Company: IIIV
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0001728688-25-000043
Chunk: 54

Company: i3 Verticals, Inc.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 1
Chunk 54
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 Business Combinations during the year ended September 30, 2024During the three months ended December 31, 2023, the Company completed the acquisition of substantially all of the assets of a business to expand the Company’s software offerings within the Public Sector segment. Total purchase consideration was $1,270, including$1,100 in cash consideration, funded by proceeds from the Company's revolving credit facility, and $170 of contingent consideration.In connection with this acquisition, the Company allocated approximately $5 to property and equipment, approximately $40 to capitalized software, approximately $220 to customer relationships and the remainder, approximately $1,005, to goodwill, all of which is deductible for tax purposes. The acquired customer relationships intangible asset has an estimated amortization period of ten years. The acquired capitalized software has an amortization period of seven years.Acquisition-related costs for this acquisition amounted to approximately $8 and were expensed as incurred.

5. PREPAID EXPENSES AND OTHER CURRENT ASSETS

A summary of the Company's prepaid expenses and other current assets as of December 31, 2024 and September 30, 2024 is as follows:December 31,September 30,20242024Inventory$2,458 $2,423 Prepaid licenses6,582 5,148 Prepaid insurance2,512 129 Notes receivable — current portion195 195 Other current assets3,259 2,337 Prepaid expenses and other current assets$15,006 $10,232 

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i3 VERTICALS, Inc.NOTES TO THE INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)(in thousands, except unit, share and per share amounts)

6. GOODWILL AND INTANGIBLE ASSETS

Changes in the carrying amount of goodwill are as follows:Public SectorHealthcareOtherTotalBalance at September 30, 2024$233,850 $46,828 $— $280,678 Goodwill attributable to preliminary purchase price adjustments during the three months ended December 31, 2024— — — — Balance at December 31, 2024$233,850 $46,828 $— $280,678 Intangible assets consisted of the following as of December 31, 2024:CostAccumulatedAmortizationCarryingValueAmortization Life and MethodFinite-lived intangible assets:Customer