As required by the 2019 TaskUs, Inc. Stock Incentive Plan and TaskUs, Inc. 2021 Omnibus Incentive Plan (collectively, the "Incentive Plans"), the Company made proportionate adjustments to the terms of outstanding awards in conjunction with the special cash dividend of $3.65 per share (the "Equity Adjustment"). The Company determined that the Equity Adjustment was a modification of the outstanding awards in conjunction with an equity restructuring, in accordance with Accounting Standards Codification Topic 718, Compensation - Stock Compensation. The awards were adjusted as follows:

•Each vested, in-the-money stock option will receive a payment of $3.65, resulting in $1.2 million stock-based compensation expense recognized primarily in selling, general and administrative expense on the condensed consolidated statements of income for the six months ended June 30, 2026.

•Each unvested restricted stock unit ("RSU") and performance stock unit ("PSU") will receive a payment of $3.65 upon vesting, which did not result in a change in fair value of the awards. The Equity Adjustment resulted in a reclassification of $6.7 million from additional paid-in capital to accrued payroll and employee-related liabilities for the portion of the cash payment earned at the time of the Equity Adjustment for prior service. The unearned portion of the cash payment will be recognized as future service is provided.

•The exercise price for each out-of-the-money stock option was reduced so the intrinsic value did not change. The Equity Adjustment did not result in a change in fair value of the awards.


	Options			RSUs			PSUs
	Number of options	Weighted - average exercise price(1)		Number of RSUs	Weighted - average grant date fair value(2)		Number of PSUs	Weighted - average grant date fair value(2)(3)
Outstanding at January 1, 2026	3,599,988	$	22.19	3,570,679	$	13.96	636,198	$	12.51
Granted	—	$	—	2,058,661	$	10.01	356,136	$	10.60
Exercised or released	(20,494)	$	3.81	(1,594,394)	$	15.05	(74,914)	$	13.33
Forfeited, cancelled, or expired	(241,487)	$	26.49	(436,645)	$	11.79	(117,363)	$	12.15
Outstanding at June 30, 2026	3,338,007	$	18.46	3,598,301	$	11.49	800,057	$	11.87

(1) Outstanding at June 30, 2026 includes the exercise price reduction for out-of-the-money stock options.

The PSUs granted during the six months ended June 30, 2026 vest contingently over three years subject to continued service and the achievement of certain Revenue and Adjusted EBITDA targets (performance conditions). The performance targets for the second and third tranches of these awards shall be determined by the Compensation Committee of the Board of Directors during the first fiscal quarter of each year. As a result, there is no grant date or grant date fair value for these tranches since there is not a mutual understanding between the grantor and grantee of the key terms and conditions.


	Three months ended June 30,				Six months ended June 30,
(in thousands)	2026		2025		2026		2025
Cost of services	$	226	$	250	$	517	$	452
Selling, general and administrative expense	3,541		8,057		9,821		16,604
Total	$	3,767	$	8,307	$	10,338	$	17,056

As of June 30, 2026, there was $23.8 million and $0.7 million of unrecognized compensation expense related to the Company’s unvested RSUs and PSUs, respectively, that is expected to be recognized over a weighted-average period of 1.5 years and 0.6 years, respectively. Certain PSUs contain performance conditions, which may result in a different amount of expense recognized over the term of the awards.