What changed in this filing

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Item 1. Financial Statements

2025-05-06 compared with 2025-02-04 · 126 added, 96 removed, 449 unchanged (33% of the section changed)

15 unchanged sentences

Net Loss Per Share

Subsequent Events

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

35 unchanged sentences

(in thousands, except per share data)

December 31, 2024

March 31, 2025

June 30, 2024

2 unchanged sentences

Restricted cash

Accounts receivable, net of allowance of $ 989 and $ 1,406 as of December 31, 2024 and June 30, 2024, respectively

Accounts receivable, net of allowance of $ 691 and $ 1,406 as of March 31, 2025 and June 30, 2024, respectively

Unbilled receivables, net

23 unchanged sentences

Preferred stock, $ 0.001 par value per share, 50,000 shares authorized;

no shares issued or outstanding as of December 31, 2024 and June 30, 2024, respectively

no shares issued or outstanding as of March 31, 2025 and June 30, 2024, respectively

Common stock, $ 0.001 par value per share, 700,000 shares authorized;

79,234 and 74,624 shares issued and outstanding as of December 31, 2024 and June 30, 2024, respectively

80,581 and 74,624 shares issued and outstanding as of March 31, 2025 and June 30, 2024, respectively

Additional paid-in capital

6 unchanged sentences

(in thousands, except per share data)

Three Months Ended December 31,

Six Months Ended December 31,

Three Months Ended March 31,

Nine Months Ended March 31,

Professional services

9 unchanged sentences

Operating loss

Interest and other income (expense), net

Interest and other income, net

Net loss before income taxes

Income tax benefit (expense)

Income tax expense

Net loss per share, basic and diluted

3 unchanged sentences

(in thousands)

Three Months Ended December 31,

Six Months Ended December 31,

Three Months Ended March 31,

Nine Months Ended March 31,

Other comprehensive income (loss):

5 unchanged sentences

(in thousands)

Three Months Ended December 31, 2024

Three Months Ended March 31, 2025

Comprehensive

Total Stockholders'

Balance as of September 30, 2024

(Loss)/ Income

Balance as of December 31, 2024

Issuance of common stock upon exercise of stock options

Vesting of performance stock units and restricted stock units

Issuance of common stock under employee stock purchase plan

Stock-based compensation

Foreign currency translation adjustments

Balance as of December 31, 2024

Three Months Ended December 31, 2023

Balance as of March 31, 2025

Three Months Ended March 31, 2024

Comprehensive

Total Stockholders'

Balance as of September 30, 2023

Balance as of December 31, 2023

Issuance of common stock upon exercise of stock options

Vesting of performance stock units and restricted stock units

Issuance of common stock under employee stock purchase plan

Stock-based compensation

Foreign currency translation adjustments

Balance as of December 31, 2023

Balance as of March 31, 2024

See accompanying notes to unaudited condensed consolidated financial statements.

1 unchanged sentence

(in thousands)

Six Months Ended December 31, 2024

Nine Months Ended March 31, 2025

Comprehensive

Total Stockholders'

(Loss)/ Income

Balance as of June 30, 2024

4 unchanged sentences

Foreign currency translation adjustments

Balance as of December 31, 2024

Six Months Ended December 31, 2023

Balance as of March 31, 2025

Nine Months Ended March 31, 2024

Comprehensive

7 unchanged sentences

Foreign currency translation adjustments

Balance as of December 31, 2023

Balance as of March 31, 2024

See accompanying notes to unaudited condensed consolidated financial statements.

1 unchanged sentence

(in thousands)

Six Months Ended December 31,

Nine Months Ended March 31,

Cash Flows from Operating Activities:

43 unchanged sentences

Fair value of contingent consideration in accrued and other liabilities

Stock-based compensation expense capitalized in internal-use software costs, net

See accompanying notes to unaudited condensed consolidated financial statements.

14 unchanged sentences

The interim unaudited condensed consolidated financial statements have been prepared on a basis consistent with the annual consolidated financial statements and, in the opinion of management, reflect all adjustments, which include only normal and recurring adjustments, necessary to state fairly the Company’s financial condition, its operations and cash flows for the periods presented.

The historical results are not necessarily indicative of future results, and the results of operations for the three and six months ended December 31, 2024 are not necessarily indicative of the results to be expected for the full year or any other period.

The historical results are not necessarily indicative of future results, and the results of operations for the three and nine months ended March 31, 2025 are not necessarily indicative of the results to be expected for the full year or any other period.

Certain prior period amounts reported in our unaudited condensed consolidated financial statements and notes thereto have been reclassified to conform to the current year presentation.

31 unchanged sentences

The Company has not experienced any such losses.

No client individually accounted for 10% or more of the Company’s revenues for either of the three and six months ended December 31, 2024 and 2023.

As of December 31, 2024 , no client individually accounted for 10% or more of the Company’s total accounts receivable.

No client individually accounted for 10% or more of the Company’s revenues for either of the three and nine months ended March 31, 2025 and 2024.

As of March 31, 2025 , no client individually accounted for 10% or more of the Company’s total accounts receivable.

As of June 30, 2024 , one client individually accounted for 16 % of the Company’s total accounts receivable.

12 unchanged sentences

2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (ASC 220):

Disaggregation of Income Statement Expenses , which requires disclosures, on an annual and interim basis, about specific expense categories presented on the income statement.

This guidance will be effective for the Company's fiscal year beginning July 1, 2027, and should be applied on either a prospective or retrospective basis.

Disaggregation of Income Statement Expenses , and in January 2025, the FASB issued ASU No.

2025-01, Income Statement-Reporting Comprehensive Income-Expense Disaggregation Disclosures (Subtopic 220-40):

Clarifying the Effective Date , which clarified the effective date of ASU 2024-03.

The guidance requires disclosures, on an annual and interim basis, about specific expense categories presented on the income statement.

This guidance will be effective for the Company's fiscal year beginning July 1, 2027 and for interim periods beginning January 1, 2028, and should be applied on either a prospective or retrospective basis.

The Company is currently evaluating the impact of the adoption on its consolidated financial statements.

1 unchanged sentence

Revenues by geography were as follows (in thousands):

Three Months Ended December 31,

Six Months Ended December 31,

Three Months Ended March 31,

Nine Months Ended March 31,

Rest of the world

No country other than those listed above accounted for 10% or more of the Company’s total revenues during the three and six months ended December 31, 2024 and 2023.

No country other than those listed above accounted for 10% or more of the Company’s total revenues during the three and nine months ended March 31, 2025 and 2024.

Deferred Commissions

Deferred commissions were $ 32.6 million and $ 32.4 million as of December 31, 2024 and June 30, 2024 , respectively.

Amortization expense with respect to deferred commissions, which is included in sales and marketing expense in the Company’s unaudited condensed consolidated statements of operations, was $ 4.1 million and $ 8.0 million for the three and six months ended December 31, 2024 , respectively, and $ 3.6 million and $ 7.1 million for the three and six months ended December 31, 2023 .

Deferred commissions were $ 31.7 million and $ 32.4 million as of March 31, 2025 and June 30, 2024 , respectively.

Amortization expense with respect to deferred commissions, which is included in sales and marketing expense in the Company’s unaudited condensed consolidated statements of operations, was $ 4.1 million and $ 12.2 million for the three and nine months ended March 31, 2025 , respectively, and $ 3.7 million and $ 10.8 million for the three and nine months ended March 31, 2024 .

There was no impairment loss in relation to the costs capitalized for the periods presented.

1 unchanged sentence

The Company’s contract assets and liabilities were as follows (in thousands):

December 31, 2024

March 31, 2025

June 30, 2024

1 unchanged sentence

Deferred revenue, net

(1) The long-term portion of $ 217 thousand and $ 63 thousand as of December 31, 2024 and June 30, 2024 , respectively is included in other assets on the unaudited condensed consolidated balance sheets.

There was no allowance for credit losses associated with unbilled receivables as of December 31, 2024 and June 30, 2024.

During the six months ended December 31, 2024 and 2023 the Company recognized $ 149.3 million and $ 125.1 million in revenue pertaining to deferred revenue as of June 30, 2024 and 2023, respectively.

(1) The long-term portion of $ 65 thousand and $ 63 thousand as of March 31, 2025 and June 30, 2024 , respectively is included in other assets on the unaudited condensed consolidated balance sheets.

There was no allowance for credit losses associated with unbilled receivables as of March 31, 2025 and June 30, 2024.

During the nine months ended March 31, 2025 and 2024 the Company recognized $ 187.8 million and $ 176.4 million in revenue pertaining to deferred revenue as of June 30, 2024 and 2023, respectively.

Remaining Performance Obligations

2 unchanged sentences

Professional services contracts are not included in the performance obligations amount.

As of December 31, 2024 , approximately $ 615.3 million of revenues is expected to be recognized from remaining performance obligations with approximately 55 % over the next 12 months and the remainder thereafter.

As of March 31, 2025, approximately $ 621.5 million of revenues is expected to be recognized from remaining performance obligations with approximately 55 % over the next 12 months and the remainder thereafter.

Business Combinations

In connection with the acquisition of Transform Data International B.V.

and its subsidiaries ("TDI") on May 1, 2024 , the Company paid $ 0.9 million to the seller for certain working capital adjustments during the six months ended December 31, 2024.

and its subsidiaries (“TDI”) on May 1, 2024 , the Company paid $ 0.9 million to the seller for certain working capital adjustments during the nine months ended March 31, 2025.

This was included in the purchase price and is recorded in investing activities in the Company's unaudited condensed consolidated statements of cash flows.

For further information refer to Note 4, Business Combinations , in the Notes to Consolidated Financial Statements included in Part II, Item 8 of the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2024.

In April 2025, the Company entered into an agreement to acquire all of the issued and outstanding units of TermSheet, LLC, a Delaware limited liability company.

See Note 14, Subsequent Events to our unaudited condensed consolidated financial statements for additional information.

Goodwill and Intangible Assets

3 unchanged sentences

Foreign currency translation adjustment

Balance as of December 31, 2024

Balance as of March 31, 2025

Intangible Assets

Intangible assets acquired through business combinations consisted of the following (in thousands):

December 31, 2024

March 31, 2025

Gross Carrying Amount

16 unchanged sentences

Amortization expense related to acquired intangible assets was recognized as follows (in thousands):

Three Months Ended December 31,

Six Months Ended December 31,

Three Months Ended March 31,

Nine Months Ended March 31,

Sales and marketing

1 unchanged sentence

Total amortization expense

As of December 31, 2024, the estimated future amortization expense for acquired intangible assets is as follows (in thousands):

As of March 31, 2025, the estimated future amortization expense for acquired intangible assets is as follows (in thousands):

Fiscal Year Ending June 30,

10 unchanged sentences

The following table sets forth the Company’s financial assets that were measured at fair value on a recurring basis as of the date indicated by level within the fair value hierarchy (in thousands):

December 31, 2024

March 31, 2025

Financial assets:

8 unchanged sentences

The following tables set forth the Company’s financial liabilities that were measured at fair value on a recurring basis as of the dates indicated by level within the fair value hierarchy (in thousands):

December 31, 2024

March 31, 2025

Financial Liabilities:

9 unchanged sentences

The fair value of the contingent consideration liability was measured based on the probability of achieving certain performance measures pursuant to the acquisition agreement.

The total fair value of the contingent consideration liability was $ 0.8 million as of December 31, 2024 and June 30, 2024 , of which $ 0.1 million was included as part of purchase consideration upon acquisition and $ 0.7 million was accounted for as post-combination compensation costs to be recognized over the required service period.

Accordingly, the Company recorded a contingent consideration liability of $ 0.3 million as of December 31, 2024 and $ 0.2 million as of June 30, 2024 in other liabilities on the unaudited condensed consolidated balance sheets.

The total fair value of the contingent consideration liability was $ 0.8 million as of March 31, 2025 and June 30, 2024 , of which $ 0.1 million was included as part of purchase consideration upon acquisition and $ 0.7 million was accounted for as post-combination compensation costs to be recognized over the required service period.

Accordingly, the Company recorded a contingent consideration liability of $ 0.4 million as of March 31, 2025 and $ 0.2 million as of June 30, 2024 in other liabilities on the unaudited condensed consolidated balance sheets.

In connection with the acquisition of Paragon Data Labs, Inc.

1 unchanged sentence

The fair value was measured based on the probability of achieving certain performance measures pursuant to the acquisition agreement.

During the six months ended December 31, 2024 , the Company made a fair value adjustment of $ 1.0 million based on the probability of achieving certain performance measures and paid $ 1.4 million related to the contingent consideration.

Accordingly, the contingent consideration was fully settled as of December 31, 2024 , as compared to the fair value of $ 2.4 million as of June 30, 2024, which was included in other current liabilities on the unaudited condensed consolidated balance sheets.

During the nine months ended March 31, 2025 , the Company made a fair value adjustment of $ 1.0 million based on the probability of achieving certain performance measures and paid $ 1.4 million related to the contingent consideration.

Accordingly, the contingent consideration was nil as of March 31, 2025 , as compared to the fair value of $ 2.4 million as of June 30, 2024, which was included in other current liabilities on the unaudited condensed consolidated balance sheets.

The fair value of the contingent consideration was initially estimated on the acquisition date using the Monte Carlo simulation and included key assumptions used by management related to the estimated probability of occurrence and discount rates.

1 unchanged sentence

Gains and losses arising from exchange rate fluctuation on these liabilities not denominated in U.S.

dollars have been included in interest and other income (expense), net on the unaudited condensed consolidated statements of operations.

dollars have been included in interest and other income, net on the unaudited condensed consolidated statements of operations.

Changes in contingent consideration liabilities were as follows (in thousands):

Six Months Ended December 31,

Nine Months Ended March 31,

Balance, beginning of period

7 unchanged sentences

Costs related to software acquired, developed, or modified solely to meet the Company’s internal requirements, with no substantive plans to market such software at the time of development, or costs related to development of our hosted SaaS products are capitalized during the application development stage.

The Company capitalized $ 3.5 million and $ 3.1 million of costs related to software developed for internal use during the six months ended December 31, 2024 and 2023 , respectively.

Capitalized stock-based compensation expense was not material for the periods presented.

Amortization expense related to capitalized internal-use software was $ 0.9 million for the three months ended December 31, 2024 and 2023 , and was $ 1.9 million and $ 1.7 million for the six months ended December 31, 2024 and 2023 , respectively, and was recognized in cost of revenues related to SaaS in the unaudited condensed consolidated statements of operations.

The net book value of capitalized internal-use software was $ 15.1 million and $ 13.5 million as of December 31, 2024 and June 30, 2024 , respectively.

Capitalized internal-use software costs are recorded in property and equipment on the Company’s unaudited condensed consolidated balance sheets.

The Company has no t recorded any impairment charges during the periods presented.

Capitalized internal-use software costs are recorded in property and equipment on the Company’s unaudited condensed consolidated balance sheets and the amortization expense was recognized in cost of revenues related to SaaS in the unaudited condensed consolidated statements of operations.

Capitalized internal-use software costs, net consisted of the following (in thousands):

March 31, 2025

June 30, 2024

Capitalized internal-use software costs

Accumulated amortization

Capitalized internal-use software costs, net

Activity related to capitalized internal-use software costs was as follows (in thousands):

Three Months Ended March 31,

Nine Months Ended March 31,

Additions to capitalized internal-use software (1)

Amortization (2)

(1) Additions to c apitalized stock-based compensation costs, which is included in these amounts, were $ 0.2 million during the three and nine months ended March 31, 2025, respectively, and were not material during the three and nine months ended March 31, 2024.

(2) Amortization expense related to capitalized stock-based compensation costs, which is included in these amounts, was not material during the three and nine months ended March 31, 2025 and 2024, respectively.

The impairment charges during the periods presented were not material.

Capitalized Cloud Computing Implementation Costs

1 unchanged sentence

The capitalized implementation costs are amortized on a straight-line basis over the term of the associated cloud computing arrangement when the module or component of the cloud computing arrangement is ready for its intended use in the same line item as fees for the associated cloud computing arrangement in the unaudited condensed consolidated statements of operations.

The Company capitalized $ 1.9 million and $ 2.1 million of costs related to cloud computing implementation during the six months ended December 31, 2024 and 2023 , respectively.

Capitalized stock-based compensation expense was not material for the periods presented.

Amortization expense related to capitalized cloud computing implementation costs was $ 0.2 million and no ne for the three months ended December 31, 2024 and 2023 , respectively.

The net book value of capitalized cloud computing implementation costs was $ 5.7 million as of December 31, 2024 , out of which $ 1.3 million is recorded as part of prepaid expenses and $ 4.4 million is recorded as part of other assets based on the term of the associated cloud computing arrangement.

The net book value of capitalized cloud computing implementation costs was $ 4.1 million as of June 30, 2024 , out of which $ 0.6 million is recorded as part of prepaid expenses and $ 3.5 million is recorded as part of other assets based on the term of the associated cloud computing arrangement.

Capitalized cloud computing implementation costs, net consisted of the following (in thousands):

March 31, 2025

June 30, 2024

Capitalized cloud computing implementation costs

Accumulated amortization

Capitalized cloud computing implementation costs, net

Capitalized cloud computing implementation costs included in prepaid expenses

Activity related to capitalized cloud computing implementation costs was as follows (in thousands):

Three Months Ended March 31,

Nine Months Ended March 31,

Additions to capitalized cloud computing implementation costs (1)

Amortization (2)

(1) Additions to capitalized stock-based compensation costs, which is included in these amounts, were $ 0.1 million during the three and nine months ended March 31, 2025, respectively, and were not material during the three and nine months ended March 31, 2024.

The Company has no t recorded any impairment charges during the periods presented.

The Company leases the majority of its office space in the U.S., U.K., Netherlands, Ukraine, Germany, and Singapore under non-cancelable operating lease agreements, which have various expiration dates through November 2030 , some of which include options to extend the leases for up to 5 years .

The Company leases the majority of its office space in the U.S., U.K., Netherlands, Ukraine, Germany, Singapore and Portugal under non-cancelable operating lease agreements, which have various expiration dates through November 2030 , some of which include options to extend the leases for up to 5 years .

The components of lease costs were as follows (in thousands):

Three Months Ended December 31,

Six Months Ended December 31,

Three Months Ended March 31,

Nine Months Ended March 31,

Operating Leases:

4 unchanged sentences

Lease Term and Discount Rate:

December 31, 2024

December 31, 2023

March 31, 2025

March 31, 2024

Weighted-average remaining lease term (in years)

1 unchanged sentence

The following table presents supplemental cash flow information related to the Company's operating leases (in thousands):

Six Months Ended December 31,

Nine Months Ended March 31,

Cash payments included in the measurement of operating lease liabilities

ROU assets obtained in exchange for new operating lease liabilities

Current operating lease liabilities of $ 5.1 million and $ 6.0 million were included in other current liabilities on the Company’s unaudited condensed consolidated balance sheets as of December 31, 2024 and June 30, 2024, respectively.

As of December 31, 2024, remaining maturities of operating lease liabilities are as follows (in thousands):

Current operating lease liabilities of $ 4.9 million and $ 6.0 million were included in other current liabilities on the Company’s unaudited condensed consolidated balance sheets as of March 31, 2025 and June 30, 2024, respectively.

As of March 31, 2025, remaining maturities of operating lease liabilities are as follows (in thousands):

Fiscal Year Ending June 30,

7 unchanged sentences

The Company’s other purchase commitments primarily consist of third-party cloud services, support fees and software subscriptions to support operations in the ordinary course of business.

There were no material purchase commitments that were entered into during the six months ended December 31, 2024.

There were no material purchase commitments that were entered into during the nine months ended March 31, 2025.

In December 2021, the Company entered into an agreement with Microsoft, pursuant to which the Company is committed to spend a minimum of $ 110.0 million on cloud services.

The committed spend period concludes at the end of December 2028 , with the Company having the option to extend any remaining commitment into a further 12 -month period to the end of December 2029 .

As of December 31, 2024, the Company had $ 86.5 million remaining on this commitment.

As of March 31, 2025, the Company had $ 81.6 million remaining on this commitment.

From time to time, the Company is a party to claims, lawsuits, and proceedings which arise in the ordinary course of business.

13 unchanged sentences

It also contains affirmative, negative and financial covenants, including limitations on certain other indebtedness, loans and investments, liens, mergers, asset sales, and transactions with affiliates, as well as customary events of default.

The Company was in compliance with all covenants as of December 31, 2024.

As of December 31, 2024 and June 30, 2024 , there were no outstanding borrowings under the JPMorgan Credit Facility.

The Company was in compliance with all covenants as of March 31, 2025.

As of March 31, 2025 and June 30, 2024 , there were no outstanding borrowings under the JPMorgan Credit Facility.

S tockholders' Equity and Stock-Based Compensation

9 unchanged sentences

Stock options granted generally become exercisable ratably over a four-year period following the date of grant and expire ten years from the date of grant.

Stock option activity under the Company’s equity incentive plans during the six months ended December 31, 2024 was as follows (in thousands, except per share data):

Stock option activity under the Company’s equity incentive plans during the nine months ended March 31, 2025 was as follows (in thousands, except per share data):

Balance as of June 30, 2024

Balance as of December 31, 2024

Vested and exercisable as of December 31, 2024

Vested and expected to vest as of December 31, 2024

Balance as of March 31, 2025

Vested and exercisable as of March 31, 2025

Vested and expected to vest as of March 31, 2025

(1) Aggregate intrinsic value for stock options represents the difference between the exercise price and the per share fair value of the Company’s common stock as of the end of the period, multiplied by the number of stock options outstanding.

There were no stock options granted during the six months ended December 31, 2024.

The total intrinsic value of stock options exercised and the proceeds from option exercises during the six months ended December 31, 2024 were $ 125.9 million and $ 32.6 million, respectively.

There were no stock options granted during the nine months ended March 31, 2025.

The total intrinsic value of stock options exercised and the proceeds from option exercises during the nine months ended March 31, 2025 were $ 154.9 million and $ 36.1 million, respectively.

PSUs and RSUs

During the six months ended December 31, 2024, the Company granted PSUs to certain of its employees with vesting terms based on meeting certain operating performance targets, including annual recurring revenue and profitability targets, and continued service conditions.

During the nine months ended March 31, 2025, the Company granted PSUs to certain of its employees with vesting terms based on meeting certain operating performance targets, including annual recurring revenue and profitability targets, and continued service conditions.

The Company also granted RSUs to certain employees that vest based on continued service.

PSU activity during the six months ended December 31, 2024 was as follows (in thousands, except per share data):

PSU activity during the nine months ended March 31, 2025 was as follows (in thousands, except per share data):

Number of Shares

Balance as of June 30, 2024

Balance as of December 31, 2024

RSU activity during the six months ended December 31, 2024 was as follows (in thousands, except per share data):

Balance as of March 31, 2025

RSU activity during the nine months ended March 31, 2025 was as follows (in thousands, except per share data):

Number of Shares

Balance as of June 30, 2024

Balance as of December 31, 2024

Balance as of March 31, 2025

Stock-Based Compensation Expense

The Company recorded stock-based compensation expense in the unaudited condensed consolidated statements of operations as follows (in thousands):

Three Months Ended December 31,

Six Months Ended December 31,

Three Months Ended March 31,

Nine Months Ended March 31,

Cost of revenues

5 unchanged sentences

Total stock-based compensation

During the six months ended December 31, 2024 , the Company modified the performance conditions related to certain PSU awards, which results in an improbable-to-probable modification with an increase in unrecognized stock-based compensation expense of approximately $ 14.8 million to be recognized through the remaining requisite service period.

As of December 31, 2024 , there was approximately $ 179.4 million of unrecognized compensation cost related to unvested stock-based awards granted, which is expected to be recognized over the weighted-average period of approximately 2.5 years.

During the nine months ended March 31, 2025 , the Company modified the performance conditions related to certain PSU awards, which results in an improbable-to-probable modification with an increase in unrecognized stock-based compensation expense of approximately $ 14.8 million to be recognized through the remaining requisite service period.

As of March 31, 2025 , there was approximately $ 160.7 million of unrecognized compensation cost related to unvested stock-based awards granted, which is expected to be recognized over the weighted-average period of approximately 2.5 years.

2021 Employee Stock Purchase Plan

1 unchanged sentence

The ESPP provides an offering period that begins on June 1 and December 1 of each year and each offering period consists of one six-month purchase period.

During the six months ended December 31, 2024 , 67,464 shares were purchased under the ESPP.

As of December 31, 2024 , total unrecognized compensation cost related to the ESPP was $ 0.6 million, which will be amortized over a weighted-average vesting term of 0.4 years.

During the nine months ended March 31, 2025 , 67,464 shares were purchased under the ESPP.

As of March 31, 2025 , total unrecognized compensation cost related to the ESPP was $ 0.2 million, which will be amortized over a weighted-average vesting term of 0.2 years.

The Company determines its income tax provision for interim periods using an estimate of its annual effective tax rate adjusted for discrete items occurring during the periods presented.

1 unchanged sentence

rate is the full valuation allowance the Company has established on its federal and state net operating losses and credits.

Income taxes from international operations were not material for the three and six months ended December 31, 2024 and 2023.

Income taxes from international operations were not material for the three and nine months ended March 31, 2025 and 2024.

The Company files income tax returns in the U.S.

10 unchanged sentences

The following table sets forth the computation of basic and diluted net loss per share for the periods presented (in thousands, except per share data):

Three Months Ended December 31,

Six Months Ended December 31,

Three Months Ended March 31,

Nine Months Ended March 31,

Weighted-average shares used to compute net loss per share, basic and diluted

1 unchanged sentence

The Company excluded the following potential shares of common stock from the calculation of diluted net loss per share because their effect would be anti-dilutive (in thousands):

As of December 31,

Three and Nine Months Ended March 31,

Outstanding stock options to purchase common stock

2 unchanged sentences

Shares issuable related to acquisition

Subsequent Events

In April 2025, the Company made a $ 1.2 million payment related to a cash holdback from a prior acquisition.

In April 2025, the Company entered into an agreement to acquire all of the issued and outstanding units of TermSheet, LLC, a Delaware limited liability company (“TermSheet”) for an initial purchase price of $ 60.0 million (in cash consideration, shares and share units subject to vesting conditions), subject to certain closing adjustments and transaction expenses, plus a maximum $ 15.0 million in cash payments in the next two fiscal years.

TermSheet is a provider of software for real estate teams.

The transaction was consummated in April 2025 and is expected to be accounted for as a business combination.

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.

What changed 10-Q

Item 1. Financial Statements