3Q 2021 Investor Presentation slide image

3Q 2021 Investor Presentation

Reconciliation of Adjusted Financial Measures to U.S. GAAP Moody's Corporation Adjusted Operating Income and Adjusted Operating Margin Reconciliation¹ Moody's Corporation Net Debt Reconciliation (in $ millions) Operating Income 2015 2016 2017 2018 2019 2020 $1,491 Operating Margin $651 $1,821 $1,868 $1,998 $2,388 42.8% 18.1% 43.3% 42.0% 41.4% 44.5% TTM 3Q 2021 $2,774 46.5% (in $ millions) 2015 2016 2017 2018 2019 2020 1Q 2Q 3Q 2021 2021 2021 Add Adjustment: Depreciation & Amortization Acquisition-Related Expenses 114 127 158 192 200 220 237 Gross debt Less: Cash, cash equivalents and short-term investments $3,381 $3,363 $5,540 $5,676 $5,581 $6,422 $6,340 $6,355 $7,476 2,232 2,225 1,183 1,818 1,930 2,696 2,865 2,897 2,343 Net debt $1,148 $1,138 $4,357 $3,858 $3,651 $3,726 $3,475 $3,458 $5,133 23 3 Restructuring Captive insurance company settlement Settlement Charge Loss pursuant to the divestiture of MAKS 12 49 60 16 660 50 50 32 32 864 14 9 Adjusted Operating Income $1,605 $1,654 $2,002 $2,117 $2,291 $2,667 $3,043 Adjusted Operating Margin 46.0% 45.9% 47.6% 47.6% 47.4% 49.7% 51.0% 1. 2015-2017 operating and adjusted operating income have been restated to conform to the new presentation of pension accounting. Note: Some numbers may not foot due to rounding. Moody's | Better decisions 3Q 2021 Investor Presentation 79 19
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