EFTA01377782.pdf

S- ILA Consolidated Statements of Cash Flows F-8 Notes to Consolidated Financial Statements F-9 F-1 Table of Contents REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM The Board of Directors and Stockholders Square, Inc.: We have audited the accompanying consolidated balance sheets of Square, Inc. and subsidiaries (the Company) as of December 31, 2013 and 2014. and the related consolidated statements of operations, comprehensive loss, stockholders' equity. and cash flows for each of the years in the three-year period ended December 31, 2014. These consolidated financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these consolidated financial statements based on our audits. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of Square. Inc. and subsidiaries as of December 31, 2013 and 2014, and the results of their operations and their cash flows for each of the years in the three-year period ended December 31, 2014. in conformity with U.S. generally accepted accounting principles. /s/ KPMG LLP San Francisco, California March 27, 2015 F-2 Table of Content% SQUARE, INC. CONSOLIDATED BALANCE SHEETS (In thousands, except share and per share data) Pro Forma December 31, September 30, September 30, 2013 2014 2015 2015 (Unaudited) Assets Current assets: Cash and cash equivalents Si 166,176 5 225,300 $ 174,083 5 174,083 Restricted cash 10.000 11,950 12.017 12,017 Settlements receivable 64.968 115.481 156,188 156,188 Merchant cash advance receivable, net — 29,302 43,638 43.638 Other current assets 12.658 27.834 32.561 32.561 Total current assets 253.802 409.867 418,487 418.487 Property and equipment, net 51.656 63.733 85.012 85.012 Goodwill 602 40,267 56,899 56.899 Acquired intangible assets. net 612 10.279 20.726 20.726 Restricted cash 9.270 14.394 14.579 14579 http://www..ux.gov/ArchiviSedgar/data/I5I2673/0011l193125I5369092/d937622dst a.html 11/6/20I 5 7:37:12 AM] CONFIDENTIAL - PURSUANT TO FED. R. GRIM. P. 6(e) DB-SDNY-0074934 CONFIDENTIAL SDNY_GM_00221118 EFTA01377782