GIBRALTAR INDUSTRIES, INC.

APPENDIX B - NON-GAAP MEASUREMENTSThe Company provides certain non-GAAP financial measures in this proxy statement that are not in accordance with GAAP. Adjusted net income reflects the Company's net income as determined pursuant to GAAP, but excludes special charges consisting of restructuring costs (primarily associated with 80/20 simplification, lean initiatives and/or discontinued products), senior leadership transition costs, acquisition related costs, intangible asset impairment and portfolio management. The aforementioned exclusions along with other adjustments to other income below operating profit are excluded from Adjusted EPS. ROIC is return divided by average invested capital, where return (net income plus interest, net of taxes, plus amortization, net of taxes, less dividends) is divided by the average of invested capital (funded debt less cash and marketable securities plus total stockholders’ equity) at the beginning and end of each calendar year in the performance period. DWC is the 13-month average of accounts receivable and inventory less accounts payable for each month end between December 31, 2023 and December 31, 2024 divided by the average daily net sales (net sales divided by 360 days). Free cash flow is cash flows from operating activities minus purchase of property, plant, and equipment, net as presented on a GAAP basis. Free cash flow % of net sales is net sales divided by free cash flow.The following summarizes the level of attainment for each financial performance goal during the years ended December 31, (dollar amounts in thousands, except per share data):

(1)Average adjusted net working capital represents the 13-month average of accounts receivable and inventory less accounts payable for each month end between December 31, 2023 and December 31, 2024.(2)Income from continuing operations, as reported for 2021.(3)Average adjusted invested capital represents the 13-month average of total stockholders’ equity adjusted for special charges plus debt, minus cash for the periods ended December 31, 2024, 2023, 2022, 2021 and 2020, respectively.

Free cash flow is cash flows from operating activities minus purchase of property, plant, and equipment, net as presented on a GAAP basis. Free cash flow as a % of net sales is net sales divided by free cash flow. In evaluating its business, the Company considers and uses free cash flows and free cash flow as a % of net sales as a supplemental measure of its operating performance. The following summarizes free cash flow as a % of net sales for the year ended December 31, 2024 (dollar amounts in thousands):