{ "docId": "019de518-b4b3-75bc-b2b1-aaeccf6a4977", "docSlug": "b0f9b9c38ec4b3ad35dcf4807f50584c", "documentTitle": "Enfusion | Results Presentation Deck | 26 slides", "authorId": "enfusion", "authorName": "Enfusion", "documentKindSlug": "shareholder-letter", "documentKindLabel": "Shareholder letter", "sourceTypeSlug": "investor_relations", "sourceTypeLabel": "Investor relations", "presentationDate": "2024-11-01 00:00:00", "orientation": "landscape", "aspectRatio": 1.7777778, "pageNumber": 26, "pageCount": 26, "prevPage": 25, "nextPage": null, "slideType": "appendix_disclosure", "function": "appendix", "density": "overcrowded", "nDataPoints": 0, "notes": null, "elementsJson": null, "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019de518-b4b3-75bc-b2b1-aaeccf6a4977/26", "deckHref": "/decks/019de518-b4b3-75bc-b2b1-aaeccf6a4977", "deckJsonHref": "/decks/019de518-b4b3-75bc-b2b1-aaeccf6a4977.json", "deckAnchorHref": "/decks/019de518-b4b3-75bc-b2b1-aaeccf6a4977#slide-26", "components": [ { "bbox": { "h": 0.04, "w": 0.934, "x": 0.034, "y": 0.6 }, "kind": "paragraph", "text": "Investors should not place undue reliance on ARR or Net Dollar Retention Rate or Average Contract Value as an indicator of future or expected results. Our presentation of these metrics may differ from similarly titled metrics presented by other companies and therefore comparability may be limited.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "2d480727-eb90-4633-b547-bd50e0029eed", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.02, "w": 0.934, "x": 0.034, "y": 0.32 }, "kind": "paragraph", "text": "In connection with the management of our business, we identify, measure and assess a variety of key metrics. The key metrics we use in managing our business are set forth below.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a60b7500-dd3d-43f3-8de4-b6885fae3373", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.934, "x": 0.034, "y": 0.23 }, "kind": "paragraph", "text": "Adjusted Gross Profit represents gross profit, excluding the impact of stock-based compensation and other non-recurring items. Adjusted Gross Margin represents Adjusted Gross Profit divided by total net revenues.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b12b50f8-df40-494b-a08e-87a0b4d6efad", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.934, "x": 0.034, "y": 0.81 }, "kind": "paragraph", "text": "Our Net Dollar Retention Rate is equal to the Current Period ARR divided by the Prior Period ARR. We believe Net Dollar Retention Rate is an important metric because, in addition to providing a measure of retention, it indicates our ability to grow revenues within existing client accounts.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "bdcc4fce-415b-4a1f-9267-f84ad3d9445c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.09, "w": 0.934, "x": 0.034, "y": 0.7 }, "kind": "paragraph", "text": "We calculate Net Dollar Retention Rate as of a period end by starting with the ARR for all clients as of twelve months prior to such period end, or Prior Period ARR. We then calculate the ARR from those same clients as of the current period end, or Current Period ARR. Current Period ARR includes expansion within existing clients inclusive of contraction and voluntary attrition and involuntary cancellations. We define involuntary cancellations as accounts that were cancelled due to the client no longer being in business. Post 4Q23, we no longer provide the Net Dollar Retention Rate calculation excluding involuntary cancellation calculations.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "dba6f9c9-cdff-4b91-aa23-5a3e6810efd9", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.934, "x": 0.034, "y": 0.14 }, "kind": "paragraph", "text": "Adjusted Net Income represents net income adjusted to exclude stock-based compensation expense, the effect of foreign currency fluctuations, certain non-recurring items, and the tax effect of such adjustments. Adjusted Diluted EPS represents Adjusted Net Income divided by fully diluted weighted average shares outstanding.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ec588ce8-dd6b-4218-a345-a4bd610dca13", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.07, "w": 0.934, "x": 0.034, "y": 0.41 }, "kind": "paragraph", "text": "We calculate Annual Recurring Revenue, or ARR, by annualizing platform subscriptions and managed services revenues recognized in the last month of the measurement period. We believe ARR provides important information about our future revenue potential, our ability to acquire new clients and our ability to maintain and expand our relationship with existing clients. ARR is included in a set of metrics we calculate monthly to review with management as well as periodically with our board of directors.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f17b7ac4-263c-439f-bc75-c743da735b39", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.934, "x": 0.034, "y": 0.53 }, "kind": "paragraph", "text": "We calculate Average Contract Value, or ACV, by dividing ARR by the number of clients that are billed at the end of the measurement period. We believe ACV is an important metric because it provides important information about the growth of our clients' accounts.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "fa9ba91a-e888-4d14-b55e-f807da40fa4f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.01, "w": 0.01, "x": 0.95, "y": 0.94 }, "kind": "source-note", "text": "26", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "4587eb6a-2c5d-4ff7-978b-64b51c4cf37e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.01, "w": 0.17, "x": 0.75, "y": 0.94 }, "kind": "source-note", "text": "©2024 ENFUSION. ALL RIGHTS RESERVED.", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a50823d3-b254-44eb-a13b-804a421fe614", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.43, "x": 0.034, "y": 0.05 }, "kind": "title", "text": "Definitions Continued", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "21415a0b-2cad-43e6-9789-12b37532d5bc", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 26, "from": 18, "beatId": "0d72eb47-a05b-467b-9c32-368ab1d7c034", "arcName": "The Sparkline", "arcSlug": "sparkline", "beatName": "Resolution", "beatSlug": "resolution", "evidence": "Appendix with financial data and definitions", "position": 3, "confidence": 0.8, "parentBeatName": null, "parentBeatSlug": null } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }