Business Combination

3 Months Ended

Sep. 30, 2022

BUSINESS COMBINATION

Acquisition of Invoice2go

On September 1, 2021, the Company acquired 100% of the outstanding equity interests of Invoice2go for a total consideration (equity and cash) of $674.3 million. Following the acquisition of Invoice2go, the Company had a period of not more than 12 months to finalize the fair values of assets acquired and liabilities assumed. As a result of ASU 2021-08 adoption on October 1, 2021, retrospectively to September 1, 2021, the Company recorded adjustments of $8.0 million to increase goodwill and deferred revenue, and an immaterial amount to deferred income tax liability. There were no other material adjustments made during the 12-month measurement period related to the acquisition of Invoice2go, and the fair values of assets acquired assets and liabilities assumed were finalized in the current fiscal quarter.

Unaudited Pro Forma Financial Information

The unaudited pro forma information does not necessarily reflect the actual results of operations of the combined entities that would have been achieved, nor are they necessarily indicative of future results of operations. The unaudited pro forma information reflects certain adjustments that were directly attributable to the acquisition of Invoice2go, including additional depreciation and amortization adjustments for the fair value of the assets acquired and liabilities assumed. The pro forma net loss for the three months ended September 30, 2021 was adjusted to exclude nonrecurring acquisition-related costs of $19.0 million. The amounts below include pro forma results of the Company and Invoice2go.


	Three Months Ended September 30, 2021
Total revenue	$	124,867
Net loss	$	(75,034)

Acquisition of Divvy

On June 1, 2021, the Company acquired 100% of the outstanding equity interests of Divvy for total consideration (equity and cash) of $2.3 billion.