Slide 1: HR solutions for the people that matter
HR solutions for the people that matter. TriNet Group Inc. Investor Presentation July – October 2020 © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or pa
Slide 2: Disclaimer: Forward-Looking Statements
Disclaimer Cautionary Note Regarding Forward-Looking Statements and Other Financial Information This presentation contains statements that are not historical in nature, are predictive in nature, or that depend upon or refer to future events or conditions or otherwise contain forward-looking statemen
Slide 3: Disclaimer: Non-GAAP Financial Measures
Disclaimer Non-GAAP Financial Measures In addition to financial measures presented in accordance with U.S. Generally Accepted Accounting Principles (GAAP), we present other non-GAAP © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein
Slide 4: Agenda
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 4 Agenda Appendix Guidance TriNet Overview Finan
Slide 5: COVID-19 Update
COVID-19 Update AN ORGANIZATION MOBILIZED AND READY TO HELP CUSTOMERS © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their • Created and launched our COVID: TriNet Business Resiliency & Preparedness Center homepage on T
Slide 6: TriNet Overview
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 6 TriNet Overview
Slide 7: Investment Highlights
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 7 * See Appendix B Investment Highlights Differe
Slide 8: Large Market Opportunity
Large Market Opportunity ~60 million Underpenetrated SMB Market © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their Number of Employees who work respective companies. Reproduction or distribution in whole or part witho
Slide 9: Challenges Facing SMBs
Challenges Facing SMBs Compliance © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their ⦁ Significant regulatory oversight ⦁ Risks for federal, state, and local respective companies. Reproduction or distribution in whole
Slide 10: Technology Enabled Business Services Company
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 10 • Automatic Payroll • Benefits Enrollment • N
Slide 11: Common Product and Service Capabilities
Common Product and Service Capabilities © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. HR Exper
Slide 12: Vertical Strategy
Vertical Strategy © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. Financial Life Science Main St
Slide 13: Insurance Services
Insurance Services © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their Workers’ Compensation respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. ⦁ Provi
Slide 14: Growth Strategy
© 2019 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 1 2 3 Retention New Sales Potential Acquisitions
Slide 15: Retention
Retention FLEXIBLE SERVICE Flexible service model © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their aligned to verticals respective companies. Reproduction or distribution in whole or part without express written per
Slide 16: New Sales
New Sales • Align sales force by geography and industry vertical © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permissio
Slide 17: Potential Acquisitions
Potential Acquisitions 2009 2013 2020 ⦁ Infrastructure investment • New product offering • Expands TriNet Non-Profit © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their ⦁ East Coast processing center • High-touch servi
Slide 18: Financial Review
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 18 Financial Review
Slide 19: Financial Model
Financial Model Revenue Growth • Vertical strategy drives volume growth © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their • Vertical products increase value received respective companies. Reproduction or distribution
Slide 20: Revenue Model
Revenue Model Net Service Revenues FY20193,4 Professional Service Revenues © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their (in millions) Fees charged to clients for processing payroll- related transactions, access
Slide 21: Consistent GAAP Revenue Growth
Consistent GAAP Revenue Growth $3,856 © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their $3,503 $3,275 $530 $3,060 respective companies. Reproduction or distribution in whole or part without express written permission
Slide 22: Strong Net Service Revenues Growth
Strong Net Service Revenues Growth $3,856 $3,503 © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their $3,275 $3,060 $929 $893 respective companies. Reproduction or distribution in whole or part without express written p
Slide 23: Attractive EPS Growth
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 23 $0.85 29% FY2016 $1.20 $2.49 35% FY2017 $1.99
Slide 24: Capital Allocation
Capital Allocation © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 1 Reinvest in business — driv
Slide 25: Guidance
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 25 Guidance
Slide 26: Guidance
Guidance FY 2020 Q3 2020 © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. GAAP Total Revenue 0% -
Slide 27: Appendix
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 27 Appendix
Slide 28: Appendix A: Reconciliation of non-GAAP financial measures
Appendix A Reconciliation of non-GAAP financial measures to GAAP financial measures Year Ended December 31, (in millions) 2019 2018 2017 2016 2015 Total revenues $ 3,856 $ 3,503 $ 3,275 $ 3,060 $ 2,659 © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logo
Slide 29: Appendix A: Reconciliation of non-GAAP financial measures
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 29 financial measures Appendix A Reconciliation
Slide 30: Appendix B
© 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their respective companies. Reproduction or distribution in whole or part without express written permission is prohibited. 30 Appendix B discussion of our Statement of Cas
Slide 31: Appendix C – Guidance Reconciliation
Appendix C – Guidance Reconciliation Reconciliation of GAAP to Non-GAAP Measures 1 The table below presents a reconciliation of total revenues to Net Service Revenues: © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to thei
Slide 32: Appendix D – End Notes
Appendix D – End Notes © 2020 TriNet Group, Inc. All rights reserved. All trademarks, trade names, service marks and logos referenced herein belong to their 1 US Small Business Administration, Office of Advocacy, 2019 Small Business Profile; the total number of employees employed by firms with 500 o