Company: APPF
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001433195-25-000142
Chunk: 53

Company: APPFOLIO INC
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 8
Chunk 53
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 interest earned on cash deposited in our bank accounts.

Provision for income taxes. Provision for income taxes consists of federal and state income taxes in the United States.

Results of Operations 

Revenue

 Three Months EndedSeptember 30,ChangeNine Months EndedSeptember 30,Change 20252024Amount%20252024Amount% (dollars in thousands)Core solutions$53,752 $46,030 $7,722 17 %$155,738 $132,974 $22,764 17 %Value Added Services192,092 157,726 34,366 22 %536,943 451,677 85,266 19 %Other3,509 1,977 1,532 77 %9,949 5,887 4,062 69 %Total revenue$249,353 $205,733 $43,620 21 %$702,630 $590,538 $112,092 19 %

The increase in revenue for the three and nine months ended September 30, 2025, compared to the same periods in the prior year, was primarily attributable to an increase in the usage of our payments, tenant screening, and risk mitigation services. During the three and nine month periods ended September 30, 2025, we also experienced growth of 7% in the number of property management units under management compared to the same period in the prior year, which drove growth in users of our subscription and usage-based services.

Our payment services experienced increased usage during the comparative periods as residents and property managers transacted more business online.

We expect total revenue for the year ending December 31, 2025 to increase compared to the year ended December 31, 2024 as we continue to add new customers and property management units under management, along with increased adoption and usage of our Value Added Services.

19

Cost of Revenue (Exclusive of Depreciation and Amortization)

 Three Months EndedSeptember 30,ChangeNine Months EndedSeptember 30,Change 20252024Amount%20252024Amount% (dollars in thousands)Cost of revenue (exclusive of depreciation and amortization)$91,476 $71,631 $19,845 28 %$254,801 $205,878 $48,923 24 %Percentage of revenue36.7 %34.8 %36.3 %34.