3 unchanged sentences
A significant downturn in this market or changes in state and/or federal laws impacting the preferential tax treatment of healthcare accounts such as HSAs could have a material adverse effect on our results of operations.
−Removed: During the three months ended April 30, 2023 and 2022, no one customer accounted for greater than 10% of our total revenue.
+Added: During the six months ended July 31, 2023 and 2022, no one customer accounted for greater than 10% of our total revenue.
We monitor market and regulatory changes regularly and make adjustments to our business if necessary.
4 unchanged sentences
We maintain our cash and cash equivalents in bank and other depository accounts, which frequently may exceed federally insured limits.
−Removed: Our cash and cash equivalents as of April 30, 2023 and January 31, 2023 were $225.6 million and $254.3 million, respectively, the vast majority of which was not covered by federal depository insurance.
+Added: Our cash and cash equivalents as of July 31, 2023 and January 31, 2023 were $290.3 million and $254.3 million, respectively, the vast majority of which was not covered by federal depository insurance.
We have not experienced any material losses in such accounts.
−Removed: Our accounts receivable balance as of April 30, 2023 and January 31, 2023 was $98.4 million and $96.8 million, respectively.
+Added: Our accounts receivable balance as of July 31, 2023 and January 31, 2023 was $92.6 million and $96.8 million, respectively.
We have not experienced any significant write-offs to our accounts receivable and believe that we are not exposed to significant credit risk with respect to our accounts receivable.
3 unchanged sentences
HSA Assets consist of custodial HSA funds we hold in custody on behalf of our members.
−Removed: As of April 30, 2023 and January 31, 2023, we held in custody HSA Assets of $22.3 billion and $22.1 billion, respectively.
+Added: As of July 31, 2023 and January 31, 2023, we held in custody HSA Assets of $23.2 billion and $22.1 billion, respectively.
As a non-bank custodian, we contract with our Depository Partners and insurance company partners to hold custodial cash assets on behalf of our members, and we earn a significant portion of our total revenue from interest paid to us by these partners.
2 unchanged sentences
As HSA Assets increase and existing contracts with Depository Partners expire, we seek to enter into new contracts with Depository Partners, the terms of which are impacted by the then-prevailing interest rate environment.
−Removed: The diversification of HSA Assets held by our Depository Partners and insurance company partners, and varied contract terms, substantially reduces our exposure to short-term fluctuations in prevailing interest rates and mitigates the short-term impact of a sustained increase or decline in prevailing interest rates on our custodial revenue.
+Added: The diversification of
+Added: HSA Assets held by our Depository Partners and insurance company partners, and varied contract terms, substantially reduces our exposure to short-term fluctuations in prevailing interest rates and mitigates the short-term impact of a sustained increase or decline in prevailing interest rates on our custodial revenue.
A sustained decline in prevailing interest rates may negatively affect our business by reducing the size of the interest rate yield, or yield, available to us and thus the amount of the custodial revenue we can realize.
5 unchanged sentences
Client-held funds are interest earning deposits from which we generate custodial revenue.
−Removed: As of April 30, 2023 and January 31, 2023, we held Client-held funds of $926 million and $901 million, respectively.
+Added: As of July 31, 2023 and January 31, 2023, we held Client-held funds of $811 million and $901 million, respectively.
These deposits are amounts remitted by Clients and held by us on their behalf to pre-fund and facilitate administration of our other CDBs.
1 unchanged sentence
We deposit the Client-held funds with our Depository Partners in interest-bearing, demand deposit accounts that have a floating interest rate and no set term or duration.
−Removed: A sustained decline in prevailing interest rates may negatively affect our business by reducing the size of the yield
−Removed: available to us and thus the amount of the custodial revenue we can realize from Client-held funds.
+Added: A sustained decline in prevailing interest rates may negatively affect our business by reducing the size of the yield available to us and thus the amount of the custodial revenue we can realize from Client-held funds.
Conversely, a sustained increase in prevailing interest rates may increase our yield.
4 unchanged sentences
and include deposits in a money market account that is unrestricted as to withdrawal or use.
−Removed: As of April 30, 2023 and January 31, 2023, we had unrestricted cash and cash equivalents of $225.6 million and $254.3 million, respectively.
+Added: As of July 31, 2023 and January 31, 2023, we had unrestricted cash and cash equivalents of $290.3 million and $254.3 million, respectively.
Due to the short-term nature of these instruments, we believe that we do not have any material exposure to changes in the fair value of our cash and cash equivalents as a result of changes in interest rates.
Long-term debt.
−Removed: As of April 30, 2023 and January 31, 2023, we had $286.9 million and $341.3 million, respectively, outstanding under our term loan facility and no amounts drawn under our Revolving Credit Facility.
+Added: As of July 31, 2023 and January 31, 2023, we had $286.9 million and $341.3 million, respectively, outstanding under our term loan facility and no amounts drawn under our Revolving Credit Facility.
Our overall interest rate sensitivity under these credit facilities is primarily influenced by any amounts borrowed and the prevailing interest rates on these instruments.
−Removed: The stated interest rate on our term loan credit facility and Revolving Credit Facility is variable and was 6.56% at April 30, 2023.
+Added: The stated interest rate on our term loan credit facility and Revolving Credit Facility is variable and was 6.92% at July 31, 2023.
Accordingly, we may incur additional expense if interest rates further increase in future periods.
−Removed: For example, a one percent increase in the interest rate on the amount outstanding under our credit facilities at April 30, 2023 would result in approximately $2.9 million of additional interest expense over the next 12 months.
+Added: For example, a one percent increase in the interest rate on the amount outstanding under our credit facilities as of July 31, 2023 would result in approximately $2.9 million of additional interest expense over the next 12 months.
The interest rate on our $600 million of unsecured Senior Notes due 2029 is fixed at 4.50%.
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.