Company: EVCM
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001853145-25-000017
Chunk: 15

Company: EverCommerce Inc.
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 2
Chunk 15
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 on disposal of $4.8 million and a goodwill impairment charge of $6.4 million representing the allocated goodwill to Fitness Solutions. The three months ended March 31, 2024 included right-of-use lease asset impairments charges of $0.4 million. We did not have similar right-of-use lease asset impairment charges during the three months ended March 31, 2025.

Interest and Other Expense, net

 Three months ended March 31,Change 20252024$ (dollars in thousands)Interest and other expense, net$12,759$5,791$6,968 

Interest and other expense, net, increased by $7.0 million, or 120.3%, for the three months ended March 31, 2025 as compared to the same period in 2024 with the changes primarily driven by volatility of interest rates. The increase for the three-month period was driven primarily by an unrealized loss of $3.9 million on interest rate swaps recorded during the three months ended March 31, 2025 as compared to an unrealized gain of $4.8 million in the comparative period. The increase was partially offset by a decrease of $1.9 million in interest expense as a result of lower variable base interest rates on the Company’s Credit Facilities (as defined below), the amendment to the Term Loan in the fourth quarter 2024 resulting in a reduction in margin and the removal of the credit spread adjustment, and the Third Swap executed in the third quarter 2024 to covert $125 million of the floating rate component of our Term Loan to a fixed rate (see Note 11. Long-Term Debt in this Quarterly report on Form 10-Q).

Income Tax Expense

 Three months ended March 31,Change 20252024$ (dollars in thousands)Income tax expense$(512)$(5,923)$5,411 

Income tax expense decreased by $5.4 million for the three months ended March 31, 2025 as compared to the corresponding period in 2024, with the change driven primarily by an increase in pre-tax book income from continuing operations and discrete items, including the sale of North American Fitness during the three months ended March 31, 2024.

Loss from Discontinued Operations, Net of Income Tax

 Three months ended March 31,Change 20252024$ (dollars in thousands)Loss from discontinued operations, net of income tax$(8,647