#1Investor Presentation December 2021 PowerSchool#2Forward-Looking Statements Any statements made in this presentation that are not statements of historical fact, including statements about our beliefs and expectations, are forward-looking statements and should be evaluated as such. Forward-looking statements include information concerning possible or assumed future results of operations, including our financial outlook and descriptions of our business plan and strategies. Forward-looking statements are based on PowerSchool management's beliefs, as well as assumptions made by, and information currently available to, them. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as "anticipate," "estimate,” “expect,” “project,” “plan,” “intend,” “believe,” “may,” “will,” “should,” “can have," "likely" and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events. Because such statements are based on expectations as to future financial and operating results and are not statements of fact, actual results may differ materially from those projected. Factors which may cause actual results to differ materially from current expectations include, but are not limited to: potential effects on our business of the COVID-19 pandemic; our history of cumulative losses; competition; our ability to attract new customers on a cost-effective basis and the extent to which existing customers renew and upgrade their subscriptions; our ability to sustain and expand revenues, maintain profitability, and to effectively manage our anticipated growth; our ability to retain, hire and integrate skilled personnel including our senior management team; our ability to identify acquisition targets and to successfully integrate and operate acquired businesses; our ability to maintain and expand our strategic relationships with third parties, including with state and local government entities; the seasonality of our sales and customer growth; our reliance on third-party software and intellectual property licenses; our ability to obtain, maintain, protect and enforce intellectual property protection for our current and future solutions; the impact of potential information technology or data security breaches or other cyber-attacks or other disruptions; and the other factors described under the heading "Risk Factors" in the Company's prospectus dated July 27, 2021, filed with the Securities Exchange Commission ("SEC") in connection with our IPO. Copies of such filing may be obtained from the Company or the SEC. We caution you that the factors referenced above may not contain all of the factors that are important to you. In addition, we cannot assure you that we will realize the results or developments we expect or anticipate or, even if substantially realized, that they will result in the consequences or affect us or our operations in the way we expect. All forward-looking statements reflect our beliefs and assumptions only as of the date of this presentation. We undertake no obligation to update forward-looking statements to reflect future events or circumstances. PowerSchool 2#345M+ Students as PowerSchool Customers P PowerSchool The leading cloud software for K-12 education Comprehensive Vertical SaaS Solution 70%+ of All Students Reached in the U.S. and Canada 2 GU 12K+ School and District Organizations Mission-critical for Essential and Resilient K-12 Vertical $528M Annual Recurring Revenue (ARR)¹ SA Highly Predictable and Profitable Financial Profile 1 ARR as of September 30, 2021. See definitions of key business metrics included in this presentation. 2 Adjusted EBITDA margin for the nine months ended September 30, 2021. See reconciliation of non-GAAP measures included in this presentation. 31% YTD Adjusted EBITDA Margin² $ Multiple levers to Continue Double- Digit Revenue Growth 3#40 PowerSchool Our mission is to power the education ecosystem with unified technology that helps educators and students realize their potential. 4#5SILVER 2021 STEVIE WINNER FOR SALES & CUSTOMER SERVICE P PowerSchool Our Combination of Winning Strategies Market Leader in K-12 SaaS Solutions Extensive Distribution Engine Selling Across All States, Districts, Size, and Personas GOLD 2021 STEVIE WINNER AMERICAN BUSINESS AWARDS CX Innovators Awards. TECH LEARNING AWARDS OF EXCELLENCE REMOTE LEARNING WINNER Well-Positioned to Capture Resilient, Large, and Growing Software and Personalized Learning Market Strong Growth Trajectory with Proven M&A Track Record to Drive Double Digit Growth EXCELLENCE IN //CODIE// CUSTOMER AWARD 2021 SIIA CODIE WINNER 20 21 2021 GLOBEE AWARDS GRAND WINNER SALES AND SERVICE EXCELLENCE AWARDS 2021 GLOBEE AWARDS GOLD WINNER SALES AND SERVICE EXCELLENCE AWARDS ***** LIVRAR 2021 GLOBEE AWARDS SILVER WINNER SALES AND SERVICE EXCELLENCE AWARDS Best-in-Class, Most Comprehensive Cloud Solution Improving Education Outcomes Highly Recurring, Predictable, Profitable, and Scalable Financial Profile 2021 GLOBEE AWARDS BRONZE WINNER SALES AND SERVICE EXCELLENCE AWARDS THE EDTECH AWARDS COOL TOOL FINALIST 2021 THE EDTECH AWARDS LEADERSHIP WINNER 2021 THE EDTECH AWARDS COOL TOOL WINNER 2021 5#6Most Mission-Critical Suite for K-12 PowerSchool's Unified Platform drives workflows that are necessary for operating any K-12 organization SIS and Enrollment Grades, Attendance, Scheduling, Discipline, Health, and Federal & State Reporting Unified Classroom Schoology LMS/Classroom Instruction, Assessments, Special Programs Management Unified Home Student Portal, Parent Portal, Mobile Applications PowerSchool Unified w Unified Insights™ Powered by Hoonuit Unified Administration PowerSchool Student Information Systems and Enrollment Unified Home™ TM Talent™ Unified Unified Communities Unified Administration Finance, HR, and Payroll (ERP) Unified Talent Job Board, Applicant Tracking, Employee Records, Substitute Management, Professional Learning, Staff Evaluation Unified Insights Student & Community Engagement, Predictive Early Warning/RTI, ESSA & Accountability, Finance & HR Insights Unified Communities Naviance/College and Career Exploration and Planning 6#7Enrollment & Location Analytics Serving as the K-12 System of Record, Engagement, and Intelligence System of Record & Engagement Predictive Early Warning/RTI ESSA & Accountability Student Analytics & Schoology Learning & Special Progr Performance Matters Assessmens Unified Classroom Finance | HR | Payroll Unified Administration PowerSchool Student Information Systems and Enrollment Unified Home Mobile | Parent Portal Student Portal Recruit | Hire | Onboard I Develop absence Management Unified Communities Unified Insights Powered by Hooruit Talent Unified Naviance (CCLR Framework) Job Board Partnerships Community Engage Leading K-12 SIS provider in the United States PowerSchool Core hub for all student data from grades, attendance, health and enrollment Data powers everyday learning, teaching, and school operations + system of s on a Enrollment & Location Analytics & Engagement- Schoology Learning | Special Progra Performance matters Assessme Engagement Predictive Early Warning/RTI ESSA & Accountability Unified classroom Finance | HR | Payroll Unified Administration Pr Student Information Systems and Enrollment Unified Home Mobile | Parent Portal Student Portal Recruit | Hire | Onboard I Develop Absence Management Unified Insights Powered by Hoonuit Talent Unified Co Unified es Naviance (CCLR Framework) Job Board | Partnerships Fosters collaboration and engagement between teachers, administrators, students and parents for better student outcomes Community Engage Enables the powerful conversions of user and decision-making ecosystems System of Intelligence de son as Enrollment & Location Analytics Engagement- ● Performance Manal Pro Schoology L Predictive Early Warning / RTI pad Assessment Unified Classroom Finance | HR | Payroll Unified Administration PowerSho Student Information Systems and Enrollment Unified Home Mobile | Parent Portal Student Portal Rec Absence Management Talent Unified Accountability Finance & HR Insights un Unified Insights Powered by Hoonuit Unified Communities Recruit I Hire uit Hire | Onboard Naviance (CCLR Framework") Job Board | Partnerships | Develop Real-time insights with reporting tools and dashboards Enables data-informed decision making to drive student and educator success Predictive modeling and machine learning for personalized learning Community Engager Better Student Outcomes 7#8Well-Positioned to Drive Personalized Education Data and Engagement Enable Opportunity for Revolutionary Insights and Personalization ... 1:41 aria itions 90-5²x2 Teaching Tennessee: 6th Grade Math Lesson 1 42 views 6month ago Which angle can be created using two perpendicular lines? 45° 180° O 90⁰ Ⓒ360* Next Machine learning-driven personalized assessment sent to student PowerSchool PERSONALIZATION PROFESSIONAL LEARNING Personalized Learning Learning gap identified and alerted teachers & parents INTERVENTION SIS INSTRUCTION ASSESSMENT COLLEGE & CAREER READINESS Systems of record & engagement identify opportunity to 'intervene' 8 00#9Leading Provider in the Competitive Landscape ~50% of new ARR¹ from opportunities with no competition, typically replacing: PowerSchool ● ● Pen & paper Spreadsheets Legacy systems 1 See definitions of key business metrics included in this presentation. Student Information System Classroom Talent Administration Insights College & Career Readiness PowerSchool Reach ~19M Students ~19M Students ~26M Students Customers in 48 States & Provinces 12 State Contracts 40% of High Schoolers TOP COMPETITORS Infinite SKYWARD Campus INSTRUCTURE education.. tyler technologies Edupoint xello illuminate education BrightBytes 9#10Serving Every Major Type of K-12 Organization 75 Public Schools of North Carolina State Board of Education Department of Public Instruction. LDOE Louisiana Department of EDUCATION tdsb Toronto District School Board Delaware Department of Education PowerSchool COUNTY SHELBY HIGH **** Y SC CS SE N SCHOOL 1867 UNIFIED SCHOOL Dion of Excellence DISTRICT DISTRICT SOUTH CAROLINA STATE DEPARTMENT OF EDUCATION Calgary Board of Education CHARTER SCHOOLS. USA SEATTLE PUBLIC SCHOOLS DETROIT PUBLIC SCHOOLS COMMUNITY DISTRICT schools Plan Ceibal Uruguay Santa Clara County Office of Education. MIS 12K+ school and district organizations Compliance reporting in 45 U.S. states and 5 Canadian provinces P Reaching over 45M students globally PP P P 30 state-, province-, and territory-wide contracts across the U.S. and Canada P P P : State-Level Agreement P Contracts with over 90 of the 100 largest districts in the U.S. 10#11Significant Growth Opportunity with Clear Path to Multi-Billion Dollar Business >)| Whitespace Cross-sell to existing customer base PowerSchool Greenfield Sell to districts not served by PowerSchool today M&A and Platform Expansion Continue to acquire and organically innovate into highly strategic adjacencies Personalized Learning AI/ML-based content recommendations for personalized learning paths International Expand into the international market representing most of the global population 11#12The K-12 Education Market is Large & Expanding HIGHLY RESILIENT and Growing End-Market 3RD-HIGHEST discretionary spend category by the United States Government >$7B OF US/CANADA K-12 IT spending is allocated towards software and IT services² COVID-19 HAS DRAWN MORE ATTENTION to education and the technology gap, with an expected growth in K-12 funding PowerSchool U.S. K-12 Total Expenditures¹ $644B 2018 $10.8B $670B 2018 2019 $11.8B $692B External IT Spending in U.S. and Canada K-12 Schools² 2019 2020 $12.6B $709B 2020 2021 $13.9B 2021 $732B 2022 $14.8B 2022 $757B 2023 $15.3B >7% CAGR 2023 $783B 1 U.S. Department of Education National Center for Education Statistics: Project of Education Statistics. Represents unadjusted (or "current") dollars that have not been adjusted to compensate for inflation. 2 Gartner. 2024 $16.5B 2024 $811B 2025 $18.0B 2025 12#13Large, Underpenetrated TAM with Strong Tailwinds Current ARR Represents a Fraction of US and Canada K-12 Software spending of $7B Current ARR Current Software and IT Services Spend $0.5B ($ in Billions) Current PowerSchool ARR is a fraction of both US/CAN TAM and whitespace PowerSchool >$7B U.S. and Canada Spending¹ On average, customers have ~2 of 15 available PS products 1 Gartner 2 Frost & Sullivan 3 HSBC, "The Value of Education", 2017 International + Personalized Learning + B2C TAM >$25B Global TAM² Represents over 1.3 billion students globally >$100B Personalized Learning³ Uniquely positioned to deliver Personalized Learning and B2B & B2C Spend ³ on supplemental education 13#14Unified Platform Enables Cross-Sell DETROIT PUBLIC SCHOOLS COMMUNITY DISTRICT Detroit Public Schools, MI SPRINGS LORADO Dil SCHOOLS Colorado Springs School District 11, CO PowerSchool AB ALA A STATE DEPARTMENT 1854 M OF Alabama State DOE EDUCATION Delaware Department of Education Delaware DOE 1 NRR as of September 30, 2021. See definitions of key business metrics included in this presentation. Platform strategy and two-pronged GTM approach maximizes cross-sell by leveraging integration, deep relationships, and product expertise: ~2 Products Per Customer Out of 15 Available 106% Net Revenue Retention Rate (NRR)¹ >2,300 Sales Transactions of $10K or Higher in 2020¹ 14#15Building on Strong Tailwind Strong stimulus and ongoing funding increase Higher usage, adoption, and demand across our solutions PowerSchool 1 U.S. Department of Education 2 Edunomics Lab at Georgetown University 3 $3,460 calculated as follows: $13B+ $54B + $128B = $195B / 56.343M students (NCES 2021P) = $3,460 Uniquely positioned to drive holistic digital transformation, identify at-risk students, and accelerate learning gains: $13B of additional funding from CARES (March 2020)¹ $122B of additional funding from ESSER III for next 3 years (March 2021)¹ $54B of additional funding from ESSER II (December 2020)¹ Only ~2% of $122B ESSER III funds spent (as of September 2021)² TEA Texas Education Agency 2-Year State- Level LMS Using CARES Funding $3,460 per student, per district to be spent over next 3 years ³ 15#16Proven Platform for M&A 5 Strategic Acquisitions Since 2019 Focus on Product-Driven, Growth Accretive Targets History of Meeting or Exceeding Integration and Value Creation Targets Universe of 120+ Partners Provides Unique Vantage into Adjacencies PowerSchool Rapid Value Expansion Increase Share of Wallet Potential Established Integration Playbook S schoolOGY A PowerSchool Unified Classroom™ Product Leading provider of Learning Management Systems to K-12 districts in the U.S. ~5M students added in 2020 Ⓒ 16#17106% Net Revenue Retention Rate (NRR)¹ Double- Digit Cloud Growth PowerSchool Financial Highlights Profitable & Consistent Top-Line Growth 85% Recurring Revenue Mix² $ $ Highly Predictable Revenue Stream 68% Adjusted Gross Margin² Demonstrated Cross-Sell Growth Opportunity $528M Annual Recurring Revenue (ARR)¹ $ Strong and Expanding Margin Profile 1 ARR and NRR as of September 30, 2021. See definitions of key business metrics included in this presentation. 2 Results for the nine months ended September 30, 2021. See reconciliation of non-GAAP measures included in this presentation. 31% Adjusted EBITDA Margin² $ Proven M&A Track Record 17#18Premium Financial Profile Profitable and consistent top-line growth driven by cross-sell and retention success 31% YTD Adjusted EBITDA Margin¹ 68% YTD Adjusted Gross Margin¹ $413M Total YTD Revenue¹ PowerSchool 85% YTD Recurring Revenue¹ 1 Results for the nine months ended September 30, 2021. See reconciliation of non-GAAP measures included in this presentation. 2 Revenue guidance for FY 2021. ARR $285 $234 (82%) 2018 $322 Revenue 24% CAGR $365 2019 $372 $308 (84%) Recurring Revenue $435 $in millions $371 (85%) 2020 $427 18#19Clear Capital Allocation Priorities 1 Growth accretive opportunities In-year opportunities that expand platform and are accretive to margins and overall financial profile PowerSchool 2 Strategic M&A Focused on leading products that can scale and have connectivity into core products like SIS • Careful evaluation of buy, build or partner ● Long-term focus on building out personalized learning vision 3 Deleveraging • Reduced net debt by $810M in Q3 of 2021 ● Long-term net leverage target of 3x-4x 19#20Significant Progress on Deleveraging Long-term Net Leverage Target $1,454 10.1x 1Q21 PowerSchool Net debt $1,461 9.0x Reduced net debt by 55% post-IPO 2Q21 Net leverage ratio (TTM) $651 4.1x 3Q21 3x - 4x During Q3 2021, used IPO proceeds and cash from operations to repay in full: $320M outstanding principal on Bridge Loan $365M on Second Lien term loans $95M on Revolver $69.1M on Incremental Facility Only First Lien term loans remain outstanding, with July 2025 maturity Predictable recurring revenue, stable customer base and profitable business model create comfort in operating with debt balance Note: Net leverage ratio defined as net debt at end of period divided by adjusted EBITDA over the trailing twelve months. Net debt is defined as total debt less cash and cash equivalents. 20#21PowerSchool's Impact on Education: Driving Social Impact EVERETT PUBLIC SCHOOLS Halved Dropout Rate +38% Graduation Rate IMPROVING Student PowerSchool Santa Clara Unified School District S -50% Suspensions for Latinx Students +5.1% Increase in Graduation Rate Outcomes + * Alief Independent School District +37% AP Test Pass Rate P -18 Million PowerSchool SIS Mobile App Downloads IMPROVING Education S schoolOGY S schoolOGY® A PowerSchool Unified Classroom™ Product >8 Trillion Student Interactions Engagement in 2020 BRYAN INDEPENDENT SCHOOL DISTRICT 97% Learner Engagement 21#22PowerSchool Experienced Management Team Established team with K-12, enterprise software, and public company experience Hardeep Gulati CEO 23 Years of Relevant Experience ORACLE sumtotal. Marcy Daniel CHIEF PRODUCT OFFICER 27 Years of Relevant Experience interactive achievement PowerSchool Eric Shander CFO 29 Years of Relevant Experience Red Hat Lenovo IBM Devendra Singh CHIEF TECHNOLOGY OFFICER 28 Years of Relevant Experience agile ORACLE Craig Greenseid CHIEF REVENUE OFFICER 21 Years of Relevant Experience Blackboard AUTODESK. IEM Anthony Miller CHIEF MARKETING OFFICER 14 Years of Relevant Experience Lanyon ACTIVE network. Maulik Datanwala CHIEF OPERATING OFFICER 16 Years of Relevant Experience sumtotal. Alan Taylor SVP CORPORATE DEVELOPMENT 10 Years of Relevant Experience VISTA MITRATECH EQUITY PARTNERS 22#23P PowerSchool Appendix 23#24Definitions of Key Business Metrics Annualized Recurring Revenue ("ARR") ARR represents the annualized value of all recurring contracts as of the end of the period. ARR mitigates fluctuations due to seasonality, contract term, one-time discounts given to help customers meet their budgetary and cash flow needs and the sales mix for recurring and non-recurring revenue. ARR does not have any standardized meaning and is therefore unlikely to be comparable to similarly titled measures presented by other companies. ARR should be viewed independently of revenue and deferred revenue and is not intended to be combined with or to replace either of those items. ARR is not a forecast, and the active contracts at the end of a reporting period used in calculating ARR may or may not be extended or renewed by our customers. Net Revenue Retention Rate (“NRR”) We believe that our ability to retain and grow recurring revenues from our existing customers over time strengthens the stability and predictability of our revenue base and is reflective of the value we deliver to them through upselling and cross selling our solution portfolio. We assess our performance in this area using a metric we refer to as Net Revenue Retention Rate (“NRR”). Beginning in the first quarter of 2021, we intend to exclude from our calculation of NRR any changes in ARR attributable to Intersect customers, as this product is sold through our channel partnership with EAB and is pursuant to annual revenue minimums, therefore the business will not be managed based on NRR. We calculate our dollar-based NRR as of the end of a reporting period as follows: •Denominator. We measure ARR as of the last day of the prior year comparative reporting period. •Numerator. We measure ARR from renewed and new sale opportunities booked as of the last day of the current reporting period from customers with associated ARR as of the last day of the prior year comparative reporting period. The quotient obtained from this calculation is our dollar-based net revenue retention rate. Our NRR provides insight into the impact on current year recurring revenues of expanding adoption of our solutions by our existing customers during the current period. Our NRR is subject to adjustments for acquisitions, consolidations, spin-offs and other market activity. PowerSchool 24#25Non-GAAP Financial Measures In addition to our results determined in accordance with GAAP, we believe the following non-GAAP measures are useful in evaluating our operating performance. We believe that non-GAAP financial information, when taken collectively, may be helpful to investors because it provides consistency and comparability with past financial performance and assists in comparisons with other companies, some of which use similar non-GAAP financial information to supplement their GAAP results. The non-GAAP financial information is presented for supplemental informational purposes only, and should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly- titled non-GAAP measures used by other companies. A reconciliation is provided below for each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures. Adjusted Gross Profit: Adjusted Gross Profit is a supplemental measure of operating performance that is not made under GAAP and that does not represent, and should not be considered as, an alternative to gross profit, as determined in accordance with GAAP. We define Adjusted Gross Profit as gross profit, adjusted for depreciation, unit-based compensation expense, restructuring and acquisition-related expenses and amortization of acquired intangible assets and capitalized product development costs. We use Adjusted Gross Profit to understand and evaluate our core operating performance and trends, to prepare and approve our annual budget, and to develop short-term and long-term operating plans. We believe that Adjusted Gross Profit is a useful measure to us and to our investors because it provides consistency and comparability with our past financial performance and between fiscal periods, as the metric generally eliminates the effects of the variability of depreciation, unit-based compensation, restructuring expense, acquisition-related expenses, and amortization of acquired intangibles and capitalized product development costs from period to period, which may fluctuate for reasons unrelated to overall operating performance. We believe that the use of this measure enables us to more effectively evaluate our performance period-over-period and relative to our competitors. Adjusted EBITDA: Adjusted EBITDA is a supplemental measure of operating performance that is not made under GAAP and that does not represent, and should not be considered as, an alternative to net income (loss), as determined by GAAP. We define Adjusted EBITDA as net (loss) income adjusted for net interest expense, depreciation and amortization, provision for (benefit from) income tax, unit-based compensation expense, management fees, restructuring expense, and acquisition-related expense. We use Adjusted EBITDA to understand and evaluate our core operating performance and trends and to develop short-term and long-term operating plans. We believe that Adjusted EBITDA facilitates comparison of our operating performance on a consistent basis between periods and, when viewed in combination with our results prepared in accordance with GAAP, helps provide a broader picture of factors and trends affecting our results of operations. PowerSchool 25#26Non-GAAP Financial Measures These non-GAAP financial measures have their limitations as an analytical tool, and you should not consider them in isolation, or as a substitute for analysis of our results as reported under GAAP. Because of these limitations, these non-GAAP financial measures should not be considered as a replacement for their respective comparable financial measures, as determined by GAAP, or as a measure of our profitability or liquidity. We compensate for these limitations by relying primarily on our GAAP results and using non-GAAP measures only for supplemental purposes. For a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measure, see "Non-GAAP Reconciliations." PowerSchool 26#27Non-GAAP Reconciliations Adjusted Gross Profit PowerSchool ($ in thousands, except percentages) Gross Profit Depreciation Share-based compensation (¹) Restructuring (2) Acquisition-related expense(3) Amortization Adjusted Gross Profit % Gross Profit Margin(4) % Adjusted Gross Profit Margin(5) Three Months Ended September 30, 2021 $ 85,620 489 1,324 905 233 12,604 $ 101,175 57.5% PowerSchool Holdings, Inc. 67.9% 2020 $ 67,504 403 81 434 142 9,468 $ 78,032 58.4% 67.5% Nine Months Ended September 30, 2021 $ 237,486 1,322 1,486 2,385 484 36,374 $ 279,537 57.6% 67.8% 2020 $ 180,238 1,172 242 851 330 27,616 $ 210,449 (3) Refers to expenses flowing through gross profit incurred to execute and integrate acquisitions, including retention awards and severance for acquired employees. (4) Represents gross profit as a percentage of revenue. (5) Represents Adjusted Gross Profit as a percentage of revenue. 56.5% 66.0% (1) Refers to expenses flowing through gross profit associated with unit-based compensation. (2) Refers to expenses flowing through gross profit related to migration of customers from legacy to core products, and severance expense related to offshoring activities, facility closures and executive departures. 27#28Non-GAAP Reconciliations Adjusted EBITDA PowerSchool ($ in thousands, except percentages) Net (loss) income Add: Amortization Depreciation Net interest expense (¹) Loss on extinguishment of debt Income tax benefit Share-based compensation Management fees(2) Restructuring (3) Acquisition-related expense (4) Adjusted EBITDA Adjusted EBITDA Margin(5) Three Months Ended September 30, 2020 2021 $ (25,128) PowerSchool Holdings, Inc. 27,530 1,667 12,857 12,905 (2,685) 10,719 424 839 923 $ 40,051 26.9% $ 427 21,573 1,838 15,796 106 1,398 307 882 551 $ 42,878 37.1% Nine Months Ended September 30, 2021 2020 $ (27,190) (1) Interest expense, net of interest income. (2) Refers to expense associated with collaboration with our principal stockholders and their internal consulting groups. 79,562 4,950 51,409 12,905 (20,035) 13,455 615 3,576 8,662 $ 127,909 31.0% $ (28,844) 64,434 5,712 52,655 64 4,220 803 1,670 2,890 $ 103,604 32.5% (3) Refers to costs incurred related to migration of customers from legacy to core products, remaining lease obligations for abandoned facilities, severance expense related to offshoring activities, facility closures, and executive departures, and event cancellation fees related to COVID-19. (4) Refers to direct transaction and debt-related fees reflected in our acquisition costs line item of our income statement and incremental acquisition-related costs that are incurred to perform diligence, execute and integrate acquisitions, including retention awards and severance for acquired employees, and other transaction and integration expenses. These incremental costs are embedded in our research and development, selling, general and administrative and cost of revenue line items. (5) Represents Adjusted EBITDA as a percentage of revenue. 28