Company: CTLPP
Filing Date: 2025-02-06
Form Type: 10-Q
Source: 0001628280-25-004271
Chunk: 57

Company: CANTALOUPE, INC.
Filing Date: 2025-02-06
Form: 10-Q
Item: Part I, Item 8
Chunk 57
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4-03, which requires disclosures about specific types of expenses included in the expense captions presented on the face of the income statement as well as disclosures about selling expenses. The new guidance is effective for annual reporting periods beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027. The requirements will be applied prospectively with the option for retrospective application. The Company is currently evaluating the impact that the adoption of this accounting standard will have on its financial disclosures.No other new accounting pronouncements, issued or effective during the period ended December 31, 2024, have had or are expected to have a significant impact on the Company’s financial statements.

3. ACCOUNTS RECEIVABLE

Accounts receivable includes amounts due to the Company for sales of equipment and subscription fees, settlement receivables for amounts due from third-party payment processors, receivables from contract manufacturers and unbilled amounts due from customers, net of the allowance for credit losses. Accounts receivable, net of the allowance for uncollectible accounts were $29.1 million as of December 31, 2024 and $43.8 million as of June 30, 2024.Allowance for credit lossesThe following table represents a rollforward of the allowance for credit losses for the six months ended December 31, 2024 and 2023:Six months ended December 31,($ in thousands)20242023Balance, June 30$13,442 $10,815 Provision for expected losses558 958 Write-offs(354)(60)Balance, September 3013,646 11,713 Provision for expected losses1,064 1,266 Write-offs(3,559)(134)Balance, December 31$11,151 $12,845 

4. FINANCE RECEIVABLES

The Company's finance receivables consist of devices under its financing program. Predominately all of the Company’s finance receivables agreements are classified as non-cancellable sixty-month sales-type leases.

9

The Company collects lease payments from customers primarily as part of the flow of funds from our transaction processing services. Balances are considered past due if customers do not have sufficient transaction revenue to cover the monthly lease payment by the end of the monthly billing period. At December 31, 2024, the gross lease receivable by current payment performance on a contractual basis and year of origination consisted of the following:Le