<PAGE>
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                                 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: MARCH 31, 2001

                       COMMISSION FILE NUMBER: 000-30027

                            ------------------------

                              MOLDFLOW CORPORATION

             (Exact name of registrant as specified in its charter)

<TABLE>
<S>                                            <C>
               DELAWARE                                      04-3406763
     (State or other jurisdiction                         (I.R.S. Employer
   of incorporation or organization)                    Identification No.)
</TABLE>

                    430 BOSTON POST ROAD, WAYLAND, MA 01778
          (Address of principal executive offices, including zip code)

                                 (508) 358-5848
              (Registrant's telephone number, including area code)

                            ------------------------

    Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes /X/  No / /

    There were 10,089,123 shares of our common stock, par value $0.01,
outstanding on May 9, 2001.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
<PAGE>
                              MOLDFLOW CORPORATION
                                   FORM 10-Q
                      FOR THE QUARTER ENDED MARCH 31, 2001
                               TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                              PAGE NUMBER
                                                                              -----------
<S>             <C>                                                           <C>
Part I. FINANCIAL INFORMATION

Item 1.         Financial Statements

                Condensed Consolidated Balance Sheet as of March 31, 2001
                  and June 30,
                  2000......................................................       3

                Condensed Consolidated Statement of Income for the three
                  months ended March 31, 2001 and April 1, 2000 and for the
                  nine months ended March 31, 2001 and April 1, 2000........       4

                Condensed Consolidated Statement of Cash Flows for the nine
                  months ended March 31, 2001 and April 1, 2000.............       5

                Notes to Condensed Consolidated Financial Statements........       6

Item 2.         Management's Discussion and Analysis of Financial Condition
                  and Results of Operations.................................      13

Item 3.         Quantitative and Qualitative Disclosures About Market
                  Risk......................................................      24

Part II. OTHER INFORMATION

Item 1.         Legal Proceedings...........................................      25

Item 2.         Changes in Securities and Use of Proceeds...................      25

Item 6.         Exhibits and Reports on Form 8-K............................      25

Signatures      ............................................................      26
</TABLE>

                                       2
<PAGE>
                         PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

                              MOLDFLOW CORPORATION

                      CONDENSED CONSOLIDATED BALANCE SHEET

                                 (IN THOUSANDS)

                                  (UNAUDITED)

<TABLE>
<CAPTION>
                                                              MARCH 31,   JUNE 30,
                                                                2001        2000
                                                              ---------   --------
<S>                                                           <C>         <C>
ASSETS
Current assets:
  Cash and cash equivalents.................................   $22,974    $27,259
  Marketable securities.....................................    20,889      8,452
  Accounts receivable, net..................................     9,125      5,972
  Prepaid expenses and other current assets.................     4,098      1,946
                                                               -------    -------

    Total current assets....................................    57,086     43,629
Fixed assets, net...........................................     3,869      4,864
Goodwill and other intangible assets, net...................    11,364      8,622
Other assets................................................       345        208
                                                               -------    -------

    Total assets............................................   $72,664    $57,323
                                                               =======    =======

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
  Current debt obligations..................................   $    --    $    68
  Accounts payable..........................................     1,976      1,203
  Accrued expenses..........................................     6,881      6,264
  Deferred revenue..........................................     6,610      5,103
                                                               -------    -------

    Total current liabilities...............................    15,467     12,638
Long-term debt, net of current portion......................        --        852
Other long-term liabilities.................................       105         55
                                                               -------    -------

    Total liabilities.......................................    15,572     13,545
                                                               -------    -------

Stockholders' equity:
  Common stock..............................................       101         93
  Additional paid-in capital................................    62,332     49,482
  Deferred stock compensation...............................       (33)       (47)
  Notes receivable from stockholders........................       (36)      (210)
  Accumulated deficit.......................................    (4,886)    (8,260)
  Accumulated other comprehensive (loss) income.............      (386)     2,720
                                                               -------    -------

    Total stockholders' equity..............................    57,092     43,778
                                                               -------    -------

    Total liabilities and stockholders' equity..............   $72,664    $57,323
                                                               =======    =======
</TABLE>

   The accompanying notes are an integral part of the condensed consolidated
                             financial statements.

                                       3
<PAGE>
                              MOLDFLOW CORPORATION

                   CONDENSED CONSOLIDATED STATEMENT OF INCOME

                     (IN THOUSANDS, EXCEPT PER SHARE DATA)

                                  (UNAUDITED)

<TABLE>
<CAPTION>
                                                           THREE MONTHS ENDED     NINE MONTHS ENDED
                                                          --------------------   --------------------
                                                          MARCH 31,   APRIL 1,   MARCH 31,   APRIL 1,
                                                            2001        2000       2001        2000
                                                          ---------   --------   ---------   --------
<S>                                                       <C>         <C>        <C>         <C>
Revenue:
  Software licenses.....................................   $7,220      $4,594     $19,170    $11,245
  Services..............................................    3,874       2,489      11,166      7,342
                                                           ------      ------     -------    -------

    Total revenue.......................................   11,094       7,083      30,336     18,587
                                                           ------      ------     -------    -------

Costs and expenses:
  Cost of software licenses revenue.....................      418         163       1,179        485
  Cost of services revenue..............................      343         233       1,082        724
  Research and development..............................    1,586         939       4,765      2,648
  Selling and marketing.................................    5,245       3,363      14,186      9,174
  General and administrative............................    1,604       1,244       4,679      3,521
  Litigation............................................       --         255          --        785
  Amortization of goodwill and other intangible
    assets..............................................      380          --       1,139         --
                                                           ------      ------     -------    -------

    Total operating expenses............................    9,576       6,197      27,030     17,337
                                                           ------      ------     -------    -------

Income from operations..................................    1,518         886       3,306      1,250

Interest income (expense), net..........................      629         (16)      1,589        (54)
Other income, net.......................................       78       1,703         140      1,638
                                                           ------      ------     -------    -------

    Income before income taxes..........................    2,225       2,573       5,035      2,834

Provision for income taxes..............................      674         423       1,661        251
                                                           ------      ------     -------    -------

    Net income..........................................   $1,551      $2,150     $ 3,374    $ 2,583
                                                           ======      ======     =======    =======

Net income per common share:
    Basic...............................................   $ 0.16      $ 2.69     $  0.35    $  5.06
    Diluted.............................................   $ 0.15      $ 0.33     $  0.34    $  0.40
Shares used in computing net income per common share:
    Basic...............................................   10,012         800       9,523        510
    Diluted.............................................   10,495       6,532      10,033      6,383
</TABLE>

   The accompanying notes are an integral part of the condensed consolidated
                             financial statements.

                                       4
<PAGE>
                              MOLDFLOW CORPORATION

                 CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

                                 (IN THOUSANDS)

                                  (UNAUDITED)

<TABLE>
<CAPTION>
                                                               NINE MONTHS ENDED
                                                              --------------------
                                                              MARCH 31,   APRIL 1,
                                                                2001        2000
                                                              ---------   --------
<S>                                                           <C>         <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  Net income................................................  $  3,374    $ 2,583
  Adjustments to reconcile to net cash provided by operating
    activities:
    Gain on sale of long term investment....................        --     (1,744)
    Loss on disposal of fixed assets........................         7         40
    Depreciation and amortization...........................     1,956        567
    Provisions for doubtful accounts........................        36         13
    Foreign exchange (gains) losses.........................      (190)        42
    Changes in assets and liabilities, net of effects of
      acquisition:
      Accounts receivable...................................    (3,526)    (1,452)
      Prepaid expenses and other current assets.............    (1,618)      (567)
      Other assets..........................................       (38)      (241)
      Accounts payable......................................       715        411
      Accrued expenses......................................     1,805      1,769
      Deferred revenue......................................     1,763        607
                                                              --------    -------
    Net cash provided by operating activities...............     4,284      2,028
                                                              --------    -------
CASH FLOWS FROM INVESTING ACTIVITIES:
  Purchases of fixed assets.................................    (1,858)      (519)
  Proceeds from sale of long term investment................        --      1,779
  Purchases of marketable securities........................   (15,528)        --
  Additional C-Mold acquisition costs.......................      (278)        --
  Acquisition of Branden Technologies, net of cash
    acquired................................................    (3,665)        --
  Proceeds from fixed asset disposals.......................     1,543          4
                                                              --------    -------
    Net cash (used in) provided by investing activities.....   (19,786)     1,264
                                                              --------    -------
CASH FLOWS FROM FINANCING ACTIVITIES:
  Proceeds from repayment of notes receivable from
    stockholders............................................       190         --
  Borrowings on bank notes payable..........................         5      1,450
  Payments on bank notes payable............................      (897)    (1,010)
  Payments on capital lease obligations.....................        (9)      (117)
  Proceeds from issuance of common stock....................    12,853     34,729
                                                              --------    -------
    Net cash provided by financing activities...............    12,142     35,052
                                                              --------    -------
Effect of exchange rate changes on cash and cash
  equivalents...............................................      (925)       156
                                                              --------    -------
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS........    (4,285)    38,500
Cash and cash equivalents, beginning of period..............    27,259      1,240
                                                              --------    -------
Cash and cash equivalents, end of period....................  $ 22,974    $39,740
                                                              ========    =======
</TABLE>

   The accompanying notes are an integral part of the condensed consolidated
                             financial statements.

                                       5
<PAGE>
                              MOLDFLOW CORPORATION

              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

1. BASIS OF PRESENTATION AND NATURE OF BUSINESS

    Moldflow Corporation ("Moldflow" or the "Company") was incorporated in
Delaware, USA in January 1997 as the successor corporation to Moldflow
International Pty. Ltd., an Australian corporation. The Company was formed to
design, develop, manufacture and market computer software applications for the
design, engineering and manufacture of injection molded plastic parts and, as
such, revenues are derived from the plastic design and manufacturing industry.
The Company sells its products primarily to customers in the United States,
Europe, Asia and Australia.

    The accompanying unaudited condensed consolidated financial statements
include the accounts of Moldflow Corporation and its wholly-owned subsidiaries.
The condensed consolidated financial statements have been prepared by the
Company in accordance with the rules and regulations of the Securities and
Exchange Commission ("SEC") regarding interim financial reporting. Accordingly,
they do not include all of the information and footnotes required by generally
accepted accounting principles for complete financial statements and should be
read in conjunction with the audited consolidated financial statements and notes
thereto for the year ended June 30, 2000 included in the Company's Annual Report
on Form 10-K, as amended. The June 30, 2000 condensed consolidated balance sheet
was derived from the Company's audited consolidated financial statements. In the
opinion of management, the accompanying unaudited consolidated financial
statements contain all adjustments, consisting only of those of a normal
recurring nature, necessary for a fair presentation of results for the interim
periods presented. The results of operations for the three month and nine month
periods ended March 31, 2001 are not necessarily indicative of the results to be
expected for any future period or the full fiscal year.

    The Company's fiscal year end is June 30. During the fiscal year, the
Company follows a schedule in which each interim quarterly period ends on the
Saturday of the thirteenth full week of the reporting period.

2. NET INCOME PER COMMON SHARE

    The Company computes net income per common share in accordance with
Statement of Financial Accounting Standards ("SFAS") No. 128, "Earnings Per
Share," and SEC Staff Accounting Bulletin No. 98 ("SAB 98"). Under the
provisions of SFAS 128 and SAB 98, basic earnings per common share is computed
by dividing net income available to common stockholders by the weighted-average
number of common shares outstanding. Diluted earnings per common share is
computed by dividing net income by the weighted-average number of common shares
outstanding and, when dilutive, all potential common equivalent shares
outstanding including convertible preferred stock, restricted stock, options and
warrants. The dilutive effect of options and warrants to purchase common stock
is determined

                                       6
<PAGE>
                              MOLDFLOW CORPORATION

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

2. NET INCOME PER COMMON SHARE (CONTINUED)
under the treasury stock method using the average fair value of common stock for
the period. The following table presents the calculation for both basic and
diluted net income per common share:

<TABLE>
<CAPTION>
                                                          THREE MONTHS ENDED     NINE MONTHS ENDED
                                                         --------------------   --------------------
                                                         MARCH 31,   APRIL 1,   MARCH 31,   APRIL 1,
                                                           2001        2000       2001        2000
                                                         ---------   --------   ---------   --------
                                                            (IN THOUSANDS, EXCEPT PER SHARE DATA)
<S>                                                      <C>         <C>        <C>         <C>
Net income.............................................   $ 1,551    $ 2,150     $ 3,374    $ 2,583
                                                          =======    =======     =======    =======

Weighted average shares used in computing net income
  per common share--basic..............................    10,012        800       9,523        510
                                                          -------    -------     -------    -------
Effect of dilutive securities:
  Restricted stock.....................................        52        145          76        175
  Stock options and warrants...........................       431        343         434        291
  Convertible preferred stock..........................        --      5,244          --      5,407
                                                          -------    -------     -------    -------
  Dilutive potential common shares.....................       483      5,732         510      5,873
                                                          -------    -------     -------    -------
Weighted average shares used in computing net income
  per common share--diluted............................    10,495      6,532      10,033      6,383
                                                          =======    =======     =======    =======

Net income per common share--basic.....................   $  0.16    $  2.69     $  0.35    $  5.06
Net income per common share--diluted...................   $  0.15    $  0.33     $  0.34    $  0.40
</TABLE>

3. DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES

    During the first quarter of fiscal 2001, the Company adopted SFAS No. 133,
"Accounting for Derivative Instruments and Hedging Activities" ("SFAS
No. 133"). SFAS No. 133 requires that all derivative financial instruments are
recorded on the balance sheet at their fair value. Changes in the fair value of
these derivatives are recorded each period in current earnings or other
comprehensive income, depending on whether the instrument is designated as part
of a hedge transaction and, if it is, the type of hedge transaction.

    The Company hedges a portion of its forecasted foreign currency denominated
intercompany sales and a portion of its foreign currency denominated
intercompany research and development payments over a period of up to fifteen
months using currency options and collars. These derivatives have been
designated as cash-flow hedges and, as such, the effective portion of the change
in their fair value is recorded as a component of accumulated other
comprehensive income until the underlying forecasted transaction occurs. Once
the underlying forecasted transaction is realized, the appropriate gain or loss
from the derivative is reclassified from other accumulated comprehensive income
to current earnings as a component of other income and expenses.

    At the inception of the hedge transaction and on a quarterly basis, the
Company assesses whether the derivatives that are used in hedging transactions
are highly effective in offsetting the changes in cash flows of the hedged
items. The Company assesses the hedge effectiveness of its currency options and
collars based on changes in the instruments' intrinsic value, which is the value
of the instrument attributable to the difference between the spot exchange rate
and the option strike exchange rate. Management expects that at the hedge's
inception and through the date of the forecasted sales and

                                       7
<PAGE>
                              MOLDFLOW CORPORATION

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

3. DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGING ACTIVITIES (CONTINUED)
research and development payments, the hedge will be effective since the
critical terms of the option contracts match those of the anticipated
transactions. Changes to the time value of the instrument, which is defined as
the total fair value of the instrument as determined through dealer quotes less
the intrinsic value, is deemed to be an ineffective portion of the hedge and is
recorded to current earnings as a component of other income and expenses. If the
Company determines that a cash flow hedge is no longer probable of occurring or
that the hedged instrument is no longer effective, the Company discontinues
hedge accounting for the affected portion of the forecasted transaction, and any
unrealized gain or loss on the contract is recognized in current earnings as a
component of other income and expenses.

    At March 31, 2001, currency options and collars designated as hedging
instruments with notional amounts of $2,887,000, $11,201,000 and $6,225,000 to
exchange Euros, Yen and Australian dollars for U.S. dollars, respectively, were
outstanding. The fair value of the outstanding options as of March 31, 2001 was
$383,000, which has been included in other current assets. Unrealized gains on
these instruments were $260,000 at March 31, 2001, which the Company expects to
affect earnings over the next fifteen months. During the three months ended
March 31, 2001, a net loss of $3,000 related to these hedges was recorded as a
component of other income and expenses. The charge represented recognition of
the ineffective portion of the Company's outstanding options of $65,000, net of
gains of $62,000 on options that were settled during the period. During the nine
months ended March 31, 2001, a net loss of $123,000 related to these hedges was
recorded as a component of other income and expenses. The charge represented
recognition of the ineffective portion of the Company's outstanding options of
$243,000, net of gains of $120,000 on options that were settled during the
period.

4. ACQUISITIONS OF C-MOLD AND BRANDEN TECHNOLOGIES

    On April 13, 2000, the Company acquired Advanced CAE Technology, Inc., which
had been conducting business as C-Mold, for $11.3 million in cash. The
acquisition was accounted for using the purchase method of accounting, and the
results of C-Mold have been included in the Company's consolidated financial
statements since the date of acquisition. During the nine months ended
March 31, 2001, certain other preacquisition contingencies were resolved that
resulted in a $401,000 increase in the consideration paid for C-Mold, which was
recorded as an increase to goodwill.

    In November 2000, the Company sold its facility in Louisville, Kentucky,
which had been acquired as part of the Company's purchase of C-Mold, for
proceeds of $1.2 million. As such, the realized gain of $123,000 has been
recorded as a reduction to goodwill. In connection with the sale, the Company
retired the outstanding mortgage debt on the property, which was $604,000. In
March 2001, the Company sold a facility in Taiwan that had also been acquired as
part of the acquisition of C-Mold, for proceeds of $417,000. The loss of $39,000
realized on this sale has been recorded as an increase to goodwill. As of
March 31, 2001, the carrying value of goodwill related to the C-Mold acquisition
was $6.1 million, net of accumulated amortization of $974,000.

    On March 28, 2001, the Company acquired all of the outstanding shares of
Branden Technologies, Inc. ("Branden"), located in Wilsonville, Oregon, for a
total of $3.7 million in cash, $1.1 million of which was used to retire all of
Branden's outstanding debt. The acquisition was accounted for using the purchase
method of accounting, and the results of Branden, which were not significant for
the period ended March 31, 2001, have been included in the Company's
consolidated financial statements since the date of acquisition.

                                       8
<PAGE>
                              MOLDFLOW CORPORATION

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

4. ACQUISITIONS OF C-MOLD AND BRANDEN TECHNOLOGIES (CONTINUED)
    The purchase price, net of the retirement of the outstanding debt, has been
allocated to the tangible assets acquired and liabilities assumed at their
estimated fair values as of the date of the acquisition. The Company has not yet
completed its identification and valuation of intangible assets acquired.
Preliminarily, the Company expects such intangible assets to include Branden's
existing software technology and products, non-compete covenants with members of
Branden's senior management, and Branden's workforce in-place, most of whom will
be retained by the Company. After allocation to the identifiable intangible
assets, any remaining intangible value will be attributed to goodwill. At
March 31, 2001, the Company has grouped all of the value attributable to
intangible assets together with goodwill.

    The purchase price, net of the $1.1 million used to retire Branden's
outstanding debt concurrent with the acquisition, was preliminarily allocated as
follows (in thousands):

<TABLE>
<S>                                                           <C>
Current assets..............................................  $   396
Property and equipment......................................        6
Other non-current assets....................................        4
Current liabilities.........................................     (320)
Non-current liabilities.....................................   (1,082)
Goodwill and other intangible assets........................    3,617
                                                              -------
                                                              $ 2,621
                                                              =======
</TABLE>

    The following table summarizes the pro forma results of operations for the
nine months ended March 31, 2001, and April 1, 2000 as if the acquisitions of
C-Mold and Branden had been completed on July 1, 1999. The pro forma results of
operations include the actual operating results for each period, adjusted to
include amortization of goodwill and other intangible assets and changes to net
interest and income tax expenses. Goodwill and other intangible assets arising
from the Company's acquisition of Branden has been amortized assuming an average
useful life of five years, pending the completion of the Company's
identification and valuation of such assets. The pro forma results of operations
give effect to the retirement of Branden's outstanding debt as if it had been
retired on July 1, 1999. The pro forma results of operations also reflect the
issuance of 1,143,721 shares of common stock, at an initial public offering
price of $13.00 per share, to fund the acquisitions as if such shares were
issued on July 1, 1999.

    These pro forma amounts do not purport to be indicative of actual results
had the acquisitions occurred on July 1, 1999 or that may be obtained in the
future.

<TABLE>
<CAPTION>
                                                           NINE MONTHS ENDED
                                                         ----------------------
                                                         MARCH 31,    APRIL 1,
                                                           2001         2000
                                                         ---------   ----------
                                                         (IN THOUSANDS, EXCEPT
                                                            PER SHARE DATA)
<S>                                                      <C>         <C>
Revenue................................................   $31,844     $25,460
Net income.............................................     2,739         559
Net income per common share:
  Basic................................................   $  0.29     $  0.34
  Diluted..............................................   $  0.27     $  0.07
</TABLE>

                                       9
<PAGE>
                              MOLDFLOW CORPORATION

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

5. EXIT COSTS

    In June 2000, the Company recorded a charge of $70,000 related to exit costs
incurred in the relocation of its corporate headquarters to Wayland,
Massachusetts. The amount was recorded as a nonrecurring charge in the Company's
consolidated statement of income for the year ended June 30, 2000, with a
related amount included in accrued expenses as of June 30, 2000. During the nine
months ended March 31, 2001, cash paid against this accrual was $70,000,
eliminating the remaining accrual.

6. COMMON STOCK

    On December 12, 2000, the Company completed a public offering of 2,305,000
shares of common stock, of which 1,730,000 shares were sold by certain selling
shareholders and 575,000 shares were issued by the Company. The proceeds to the
Company, net of underwriting discount and costs of the offering, were
$9.7 million. The Company did not receive any of the proceeds from the sale of
shares by the selling shareholders.

    On December 19, 2000, the underwriters of the public offering exercised
their option to purchase an additional 345,750 shares of common stock, of which
170,000 were issued by the Company. The proceeds to the Company, net of
underwriting discount, were $3.1 million.

7. COMPREHENSIVE INCOME

    Comprehensive income is comprised of net income and other comprehensive
income. Other comprehensive income includes certain changes in equity that are
excluded from net income, such as cumulative foreign currency translation
adjustments. Other comprehensive income for the three month and nine month
periods ended March 31, 2001 includes unrealized gains and losses on the
intrinsic value of the Company's hedging instruments and an unrealized loss on
the Company's marketable securities, resulting primarily from its minority
investment in an Indian software company. It is management's opinion that the
remaining unrealized gain on this investment is subject to a number of risks,
including the risk that the investee company's financial results may result in a
further decrease in its share price, there may not be an active trading market
for the remaining shares, currency fluctuation, foreign exchange controls
imposed by foreign governments, and other potential risks that may cause this
gain to never be fully realized.

                                       10
<PAGE>
                              MOLDFLOW CORPORATION

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

7. COMPREHENSIVE INCOME (CONTINUED)
    The following table presents the calculation of comprehensive income:

<TABLE>
<CAPTION>
                                                          THREE MONTHS ENDED     NINE MONTHS ENDED
                                                         --------------------   --------------------
                                                         MARCH 31,   APRIL 1,   MARCH 31,   APRIL 1,
                                                           2001        2000       2001        2000
                                                         ---------   --------   ---------   --------
                                                                        (IN THOUSANDS)
<S>                                                      <C>         <C>        <C>         <C>
Net income.............................................   $ 1,551    $ 2,150     $ 3,374    $ 2,583
                                                          -------    -------     -------    -------

Other comprehensive income (loss):
  Changes in fair value of marketable securities, net
    of related tax effect..............................      (224)     4,298      (2,002)     4,298
  Changes in value of financial instruments designated
    as hedges..........................................       195         --         260         --
  Foreign currency translation adjustment..............      (987)      (257)     (1,364)      (222)
                                                          -------    -------     -------    -------

  Other comprehensive income (loss)....................    (1,016)     4,041      (3,106)     4,076
                                                          -------    -------     -------    -------
Comprehensive income...................................   $   535    $ 6,191     $   268    $ 6,659
                                                          =======    =======     =======    =======
</TABLE>

8. LINES OF CREDIT

    In January 2001, the Company completed the restructuring of its working
capital credit line with a U.S. bank resulting in an increase in the available
borrowings to $5.0 million. Borrowings under the credit facility bear interest
at the prime rate. The line is subject to an annual fee equal to one quarter of
one percent of the maximum available borrowings. In connection with this
arrangement, the bank relinquished its security interest over all of the
Company's assets except for $5.0 million of cash, which has been deposited with
the bank and which may be invested by the Company in interest bearing
securities. In addition, other elements of credit support, including a standby
letter of credit from an Australian bank and the guarantees of certain
subsidiaries of the Company, were released.

    In connection with the release of the standby letter of credit from the
Australian bank, the Company restructured the available credit line from the
Australian lender, resulting in a decrease of the total available credit from
$1.0 million to $0.4 million and the elimination of certain borrowing costs. The
Australian credit facility continues to be secured by the real estate and other
assets of a subsidiary of the Company. All other material terms remain
unchanged.

    As of March 31, 2001, there were no amounts outstanding under these lines of
credit.

                                       11
<PAGE>
                              MOLDFLOW CORPORATION

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

9. SEGMENT AND GEOGRAPHIC INFORMATION

    The following table presents the Company's revenues and net fixed assets by
geographic segment:

<TABLE>
<CAPTION>
                                                          THREE MONTHS ENDED     NINE MONTHS ENDED
                                                         --------------------   --------------------
                                                         MARCH 31,   APRIL 1,   MARCH 31,   APRIL 1,
                                                           2001        2000       2001        2000
                                                         ---------   --------   ---------   --------
                                                                       (IN THOUSANDS)
<S>                                                      <C>         <C>        <C>         <C>
REVENUE FROM UNAFFILIATED CUSTOMERS:
Asia/Australia
  Software licenses....................................   $ 2,706    $ 1,814     $ 6,727    $ 3,685
  Services.............................................     1,128        704       3,067      2,021
                                                          -------    -------     -------    -------

    Total Asia/Australia...............................     3,834      2,518       9,794      5,706
                                                          -------    -------     -------    -------

USA
  Software licenses....................................     2,204        877       5,666      2,917
  Services.............................................     1,424        880       4,395      2,525
                                                          -------    -------     -------    -------

    Total USA..........................................     3,628      1,757      10,061      5,442
                                                          -------    -------     -------    -------

Europe
  Software licenses....................................     2,311      1,903       6,777      4,643
  Services.............................................     1,321        905       3,704      2,796
                                                          -------    -------     -------    -------

    Total Europe.......................................     3,632      2,808      10,481      7,439
                                                          -------    -------     -------    -------

Consolidated
  Software licenses....................................     7,220      4,594      19,170     11,245
  Services.............................................     3,874      2,489      11,166      7,342
                                                          -------    -------     -------    -------

    Total consolidated.................................   $11,094    $ 7,083     $30,336    $18,587
                                                          =======    =======     =======    =======

FIXED ASSETS, NET (AS OF PERIOD END):
  Asia/Australia.......................................   $ 2,022    $ 2,322
  USA..................................................     1,404        318
  Europe...............................................       443        339
                                                          -------    -------

    Total consolidated.................................   $ 3,869    $ 2,979
                                                          =======    =======
</TABLE>

                                       12
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

FORWARD-LOOKING STATEMENTS

    This Quarterly Report on Form 10-Q contains forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as amended, and
21E of the Securities Exchange Act of 1934, as amended. You can identify these
statements by forward-looking words such as "may," "will," "expect,"
"anticipate," "believe," "estimate," and "continue" or similar words. You should
read statements that contain these words carefully because they discuss our
future expectations, contain projections of our future results of operations or
of our financial condition, or state other "forward-looking" information. We
believe that it is important to communicate our future expectations to our
investors. However, there may be events in the future that we are not able to
accurately predict or control and that may cause our actual results to differ
materially from the expectations we describe in our forward-looking statements.
Investors are cautioned that all forward-looking statements involve risks and
uncertainties, and actual results may differ materially from those discussed as
a result of various factors, including those factors described in "Important
Factors That May Affect Future Results" beginning on page 19. Readers should not
place undue reliance on our forward-looking statements.

BUSINESS OVERVIEW

    Our primary business is the development, sale and support of software
applications for the design and manufacture of plastic injection molded parts.
Our products allow a product designer or engineer to simulate the manufacture of
a plastic part to determine and maintain the optimal part design and
manufacturing conditions throughout the manufacturing process.

    We develop software products internally and through cooperative research
relationships with a number of public and private educational and research
organizations around the world. Prior to June 1997, our products consisted
solely of our Moldflow Plastics Insight (MPI) series for in-depth mold design.
Since then, we have introduced two additional product lines. Our Moldflow
Plastics Adviser (MPA) series for part design and high-level mold design was
introduced in fiscal 1997 and our Moldflow Plastics Xpert (MPX) series for
production set-up and production monitoring was introduced in fiscal 1999. We
have also introduced additional modules of our MPI product series since
June 1997. In fiscal 2000 we introduced plasticszone.com, a business and
productivity website for professionals working with injection molded plastics.
The plasticszone.com site currently offers five zones, including one which
provides our customers with access to our IMPA product, the application service
provider (ASP) version of MPA. In addition, we recently introduced IMPX, a
browser-based production monitoring system that enables MPX customers to view
production data remotely over corporate intranets.

    We sell our products and services internationally through our direct sales
operations in fourteen countries. We also sell through a network of distributors
and value-added resellers, and through distribution arrangements with developers
of other design software products.

    We generate revenue from two principal sources:

    - license fees for our packaged software products, and

    - services revenue derived from maintenance and support services related to
      our software products, consulting, training and materials testing.

    In April 2000, we acquired Advanced CAE Technologies, Inc. which had been
conducting business as "C-Mold." The acquisition was accounted for as a
purchase. Accordingly, the operating results of C-Mold have been included in our
results of operations from the date of acquisition.

                                       13
<PAGE>
    In March 2001, we acquired Branden Technologies for $3.7 million in cash,
$1.1 million of which was used to immediately retire all of Branden's
outstanding debt. The acquisition was accounted for as a purchase and the
results of Branden, which were not significant for the period ended March 31,
2001, have been included in the Company's consolidated financial statements
since the date of acquisition.

RESULTS OF OPERATIONS

    The following table sets forth statement of operations data for the periods
indicated as a percentage of total revenues:

<TABLE>
<CAPTION>
                                                                  THREE MONTHS           NINE MONTHS
                                                                     ENDED                  ENDED
                                                              --------------------   --------------------
                                                              MARCH 31,   APRIL 1,   MARCH 31,   APRIL 1,
                                                                2001        2000       2001        2000
                                                              ---------   --------   ---------   --------
<S>                                                           <C>         <C>        <C>         <C>
Revenue:
  Software licenses.........................................     65.1%      64.9%       63.2%      60.5%
  Services..................................................     34.9       35.1        36.8       39.5
                                                                -----      -----       -----      -----

    Total revenue...........................................    100.0%     100.0%      100.0%     100.0%
                                                                =====      =====       =====      =====

Costs and expenses:
  Cost of software licenses revenue.........................      3.8%       2.3%        3.9%       2.6%
  Cost of services revenue..................................      3.1        3.3         3.5        3.9
  Research and development..................................     14.4       13.3        15.7       14.2
  Selling and marketing.....................................     47.3       47.5        46.8       49.4
  General and administrative................................     14.5       17.6        15.4       18.9
  Litigation................................................       --        3.6          --        4.2
  Amortization of goodwill and other intangible assets......      3.4         --         3.8         --
                                                                -----      -----       -----      -----

    Total operating expenses................................     86.3       87.6        89.1       93.2
                                                                -----      -----       -----      -----

Income from operations......................................     13.7       12.4        10.9        6.8
Interest income (expense), net..............................      5.7       (0.2)        5.2       (0.3)
Other income, net...........................................      0.7       24.2         0.5        8.8
                                                                -----      -----       -----      -----

    Income before income taxes..............................     20.1       36.4        16.6       15.3
Provision for income taxes..................................      6.1        6.0         5.5        1.4
                                                                -----      -----       -----      -----

    Net income..............................................     14.0%      30.4%       11.1%      13.9%
                                                                =====      =====       =====      =====
</TABLE>

THREE MONTHS ENDED MARCH 31, 2001 COMPARED TO THREE MONTHS ENDED APRIL 1, 2000

    REVENUE.  Total revenue increased by 57%, or $4.0 million, to $11.1 million
for the three months ended March 31, 2001, from $7.1 million for the three
months ended April 1, 2000. In the same period, software licenses revenue
increased by 57%, or $2.6 million, to $7.2 million. The increase in software
licenses revenue was primarily attributable to an increase in our direct sales
force and increased sales of our design products, MPA and MPI, particularly in
Japan and North America, and to a lesser extent, the acquisition of C-Mold in
April 2000. Revenue from software licenses accounted for 65% of total revenue
during both the three months ended March 31, 2001 and the three months ended
April 1, 2000. Services revenue increased by 56%, or $1.4 million, to
$3.9 million for the three months ended March 31, 2001, from $2.5 million for
the three months ended April 1, 2000. This increase was due primarily to an
increase in the amount of revenue derived from maintenance and support contracts
resulting from the growth in our software licenses revenue and our
installed-user base in fiscal years

                                       14
<PAGE>
2000 and 2001. No customer accounted for more than 10% of the total revenue
during the three months ended March 31, 2001 and April 1, 2000.

    COST OF REVENUE.  The cost of software licenses revenue increased 156%, or
$255,000, to $418,000 for the three months ended March 31, 2001, from $163,000
for the three months ended April 1, 2000. This increase was primarily
attributable to increased sales of MPX and to royalty fees. The cost of services
revenue increased 47%, or $110,000, to $343,000 for the three months ended
March 31, 2001, from $233,000 for the three months ended April 1, 2000. This
increase resulted from increased personnel and travel costs.

    RESEARCH AND DEVELOPMENT.  Research and development expenses increased 69%,
or $647,000, to $1.6 million for the three months ended March 31, 2001, from
$939,000 for the three months ended April 1, 2000. This increase was
attributable to increased personnel costs and travel costs, primarily related to
the addition of research and development personnel as a result of our
acquisition of C-Mold in April 2000.

    SELLING AND MARKETING.  Selling and marketing expenses increased 56%, or
$1.9 million, to $5.2 million for the three months ended March 31, 2001, from
$3.4 million for the three months ended April 1, 2000. This increase was due
principally to the increase in the direct sales force and sales management, an
increase in sales commission expense and additional spending for promotional
activities.

    GENERAL AND ADMINISTRATIVE.  General and administrative expenses increased
29%, or $360,000, to $1.6 million for the three months ended March 31, 2001,
from $1.2 million for the three months ended April 1, 2000. This resulted from
additional personnel costs, travel expenses, premiums for director and officer
liability insurance and professional fees.

    LITIGATION.  The litigation expenses incurred for the three months ended
April 1, 2000 amounted to $255,000 and consisted of legal costs to pursue our
claims against C-Mold regarding theft of our trade secrets and to defend against
counterclaims. The litigation was suspended during the third quarter of fiscal
2000, and upon the closing of our acquisition of C-Mold, all related claims were
dismissed. There were no litigation expenses incurred in the three months ended
March 31, 2001.

    AMORTIZATION OF GOODWILL AND OTHER INTANGIBLE ASSETS.  These costs represent
the amortization of intangible assets recorded in connection with our
acquisitions, including goodwill, developed technology, assembled workforce and
protective covenants. Amortization for the three months ended March 31, 2001 was
$380,000; there was no amortization expense in the three months ended April 1,
2000.

    INTEREST INCOME (EXPENSE), NET.  Interest income (expense), net increased to
income of $629,000 for the three months ended March 31, 2001 from an expense of
$16,000 for the three months ended April 1, 2000. The change was primarily the
result of interest earned on the investment of the unused portion of the
proceeds from our initial public offering of common stock in March 2000, and, to
a lesser extent, the investment of proceeds of the follow-on offering completed
in December 2000.

    OTHER INCOME, NET.  Other income, net decreased to income of $78,000 for the
three months ended March 31, 2001 from income of $1.7 million for the three
months ended April 1, 2000. Other income, net for the three months ended
March 31, 2001 included realized and unrealized exchange gains and losses on
intercompany account balances and recognized gains and losses on our foreign
exchange hedging instruments. Other income, net for the three months ended
April 1, 2000 included a $1.7 million gain realized on the sale of a portion of
our minority investment in an Indian software company.

                                       15
<PAGE>
    PROVISION FOR INCOME TAXES.  The provision for income taxes increased to
$674,000 for the three months ended March 31, 2001 from $423,000 for the three
months ended April 1, 2000. Our effective income tax rate was 30% for the three
months ended March 31, 2001 and 16% for the corresponding period of the prior
year. The lower tax rate in fiscal 2000 was primarily the result of the use of
net operating loss carryforwards.

NINE MONTHS ENDED MARCH 31, 2001 COMPARED TO NINE MONTHS ENDED APRIL 1, 2000

    REVENUE.  Total revenue increased by 63%, or $11.7 million, to
$30.3 million for the nine months ended March 31, 2001, from $18.6 million for
the nine months ended April 1, 2000. In the same period, software licenses
revenue increased by 70%, or $7.9 million, to $19.2 million. The increase in
software licenses revenue was primarily attributable to an increase in our
direct sales force, particularly in Japan, and to a lesser extent, the
acquisition of C-Mold. Revenue from software licenses accounted for 63% of total
revenue during the nine months ended March 31, 2001 compared to 61% during the
nine months ended April 1, 2000. Services revenue increased by 52%, or
$3.8 million, to $11.2 million for the nine months ended March 31, 2001, from
$7.3 million for the nine months ended April 1, 2000. This increase was due
primarily to an increase in the amount of revenue derived from maintenance and
support contracts resulting from the growth in our software licenses revenue and
our installed-user base in fiscal years 2000 and 2001. No customer accounted for
more than 10% of the total revenue during the nine months ended March 31, 2001
and April 1, 2000.

    COST OF REVENUE.  The cost of software licenses revenue increased 143%, or
$694,000, to $1.2 million for the nine months ended March 31, 2001, from
$485,000 for the nine months ended April 1, 2000. This increase was primarily
attributable to increased sales of MPX, royalty fees and increased freight and
distribution costs. The cost of services revenue increased 49%, or $358,000 to
$1.1 million for the nine months ended March 31, 2001, from $724,000 for the
nine months ended April 1, 2000. This increase resulted from increased personnel
costs.

    RESEARCH AND DEVELOPMENT.  Research and development expenses increased 80%,
or $2.1 million, to $4.8 million for the nine months ended March 31, 2001, from
$2.6 million for the nine months ended April 1, 2000. This increase was
attributable to increased personnel costs, primarily related to the addition of
research and development personnel as a result of our acquisition of C-Mold.

    SELLING AND MARKETING.  Selling and marketing expenses increased 55%, or
$5.0 million, to $14.2 million for the nine months ended March 31, 2001, from
$9.2 million for the nine months ended April 1, 2000. This increase was due
principally to the increase in the direct sales force and sales management, an
increase in sales commission expense and additional spending for promotional
activities.

    GENERAL AND ADMINISTRATIVE.  General and administrative expenses increased
33%, or $1.2 million, to $4.7 million for the nine months ended March 31, 2001,
from $3.5 million for the nine months ended April 1, 2000. This resulted from
additional personnel costs and an increase in professional fees.

    LITIGATION.  The litigation expenses incurred for the nine months ended
April 1, 2000 amounted to $785,000 and consisted of legal costs to pursue our
claims against C-Mold regarding theft of our trade secrets and to defend against
counterclaims. There were no litigation expenses incurred in the nine months
ended March 31, 2001.

    AMORTIZATION OF GOODWILL AND OTHER INTANGIBLE ASSETS.  These costs represent
the amortization of intangible assets recorded in connection with our
acquisitions, including goodwill, developed technology, assembled workforce and
protective covenants. Amortization for the nine months ended March 31, 2001 was
$1.1 million; there was no such amortization expense in the nine months ended
April 1, 2000.

                                       16
<PAGE>
    INTEREST INCOME (EXPENSE), NET.  Interest income (expense), net increased to
income of $1.6 million for the nine months ended March 31, 2001, from an expense
of $54,000 for the nine months ended April 1, 2000. The change was primarily the
result of interest earned on the investment of the unused portion of the
proceeds from our initial public offering of common stock in March 2000, and, to
a lesser extent, the investment of proceeds of the follow-on offering completed
in December 2000.

    OTHER INCOME, NET.  Other income, net decreased to income of $140,000 for
the nine months ended March 31, 2001 from income of $1.6 million for the nine
months ended April 1, 2000. Other income, net for the nine months ended
March 31, 2001 included realized and unrealized exchange gains and losses on
intercompany account balances and recognized gains and losses on our foreign
exchange hedging instruments. Other income, net for the nine months ended
April 1, 2000 included a $1.7 million gain realized on the sale of a portion of
our minority investment in an Indian software company.

    PROVISION FOR INCOME TAXES.  The provision for income taxes increased to
$1.6 million for the nine months ended March 31, 2001 from $251,000 for the nine
months ended April 1, 2000. Our effective income tax rate was 33% for the nine
months ended March 31, 2001 and 9% for the corresponding period of the prior
year. The lower tax rate in fiscal 2000 was primarily the result of the use of
net operating loss carryforwards.

LIQUIDITY AND CAPITAL RESOURCES

    Historically, we have financed our operations and met our capital
expenditure requirements primarily through sales of our capital stock,
stockholder loans, funds generated from operations and borrowings from lending
institutions. In March 2000, we completed our initial public offering of common
stock. In December 2000, we completed a second offering of common stock, raising
$12.8 million net of offering costs. As of March 31, 2001, our primary sources
of liquidity consisted of our total cash and cash equivalents balance of
$23.0 million and our marketable securities balance of $20.9 million. In
January 2001, we completed the restructuring of our working capital credit line,
resulting in an available credit facility of $5.0 million which is secured by
$5.0 million of cash held in interest bearing securities with the bank. Our
marketable securities balance at March 31, 2001 included $348,000 related to our
remaining minority investment in a publicly traded Indian software company which
is recorded at market value at the end of each reporting period. This value has
been subject to significant fluctuation in the past. It is management's opinion
that this unrealized gain is subject to a number of risks that may cause the
gain to never be fully realized. As of March 31, 2001, we had no outstanding
debt.

    Net cash provided by operating activities was $4.3 million for the nine
months ended March 31, 2001. During the corresponding period ended April 1,
2000, net cash of $2.0 million was generated by operating activities. Cash was
provided by operations in the current reporting period primarily through
increases in net income, non-cash charges, accounts payable, accrued expenses
and deferred maintenance and support contracts revenue offset by increases in
accounts receivable, prepaid expenses and other current assets and other
non-current assets. Cash was generated by operations in the corresponding period
ended April 1, 2000 through increases in net income, deferred maintenance and
support contract revenues, accounts payable and accrued expenses, offset by
increases in accounts receivable, prepaid expenses and other current assets,
other non-current assets and net increases in non-cash items included in income.

    Net cash used in investing activities was $19.8 million for the nine months
ended March 31, 2001, which included $3.7 million paid to acquire Branden
Technologies Inc. on March 28, 2001. The remaining net cash used during the nine
months ended March 31, 2001 primarily reflected the transfer of cash into
marketable securities and the purchase of fixed assets offset by the proceeds
from the sale of disposed assets. Investing activities provided net cash of
$1.3 million for the corresponding nine

                                       17
<PAGE>
months of fiscal 2000, which included the proceeds from the sale of a portion of
our minority investment in the Indian software company of $1.7 million, offset
by purchases of fixed assets.

    Net cash provided by financing activities was $12.1 million and
$35.1 million for the nine months ended March 31, 2001 and April 1, 2000,
respectively. Net cash provided by financing activities in the nine months ended
March 31, 2001 reflected the net proceeds of our second public offering of
common stock and the exercise of employee stock options, offset by the repayment
of debt obligations related primarily to the retirement of a mortgage assumed in
our acquisition of C-Mold. For the nine months ended April 1, 2000, net cash
provided reflected primarily the cash generated by the initial public offering
of our common stock in March 2000, which provided $34.7 million in net proceeds
to the Company, and borrowings from lending institutions, net of the repayment
of debt obligations.

    We believe that our current cash, cash equivalents, marketable securities
and available lines of credit will be sufficient to meet our anticipated cash
needs for working capital and capital expenditures for at least the next twelve
months following the date of this Quarterly Report. On a long-term basis or to
complete acquisitions in the short term, we may require additional external
financing through credit facilities, sales of additional equity or other
financing vehicles. There can be no assurance that such financing can be
obtained on favorable terms, if at all.

RECENT ACCOUNTING PRONOUNCEMENTS

    In March 2000, the Financial Accounting Standards Board issued FASB
Interpretation No. 44 ("FIN No. 44"), "Accounting for Certain Transactions
involving Stock Compensation--An Interpretation of APB Opinion No. 25." FIN
No. 44 addresses the application of APB Opinion No. 25 and among other issues
clarifies the following: the definition of an employee for purposes of applying
APB Opinion No. 25; the criteria for determining whether a plan qualifies as a
noncompensatory plan; the accounting consequence of various modifications to the
terms of previously fixed stock options or awards; and the accounting for an
exchange of stock compensation awards in a business combination. FIN No. 44
became effective July 1, 2000, but certain conclusions in FIN No. 44 cover
specific events that occurred after either December 15, 1998 or January 12,
2000. The Company's adoption of FIN No. 44 did not have a material impact on the
Company's financial position or results of operations.

    In December 1999, the Securities and Exchange Commission ("SEC") issued
Staff Accounting Bulletin No. 101 ("SAB 101") "Revenue Recognition in Financial
Statements." This statement was amended by the issuance of SAB 101B, "Second
Amendment: Revenue Recognition in Financial Statements," which delayed the
implementation date of SAB 101 until the fourth fiscal quarter of fiscal years
beginning after December 15, 1999. SAB 101 summarizes the SEC's views in
applying generally accepted accounting principles to selected revenue
recognition issues in financial statements. The Company does not expect the
adoption of SAB 101 to have a material impact on its financial position and
results of operations.

    In June 1998, the Financial Accounting Standards Board issued SFAS No. 133,
"Accounting for Derivative Instruments and Hedging Activities" ("SFAS 133").
SFAS 133 establishes accounting and reporting standards for derivative
instruments, including certain derivative instruments embedded in other
contracts, and for hedging activities. SFAS 133, as amended by SFAS 137, is
effective for all quarters of all years beginning after June 15, 2000. In fiscal
2001, the Company began to engage in hedging activities and as such adopted the
accounting and reporting requirements of SFAS 133 from the beginning of the
fiscal year.

EUROPEAN UNION CURRENCY CONVERSION

    On January 1, 1999, eleven member nations of the European Economic and
Monetary Union began using a common currency, the Euro. For a three-year
transition period ending June 30, 2002, both the Euro and each of the currencies
for such member countries will remain in circulation. After

                                       18
<PAGE>
June 30, 2002, the Euro will be the sole legal tender for those countries. The
adoption of the Euro will affect many financial systems and business
applications as the commerce of those countries may be transacted both in the
Euro and the existing national currency during the transition period.
Significant portions of our revenue have been historically generated in Europe.
Of the eleven countries currently using the Euro, we have subsidiary operations
in France, Germany, Ireland, Italy, the Netherlands and Spain. We have assessed
the potential impact of the Euro conversion in a number of areas, particularly
on our pricing and other marketing strategies. Although we do not currently
expect that the conversion, either during or after the transition period, will
have an adverse effect on our operations or financial condition, there can be no
assurance that it will not have some unexpected adverse impact.

IMPACT OF INFLATION

    We believe that our revenue and results of operations have not been
significantly impacted by inflation during the past three fiscal years.

IMPORTANT FACTORS THAT MAY AFFECT FUTURE RESULTS

    IF WE EXPERIENCE DELAYS IN INTRODUCING NEW PRODUCTS OR IF OUR EXISTING OR
NEW PRODUCTS DO NOT ACHIEVE MARKET ACCEPTANCE, WE MAY LOSE REVENUE.

    Our industry is characterized by:

    - rapid technological advances,

    - evolving industry standards,

    - changes in end-user requirements,

    - intense competition,

    - technically complex products,

    - frequent new product introductions, and

    - evolving offerings by product manufacturers.

    We believe our future success will depend, in part, on our ability to
anticipate or adapt to these factors and to offer on a timely basis products
that meet customer demands. For example, the introduction of new products and
services embodying new technologies and the emergence of new industry standards
can render our existing products obsolete. The development of new or enhanced
products is a complex and uncertain process requiring the anticipation of
technological and market trends. We may experience design, manufacturing,
marketing and other difficulties that could delay or prevent our development,
introduction or marketing of new products and enhancements and result in
unexpected expenses.

    Our growth and profitability also will depend upon our ability to expand the
use and market penetration of our existing product lines as well as new products
we introduce. Market acceptance of our products will depend in part on our
ability to demonstrate the cost-effectiveness, ease of use and technological
advantages of our products over competing products.

    THE ACQUISITIONS OF C-MOLD AND BRANDEN TECHNOLOGIES AND FUTURE ACQUISITIONS
AND STRATEGIC RELATIONSHIPS MAY RESULT IN LOST REVENUE CAUSED BY BUSINESS
DISRUPTIONS AND MISSED OPPORTUNITIES CAUSED BY THE DISTRACTION OF OUR
MANAGEMENT.

    If we are unable to effectively integrate both Branden's and C-Mold's
products, personnel and systems, our business and operating results will likely
suffer. The C-Mold and Branden integration is requiring time and focus by our
management team. Further, we cannot guarantee that we will realize any of the
benefits or strategic objectives we were seeking in acquiring C-Mold or Branden.

                                       19
<PAGE>
    Additionally, we intend to engage in other acquisitions and strategic
relationships in the future. We may not be able to identify suitable acquisition
candidates, and, if we do identify suitable candidates, we may not be able to
make such acquisitions on commercially acceptable terms or at all. We may expend
time and resources seeking to acquire other companies and such acquisitions may
not occur. If we acquire another company, we will only receive the anticipated
benefits if we successfully integrate the acquired business into our existing
business in a timely and non-disruptive manner. We may have to devote a
significant amount of time and management and financial resources to do so. Even
with this investment of management and financial resources, an acquisition may
not produce the revenues, earnings or business synergies that we anticipated. If
we fail to integrate the acquired business effectively or if key employees of
that business leave, the anticipated benefits of the acquisition would be
jeopardized. The time, capital, management and other resources spent on an
acquisition that failed to meet our expectations could cause our business and
financial condition to be materially and adversely affected. In addition,
acquisitions can involve non-recurring charges and amortization of significant
amounts of goodwill and other acquired intangible assets that could adversely
affect our results of operations.

    BECAUSE WE DO NOT HAVE EXTENSIVE EXPERIENCE DEVELOPING INTERNET-ENABLED
PRODUCTS, WE MAY INCUR SIGNIFICANT COSTS DEVELOPING INTERNET-ENABLED PRODUCTS
AND MAY NOT BE ABLE TO DEVELOP THESE PRODUCTS.

    Our business strategy includes providing additional Internet-related
functions to our products to exploit the trend toward worldwide collaborative
product development and manufacturing and to explore new pricing and packaging
strategies made possible by the Internet. We have limited experience in
developing and marketing Internet-enabled products. We may incur significant
costs developing Internet-enabled products and may be unable to capitalize on
the rapid transformation of the Internet as a computing platform, communications
vehicle and distribution channel.

    WE MAY EXPERIENCE DIFFICULTY ACHIEVING SALES TARGETS, MAKING TIMELY PRODUCT
RELEASES OR OTHERWISE OPERATING OUR BUSINESS IF WE ARE UNABLE TO ATTRACT OR
RETAIN KEY PERSONNEL.

    In order to grow our business, we will have to hire additional employees in
various countries. Our future success, therefore, will depend, in part, on
attracting and retaining additional qualified management, sales, marketing and
technical personnel. Most of our sales come from our direct sales force, located
around the world. Failure to attract, train, retain and effectively deploy our
sales personnel will have an adverse effect on our business. We do not know
whether we will be successful in hiring or retaining qualified personnel.
Competition for personnel throughout the software industry and in the
geographies in which we operate, is intense.

    IF WE BECOME SUBJECT TO INTELLECTUAL PROPERTY INFRINGEMENT CLAIMS, WE COULD
INCUR SIGNIFICANT EXPENSES AND WE COULD BE PREVENTED FROM OFFERING SPECIFIC
PRODUCTS OR SERVICES.

    Our products include proprietary intellectual property. We may become
subject to claims that we infringe on the proprietary rights of others. In the
United States, a significant number of software and business method patents have
been issued over the past decade and the holders of these patents have been
actively seeking out potential infringers. If any element of our products or
services violates third-party proprietary rights, we might not be able to obtain
licenses on commercially reasonable terms to continue offering our products or
services without substantial re-engineering and any effort to undertake such
re-engineering might not be successful. In addition, any claim of infringement
could cause us to incur substantial costs defending against the claim, even if
the claim is invalid, and could distract our management from our business. Any
judgment against us could require us to pay substantial damages and could also
include an injunction or other court order that could prevent us from offering
our products and services.

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<PAGE>
    WE MAY LOSE SALES TO COMPETITORS IF WE ARE UNABLE TO PROTECT IMPORTANT
INTELLECTUAL PROPERTY.

    Our ability to compete effectively against other companies in our industry
will depend, in part, on our ability to protect our current and future
proprietary technology through a combination of patent, copyright, trademark,
trade secret and unfair competition laws. We may be unable to maintain the
proprietary nature of our technology. While we have attempted to safeguard and
maintain our proprietary rights, we do not know whether we have been or will be
completely successful in doing so. We face the following risks in protecting our
intellectual property:

    - we cannot be certain that our pending United States and foreign patent
      applications will result in issued patents or that the claims allowed are
      or will be sufficiently broad to protect our technology,

    - third parties may design around our patented technologies or seek to
      challenge or invalidate our patented technologies,

    - the contractual provisions that we rely on, in part, to protect our trade
      secrets and proprietary knowledge may be breached, and we may not have
      adequate remedies for any breach and our trade secrets and proprietary
      information may be disclosed to the public,

    - our trade secrets may also become known without breach of such agreements
      or may be independently developed by competitors, and

    - foreign countries, including some of those in which we do business, may
      reduce or limit the protection of our intellectual property rights.

    OUR FINANCIAL CONDITION OR RESULTS OF OPERATIONS MAY BE ADVERSELY AFFECTED
BY INTERNATIONAL BUSINESS RISKS.

    The majority of our employees, including sales, support and research and
development personnel, are located outside of the United States. Conducting
business outside of the United States is subject to numerous risks, including:

    - decreased liquidity resulting from longer accounts receivable collection
      cycles typical of foreign countries,

    - decreased revenue on foreign sales resulting from possible foreign
      currency exchange and conversion issues,

    - lower productivity resulting from difficulties managing our sales, support
      and research and development operations across many countries,

    - lost revenue resulting from difficulties associated with enforcing
      agreements and collecting receivables through foreign legal systems,

    - lost revenue resulting from the imposition by foreign governments of trade
      protection measures, and

    - higher cost of sales resulting from import or export licensing
      requirements.

    WE HAVE MORE LIMITED FINANCIAL AND OTHER RESOURCES THAN MANY OF OUR
COMPETITORS AND POTENTIAL COMPETITORS AND WE MAY BE UNABLE TO COMPETE
SUCCESSFULLY AGAINST THEM.

    We operate in a highly competitive environment and may not be able to
successfully compete. Companies in our industry and entities in similar
industries could decide to focus on the development of software solutions for
the design, analysis and manufacturing of injection molded plastic parts.
Similarly, there are many companies that focus on producing products that attach
to or operate in conjunction with injection molding machines to monitor and
control the plastic manufacturing process. Many of these entities have
substantially greater financial, research and development, manufacturing

                                       21
<PAGE>
and marketing resources than we do. Increased competition may result in price
reductions, reduced profitability and loss of market share.

    OUR QUARTERLY OPERATING RESULTS ARE SUBJECT TO SIGNIFICANT FLUCTUATIONS AND
AS A RESULT PERIOD-TO-PERIOD COMPARISONS OF OUR RESULTS OF OPERATIONS ARE NOT
NECESSARILY MEANINGFUL AND SHOULD NOT BE RELIED UPON AS INDICATORS OF FUTURE
PERFORMANCE.

    We have experienced significant fluctuations in our results of operations on
a quarterly basis. In particular, we have historically experienced lower or
relatively unchanged revenue in our first fiscal quarter as compared with the
preceding quarter as a result of seasonal factors. We expect to continue to
experience significant fluctuations in our future quarterly results of
operations due to a variety of factors, many of which are outside of our
control, including:

    - the effects of widespread economic slowdown, currently being experienced
      by companies in the U.S., Europe and Asia,

    - seasonal slowdowns, in particular, in our first fiscal quarter, in many of
      the markets in which we sell our products,

    - the timing and magnitude of capital expenditures, including costs relating
      to the expansion of our operations and infrastructure,

    - introductions of new services or enhancements by us and our competitors,

    - changes in our and our competitors' pricing policies,

    - currency fluctuations, and

    - timing and integration of acquisitions.

    WE MAY HAVE DIFFICULTY MANAGING THE EXPANSION OF OUR OPERATIONS, WHICH COULD
RESULT IN DAMAGE TO CUSTOMER RELATIONSHIPS OR DELAYED BILLING OR COLLECTION OF
REVENUE.

    The implementation of our business strategy could result in a period of
rapid growth in the number of our employees and the scope of our operations. In
addition, in connection with our acquisitions, we have expanded the number of
employees and facilities. Rapid expansion could place a significant strain on
our senior management team and our operational, financial and other resources as
we attempt to expand our operations in multiple locations around the world. We
may have difficulty effectively managing the budgeting, forecasting, global
hiring and other business control issues presented by such a rapid expansion.
This could, among other things, adversely affect our relationships with our
customers and result in delays in billing and collections of revenue from our
customers and increased costs.

    IF WE ARE UNABLE TO MAINTAIN AND LEVERAGE OUR STRATEGIC ALLIANCES, WE MAY BE
UNABLE TO GROW AS PLANNED.

    We are, and will continue to be, dependent to some extent on distribution
arrangements and strategic partnerships with third-parties because we sell a
portion of our products through these third parties. In addition, we may sell
other products, including our Internet products through third-party distributors
or web platform operators in the future. These third parties may not fulfill
their agreements with us. In particular, third-party distributors or web
platform operators may breach or terminate their distribution agreements with us
or fail to devote sufficient time and resources to successfully commercialize,
or increase sales of, our products. As a result, our revenues from these
arrangements depend, in part, on third parties' sales of our products.

                                       22
<PAGE>
    DISRUPTION OF OPERATIONS AT OUR DEVELOPMENT FACILITIES COULD INTERFERE WITH
OUR PRODUCT DEVELOPMENT AND PRODUCTION CYCLES.

    A significant portion of our computer equipment, source code and personnel,
including critical resources dedicated to research and development, is presently
located at operating facilities in Australia, the United States and the United
Kingdom. The occurrence of a natural disaster or other unanticipated catastrophe
at any of these facilities could cause interruptions in our operations and
services. Extensive or multiple interruptions in our operations at any of these
facilities could severely disrupt our product development.

    OUR MOLDFLOW PLASTICS XPERT (MPX) PRODUCT LINE, AND OTHER PRODUCTS THAT WE
ACQUIRE OR DEVELOP, MAY LEAD TO PRODUCT LIABILITY CLAIMS AGAINST US.

    We have designed our Moldflow Plastics Xpert (MPX) product line to be
installed directly on our customers' injection molding machines and to
automatically adjust the operation of these machines. Similarly, the products
sold by Branden Technologies also are installed directly onto our customer's
machines. As a result, it is possible that our customers may claim that our
product interfered with the proper operation of their machines and may seek
reimbursement for consequential and other damages from us. Although we expressly
disclaim any liability for consequential or other damages in connection with our
sale of these products, this disclaimer may not protect us from claims for
damages from our customers and these claims may adversely affect our
relationships with our customers or our reputation generally. In addition, our
insurance coverage limits may not be adequate to protect us against any product
liability claims that arise. This insurance is expensive and may not be
available on acceptable terms, or at all. As we acquire or develop additional
products that are similar to MPX, including the products manufactured and sold
by Branden, this risk will increase.

    OUR STOCK PRICE IS HIGHLY VOLATILE AND COULD EXPERIENCE SUBSTANTIAL DECLINES
AND OUR MANAGEMENT'S ATTENTION MAY BE DIVERTED FROM MORE PRODUCTIVE TASKS.

    The stock market has, from time to time, experienced extreme price and
volume fluctuations. Many factors may cause the market price for our common
stock to decline, perhaps substantially, including:

    - a decrease in the demand for our common stock,

    - revenues and operating results failing to meet the expectations of
      securities analysts or investors in any quarter,

    - downward revisions in securities analysts' estimates or changes in general
      market conditions,

    - technological innovations by competitors or in competing technologies,

    - investor perception of our industry or our prospects, and

    - general technology or economic trends.

    In the past, companies that have experienced volatility in the market price
of their stock have been the subject of securities class action litigation. We
may be involved in securities class action litigation in the future. Such
litigation often results in substantial costs and a diversion of management's
attention and resources and could harm our business, financial condition and
results of operations.

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<PAGE>
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

    We develop our products in research centers in Australia, the United Kingdom
and the United States. We sell our products globally through our direct sales
force and indirect distributor channels. As a result, our financial results are
affected by factors such as changes in foreign currency exchange rates and weak
economic conditions in foreign markets. In the future, we expect to increase our
international operations in our existing markets and in geographic locations
where we do not have any operations now.

    We collect amounts representing a substantial portion of our revenues and
pay amounts representing a substantial portion of our operating expenses in
foreign currencies. As a result, changes in currency exchange rates from time to
time may affect our operating results. We have begun to engage in hedging
transactions designed to reduce our exposure to changes in currency exchange
rates. We cannot assure you, however, that any efforts we make to hedge our
exposure to currency exchange rate changes will be successful.

                                       24
<PAGE>
                           PART II. OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

    From time to time, we may be involved in various claims and legal
proceedings arising in the ordinary course of business. We are not currently a
party to any such claims or proceedings which, if decided adversely to us, would
either individually or in the aggregate have a material adverse effect on our
business, financial condition or results of operations.

ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS

USE OF PROCEEDS FROM REGISTERED SECURITIES

    The effective date of the Securities Act registration statement for which
the use of proceeds information is being disclosed was March 27, 2000, and the
Commission file number assigned to the registration statement is 333-95289. As
disclosed in our quarterly report on Form 10-Q for the period ended April 1,
2000, we used approximately $11.2 million of the net proceeds to fund the
acquisition of C-Mold on April 13, 2000. On March 28, 2001, we used
approximately $3.7 million to fund the acquisition of Branden Technologies, Inc.
No payments of the net proceeds were made to (i) any of our directors, officers,
general partners or their associates, (ii) any person owning 10% or more of any
class of our equity securities or (iii) any of our affiliates.

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

(a.) Exhibits:

    None.

(b.) Reports on Form 8-K

    None.

                                       25
<PAGE>
                                   SIGNATURES

    Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

<TABLE>
<S>                                                    <C>  <C>
                                                       MOLDFLOW CORPORATION

                                                       By:            /s/ MARC J. L. DULUDE
                                                            -----------------------------------------
                                                                        Marc J. L. Dulude
                                                              PRESIDENT AND CHIEF EXECUTIVE OFFICER

                                                       MOLDFLOW CORPORATION

                                                       By:            /s/ SUZANNE E. ROGERS
                                                            -----------------------------------------
                                                                        Suzanne E. Rogers
                                                                  VICE PRESIDENT OF FINANCE AND
                                                                          ADMINISTRATION
                                                                   AND CHIEF FINANCIAL OFFICER
                                                                  (PRINCIPAL FINANCIAL OFFICER)
</TABLE>

    Date: May 11, 2001

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