4 unchanged sentences
Interest Rate Risk
−Removed: We had total cash, cash equivalents, and restricted cash of $130.8 million as of September 30, 2023, which consisted of a money market fund, cash in readily available checking accounts, and overnight repurchase investments.
−Removed: These instruments, which are not dependent on interest rate fluctuations that may cause principal amounts to fluctuate, are held for reinvestment and working capital purchases.
−Removed: In addition, as of September 30, 2023, we held $38.7 million of fixed income securities such as U.S.
−Removed: Treasuries, commercial paper, corporate bonds, and agency bonds.
−Removed: These securities are subject to market risk due to fluctuations in interest rates, which may affect our interest income and the fair value of our investments.
−Removed: We classify investments as available-for-sale, including those with stated maturities beyond twelve months.
−Removed: As such, no gains or losses due to changes in interest rates are recognized in our condensed consolidated statements of operations unless such securities are sold prior to maturity or due to expected credit losses.
−Removed: A hypothetical 100 basis point change in interest rates would not have had a material effect on the fair market value of our investment portfolio as of September 30, 2023.
−Removed: To date, fluctuations in interest income have also not been significant.
−Removed: Our investments are made for the purpose of preserving capital, fulfilling liquidity needs, and maximizing total return.
−Removed: We do not enter into investments for trading or speculative purposes.
−Removed: As of September 30, 2023, our outstanding principal debt balance is $207.4 million, which carries interest as defined in our Credit Agreement.
+Added: We had cash and cash equivalents of $170.1 million as of March 31, 2024, which consisted of investments in money market funds, cash in readily available checking accounts, and overnight repurchase investments.
+Added: As of March 31, 2024, we had outstanding principal debt of $255.1 million, which carries interest as defined in our Credit Agreement.
Refer to Note 8 of the condensed consolidated financial statements in this Quarterly Report on Form 10-Q for additional details.
We assessed our exposure to changes in interest rates by analyzing sensitivity to our operating results, assuming various changes in market interest rates.
−Removed: A hypothetical increase of one percentage point in the interest rate as of September 30, 2023 would increase our interest expense by approximately $2.1 million annually.
+Added: A hypothetical increase of one percentage point in the interest rate as of March 31, 2024 would increase our interest expense by approximately $2.5 million annually.
Inflation Risk
We are exposed to market risks related to inflation in personnel costs, third-party service providers, subcontracting costs, professional fees, and general overhead expenses.
−Removed: During 2022 and continuing into 2023, inflation increased to rates beyond recent history, and as a result we experienced rising costs.
−Removed: If these inflationary pressures continue or increase in severity, we may not be able to fully offset such higher costs through price increases and productivity initiatives.
+Added: Although inflation has decreased from the relative highs experienced in 2022, if inflation pressure increases in severity, we may not be able to fully offset such higher costs through price increases and productivity initiatives.
While we do not believe inflation has had a material impact on our results of operations to date, a continued high rate of inflation in the future may have an adverse effect on our ability to maintain operating costs and adversely affect our gross profit margin.
2 unchanged sentences
Due to our international operations, we have foreign currency risks related to revenue and operating expenses denominated in currencies other than the U.S.
−Removed: dollar, primarily the Australian dollar, Swiss franc, British pound, and Euro.
−Removed: Our international sales contracts are primarily denominated in the local currency of the customer making the purchase.
−Removed: In addition, a portion of operating expenses are incurred outside the United States and are denominated in foreign currencies.
−Removed: Increases in the relative value of the U.S.
−Removed: dollar to other currencies will negatively affect revenue and net operating results as expressed in U.S.
−Removed: Based on a sensitivity analysis, a 10% change in the foreign currency exchange rates for the nine months ended September 30, 2023 would have impacted our total revenue by approximately 3% and operating loss by approximately 2%.
+Added: dollar, primarily the British pound sterling, Euro, Australian dollar, and Swiss franc.
+Added: Our sales contracts are primarily denominated in the local currency of the customer making the purchase.
+Added: In addition, portions of operating expenses are incurred outside the United States and are denominated in foreign currencies.
+Added: An increase in the relative value of the U.S.
+Added: dollar to other currencies will negatively affect revenue and other operating results as expressed in U.S.
+Added: Based on a sensitivity analysis, a 10% change in the foreign currency exchange rates for the three months ended March 31, 2024 would have impacted our total revenue by approximately 3% and operating loss by approximately 4%.
This calculation assumes all currencies change in the same direction and proportion relative to the U.S.
2 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.