Company: EVCM
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001853145-25-000017
Chunk: 7

Company: EverCommerce Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 2
Chunk 7
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ed Gross Profit.

 Three months ended March 31,Change 20252024$ (in thousands)Revenue$142,273 $137,852 $4,421 Cost of revenues (exclusive of depreciation and amortization)31,188 31,501 (313)Amortization of developed technology2,122 2,859 (737)Amortization of capitalized software2,396 2,401 (5)Depreciation expense allocated to cost of revenues134 207 (73)Gross profit from continuing operations106,433 100,884 5,549 Depreciation and amortization 4,652 5,467 (815)Adjusted gross profit from continuing operations$111,085 $106,351 $4,734 

Adjusted EBITDA

Adjusted EBITDA is calculated as net loss adjusted to exclude interest and other expense, net, income tax expense (benefit), depreciation and amortization, other amortization, stock-based compensation, and transaction-related and other non-recurring or unusual costs. Other amortization includes amortization for capitalized contract acquisition costs. Transaction-related costs are specific deal-related costs such as legal fees, financial and tax due diligence, consulting and escrow fees. Other non-recurring or unusual costs are expenses such as impairment charges, (gains) losses from divestitures, system implementation costs, executive separation costs, severance expense related to planned restructuring activities, and costs associated with integration and transformation improvements. Transaction-related and other non-recurring or unusual costs are excluded as they are not representative of our underlying operating performance. Adjusted EBITDA should be viewed as a measure of operating performance that is a supplement to, and not a substitute for, operating income or loss, net earnings or loss and other U.S. GAAP measures of income (loss). 

The following table presents a reconciliation of net loss from continuing operations, the most directly comparable financial measure calculated in accordance with U.S. GAAP, to Adjusted EBITDA from continuing operations.

23

 Three months ended March 31,Change 20252024$ (in thousands)Net income (loss) from continuing operations$934 $(16,010)$16,944 Adjusted to exclude the following:Interest and other expense, net12,759 5,791 6,968 Income tax expense512 5,923 (5,411)Depreciation and amortization16,768 20,