#1Enfusion 1Q 2023 Shareholder Letter May 2023 :enfusion ●●● ● ©2023 ENFUSION. ALL RIGHTS RESERVED. ● ●#2Disclaimer Forward-Looking Statements Statements we make in this presentation may include statements which are not historical facts and are considered forward- looking within the meaning of Section 27A of the Securities Act of 1933 (Securities Act) and Section 21E of the Securities Exchange Act of 1934 (Exchange Act), including expectations regarding future financial performance. These forward-looking statements are usually identified by the use of words such as "anticipates," "believes," "estimates," "expects," "intends," "may," "plans," "projects," "seeks," "should," "could," "will," and variations of such words or similar expressions. We intend these forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act and Section 21E of the Exchange Act and are making this statement for purposes of complying with those safe harbor provisions. These forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our control, such as those set forth in our Annual Report on Form 10-K for the fiscal year ended December 31, 2022 that was filed with the SEC on March 30, 2023 and our subsequent Quarterly Reports on Form 10-Q. We assume no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. *:enfusion Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 2#3Dear Shareholders, Since Enfusion's founding, navigating challenging environments has been a part of our journey. From the Global Financial Crisis to the COVID pandemic, following each instance of macroeconomic uncertainty, we have emerged a stronger company. I expect the impact of this current environment to be no different. As it always has, Enfusion creates compelling and unique value for our clients and, in doing so, allows us to maintain our leading position in cloud-native, end-to-end investment management software. 1Q23 Highlights: During the first quarter, Enfusion continued to grow revenue at double-digit rates and further established itself as the partner of choice for investment managers. Two key areas that I am particularly proud of are: ● Our first quarter client wins demonstrate our ongoing strength in conversions and further our global expansion. We signed a multi-billion-dollar venture capital fund that was looking to replace its outdated technology with a cloud-native, end-to-end platform. I am also particularly proud that we signed a credit hedge fund through our relationship with a dedicated managed-account platform, Innocap Global Investment Management. Further, we signed a multi-billion dollar Chinese hedge fund based in Singapore that chose Enfusion to consolidate its incumbent providers onto one platform. We delivered healthy growth and profitability in the face of macro challenges. For the first quarter, we delivered double-digit revenue growth, which was driven by new sales across our products and services. Our focused expense discipline allowed us to maintain a solid margin profile. Further, our strong cash conversion translated to another quarter of positive adjusted free cash flow. Enfusion continues to disrupt the investment management solutions space by creating unparalleled value for all of its clients, which include new hedge fund launches, large complex multi-manager platforms, institutional investment managers, wealth managers, and family offices. Our compelling value proposition centers around our cloud-native, multi-tenant Saas model, which allows us to grow and scale with our clients, drive efficiencies, lower the total cost of ownership, and empower investment managers and asset owners to make better decisions. As one of the few SaaS-based companies with the unique combination of high growth and proven profitability, I am confident that Enfusion remains well-positioned to create long-term shareholder value. Sincerely, a. Morch Oleg Movchan Chief Executive Officer *:enfusion Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 3#4Our mission To help solve investment managers' evolving business and operational challenges through next generation technology *:enfusion +LS BY Sector (OMS) Consumer Discret Financials Health Care Industrials Information Techn Descretos g ADERE CLO $0.00 $7,576.53 Materials Real Estate Utilities $0.00 $15245 $20,760.41 ADVANCED MICRODEVICES ORD APPLE ORD DIGITAL ALLY ORD HELIOS AND MATHESON ANALY INTILORD INTERNATIONAL MICROSOFT ORD HANG DONG $1,361.20 $780.36 S&RD TRANSCENDENCE TECHNOL DE 6.520 344,905 10,000 200,000 4,4 $0.00 No Que P 1,800 50.000 323.500 $0.00 $0.00 $0.00 $757653 $0.00 $4531829 $0.00 FORM $0.00 $2.00 $ Total Daily P. $Daly Realred $Daly Unreal $ Daily Trading $ Daly Car $Daly FX Con $Daly Dividen $Daly Fund. $ Daily Accue $0.00 $180.38 57,533.38 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 10.00 $0.00 $0.00 $0.00 $2079041 $789.34 EMIDPAL $0.00 $22.63506 $0.00 1420000 10.00 578936 -52725,42514 $0.00 $0.00 $12.000.00 $0.00 $3725.000.00 $0.00 ww 10.00 suto $0.00 5437.37 MEM $0.00 $0.00 $0.00 $11315236 $11,162 $12.575.0 $4,200.00 $12,000 00 $190,0000 $0.00 $0.00 $0.00 $6.79 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 SYROPOL $420000 $22.535.06 $100.861.46 10.00 -8.00 $0.00 www.de 14500 10:00 $1.00 $ Total Daily P S Daly Realed $Daly Unreal $Daily Trading $Daly Commi $0 $0.00 $225974.54 -2.39693454 $0.00 $0.00 $10,15286 $805,045.25 41725470.14 5810300002 $4,700.00 $199,720.40 11200100 $322,000.00 8972825.00 -3304 File Tools View Legal Entity Instruments Trade Position Help CS1300 (Jan) DJI 5,485.20 3 0.00 + My Blotter (41) Program Name Progra Name 0.00% CAM Compo Beach Communica Communi... Communi... Communi... $7:59:36 $0.00 $0.00 $0.00 Pou 5000 9000 Fiters... 2016 $2.78 $6310 $175.00 121829 $0.34 953176 112400 MAT 110042 $.42.12 100 30.00 $0.00 36,794.20 $780.17 MatPrice Native Doy Tray 50.00 5007 $0.00 50.00 5000 50.00 50.00 10 15.00 50.00 Clear Filters Status $0.00 $0.00 000 x Needs Action (0) x Active Orders (41) Y <25% Filled 10:00 5000 50.00 0.00 x 8000 5000 1000 15.00 $0.00 10:00 FX Con. $Osily Dividen $Daly Finand $Daily Acore.. $0.00 $0.00 30.00 → 10.00 $0.00 0.00% BM GICS Pet Exch US US US US US US US O US Enfusion [email protected]@[PO=prodapps220.chi, DS=dataserver-prod-us01] - [52359] ting Link St Filled %... verage Cos 78.12 107.22 16.44 DOW (Mar) 30,942.00 0.00% PL GICS @ 9:04 X 0% ✓T XC 0% ✔T XC 0% ✔T XC XOT XC 0% 0% 28 AGE 0% T XC 0% вот хо Y Notl 250k 0% KIXO 0% KI XO A Limit Active Routes (0) Compliance Compliance Issues Buy SUMMIT ORD Limit Buy AUTODESK ORD Limit n/a D 0.00 0.00% Buy SPOR S&P BIOTECH ETF 50 Position Order Management x Y Chan Open 25,000 Buy 30,932 Buy 68,750 Buy In Compliance Buy LOEWS ORD Limit 0/100 Buy ADVANCE AUTO PARTS ORD Buy STANDARD MOTOR ORD Limit TOO Buy ESZO-ESH1 1,954 Buy 0100 OID: 8215600 321 Buy 41.520 Buy O Sell Short FB OID: 8518366 OID: 8215236 Txn NFLX O Sell Short SNAP O Sell Short TWTR OID: 8215228 23,168,592 OID: 8215178 Inactive Routes (8) OID: 8215278 OID: 7363437 Nasdaq (Mar) na D 0.00% Buy ACTIVISION BLIZZARD OR Limit n000 OID: 7789440 Sell INTERNATIONAL BUSINESS MACHIN.. Limit 0-250.000 OID: 7813993 Ticker1 LAZR TSLA VLDR Compo AMZN HI O 645,840 5 Quantity $ SMV 250.000 25,000 200,000 11.072.562 3,811.702 57,197.331 1.000 Market Data Status: Up 626.566 81,015.393 Completed Orders (0) Alerts (0) Comm Svcs S&P (Mar) n/a DI $ SMV 0.00% X Cancel Stale Routes Limit 0.00 Type $GMV 23,168,592 Gold Han 1.912.30 645,840 $GMV 269.48 Limit GTC 523.77 Limit GTC 52.09 Limit GTC 53.76 Limit GTC Value Date Latest Market GTC Market GTC Market GTC 3,183.40 Limit GTC 36.97 Limit GTC Pair (0) 645,840 0.00% More Settings $ YTD P& 3,231,832 VIX (Jan) 23.23 0.00 X MNUS (49) x TIF $ National Trade Am... Market/Limit Delta Y Indus Y Financials $ YTD P&L -163,860 8,032,500 17,641,750 5,164,000 2,983,834.059 1,996,455.117 2,979,408.961 53.760 1,994,611.529 2,995,139.076 $ MTD P&L 3,231,832 0.00% Save Clear (0) X S (41) Info Tech EUR/USD 1.2272 -14.92 -0.29 1.49 Last X Y Global 32.16 816.07 25.82 268.81 508.85 52.38 52.27 -21.17 3.162.23 6.47 43.44 Market Env. Enfusion-Default Description G Export.. Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. APPLE ORD -163,860 FOLEY TRASIMENE ACQ II CL A ORD $ MTD P&L FundShortName Custodian -163,860 Filled 0 4 ✿ A 4 PM Print..#5We simplify and unify the investment management lifecycle We manage complex workflows... Fills Orders Reconciliations *:enfusion Allocated Trades Reporting Statements Order Management x Active Orders (123) GIC Sector Communicatio D Pairs (6) Clear Filters > Charlie OMS Server Status: Up S Program Name Portfolio Manager x > Fred Smith Communications Communica Pair 1 Communica... Pair 1 Communica... Skyliners Communica... Skyliners Communica... High Tide PM Communica... High Tide PM Communica... High Tide PM Communica... High Tide AM Partially Consumer Dis... Consumer D... Skyliners Consumer D... Pair 3 Consumer D... EU Focus Consumer D... EU Focus Consumer D Skyliners O All Symbols (194) Y3 %30dADV Status Com.. Pareny Order Id 9348141 fill alert. Buy 10000.00 of "BUTTERFLY NETWORK CLA ORD@ 17.00. 15.00 % filled. Matched Threshold 5.00% X- W X My Groups (0) 7 x V <25 % Filled Position 254,090 698,677 F O Ⓒ x Voice Orders (194) x V25-75% Filled V Financial 9 -$1,071.06 65,684.25 1,431.58 -39,952.00 Routing Link Status: Blockcross NYFIX TEST (Dark Pool) Daily Base Amount 230.941.61 $478.605.93 -$19.860.81 $6,226.25 BB Ticker 0TX C NMKA MM Equity TXC SCI US Equity OTC GM US Equity OTXCHDI GR Equity 1.400 TXC COGN3 BZ Equity TXC SNAP US 5 Equity Undecided 176,450TX C TWTR US Equity Undecided Buy OⓇTXC ATVI US 01/21/2... Undecided Sell OT CATVIUS Equity Undecided Sell 176,450TX C TWTR US Equity 63,460 TXC FB US Equity 105,826TXC SNAP US Equity 70,665T C NFLX US Equity 44,000 21,300 5 Xc Needs Action (0) x Ac Not >250k Indus/Mater MTD Base Amount 327,664,036.90 $327,060,229.62 -$40.913.15 $21,820.00 Method 1,435,588.57 -$4,651.06 -81,952.00 Undecided Buy Undecided Buy Undecided Buy Undecided Buy Market Data Status: Up Undecided Buy Undecided Sell Undecided Buy Undecided Buy Undecided Buv Quantity -296,000 598,000 250,03) 100,000 200,000 219,000 100,000 6.300 25-0011 YTD Base Amount 283,247,230.40 $287,019,361.82 $4,695,569.30 $118.10 -6,975.426.05 -$33,968.52 288.00 83,000 50,000 50,000 14.000 www. > Mary Clark > Missing Portfolio Manager > Patrick Anderson > Pete Jones Local Time 10:04:00 AM Chicago 9:04:00 AM Hong Kong 11:04:00 PM London 3:04:00 PM New York 10:04 End: GIC Sector Information Tec AAPI AMZN BFLY .. ► DIS ► DSGT IWD enfusion AvgPx v Last Pet 7.30% -7.30% FundShortName 34 6,000 5,000 CMARK CLP 15,000 1,700 70.000 Liquidity 1.08 146.89 Sh $ Daily P&L 3,275.07 3.057.64 26.69 18.50 28.86 21.66 20.92 12.92 Quantity 0.45 150.54 -71 14,200 Match Case $MTD P&L -18,247 $ Average Cost 0 0 0 $ MTD P&L -169,850 0 0 pyr 128.73 128.73 $ YTD P&L -124,321 -124,321 Market Price Received 21 row(s). -1,182 -3.300 -6.350 $ YTD P&L -259,818 -38,400 10,234 -12,981 3,650 119.97 119.97 $LMV 1,703,645 1,703,645 AvgPx v Last Pet -7.30% -7.30% -7,284 -49,140 -36,000 -120,000 278,902 -43.781 3,650 AvgPx v La 0.0000 ...empowering teams to operate in concert | Դ Օ $ CFO Portfolio Manager Po Compliance Officer Middle Office COO Analysts ♂ 31 임모 Traders Investor Relations ©2023 ENFUSION. ALL RIGHTS RESERVED. Back CIO Office 5#6Serving clients across the investment management industry <>Alternative Investment Managers Hedge Funds Private Credit *:enfusion Private Equity Family Offices Institutional Investment Managers Wealth Managers Mutual Funds Traditional Asset Managers Sovereign Wealth Funds Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 6#7Purpose-built end-to-end solution Analytics • Connected in real-time with our PMS and OEMS . Comprehensive client data insights to analyze portfolios through time horizons and automate customized visualized reports Accounting / General Ledger • Double-entry ledger that automates the posting of general ledger journal entries directly from PMS Complete, real-time Accounting Book of Record ("ABOR") *:enfusion Performance Attribution Mission critical systems integrated with a suite of technology-powered services Analytics PMS Visual Analytics Reporting & Analytics START Investment Decision One single dataset and source of truth •:enfusion Admin. & Settlement EOD Trade Files, espaา เpieues | Buเunoววง OEMS Order Generation Order/Trade Routing Allocations & Trade Affirmation дәәләд рәләм-ба Portfolio Management System • Live details of portfolio positions • Real-time Investment Book of Record ("IBOR") Order Execution Management System Electronically communicate and manage trade orders • Systemically enforce trading regulations and internal guidelines Technology-Powered Services • Expert teams empowered by technology Front-, middle- and back- office time consuming, administrative tasks A Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED.#8Addressing a large and growing market IT hardware spend Internal IT spend Software & IT services from Investment Management *:enfusion $19bn+ $2.0bn $5.7bn $11.5bn Source: IDC's Worldwide Capital Markets IT Spending Guide (2023); PwC Asset and Wealth Management Revolution (2020) enfusion 1Q 2023 ARR: $167mm Robust growth in Underlying industry total 40% growth in global AUM 2015-2020 annual 8% growth of alternatives AUM projected annual 6% growth of total AUM projected $145 trillion in global AUM by 2025 Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 8#9Why we win Client-centric approach Rapid pace of delivery and evolution *:enfusion Cloud-native, multi-tenant Saas One end-to-end solution, one single dataset and source of truth Open, flexible and tailored Drive efficiencies and lower total cost of ownership Unique ability to lead with a single solution - and then adjust to a client's growing complexity, scale with its size, evolve with its operational workflows, and continuously adapt to customer business dynamics Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 9#10Q1 2023 key financial highlights $ in millions Highly attractive SaaS model with combination of scale, growth and profitability *:enfusion Total Revenue Gross Profit Adjusted Gross Profit Net Income Adjusted EBITDA (1) Operating Cash Flow (1) Adjusted Free Cash Flow (1) (1) See appendix for definition and non-GAAP reconciliations. $41.0 $27.7 $27.9 $4.7 $5.7 $0.9 $4.5 20.0% YOY Growth 67.5% Gross Margin 68.2% Adjusted Gross Margin 11.5% Net Income Margin 13.9% Adjusted EBITDA Margin 2.3% OCF Margin 79.7% FCF Conversion ©2023 ENFUSION. ALL RIGHTS RESERVED. 10#11Strong growth trends with ongoing profitability $ in millions $34.1 1Q22 1Q22 40.2% *:enfusion $36.5 Revenue $39.2 $40.5 $41.0 2Q22 3Q22 4Q22 1Q23 YOY Growth 2Q22 3Q22 4Q22 1Q23 38.2% 34.8% 27.2% 20.0% $23.5 $23.2 1Q22 Gross Profit and Adjusted Gross Profit (1) 1Q22 $27.6 $26.0 $27.2 $25.7 2Q22 3Q22 Adjusted Gross Profit $27.5 $27.2 2Q22 4Q22 1Q23 Gross Margin and Adjusted Gross Margin 3Q22 4Q22 Gross Margin 67.8% 70.3% 69.4% 67.2% -Gross Profit $27.9 $27.7 Adjusted Gross Margin 68.9% 71.2% 70.5% 68.0% 1Q23 67.5% 68.2% (1) See appendix for non-GAAP reconciliations. $1.8 $(12.5) 1Q22 1Q22 NM Net Income and Adjusted EBITDA $5.3 $5.4 $2.6 (1) $6.8 $0.8 $(4.1) 2Q22 3Q22 4Q22 1Q23 Adjusted EBITDA -Net Income Net Income Margin and Adjusted EBITDA Margin 2Q22 3Q22 4Q22 Net Income Margin 6.6% NM 1.9% $5.7 $4.7 Adjusted EBITDA Margin 5.4% 14.5% 13.9% 16.7% 1Q23 11.5% 13.9% ($4.1) 1Q22 Operating Cash Flow and (1) Adjusted Free Cash Flow ($9.4) 1Q22 2Q22 NM $2.9 NM ($1.4) $7.8 $4.8 $7.5 $3.6 Operating Cash Flow Margin and Adjusted Free Cash Flow Conversion $4.5 3Q22 4Q22 1Q23 Adjusted FCF -Operating CF $0.9 Free Cash Flow Conversion NM 87.6% 53.4% 2Q22 3Q22 4Q22 1Q23 Operating Cash Flow Margin 7.9% 20.0% 18.6% Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 2.3% 79.7% 11#12Organic, sticky expansion at scale $ in millions $137.6 1Q22 $148.7 ARR $158.7 *:enfusion 2Q22 3Q22 4Q22 1Q23 $164.7 $167.0 YOY Growth 1Q22 2Q22 3Q22 4Q22 1Q23 37% 38% 21% 33% 30% Net Dollar Retention Rate (1) 115.8% 121.9% 116.6% 115.4% 110.5% 1Q22 2Q22 3Q22 4Q22 1Q23 756 1Q22 1Q22 67% 793 Clients 810 819 2Q22 3Q22 4Q22 1Q23 % Conversions 2Q22 3Q22 4Q22 74% 60% 51% (1) Net Dollar Retention Rate excludes involuntary churn. 813 1Q23 59% Avg Contract Value $ in thousands $190 1Q22 1Q22 9% $195 2Q22 3Q22 $201 2Q22 12% YOY Growth $207 10% 4Q22 1Q23 3Q22 4Q22 1Q23 $210 13% Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 10% 12#13Appendix enfusion#14*:enfusion ASSETS Current Assets: Cash and cash equivalents Accounts receivable, net Prepaid expenses Other current assets Total current assets Property and equipment, net Right-of-use-assets, net Other assets Total assets ENFUSION, INC. CONSOLIDATED BALANCE SHEETS (dollars in thousands, except shares and unit amounts and par value) LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable Accrued expenses and other current liabilities Current portion of lease liabilities Total current liabilities Lease liabilities, net of current portion Total liabilities Stockholders' Equity: Class A common stock, $0.001 par value; 1,000,000,000 shares authorized, 74,081,623 and 70,859,711 shares issued and outstanding as of March 31, 2023 and December 31, 2022, respectively Class B common stock, $0.001 par value; 150,000,000 shares authorized, 41,198,767 and 43,198,767 shares issued and outstanding as of March 31, 2023 and December 31, 2022, respectively Additional paid-in capital Accumulated deficit Accumulated other comprehensive loss Total stockholders' equity attributable to Enfusion, Inc. Non-controlling interests Total stockholders' equity Total liabilities and stockholders' equity $ $ $ S As of March 31, 2023 (Unaudited) 54,598 24,356 5,600 2,093 86,647 16,879 13,438 4,529 121,493 1,290 7,403 5,013 13,706 8,642 22,348 74 41 240,075 (176,012) (473) 63,705 35,440 99,145 121,493 As of December 31, 2022 $ $ $ $ 62,545 25,855 6,105 2,303 96,808 15,759 6,732 4,484 123,783 1,685 11,665 4,030 17,380 2,959 20,339 71 43 244,260 (178,863) (504) 65,007 38,437 103,444 123,783 Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 14#15*:enfusion REVENUES: Platform subscriptions Managed services Other Total revenues COST OF REVENUES: Platform subscriptions Managed services Other Total cost of revenues Gross profit OPERATING EXPENSES: General and administrative Sales and marketing Technology and development Total operating expenses Income (loss) from operations NON-OPERATING INCOME (EXPENSE): Other income (expense) Total non-operating income (expense) Income (loss) before income taxes Income taxes ENFUSION. INC. CONSOLIDATED STATEMENTS OF OPERATIONS (dollars in thousands) (Unaudited) Net income (loss) Net income (loss) attributable to non-controlling interests Net income (loss) attributable to Enfusion, Inc. Net income (loss) per Class A common shares attributable to Enfusion, Inc.: Basic Diluted Weighted Average number of Class A common shares outstanding: Basic Diluted $ S $ S Three Months Ended March 31, 2023 2022 37,998 2,744 229 40,971 11,675 1,564 63 13,302 27,669 14,473 4,086 4,431 22,990 4,679 411 411 5,090 396 4,694 1,749 2,945 0.04 0.04 88,863 132,346 $ $ $ $ 31,551 2,230 360 34,141 9,311 1,615 57 10,983 23,158 22.295 8,432 4,802 35,529 (12,371) (3) (3) (12,374) 150 (12,524) (5,259) (7,265) (0.10) (0.10) 83,384 83,384 Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 15#16*:enfusion Cash flows from operating activities: Net income (loss) Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: Non-cash operating lease expense Depreciation and amortization Provision for credit losses Amortization of debt-related costs Stock-based compensation expense Change in operating assets and liabilities: Accounts receivable Prepaid expenses and other assets Accounts payable Accrued expenses and other liabilities ENFUSION. INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (dollars in thousands) (Unaudited) Net cash provided by (used in) operating activities Cash flows from investing activities: Purchases of property and equipment Net cash used in investing activities Cash flows from financing activities: Settlement of tax receivable acquired in reorganization transaction Payment of withholding taxes on stock-based compensation Other Net cash used in financing activities Effect of exchange rate changes on cash Net decrease in cash Cash and cash equivalents, beginning of period Cash and cash equivalents, end of period $ $ Three Months Ended March 31, 2023 4,694 (40) 1,868 475 6 (1,147) 878 (1,153) (395) (4,262) 924 (2,550) (2,550) 1,501 (7,579) (275) (6,353) 32 (7,947) 62,545 54,598 $ $ 2022 (12,524) 1,340 123 6 12,682 (5,310) (13) (1,339) 938 (4,097) (3,171) (3,171) (805) (805) (86) (8,159) 64,365 56,206 Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 16#17Reconciliations To Non-GAAP Financial Measures The following table reconciles gross profit to adjusted gross profit: ($ in thousands) GAAP Gross profit Add back stock based compensation expense Adjusted Gross profit Adjusted Gross Margin ($ in thousands) Net income (loss) Interest expense (income) Income taxes Depreciation and amortization EBITDA The following table reconciles net income to Adjusted EBITDA: Adjustments: Stock-based compensation expense Loss on debt extinguishment Tax payment on stock-based compensation Effects of foreign currency Other non-recurring items ¹ Adjusted EBITDA Adjusted EBITDA margin $ *:enfusion $ $ $ $ December 31, 2021 21,689 377 22,066 69.3% December 31, 2021 (293,894) 307 (125) 1,316 (292,396) Represents severance charges for restructured executives in the quarter 289,803 1,215 4,570 3,192 10.0% March 30, 2022 23,158 354 23,512 68.9% March 30, 2022 (12,524) 6 150 1,340 (11,028) 12,432 434 1,838 5.4% Three Months Ended June 30, 2022 25,693 341 26,034 71.2% Three Months Ended June 30, 2022 (4,125) 1 219 1,615 (2,290) 7,523 50 September 30, 2022 27,177 406 27,583 5,283 14.5% 70.5% September 30, 2022 2,598 4 287 1,699 4,588 833 14 5,435 13.9% December 31, 2022 27,221 321 27,542 68.0% December 31, 2022 788 (424) 418 1,690 2,472 4,205 87 6,764 16.7% March 31, 2023 27,669 270 27,939 68.2% March 31, 2023 4,694 (492) 396 1,868 6,466 (1,147) 163 82 139 5,703 13.9% ©2023 ENFUSION. ALL RIGHTS RESERVED. 17#18Reconciliations of Non-GAAP Financial Measures The following table reconciles operating cash flow to unlevered free cash flow and adjusted free cash flow: (S in thousands) Net Cash provided by (used in) operating activities Purchase of property and equipment Unlevered Free Cashflow Adjustments: Bonus timing and related employer taxes Adjusted Free Cash Flow ($ in thousands) Cost of revenues General and administrative Sales and marketing Technology and development Total stock compensation expense *:enfusion $ $ December 31, 2021 (5,812) (1,641) Three Months Ended March 31, 2023 (7,453) 270 (230) (1,581) 394 (1,147) 4,389 (3,064) March 31, 2022 (4,097) (3,171) (7,268) (2,160) (9,428) Three Months Ended The Company's stock compensation expense was recognized in the following captions within the consolidated statements of operations: June 30, 2022 2,890 (2,092) 798 (2,160) (1,362) September 30, 2022 7,842 (922) 6,920 (2,160) 4,760 December 31, 2022 7,521 (1,746) 5,775 (2,160) 3,615 March 31, 2023 924 (2,550) (1,626) 6,173 4,547 Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 18#19Definitions Non-GAAP Financial Measures In addition to financial measures prepared in accordance with GAAP, this presentation and the accompanying tables include Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit, Adjusted Gross Margin, Unlevered Free Cash Flow, and Adjusted Free Cash Flow, which are non-GAAP financial measures. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit, Adjusted Gross Margin, Unlevered Free Cash Flow, and Adjusted Free Cash Flow are supplemental measures of our operating performance and liquidity that are neither required by, nor presented in accordance with, U.S. GAAP, and our calculations thereof may not be comparable to similarly titled measures reported by other companies. These measures are presented because they are the primary measures used by management to evaluate our financial performance and liquidity, and for forecasting purposes. This non- GAAP financial information is useful to investors because it eliminates certain items that affect period-over-period comparability and provides consistency with past financial performance or liquidity and additional information about underlying results and trends by excluding certain items that may not be indicative of our business, results of operations or outlook. Additionally, we believe that these and similar measures are often used by securities analysts, investors and other interested parties as a means of evaluating a company's operating performance. Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Gross Profit, Adjusted Gross Margin, Unlevered Free Cash Flow, and Adjusted Free Cash Flow are non-GAAP financial measures, are not measurements of our financial performance or liquidity under U.S. GAAP and should not be considered as alternatives to net income, income from operations, gross profit, gross margin, or any other performance measures determined in accordance with U.S. GAAP. These non-GAAP financial measures have limitations as analytical tools and you should not consider them in isolation or as substitutes for analysis of our results as reported under GAAP, but rather as supplemental information to our business results. In addition, these non-GAAP financial measures may not be comparable to similarly titled measures of other companies due to potential differences in methods of calculation and items or events being adjusted. Furthermore, other companies may use different measures to evaluate their performance, all of which could reduce the usefulness of these non-GAAP financial measures as tools for comparison. Adjusted EBITDA and Adjusted EBITDA Margin Adjusted EBITDA represents earnings before interest, taxes, depreciation and amortization, adjusted to exclude stock-based compensation expense, the effect of foreign currency fluctuations, and certain non-recurring items. Adjusted EBITDA Margin represents Adjusted EBITDA divided by total net revenues. Unlevered Free Cash Flow Unlevered Free Cash Flow represents net cash provided from operating activities less purchases of property and equipment and other assets, plus cash interest expense. However, given our non-discretionary expenditures, Unlevered Free Cash Flow does not represent residual cash flow available for discretionary expenditures. Adjusted Free Cash Flow Adjusted Free Cash Flow represents Unlevered Free Cash Flow adjusted to exclude certain annual employee bonuses that are accrued on a quarterly basis and paid in the following year. Adjusted Gross Profit and Adjusted Gross Margin Adjusted Gross Profit represents gross profit, excluding the impact of stock-based compensation. Adjusted Gross Margin represents Adjusted Gross Profit divided by total net revenues. *:enfusion Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 19#20Definitions Continued Key Metrics: In connection with the management of our business, we identify, measure and assess a variety of key metrics. The key metrics we use in managing our business are set forth below. Annual Recurring Revenue We calculate Annual Recurring Revenue, or ARR, by annualizing platform subscriptions and managed services revenues recognized in the last month of the measurement period. We believe ARR provides important information about our future revenue potential, our ability to acquire new clients and our ability to maintain and expand our relationship with existing clients. ARR is included in a set of metrics we calculate monthly to review with management as well as periodically with our board of directors. Net Dollar Retention Rate We calculate Net Dollar Retention Rate as of a period end by starting with the ARR for all clients as of twelve months prior to such period end, or Prior Period ARR. We then calculate the ARR from those same clients as of the current period end, or Current Period ARR. Current Period ARR includes expansion within existing clients inclusive of contraction and voluntary attrition, but excludes involuntary cancellations. We define involuntary cancellations as accounts that were cancelled due to the client no longer being in business. We identify involuntary cancellations to be excluded from our Net Dollar Retention Rate calculation based on representations made by the client at the time of cancellation. Our Net Dollar Retention Rate is equal to the Current Period ARR divided by the Prior Period ARR. We believe Net Dollar Retention Rate is an important metric because, in addition to providing a measure of retention, it indicates our ability to grow revenues within existing client accounts. Average Contract Value We calculate Average Contract Value, or ACV, by dividing ARR by the number of clients that are billed at the end of the measurement period. We believe ACV is an important metric because it provides important information about the growth of our clients' accounts. Investors should not place undue reliance on ARR or Net Dollar Retention Rate or Average Contract Value as an indicator of future or expected results. Our presentation of these metrics may differ from similarly titled metrics presented by other companies and therefore comparability may be limited. *:enfusion Ⓒ2023 ENFUSION. ALL RIGHTS RESERVED. 20