Company: CWAN
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001866368-25-000018
Chunk: 140

Company: Clearwater Analytics Holdings, Inc.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 2
Chunk 140
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 investments.

Net cash used in investing activities of $53.7 million during the six months ended June 30, 2024 was primarily due to the acquisition of Wilshire Technology of $40.1 million, the purchase of $67.4 million available-for-sale investments, the purchase of $3.0 million of held-to-maturity investments and $2.9 million attributable to the purchase of property and equipment, including internally developed software, which was offset by $59.8 million in proceeds from the sale and maturity of investments.

Cash Flows from Financing Activities

Net cash provided by financing activities of $801.6 million during the six months ended June 30, 2025 was primarily due to $924.5 million in proceeds from borrowings, net of payment of debt issuance costs, and $3.3 million of proceeds from the employee stock purchase plan, which was offset by a $97.1 million repayment of borrowings and $29.3 million payment of tax withholding on behalf of employees related to net share settlement.

Net cash used in financing activities during the six months ended June 30, 2024 was $31.7 million, of which $33.1 million was used to pay tax withholding on behalf of employees related to net share settlement, $0.8 million was used for the payment of the holdback liability related to the JUMP acquisition, and $0.7 million was used for repayment of borrowings, which was primarily offset by $2.8 million of proceeds from the employee stock purchase plan.

Critical Accounting Policies and Estimates

Management’s discussion and analysis of our financial condition and results of operations are based upon our condensed consolidated financial statements and related notes, which have been prepared in accordance with GAAP. We review the accounting policies used in reporting our financial results on a regular basis. The preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses, and related disclosure of contingent liabilities.

On an ongoing basis, we evaluate the process we use to develop estimates. We base our estimates on historical experience and on other information that we believe is reasonable for making judgments at the time the estimates are made. Actual results may differ from our estimates due to actual outcomes being different from those on which we based our assumptions.

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There have been no material changes to our critical accounting policies and estimates as compared to the critical accounting policies and estimates described in the Annual Report under the caption “Critical Accounting Estimates” in Management’s Discussion and