Slide 1: Q2 2025 Earnings Presentation
Q2 2025 Earnings Presentation August 7, 2025
Slide 2: Forward-Looking Statements; Non-GAAP Financial Information Note
FORWARD-LOOKING STATEMENTS This presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect our current views with respect to, among other things, our operations and financial performance. For
Slide 3: Q2 2025 Highlights
Q2 2025 Highlights Scott Staples Chief Executive Officer
Slide 4: Q2 2025 Key Messages
Q2 2025 Key Messages Q2 performance at top end of previously stated expectations, driven by go-to-market execution and accelerated synergy realization Delivering on post-close priorities and ahead of schedule on integration, while maintaining high levels of customer retention Executing on FA 5.0 str
Slide 5: Solid Q2 2025 Results
Solid Q2 2025 Results Adjusted Cash Flow Revenues Adjusted EBITDA1 Adjusted Net Income1 from Operations2 $391M $114M $48M $47M 1.5% 29.2% $184M $0.27 YoY Growth3 Adj. EBITDA Margin1 Cash Balance Adj. Diluted EPS1 Q2 2025 GO-TO-MARKET VERTICAL RESULTS MOMENTUM TAKEAWAYS Top- and bottom-line perform
Slide 6: Executing on Post-Close Strategic Priorities
Executing on Post-Close Strategic Priorities Integration Customer Synergy Target Progress Engagement Progression Leveraging best-of-breed product and Seamless customer experience $65M – $80M platform solutions from each business New solutions, data, and AI-enabled $50M – $70M $60M – $70M and i
Slide 7: Investor Day Key Messages
Investor Day Key Messages Delivering global software and data through a proprietary platform in an attractive, large, and growing HR technology market Widening our competitive advantage with best-of-breed product and platform approach, proprietary data, and added Sterling capabilities Executing FA 5
Slide 8: Financial Results & Outlook
Financial Results & Outlook Steven Marks Chief Financial Officer
Slide 9: Q2 2025 Financial Results
Q2 2025 Financial Results ($ in millions, except per share data and percentages) REVENUES ADJUSTED EBITDA AND MARGIN1 ADJUSTED DILUTED EPS1 $113.9 $390.6 $102.0 +11.7% $384.8 +1.5% $0.27 +28.6% 29.2% $0.21 26.5% Q2 2024 Q2 2025 Q2 2024 Q2 2025 Q2 2024 Q2 2025 (Pro Forma2) (Pro Forma2) Revenues, up
Slide 10: Delivering on Net Cost Synergies
Delivering on Net Cost Synergies $65M – $80M SYNERGY PRIORITIES Total Run Rate Synergy Target Expected To Be Actioned Within 2 Years ($60M – $70M previous target, up from $50M+ originally) $47M Run Rate Synergies Actioned Day 1: Nov 1, 2024: First 180 Days: Year 1: Year 2: as of 6/30/25 Run Rate Syn
Slide 11: Revenue Growth Algorithm Drivers
Revenue Growth Algorithm Drivers Legacy First Advantage 2023 Q1 ’24 Q2 ’24 Q3 ’24 Q4 ’24 2024 Upsell / Cross-sell 5% 4% 5% 7% 5% 5% New Logos 4% 5% 4% 3% 3% 4% First Advantage Gross Retention 97% 97% 96% 96% 96% 96% Q1’25 Q2’25 Base (12%) (11%) (7%) (8%) (8%) (9%) Upsell / Cross-sell 5% 5% Legacy St
Slide 12: Cash Flow and Capital Structure
Cash Flow and Capital Structure Q2 2025 Cash Flow Net Leverage Debt Paydown Cash balance of $184.3M at 6/30/25 Net leverage management Well ahead of schedule on Q2 2025 Adjusted Operating Cash remains a top priority path to de-leveraging $45M+ Flows of $47.7M1 Closely managing working capital
Slide 13: Reaffirming Full Year 2025 Guidance
Reaffirming Full Year 2025 Guidance F U L L Y E A R 2 0 2 5 G U I D A N C E Total Revenues $1.5B to $1.6B Adjusted EBITDA $410M to $450M Adjusted EBITDA Margin ~27% to ~28% Adjusted Net Income $152M to $182M Adjusted Diluted Earnings Per Share $0.86 to $1.03 Note: Actual results may differ materia
Slide 14: Closing Remarks
Closing Remarks Scott Staples Chief Executive Officer
Slide 15: Investment Thesis and Long-Term Targets
Investment Thesis and Long-Term Targets : $1.8B - $2.0B Targeted Revenue 4% - 7% CAGR A market leader Significant organic Business resiliency offering proprietary revenue growth backed by flexible $560M - $630M technology and potential, accelerated cost structure and Targeted Adjusted EBITDA data in
Slide 16: Appendix
Appendix Supplemental Materials and Reconciliations to GAAP Measures
Slide 17: First Advantage At a Glance
First Advantage At a Glance O U R S C A L E O U R V E R T I C A L S 5 190M 12+ Year $1.5B 7% 5% 21% Healthcare Annual Average Tenure of Pro Forma Screens Top 100 Customers Revenue1 Transportation & Logistics 7% Retail & E-Commerce 200+ 80K $466M 8% Financial Services Manufacturing & Industrials Coun
Slide 18: Post-Close Strategic Priorities
Post-Close Strategic Priorities Executing Integration Playbook. Seamless integration process focused on customer retention, synergy realization, and operational efficiency led by a dedicated team and supported by all functional areas Actioning Synergies. Target run rate cost synergy range of $65M to
Slide 19: Full Year 2025 Guidance Details: Modeling Assumptions
Full Year 2025 Guidance Details: Modeling Assumptions Assumption ($ in millions; all values are approximate) Actioned synergies expected to be realized in 2025 $33 – $38 Capital expenditures, including capitalized software development $57 – $64 Net interest expense, excluding amortization of financi
Slide 20: Full Year 2025 Guidance Details: Adjusted Diluted EPS Bridge
Full Year 2025 Guidance Details: Adjusted Diluted Earnings Per Share Bridge Reflects 10-month pro forma impact on consolidated results (Jan-Oct 2024) Represents 15%+ $0.58 ($0.46) YoY expansion Midpoint $0.95 ($0.07) to $0.07 $0.86 to $1.03 ($0.12) $0.11 to $0.14 $0.82 $0.82 FY2024 Reported Sterling
Slide 21: Long-term Growth Algorithm Targets
Long-term Growth Algorithm Targets ST R AT E GY A N D K E Y Existing Customers New Customers ORGANIC GROWTH DRIVERS: Continued focus on AI, automation, and technology 4%-5% ~96% Strong track record of 4%-5% innovation 7%-9% Vertical go-to-market strategy 6%-7% Candidate experience 2%-3% Qu
Slide 22: Reported First Advantage Adjusted EBITDA
Reported First Advantage Adjusted EBITDA For the Quarters Ended LTM Jun 30, 2024 Sep 30, 2024 Dec 31, 2024 Mar 31, 2025 Jun 30, 2025 Jun 30, 2025 (in thousands, except percentages) Q2 Q3 Q4 Q1 Q2 Net income (loss) $ 1,861 $ (8,860) $ (100,366) $ (41,194) $ 308 $ (150,112) Interest expense, net 7,353
Slide 23: Pro Forma LTM First Advantage Adjusted EBITDA
Pro Forma LTM First Advantage Adjusted EBITDA Reported Pro Forma Six Months Ended Year Ended LTM Jun 30, 2025 Jun 30, 2024 Dec 31, 2024 Jun 30, 2025 (in thousands, except percentages) Net loss $ (40,886) $ (59,758) $ (139,432) $ (120,560) Interest expense, net 91,365 76,840 160,181 174,706 (Benefit)
Slide 24: Pro Forma 2024 First Advantage Adjusted EBITDA
Pro Forma 2024 First Advantage Adjusted EBITDA For the Quarter Ended June 30, 2024 For the Six Months Ended June 30, 2024 Reported Reported Pro Forma Reported Reported Pro Forma First Legacy First First Legacy First (in thousands, except percentages) Advantage Sterling Adjustments Advantage (in thou
Slide 25: Pro Forma 2024 First Advantage Adjusted EBITDA (Continued)
Pro Forma 2024 First Advantage Adjusted EBITDA (Continued) Historical Pro Forma Period Ended Year Ended Adjustments Year Ended Oct 31, 2024 Dec 31, 2024 for the Dec 31, 2024 Reported Twelve Months Legacy First Ended First (in thousands, except percentages) Sterling Advantage Dec 31, 2024 Advantage N
Slide 26: Reported Adjusted Net Income and Adjusted Earnings Per Share
Reported First Advantage Adjusted Net Income Reported First Advantage Adjusted Earnings Per Share For the Quarters Ended For the Quarters Ended June 30, 2024 Jun 31, 2025 Jun 30, 2024 Jun 30, 2025 (in thousands) Q2 Q2 Q2 Q2 Net income $ 1,861 $ 308 Diluted net income per share (GAAP) $ 0.01 $ 0.00 P
Slide 27: Pro Forma First Advantage Constant Currency Revenues
Pro Forma First Advantage Constant Currency Revenues For the Quarter Ended Jun 30, 2025 (in thousands, except percentages) Q2 Revenues, as reported (GAAP) $ 390,633 Pro forma foreign currency translation impact (1) (810) Pro forma constant currency revenues $ 389,823 (2) Proforma constant currency r
Slide 28: Reported First Advantage Adjusted Operating Cash Flow
Reported First Advantage Adjusted Operating Cash Flow For the Quarters Ended Jun 30, 2024 Jun 30, 2025 (in thousands, except percentages) Q2 Q2 Cash flows from operating activities, as reported (GAAP) $ 32,043 $ 37,345 Cost paid related to the Sterling acquisition and integration 8,700 10,345 Adjust