Summary of Adjusted EBITDA Business Segment Information

The following table reconciles business segment

Adjusted EBITDA attributable to Parsons Corporation to Net Income attributable to Parsons Corporation for the periods presented (in thousands):


	Three Months Ended						Nine Months Ended
Adjusted EBITDA attributable to Parsons Corporation	September 30, 2024			September 30, 2023			September 30, 2024			September 30, 2023
Federal Solutions	$	120,091		$	65,039		$	315,413		$	206,827
Critical Infrastructure		33,007			50,188			101,582			95,481
Adjusted EBITDA attributable to Parsons Corporation		153,098			115,227			416,995			302,308
Adjusted EBITDA attributable to noncontrolling interests		13,913			12,606			41,339			34,222
Depreciation and amortization		(24,542	)		(30,154	)		(73,513	)		(87,202	)
Interest expense, net		(8,802	)		(8,120	)		(29,831	)		(20,778	)
Income tax benefit (expense)		(22,518	)		(15,218	)		(12,699	)		(41,944	)
Equity-based compensation expense		(21,251	)		(9,075	)		(44,554	)		(25,092	)
Loss on extinguishment of debt		-			-			(211,018	)		-
Transaction-related costs (a)		(3,770	)		(5,493	)		(8,958	)		(9,028	)
Restructuring expense (b)		-			-			-			(546	)
Other (c)		(539	)		38			(3,565	)		(2,082	)
Net (loss) income including noncontrolling interests		85,589			59,811			74,196			149,858
Net income attributable to noncontrolling interests		13,638			12,364			40,428			33,617
Net (loss) income attributable to Parsons Corporation	$	71,951		$	47,447		$	33,768		$	116,241

(a)

Reflects costs incurred in connection with acquisitions and other non-recurring transaction costs, primarily fees paid for professional services and employee retention.

(b)

Reflects costs associated with corporate restructuring initiatives.

(c)

Includes a combination of gain/loss related to sale of fixed assets, software implementation costs, and other individually insignificant items that are non-recurring in nature.

Summary of Revenues by Business Lines

The following table presents revenues by business units (in thousands):


	Three Months Ended				Nine Months Ended
	September 30, 2024		September 30, 2023		September 30, 2024		September 30, 2023
Revenue
Defense and Intelligence	$	459,318	$	398,632	$	1,288,102	$	1,144,320
Engineered Systems		646,262		381,482		1,715,689		1,033,137
Federal Solutions revenues		1,105,580		780,114		3,003,791		2,177,457
Infrastructure – North America		438,307		389,452		1,237,752		1,082,164
Infrastructure – Europe, Middle East and Africa		266,229		249,005		774,716		688,902
Critical Infrastructure revenues		704,536		638,457		2,012,468		1,771,066
Total Revenue	$	1,810,116	$	1,418,571	$	5,016,259	$	3,948,523

Effective October 1, 2023, the Company reorganized its Critical Infrastructure business units from Mobility Solutions and Connected Communities to Infrastructure – North America and Infrastructure – Europe, Middle East and Africa. The prior year information in the table above has been reclassified to conform to the business unit changes.