C O N S O L I D A T E D F I N A N C I A L S T A T E M E N T S

The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. [...] In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. [...] 2104-3754799 1 A member firm of Ernst & Young Global Limited Opinion In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the consolidated financial position of FHI 360 as of September 30, 2020 and 2019, and the changes in its net assets and its cash flows for the years then ended in conformity with U. [...] The accompanying consolidated financial statements include the accounts and changes in net assets of the Company and its wholly owned subsidiaries and related entities over which FHI 360 exercises control. [...] Under the standard, revenue is recognized under the give-step model which requires FHI 360 to (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine the transaction price; (4) allocate the transaction price to the performance obligations in the contract; and (5) recognize revenue when, or as, the entity satisfies a performance obligation.