Company: IBTA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001628280-25-025593
Chunk: 129

Company: Ibotta, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 8
Chunk 129
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 thousands):Three months ended March 31,20252024Revenue$2,338 $3,923 Cost of revenue37 61 Sales and marketing311 539 Total breakage$2,686 $4,523 The user redemption liability was $72.5 million and $74.0 million as of March 31, 2025 and December 31, 2024, respectively. 

4. Accrued Expenses

Accrued expenses consist of the following (in thousands):March 31, 2025December 31, 2024Accrued employee expenses$8,952 $14,365 Other accrued expenses6,181 3,600 Total accrued expenses$15,133 $17,965 

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Table of ContentsIbotta, Inc.Notes to Condensed Financial Statements(unaudited)

5. Long-Term Debt

The Company recorded interest expense of $2.8 million during the three months ended March 31, 2024, of which, $0.8 million was related to the amortization of the debt discount and issuance costs. Interest expense during the three months ended March 31, 2025 was immaterial. Convertible NotesPrior to the Company’s initial public offering (IPO) in April 2024, the Company had convertible unsecured subordinated promissory notes (notes or convertible notes) that included certain conversion provisions that qualified as embedded derivatives under ASC 815, Derivatives and Hedging. The qualifying features were collectively bifurcated from the debt host and recorded as a derivative liability in the condensed balance sheets with the offset recorded as a discount to the notes. The derivative liability was accounted for on a fair market value basis. Changes in fair value were recognized in other expense, net, in the condensed statements of operations. The debt discount was amortized to interest expense over the contractual term of the debt using the straight-line method which approximates the effective interest method. Refer to Note 6 – Fair Value Measurements for further discussion of the valuation of the derivative liability. 2024 Credit FacilityOn December 5, 2024, the Company, as borrower, entered into a Credit Agreement with Bank of America, N.A., as administrative agent, swingline lender, and L/C issuer, and certain other institutional lenders (2024 Credit Facility). The 2024 Credit Facility, which matures on December 5, 2029, provides the Company with revolving commitments in an