EX-99.1 2 a20230227exhibit991.htm EX-99.1 Document
Exhibit 99.1

asuresoftware.jpg
Asure Announces Fourth Quarter and Full Year 2022 Results

Reports Record Fourth Quarter Revenues of $29.3 Million, Up 39% from Prior Year

Reports Record Full Year Revenues of $95.8 Million, Up 26% from Prior Year

Raises 2023 Financial Targets and Guidance

AUSTIN, TX – February 27, 2023 – Asure Software, Inc. (“we”, “us”, “our”, “Asure” or the “Company”) (Nasdaq: ASUR), a leading provider of cloud-based Human Capital Management (HCM) software solutions, reported results for the fourth quarter and full year ended December 31, 2022.

Fourth Quarter 2022 Financial Highlights

Revenue of $29.3 million, up 39% from prior-year’s quarter
Recurring revenue of $24.1 million, up 25% from prior-year’s quarter
Net loss of $1.1 million, a $3.2 million improvement from prior-year’s quarter
EBITDA of $5.0 million, up $3.5 million from prior-year’s quarter
Adjusted EBITDA of $6.0 million, up $3.7 million from prior-year’s quarter

Full Year 2022 Financial Highlights

Revenue of $95.8 million, up 26% year-over-year
Recurring revenue of $86.2 million, up 21% year-over-year
Net loss of $14.5 million, a $17.7 million decline from prior year, compared to full year 2021 net income of $3.2 million which included $18.8 million in extraordinary gains, without which prior year net loss would have been $15.7 million
EBITDA of $8.8 million, down $13.5 million from prior year, compared to full year 2021 EBITDA of $22.3 million which includes $18.8 million in extraordinary gains, without which prior year EBITDA would have been $3.4 million
Adjusted EBITDA of $11.8 million, up $4.2 million from prior year

Recent Business Highlights

Announced integration with ZayZoon, allowing our customers the ability to offer their employees earned wage access. In today’s labor market, “work today, get paid today” is becoming increasingly popular and this integration empowers our customers to offer their candidates the means to build and retain their workforce.
Announced integrations with H&R Block and TurboTax®, allowing employees to electronically access their W-2s directly from Asure in each respective tax preparation software. This integration eliminates the need for employees to manually enter their tax information, saving them time and reducing the potential for errors. The convenience represents another value-added employee benefit, which are becoming increasingly important in today's competitive job market.

Management Commentary

“Our record-breaking fourth quarter and full year results show that our solutions are resonating strongly with customers across multiple segments” said Asure Chairman and CEO Pat Goepel. “This past year has been marked with significant achievements both financially and operationally. The launch of our Asure Marketplace has helped us reach new highs in terms of revenue generation while our consolidation and standardization efforts have reined in costs, resulting in a fourth quarter gross margin of 72%, a nearly 10% yearly improvement. Our partnerships in the industry have also continued to grow, opening the door for longer-term recurring revenue opportunities.

“From the product side, the enhancements we have made to our software and services have been well-received by the market and are producing the results we expected. Moving forward, our focus remains on growing the Company’s customer base, suite of services, and continuing our dual concentration on organic growth and profitability. While we acknowledge the prospect of broader macroeconomic volatility and recessionary concerns, we do so on the back of recent strong performances within a similar environment. We look forward to setting new benchmarks for revenue and adjusted EBITDA in 2023 and remain well positioned to execute against our long-term strategic growth initiatives.”
1



Asure Increases 2023 Guidance Ranges; Introduces First Quarter 2023 Guidance

The Company is providing the following guidance for the first quarter and full year 2023 based on fourth quarter and full year 2022 results. Our guidance is offered with the knowledge that there is a high level of economic uncertainty in 2023 due to recent inflationary trends and the potential for a recession of unknown severity.

Updated Guidance for 2023

Guidance RangeFY-2023Q1-2023
Revenue$105.0M - 107.0M$29.0M - 30.0M
Adjusted EBITDA15% - 17%$6.0M - 6.5M

Previous Guidance for 2023

Guidance RangeFY-2023
Revenue$98.0M - 102.0M
Adjusted EBITDA14% - 16%

Management uses GAAP, non-GAAP and adjusted measures when planning, monitoring, and evaluating the Company’s performance. The primary purpose of using non-GAAP and adjusted measures are to provide supplemental information that may prove useful to investors and to enable investors to evaluate the Company’s results in the same way management does.

Management believes that supplementing GAAP disclosure with non-GAAP and adjusted disclosures provides investors with a more complete view of the Company’s operational performance and allows for meaningful period-to-period comparisons and analysis of trends in the Company’s business. Further, to the extent that other companies use similar methods in calculating adjusted financial measures, the provision of supplemental non-GAAP and adjusted information can allow for a comparison of the Company’s relative performance against other companies that also report non-GAAP and adjusted operating results.

Management has not provided a reconciliation of guidance of GAAP to non-GAAP or adjusted disclosures because management is unable to predict the nature and materiality of non-recurring expenses without unreasonable effort.

Management’s projections are based on management’s current beliefs and assumptions about the Company's business, and the industry and the markets in which it operates; there are known and unknown risks and uncertainties associated with these projections. There can be no assurance that our actual results will not differ from the guidance set forth above. The Company assumes no obligation to update publicly any forward-looking statements, including its 2023 earnings guidance, whether as a result of new information, future events or otherwise. Please refer to the “Use of Forward-Looking Statements” disclosures on page 4 of this press release.

Conference Call Details

Asure management will host a conference call Monday, February 27, 2023 at 3:30 pm Central (at 4:30 pm Eastern). Asure Chairman and CEO Pat Goepel and CFO John Pence will participate in the conference call followed by a question-and-answer session. A live webcast of the call will be available on the “Investor Relations” page of the Company’s website. To listen to the earnings call by phone, participants must pre-register with information available on the Company’s website.

About Asure Software, Inc.

Asure (Nasdaq: ASUR) is a leading provider of Human Capital Management (“HCM”) software solutions. We help small and mid-sized companies grow by assisting them in building better teams with skills to stay compliant with ever-changing federal, state, and local tax jurisdictions and labor laws, and better allocate cash so they can spend their financial capital on growing their business rather than back-office overhead expenses. Asure’s Human Capital Management suite, named Asure HCM, includes cloud-based Payroll, Tax Services, and Time & Attendance software and Asure Marketplace as well as human resources (“HR”) services ranging from HR projects to completely outsourcing payroll and HR staff. We also offer these products and services through our network of reseller partners. Visit us at asuresoftware.com.

2


Non-GAAP and Adjusted Financial Measures

This press release includes information about 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, adjusted EBITDA, and adjusted EBITDA margin, non-GAAP net income (loss) and non-GAAP net income (loss) per share. These non-GAAP and adjusted financial measures are measurements of financial performance that are not prepared in accordance with U.S. generally accepted accounting principles and computational methods may differ from those used by other companies. Non-GAAP and adjusted financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with the Company’s Consolidated Financial Statements prepared in accordance with GAAP. Non-GAAP and adjusted financial measures are reconciled to GAAP in the tables set forth in this release and are subject to reclassifications to conform to current period presentations.

This press release includes revisions to prior periods to conform with current period presentations. Discretionary one-time expenses have been removed from the Adjusted EBITDA reconciliation, attributing to recent Company forecasting. Certain one-time expenses, including, but not limited to, third-party placement fees and extraordinary employee recognitions, have been omitted from current and prior period presentations due to their anticipated recurrence.

Non-GAAP gross profit differs from gross profit in that it excludes amortization, share-based compensation, and one-time items.

Non-GAAP sales and marketing expense differs from sales and marketing expense in that it excludes share-based compensation and one-time items.

Non-GAAP general and administrative expense differs from general and administrative expense in that it excludes share-based compensation and one-time items.

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 interest, income taxes, depreciation, and amortization. Asure is unable to predict with reasonable certainty the ultimate outcome of these exclusions without unreasonable effort.

Adjusted EBITDA differs from EBITDA in that it excludes share-based compensation, other income (expense), net and one-time expenses. Asure is unable to predict with reasonable certainty the ultimate outcome of these exclusions without unreasonable effort.

Non-GAAP net income (loss) per share differs from net income (loss) per share in that it excludes items such as amortization, share-based compensation, and one-time expenses, and may use basic or diluted share counts in its computation, as applicable.

All adjusted and non-GAAP measures presented as “margin” are computed by dividing the applicable adjusted financial measure by total revenue.

Specifically, as applicable to the respective financial measure, management is adjusting for the following items when calculating non-GAAP and adjusted financial measures as applicable for the periods presented. No additional adjustments have been made for potential income tax effects of the adjustments based on the Company’s current and anticipated de minimis effective federal tax rate, resulting from the Company’s continued losses for federal tax purposes and its tax net operating loss balances.

Share-Based Compensation Expenses. The Company’s compensation strategy includes the use of share-based compensation to attract and retain employees and executives. It is principally aimed at aligning their interests with those of our stockholders and at long-term employee retention, rather than to motivate or reward operational performance for any particular period. Thus, share-based compensation expense varies for reasons that are generally unrelated to operational decisions and performance in any particular period.

Depreciation. The Company excludes depreciation of fixed assets. Also included in the expense is the depreciation of capitalized software costs.

3


Amortization of Purchased Intangibles. The Company views amortization of acquisition-related intangible assets, such as the amortization of the cost associated with an acquired company’s research and development efforts, trade names, customer lists and customer relationships, and acquired lease intangibles, as items arising from pre-acquisition activities determined at the time of an acquisition. While these intangible assets are continually evaluated for impairment, amortization of the cost of purchased intangibles is a static expense, one that is not typically affected by operations during any particular period.

Interest Expense, Net. The Company excludes accrued interest expense, the amortization of debt discounts and deferred financing costs.

Income Taxes. The Company excludes income taxes, both at the federal and state levels.

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. These items are typically not budgeted and are infrequent and unusual in nature.

Settlements, Penalties and Interest. The Company excludes legal settlements, including separation agreements, penalties and interest that are generally one-time in nature and not reflective of the operational results of the business.

Acquisition and Transaction Related Costs. The Company excludes these expenses as they are transaction costs and expenses that are generally one-time in nature and not reflective of the underlying operational results of our business. Examples of these types of expenses include legal, accounting, regulatory, other consulting services, severance and other employee costs.

Other non-recurring Expenses. The Company excludes these as they are generally non-recurring items that are not reflective of the underlying operational results of the business and are generally not anticipated to recur. Some examples of these types of expenses, historically, have included write-offs or impairments of assets, demolition of office space and cybersecurity consultants.

Other (Expense) Income, Net. The Company’s adjusted financial measures exclude Other (Expense) Income, Net because it includes items that are not reflective of the underlying operational results of the business, such as loan forgiveness, adjustments to contingent liabilities and credits earned as part of the CARES Act, passed by Congress in the wake of the coronavirus pandemic.

Use of Forward-Looking Statements

This press release contains forward-looking statements about our financial results, which may include expected or projected U.S GAAP and non-U.S. GAAP financial and other operating and non-operating results, including, by way of example, revenue, net income, diluted earnings per share, operating cash flow growth, operating margin improvement, deferred revenue growth, expected revenue run rate, bookings, expected tax rates, stock-based compensation expenses, amortization of purchased intangibles, amortization of debt discount and shares outstanding and the provision of 2023 financial guidance. The achievement or success of the matters covered by such forward-looking statements involves risks, uncertainties and assumptions, over many of which we have no control. If any such risks or uncertainties materialize or if any of the assumptions prove incorrect, the Company’s results could differ materially from the results expressed or implied by the forward-looking statements we make.

4


The risks and uncertainties referred to above include—but are not limited to—risks associated with possible fluctuations in the Company’s financial and operating results; the Company’s rate of growth and anticipated revenue run rate, including impact of the current environment; the spread of major pandemics or epidemics; interruptions to supply chains and extended shut down of businesses; political unrest, including the current issues between Russia and Ukraine; reductions in employment and an increase in business failures, specifically among its clients; the Company’s ability to convert deferred revenue and unbilled deferred revenue into revenue and cash flow, and ability to maintain continued growth of deferred revenue and unbilled deferred revenue; errors, interruptions or delays in the Company’s services or the Company’s Web hosting; breaches of the Company’s security measures; domestic and international regulatory developments, including changes to or applicability to our business of privacy and data securities laws, money transmitter laws and anti-money laundering laws; the financial and other impact of any previous and future acquisitions; the nature of the Company’s business model; the Company’s ability to continue to release, gain customer acceptance of and provide support for new and improved versions of the Company’s services; successful customer deployment and utilization of the Company’s existing and future services; changes in the Company’s sales cycle; competition; various financial aspects of the Company’s subscription model; unexpected increases in attrition or decreases in new business; the Company’s ability to realize benefits from strategic partnerships and strategic investments; the emerging markets in which the Company operates; the Company’s ability to hire, retain and motivate employees and manage the Company’s growth; changes in the Company’s customer base; technological developments; litigation and any related claims, negotiations and settlements, including with respect to intellectual property matters or industry-specific regulations; unanticipated changes in the Company’s effective tax rate; regulatory pressures on economic relief enacted as a result of the COVID-19 pandemic that change or cause different interpretations with respect to eligibility for such programs, including the employee retention tax credits; factors affecting the Company’s term loan; fluctuations in the number of Company shares outstanding and the price of such shares; interest rates; collection of receivables; factors affecting the Company’s deferred tax assets and ability to value and utilize them; the potential negative impact of indirect tax exposure; the risks and expenses associated with the Company’s real estate and office facilities space; and general developments in the economy, financial markets, credit markets and the impact of current and future accounting pronouncements and other financial reporting standards. Please review the Company’s risk factors in its annual report on Form 10-K filed with the Securities and Exchange Commission on February 27, 2023.

The forward-looking statements, including the financial guidance and 2023 outlook, contained in this press release represent the judgment of the Company as of the date of this press release, and the Company expressly disclaims any intent, obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in the Company’s expectations with regard to these forward looking statements or any change in events, conditions or circumstances on which any such statements are based.

© 2023 Asure Software, Inc. All rights reserved.
5


ASURE SOFTWARE, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands)
December 31, 2022December 31, 2021
ASSETS
Current assets:
Cash and cash equivalents$17,010 $13,427 
Accounts receivable, net12,123 5,308 
Inventory251 246 
Prepaid expenses and other current assets10,304 13,475 
Total current assets before funds held for clients39,688 32,456 
Funds held for clients203,588 217,376 
Total current assets243,276 249,832 
Property and equipment, net11,439 8,945 
Goodwill86,011 86,011 
Intangible assets, net66,594 78,573 
Operating lease assets, net7,065 5,748 
Other assets, net5,523 4,136 
Total assets$419,908 $433,245 
LIABILITIES AND STOCKHOLDERS EQUITY
Current liabilities:
Current portion of notes payable$4,106 $1,907 
Accounts payable2,194 565 
Accrued compensation and benefits5,791 3,568 
Operating lease liabilities, current1,860 1,551 
Other accrued liabilities3,728 2,436 
Contingent purchase consideration2,955 1,905 
Deferred revenue8,461 3,750 
Total current liabilities before client fund obligations29,095 15,682 
Client fund obligations206,088 217,144 
Total current liabilities235,183 232,826 
Long-term liabilities:
Deferred revenue788 36 
Deferred tax liability1,503 1,595 
Notes payable, net of current portion30,795 33,120 
Operating lease liabilities, noncurrent6,459 4,746 
Contingent purchase consideration— 2,424 
Other liabilities114 258 
Total long-term liabilities39,659 42,179 
Total liabilities274,842 275,005 
Commitments
Stockholders’ equity:
Preferred stock— — 
Common stock206 204 
Treasury stock at cost(5,017)(5,017)
Additional paid-in capital433,586 429,912 
Accumulated deficit(281,226)(266,760)
Accumulated other comprehensive income(2,483)(99)
Total stockholders’ equity145,066 158,240 
Total liabilities and stockholders’ equity$419,908 $433,245 
6


ASURE SOFTWARE, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME
(in thousands, except per share amounts)
Three Months Ended December 31,Year Ended December 31,
2022202120222021
Revenue:
Recurring$24,146 $19,390 $86,222 $71,078 
Professional services, hardware and other5,146 1,723 9,606 4,986 
Total revenue29,292 21,113 95,828 76,064 
Cost of Sales8,153 7,854 33,318 29,500 
Gross profit21,139 13,259 62,510 46,564 
Operating expenses:
Sales and marketing6,022 4,318 20,260 15,448 
General and administrative9,720 7,396 33,924 27,720 
Research and development1,627 1,438 6,147 5,410 
Amortization of intangible assets3,352 3,358 13,486 10,948 
Total operating expenses20,721 16,510 73,817 59,526 
Income (Loss) from operations418 (3,251)(11,307)(12,962)
Interest expense, net(1,429)(1,061)(4,438)(2,038)
Gain on extinguishment of debt— — — 8,312 
Employee retention tax credit— — — 10,533 
Other (expense) income, net(139)150 1,391 150 
(Loss) Income from operations before income taxes(1,150)(4,162)(14,354)3,995 
Income tax (benefit) expense(94)139 112 802 
Net (loss) income(1,056)(4,301)(14,466)3,193 
Other comprehensive gain (loss):
Unrealized gain (loss) on marketable securities418 (416)(2,384)(703)
Comprehensive (loss) income$(638)$(4,717)$(16,850)$2,490 
Basic and diluted (loss) earnings per share
Basic$(0.05)$(0.22)$(0.72)$0.17 
Diluted$(0.05)$(0.22)$(0.72)$0.16 
Weighted average basic and diluted shares
Basic20,379 19,989 20,117 19,313 
Diluted20,379 19,989 20,117 19,509 

7


ASURE SOFTWARE, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Year Ended December 31,
20222021
Cash flows from operating activities:
Net (loss) income$(14,466)$3,193 
Adjustments to reconcile (loss) income to net cash provided by (used in) operations:
Depreciation and amortization18,708 16,246 
Amortization of operating lease assets1,702 1,574 
Amortization of debt financing costs and discount718 309 
Net amortization of premiums and accretion of discounts on available-for-sale securities280 194 
Provision for doubtful accounts803 
(Recovery of) provision for deferred income taxes(92)707 
Gain on extinguishment of debt— (8,312)
Net realized gains on sales of available-for-sale securities(1,221)(542)
Share-based compensation3,179 2,990 
Loss (gain) on disposals of fixed assets25 (32)
Change in fair value of contingent purchase consideration(1,245)(160)
Goodwill and intangible asset adjustment18 — 
Changes in operating assets and liabilities:
Accounts receivable(7,618)(1,293)
Inventory(14)142 
Prepaid expenses and other assets2,993 (11,083)
Operating lease right-of-use assets(3,020)(1,371)
Accounts payable1,611 (725)
Accrued expenses and other long-term obligations3,828 629 
Operating lease liabilities2,023 (348)
Deferred revenue5,462 (741)
Net cash provided by operating activities13,674 1,378 
Cash flows from investing activities:
Acquisition of intangible asset(2,289)(25,526)
Purchases of property and equipment(2,318)(133)
Software capitalization costs(4,228)(4,141)
Purchases of available-for-sale securities(37,232)(29,051)
Proceeds from sales and maturities of available-for-sale securities10,068 21,881 
Net cash used in investing activities(35,999)(36,970)
Cash flows from financing activities:
Proceeds from notes payable— 29,425 
Payments of notes payable(1,688)(14,657)
Payments of contingent purchase consideration(130)(1,784)
Debt financing fees— (878)
Net proceeds from issuance of common stock497 678 
Net change in client fund obligations(11,055)(103,434)
Net cash used in financing activities(12,376)(90,650)
Net decrease in cash and cash equivalents(34,701)(126,242)
Cash and cash equivalents at beginning of period198,743 324,985 
Cash and cash equivalents at end of period$164,042 $198,743 
8


ASURE SOFTWARE, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS (continued)
(in thousands)
Year Ended December 31,
20222021
Reconciliation of cash, cash equivalents, restricted cash, and restricted cash equivalents to the Consolidated Balance Sheets
Cash and cash equivalents$17,010 $13,427 
Restricted cash and restricted cash equivalents included in funds held for clients147,032 185,316 
Total cash, cash equivalents, restricted cash, and restricted cash equivalents$164,042 $198,743 
Supplemental information:
Cash paid for interest$3,397 $1,413 
Cash paid for income taxes$233 $366 
Net assets added from acquisitions$— $763 
Non-cash investing and financing activities:
Contingent purchase consideration issued for acquisition$— $2,574 
Notes payable issued for acquisitions$411 $4,386 
Stock issuance for acquisitions$— $6,428 
9


ASURE SOFTWARE, INC.
RECONCILIATION OF NON-GAAP AND ADJUSTED FINANCIAL MEASURES
(unaudited)

(in thousands)Q4-22Q3-22Q2-22Q1-22Q4-21Q3-21Q2-21Q1-21
Revenue$29,292 $21,903 $20,300 $24,333 $21,113 $17,981 $17,168 $19,802 
Gross Profit to non-GAAP Gross Profit
Gross Profit$21,139 $13,647 $12,261 $15,464 $13,259 $10,868 $9,945 $12,492 
Gross Margin72.2 %62.3 %60.4 %63.6 %62.8 %60.4 %57.9 %63.1 %
Share-based Compensation34 38 35 36 46 45 38 23 
Depreciation871 860 815 857 685 710 973 762 
Amortization - intangibles298 296 296 296 354 379 379 379 
One-time expenses
Settlements, penalties & interest38 — — 
Non-GAAP Gross Profit$22,345 $14,879 $13,407 $16,654 $14,344 $12,004 $11,344 $13,661 
Non-GAAP Gross Margin76.3 %67.9 %66.0 %68.4 %67.9 %66.8 %66.1 %69.0 %
Sales and Marketing Expense to non-GAAP Sales and Marketing Expense
Sales and Marketing Expense$6,022 $4,752 $4,589 $4,897 $4,318 $3,897 $3,622 $3,611 
Share-based Compensation93 90 64 64 268 220 221 140 
One-time expenses
Settlements, penalties & interest— — 14 — — — 16 24 
Non-GAAP Sales and Marketing Expense$5,929 $4,662 $4,511 $4,833 $4,050 $3,677 $3,385 $3,447 
General and Administrative Expense to non-GAAP General and Administrative Expense
General and Administrative Expense$9,720 $8,023 $8,696 $7,485 $7,396 $7,005 $6,821 $6,498 
Share-based Compensation641 590 615 575 468 484 451 430 
Depreciation168 149 154 170 161 159 159 190 
One-time expenses
Settlements, penalties & interest34 15 283 59 93 369 320 161 
Acquisition and transaction costs— — 638 — 34 151 14 
Other non-recurring expenses— — 58 49 63 75 — — 
Non-GAAP General and Administrative Expense$8,877 $7,269 $6,948 $6,632 $6,577 $5,767 $5,884 $5,703 
Research and Development Expense to non-GAAP Research and Development Expense
Research and Development Expense$1,627 $1,230 $1,472 $1,821 $1,438 $1,505 $1,343 $1,124 
Share-based Compensation70 80 100 54 39 35 50 33 
Depreciation— — — — — 
One-time expenses
Settlements, penalties & interest25 — — — — — 
Non-GAAP Research and Development Expense$1,532 $1,147 $1,372 $1,767 $1,399 $1,467 $1,283 $1,087 
10


ASURE SOFTWARE, INC.
RECONCILIATION OF NON-GAAP AND ADJUSTED FINANCIAL MEASURES (cont.)
(unaudited)

(in thousands)Q4-22Q3-22Q2-22Q1-22Q4-21Q3-21Q2-21Q1-21
Revenue$29,292 $21,903 $20,300 $24,333 $21,113 $17,981 $17,168 $19,802 
GAAP Net (Loss) Income to Adjusted EBITDA
GAAP Net (Loss) Income$(1,056)$(4,533)$(5,860)$(3,017)$(4,301)$5,328 $3,764 $(1,598)
Interest expense, net1,429 1,122 1,068 816 1,061 530 223 224 
Income taxes(94)102 74 30 139 260 298 105 
Depreciation1,039 1,009 969 1,027 846 872 1,136 956 
Amortization - intangibles3,648 3,646 3,649 3,729 3,711 2,912 2,907 2,907 
EBITDA$4,966 $1,346 $(100)$2,585 $1,456 $9,902 $8,328 $2,594 
EBITDA Margin17.0 %6.1 %(0.5)%10.6 %6.9 %55.1 %48.5 %13.1 %
Share-based Compensation838 798 814 729 821 784 760 626 
One Time Expenses
Settlements, penalties & interest62 56 297 60 93 371 351 190 
Acquisition and transaction costs— — 638 — 34 151 14 
Other non-recurring expenses— — 58 49 63 75 — — 
Other (income) expense, net139 (399)(1,130)— (150)(10,191)(8,654)— 
Adjusted EBITDA$6,005 $1,801 $577 $3,423 $2,317 $1,092 $792 $3,424 
Adjusted EBITDA Margin20.5 %8.2 %2.8 %14.1 %11.0 %6.1 %4.6 %17.3 %


11


ASURE SOFTWARE, INC.
RECONCILIATION OF NON-GAAP AND ADJUSTED FINANCIAL MEASURES (cont.)
(unaudited)

(in thousands)Q4-22Q3-22Q2-22Q1-22Q4-21Q3-21Q2-21Q1-21
GAAP Net (Loss) Income to Non-GAAP Net (Loss) Income
GAAP Net (Loss) Income$(1,056)$(4,533)$(5,860)$(3,017)$(4,301)$5,328 $3,764 $(1,598)
Share Count20,379 20,219 20,105 20,041 19,974 19,182 19,040 19,007 
EPS$(0.05)$(0.22)$(0.29)$(0.15)$(0.22)$0.28 $0.20 $(0.08)
Share-based Compensation838 798 814 729 821 784 760 626 
Amortization - intangibles3,648 3,646 3,649 3,729 3,711 2,912 2,907 2,907 
One Time Expenses
Settlements, penalties & interest62 56 297 60 93 371 351 190 
Acquisition and transaction costs— — 638 — 34 151 14 
Other non-recurring expenses— — 58 49 63 75 — — 
Other (income) expense, net139 (399)(1,130)— (150)(10,191)(8,654)— 
Non-GAAP Net (Loss) Income$3,631 $(432)$(1,534)$1,550 $271 $(570)$(865)$2,139 
Share Count21,134 20,219 20,105 20,201 20,133 19,182 19,040 19,200 
Non-GAAP EPS$0.17 $(0.02)$(0.08)$0.08 $0.01 $(0.03)$(0.05)$0.11 

Investor Relations Contact
Randal Rudniski
Vice President, Financial Planning & Analysis and Investor Relations
512-859-3562
randal.rudniski@asuresoftware.com
12