Company: APPF
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001433195-25-000142
Chunk: 56

Company: APPFOLIO INC
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 8
Chunk 56
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 same periods in the prior year. The increase was primarily due to a $7.4 million and $13.4 million increase in personnel-related costs, including stock-based and performance-based compensation, driven by headcount growth, for the respective three and nine-month periods.

We expect general and administrative expenses for the year ending December 31, 2025 to stay relatively flat as a percentage of revenue compared to the year ended December 31, 2024.

Depreciation and Amortization

 Three Months EndedSeptember 30,ChangeNine Months EndedSeptember 30,Change 20252024Amount%20252024Amount% (dollars in thousands)Depreciation and amortization$5,436 $4,327 $1,109 26 %$17,541 $14,209 $3,332 23 %Percentage of revenue2.2 %2.1 %2.5 %2.4 %

Depreciation and amortization expense for the three and nine months ended September 30, 2025 increased, compared to the same periods in the prior year, primarily due to amortization of the intangible assets recognized from the acquisition of Move EZ, Inc. in the fourth quarter of 2024.

We expect depreciation and amortization expenses for the year ending December 31, 2025 to stay relatively flat as a percentage of revenue compared to the year ended December 31, 2024.

Interest Income, Net

Three Months EndedSeptember 30,ChangeNine Months EndedSeptember 30,Change20252024Amount%20252024Amount%(dollars in thousands)Interest income, net$1,690 $4,014 $(2,324)(58)%$6,109 $10,482 $(4,373)(42)%Percentage of revenue0.7 %2.0 %0.9 %1.8 %

Interest income for the three and nine months ended September 30, 2025 decreased, compared to the same periods in the prior year, primarily due to the sale of available-for-sale investment securities and lower interest rates.

21

Provision for income taxes

 Three Months EndedSeptember 30,ChangeNine Months EndedSeptember 30,Change 20252024Amount%20252024Amount% (dollars in thousands)Income before provision for income taxes$36,732 $46,582 $(9,850)(21)%$115