#1Investor Presentation Q1 2020 HubSpot#2Important Information This presentation includes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding management's expectations for future financial and operational performance and operating expenditures, expected growth, and business outlook, including our long-term financial framework; our focus on profitable growth; cash flow and margin improvement expectations; our product plans, strategies, and trends; our ability to expand our total addressable market; our position to execute on our growth strategy and related growth drivers; our opportunities in international markets; and our ability to expand our leadership position and market opportunity for our inbound platform. These forward-looking statements include, but are not limited to, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates" or words of similar meaning. 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 including, without limitation, our history of losses, our ability to retain existing customers and add new customers, the continued growth of the market for an inbound platform; our ability to differentiate our platform from competing products and technologies; our ability to manage our growth effectively to maintain our high level of service; our ability to maintain and expand relationships with our agency partners; our ability to successfully recruit and retain highly-qualified personnel; the price volatility of our common stock, and other risks set forth under the caption "Risk Factors" in our Quarterly Report on Form 10-Q filed on May 6, 2020 and our other SEC filings. We assume no obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise. 2#3HubSpot Overview We provide a growth platform with award-winning software, services, and support to transform the way organizations attract, engage, and delight customers. 78,000+ Total Customers 120+ 10 Countries Office Locations Worldwide 3#4HubSpot Snapshot • Recurring SaaS revenue model Growth platform for SMBs • Large, growing TAM • Balancing fast growth with profitability • Strong underlying unit economics • Experienced team 4#5HubSpot's Journey#6HubSpot's mission is to help millions of organizations grow better. a#7What does it mean to grow better? Where others annoy, you attract. Where others harass, you help. Where others ignore, you enable. Where others may sacrifice the customer experience to grow, you find ways to grow better. 7#8More than a kind sentiment, it's a key strategy Word of Mouth Google HubSpot Blog Review Sites 3% Industry Publications 3% Social Media 3% Source: HubSpot Customer Research June - 2018 13% How did you first learn about HubSpot? 26% 33% 8#9Customers Accelerate Growth But many companies view them as an afterthought. Marketing Sales Customers 9#10We've transformed our business around Promoters Added & Lost a new model of growth Traffic Added & Lost Customers Added & Lost Delight Customers Attract Engage The Flywheel Free Users Added & Lost 10#11Each time we reduce friction for our customers, we fuel our own flywheel. And we're working to enable millions of organizations to do the same. 11#12To do so, we evolved from an app to a suite... C Marketing Hub Sales Hub Marketing App > Service Hub CMS Hub ● HubSpot CRM ...because the customer experience should be seamless. NEW 12#13Employee Size 2000 200 20 2 We dramatically expanded our offering, and in turn, our TAM, through product development. HubSpot at IPO MARKETING SALES SERVICE CMS Employee Size 2000 200 20 2 HubSpot today MARKETING SALES SERVICE CMS NEW because every company should be able to grow better, and no company should have to outgrow it. ४ 13#14Our Product Pricing Marketing Hub Sales Hub Service Hub CMS Hub NEW Enterprise $3,200 + $1,200 + $1,200 + $900 Professional $800 + $500 + $400 + $300 Starter $50 + $50 + CRM Free $50 + Growth Suite Bundle: 25% Off When Purchasing Marketing, Sales & Service Hubs At Any Pricing Tier ) Note: All prices are monthly subscription prices. "+" indicates additional cost for Contacts for Marketing Hub customers and additional cost for Users for Sales Hub customers. 14#15All of that is just the beginning... Becoming a Platform Became a Suite Began as an App C Marketing Hub Sales Hub Marketing Service Hub CMS Hub ● HubSpot CRM NEW Marketing Hub CMS Hub HubSpot CRM Sales Hub NEW Service Hub We're focused on helping companies grow better in ever expanding ways. 28 15#16The HubSpot Journey Marketing Hub Launch : HubSpot founded CRM Launch Sales Hub* Launch : Crossed $100M Crossed $50M revenue Performable Acquisition revenue Surpassed 3,000 Employees Service Hub Launch Crossed $250M revenue Crossed $500M revenue Surpassed 2,000 Employees CMS Hub Launch PieSync Acquisition IPO 2014 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 *Originally launched and branded as "Sidekick"#17HubSpot Grow Better#18Financial Review Q1 2020#19*IPO $240 $180 Revenue growth is strong $120 41% CAGR $60 $0 Q3'14* Q1'20 Revenue ($m) 19#20$100 $75 International growth is strong. Growing Fast $50 59% CAGR $25 $0 Q3'14* *IPO International Revenue ($m) Q1'20 Increasing % of Revenue Q3 2014* 22% Q1 2020 42% 20#2170% -32% Q3'14* Realizing Leverage in Profitability Gross Margin (Non-GAAP) Operating Margin (Non-GAAP) 82% 7.3% Q1'20 All percentages for historical periods are non-GAAP and exclude expenses associated with stock based compensation, amortization of acquired intangible assets and acquisition related expenses. Please refer to the end of this presentation for a reconciliation of GAAP to non-GAAP figures. *IPO 21#22$75 $50 $25 $0 $-25 Generating Positive Free Cash Flow $-50 Q3'14* Trailing Twelve Months Free Cash Flow ($m) Q1'20 All amounts are non-GAAP. Free cash flow is defined as cash and cash equivalents provided by (used in) operating activities less purchases of property and equipment and capitalization of software development costs. Please refer to the end of this presentation for a reconciliation of GAAP to non-GAAP figures. *IPO 22#23Financial framework focused on profitable growth High Growth Growth Moderate Growth Revenue Growth >30% ≈30% <30% Operating Margin %* 1% - 2% increase per year 2% -3% increase per year Operating Cash Flow Revenue Growth 3% -4% increase per year *Theoretical operating margin % is non-GAAP and excludes expenses associated with stock based compensation, amortization of acquired intangible assets and acquisition related expenses. 23#24Long Term Financial Target 2016 2017 2018 2019 Q1'20 Long Term Target Gross Margin 78% 81% 82% 82% 82% 81% - 83% R&D 14% 15% 18% 18% 19% 16% - 18% % of revenue S&M 55% 52% 46% 45% 46% 30% - 35% % of revenue G&A 14% 12% 11% 11% 10% 10% % of revenue Operating Margin -4% 2% 6% 8% 7% 20%-25% Note: These estimates reflect our current operating plan as of 05/06/2020 and are subject to change as future events and opportunities arise. All percentages are non-GAAP and exclude expenses associated with stock based compensation, amortization of acquired intangible assets and acquisition related expenses. Please refer to the end of this presentation for a reconciliation of GAAP to non-GAAP figures. 24#25Appendix HubSpot#26MARKETING HUB Matching the way you market with the way people shop The HubSpot Growth Platform SALES HUB Matching the way you sell with the way people buy SERVICE HUB Matching how you service with the way people expect to be treated CMS HUB Matching enterprise-grade web power with consumer-grade ease of use Content Automation Analytics & Reporting Ads & Social Email Templates Profiles Email Tracking Sequences Conversations Tickets NPS Knowledge Base HUBSPOT CRM The foundation of the HubSpot growth platform Contact Timeline Reporting Analytics Prospects Smart Content Partitioning Serverless Functions Website Themes#27GAAP to Non-GAAP Reconciliation 2017 2018 2019 Three Months Ended March 31, 2020 $'000s % of Revenues $'000s % of Revenues $'000s % of Revenues Cost of Revenue Subscription Stock-based compensation 51,563 14% 69,718 14% 98,510 (658) 096 (1,476) 0% (3,127) Amortization of acquired intangibles (96) 096 (1,394) 09 (3,201) Acquisition related expenses 096 0% Non-GAAP subscription 50,809 1496 66,848 13% 92,182 14% Professional services and other 24,166 6% 30,639 Stock-based compensation (2,327) -196 (2,924) Amortization of acquired intangibles 096 Acquisition related expenses 0% Non-GAAP professional services and other 21,839 6% 27,715 盗姿咨咨盗 6% 31,448 (2,829) 096 28,619 瓷苦苦苦瓷 添浴浴咨姿 $'000s % of Revenues 29,734 (898) 15% 096 (880) 096 09 27,956 14% 8,551 496 (607) 0% 096 09 7,944 496 Gross Margin Gross margin 299,883 80% 412,623 80% 544,902 Stock-based compensation 2,985 196 4,400 19 5,956 81% 196 160,683 81% 1,505 196 Amortization of acquired intangible assets 96 096 1,394 0% 3,201 0% 880 096 Acquisition related expenses 096 09 0% 0% Non-GAAP gross margin 302,964 81% 418,417 829 554,059 82% 163,068 8296 Operating Expenses Research and development 70,373 199 117,603 23% 158,237 239 46,202 23% Stock-based compensation (12,816) -39% (23,328) -5% (33,748) -5% (8,708) -496 Amortization of acquired intangible assets - 0% 096 0% - 0% Acquisition related expenses (1,266) 096 (2,696) -196 (357) 096 (330) 0% Non-GAAP research and development 56,291 15% 91,579 18% 124,132 18% 37,164 199 Sales and marketing 212,859 57% 267,444 52% 340,685 50% 102,328 5196 Stock-based compensation (19,016) -5% (31,099) -6% (36,599) -5% (10,816) -59 Amortization of acquired intangible assets (7) 09 0% 0% (20) 0% Acquisition related expenses 0% 0% 09 096 Non-GAAP sales and marketing 193,836 52% 236,345 46% 304,086 45% 91,492 46% General and administrative 56,787 15% 75,834 15% 92,971 14% 26,255 13% Stock-based compensation (12,500) -39 (17,434) -39 (21,451) -3% (6,434) -3% Amortization of acquired intangible assets 0% 09 0% 0% Acquisition related expenses 0% 09 (552) 096 (3) 096 Non-GAAP general and administrative 44,287 1296 58,400 11% 70,968 11% 19,818 109 Loss from Operations Loss from operations (40,136) -11% (48,258) -9% (46,991) -7% (14,102) -7% Stock-based compensation 47,317 13% 76,261 15% 97,754 1496 27,463 14% Amortization of acquired intangible assets 103 096 1,394 09 3,201 0% 900 096 Acquisition related expenses 1,266 096 2,696 19 909 09 333 096 Non-GAAP loss from operations 8,550 296 32,093 6% 54,873 8% 14,594 796 27#28GAAP to Non-GAAP Reconciliation Three Months Ended September 30, 2015 Three Months Ended December 31, 2015 Three Months Ended March 31, 2016 Three Months Ended June 30, 2016 Three Months Ended September 30, 2016 Three Months Ended December 31, 2016 $ '000s % of Revenues $'000s % of Revenues % of $ '000s Revenues $ '000s % of Revenues $ '000s % of Revenues $ '000s % of Revenues Gross Margin Gross margin 35,233 74% 39,419 74% 44,989 76% 49,779 77% 54,777 78% 59,557 78% Stock-based compensation 404 1% 457 1% 418 1% 608 1% 577 1% 551 1% Amortization of acquired intangible assets 20 0% 20 0% 18 0% 13 0% 13 0% 13 0% Acquisition related expenses 0% 0% 0% 0% 0% 0% Non-GAAP gross margin 35,657 75% 39,896 75% 45,425 77% 50,400 78% 55,367 78% 60,121 79% Loss from Operations Loss from operations (13,290) -28% (10,449) -20% (9,861) -17% (11,030) -17% (9,951) -14% (13,820) -18% Stock-based compensation 4,510 9% 6,015 11% 6,231 11% 8,475 13% 8,695 12% 9,274 12% Amortization of acquired intangible assets 26 0% 26 0% 24 0% 20 0% 20 0% 20 0% Acquisition related expenses 0% 0% 0% 0% 0% 0% Non-GAAP loss from operations (8,754) -18% (4,408) -8% (3,606) -6% (2,535) -4% (1,236) -2% (4,526) -6% Three Months Ended March 31, 2017 Three Months Ended June 30, 2017 $ '000s % of Revenues $ '000s % of Revenues $ '000s Three Months Ended September 30, 2017 % of Revenues Three Months Ended December 31, 2017 Three Months Ended March 31, 2018 Three Months Ended June 30,2018 $'000s % of Revenues $ '000s % of Revenues $ '000s % of Revenues Gross Margin Gross margin 65,180 79% 70,502 79% 78,716 81% 85,485 80% 92,179 80% 97,725 80% Stock-based compensation 564 1% 844 1% 754 1% 823 1% 967 1% 1,163 1% Amortization of acquired intangible assets 9 0% 0% 38 0% 50 0% 50 0% 50 0% Acquisition related expenses 0% 0% 0% 0% 0% 0% Non-GAAP gross margin 65,753 80% 71,346 80% 79,508 81% 86,358 81% 93,196 81% 98,938 81% Loss from Operations Loss from operations (8,000) -10% (10,577) -12% (12,126) -12% (9,433) -9% (11,324) -10% (14,052) -11% Stock-based compensation 9,303 11% 13,006 15% 12,110 12% 12,898 12% 16,046 14% 19,675 16% Amortization of acquired intangible assets 16 0% 0% 38 0% 50 0% 50 0% 50 0% Acquisition related expenses 0% 0% 439 0% 827 1% 802 1% 802 1% Non-GAAP loss from operations 1,319 2% 2,429 3% 461 0% 4,342 4% 5,574 5% 6,475 5% . . 28#29GAAP to Non-GAAP Reconciliation Three Months Ended September 30,2018 $'000s % of Revenues $ '000s Three Months Ended December 31, 2018 % of Revenues Three Months Ended March 31, 2019 Three Months Ended June 30, 2019 Three Months Ended September 30, 2019 Three Months Ended December 31, 2019 Three Months Ended March 31, 2020 $ '000s % of Revenues $'000s % of Revenues $ '000s % of Revenues $ '000s % of Revenues $ '000s % of Revenues Gross Margin Gross margin 106,061 80% 116,658 81% 122,220 81% 132,113 81% 140,358 81% 150,211 81% 160,683 81% Stock-based compensation 1,194 1% 1,076 1% 1,633 1% 1,488 1% 1,468 1% 1,367 1% 1,505 1% Amortization of acquired intangible assets 494 0% 800 1% 800 1% 800 0% 762 0% 839 0% 880 0% Acquisition related expenses 0% 0% 0% 0% 0% 0% 0% Non-GAAP gross margin 107,749 82% 118,534 82% 124,653 82% 134,401 82% 142,588 82% 152,417 82% 163,068 82% Loss from Operations Loss from operations (15,050) -11% (7,832) -5% (9,036) Stock-based compensation 19,612 15% 20,927 15% 21,205 14% Amortization of acquired intangible assets 494 0% 800 1% 800 Acquisition related expenses 802 1% 289 0% 32 Non-GAAP loss from operations 5,858 4% 14,184 10% 13,001 ៖ ៖ ៖ ៖ (15,725) -10% (14,072) -8% (8,158) -4% (14,102) -7% 28,663 18% 23,791 14% 24,095 13% 27,463 14% 1% 800 0% 762 0% 839 0% 900 0% 32 0% 30 0% 814 0% 333 0% 13,770 8% 10,511 6% 17,590 9% 14,594 7% 29#30GAAP to Non-GAAP Reconciliation GAAP net cash and cash equivalents provided by (used in) operating activites Purchases of property & equipment Capitalization of software development costs Free cash flow GAAP net cash and cash equivalents provided by (used in) operating activites Purchases of property & equipment Capitalization of software development costs Free cash flow GAAP net cash and cash equivalents provided by (used in) operating activites Purchases of property & equipment Capitalization of software development costs Free cash flow Trailing Twelve Months Ended September 30, 2015 $ '000s Trailing Twelve Months Ended December 31, 2015 Trailing Twelve Months Ended March 31, 2016 Trailing Twelve Months Ended June 30, 2016 Trailing Twelve Months Ended September 30, 2016 Trailing Twelve Months Ended December 31, 2016 $ '000s $ '000s $ '000s $ '000s $ '000s (4,815) (423) (3,556) (8,427) 3,571 (14,043) 10,635 (18,513) 19,733 (3,829) (4,314) (4,978) (5,034) (12,200) (13,164) (15,450) (12,912) (19,595) (5,362) (5,224) 19,366 (15,789) (5,749) (2,172) Trailing Twelve Months Ended March 31, 2017 $ '000s 35,279 (14,983) Trailing Twelve Months Ended June 30, 2017 Trailing Twelve Months Ended September 30, 2017 Trailing Twelve Months Ended December 31, 2017 Trailing Twelve Months Ended March 31, 2018 Trailing Twelve Months Ended June 30,2018 $ '000s $'000s $ '000s $ '000s $ '000s 35,364 (15,592) 37,893 49,614 57,244 62,018 (17,528) (20,276) (20,680) (20,514) (5,925) 14,371 (6,577) (6,882) (7,071) (8,077) (9,537) 13,195 13,483 22,267 28,487 31,967 Trailing Twelve Months Ended September 30,2018 Trailing Twelve Months Ended Trailing Twelve Months Trailing Twelve Months Trailing Twelve Months Trailing Twelve Months Trailing Twelve Months Ended December 31, 2018 March 31, 2019 $ '000s Ended June 30, 2019 $ '000s Ended September 30, 2019 $ '000s Ended December 31, 2019 Ended March 31, 2020 $ '000s $ '000s $'000s $ '000s 65,734 (21,875) (10,491) 84,851 (22,305) (11,168) 95,845 96,041 104,193 118,972 104,267 (20,331) (23,051) (26,814) (40,372) (47,249) (11,373) (10,690) (11,581) (13,474) (15,422) 33,368 51,378 64,141 62,300 65,798 65,126 41,596 ४ 30