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Forrester Investor Summary Q3 2025
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2© Forrester Research, Inc. All rights reserved. Forward-Looking Statements & Non-GAAP Measures This presentation may contain projections or other forward-looking statements regarding future events or the future financial performance of the Company. These projections or statements are only predictions. Actual events or results may differ materially from those in the projections or other forward-looking statements. Please see the Company’s Annual Report to shareholders and its filings with the SEC, including its recent filings on Forms 10-K and 10-Q, for a discussion of important risk factors that could cause actual events or results to differ materially from those in the projections or forward-looking statements. Forrester believes that adjusted financial results provide investors with consistent and comparable information to aid in the understanding of Forrester's ongoing business and are also used by Forrester in making compensation decisions. Our adjusted presentation excludes amortization of acquisition-related intangible assets, stock-based compensation, restructuring costs, a goodwill impairment charge, a loss from the sale of a divested operation and a subsequent credit loss on a promissory note from the sale, and net gains or losses from investments, as well as their related tax effects. We also utilized an assumed tax rate of 29% in 2025 and 2024, which excludes items such as the effect of any adjustments related to the filing of prior year tax returns. The adjusted data does not purport to be prepared in accordance with Generally Accepted Accounting Principles in the United States.
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3© Forrester Research, Inc. All rights reserved. Forrester At A Glance Forrester is one of the most influential research and advisory firms in the world. Business and technology leaders rely on Forrester to accelerate growth through customer obsession. Global reach with offices & operations across Asia Pacific, Europe, and North America Number of employees ~1,500 Fortune 100 Clients 61% 2024 Financial Overview • ~73% of Total Revenue in Research • ~27% of Total Revenue in Consulting and Events • ~80% of Contract Value in Forrester Decisions • Adjusted EBITDA of $46.1 million Note: *Figures as of 9/30/25. * *
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4© Forrester Research, Inc. All rights reserved. Why Invest in Forrester? 1. Massive market opportunity 2. Attractive recurring revenue business model 3. Focus on contract value growth 4. Differentiated research platform and unique continuous guidance engagement model 5. Market leader for AI innovation 6. Leadership team well-positioned to scale business
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5© Forrester Research, Inc. All rights reserved. Total Available Research Market Massive untapped research market opportunity Note: Forrester estimates. $78 MARKET OPPORTUNITY BILLION $115 MARKET OPPORTUNITY BILLION
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6© Forrester Research, Inc. All rights reserved. Research, Consulting & Events: A System To Drive Contract Value Consulting: Forrester Consulting helps clients implement modern strategies that align and empower teams to deliver on a shared vision for growth. Our Consulting business includes consulting projects and advisory services.Research Multi-year, annual recurring revenue product portfolio that contributes directly to contract value (CV) growth. 2024 revenue: $316.7 million Consulting 2024 revenue: $97.3 million Events 2024 revenue: $18.5 million Events: Aligned with Forrester's research product portfolio and go-to-market offerings, Forrester Events brings its research to life. Forrester hosts approximately 10 events each year, in North America, EMEA and APAC.
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7© Forrester Research, Inc. All rights reserved. Growing Contract Value Current CV Renewed CV Enrichment New Business Product Innovation Pricing Net Contract Value Increase Future CV Acquisitions provide an opportunity for accelerated growth
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8© Forrester Research, Inc. All rights reserved. The Forrester Contract Value Growth Engine Invest in: 1. Sales & Marketing 2. Products & Platform 3. Acquisitions Generate Cash Grow CV
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9© Forrester Research, Inc. All rights reserved. Forrester’s Transformation To Contract Value Growth 2019 2020 2021 2022 2023 Acquired SiriusDecisions Began development of the Forrester Decisions platform Refocused the business on CV Aligned the revenue engine Invested in Product Management and Digital Delivery Established Customer Experience function Launched Forrester Decisions research portfolio Transitioned approximately 1/3 of CV portfolio to Forrester Decisions Delivered 2/3rd of CV portfolio on Forrester Decisions by year-end New sales leadership in place to drive CV growth Launched AI tool, Izola Built Product Foundation Product Transformation Executing on Transformation 2024 Completed migration to Forrester Decisions Expanded access to Izola amidst ongoing GTM improvements 2025 Continue enhancements to Forrester Decisions Launched Forrester AI Access
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10© Forrester Research, Inc. All rights reserved. Forrester Decisions Business and technology leaders rely on Forrester Decisions to tackle their initiatives and deliver business outcomes. Forrester Decisions sold to enterprise buyers and Forrester Market Insights sold to technology vendors, via a portfolio of services that support different functions across the business Value delivered through unique continuous guidance model tuned to each clients’ context Creates bedrock of client knowledge and continuity from project to project Seamless connection to further engagement through consulting Differentiated AI tool - Izola
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11© Forrester Research, Inc. All rights reserved. Forrester Decisions: What’s Inside? What’s Inside Insights Shape strategy, guide transformational change, and stay ahead of the curve with leading research, critical data and assets. • Vision Reports • Consumer and Business Buyer Data • Market Forecasts • Industry Highlights • Predictions • Budget Planning Guides • Emerging TechnologyTrends • Tech & Provider Landscapes • Forrester Wave Evaluations Tools Drive your strategic initiatives with proven approaches, curated tools, and plug-and-play templates. • Initiatives Dashboard • Strategic Models and Frameworks • Execution Tools and Templates • Solution Blueprints • Peer Benchmarks • Assessments • Interactive Data Tools • Certification Courses • Izola — Forrester’s AI Tool Guidance Validate next steps and accelerate your success with expert advice and hands-on support tailored to your team. • Guidance Sessions • Peer Discussions • Event Tickets • Client Webinars • Weekly Forrester Take Email • Dedicated Support Team
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12© Forrester Research, Inc. All rights reserved. Forrester Market Insights: What’s Inside?
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13© Forrester Research, Inc. All rights reserved. We Serve Executives And Teams Across The Enterprise Chief Information Officers Chief Technology Officers Chief Digital Officers Chief AI Officers Chief Analytics Officers Chief Data Officers Enterprise Architecture Leaders Infrastructure & Operations Leaders Application Development & Delivery Leaders Security & Risk Leaders B2B Marketing Executives B2C Marketing Executives Marketing Operations Leaders Revenue Operations Leaders Demand Leaders Portfolio Marketing Leaders Partner Ecosystem Marketing Leaders Analyst Relations Leaders Chief Customer Officers Chief Experience Officers Chief Client Officers Customer Experience Leaders Experience Design Leaders Customer Intelligence Leaders B2B Sales Executives Revenue Enablement Leaders Sales Operations Leaders Revenue Operations Leaders Channel Sales Leaders Product Management Leaders Technical Product Management Leaders Internal Product Management Leaders Product Owners Product Operations Leaders Digital Leaders Digital Strategy Leaders Digital Business Leaders Digital Experience & Design Leaders Digital Delivery Leaders E-Commerce Leaders
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14© Forrester Research, Inc. All rights reserved. Forrester Decisions: How it Works Events Get inspired, align your team, and connect with analysts at events. Peer Discussions Hear from others, share wins and lessons learned. Certification Courses Help teams sharpen their skill set to move faster with confidence. Izola Get oriented fast on best practices and tools for action. Assessments and Benchmarks Self-assess to identify key areas for growth and request data benchmarks to measure it. Guidance Sessions Meet with an expert to discuss your initiatives. Clients tackle their initiatives and deliver outcomes with Forrester Decisions.
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15© Forrester Research, Inc. All rights reserved. Differentiating Forrester From Mainstream AI Tools Forrester is a leading global research and advisory firm. Clients gain exclusive access to our trusted, proprietary research, data, and frameworks — plus direct engagement with the experts who create them. Forrester is different from mainstream AI tools in five important ways: Trusted Forrester’s expertise comes from in-house analysts who leverage interviews, client advisory, vendor briefings, and annual surveys of over 500,000 respondents. Proprietary Forrester insights and advice is based on exclusive research, data, and frameworks that you can’t find anywhere else. Strategic Senior leaders and their teams apply our trusted research, data, and frameworks to reduce the risk, cost, and time on their most critical initiatives. Actionable Senior leaders and teams feel confident to act because they trust Forrester’s experts and the proprietary research, data, and frameworks they produce. Human Engage with Forrester experts and peers to gain more tailored advice not in the research.
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16© Forrester Research, Inc. All rights reserved. Forrester AI Access A new self-service offering that uses our generative AI capabilities to equip clients with trusted insights and advice, enabling them to validate ideas, align on best practices, and make smarter decisions faster.
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17© Forrester Research, Inc. All rights reserved. Forrester AI Access Get trusted advice fast.
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18© Forrester Research, Inc. All rights reserved. Forrester AI Access Get synthesized insights and advice from across Forrester's reports and data. Take action fast • Ask for advice about your top initiatives • Get instant insights and advice from research • See sources to learn more • Copy answers for internal presentations • Rate the value of responses
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19© Forrester Research, Inc. All rights reserved. Forrester AI Access AI Access gives clients the flexibility to meet the needs of their organization. Expand access down into the organization Chief VP Manager VIP Leader Leader Team Team Team AI AI Leader Leader Team Team Team Team AI AI AI VIP Leader Team Team Team Team Team Team AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI AI Enable up to executives and early career professionals Create cross- functional alignment
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20© Forrester Research, Inc. All rights reserved. Forrester Delivers Results For Our Clients 12% increase in digitally active banking clients over two years — A consumer bank undergoing digital transformation to differentiate the business and accelerate growth • Business services • High-tech • Financial services • Consumer • Government • Manufacturing • Healthcare • Communication • Utilities Top customer industries Revenue was 140% over target projections. — An insurance company that relied on Forrester to drive its customer-focused digital transformation effort 45% increase in community membership — A software company aligned at key points in the customer journey to activate advocacy and long-term retention $1.5 billion in total opportunity value — A printing and imaging company looking to increase product launch effectiveness and enhance corporate communications Saved $100,000 and eliminated 1M+ outdated records — An expense management company, looking to improve data quality and data policies
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21© Forrester Research, Inc. All rights reserved. The Value and ROI of Investing in Forrester Decisions ROI 259% BENEFITS PV $2.54M NPV $1.83M INITIATIVE SUCCESS 26% more likely Three-Year Benefits For The Composite Organization Improved success rate of transformational initiatives $1.1M Optimized market expansion $884K Faster time to value for transformational initiatives $406K Gained operational efficiency $170K Note: Benefits Present Value (Benefits PV), Net Present Value (NVP) Forrester conducted a Total Economic Impact (TEI) study to examine the potential return on investment (ROI) organizations may realize by investing in Forrester Decisions. The composite organization invests $710,000 in costs and experiences $2.54 million in benefits over three years, adding up to a net present value (NPV) of $1.83 million and an ROI of 259%
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22© Forrester Research, Inc. All rights reserved. Michael Facemire Chief Technology Officer Leadership Team Well-Positioned To Scale The Business George F. Colony Chairman of the Board, Chief Executive Officer Ryan Darrah Chief Legal Officer Sharyn Leaver Chief Research Officer Chris Finn Chief Financial Officer Nate Swan Chief Sales Officer Deep experience accelerating growth at global SaaS and CV-oriented companies Jobina Gonsalves Chief People Officer Carrie Johnson Chief Product Officer Andrew Cox Chief Marketing Officer
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23© Forrester Research, Inc. All rights reserved. Financial Overview Q3 2025
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24© Forrester Research, Inc. All rights reserved. Q3 2025 Financial Summary Consolidated Revenue $94.3M -8% vs. PY Research Revenue $72.7M -6% vs. PY Consulting Revenue $21.5M -8% vs. PY Event Revenue $0.2M -92% vs. PY Adj. Operating Margin 10.5% +253 bps vs. PY Adj. EPS $0.37 +28% vs. PY Adj. EBITDA Margin 12.2% +225 bps vs. PY Free Cash Flow +$0.5M
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25© Forrester Research, Inc. All rights reserved. Full Year 2024 Financial Summary Consolidated Revenue $432.5M -10% vs. PY Research Revenue $316.7M -5% vs. PY Consulting Revenue $97.3M -18% vs. PY Event Revenue $18.5M -34% vs. PY Adj. Operating Margin 8.9% -197 bps vs. PY Adj. EPS $1.47 -23% vs. PY Adj. EBITDA Margin 10.7% -198 bps vs. PY Free Cash Flow -$7.3M
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26© Forrester Research, Inc. All rights reserved. Research Revenue Trends $80.6 $85.2 $76.6 $83.7 $77.1 $79.4 $68.4 $77.9 $72.7 $0 $10 $20 $30 $40 $50 $60 $70 $80 $90 $100 Q3 '23 Q4 '23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Revenue by Quarter (millions)
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27© Forrester Research, Inc. All rights reserved. CV & Wallet Retention Trends Note: Figures have been restated for 2025 FX rates and the FeedbackNow divestiture in Q3-24. Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 CV (in $MM) 328.4 323.6 312.8 311.9 309.8 307.6 290.9 288.7 288.1 Wallet Retention 88% 87% 87% 88% 88% 89% 86% 85% 86% 75% 80% 85% 90% 95% 100% 105% $- $50 $100 $150 $200 $250 $300 $350
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28© Forrester Research, Inc. All rights reserved. Client Count & Client Retention Trends Note: For comparative purposes, we have recast client count and retention for the FeedbackNow divestiture in Q3-24. Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Clients 2,338 2,257 2,122 2,052 2,002 1,942 1,822 1,805 1,774 Client Retention 73% 73% 72% 72% 73% 73% 73% 74% 74% 72% 72% 73% 73% 74% 74% 75% 0 500 1,000 1,500 2,000 2,500
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29© Forrester Research, Inc. All rights reserved. Consulting and Event Revenue Trends $28.2 $28.3 $23.1 $24.8 $23.4 $25.9 $21.4 $23.5 $21.5 Q3 '23 Q4 '23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Revenue by Quarter (millions) $4.6 $4.6 $0.4 $13.4 $2.1 $2.7 $0.0 $10.2 $0.2 Q3 '23 Q4 '23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Revenue by Quarter (millions) Events Attendees 4 - 5 - 1,119 - 1,144 - Note: Attendees are defined as paid and member tickets to events. Consulting Events 3 982 4 2,377 1 657 3 2,450 2 232
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30© Forrester Research, Inc. All rights reserved. 2025 Full Year Guidance Revenue: $395M to $405M • Declining 6% to 9% compared to prior year Adjusted Operating Margin: 7.5% to 8.5% • Declining ~40 bps to ~140 bps compared to prior year Adjusted EPS: $1.15 to $1.25 • Declining 15% to 22% compared to prior year
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31© Forrester Research, Inc. All rights reserved. Non-GAAP Reconciliations
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32© Forrester Research, Inc. All rights reserved. Non-GAAP Reconciliation – Income From Operations and EBITDA Note: Amounts might not total due to rounding. (dollars in millions) Q3-24 Q3-25 YTD 24 YTD 25 Income (loss) from operations - GAAP ($0.7) $4.5 $1.3 ($76.2) Amortization of intangible assets 2.4 2.2 7.4 6.7 Restructuring costs (credits) 0.9 (0.1) 7.6 1.9 Goodwill impairment -- -- -- 83.9 Loss from sale of divested operation and transaction costs 2.0 -- 2.0 -- Stock-based compensation included in the following expense categories: Cost of services and fulfillment 2.1 2.2 6.8 6.4 Selling and marketing 0.5 0.4 1.7 0.9 General and administrative 0.9 0.7 2.7 2.5 Adjusted income from operations $8.2 $9.9 $29.6 $26.1 Depreciation 2.0 1.5 6.1 4.7 Adjusted EBITDA $10.2 $11.5 $35.6 $30.8
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33© Forrester Research, Inc. All rights reserved. Non-GAAP Reconciliation – Income From Operations and EBITDA Note: Amounts might not total due to rounding. (dollars in millions) FY 24 Income from operations - GAAP $0.7 Amortization of intangible assets 9.6 Restructuring costs 11.8 Divestment loss 2.0 Stock-based compensation included in the following expense categories: Cost of services and fulfillment 8.7 Selling and marketing 2.2 General and administrative 3.5 Adjusted income from operations $38.5 Depreciation 7.6 Adjusted EBITDA $46.1
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34© Forrester Research, Inc. All rights reserved. Non-GAAP Reconciliation – Net Income and EPS Note: Amounts might not total due to rounding. (dollars in millions, except per share) Q3-24 Q3-25 YTD 24 YTD 25 Amount Per Share Amount Per Share Amount Per Share Amount Per Share Net loss - GAAP ($5.8) ($0.30) ($2.1) ($0.11) ($6.2) ($0.32) ($85.5) ($4.49) Effect on GAAP net loss of diluted shares -- -- -- -- -- -- -- 0.02 Amortization of intangible assets 2.4 0.13 2.2 0.12 7.4 0.39 6.7 0.35 Restructuring costs 0.9 0.05 (0.1) (0.01) 7.6 0.40 1.9 0.10 Goodwill impairment -- -- -- -- -- -- 83.9 4.39 Loss from sale of divested operation and transaction costs 2.0 0.10 -- -- 2.0 0.10 -- -- Stock-based compensation 3.6 0.19 3.4 0.17 11.2 0.58 9.8 0.51 Credit loss expense -- -- 6.4 0.33 -- -- 7.3 0.38 Loss on investments -- -- -- -- -- -- 0.1 0.01 Tax effects of items above 2.2 0.11 (2.4) (0.12) (1.7) (0.09) (4.9) (0.25) Adjustment to tax expense for adjusted tax rate 0.3 0.01 (0.1) (0.01) 0.9 0.05 (0.3) (0.02) Adjusted net income $5.6 $0.29 $7.2 $0.37 $21.3 $1.11 $19.0 $1.00 Diluted weighted average shares outstanding 19.1 19.3 19.2 19.1
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35© Forrester Research, Inc. All rights reserved. Non-GAAP Reconciliation – Net Income and EPS Note: Amounts might not total due to rounding. (dollars in millions, except per share) FY 24 Amount Per Share Net loss - GAAP ($5.7) ($0.30) Amortization of intangible assets 9.6 0.50 Restructuring costs 11.8 0.62 Divestment loss 2.0 0.10 Stock-based compensation 14.3 0.75 Gains on investments (0.8) (0.04) Tax effects of items above (3.9) (0.20) Adjustment to tax expense for adjusted tax rate 0.8 0.04 Adjusted net income $28.1 $1.47 Diluted weighted average shares outstanding 19.1
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36© Forrester Research, Inc. All rights reserved. Non-GAAP Cash Flow Reconciliation Note: Amounts might not total due to rounding. (dollars in millions) FY 21 FY 22 FY 23 FY 24 Net cash provided by (used in) operating activities $107.1 $39.4 $21.7 ($3.9) Less: purchases of property and equipment (10.7) (5.7) (5.5) (3.4) Free cash flow $96.3 $33.8 $16.2 ($7.3) (dollars in millions) YTD Q3-22 YTD Q3-23 YTD Q3-24 YTD Q3-25 Net cash provided by (used in) operating activities $37.8 $9.8 ($2.0) $24.3 Less: purchases of property and equipment (4.2) (3.9) (2.7) (1.9) Free cash flow $33.6 $5.9 ($4.8) $22.4
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37© Forrester Research, Inc. All rights reserved. Non-GAAP Margin and EPS Full Year 2025 Guidance Reconciliation Note: Amounts might not total due to rounding. Low End of Range High End of Range GAAP operating margin -19.3% -18.3% Amortization of intangible assets 2.2% 2.2% Restructuring costs 0.5% 0.5% Goodwill impairment 21.0% 21.0% Stock-based compensation 3.1% 3.1% Adjusted operating margin 7.5% 8.5% Low End of Range High End of Range Per Share Per Share GAAP - loss per share ($4.50) ($4.40) Amortization of intangible assets 0.45 0.45 Restructuring costs 0.10 0.10 Goodwill impairment 4.37 4.37 Stock-based compensation 0.65 0.65 Loss on investments, net 0.01 0.01 Credit loss expense 0.38 0.38 Tax effects of items above (0.31) (0.31) Adjusted - earnings per share $ 1.15 $ 1.25
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38© Forrester Research, Inc. All rights reserved. Metric Definitions
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39© Forrester Research, Inc. All rights reserved. Contract Value (CV) represents the value attributable to all of our recurring research- related contracts. It is calculated as the annualized value of all contracts in effect at a specific point in time, without regard to how much revenue has already been recognized. Contract value primarily consists of subscription-based products for which revenue is recognized on a ratable basis, except for the entitlements embedded in our subscription products, such as event tickets and advisory sessions, for which the revenue is recognized when the item is utilized. Contract value also includes our reprint products, as these products are used throughout the year by our clients and are typically renewed. Wallet Retention represents a measure of the CV that we have retained with clients over a twelve- month period, including increases or decreases in retained client CV during the period. Wallet retention is calculated on a percentage basis by dividing the annualized contract value of our current clients, who were also clients a year ago, by the total annualized contract value from a year ago. Metric Definitions
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40© Forrester Research, Inc. All rights reserved. Client Retention represents the percentage of client companies (defined as all clients that buy a CV product) at the prior year measurement date that have active contracts at the current year measurement date. Client Count is the total of enterprise clients with an active CV contract. Free Cash Flow is calculated as cash flow generated from operating activities less cash paid for property and equipment. Metric Definitions
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