Slide 1: Progress Financial Results Q3 2026
Progress Financial Results Q3 2026 Supplemental Information September 30, 2026
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains statements that are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Progress has identified some of these forward-lookin
Slide 3: Conference Call Details
Conference Call Details What: Progress Fiscal Q3 ’26 Financial Results When: Wednesday, September 30, 2026 Time: 5:00 p.m. ET Register for the Live Call: Use this link. Access the Webcast: here. Please note: Webcast is listen-only. © 2026 Progress Software Corporation and/or its subsidiaries or affi
Slide 4: Summary Highlights Q3 2026
Summary Highlights Q3 2026 EPS above high-end of guidance; operating margin 43% • Revenues of $246M vs. prior guidance of $244M - $250M • ARR: $873M, up 1% year-over-year • NRR: 99% • Operating margin: 43% • EPS: $1.69, above high-end of prior guidance of $1.53 - $1.59 • Adjusted Free Cash Flow: $87
Slide 5: Progress Delivers a Trusted AI Foundation
Progress Delivers a Trusted AI Foundation + = Context Control Confidence Grounds AI in accurate, connected, Establishes governance, safety Delivers trustworthy enterprise-specific knowledge and cost discipline over how AI AI-powered outcomes is deployed and scaled © 2026 2025 Progress Software Corpo
Slide 6: Extending the Trusted AI Foundation
Extending the Trusted AI Foundation Context Control AI-Powered Data Readiness Governed Insights Automation Compliance Applications Prepares & connects Turns fragmented Streamlines data-driven Supports intelligent Builds in governance, trusted data so information into reliable, processes & accelerate
Slide 7: Annualized Recurring Revenue Trend (Pro Forma)
Annualized Recurring Revenue Trend (Pro Forma) ARR growth of 1% year-over-year ShareFile included in all periods Consistent Annual Growth All periods reported in constant currency, using current year budgeted exchange rates Excludes Domo in all periods Net Retention % - TTM 100% 100% 100% 99% 100% 9
Slide 8: Total Growth Strategy
Total Growth Strategy Invest & Innovate Invest in our products and incorporate the latest technologies and capabilities to sustain relevance well into the future. Acquire & Integrate Disciplined M&A: pay an attractive multiple for high-quality technology with strong recurring revenue; integrate quic
Slide 9: Total Growth Strategy: Driving ARR Growth
Total Growth Strategy: Driving ARR Growth ARR CAGR of 15% Q3 2021 – Q3 2026 All periods reported in constant currency, using current year budgeted exchange rates Excludes ARR values from acquisitions prior to purchase date Excludes Domo in all periods © 2026 Progress Software Corporation and/or its
Slide 10: Total Growth Strategy: Driving Revenue Growth
Total Growth Strategy: Driving Revenue Growth Revenue CAGR of 14% 2022 – 2026(E)* * Represents the mid-point of our FY’26 guidance range © 2026 Progress Software Corporation and/or its subsidiaries or affiliates. All rights reserved. 10
Slide 11: Total Growth Strategy: Growing Profitability
Total Growth Strategy: Growing Profitability Operating Income CAGR of 13% 2022 – 2026(E)* Best-in-class non-GAAP operating margins consistently above 35% * Represents the mid-point of our FY’26 guidance range © 2026 Progress Software Corporation and/or its subsidiaries or affiliates. All rights rese
Slide 12: Total Growth Strategy: Growing Unlevered Free Cash Flow
Total Growth Strategy: Growing Unlevered Free Cash Flow Unlevered FCF CAGR of 13% 2022 – 2026(E)* * Represents the mid-point of our FY’26 guidance range © 2026 Progress Software Corporation and/or its subsidiaries or affiliates. All rights reserved. 12
Slide 13: Capital Allocation Strategy
Capital Allocation Strategy PRIMARY Continue to prioritize accretive M&A opportunities that meet our disciplined FOCUS criteria to create the strongest returns. Use our significant free cash flow to aggressively pay down debt and reload for the next acquisition. • $60M repaid in Q3 '26; $170M YTD •
Slide 14: Well Defined M&A Framework
Well Defined M&A Framework End Market ▪ Cast a wide net across infrastructure software Alignment for AI-resilient businesses ▪ Tight alignment increases synergy potential Appropriate ▪ ~10-25% of current Progress revenues Sizing ▪ Can be financed and integrated efficiently Financial ▪ High recurring
Slide 15: Summary Q3 2026 Financial Results
Summary Q3 2026 Financial Results Q3 2026 Results Prior Q3 2026 Outlook (provided on June 30, 2026) Revenue $246M $244M - $250M GAAP earnings per share (Diluted) $0.55 $0.35 - $0.41 Non-GAAP earnings per share (Diluted) $1.69 $1.53 - $1.59 GAAP Operating Margin 19% Not guided Non-GAAP Operating Marg
Slide 16: Domo Purchase Multiples and Revenue
Domo Purchase Multiples and Revenue Consumption platform Legacy seat-based Professional services Purchase Multiples Lower professional services and deliberate, planned seat-based churn $318.9M ~1.4x $307.1M $280M–$290M Steady-state revenue ~3.5x Pro forma EBITDA >85% of Domo ARR is consumption-based
Slide 17: Domo Acquisition and Leverage Profile
Domo Acquisition and Leverage Profile Net Leverage Ratio — Net Debt / TTM Adjusted EBITDA Transaction Detail 5.0x 4.7x 4.5x 4.3x • Closed September 22, 2026 3.9x • $400M purchase price, all cash 4.0x 3.8x 3.5x Actual TTM 3.4x • $390M drawn on revolver 3.5x ShareFile closed 3.1x Nov 2024 2.9x • ~3.8x
Slide 18: Domo Margin Impact and Interest Expense
Domo Margin Impact and Interest Expense Non-GAAP Operating Margin Domo Stand-alone Operating Margin 100–200 bps Synergies realized 40% Slightly Below 30% in Fiscal 2027 38–39% 38–39% 39% Timing, not economics; reverses in fiscal 2028 38% 36–37% 37% INTEREST EXPENSE 36% $390M ~$21M 35% Revolver draw
Slide 19: Outstanding Debt and Potential Impact on Share Count
Outstanding Debt and Potential Impact on Share Count Convertible Revolver (as of 8/31/26) Balance: $450M Balance: $790M drawn out of $1.5B Interest Rate: 3.50% Interest Rate: 1.25% to 2.5% above benchmark Conversion Price: $67.74 Current interest rate ~ 5.4% as of Aug 31, 2026 Expiration: March 1, 2
Slide 20: Business Outlook (as of September 30, 2026)
Business Outlook (as of September 30, 2026) Q4 2026 FY 2026 FY 2026 Current Outlook Prior Outlook Updated Outlook (provided on June 30, 2026) Revenue $297M - $305M $990M - $1,002M $1,044M - $1,052M GAAP EPS ($0.41) - ($0.32) $1.60 - $1.74 $1.18 - $1.28 Non-GAAP EPS $1.24 - $1.33 $6.09 - $6.21 $6.15
Slide 21: Supplemental Financial Information
Supplemental Financial Information
Slide 22: Supplemental Revenue Information (Unaudited)
Supplemental Revenue Information (Unaudited) Quarterly Revenue by Region and by Type (GAAP) (in thousands) Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 Revenue by Type License 58,445 50,795 63,437 65,210 67,581 68,979 63,556 Maintenance 99,535 103,491 104,849 102,299 100,339 101,222 100,0
Slide 23: Important Information Regarding Non-GAAP Financial Information
Important Information Regarding Non-GAAP Financial Information Progress furnishes certain non-GAAP supplemental information to our financial results. We use such non-GAAP financial measures to evaluate our period-over-period operating performance because our management team believes that excluding t
Slide 24: Important Information Regarding Non-GAAP Financial Information
Important Information Regarding Non-GAAP Financial Information • Provision for income taxes - We adjust our income tax provision by excluding the tax impact of the non-GAAP adjustments discussed above. • Constant currency - Revenue from our international operations has historically represented a sub
Slide 25: Important Information Regarding Non-GAAP Financial Information
Important Information Regarding Non-GAAP Financial Information • ARR continued - ARR is not defined in GAAP and is not derived from a GAAP measure. Rather, ARR generally aligns to billings (as opposed to GAAP revenue which aligns to the transfer of control of each performance obligation). ARR does n
Slide 26: D Progress’
D Progress’