsets in Asia. Add keyboards and mice. Add software and services differentiation across hardware.

1. See appendix for a reconciliation of non-GAAP measures.2. Guidance updated on November 7, 2019.

STRONG FREE CASH FLOW GROWTH

27

-$19.8

-$1.3

$5.2

$51.1

$20-$22

-$30.0

-$20.0

-$10.0

$0.0

$10.0

$20.0

$30.0

$40.0

$50.0

$60.0

2015 2016 2017 2018 2019E²

Strong free cash flow generation:

• Allowed the Company to pay down all long-term debt

• Expected to enable continued growth investments

• Allowed for April ’19 announcement of a share buyback of up to $15M over the next two years

• So far, ~206,000 shares repurchased for $1.9M, or $9.43 per share

• Acquired ROCCAT for $12.7M at closing with operating cash and borrowings under revolving credit facility

Free Cash Flow1

Millions

1. Free cash flow defined as consolidated adjusted EBITDA less capital expenditures, less cash interest.2. Estimated based on guidance updated on November 7, 2019.

LONG-TERM FINANCIAL TARGETS

28

Metric Target

Revenue $ 10-20% CAGR

Gross Margins % Mid 30’s

EBITDA $ 15-30% CAGR

Maintain leadership position in console gaming headsets

Drive growth in PC gaming headsets, keyboards, and mice

(leveraging ROCCAT)

Maintain disciplined spending with investments for growth

Leverage brand, skills, and global footprint to enter new

categories over time(organic and M&A)

KEY TAKEAWAYS

▪ #1 console gaming headset brand in the $1.4B1

console headset market

▪ Best-selling, innovative product portfolio for all levels of gamers with 90+ associated patents

▪ Expanded into PC gaming headsets, keyboards & mice to grow addressable market to $2.8B1

▪ ~$240M business generating ~$25M of EBITDA & $20+M of free cash flow2

▪ Healthy balance sheet with no long-term debt

▪ Highly experienced board and management team

29

1 Newzoo 2019 Peripheral Market estimates – updated in October 2019

2 Based on 2019 guidance as of November 7, 2019

Investor Relations: Media Contact:Cody Slach, Sean McGowan Maclean MarshallGateway Turtle Beach Corporation949.574.3860 858.914.5093 HEAR@gatewayir.com Maclean.Marshall@turtlebeach.com

APPENDIX

EXPERIENCED BOARD OF DIRECTORS

32

• Former Chairman & CEO of Activision Publishing (NASDAQ: ATVI)• Operating partner of Stripes Group, LLC• Founder & principal of Erasmus Equity Investments

Ron DoorninkChairman

Juergen StarkCEO & Director

• COO of Motorola Mobility’s mobile business• 10 years as Principal at McKinsey & Company, Inc.• MBA, Harvard Business School

William KeitelDirector

• Former CFO of Qualcomm Incorporated (NASDAQ: QCOM)• During his time at the company grew revenues from ~$800M to ~$25B• Held senior financial roles at Nortel (OTC: NRTLQ) & Pepsico (NYSE: PEP)

Dr. Andrew Wolfe, PhDDirector

• Founder & principal of Wolfe Consulting• Former Chief Technology Officer for SONICblue, Inc.• Expert in IP strategy and licensing

Gregory BallardDirector

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

Kelly ThompsonDirector

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

EXPERIENCED MANAGEMENT TEAM

33

Juergen StarkCEO

John HansonCFO

Cris Keirn SVP, Global Sales

Matt SeymourVP, Product Management

Megan Wynne General Counsel

• COO of Motorola Mobility’s mobile business

• 10 years as principal at McKinsey & Company

Joe StachulaCTO & VP Development

Andrew LilienVP of Marketing

Jose RosadoSVP Global Operations

Scott RankinVP Global Logistics

• 20+ years in consumer electronics

• 12 years at Plantronics engineering audio headsets

• 20+ years of brand, consumer & retail marketing experience

• Past experience at ESPN, Fleer Trading Cards & National Media Group

• Former Sr. Director, Global Supply Chain Operations for HP

• 22 years of supply chain management with Motorola, On Semiconductor, HP, Cisco

• 20+ years of logistics, transportation & operations experience

• 11+ years at Turtle Beach

• EVP & CFO at Dialogic

• CFO at One Communications Corp

• Led headset transition as VP of business planning & strategy

• 17 years with Motorola in product management, operations, quality & customer relations

• 20+ years in the Consumer Electronics industry• Previously with Sony leading television portfolio

planning & development, product marketing

• 5 years with I-Flow, a Kimberly-Clark Health Care Company

• 13 years with Morris Polich & Purdy law firm

• Founder of ROCCAT GmbH and CEO for 12 years

• VP Europe for RAZER

• Professional gamer and founder of MTW esports teamRene KorteGeneral Manager, PC Products

GAAP TO ADJUSTED EBITDA RECONCILIATION – THREE MONTHS ENDED SEPTEMBER 30, 2019

34(1) Other includes certain business acquisition costs and a gain (loss) on financial instrument obligation.

Three Months Ended

September 30, 2019

Adj

As Adj Adj Stock Adj

Reported Depreciation Amortization Compensation Other (1) EBITDA

Net revenue $ 46,723 $ - $ - $ - $ - $ 46,723

Cost of revenue 31,680 (570) - (108) - 31,002

Gross Profit 15,043 570 - 108 - 15,721

Operating expenses 17,562 (728) (192) (922) (618) 15,102

Operating income (loss) (2,519) 1,298 192 1,030 618 618

Interest expense 240

Other non-operating expense (income), net 302 302

Income (loss) before income tax (3,061)

Income tax expense 63

Net loss $ (3,124) Adjusted EBITDA $ 316

GAAP TO ADJUSTED EBITDA RECONCILIATION – THREE MONTHS ENDED SEPTEMBER 30, 2018

35(1) Other includes unrealized gain (loss) on financial instrument obligation.

Three Months Ended

September 30, 2018

Adj

As Adj Adj Stock Adj

Reported Depreciation Amortization Compensation Other (2) EBITDA

Net revenue $ 74,427 $ - $ - $ - $ - $ 74,427

Cost of revenue 43,925 (137) - (70) - 43,718

Gross Profit 30,502 137 - 70 - 30,709

Operating expenses 13,980 (603) (74) (518) - 12,786

Operating income 16,522 740 74 587 - 17,923

Interest expense 1,093

Other non-operating expense (income), net 99 209 308

Income before income tax 15,330

Income tax expense 398

Net income $ 14,932 Adjusted EBITDA $ 17,615

GAAP TO ADJUSTED DILUTED EPS RECONCILIATION – THREE MONTHS ENDED SEPTEMBER 30TH

36

Three Months Ended

September 30,

2019

September 30,

2018

Net Income (Loss)

GAAP Net Income (Loss) $ (3,124) $ 14,932

Adjustments, net of tax:

Loss (gain) on financial instrument obligation - (209)

Acquisition integration costs 543 -

Non-GAAP Earnings $ (2,581) $ 14,723

Diluted Earnings Per Share

GAAP- Diluted $ (0.22) $ 0.91

Gain on financial instrument obligation - -

Acquisition integration costs 0.04 -

Non-GAAP- Diluted $ (0.18) $ 0.91

GAAP TO ADJUSTED EBITDA RECONCILIATION – FULL YEARS

37

December 31, 2018 December 31, 2017 December 31, 2016 December 31, 2015

Consolidated

Net Income (Loss) 39,190 (3,248) (87,182) (82,907)

Depreciation 3,954 4,075 5,066 5,901

Amortization of intangibles 303 349 4,128 2,015

Interest 5,335 7,916 7,447 5,099

Taxes 1,737 593 (387) 2,393

Stock Compensation 1,877 1,430 3,960 5,897

Restructuring Expense - 533 664 399

Goodwill Impairment - - 63,236 49,822

Business Transaction Expense - (79) 7,079 -

Unrealized loss on financial instrument obligation 5,291 - - -

Adj EBITDA 57,687 11,567 4,011 (11,381)