e * Where Technology Means More® ePlus inc. Investor Presentation August 2021 © 2021 ePlus inc. Confidential and Proprietary. Safe Harbor Statement Statements in this presentation that are not historical facts may be deemed to be "forward-looking statements." Actual and anticipated future results may vary materially due to certain risks and uncertainties, including, without limitation, possible adverse effects resulting from national and international political instability fostering uncertainty and volatili ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C.20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from____ to ____. Commission file number: 1-34167 Registrant's telephone number, including area code: (703) 984-8400 Securities registered pursuant to Section 12(b) of the Act: ...

Financial Data and Key Metrics Changes - Consolidated net sales for Q4 2021 declined 3.8% to $352.6 million compared to $366.5 million in Q4 2020 [25] - Gross profit increased 6.6% to $97.9 million, with gross margin expanding by 270 basis points to 27.8%, the highest in company history [9][29] - Operating income for Q4 increased 31.9% to $23.6 million, while adjusted EBITDA rose 25.7% to $29.6 million [10][32] Business Line Data and Key Metrics Changes - Technology segment net sales decreased 6.1% to $331.8 million, with product revenue down 8.4% [25] - Services revenue increased 8.2% to $52.9 million, contributing to the overall financial performance [12][26] - Financing segment revenue grew 57.4% to $20.8 million, driven by off-lease equipment sales [28] Market Data and Key Metrics Changes - Telecom, media, and entertainment, along with technology, were the largest markets, representing 25% and 17% of segment net sales, respectively [34] - SLED, healthcare, and financial services accounted for 16%, 13%, and 13% of net sales, respectively [34] Company Strategy and Development Direction - The company is focusing on expanding capabilities in security solutions, which accounted for 20.8% of adjusted gross billings, up from 19.3% [15] - Continued investment in managed services and remote services is expected to drive long-term growth [16] - The company plans to pursue strategic acquisitions to enhance growth and technology offerings [20][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to navigate challenges posed by component shortages and anticipated a recovery in IT spending as the economy normalizes [24][23] - The order backlog is up approximately 70% year-over-year, indicating strong demand for technology solutions [64] - Management noted that the focus is shifting from COVID-related spending to IT modernization and infrastructure improvements [61] Other Important Information - The company ended the fiscal year with cash and cash equivalents of $129.6 million, a 50.2% increase [37] - Inventory levels increased 39.2% to $70 million year-over-year, reflecting ongoing customer projects [38] Q&A Session Summary Question: Update on access to customer sites - Management noted limited access to customer sites due to varying state regulations, but remote service provision is increasing [48] Question: Impact of inflation and component shortages - Management indicated that while inflation has not yet significantly impacted pricing, it may become a factor in the future [50] Question: Performance of the services business - Services revenue grew 8.2% year-over-year, with positive momentum in managed services and staffing [52] Question: Quantifying impact of component shortages on revenue - Management stated that open orders are significantly up year-over-year, but the duration of shortages remains uncertain [58] Question: Insights on gross margin and future expectations - Management acknowledged that the current gross margin is an outlier and suggested looking at annualized metrics for future expectations [66] Question: Performance in specific end markets - Management reported mixed results across end markets, with healthcare down and SLED showing growth [78]

Part I [Business](index=6&type=section&id=Item%201.%20Business) ePlus inc. provides IT and consulting solutions through its Technology (96% of net sales, 71% of operating income) and Financing segments, serving diverse enterprises with a 19% concentration from Verizon Communications Inc in fiscal 2021 - The company operates through two segments: Technology and Financing, with Technology being the primary revenue and profit driver[15](index=15&type=chunk)[19](index=19&type=chunk) - Sales to **Verizon Communications Inc.** represented **19% of net sales** for fiscal year ended March 31, 2021, indicating significant customer concentration[19](index=19&type=chunk) FY 2021 Segment Contribution | Segment | % of Net Sales | % of Operating Income | | :--- | :--- | :--- | | Technology | 96% | 71% | | Financing | 4% | 29% | FY 2021 Technology Segment Revenue by End Market | End Market | Percentage of Revenue | | :--- | :--- | | Telecommunications, Media & Entertainment | 25% | | Technology | 17% | | SLED (State, Local Gov & Education) | 16% | | Healthcare | 13% | | Financial Services | 13% | [Our Business and Solutions](index=6&type=section&id=1.1%20Our%20Business%20and%20Solutions) ePlus delivers integrated IT solutions across cloud, security, and networking, leveraging key vendor partnerships, with its Technology segment offering IT sales and advanced services, while the Financing segment provides IT asset financing - The company's approach is to lead with advisory consulting to design, deploy, and manage solutions aligned with customer objectives, spanning on-premise, private, public, and hybrid cloud environments[16](index=16&type=chunk)[17](index=17&type=chunk) - Key technology partners include Amazon Web Services, Cisco Systems, Dell EMC, Microsoft, NetApp, and Palo Alto Networks, enabling multi-vendor solutions[17](index=17&type=chunk) - The Technology segment's service offerings include managed services (SOC, MDR), professional services (cloud infrastructure, collaboration), and staff augmentation (vCIO, vCISO)[28](index=28&type=chunk)[32](index=32&type=chunk) - The Financing segment specializes in financing IT, communication, and medical equipment, offering solutions like sales-type/operating leases, loans, and consumption-based financing[30](index=30&type=chunk)[31](index=31&type=chunk) [Competitive Strengths and Growth Strategy](index=10&type=section&id=1.2%20Competitive%20Strengths%20and%20Growth%20Strategy) ePlus leverages its diverse customer base, integrated business model, and acquisition track record for growth, achieving a 4.2% net sales CAGR and 7.0% gross profit CAGR from fiscal 2017 to 2021 - The company has a diverse base of over **3,500 customers** across various end-markets including technology, healthcare, and financial services[35](index=35&type=chunk) - ePlus has successfully integrated nearly **30 acquisitions** since 1997, viewing them as a key part of its strategic growth plan[39](index=39&type=chunk) - The growth strategy includes deepening customer relationships through cross-selling bundled offerings, gaining top-level engineering certifications, and expanding managed services[44](index=44&type=chunk)[45](index=45&type=chunk)[46](index=46&type=chunk) Financial Growth (FY 2017 - FY 2021) | Metric | Compound Annual Growth Rate (CAGR) | | :--- | :--- | | Net Sales | 4.2% | | Consolidated Gross Profit | 7.0% | [Operations and Human Capital](index=12&type=section&id=1.3%20Operations%20and%20Human%20Capital) As of March 31, 2021, ePlus employed 1,560 people, emphasizing employee development and utilizing drop-shipment for operations, while its backlog of open orders significantly increased to $476.8 million from $277.6 million year-over-year - The company's four largest distributors accounted for over **30% of purchases** for the technology segment, highlighting a reliance on key partners for fulfillment[59](index=59&type=chunk) Employee Headcount by Function | Functional Area | 2021 | 2020 | | :--- | :--- | :--- | | Sales and marketing | 589 | 605 | | Professional services | 662 | 666 | | Administration | 217 | 212 | | Software development and internal IT | 85 | 89 | | Management | 7 | 7 | | **Total** | **1,560** | **1,579** | Backlog and Deferred Revenue (in millions) | Metric | March 31, 2021 | March 31, 2020 | | :--- | :--- | :--- | | Open Orders | $476.8 | $277.6 | | Deferred Revenue | $99.1 | $72.2 | [Executive Officers](index=15&type=section&id=Executive%20Officers) As of March 31, 2021, ePlus inc.'s executive officers include Mark P. Marron (CEO), Elaine D. Marion (CFO), and Darren Raiguel (COO), all possessing extensive industry experience Executive Officers as of March 31, 2021 | Name | Age | Position | | :--- | :--- | :--- | | Mark P. Marron | 59 | Chief Executive Officer, President, and Director | | Elaine D. Marion | 53 | Chief Financial Officer | | Darren Raiguel | 50 | Chief Operating Officer and ePlus Technology, inc. President | [Risk Factors](index=16&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks including COVID-19 impacts, customer and vendor concentration, cybersecurity threats, IT industry evolution, economic weakness, LIBOR phase-out, and challenges in integrating acquisitions and retaining personnel - The COVID-19 pandemic poses risks of delayed orders, supply chain disruptions, and adverse effects on customer financial conditions[82](index=82&type=chunk) - A significant portion of revenue and accounts receivable is concentrated with a few key partners and customers. **Cisco Systems** products represented **36% of technology segment net sales** in FY2021, and **Verizon Communications Inc.** accounted for **20% of trade accounts receivable** at year-end[87](index=87&type=chunk)[95](index=95&type=chunk) - The business is vulnerable to cybersecurity threats, including ransomware and phishing, with risks heightened by a remote workforce. A breach could lead to liability, reputational damage, and business disruption[100](index=100&type=chunk)[101](index=101&type=chunk) - Changes in the IT industry, particularly the proliferation of cloud (IaaS, SaaS, PaaS), may reduce demand for the hardware and services ePlus sells and shift revenue to a net basis, impacting reported net sales[140](index=140&type=chunk) - The planned phase-out of LIBOR, the benchmark for the company's variable rate debt, creates uncertainty and could increase borrowing costs[153](index=153&type=chunk) [Unresolved Staff Comments](index=27&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports that it has no unresolved staff comments from the SEC - None[159](index=159&type=chunk) [Properties](index=27&type=section&id=Item%202.%20Properties) As of March 31, 2021, ePlus leases 316,000 square feet across 37 properties in the US, UK, and India, with its Herndon, VA headquarters lease expiring December 31, 2022 - The company leases **316,000 sq. ft.** across **37 properties** in the US, UK, and India[160](index=160&type=chunk) - The lease for the corporate headquarters in Herndon, VA, terminates on **December 31, 2022**[160](index=160&type=chunk) [Legal Proceedings](index=27&type=section&id=Item%203.%20Legal%20Proceedings) The company refers to Note 10 of the Notes to Consolidated Financial Statements for information regarding material pending legal proceedings - For details on legal proceedings, the report refers to Note 10, "Commitments and Contingencies" in the financial statements[161](index=161&type=chunk) [Mine Safety Disclosures](index=27&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not Applicable[162](index=162&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities](index=28&type=section&id=Item%205.%20Market%20for%20Registrant's%20Common%20Equity,%20Related%20Stockholder%20Matters,%20and%20Issuer%20Purchases%20of%20Equity%20Securities) ePlus common stock trades on NASDAQ under 'PLUS', with no cash dividends paid in fiscal 2021 or 2020, while the company repurchased 96,741 shares in fiscal 2021 and had 440,899 shares remaining for repurchase under its May 2020 program - The company's common stock is listed on the **NASDAQ Global Select Market** under the trading symbol '**PLUS**'[163](index=163&type=chunk) - No cash dividends were paid in fiscal years **2021 and 2020**. The company intends to retain future earnings for operations and growth[164](index=164&type=chunk) - In fiscal year 2021, the company purchased a total of **96,741 shares**. This included **59,101 shares** under its repurchase program and **37,640 shares** to satisfy tax withholding obligations from vested restricted stock[165](index=165&type=chunk)[166](index=166&type=chunk) - As of March 31, 2021, **440,899 shares** may yet be purchased under the share repurchase program authorized on May 20, 2020[168](index=168&type=chunk)[171](index=171&type=chunk) [Selected Financial Data](index=29&type=section&id=Item%206.%20Selected%20Financial%20Data) This item is not applicable - Not Applicable[171](index=171&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=30&type=section&id=Item%207.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) In fiscal 2021, ePlus reported a 1.3% net sales decrease to $1.57 billion, offset by a 1.6% rise in adjusted gross billings to $2.26 billion, with operating income increasing 11.6% to $106.3 million and net earnings up 7.7% to $74.4 million, alongside strong operating cash flow of $129.5 million [Executive Overview and Key Metrics](index=30&type=section&id=7.1%20Executive%20Overview%20and%20Key%20Metrics) For fiscal 2021, ePlus's net sales decreased 1.3% to $1.57 billion, while adjusted gross billings rose 1.6% to $2.26 billion due to a mix shift, leading to improved profitability with operating income up 11.6% to $106.3 million and adjusted EBITDA up 7.4% to $128.2 million - The increase in Adjusted Gross Billings alongside a decrease in Net Sales was primarily due to a shift in product mix towards items recognized on a net basis, such as third-party maintenance and SaaS licenses[191](index=191&type=chunk)[192](index=192&type=chunk) - The company implemented a flexible work-from-home strategy and other safety protocols in response to the COVID-19 pandemic while maintaining operational continuity[178](index=178&type=chunk) Consolidated Key Business Metrics (FY2021 vs FY2020) | Metric | FY 2021 | FY 2020 | Change | | :--- | :--- | :--- | :--- | | Net Sales (in millions) | $1,568.3 | $1,588.4 | -1.3% | | Gross Profit (in millions) | $393.6 | $391.2 | +0.6% | | Gross Margin | 25.1% | 24.6% | +50 bps | | Operating Income (in millions) | $106.3 | $95.3 | +11.6% | | Net Earnings (in millions) | $74.4 | $69.1 | +7.7% | | Diluted EPS ($) | $5.54 | $5.15 | +7.6% | | Adjusted EBITDA (in millions) | $128.2 | $119.4 | +7.4% | | Adjusted Gross Billings (Tech, in millions) | $2,263.9 | $2,227.9 | +1.6% | [Results of Operations](index=39&type=section&id=7.2%20Results%20of%20Operations) In fiscal 2021, the Technology segment's operating income increased 21.7% to $75.7 million despite a sales dip, while the Financing segment's operating income decreased 7.4% to $30.7 million, and the consolidated effective tax rate rose to 30.4% - The consolidated effective tax rate increased to **30.4%** in FY2021 from **28.0%** in FY2020, primarily due to non-deductible executive compensation[197](index=197&type=chunk)[248](index=248&type=chunk) Technology Segment Performance (FY2021 vs FY2020) | Metric | FY 2021 | FY 2020 | Change | | :--- | :--- | :--- | :--- | | Net Sales (in millions) | $1,508.0 | $1,530.1 | -1.4% | | Adjusted Gross Billings (in millions) | $2,263.9 | $2,227.9 | +1.6% | | Gross Profit (in millions) | $346.2 | $340.6 | +1.7% | | Operating Income (in millions) | $75.7 | $62.2 | +21.7% | Financing Segment Performance (FY2021 vs FY2020) | Metric | FY 2021 | FY 2020 | Change | | :--- | :--- | :--- | :--- | | Net Sales (in millions) | $60.4 | $58.3 | +3.6% | | Gross Profit (in millions) | $47.3 | $50.6 | -6.5% | | Operating Income (in millions) | $30.7 | $33.1 | -7.4% | [Liquidity and Capital Resources](index=42&type=section&id=7.3%20Liquidity%20and%20Capital%20Resources) ePlus's liquidity significantly improved in fiscal 2021, with cash and equivalents rising to $129.6 million and net cash from operations at $129.5 million, supported by a stable cash conversion cycle and an amended WFCDF credit facility - The cash conversion cycle for the technology segment was **37 days** as of March 31, 2021, unchanged from the prior year, as a 4-day increase in DIO was offset by decreases in DSO and increases in DPO[259](index=259&type=chunk)[262](index=262&type=chunk) - The company amended its WFCDF credit facility in May 2020, increasing the aggregate limit to **$275 million** (with a temporary uplift option to **$350 million**) and the accounts receivable sub-limit to **$100 million**[273](index=273&type=chunk) Cash Flow Summary (in thousands) | Cash Flow Activity | FY 2021 | FY 2020 | | :--- | :--- | :--- | | Net cash from operating activities | $129,507 | $(74,174) | | Net cash used in investing activities | $(35,756) | $(20,339) | | Net cash (used in) from financing activities | $(49,802) | $100,634 | Contractual Obligations as of March 31, 2021 (in thousands) | Obligation | Total | Less than 1 year | 1-3 years | 3-5 years | More than 5 years | | :--- | :--- | :--- | :--- | :--- | :--- | | Non-recourse notes payable | $56,520 | $50,709 | $5,169 | $642 | $ - | | Recourse notes payable | $19,158 | $5,577 | $13,581 | $ - | $ - | | Operating lease obligations | $9,413 | $4,006 | $4,489 | $918 | $ - | | Hosted software | $8,054 | $2,840 | $3,765 | $1,449 | $ - | | **Total** | **$93,145** | **$63,132** | **$27,004** | **$3,009** | **$ -** | [Quantitative and Qualitative Disclosures About Market Risk](index=48&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company faces market risks including credit risk from COVID-19, interest rate risk from variable-rate debt, and foreign currency exposure, though Brexit is not expected to materially impact its financial position - The company faces interest rate risk from its WFCDF credit facility, which bears a market-based variable interest rate[295](index=295&type=chunk) - Foreign currency exposure exists from operations in the UK, Europe, and India, but is considered insignificant to the consolidated operations[296](index=296&type=chunk) - The company has evaluated Brexit-related risks and determined they are not expected to have a material effect on its results or financial position[297](index=297&type=chunk)[298](index=298&type=chunk) [Financial Statements and Supplementary Data](index=48&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the audited consolidated financial statements and Deloitte & Touche LLP's unqualified opinion on financial statements and internal controls, highlighting critical audit matters related to revenue recognition and financial asset transfers - The independent auditor, **Deloitte & Touche LLP**, issued an unqualified opinion on the consolidated financial statements and the effectiveness of internal control over financial reporting as of March 31, 2021[336](index=336&type=chunk)[337](index=337&type=chunk)[349](index=349&type=chunk) - A critical audit matter was the determination of gross versus net revenue recognition for third-party software sales, which involves subjective judgment on whether accompanying support is essential to the software's functionality[341](index=341&type=chunk)[342](index=342&type=chunk) - Another critical audit matter was the classification of transfers of financial assets as either sales or secured borrowings, which requires a subjective assessment of whether the assets have been legally isolated from the company[343](index=343&type=chunk)[344](index=344&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=48&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports that there were no changes in or disagreements with its accountants on any matter of accounting principles or practices, or financial statement disclosure - None[300](index=300&type=chunk) [Controls and Procedures](index=48&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that disclosure controls and internal control over financial reporting were effective as of March 31, 2021, an assessment concurred by the independent auditor - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of March 31, 2021[302](index=302&type=chunk) - Management's assessment concluded that the company maintained effective internal control over financial reporting as of March 31, 2021[306](index=306&type=chunk) - The independent registered public accounting firm also audited and expressed an unqualified opinion on the effectiveness of the company's internal control over financial reporting[307](index=307&type=chunk) [Other Information](index=49&type=section&id=Item%209B.%20Other%20Information) The company reports no other information for this item - None[310](index=310&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=50&type=section&id=Item%2010.%20Directors,%20Executive%20Officers%20and%20Corporate%20Governance) Information on directors, executive officers, and corporate governance, including the company's Code of Conduct, is incorporated by reference from the definitive 2021 Proxy Statement - Information required by this item is incorporated by reference from the company's **2021 Proxy Statement**[313](index=313&type=chunk)[314](index=314&type=chunk) - The company's Code of Conduct is available on its website at **www.eplus.com/investors/corporate-governance-legal/code-of-conduct**[316](index=316&type=chunk) [Executive Compensation](index=50&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive and director compensation is incorporated by reference from the company's definitive 2021 Proxy Statement - Information required by this item is incorporated by reference from the company's **2021 Proxy Statement**[317](index=317&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=50&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information regarding security ownership and equity compensation plans is incorporated by reference from the company's definitive 2021 Proxy Statement - Information required by this item is incorporated by reference from the company's **2021 Proxy Statement**[318](index=318&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=50&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions,%20and%20Director%20Independence) Information regarding related person transactions and director independence is incorporated by reference from the company's definitive 2021 Proxy Statement - Information required by this item is incorporated by reference from the company's **2021 Proxy Statement**[319](index=319&type=chunk) [Principal Accounting Fees and Services](index=50&type=section&id=Item%2014.%20Principal%20Accounting%20Fees%20and%20Services) Information regarding principal accounting fees and services is incorporated by reference from the company's definitive 2021 Proxy Statement - Information required by this item is incorporated by reference from the company's **2021 Proxy Statement**[320](index=320&type=chunk) Part IV [Exhibits, Financial Statement Schedules](index=51&type=section&id=Item%2015.%20Exhibits,%20Financial%20Statement%20Schedules) This section lists the financial statements, schedules, and exhibits filed with the Form 10-K, including corporate documents, executive employment agreements, and long-term incentive plans - The consolidated financial statements are filed as part of this report[323](index=323&type=chunk) - Financial Statement Schedule II - Valuation and Qualifying Accounts is included[324](index=324&type=chunk) - The exhibit list includes management contracts and compensatory plans, such as employment agreements for the CEO, CFO, and COO, and details of the **2012 Employee** and **2017 Director Long-Term Incentive Plans**[325](index=325&type=chunk)[326](index=326&type=chunk)[327](index=327&type=chunk) [Form 10-K Summary](index=54&type=section&id=Item%2016.%20Form%2010-K%20Summary) This item is not applicable - None[329](index=329&type=chunk)

| --- | --- | --- | --- | --- | |------------------------------------------------|-------|-------|-------|-------| | | | | | | | ePlus inc. Investor Presentation February 2021 | | | | | | | | | | | Safe Harbor Statement Statements in this presentation that are not historical facts may be deemed to be "forward-looking statements." Actual and anticipated future results may vary materially due to certain risks and uncertainties, including, without limitation, possible adverse effects resulting from national an ...

Financial Data and Key Metrics Changes - Consolidated net sales for Q3 were $427.6 million, a decline of 0.3% year-over-year, primarily due to a tough comparison from the strong performance in the financing segment last year [22] - Consolidated net earnings grew 10.7% to $21.6 million, or $1.62 per diluted share, compared to $19.6 million, or $1.46 per diluted share, in the prior year [30] - Adjusted EBITDA increased 8% to $34.4 million, with non-GAAP diluted earnings per share rising 9.1% to $1.79 [31] Business Line Data and Key Metrics Changes - In the Technology segment, net sales increased 1.2% year-over-year to $415.6 million, with product revenues increasing 0.9% and service revenues increasing 3.3% [23] - The Financing segment revenue decreased 34.5% to $12 million, attributed to a tough comparison from the prior year which had several large transactions [24] - Service margin increased 230 basis points to 38.7% due to higher demand for managed services [28] Market Data and Key Metrics Changes - Telecom, Media and Entertainment and Technology were the two largest customer end markets, accounting for 23% and 18% of net sales, respectively [26] - The company noted that COVID-19 continues to impact the customer base, particularly in the lower mid-market customer category and the SLED and healthcare verticals [25] Company Strategy and Development Direction - The company is focusing on high-growth markets such as cloud, security, and collaboration, and is expanding its service offerings through selective acquisitions [13][38] - The acquisition of Systems Management Planning is expected to add between $85 million and $100 million in annual adjusted gross billings, enhancing the company's geographic footprint and service capabilities [35] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding future performance, acknowledging the uncertainty surrounding COVID-19 and its impact on business trends [46][48] - The company plans to continue investing in customer-facing positions to align with market demands and growth opportunities [49][50] Other Important Information - Consolidated operating expenses decreased 11% to $68.9 million due to prudent cost management and COVID-19 restrictions [29] - Inventory levels increased 61.7% to $81.3 million, reflecting ongoing projects [34] Q&A Session Summary Question: Will the acquired billings have a similar gross to net adjustment and be accretive in fiscal year 2022? - Management confirmed that the acquired billings will have a similar gross to net adjustment and will be accretive in fiscal year 2022 [45] Question: Is the company maintaining a similar level of cautiousness as before? - Management indicated that the same level of cautiousness remains due to ongoing uncertainties in the market [46][48] Question: What are the trends in operating expenses and how do they view them near-term versus long-term? - Management noted that operating expenses have decreased due to headcount realignment and expect to continue investing in customer-facing roles as the market normalizes [52][54] Question: What visibility does the company have into project cadence and revenue impact? - Management expressed good visibility in the enterprise space, with longer sales cycles for smaller customers due to COVID-19 [58] Question: What trends are being observed from a product perspective? - Management highlighted that security services and cloud-related offerings are in high demand, while commodity-related sales have been fulfilled [61][65]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C.20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended December 31, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from____ to ____ . Commission file number: 1-34167 ePlus inc. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or organi ...

| --- | --- | --- | --- | |------------------------------------------------|-------|-------|-------| | | | | | | ePlus inc. Investor Presentation November 2020 | | | | | | | | | Safe Harbor Statement Statements in this presentation that are not historical facts may be deemed to be "forward-looking statements." Actual and anticipated future results may vary materially due to certain risks and uncertainties, including, without limitation, possible adverse effects resulting from national and international poli ...

ePlus, Inc. (NASDAQ:PLUS) Q2 2021 Earnings Conference Call November 4, 2020 4:30 PM ET Company Participants Kleyton Parkhurst - SVP, Corporate Development & Assistant Secretary Mark Marron - CEO, President & Director Elaine Marion - CFO Conference Call Participants Maggie Nolan - William Blair & Company Matthew Sheerin - Stifel, Nicolaus & Company Brett Knoblauch - Berenberg Operator Good day, ladies and gentlemen. Welcome to the ePlus earnings results conference call. As a reminder, this conference is bein ...

ePlus inc (NASDAQ:PLUS) Q1 2021 Earnings Conference Call August 5, 2020 4:30 PM ET Company Participants Kley Parkhurst – Senior Vice President Mark Marron – Chief Executive Officer and President Elaine Marion – Chief Financial Officer Conference Call Participants Ted Starck-King – William Blair Greg Burns – Sidoti & Company Kurt Swartz – Stifel Operator Good day, ladies and gentlemen. Welcome to the ePlus earnings results conference call. As a reminder, this conference call is being recorded. I would like t ...