Supporting Financial Information

Accounts receivable



		(in thousands)
		September 30,		September 30,
	Ref	2019		2018
Billed receivables		$	18,924	$	10,066
Contract assets		4,302		214
Total accounts receivable		23,226		10,280
Less: Allowance for doubtful accounts	(a)	—		—
Accounts receivable, net		$	23,226	$	10,280

Ref (a): Accounts receivable are non-interest bearing, unsecured and carried at net realizable value. We evaluate our receivables on a quarterly basis and determine whether an allowance is appropriate based on specific collection issues. No allowance for doubtful accounts was deemed necessary at either September 30, 2019 or September 30, 2018.

Other current assets



	(in thousands)
	September 30,		September 30,
	2019		2018
Prepaid insurance and benefits	$	495	$	401
Other receivables	301		319
Prepaid expenses	1,035		40
Other current assets	$	1,831	$	760

Equipment and improvements, net



		(in thousands)
		September 30,			September 30,
	Ref	2019			2018
Furniture and equipment		$	1,262		$	326
Computer equipment		1,043			751
Computer software		3,985			1,731
Leasehold improvements		1,595			66
Total equipment and improvements		7,885			2,874
Less accumulated depreciation and amortization		(2,542		)	(1,308		)
Equipment and improvements, net	(a)	$	5,343		$	1,566

Ref (a): Equipment and improvements are stated at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful asset lives (3 to 7 years) and the shorter of the initial lease term or estimated useful life for leasehold improvements. Maintenance and repair costs are expensed as incurred. Depreciation and amortization was $1.2 million and $0.5 million for the years ended September 30, 2019 and 2018, respectively.

Intangible assets, net



		(in thousands)
		September 30,			September 30,
	Ref	2019			2018
Intangible assets	(a)
Customer contracts and related customer relationships		$	45,600		$	16,626
Covenants not to compete		480			480
Trade name		2,109			517
Total intangible assets		48,189			17,623
Less accumulated amortization
Customer contracts and related customer relationships		(6,590		)	(4,018		)
Covenants not to compete		(164		)	(116		)
Trade name		(227		)	(124		)
Total accumulated amortization		(6,981		)	(4,258		)
Intangible assets, net		$	41,208		$	13,365

Ref (a): Intangible assets are amortized on a straight-line basis over their estimated useful lives of 10 years. Total amount of amortization expense for the year ended September 30, 2019 and 2018 was $2.7 million and $1.8 million, respectively.



Estimated amortization expense for future years:	(in thousands)
Fiscal 2020	$	4,723
Fiscal 2021	4,723
Fiscal 2022	4,723
Fiscal 2023	4,723
Thereafter	22,316
Total amortization expense	$	41,208

Goodwill

The changes in the carrying amount of goodwill for the years ended September 30, 2019 and 2018 are as follows:



	(in thousands)
		Total
Balance at September 30, 2017		$	25,989
Increase from acquisition		—
Balance at September 30, 2018		25,989
Increase from acquisition		26,769
Balance at September 30, 2019		52,758

Refer to Note 15, Business Combinations for more information of the recent acquisition on June 7, 2019.

Accounts payable, accrued expenses and other current liabilities



	(in thousands)
	September 30,		September 30,
	2019		2018
Accounts payable	$	10,054	$	3,393
Accrued benefits	2,252		2,060
Accrued bonus and incentive compensation	1,951		2,191
Accrued workers' compensation insurance	4,007		2,642
Other accrued expenses	2,369		664
Accounts payable, accrued expenses, and other current liabilities	$	20,633	$	10,950

Debt obligations



	(in thousands)
	September 30,			September 30,
	2019			2018
Bank term loan	$	56,000		$	7,708
Less unamortized deferred financing cost	(2,371		)	(750		)
Net bank debt obligation	53,629			6,958
Less current portion of bank debt obligations	—			—
Long term portion of bank debt obligation	$	53,629		$	6,958

Interest expense



		(in thousands)
		Years Ended
		September 30,
	Ref	2019			2018
Interest expense	(a)	$	(1,512	)	$	(800	)
Amortization of deferred financing costs	(b)	(982		)	(275		)
Other income (expense), net		21			(41		)
Interest expense, net		$	(2,473	)	$	(1,116	)

Ref (a): Interest expense on borrowing

Ref (b): Amortization of expenses related to securing financing