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 six months ended July 31, 2024 and 2023, no one customer accounted for greater than 10% of our total revenue.
+Added: During the nine months ended October 31, 2024 and 2023, 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.
Inflationary factors may adversely affect our operating results.
−Removed: Although we do not believe that inflation has had a material impact on our financial position or results of operations to date, the current high rate of inflation may have an adverse effect on our ability to maintain current levels of expenses as a percentage of revenue if our revenue does not correspondingly increase with inflation.
+Added: Although we do not believe that inflation has had a material impact on our financial position or results of operations to date, a high rate of inflation in the
+Added: future may have an adverse effect on our ability to maintain current levels of expenses as a percentage of revenue if our revenue does not correspondingly increase with inflation.
Concentration of credit risk
1 unchanged sentence
We maintain our cash and cash equivalents in bank and other depository accounts, which frequently exceed federally insured limits.
−Removed: Our cash and cash equivalents as of July 31, 2024 and January 31, 2024 were $326.9 million and $404.0 million, respectively, the vast majority of which was not covered by federal depository insurance.
+Added: Our cash and cash equivalents as of October 31, 2024 and January 31, 2024 were $322.2 million and $404.0 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 July 31, 2024 and January 31, 2024 was $108.5 million and $104.9 million, respectively.
+Added: Our accounts receivable balance as of October 31, 2024 and January 31, 2024 was $106.7 million and $104.9 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 July 31, 2024 and January 31, 2024, we held in custody HSA Assets of $29.5 billion and $25.2
−Removed: billion, respectively.
+Added: As of October 31, 2024 and January 31, 2024, we held in custody HSA Assets of $30.0 billion and $25.2 billion, respectively.
As a non-bank custodian, we contract with our Depository Partners and insurance company partners to hold HSA cash on behalf of our members, and we earn a significant portion of our total revenue from interest paid to us by these partners.
10 unchanged sentences
Client-held funds are interest earning deposits from which we generate custodial revenue.
−Removed: As of July 31, 2024 and January 31, 2024, we held Client-held funds of $817 million and $842 million, respectively.
+Added: As of October 31, 2024 and January 31, 2024, we held Client-held funds of $748 million and $842 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.
8 unchanged sentences
and include deposits in a money market account that is unrestricted as to withdrawal or use.
−Removed: As of July 31, 2024 and January 31, 2024, we had unrestricted cash and cash equivalents of $326.9 million and $404.0 million, respectively.
+Added: As of October 31, 2024 and January 31, 2024, we had unrestricted cash and cash equivalents of $322.2 million and $404.0 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 July 31, 2024 and January 31, 2024, we had $511.9 million and $286.9 million, respectively, outstanding under our Prior Credit Facilities.
−Removed: The stated interest rate on our Prior Credit Facilities was variable and was 6.70% as of July 31, 2024.
−Removed: Our overall interest rate sensitivity under these credit facilities was primarily influenced by any amounts borrowed and the prevailing interest rates on these instruments.
−Removed: For example, a one percent increase in the interest rate on the amount outstanding under our Prior Credit Facilities as of July 31, 2024 would have resulted in approximately $5.2 million of additional interest expense over the next 12 months.
−Removed: On August 23, 2024, we entered into a new Credit Agreement, pursuant to which we established a new Revolving Credit Facility, a portion of which was used to repay all outstanding obligations under the Prior Credit Facilities.
−Removed: As of August 23, 2024, the outstanding balance under the Revolving Credit Facility was $511.9 million.
−Removed: The stated rate on our Revolving Credit Facility is variable.
−Removed: Accordingly, we may incur additional expense if interest rates increase in future periods.
+Added: As of October 31, 2024 and January 31, 2024, we had $486.9 million and $286.9 million, respectively, outstanding under our Revolving Credit Facility and our Prior Credit Facilities, respectively.
+Added: The stated interest rate on our Revolving Credit Facility is variable and was 6.34% as of October 31, 2024.
+Added: Our overall interest rate sensitivity under the Revolving Credit Facility is primarily influenced by any amounts borrowed and prevailing interest rates.
+Added: For example, a one percent increase in the interest rate on the amount outstanding under our
+Added: Revolving Credit Facility as of October 31, 2024 would result in approximately $5.0 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.