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Supporting Financial Information
 6 Months Ended
Mar. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Supporting Financial Information Supporting Financial Information
Accounts receivable

The following table summarizes accounts receivable presented on our consolidated balance sheets as follows (in thousands):
March 31,September 30,
20242023
Billed receivables$33,622 $38,577 
Contract assets21,835 20,542 
Allowance for doubtful accounts— — 
Accounts receivable$55,457 $59,119 
Other current assets

The following table summarizes other current assets presented on our consolidated balance sheets as follows (in thousands):
March 31,September 30,
20242023
Prepaid insurance and benefits$1,614 $1,330 
Prepaid licenses and other expenses139 743 
Other receivables468 994 
Other current assets$2,221 $3,067 
Goodwill

There were no activities in Goodwill for the six months ended March 31, 2024, the balance of Goodwill was $138,161 as of March 31, 2024.


Intangible assets

The following table summarizes intangible assets, net presented on our consolidated balance sheets as follows (in thousands):
March 31,September 30,
20242023
Intangible assets
Customer contracts and related customer relationships$113,622 $113,622 
Covenants not to compete637 637 
Trade name13,034 13,034 
Backlog37,249 37,249 
Total intangible assets164,542 164,542 
Less: accumulated amortization
Customer contracts and related customer relationships(35,613)(29,929)
Covenants not to compete(410)(378)
Trade name(2,836)(2,185)
Backlog(9,134)(7,273)
Total accumulated amortization(47,993)(39,765)
Intangible assets, net$116,549 $124,777 

Amortization expense was $4.1 million and $4.3 million for the three months ended March 31, 2024 and 2023, respectively, and $8.2 million and $6.5 million for the six months ended March 31, 2024 and 2023, respectively.

As of March 31, 2024, the estimated amortization expense per fiscal year was as follows (in thousands):
Fiscal year ending:
2024 (remaining)$8,226 
202516,456 
202615,722 
202714,694 
202814,694 
Thereafter46,757 
Total amortization expense$116,549 

At March 31, 2024, the weighted-average remaining amortization period in total was 7.8 years. The weighted-average amortization period for customer contracts and related customer relationships, backlog, trade names and covenants not to
compete was 7.7 years, 8.1 years, 8.2 years, 5.7 years, respectively.

Equipment and improvements, net

The following table summarizes equipment and improvements, net presented on our consolidated balance sheets as follows (in thousands):
March 31,September 30,
20242023
Furniture and equipment$2,316 $1,790 
Computer equipment and software6,418 6,479 
Leasehold improvements1,614 1,614 
Total equipment and improvements10,348 9,883 
Less: accumulated depreciation
(8,561)(8,293)
Equipment and improvements, net$1,787 $1,590 

Depreciation expense was $0.1 million and $0.2 million for the three months ended March 31, 2024 and 2023, respectively, $0.3 million and $0.4 million for the six months ended March 31, 2024 and 2023, respectively.

Accounts payable and accrued liabilities

The following table summarizes accounts payable and accrued liabilities presented on our consolidated balance sheets as follows (in thousands):
March 31,September 30,
20242023
Accounts payable$13,398 $12,603 
Accrued benefits4,269 6,414 
Accrued workers' compensation insurance1,999 2,369 
Accrued bonus and incentive compensation2,250 4,719 
Accrued interest1,267 1,309 
Other accrued expenses(148)2,290 
Accounts payable and accrued liabilities$23,035 $29,704 

Accrued payroll

The following table summarizes accrued payroll presented on our consolidated balance sheets as follows (in thousands):
March 31,September 30,
20242023
Accrued leave$7,975 $9,621 
Accrued payroll2,558 2,487 
Accrued payroll taxes1,025 1,173 
Accrued severance198 513 
Total accrued payroll
$11,756 $13,794 
Debt obligations

The following table summarizes debt obligations presented on our consolidated balance sheets as follows (in thousands):
March 31,September 30,
20242023
Secured term loan$156,750 $169,813 
Secured revolving line of credit14,022 9,546 
Less: unamortized deferred financing costs(5,984)(7,024)
Net bank debt obligations164,788 172,335 
Less: current portion of debt obligations, net of deferred financing costs (a)(17,178)(17,188)
Long-term portion of debt obligations, net of deferred financing costs$147,610 $155,147 

As of March 31, 2024, we have satisfied mandatory principal payments on our secured term loan.

(a) As of March 31, 2024, the current portion comprises term loan amortization of $4.8 million and the $14.0 million outstanding balance on the secured revolving line of credit, net of $1.6 million of unamortized deferred financing costs.
    
Interest expense

The following table summarizes interest expense presented on our consolidated statements of operations as follows (in thousands):
Three Months EndedSix Months Ended
March 31,March 31,
2024202320242023
Interest expense (a)
$3,821 $4,160 $7,831 $5,714 
Interest income (b)
$(28)$— $(23)$— 
Amortization of deferred financing costs (c)
397 605 1,040 881 
Interest expense$4,190 $4,765 $8,848 $6,595 

(a) Interest expense on borrowing.
(b) Interest earned from customer payments received after the due date.
(c) Amortization of expenses related to secured term loan and secured revolving line of credit.