UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly reporting period ended March 31, 2024

☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from to

Commission file number 001-38467

 

Dayforce, Inc.

(Exact name of registrant as specified in its charter)

Delaware	46-3231686
(State or Other Jurisdiction of Incorporation or Organization)	(I.R.S. Employer Identification Number)

3311 East Old Shakopee Road

Minneapolis, Minnesota 55425

(952) 853-8100

(Address, Including Zip Code, and Telephone Number, Including Area Code, of Registrant’s Principal Executive Offices)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, $0.01 par value	DAY	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined by Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date: 157.9 million shares of common stock, $0.01 par value per share, as of April 24, 2024.

Dayforce, Inc.

Table of Contents

		Page
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS		3
PART I. FINANCIAL INFORMATION		4
Item 1.	Condensed Consolidated Financial Statements (unaudited)	4
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	24
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	35
Item 4.	Controls and Procedures	36
PART II. OTHER INFORMATION		38
Item 1.	Legal Proceedings	38
Item 1A.	Risk Factors	38
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	38
Item 3.	Defaults Upon Senior Securities	38
Item 4.	Mine Safety Disclosures	38
Item 5.	Other Information	38
Item 6.	Exhibits	39

2 | Q1 2024 Form 10-Q

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q ("Form 10-Q") contains, or incorporates by reference, not only historical information, but also forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (“Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (“Exchange Act”) and that are subject to the safe harbor created by those sections. Forward-looking statements, including, without limitation, statements concerning the conditions of the human capital management solutions industry and our operations, performance, and financial condition, and including, in particular, statements relating to our business, growth strategies, product development efforts, and future expenses. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects,” “assumes,” “projects,” “could,” “continues,” “likely,” “may,” “will,” “should,” and similar references to future periods, or by the inclusion of forecasts or projections.

Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy, and other future conditions. Because forward-looking statements relate to the future, by their nature, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. Consequently, our actual results may differ materially from those contemplated by the forward-looking statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements include regional, national, or global political, economic, business, competitive, market, and regulatory conditions. In particular:

•our inability to maintain our high Cloud solutions growth rate, manage our domestic and international growth effectively, or execute on our growth strategy;

•the impact of disruptions to the movement of funds to initiate payroll-related transactions on behalf of customers;

•our failure to manage our aging technical infrastructure;

•system breaches, interruptions or failures, including cyber-security breaches, identity theft, or other disruptions that could compromise customer information or sensitive company information, including our ongoing consent order with the Federal Trade Commission regarding data protection;

•our failure to comply with applicable privacy, data protection, information security, and financial services laws, regulations and standards;

•our inability to successfully compete in the markets in which we operate and expand our current offerings into new markets or further penetrate existing markets due to competition;

•our failure to properly update our solutions to enable our customers to comply with applicable laws;

•our failure to provide new or enhanced functionality and features, including those that may involve artificial intelligence or machine learning;

•our inability to maintain necessary third-party relationships, and third-party software licenses, and identify errors in the software we license;

•our inability to offer and deliver high-quality technical support, implementation, and professional services;

•our inability to attract and retain senior management employees and highly skilled employees;

•the impact of our outstanding debt obligations on our financial condition, results of operations, and value of our common stock;

•our ability to maintain effective internal control over financial reporting, and the effect of the existing material weakness in our internal control over financial reporting on our business, financial condition, and results of operations; or

•the impact of adverse economic and market conditions on its business, operating results, or financial condition.

Please refer to Part II, Item IA. “Risk Factors” of this Form 10-Q and Part I, Item IA, “Risk Factors” of our most recently filed Annual Report on Form 10-K, for the year ended December 31, 2023 (“2023 Form 10-K”), for a further description of these and other factors. Although we have attempted to identify important risk factors, there may be other risk factors not presently known to us or that we presently believe are not material that could cause actual results and developments to differ materially from those made in or suggested by the forward-looking statements contained in this Form 10-Q. If any of these risks materialize, or if any of the above assumptions underlying forward-looking statements prove incorrect, actual results and developments may differ materially from those made in or suggested by the forward-looking statements contained in this Form 10-Q. For the reasons described above, we caution against relying on any forward-looking statements. Any forward-looking statement made by us in this Form 10-Q speaks only as of the date on which we make it. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update or to revise any forward-looking statement, whether as a result of new information, future developments, or otherwise, except as may be required by law. Comparisons of results for current and any prior periods are not intended to express any future trends or indications of future performance, unless specifically expressed as such, and should be viewed as historical data.

3 | Q1 2024 Form 10-Q

PART I. FINANCIAL INFORMATION

ITEM 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Dayforce, Inc.

Condensed Consolidated Balance Sheets

(Unaudited)

	March 31,			December 31,
	2024			2023
(In millions, except per share data)
Assets
Current assets:
Cash and equivalents	$	392.5		$	570.3
Restricted cash		0.8			0.8
Trade and other receivables, net		276.0			228.8
Prepaid expenses and other current assets		139.5			126.7
Total current assets before customer funds		808.8			926.6
Customer funds		6,746.6			5,028.6
Total current assets		7,555.4			5,955.2
Right of use lease assets, net		16.0			19.1
Property, plant, and equipment, net		215.3			210.1
Goodwill		2,386.0			2,293.9
Other intangible assets, net		286.5			230.2
Deferred sales commissions		197.2			192.1
Other assets		118.8			110.3
Total assets	$	10,775.2		$	9,010.9
Liabilities and stockholders' equity
Current liabilities:
Current portion of long-term debt	$	5.6		$	7.6
Current portion of long-term lease liabilities		6.4			7.0
Accounts payable		69.2			66.7
Deferred revenue		45.5			40.2
Employee compensation and benefits		64.3			92.9
Other accrued expenses		41.6			30.4
Total current liabilities before customer funds obligations		232.6			244.8
Customer funds obligations		6,816.4			5,090.1
Total current liabilities		7,049.0			5,334.9
Long-term debt, less current portion		1,211.5			1,210.1
Employee benefit plans		26.8			27.7
Long-term lease liabilities, less current portion		15.9			18.9
Other liabilities		39.2			21.1
Total liabilities		8,342.4			6,612.7
Commitments and contingencies (Note 14)
Stockholders’ equity:
Common stock, $0.01 par, 500.0 shares authorized, 157.9 and 156.3 shares issued and outstanding, respectively		1.6			1.6
Additional paid in capital		3,204.4			3,151.1
Accumulated deficit		(310.7	)		(317.8	)
Accumulated other comprehensive loss		(462.5	)		(436.7	)
Total stockholders’ equity		2,432.8			2,398.2
Total liabilities and stockholders' equity	$	10,775.2		$	9,010.9

See accompanying notes to condensed consolidated financial statements.

4 | Q1 2024 Form 10-Q

Dayforce, Inc.

Condensed Consolidated Statements of Operations

(Unaudited)

	Three Months Ended March 31,
	2024		2023
(In millions, except per share data)
Revenue:
Recurring	$	382.7	$	317.9
Professional services and other		48.8		52.7
Total revenue		431.5		370.6
Cost of revenue:
Recurring		88.4		80.1
Professional services and other		66.1		63.9
Product development and management		53.1		51.0
Depreciation and amortization		18.5		15.3
Total cost of revenue		226.1		210.3
Gross profit		205.4		160.3
Selling and marketing		79.0		54.2
General and administrative		85.7		67.7
Operating profit		40.7		38.4
Interest expense, net		13.3		9.2
Other expense, net		9.0		0.8
Income before income taxes		18.4		28.4
Income tax expense		11.3		18.5
Net income	$	7.1	$	9.9
Net income per share:
Basic	$	0.05	$	0.06
Diluted	$	0.04	$	0.06
Weighted average shares outstanding:
Basic		156.9		154.2
Diluted		159.9		157.7

See accompanying notes to condensed consolidated financial statements.

5 | Q1 2024 Form 10-Q

Dayforce, Inc.

Condensed Consolidated Statements of Comprehensive Income (Loss)

(Unaudited)

	Three Months Ended March 31,
	2024			2023
(In millions)
Net income	$	7.1		$	9.9
Items of other comprehensive (loss) income before income taxes:
Change in foreign currency translation adjustment		(22.7	)		1.2
Change in unrealized loss from invested customer funds		(7.4	)		23.9
Change in pension liability adjustment		3.2			1.5
Other comprehensive (loss) income before income taxes		(26.9	)		26.6
Income tax (benefit) expense, net		(1.1	)		6.7
Other comprehensive (loss) income after income taxes		(25.8	)		19.9
Comprehensive (loss) income	$	(18.7	)	$	29.8

See accompanying notes to condensed consolidated financial statements.

6 | Q1 2024 Form 10-Q

Dayforce, Inc.

Condensed Consolidated Statements of Stockholders’ Equity

(Unaudited)

	Common Stock				Additional Paid In		Accumulated			Accumulated Other Comprehensive			Total Stockholders'
	Shares		$		Capital		Deficit			Loss			Equity
(In millions)
Balance as of December 31, 2023		156.3	$	1.6	$	3,151.1	$	(317.8	)	$	(436.7	)	$	2,398.2
Net income		—		—		—		7.1			—			7.1
Issuance of common stock under share-based compensation plans		1.6		—		15.3		—			—			15.3
Share-based compensation		—		—		38.0		—			—			38.0
Foreign currency translation		—		—		—		—			(22.7	)		(22.7	)
Change in unrealized loss, net of tax of ($1.9)		—		—		—		—			(5.5	)		(5.5	)
Change in pension liability adjustment, net of tax of $0.8		—		—		—		—			2.4			2.4
Balance as of March 31, 2024		157.9	$	1.6	$	3,204.4	$	(310.7	)	$	(462.5	)	$	2,432.8

	Common Stock				Additional Paid In		Accumulated			Accumulated Other Comprehensive			Total Stockholders'
	Shares		$		Capital		Deficit			Loss			Equity
(In millions)
Balance as of December 31, 2022		153.9	$	1.5	$	2,965.5	$	(372.6	)	$	(485.0	)	$	2,109.4
Net income		—		—		—		9.9			—			9.9
Issuance of common stock under share-based compensation plans		1.1		0.1		14.7		—			—			14.8
Share-based compensation		—		—		40.2		—			—			40.2
Foreign currency translation		—		—		—		—			1.2			1.2
Change in unrealized loss, net of tax of ($6.3)		—		—		—		—			17.6			17.6
Change in pension liability adjustment, net of tax of ($0.4)		—		—		—		—			1.1			1.1
Balance as of March 31, 2023		155.0	$	1.6	$	3,020.4	$	(362.7	)	$	(465.1	)	$	2,194.2

See accompanying notes to condensed consolidated financial statements.

7 | Q1 2024 Form 10-Q

Dayforce, Inc.

Condensed Consolidated Statements of Cash Flows

(Unaudited)

	Three Months Ended March 31,
	2024			2023
(In millions)
Cash flows from operating activities
Net income	$	7.1		$	9.9
Adjustments to reconcile net income to net cash provided by operating activities:
Deferred income tax (benefit) expense		(11.8	)		6.1
Depreciation and amortization		48.8			22.1
Amortization of debt issuance costs and debt discount		1.1			1.1
Loss on debt extinguishment		4.3			—
Provision for doubtful accounts		0.8			2.4
Net periodic pension and postretirement cost		2.6			0.4
Share-based compensation expense		38.0			40.2
Change in fair value of contingent consideration		—			3.5
Other		—			0.5
Changes in operating assets and liabilities, excluding effects of acquisitions:
Trade and other receivables		(48.1	)		(26.9	)
Prepaid expenses and other current assets		(13.1	)		(20.6	)
Deferred sales commissions		(6.3	)		(4.8	)
Accounts payable and other accrued expenses		(1.8	)		4.2
Deferred revenue		(2.3	)		6.0
Employee compensation and benefits		(27.8	)		(40.1	)
Accrued taxes		17.8			8.3
Other assets and liabilities		(0.2	)		(1.0	)
Net cash provided by operating activities		9.1			11.3
Cash flows from investing activities
Purchases of customer funds marketable securities		(139.6	)		(72.5	)
Proceeds from sale and maturity of customer funds marketable securities		49.6			100.5
Purchases of marketable securities		(0.5	)		—
Proceeds from sale and maturity of marketable securities		1.0			—
Expenditures for property, plant, and equipment		(3.5	)		(6.5	)
Expenditures for software and technology		(24.4	)		(21.9	)
Acquisition costs, net of cash acquired		(173.3	)		—
Other		—			(1.0	)
Net cash used in investing activities		(290.7	)		(1.4	)
Cash flows from financing activities
Increase in customer funds obligations, net		1,763.5			2,174.4
Proceeds from issuance of common stock under share-based compensation plans		15.3			14.8
Proceeds from debt issuance		650.0			—
Repayment of long-term debt obligations		(644.5	)		(2.1	)
Payment of debt refinancing costs		(11.4	)		—
Net cash provided by financing activities		1,772.9			2,187.1
Effect of exchange rate changes on cash, restricted cash, and equivalents		(13.5	)		(6.8	)
Net increase in cash, restricted cash, and equivalents		1,477.8			2,190.2
Cash, restricted cash, and equivalents at beginning of period		3,421.4			3,151.2
Cash, restricted cash, and equivalents at end of period	$	4,899.2		$	5,341.4
Reconciliation of cash, restricted cash, and equivalents to the condensed    consolidated balance sheets
Cash and equivalents	$	392.5		$	428.6
Restricted cash		0.8			0.8
Restricted cash and equivalents included in customer funds		4,505.9			4,912.0
Total cash, restricted cash, and equivalents	$	4,899.2		$	5,341.4

See accompanying notes to condensed consolidated financial statements.

8 | Q1 2024 Form 10-Q

Dayforce, Inc.

Notes to Condensed Consolidated Financial Statements (Unaudited)

1. Organization

Dayforce, Inc. and its direct and indirect subsidiaries (also referred to in this report as “we,” “our,” “us,” or the “Company”) offer a broad range of services and software designed to help employers more effectively manage employment processes, such as payroll, payroll-related tax filing, human resource information systems, employee self-service, time and labor management, employee assistance programs, and recruitment and applicant screening. Our technology-based services are typically provided through long-term customer relationships that result in a high level of recurring revenue. While we operate in 19 countries globally, our operations are primarily located in the United States and Canada.

2. Summary of Significant Accounting Policies

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information. Accordingly, the unaudited condensed consolidated financial statements do not include all of the information and notes required by GAAP for complete financial statements. The accounting policies we follow are set forth in Part II, Item 8, Note 2, “Summary of Significant Accounting Policies,” to our audited consolidated financial statements in our 2023 Form 10-K. The following notes should be read in conjunction with these policies and other disclosures in our 2023 Form 10-K.

In the opinion of management, the unaudited condensed consolidated financial statements contained herein reflect all adjustments (consisting only of normal recurring adjustments, except as set forth in these notes to the condensed consolidated financial statements) necessary to present fairly in all material respects the financial position, results of operations, comprehensive income (loss), and cash flows from all periods presented. Interim results are not necessarily indicative of results for a full year.

Recently Issued and Adopted Accounting Pronouncements from the Financial Accounting Standards Board

There were no recently adopted accounting standards that had a material effect on our condensed consolidated financial statements and accompanying disclosures, and no recently issued accounting standards that are expected to have a material impact on our condensed consolidated financial statements and accompanying disclosures.

3. Business Combinations

On February 1, 2024, we completed the purchase of 100% of the outstanding shares of eloomi A/S ("eloomi"), a learning experience platform software provider based in Copenhagen, Denmark, and Orlando, Florida.

The purchase accounting has not been finalized as of March 31, 2024. Provisional amounts relate to final purchase price adjustments, specifically the net working capital, intangible assets and tax positions. We expect to finalize the allocation of the purchase price within the one-year measurement period following the acquisition. Intangible assets recorded for this acquisition consist of $86.9 million of developed technology and $1.8 million of customer relationships. The goodwill arising from the eloomi acquisition is primarily attributable to the potential to achieve synergies and other cost savings through integration with our existing operations. None of the goodwill associated with this acquisition is deductible for income tax purposes.

The major classes of assets and liabilities to which we have preliminarily allocated the purchase price were as follows:

	(In millions)
Cash and equivalents	$	6.5
Trade receivables, prepaid expenses, and other current assets		4.6
Goodwill		111.3
Other intangible assets		88.7
Other assets		0.7
Accounts payable and accrued liabilities		(3.9	)
Deferred revenue		(8.6	)
Deferred tax liability		(19.5	)
Total purchase price	$	179.8

9 | Q1 2024 Form 10-Q

4. Fair Value Measurements

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis

Our financial assets and liabilities measured at fair value on a recurring basis were categorized as follows:

	March 31, 2024
	Level 1		Level 2			Level 3			Total
	(In millions)
Assets
Available for sale customer funds assets	$	—	$	2,240.7	(a)	$	—		$	2,240.7
Total assets measured at fair value	$	—	$	2,240.7		$	—		$	2,240.7
Liabilities
DataFuzion contingent consideration	$	—	$	—		$	14.9	(b)	$	14.9
Total liabilities measured at fair value	$	—	$	—		$	14.9		$	14.9

	December 31, 2023
	Level 1		Level 2			Level 3			Total
	(In millions)
Assets
Available for sale customer funds assets	$	—	$	2,178.3	(a)	$	—		$	2,178.3
Total assets measured at fair value	$	—	$	2,178.3		$	—		$	2,178.3
Liabilities
DataFuzion contingent consideration	$	—	$	—		$	14.9	(b)	$	14.9
Total liabilities measured at fair value	$	—	$	—		$	14.9		$	14.9

(a)Fair value is based on inputs that are observable for the asset or liability, other than quoted prices.

(b)For the contingent consideration related to the 2021 acquisition of certain assets and liabilities of DataFuzion HCM, Inc. ("DataFuzion"), we utilized a Monte Carlo simulation model to estimate the fair value of the contingent liability as of the reporting dates. As of March 31, 2024 and December 31, 2023, $8.6 million of the contingent consideration is included within other accrued expenses in our condensed consolidated balance sheets, and $6.3 million of the contingent consideration is included within other liabilities in our condensed consolidated balance sheets.

Due to the remeasurement of the DataFuzion contingent consideration, we recognized no expense for the three months ended March 31, 2024, and we recognized expense of $3.5 million for the three months ended March 31, 2023, within general and administrative expense in our condensed consolidated statements of operations.

Financial Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

During the three months ended March 31, 2024, assets acquired and liabilities assumed as part of the business combination and liabilities recognized as part of our debt issuance have been measured at fair value on a nonrecurring basis. During the year ended December 31, 2023, we did not re-measure any financial assets or liabilities at fair value on a nonrecurring basis.

5. Customer Funds

Overview

In certain jurisdictions, we collect funds for payment of payroll and taxes; temporarily hold such funds until payment is due; remit the funds to the customers’ employees and appropriate taxing authorities; file federal, state, and local tax returns; and handle related regulatory correspondence and amendments. The customer assets are held in segregated accounts intended for the specific purpose of satisfying customer funding obligations and therefore are not freely available for our general business use. In the U.S. and Canada, these customer funds are held in trusts.

10 | Q1 2024 Form 10-Q

Our customer funds are held and invested with the primary objectives being to protect the principal balance and to ensure adequate liquidity to meet cash flow requirements. Accordingly, we maintain on average approximately 45% to 55% of customer funds in liquidity portfolios with maturities ranging from one to 120 days, consisting of high-quality bank deposits, money market mutual funds, commercial paper, or collateralized short-term investments; and we maintain on average approximately 45% to 55% of customer funds in fixed income portfolios with maturities ranging from 120 days to 10 years, consisting of U.S. Treasury and agency securities, Canada government and provincial securities, as well as highly rated asset-backed, mortgage-backed, municipal, corporate, and bank securities. To maintain sufficient liquidity to meet payment obligations, we also have financing arrangements and may pledge fixed income securities for short-term financing.

Financial Statement Presentation

Investment income from invested customer funds, also referred to as float revenue or float, is a component of our compensation for providing services under agreements with our customers. Investment income from invested customer funds included in recurring revenue was $60.7 million and $46.9 million for the three months ended March 31, 2024, and 2023, respectively. Investment income includes interest income, realized gains and losses from sales of customer funds’ investments, and unrealized credit losses determined to be unrecoverable.

The amortized cost of customer funds as of March 31, 2024, and December 31, 2023, is the original cost of assets acquired. The amortized cost and fair values of investments of customer funds available for sale were as follows:

	March 31, 2024
	Amortized		Gross Unrealized					Fair
	Cost		Gain		Loss			Value
	(In millions)
Money market securities, investments carried at cost    and other cash equivalents	$	4,476.0	$	—	$	—		$	4,476.0
Available for sale investments:
U.S. government and agency securities		798.9		0.4		(37.3	)		762.0
Canadian and provincial government securities		473.1		0.5		(12.5	)		461.1
Corporate debt securities		684.5		1.6		(18.8	)		667.3
Asset-backed securities		208.7		0.7		(3.1	)		206.3
Mortgage-backed securities		63.7		0.4		(1.0	)		63.1
Other short-term investments		8.6		—		—			8.6
Other securities		75.0		0.1		(2.8	)		72.3
Total available for sale investments		2,312.5		3.7		(75.5	)		2,240.7
Invested customer funds		6,788.5	$	3.7	$	(75.5	)		6,716.7
Receivables		29.9							29.9
Total customer funds	$	6,818.4						$	6,746.6

	December 31, 2023
	Amortized		Gross Unrealized					Fair
	Cost		Gain		Loss			Value
	(In millions)
Money market securities, investments carried at cost    and other cash equivalents	$	2,800.7	$	—	$	—		$	2,800.7
Available for sale investments:
U.S. government and agency securities		768.3		2.3		(35.1	)		735.5
Canadian and provincial government securities		448.7		1.3		(11.3	)		438.7
Corporate debt securities		664.7		2.6		(19.4	)		647.9
Asset-backed securities		208.9		1.0		(3.3	)		206.6
Mortgage-backed securities		60.3		0.8		(0.7	)		60.4
Other short-term investments		16.1		—		—			16.1
Other securities		76.2		0.1		(3.2	)		73.1
Total available for sale investments		2,243.2		8.1		(73.0	)		2,178.3
Invested customer funds		5,043.9	$	8.1	$	(73.0	)		4,979.0
Receivables		49.6							49.6
Total customer funds	$	5,093.5						$	5,028.6

11 | Q1 2024 Form 10-Q

The following represents the gross unrealized losses and the related fair value of the investments of customer funds available for sale, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position.

	March 31, 2024
	Less than 12 months						12 months or more					Total
	Unrealized Losses			Fair Value			Unrealized Losses			Fair Value		Unrealized Losses			Fair Value
	(In millions)
U.S. government and agency securities	$	(2.4	)	$	175.6		$	(35.0	)	$	507.7	$	(37.4	)	$	683.3
Canadian and provincial government securities		(1.9	)		132.6	</