Company: CWAN
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001866368-25-000031
Chunk: 117

Company: Clearwater Analytics Holdings, Inc.
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 8
Chunk 117
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,455 58 %Percent of revenue15 %20 %20 %20 %

General and administrative expenses changed as follows:

Change From 2024 to 2025 QTDChange From 2024 to 2025 YTD(in thousands)Increased payroll and related costs$3,390 $15,648 Increased outside services and contractors1,074 9,585 Increased facility costs1,711 3,270 Increased technology costs1,204 2,260 Increased depreciation and amortization753 1,440 Increased recruiting expense310 761 Increased marketing expense289 688 (Decreased) Increased equity-based compensation(642)2,797 Other items667 2,006 Total change$8,756 $38,455 

The increase in general and administrative expense for the three and nine months ended September 30, 2025 was primarily due to increased payroll and related costs due to headcount growth from acquisitions, increases in merit-based compensation, increased outside services and contractors related to consulting services for go-to-market assessment, as well as legal, consulting and accounting professional services supporting the acquisitions, increased allocation of facilities cost due to additional office space, increased technology costs from higher utilization of third-party cloud computing services and other third-party IT services, increased depreciation and amortization of acquired intangible assets. For the nine months ended September 30, 2025, payroll and related costs included one-time severance costs and transaction related bonuses, and increased equity-based compensation was primarily due to grants of additional awards to employees, including new grants to employees from acquired entities.

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Non-Operating (Income) Expenses

Three Months EndedSeptember 30,Nine Months EndedSeptember 30,(In thousands, except percentages)20252024$ Change% Change20252024$ Change% ChangeInterest expense$16,119 $1,076 $15,043 1,398%$30,502 $3,256 $27,246 837%Tax receivable agreement expense$— $5,344 $(5,344)(100%)$— $11,545 $(11,545)(100%)Other (income) expense, net$439 $(3,365)$(3,804)(113%)$(3,429)$(10,560)$(7,131)(68%)

Interest expense increased in the three and nine months ended September 30, 2025 mainly due to the newly obtained borrow