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Supporting Financial Information
 3 Months Ended
Dec. 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):
December 31,September 30,
20242024
Billed receivables$32,784 $25,904 
Contract assets31,486 23,945 
Accounts receivable$64,270 $49,849 

Other current assets

The following table summarizes other current assets presented on our consolidated balance sheets as follows (in thousands):
December 31,September 30,
20242024
Prepaid licenses and other expenses$1,580 $1,315 
Prepaid insurance and benefits336 545 
Other receivables937 906 
Other current assets$2,853 $2,766 
Goodwill

There were no activities in goodwill for the three months ended December 31, 2024. The balance of goodwill was approximately $138.2 million as of December 31, 2024 and September 30, 2024.


Intangible assets

The following table summarizes intangible assets, net presented on our consolidated balance sheets as follows (in thousands):
December 31,September 30,
20242024
Intangible assets
Customer contracts and related customer relationships$113,622 $113,622 
Covenants-not-to-compete
637 637 
Trade name13,034 13,034 
Backlog37,249 37,249 
Total intangible assets164,542 164,542 
Less: accumulated amortization
Customer contracts and related customer relationships(44,139)(41,297)
Covenants-not-to-compete
(458)(442)
Trade name(3,814)(3,488)
Backlog(11,924)(10,994)
Total accumulated amortization(60,335)(56,221)
Intangible assets, net$104,207 $108,321 

Amortization expense was $4.1 million and $4.1 million for the three months ended December 31, 2024 and 2023, respectively.
As of December 31, 2024, the estimated amortization expense per fiscal year was as follows (in thousands):
Fiscal year ending:
2025 (remaining)$12,340 
202615,722 
202714,694 
202814,694 
202913,734 
Thereafter33,023 
Total amortization expense$104,207 

At December 31, 2024, the weighted-average remaining amortization period in total was 7.1 years. The weighted-average amortization period for customer contracts and related customer relationships, backlog, trade names and Covenants-not-to-compete was 7.1 years, 7.1 years, 7.5 years, and 5.3 years, respectively.

Equipment and improvements, net

The following table summarizes equipment and improvements, net presented on our consolidated balance sheets as follows (in thousands):
December 31,September 30,
20242024
Furniture and equipment$1,846 $1,832 
Computer equipment and software7,573 7,273 
Leasehold improvements1,852 1,614 
Total equipment and improvements11,271 10,719 
Less: accumulated depreciation
(9,082)(8,889)
Equipment and improvements, net$2,189 $1,830 

Depreciation expense was $0.2 million and $0.1 million for the three months ended December 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):
December 31,September 30,
20242024
Accounts payable$13,291 $13,421 
Accrued benefits1,679 4,519 
Accrued workers' compensation insurance2,015 1,528 
Accrued bonus and incentive compensation286 3,641 
Accrued interest711 619 
Other accrued expenses741 1,562 
Accounts payable and accrued liabilities$18,723 $25,290 
Accrued payroll

The following table summarizes accrued payroll presented on our consolidated balance sheets as follows (in thousands):
December 31,September 30,
20242024
Accrued leave$7,912 $8,569 
Accrued payroll5,968 3,070 
Accrued payroll taxes1,195 981 
Accrued severance48 228 
Total accrued payroll
$15,123 $12,848 

Debt obligations

The following table summarizes debt obligations presented on our consolidated balance sheets as follows (in thousands):
December 31,September 30,
20242024
Secured term loan$142,500 $142,500 
Secured revolving line of credit24,459 12,058 
Less: unamortized deferred financing costs(4,741)(5,184)
Net bank debt obligations162,218 149,374 
Less: current portion of debt obligations, net of deferred financing costs (a)(27,595)(12,058)
Long-term portion of debt obligations, net of deferred financing costs$134,623 $137,316 

As of December 31, 2024, we have satisfied quarterly minimum principal payments on our secured term loan through September 30, 2025.

(a) As of December 31, 2024, the current portion comprises term loan amortization of $4.8 million and the $24.5 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 Ended
December 31,
20242023
Interest expense (a)
$3,685 $4,016 
Interest income (b)
(9)— 
Amortization of deferred financing costs (c)
457 642 
Interest expense$4,133 $4,658 

(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.