Company: EVCM
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001853145-25-000047
Chunk: 96

Company: EverCommerce Inc.
Filing Date: 2025-11-06
Form: 10-Q
Item: Item 8
Chunk 96
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 of the assets or liabilities.•Level 3: Valuations based on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The carrying value of cash and cash equivalents, accounts receivable, contract assets and accounts payable approximate their fair value because of the short-term nature of these instruments. Our interest rate swaps are valued based upon interest yield curves, interest rate volatility and credit spreads. Our interest rate swaps are classified within Level 2 of the fair value hierarchy as all significant inputs are corroborated by observable data.There were no transfers between fair value measurement levels during the three and nine months ended September 30, 2025 and 2024. The following table presents information about the Company's financial assets and liabilities measured at fair value on a recurring basis as of:September 30, 2025Balance Sheet ClassificationLevel 1Level 2Level 3Total(in thousands)Assets:Money market$56 $— $— $56 Cash equivalentsInterest rate swaps— 93 — 93 Other non-current assetsLiability:Interest rate swaps$— $4,644 $— $4,644 Other non-current liabilitiesDecember 31, 2024Balance Sheet ClassificationLevel 1Level 2Level 3Total(in thousands)Asset:Money market$9,324 $— $— $9,324 Cash equivalentsInterest rate swaps— 2,443 — 2,443 Other non-current assetsLiability:Interest rate swap$— $947 $— $947 Other non-current liabilities

Note 16. Income Taxes Our provision for income taxes in interim periods is based on our estimated annual effective tax rate plus the impact, if any, of discrete items recognized in the interim period. We record cumulative adjustments in the quarter in which a change in the estimated annual effective rate is determined.The income tax expense was $1.2 million and $0.9 million for the three months ended September 30, 2025 and 2024, respectively, and $3.0 million and $7.6 million for the nine months ended September 30, 2025 and 2024, respectively. The difference in income tax expense for the three and nine months ended September 30, 2025 as compared to the corresponding periods in 2024 was driven primarily by an increase in net income from continuing operations before tax and discrete items, including the sale of Fitness