Company: TENB
Filing Date: 2025-04-03
Form Type: DEF 14A
Source: 0001660280-25-000058
Chunk: 57

Company: Tenable Holdings, Inc.
Filing Date: 2025-04-03
Form: DEF 14A
Chunk 57
---
 in our quarterly and annual financial statements.

• Unlevered Free Cash Flow – to be calculated as free cash flow, defined as GAAP net cash flows from operating activities reduced by purchases of property and equipment, plus cash paid for interest and other financing costs, excluding payments for acquisition-related expenses.

• Bookings - to be calculated as sales of new and renewal subscription licenses, perpetual licenses and related first-year maintenance, and services and training, which are closed in a period. Bookings is based on annual contract value (ACV), whereby we include only the first-year contract value as booked in cases where a multi-year deal is prepaid.

Our Board of Directors believed that, for purposes of the short-term cash incentive bonus plan, these were the most appropriate corporate performance measures to use because, in its view, they would provide meaningful indicators of our successful execution of our annual operating plan and our ability to enhance long-term value creation. In particular, we believe our bookings levels are an effective measure of annual contract value, which management uses to measure the growth of our business.

2024 Cash Bonus Attainment

Our actual performance against the aggregate target level for the various corporate performance measures for each quarter and for the full year, as applicable, as well as the amounts received by each Named Executive Officer, were reviewed by the Compensation Committee in February 2025.

<div align='center'>52</div>

The following table provides information regarding the full year cash bonus payout level achieved by the Named Executive Officers during 2024:

| Performance Metric                 |     | Actual Performance Level 
        (in thousands)(1) |           |     | Percentage of Target |      |   |
|:-----------------------------------|:----|-------------------------:|----------:|:----|:---------------------|-----:|:--|
| Revenue + Unlevered Free Cash Flow |     |                        $ | 1,139,272 |     |                      | 98.6 | % |
| Bookings                           |     |                       -2 |           |     |                      | 97.4 | % |

_____________

(1) The actual performance level for each performance metric includes the impact of Eureka from June 6, 2024 (date of acquisition) through the end of the year.

(2) We have chosen not to disclose the performance level for our bookings performance measure as such information is proprietary in nature, the disclosure of which could result in competitive harm to the Company. For 2024, the Board of Directors considered the target performance achievement levels