ACXIOM ANNOUNCES SECOND QUARTER RESULTS

Connectivity Posts Record Revenue and Double-Digit Segment Margin

Strengthens Full-Year EPS Guidance

Repurchases 860,000 Shares in the Quarter

CONWAY, Ark., November 1, 2017-Acxiom® (Nasdaq: ACXM), the data foundation for the world's best marketers, today announced financial results for its second quarter ended September 30, 2017.

Financial Highlights

• Revenue: Total revenue was $225 million, up 4% compared to the second quarter of last year. Year-over-year revenue growth was negatively impacted by $8 million associated with the fiscal year 2017 divestiture of Acxiom Impact.

• Operating Income: GAAP operating income was break-even compared to operating income of $7 million in the prior year. Non-GAAP operating income grew 27% to approximately $31 million.

• Earnings (Loss) per Share: GAAP loss per share was $0.04 compared to earnings per share of $0.09 in the prior year. Non-GAAP diluted earnings per share were $0.22 compared to $0.18 a year ago.

• Operating Cash Flow: Operating cash flow was $28 million, down from $35 million in the prior year.

• Free Cash Flow to Equity: Free cash flow to equity was $20 million, down from $30 million in the prior year. Prior year free cash flow to equity includes proceeds of $17 million associated with the divestiture of Acxiom Impact compared to $4 million in the current quarter. For the trailing twelve-month period, free cash flow to equity improved to $68 million, up from $39 million in the comparable period.

Segment Results

$M

Connectivity	Q218			Q217			Y/Y Δ
Revenue	$	52		$	33		58	%
Gross Profit	$	35		$	20		78	%
Gross Margin	67		%	60		%	740 bps
Segment Operating Income	$	6		$	2		244	%
Segment Margin	11		%	5		%	590 bps

Audience Solutions	Q218			Q217			Y/Y Δ
Revenue	$	79		$	79		0	%
Gross Profit	$	48		$	48		1	%
Gross Margin	61		%	61		%	20 bps
Segment Operating Income	$	29		$	30		-2	%
Segment Margin	37		%	38		%	(80 bps)

1

Marketing Services	Q218			Q217			Y/Y Δ
Revenue	$	94		$	106		(11	)%
Gross Profit	$	34		$	34		0	%
Gross Margin	36		%	33		%	390 bps
Segment Operating Income	$	22		$	20		10	%
Segment Margin	23		%	19		%	450 bps

A detailed discussion of our non-GAAP financial measures and a reconciliation between GAAP and non-GAAP results is provided in the schedules to this press release.

“In the second quarter, we strengthened our position as the leader in omnichannel identity and data connectivity,” said Acxiom CEO Scott Howe. “Our solid financial results are bolstered by continued innovation and our commitment to clients. During the quarter, we launched IdentityLink for Agencies, announced a groundbreaking new partnership with American Express and were recognized by Citibank for our high levels of service and performance.”

Recent Business Highlights

• LiveRamp® added approximately 25 new direct clients during the quarter and added over 25 new partner integrations. Marketers can now onboard and activate their data across a growing network of 550 publishers and marketing technology providers.

• LiveRamp launched IdentityLink™ for Agencies. This solution allows agencies to scale people-based marketing capabilities across platforms and channels for their clients. The launch also marks the completion of a multi-year initiative to provide all key participants in the marketing ecosystem - brands, technology platforms, data owners, publishers, and now agencies - with a universal, people-based identifier.  

• Acxiom and Amex Advance announced the launch of a joint data-driven offering to predict purchase intent across the broad U.S. consumer population. By combining spending insights from American Express’ network with Acxiom’s InfoBase® data and first-party customer data, marketers can more effectively engage consumers with relevant offers when they are most ready to buy.

• Acxiom was recognized by Citibank with a Citi Supplier Award for its high level of performance and service. Acxiom was the only supplier to earn a Citi Supplier Award for two consecutive years.

• Acxiom repurchased 860,000 shares for approximately $20 million during the quarter. Since the inception of its share repurchase program in August 2011, Acxiom has repurchased 17.7 million shares for $306 million, with $94 million remaining under authorization.

Financial Outlook

Acxiom’s non-GAAP guidance excludes the impact of non-cash stock compensation, purchased intangible asset amortization, restructuring charges and business separation costs.

For fiscal 2018, Acxiom expects to report:

• Revenue of between $920 million and$930 million, an increase of between 7% and 8% year-over-year after adjusting for the Acxiom Impact divestiture

• GAAP diluted loss per share of between $0.08 and $0.04

2

• Non-GAAP diluted earnings per share of between $0.80 and $0.85, an increase of between 13% and 20% year-over-year

Conference Call

Acxiom will hold a conference call at 4:00 p.m. CT today to further discuss this information. Interested parties are invited to listen to the call which will be broadcast via the Internet and can be found on our investor site. A slide presentation will be referenced during the call and can be accessed here.

About Acxiom

Acxiom provides the data foundation for the world’s best marketers. We enable people-based marketing everywhere through a simple, open approach to connecting systems and data that drives seamless customer experiences and higher ROI. A leader in identity and ethical data use for more than 48 years, Acxiom helps thousands of clients and partners around the globe work together to create a world where all marketing is relevant. Acxiom is a registered trademark of Acxiom Corporation. For more information, visit Acxiom.com.

Forward-Looking Statements

This release and today’s conference call contain forward-looking statements including, without limitation, statements regarding expected levels of revenue and earnings per share. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially. The following are factors, among others, that could cause actual results to differ materially from these forward-looking statements: the possibility that the expected revenue from the divisions may not be realized within the expected timeframe; the possibility that the integration of acquired businesses may not be successful as planned; the possibility that certain contracts may not generate the anticipated revenue or profitability or may not be closed within the anticipated time frames; the possibility that significant customers may experience extreme, severe economic difficulty or otherwise reduce or cancel the amount of business they do with us; the possibility that we will not successfully complete customer contract requirements on time or meet the service levels specified in the contracts, which may result in contract penalties or lost revenue; the possibility that data purchasers will reduce their reliance on us by developing and using their own, or alternative, sources of data generally or with respect to certain data elements or categories; the possibility that data suppliers might withdraw data from us, leading to our inability to provide certain products and services to our clients; the possibility that we may not be able to attract, retain or motivate qualified technical, sales and leadership associates, or that we may lose key associates; the possibility that we may not be able to adequately adapt to rapidly changing computing environments, technologies and marketing practices; the possibility that we will not be able to continue to receive credit upon satisfactory terms and conditions; the possibility that negative changes in economic conditions in general or other conditions might lead to a reduction in demand for our products and services; the possibility that there will be changes in consumer or business information industries and markets that negatively impact the company; the possibility that the historical seasonality of our business may change; the possibility that we will not be able to achieve anticipated cost reductions and avoid unanticipated costs; the possibility that the fair value of certain of our assets may not be equal to the carrying value of those assets now or in future time periods; the possibility that unusual charges may be incurred; the possibility that changes in accounting pronouncements may occur and may impact these forward-looking statements; the possibility that we may encounter difficulties when entering new markets or industries; the possibility that we could experience loss of data center capacity or interruption of telecommunication links; the possibility that new laws may be enacted which limit our ability to provide services to our clients and/or which limit the use of data; and the possibility that other risks and uncertainties may emerge, including those detailed from time to time in our current and periodic reports filed with the Securities and Exchange Commission, including our current reports on Form 8-K, quarterly reports on Form 10-Q and annual reports on Form 10-K, particularly the discussion under the caption “Item 1A. RISK FACTORS” in our Annual Report on

3

Form 10-K for the year ended March 31, 2017, which was filed with the Securities and Exchange Commission on May 26, 2017.

With respect to the provision of products or services outside our primary base of operations in the United States, all of the above factors apply, along with the difficulty of doing business in numerous sovereign jurisdictions due to differences in scale, competition, culture, laws and regulations.

We undertake no obligation to update the information contained in this press release or any other forward-looking statement.

To automatically receive Acxiom Corporation financial news by email, please visit www.acxiom.com and subscribe to email alerts.

For more information, contact:

Lauren Dillard

Acxiom Investor Relations

(650) 372-2242

investor.relations@acxiom.com

EACXM

Acxiom, LiveRamp, IdentityLink, InfoBase and all other Acxiom marks contained herein are trademarks or service marks of Acxiom Corporation. All other marks are the property of their respective owners.

4

ACXIOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(Dollars in thousands, except per share amounts)
	For the Three Months Ended
	September 30,
					$		%
	2017		2016		Variance		Variance
Revenues	225,240		217,267		7,973		3.7	%
Cost of revenue	115,072		120,105		(5,033	)	(4.2	)%
Gross profit	110,168		97,162		13,006		13.4	%
% Gross margin	48.9	%	44.7	%
Operating expenses:
Research and development	24,013		19,029		4,984		26.2	%
Sales and marketing	50,118		37,847		12,271		32.4	%
General and administrative	31,924		32,866		(942	)	(2.9	)%
Gains, losses and other items, net	3,660		300		3,360		1,120.0	%
Total operating expenses	109,715		90,042		19,673		21.8	%
Income from operations	453		7,120		(6,667	)	(93.6	)%
% Margin	0.2	%	3.3	%
Other income (expense):
Interest expense	(2,524	)	(1,689	)	(835	)	(49.4	)%
Other, net	192		(207	)	399		192.8	%
Total other expense	(2,332	)	(1,896	)	(436	)	(23.0	)%
Earnings (loss) before income taxes	(1,879	)	5,224		(7,103	)	(136.0	)%
Income taxes	1,457		(1,916	)	3,373		176.0	%
Net earnings (loss)	(3,336	)	7,140		(10,476	)	(146.7	)%
Basic earnings (loss) per share	(0.04	)	0.09		(0.13	)	(145.7	)%
Diluted earnings (loss) per share	(0.04	)	0.09		(0.13	)	(146.7	)%
Basic weighted average shares	79,235		77,446
Diluted weighted average shares	79,235		79,277

5

ACXIOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(Dollars in thousands, except per share amounts)
	For the Six Months Ended
	September 30,
					$		%
	2017		2016		Variance		Variance
Revenues	437,754		432,068		5,686		1.3	%
Cost of revenue	229,032		242,924		(13,892	)	(5.7	)%
Gross profit	208,722		189,144		19,578		10.4	%
% Gross margin	47.7	%	43.8	%
Operating expenses:
Research and development	47,576		37,681		9,895		26.3	%
Sales and marketing	98,558		75,195		23,363		31.1	%
General and administrative	64,280		60,372		3,908		6.5	%
Gains, losses and other items, net	3,562		614		2,948		480.1	%
Total operating expenses	213,976		173,862		40,114		23.1	%
Income (loss) from operations	(5,254	)	15,282		(20,536	)	(134.4	)%
% Margin	(1.2	)%	3.5	%
Other income (expense):
Interest expense	(4,866	)	(3,501	)	(1,365	)	(39.0	)%
Other, net	(480	)	100		(580	)	(580.0	)%
Total other expense	(5,346	)	(3,401	)	(1,945	)	(57.2	)%
Earnings (loss) before income taxes	(10,600	)	11,881		(22,481	)	(189.2	)%
Income taxes	(5,964	)	765		(6,729	)	(879.6	)%
Net earnings (loss)	(4,636	)	11,116		(15,752	)	(141.7	)%
Basic earnings (loss) per share	(0.06	)	0.14		(0.20	)	(140.9	)%
Diluted earnings (loss) per share	(0.06	)	0.14		(0.20	)	(141.9	)%
Basic weighted average shares	78,954		77,459
Diluted weighted average shares	78,954		79,317

6

ACXIOM CORPORATION AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP EPS (1)
(Unaudited)
(Dollars in thousands, except per share amounts)
	For the Three Months Ended				For the Six Months Ended
	September 30,				September 30,
	2017		2016		2017		2016
Earnings (loss) before income taxes	(1,879	)	5,224		(10,600	)	11,881
Income taxes	1,457		(1,916	)	(5,964	)	765
Net earnings (loss)	(3,336	)	7,140		(4,636	)	11,116
Earnings (loss) per share:
Basic	(0.04	)	0.09		(0.06	)	0.14
Diluted	(0.04	)	0.09		(0.06	)	0.14
Excluded items:
Purchased intangible asset amortization (cost of revenue)	6,021		3,890		11,987		7,967
Non-cash stock compensation (cost of revenue and operating expenses)	15,757		11,938		30,788		20,528
Restructuring and merger charges (gains, losses, and other)	3,660		300		3,562		614
Separation and transformation costs (general and administrative)	5,442		1,455		12,561		1,455
Total excluded items	30,880		17,583		58,898		30,564
Earnings before income taxes
and excluding items	29,001		22,807		48,298		42,445
Income taxes (2)	11,289		8,910		19,009		16,762
Non-GAAP net earnings	17,712		13,897		29,289		25,683
Non-GAAP earnings per share:
Basic	0.22		0.18		0.37		0.33
Diluted	0.22		0.18		0.36		0.32
Basic weighted average shares	79,235		77,446		78,954		77,459
Diluted weighted average shares	81,472		79,277		81,456		79,317

(1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, and the material limitations on the usefulness of these measures, please see Appendix A.

(2) Income taxes were calculated using an effective non-GAAP tax rate of 38.9% and 39.1% in the second quarter of fiscal 2018 and 2017, respectively, and 39.4% and 39.5% for the six months ended September 30, 2017 and 2016, respectively. The difference between our GAAP and non-GAAP tax rates were primarily due to the net tax effects of the excluded items.

7

ACXIOM CORPORATION AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP INCOME (LOSS) FROM OPERATIONS (1)
(Unaudited)
(Dollars in thousands)
	For the Three Months Ended		For the Six Months Ended
	September 30,		September 30,
	2017	2016	2017		2016
Income (loss) from operations	453	7,120	(5,254	)	15,282
Excluded items:
Purchased intangible asset amortization (cost of revenue)	6,021	3,890	11,987		7,967
Non-cash stock compensation (cost of revenue and operating expenses)	15,757	11,938	30,788		20,528
Restructuring and merger charges (gains, losses, and other)	3,660	300	3,562		614
Separation and transformation costs (general and administrative)	5,442	1,455	12,561		1,455
Total excluded items	30,880	17,583	58,898		30,564
Income from operations before excluded items	31,333	24,703	53,644		45,846

(1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.

8

ACXIOM CORPORATION AND SUBSIDIARIES
RESULTS BY SEGMENT
(Unaudited)
(Dollars in thousands)
	For the Three Months Ended
	September 30,
					$		%
	2017		2016		Variance		Variance
Revenues
Marketing Services	94,042		105,679		(11,637	)	(11.0	)%
Audience Solutions	78,814		78,526		288		0.4	%
Connectivity	52,384		33,062		19,322		58.4	%
Total operating segment revenues	225,240		217,267		7,973		3.7	%
Gross profit
Marketing Services	34,320		34,480		(160	)	(0.5	)%
Audience Solutions	48,321		47,998		323		0.7	%
Connectivity	35,292		19,843		15,449		77.9	%
Total operating segment gross profit	117,933		102,321		15,612		15.3	%
Gross margin %
Marketing Services	36.5	%	32.6	%
Audience Solutions	61.3	%	61.1	%
Connectivity	67.4	%	60.0	%
Total operating segment gross margin	52.4	%	47.1	%
Income from operations
Marketing Services	21,874		19,837		2,037		10.3	%
Audience Solutions	29,497		29,972		(475	)	(1.6	)%
Connectivity	5,715		1,663		4,052		243.7	%
Total operating segment income from operations	57,086		51,472		5,614		10.9	%
Operating income margin %
Marketing Services	23.3	%	18.8	%
Audience Solutions	37.4	%	38.2	%
Connectivity	10.9	%	5.0	%
Total operating segment operating margin	25.3	%	23.7	%
Some totals may not add due to rounding.

9

ACXIOM CORPORATION AND SUBSIDIARIES
RESULTS BY SEGMENT
(Unaudited)
(Dollars in thousands)
	For the Six Months Ended
	September 30,
					$		%
	2017		2016		Variance		Variance
Revenues
Marketing Services	185,636		215,394		(29,758	)	(13.8	)%
Audience Solutions	154,548		152,270		2,278		1.5	%
Connectivity	97,570		64,404		33,166		51.5	%
Total operating segment revenues	437,754		432,068		5,686		1.3	%
Gross profit
Marketing Services	65,678		71,946		(6,268	)	(8.7	)%
Audience Solutions	95,531		89,910		5,621		6.3	%
Connectivity	62,817		37,418		25,399		67.9	%
Total operating segment gross profit	224,026		199,274		24,752		12.4	%
Gross margin %
Marketing Services	35.4	%	33.4	%
Audience Solutions	61.8	%	59.0	%
Connectivity	64.4	%	58.1	%
Total operating segment gross margin	51.2	%	46.1	%
Income from operations
Marketing Services	41,658		39,982		1,676		4.2	%
Audience Solutions	58,039		55,068		2,971		5.4	%
Connectivity	5,667		1,954		3,713		190.0	%
Total operating segment income from operations	105,364		97,004		8,360		8.6	%
Operating income margin %
Marketing Services	22.4	%	18.6	%
Audience Solutions	37.6	%	36.2	%
Connectivity	5.8	%	3.0	%
Total operating segment operating margin	24.1	%	22.5	%
Some totals may not add due to rounding.

10

ACXIOM CORPORATION AND SUBSIDIARIES
RECONCILIATION OF SEGMENT RESULTS
(Unaudited)
(Dollars in thousands)
	For the Three Months Ended		For the Six Months Ended
	September 30,		September 30,
	2017	2016	2017		2016
Total operating segment gross profit	117,933	102,321	224,026		199,274
Less:
Purchased intangible asset amortization	6,021	3,890	11,987		7,967
Non-cash stock compensation	1,744	1,269	3,317		2,163
Gross profit	110,168	97,162	208,722		189,144
Total operating segment income from operations	57,086	51,472	105,364		97,004
Less:
Corporate expenses	25,753	26,769	51,720		51,158
Purchased intangible asset amortization	6,021	3,890	11,987		7,967
Non-cash stock compensation	15,757	11,938	30,788		20,528
Restructuring charges	3,660	300	3,562		614
Separation and transformation costs	5,442	1,455	12,561		1,455
Income (loss) from operations	453	7,120	(5,254	)	15,282
Some totals may not add due to rounding.

11

ACXIOM CORPORATION AND SUBSIDIARIES
RECONCILIATION OF ADJUSTED EBITDA (1)
(Unaudited)
(Dollars in thousands)
	For the Three Months Ended				For the Six Months Ended
	September 30,				September 30,
	2017		2016		2017		2016
Net earnings (loss)	(3,336	)	7,140		(4,636	)	11,116
Income taxes	1,457		(1,916	)	(5,964	)	765
Other expense	(2,332	)	(1,896	)	(5,346	)	(3,401	)
Income (loss) from operations	453		7,120		(5,254	)	15,282
Depreciation and amortization	21,409		20,360		42,519		41,150
EBITDA	21,862		27,480		37,265		56,432
Other adjustments:
Non-cash stock compensation (cost of revenue and operating expenses)	15,757		11,938		30,788		20,528
Gains, losses, and other items, net	3,660		300		3,562		614
Separation and transformation costs (general and administrative)	5,442		1,455		12,561		1,455
Other adjustments	24,859		13,693		46,911		22,597
Adjusted EBITDA	46,721		41,173		84,176		79,029

(1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.

12

ACXIOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
	September 30,		March 31,		$		%
	2017		2017		Variance		Variance
Assets
Current assets:
Cash and cash equivalents	169,507		170,343		(836	)	(0.5	)%
Trade accounts receivable, net	141,285		142,768		(1,483	)	(1.0	)%
Refundable income taxes	9,718		7,098		2,620		36.9	%
Other current assets	47,394		48,310		(916	)	(1.9	)%
Total current assets	367,904		368,519		(615	)	(0.2	)%
Property and equipment	477,999		476,281		1,718		0.4	%
Less - accumulated depreciation and amortization	326,944		320,307		6,637		2.1	%
Property and equipment, net	151,055		155,974		(4,919	)	(3.2	)%
Software, net of accumulated amortization	41,087		47,638		(6,551	)	(13.8	)%
Goodwill	592,845		592,731		114		—	%
Purchased software licenses, net of accumulated amortization	6,765		7,972		(1,207	)	(15.1	)%
Deferred income taxes	12,309		10,261		2,048		20.0	%
Other assets, net	44,807		51,443		(6,636	)	(12.9	)%
	1,216,772		1,234,538		(17,766	)	(1.4	)%
Liabilities and Stockholders' Equity
Current liabilities:
Current installments of long-term debt	2,089		39,819		(37,730	)	(94.8	)%
Trade accounts payable	46,966		40,208		6,758		16.8	%
Accrued payroll and related expenses	28,455		53,238		(24,783	)	(46.6	)%
Other accrued expenses	57,914		59,861		(1,947	)	(3.3	)%
Deferred revenue	29,411		37,087		(7,676	)	(20.7	)%
Total current liabilities	164,835		230,213		(65,378	)	(28.4	)%
Long-term debt	228,045		189,241		38,804		20.5	%
Deferred income taxes	54,256		58,374		(4,118	)	(7.1	)%
Other liabilities	16,540		17,730		(1,190	)	(6.7	)%
Stockholders' equity:
Common stock	13,478		13,288		190		1.4	%
Additional paid-in capital	1,197,083		1,154,429		42,654		3.7	%
Retained earnings	600,215		602,609		(2,394	)	(0.4	)%
Accumulated other comprehensive income	9,410		7,999		1,411		17.6	%
Treasury stock, at cost	(1,067,090	)	(1,039,345	)	(27,745	)	(2.7	)%
Total stockholders' equity	753,096		738,980		14,116		1.9	%
	1,216,772		1,234,538		(17,766	)	(1.4	)%

13

ACXIOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(Dollars in thousands)
	For the Three Months Ended
	September 30,
	2017		2016
Cash flows from operating activities:
Net earnings (loss)	(3,336	)	7,140
Non-cash operating activities:
Depreciation and amortization	21,409		20,360
Loss (gain) on disposal or impairment of assets	2,248		(629	)
Deferred income taxes	(5,735	)	(5,861	)
Non-cash stock compensation expense	15,758		11,914
Changes in operating assets and liabilities:
Accounts receivable	(9,344	)	(11,051	)
Other assets	(171	)	(1,704	)
Accounts payable and other liabilities	10,231		19,241
Deferred revenue	(3,250	)	(3,928	)
Net cash provided by operating activities	27,810		35,482
Cash flows from investing activities:
Capitalized software	(3,756	)	(3,893	)
Capital expenditures	(7,630	)	(9,845	)
Data acquisition costs	(233	)	(247	)
Net cash received in disposition	4,000		16,988
Net cash provided by (used in) investing activities	(7,619	)	3,003
Cash flows from financing activities:
Payments of debt	(578	)	(8,058	)
Sale of common stock, net of stock acquired for withholding taxes	6,234		4,326
Excess tax benefits from share-based compensation	—		901
Acquisition of treasury stock	(19,776	)	(10,335	)
Net cash used in financing activities	(14,120	)	(13,166	)
Effect of exchange rate changes on cash	290		(70	)
Net change in cash and cash equivalents	6,361		25,249
Cash and cash equivalents at beginning of period	163,146		150,160
Cash and cash equivalents at end of period	169,507		175,409
Supplemental cash flow information:
Cash paid during the period for:
Interest	2,387		1,704
Income taxes	470		273

14

ACXIOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
(Dollars in thousands)
	For the Six Months Ended
	September 30,
	2017		2016
Cash flows from operating activities:
Net earnings (loss)	(4,636	)	11,116
Non-cash operating activities:
Depreciation and amortization	42,519		41,150
Loss (gain) on disposal or impairment of assets	2,411		(629	)
Accelerated deferred debt costs	720		—
Deferred income taxes	(3,238	)	(6,539	)
Non-cash stock compensation expense	30,796		20,504
Changes in operating assets and liabilities:
Accounts receivable	2,616		(1,564	)
Other assets	(3,548	)	3,679
Accounts payable and other liabilities	(26,842	)	(21,780	)
Deferred revenue	(8,037	)	(9,705	)
Net cash provided by operating activities	32,761		36,232
Cash flows from investing activities:
Capitalized software	(7,144	)	(7,875	)
Capital expenditures	(14,518	)	(20,539	)
Data acquisition costs	(423	)	(267	)
Net cash received in disposition	4,000		16,988
Net cash used in investing activities	(18,085	)	(11,693	)
Cash flows from financing activities:
Proceeds from debt	230,000		—
Payments of debt	(226,150	)	(16,111	)
Fees for debt refinancing	(4,001	)	—
Sale of common stock, net of stock acquired for withholding taxes	3,695		7,300
Excess tax benefits from share-based compensation	—		1,415
Acquisition of treasury stock	(19,776	)	(30,542	)
Net cash used in financing activities	(16,232	)	(37,938	)
Effect of exchange rate changes on cash	720		(821	)
Net change in cash and cash equivalents	(836	)	(14,220	)
Cash and cash equivalents at beginning of period	170,343		189,629
Cash and cash equivalents at end of period	169,507		175,409
Supplemental cash flow information:
Cash paid during the period for:
Interest	4,762		3,962
Income taxes	824		197

15

ACXIOM CORPORATION AND SUBSIDIARIES
CALCULATION OF FREE CASH FLOW TO EQUITY (1)
(Unaudited)
(Dollars in thousands)
		6/30/2016		9/30/2016		12/31/2016		3/31/2017		FY2017		6/30/2017		9/30/2017		YTD FY2018
Net Cash Provided by Operating Activities		750		35,482		48,933		30,665		115,830		4,951		27,810		32,761
Less (plus):
	Capitalized software	(3,982	)	(3,893	)	(3,296	)	(3,306	)	(14,477	)	(3,388	)	(3,756	)	(7,144	)
	Capital expenditures	(10,694	)	(9,845	)	(9,557	)	(17,897	)	(47,993	)	(6,888	)	(7,630	)	(14,518	)
	Data acquisition costs	(20	)	(247	)	(196	)	(418	)	(881	)	(190	)	(233	)	(423	)
	Required debt payments	(8,053	)	(8,058	)	(8,062	)	(8,070	)	(32,243	)	(572	)	(578	)	(1,150	)
	Net cash received in disposition	—		16,988		—		—		16,988		—		4,000		4,000
	Proceeds from sales of assets	—		—		—		25,494		25,494		—		—		—
Free Cash Flow to Equity		(21,999	)	30,427		27,822		26,468		62,718		(6,087	)	19,613		13,526

(1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.

16

ACXIOM CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(Dollars in thousands, except per share amounts)
																		Q2 FY18 to Q2 FY17
		6/30/2016		9/30/2016		12/31/2016		3/31/2017		FY2017		6/30/2017		9/30/2017		YTD FY2018		%		$
	Revenues	214,801		217,267		223,312		224,867		880,247		212,514		225,240		437,754		3.7	%	7,973
	Cost of revenue	122,819		120,105		116,468		118,294		477,686		113,960		115,072		229,032		(4.2	)%	(5,033	)
	Gross profit	91,982		97,162		106,844		106,573		402,561		98,554		110,168		208,722		13.4	%	13,006
	% Gross margin	42.8	%	44.7	%	47.8	%	47.4	%	45.7	%	46.4	%	48.9	%	47.7	%
	Operating expenses
	Research and development	18,652		19,029		20,950		23,478		82,109		23,563		24,013		47,576		26.2	%	4,984
	Sales and marketing	37,348		37,847		43,048		48,433		166,676		48,440		50,118		98,558		32.4	%	12,271
	General and administrative	27,506		32,866		31,620		37,721		129,714		32,356		31,924		64,280		(2.9	)%	(942	)
	Gains, losses and other items, net	314		300		2,111		5,650		8,373		(98	)	3,660		3,562		1,121.6	%	3,360
	Total operating expenses	83,820		90,042		97,729		115,282		386,872		104,261		109,715		213,976		21.8	%	19,673
	Income (loss) from operations	8,162		7,120		9,115		(8,709	)	15,689		(5,707	)	453		(5,254	)	(93.6	)%	(6,667	)
	% Margin	3.8	%	3.3	%	4.1	%	(3.9	)%	1.8	%	(2.7	)%	0.2	%	(1.2	)%
	Other income (expense)
	Interest expense	(1,812	)	(1,689	)	(1,743	)	(2,137	)	(7,381	)	(2,342	)	(2,524	)	(4,866	)	(49.4	)%	(835	)
	Other, net	307		(207	)	35		199		334		(672	)	192		(480	)	192.8	%	399
	Total other expense	(1,505	)	(1,896	)	(1,708	)	(1,937	)	(7,047	)	(3,014	)	(2,332	)	(5,346	)	(23.0	)%	(436	)
	Earnings (loss) before income taxes	6,657		5,224		7,407		(10,646	)	8,642		(8,721	)	(1,879	)	(10,600	)	(136.0	)%	(7,103	)
	Income taxes	2,681		(1,916	)	6,334		(2,565	)	4,534		(7,421	)	1,457		(5,964	)	176.0	%	3,373
	Net earnings (loss)	3,976		7,140		1,073		(8,081	)	4,108		(1,300	)	(3,336	)	(4,636	)	(146.7	)%	(10,476	)
	Diluted earnings (loss) per share	0.05		0.09		0.01		(0.10	)	0.05		(0.02	)	(0.04	)	(0.06	)	(146.7	)%	(0.13	)
	Some earnings (loss) per share amounts may not add due to rounding.

17

ACXIOM CORPORATION AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP EPS (1)
(Unaudited)
(Dollars in thousands, except per share amounts)
	6/30/2016	9/30/2016		12/31/2016	3/31/2017		FY2017		6/30/2017		9/30/2017		YTD FY2018
Earnings (loss) before income taxes	6,657	5,224		7,407	(10,646	)	8,642		(8,721	)	(1,879	)	(10,600	)
Income taxes	2,681	(1,916	)	6,334	(2,565	)	4,534		(7,421	)	1,457		(5,964	)
Net earnings (loss)	3,976	7,140		1,073	(8,081	)	4,108		(1,300	)	(3,336	)	(4,636	)
Earnings (loss) per share:
Basic	0.05	0.09		0.01	(0.10	)	0.05		(0.02	)	(0.04	)	(0.06	)
Diluted	0.05	0.09		0.01	(0.10	)	0.05		(0.02	)	(0.04	)	(0.06	)
Excluded items:
Purchased intangible asset amortization (cost of revenue)	4,077	3,890		4,621	6,056		18,644		5,966		6,021		11,987
Non-cash stock compensation (cost of revenue and operating expenses)	8,590	11,938		13,427	15,190		49,145		15,031		15,757		30,788
Restructuring and merger charges (gains, losses, and other)	314	300		2,111	7,321		10,045		(98	)	3,660		3,562
Gain on sales of assets (gains, losses and other)	—	—		—	(1,671	)	(1,671	)	—		—		—
Separation and transformation costs (general and administrative)	—	1,455		4,118	3,066		8,639		7,119		5,442		12,561
Total excluded items	12,981	17,583		24,277	29,962		84,803		28,018		30,880		58,898
Earnings before income taxes and excluding items	19,638	22,807		31,684	19,315		93,444		19,297		29,001		48,298
Income taxes	7,852	8,910		12,751	7,139		36,652		7,720		11,289		19,009
Non-GAAP net earnings	11,786	13,897		18,933	12,177		56,792		11,577		17,712		29,289
Non-GAAP earnings per share:
Basic	0.15	0.18		0.24	0.16		0.73		0.15		0.22		0.37
Diluted	0.15	0.18		0.24	0.15		0.71		0.14		0.22		0.36
Basic weighted average shares	77,471	77,446		77,507	78,012		77,609		78,672		79,235		78,954
Diluted weighted average shares	79,353	79,277		79,851	80,912		79,848		81,440		81,472		81,456
Some totals may not add due to rounding

(1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures and the material limitations on the usefulness of these measures, please see Appendix A.

18

ACXIOM CORPORATION AND SUBSIDIARIES
RESULTS BY SEGMENT
(Unaudited)
(Dollars in thousands)
																		Q2 FY18 to Q2 FY17
		6/30/2016		9/30/2016		12/31/2016		3/31/2017		FY2017		6/30/2017		9/30/2017		YTD FY2018		%		$
Revenues:
	Marketing Services	109,715		105,679		101,177		94,269		410,840		91,594		94,042		185,636		(11.0	)%	(11,637	)
	Audience Solutions	73,744		78,526		83,399		86,396		322,065		75,734		78,814		154,548		0.4	%	288
	Connectivity	31,342		33,062		38,736		44,203		147,342		45,186		52,384		97,570		58.4	%	19,322
	Total operating segment revenues	214,801		217,267		223,312		224,867		880,247		212,514		225,240		437,754		3.7	%	7,973
Gross profit:
	Marketing Services	37,466		34,480		37,494		31,207		140,647		31,358		34,320		65,678		(0.5	)%	(160	)
	Audience Solutions	41,912		47,998		53,120		55,154		198,185		47,210		48,321		95,531		0.7	%	323
	Connectivity	17,575		19,843		23,091		27,742		88,251		27,525		35,292		62,817		77.9	%	15,449
	Total operating segment gross profit	96,953		102,321		113,705		114,104		427,084		106,093		117,933		224,026		15.3	%	15,612
Gross margin %:
	Marketing Services	34.1	%	32.6	%	37.1	%	33.1	%	34.2	%	34.2	%	36.5	%	35.4	%
	Audience Solutions	56.8	%	61.1	%	63.7	%	63.8	%	61.5	%	62.3	%	61.3	%	61.8	%
	Connectivity	56.1	%	60.0	%	59.6	%	62.8	%	59.9	%	60.9	%	67.4	%	64.4	%
	Total operating segment gross margin	45.1	%	47.1	%	50.9	%	50.7	%	48.5	%	49.9	%	52.4	%	51.2	%
Income (loss) from operations:
	Marketing Services	20,145		19,837		21,127		19,513		80,622		19,784		21,874		41,657		10.3	%	2,037
	Audience Solutions	25,096		29,972		34,572		33,598		123,238		28,542		29,497		58,039		(1.6	)%	(475	)
	Connectivity	291		1,663		1,877		1,502		5,333		(48	)	5,715		5,667		243.7	%	4,052
	Total operating segment income from operations	45,532		51,472		57,576		54,613		209,193		48,277		57,086		105,364		10.9	%	5,614
Operating income (loss) margin %:
	Marketing Services	18.4	%	18.8	%	20.9	%	20.7	%	19.6	%	21.6	%	23.3	%	22.4	%
	Audience Solutions	34.0	%	38.2	%	41.5	%	38.9	%	38.3	%	37.7	%	37.4	%	37.6	%
	Connectivity	0.9	%	5.0	%	4.8	%	3.4	%	3.6	%	(0.1	)%	10.9	%	5.8	%
	Total operating segment operating margin	21.2	%	23.7	%	25.8	%	24.3	%	23.8	%	22.7	%	25.3	%	24.1	%
Some totals may not add due to rounding.

19

ACXIOM CORPORATION AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP EPS GUIDANCE (1)
(Unaudited)
(Dollars in thousands, except per share amounts)
	For the year ending
	March 31, 2018
	Low Range			High Range
Earnings (loss) before income taxes	(500		)	5,000
Income taxes	6,000			8,500
Net loss	(6,500		)	(3,500		)
Diluted loss per share	$	(0.08	)	$	(0.04	)
Excluded items:
Purchased intangible asset amortization	24,000			24,000
Non-cash stock compensation	65,000			65,000
Gains, losses and other items, net	4,000			4,000
Separation and transformation costs	17,500			17,500
Total excluded items	110,500			110,500
Earnings before income taxes and excluding items	110,000			115,500
Income taxes (2)	44,000			45,600
Non-GAAP net earnings	66,000			69,900
Non-GAAP diluted earnings per share	$	0.80		$	0.85
Basic weighted average shares	79,500			79,500
Diluted weighted average shares	82,500			82,500

(1) This presentation includes non-GAAP measures. Our non-GAAP measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures, and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP. For a detailed explanation of the adjustments made to comparable GAAP measures, the reasons why management uses these measures, the usefulness of these measures and the material limitations on the usefulness of these measures, please see Appendix A.

(2) Income taxes were calculated using an effective non-GAAP tax rate of 39.5% to 40.0%. The difference between our GAAP and Non-GAAP tax rates was due to the effect of excluded items.

20

APPENDIX A

ACXIOM CORPORATION

Q2 FISCAL 2018 FINANCIAL RESULTS

EXPLANATION OF NON-GAAP MEASURES

To supplement our financial results, we use non-GAAP measures which exclude certain acquisition related expenses, non-cash stock compensation and restructuring charges. We believe these measures are helpful in understanding our past performance and our future results. Our non-GAAP financial measures and schedules are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated GAAP financial statements. Our management regularly uses these non-GAAP financial measures internally to understand, manage and evaluate our business and to make operating decisions. These measures are among the primary factors management uses in planning for and forecasting future periods. Compensation of our executives is also based in part on the performance of our business based on these non-GAAP measures.

Our non-GAAP financial measures, including non-GAAP earnings per share, income from operations and adjusted EBITDA reflect adjustments based on the following items, as well as the related income tax effects when applicable:

Purchased intangible asset amortization: We incur amortization of purchased intangibles in connection with our acquisitions. Purchased intangibles include (i) developed technology, (ii) customer and publisher relationships, and (iii) trade names. We expect to amortize for accounting purposes the fair value of the purchased intangibles based on the pattern in which the economic benefits of the intangible assets will be consumed as revenue is generated. Although the intangible assets generate revenue for us, we exclude this item because this expense is non-cash in nature and because we believe the non-GAAP financial measures excluding this item provide meaningful supplemental information regarding our operational performance.

Non-cash stock compensation: Non-cash stock compensation consists of charges for associate restricted stock units, performance shares and stock options in accordance with current GAAP related to stock-based compensation including expense associated with stock-based compensation related to unvested options assumed in connection with our acquisitions. As we apply stock-based compensation standards, we believe that it is useful to investors to understand the impact of the application of these standards to our operational performance. Although stock-based compensation expense is calculated in accordance with current GAAP and constitutes an ongoing and recurring expense, such expense is excluded from non-GAAP results because it is not an expense that typically requires or will require cash settlement by us and because such expense is not used by us to assess the core profitability of our business operations.

Restructuring charges: During the past several years, we have initiated certain restructuring activities in order to align our costs in connection with both our operating plans and our business strategies based on then-current economic conditions. As a result, we recognized costs related to termination benefits for associates whose positions were eliminated, lease termination charges, and leasehold improvement write offs. These items, reported as gains, losses, and other items, net, are excluded from non-GAAP results because such amounts are not used by us to assess the core profitability of our business operations.

Separation and transformation costs: In previous years, we incurred significant expenses in connection with the separation of our IT Infrastructure Management ("ITO") and the subsequent transformation of our remaining operating segments. This work enabled us to transform our external reporting and provide investors with enhanced transparency and more granular segment-level disclosures in addition to facilitating the ITO disposition. In the prior and current year, we are incurring expenses to further separate the financial statements of our three operating segments, with particular focus on segment-level balance sheets, and to evaluate portfolio priorities. Our criteria for excluding separation and transformation expenses from our non-GAAP measures is as follows: 1) projects are discrete in nature; 2) excluded expenses consist only of third-party consulting fees that we would not incur otherwise; and 3) we do not exclude employee related expenses or other costs associated with the ongoing operations of our business. We expect to complete these current projects in this fiscal year. We believe excluding these items from our non-GAAP financials measures is useful for investors and provides meaningful supplemental information.

Our non-GAAP financial schedules are:

Non-GAAP EPS and Non-GAAP Income (loss) from Operations: Our non-GAAP earnings per share and Non-GAAP income (loss) from operations reflect adjustments as described above, as well as the related tax effects where applicable.

21

Adjusted EBITDA: Adjusted EBITDA is defined as net income (loss) from continuing operations before income taxes, other expenses, depreciation and amortization, and including adjustments as described above. We use Adjusted EBITDA to measure our performance from period to period both at the consolidated level as well as within our operating segments and to compare our results to those of our competitors. We believe that the inclusion of Adjusted EBITDA provides useful supplementary information to and facilitates analysis by investors in evaluating the Company's performance and trends. The presentation of Adjusted EBITDA is not meant to be considered in isolation or as an alternative to net earnings as an indicator of our performance.

Free Cash Flow to Equity: To supplement our statement of cash flows, we use a non-GAAP measure of cash flow to analyze cash flows generated from operations. Free cash flow to equity is defined as operating cash flow less cash used by investing activities (excluding the impact of cash paid in acquisitions), less required payments of debt, and excluding the impact of discontinued operations. Management believes that this measure of cash flow is meaningful since it represents the amount of money available from continuing operations for the Company's discretionary spending after funding all required obligations including scheduled debt payments. The presentation of non-GAAP free cash flow to equity is not meant to be considered in isolation or as an alternative to cash flows from operating activities as a measure of liquidity.

22