Slide 1: Payroll & HR Solutions Investor Presentation March 2025
Payroll & HR Solutions Investor Presentation March 2025 : ASUR 1
Slide 2: Safe Harbor Statement
(Under the Private Securities Litigation Reform Act of 1995) Safe Harbor Statement Forward-Looking Statements This presentation contains certain statements made by management that may constitute “forward-looking” statements within the meaning of the safe harbor provisions of the U.S. Private Securit
Slide 3: Chairman's Comments
Chairman’s Comments • We delivered strong results for the year 2024 despite the headwinds we faced replacing one-time ERTC revenues. Our total revenues were up slightly to $119.8 million however excluding one-time ERTC revenue they were up 17% versus 2023, which highlights the strength of our core b
Slide 4: Company Overview
Company Overview Payroll and HR for Growing businesses. Asure helps businesses get access to growth capital, stay compliant with HR laws, and win the By the Numbers war for talent with better tools to manage their workforce. $134-$138M 96% 23%-24% FY2025 Recurring FY2025 Revenue Revenue Adjusted EBI
Slide 5: Asure's Next Chapter Has Yet to be Written
Asure’s Next Chapter Has Yet to be Written The Biggest1 HCM Company You’ve Never Heard of Asure has the culture and growth characteristics of a young pure- play HCM business wrapped in the framework of a 35-year-old publicly-traded company. $134 to In just 9 years, since acquiring Mangrove HCM in 20
Slide 6: Strong Financial Profile, Significant Near-Term Growth
Strong Financial Profile, Significant Near-Term Growth Revenue Adjusted EBITDA 1 23%-24% $31M- $33M 20% 19% $1.6M $18M $23M $22.5M ▲ 15% ▲ 17% $11M ▲ 19% $134M $3M - $118.2M $138M 12% ▲ 16% $101M $12M $85M 10% $73M $8M 10% FY 2021A FY 2022A FY 2023A FY 2024A FY 2025E FY 2021A FY 2022A FY 2023A FY 20
Slide 7: Profit Expands as Revenue Composition changes and we achieve Scale
Profit Expands as Revenue Composition changes and we achieve Scale $200 As Revenue Grows… $150 Gross Profit $125 $140 Adjusted EBITDA Approaches ~30% $100 Operating Income Approaches ~20% $100 Net Income (Loss) $80 Total Revenue $65 $60 $40 $35 $25 $30 $20 $15 $15 $10 $5 $5 ($5) Business Model as Re
Slide 8: HCM Business Opportunity
Large and Growing Addressable Market HCM Business Opportunity Market Size Market Tailwinds Shift to cloud software driving US HCM TAM growth $90B+ US HCM TAM (CAGR 7.6% through 2025 and reach $90B+) Total US HCM TAM is growing at 7.6% CAGR(1) Tight labor markets have accelerated the need for $45B+ N
Slide 9: One Platform, Smartly Architected for Scale
Anatomy of Human Capital Management (HCM) Business One Platform, Smartly Architected for Scale Decoupled Platform Serves Multiple Markets Payroll HCM DIRECT PAYROLL TAX DIRECT Full-suite HCM software and Large, multi-state enterprises Treasury services for small businesses face the same payroll tax
Slide 10: Payroll & HR Engine
Anatomy of Human Capital Management (HCM) Business Payroll & HR Engine Recruiting Payroll & HR Self-Service On-Demand Pay Automate job-board reach Businesses manage Employees manage data, Earned wage access, FDIC to win the war for talent payroll, benefits, and HR time, paystubs, W2, etc. account, V
Slide 11: Tax Engine
Anatomy of HCM Business Tax Engine Payroll Tax Management (PTM) HCM firms and complex, multi-state enterprises manage all aspects of payroll tax filing SUI Rate Notice File Schedule Exchange Tracking Taxes Liabilities Employee & Employer Tax Tax API Engine Tax Data Payroll Federal State Local Engine
Slide 12: Treasury Engine
Anatomy of HCM Business Treasury Engine Compliant Money Movement HCM firms and multi-state enterprises manage the impounding and disbursement of funds Impound ACH Emp Remit to Taxing Reconcile Client Funds Direct Deposit Agencies Cash Payroll Employee Pay Engine Treasury Engine API Federal State Loc
Slide 13: Marketplace | Monetizing HCM Data
Anatomy of HCM Business Marketplace | Monetizing HCM Data Today’s Data Set >100k Employers Earned 2M+ Employees Wage Banking Access Benefits Income Verification Retirement Life Events Wallet API www.asuresoftware.com www.asuresoftware.com 13 13
Slide 14: HCM | End-To-End Solution
HCM | End-To-End Solution Powering growth for >100K employers Empowering freedom for 2M+ employees Employee Outsourced Benefits HR Team Online Recruiting HR Library Managing Talent Staying Compliant Labor shortage is making it Time & Benefits Explosion of new Federal, State, harder to find talent an
Slide 15: HCM Business | Competitive Landscape
HCM Business | Competitive Landscape Companies with 1-1000 Employees ADP and Paychex are Asure’s largest competitors with more presence in major markets, but they also create the largest opportunity with significant churn. Many rely on their CPA or in-house software like QuickBooks. CPA, Regional, a
Slide 16: HCM | How, Why, and Where We Win
HCM | How, Why, and Where We Win How Clients Find Asure Why Clients Choose Asure* Trusted Advisor Universe 1 or 2 (Not Important) 3 or 4 5 or 6 7 or 8 9 or 10 (Extremely Important) High-Quality Customer Service 4% 88% Bank 4.4k Has the specific features I need 16% 68% Benefit CPA Relationship with m
Slide 17: Acquisition Economics
Acquisitive Growth | Reseller Roll-Up ~$200M+ 200+ Resellers Reseller • Reseller’s top line is ~10 to 15x+ our license fees Markup • Highly accretive acquisitions • Clients already use Asure’s software ~$12M o No data conversion o No software migration Asure's Current Reseller’s Payroll o No user re
Slide 18: Select Financial Data
Select Financial Data 18
Slide 19: 4Q24 Financial Highlights
4Q24 Financial Highlights Total Recurring Total Revenue Adjusted Revenue Revenue excl. ERTC Net Loss EBITDA $30.8 $30.8 $28.5 $6.2 YoY YoY YoY YoY YoY 17% 14% 22% +$0.4m 121% $(3.2) *All figures presented in millions 19
Slide 20: Growth Results
YoY Revenue: 4Q23 Bridge to 4Q24 Core ERTC 12.7% $0.0M Growth 9.0% $1.0M $30.8M Results $25.3M Year over year performance 4Q Organic Inorganic 4Q 23 Growth Growth 24 Waterfall Definitions • Organic Growth consists of the net revenue generated from new bookings, price increases, and same-store- sales
Slide 21: Select Financial Data
Select Financial Data : ASUR in $Millions 4Q23 3Q24 4Q24 Cash and Equivalents 30.3 11.2 21.4 Total Equity 191.7 199.1 197.3 Debt 4.3 7.5 12.7 Client Funds Assets 219.1 193.5 192.6 Outstanding Shares (as of 12-31-2024) ~26.7 Enterprise Value (as of 3-05-2024) $256M Average Daily Volume 90 day ~108k M
Slide 22: Valuation Expansion Opportunity
Valuation Expansion Opportunity *Data source: Capital IQ *Numbers and multiples are rounded and are based on calendar 2025 Street mean as of 2/20/25; Asure figures based on mid-point of 2025 guidance ranges. 22 www.asuresoftware.com www.asuresoftware.com
Slide 23: HCM Growth Model
Lifetime Value M&A Growth Accretive Compounding Growing Clients Employers grow staff annualized impact acquisitions HCM ~2% each year TOTAL Growth Model STRATEGIC Direct Sales ~10% ~20% Sales reps with industry experience SAME 8-10 Years STORE PRICING 2-4% Long-term Clients stay SALES for long time
Slide 24: Disclosure Regarding Non-GAAP and Adjusted Financial Measures (1 of 4)
Disclosure Regarding Non-GAAP and Adjusted Financial Measures (1 of 4) This presentation includes information about bookings, non-GAAP gross profit, non-GAAP sales and marketing expense, non-GAAP general and administrative expense, non-GAAP research and development expense, EBITDA, EBITDA margin, ad
Slide 25: Disclosure Regarding Non-GAAP and Adjusted Financial Measures (2 of 4)
Disclosure Regarding Non-GAAP and Adjusted Financial Measures (2 of 4) Non-GAAP research and development expense differs from research and development expense in that it excludes share-based compensation and one- time items. EBITDA differs from net income (loss) in that it excludes items such as int
Slide 26: Disclosure Regarding Non-GAAP and Adjusted Financial Measures (3 of 4)
Disclosure Regarding Non-GAAP and Adjusted Financial Measures (3 of 4) Depreciation. The Company excludes depreciation of fixed assets. Also included in the expense is the depreciation of capitalized software costs. Amortization of Purchased Intangibles. The Company views amortization of acquisition
Slide 27: Disclosure Regarding Non-GAAP and Adjusted Financial Measures (4 of 4)
Disclosure Regarding Non-GAAP and Adjusted Financial Measures (4 of 4) One-Time Expenses. The Company’s adjusted financial measures exclude the following costs to normalize comparable reporting periods, as these are generally non-recurring expenses that do not reflect the ongoing operational results
Slide 28: Appendix: Unaudited Supplemental Quarterly Financial Information
Appendix Unaudited Supplemental Quarterly Financial Information 28
Slide 29: Information Regarding Unaudited Supplemental Quarterly Financial Information
Information Regarding Unaudited Supplemental Quarterly Financial Information • The Unaudited Supplemental Quarterly Financial Information in the appendix of this presentation reflect Asure Software, Inc.’s (the “Company”) financial statements for the periods presented give effect in prior periods ce
Slide 30: Balance Sheets (Unaudited)
Balance Sheets (Unaudited) 30 ($ in thousands)
Slide 31: Income Statements (Unaudited)
Income Statements (Unaudited) ($ in thousands) 31
Slide 32: Statements of Cash Flows (Unaudited)
Statements of Cash Flows (Unaudited) ($ in thousands) 32
Slide 33: Non-GAAP Reconciliation (Unaudited, 1 of 2)
Non-GAAP Reconciliation (Unaudited, 1 of 2) ($ in thousands) 33
Slide 34: Non-GAAP Reconciliation (Unaudited, 2 of 2)
Non-GAAP Reconciliation (Unaudited, 2 of 2) ($ in thousands) 34