Company: IIIV
Filing Date: 2025-03-21
Form Type: CORRESP
Source: 0001728688-25-000076
Chunk: 2

Company: i3 Verticals, Inc.
Filing Date: 2025-03-21
Form: CORRESP
Chunk 2
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 holder in such a transaction).

The Company considers it appropriate to add back net income attributable to noncontrolling shareholders in the calculation of the numerator of pro forma adjusted diluted earnings per share because the common units of i3 Verticals, LLC held by the Class B common stock shareholders, which represent the noncontrolling interest, could at any time be redeemed or exchanged for Class A common stock, which would eliminate the noncontrolling interest, but not change the economic or control realities of the Company (since the former holders of Class B common stock would continue to have the same voting rights and economic interest following such redemption or exchange). Further, as noted above, this framework for calculating the numerator is consistent with the fact that the denominator includes all dilutive potential shares, including the shares of Class A common stock issuable in connection with any redemption or exchange of common units as described above. Given this background, we do not believe that the recognition and measurement principles used to calculate this non-GAAP financial measure implicate Question 100.04 of the Non-GAAP Financial Measures Compliance and Disclosure Interpretations.

Further, we respectfully note that the Company believes this non-GAAP disclosure calculation framework is consistent with industry practice for companies with similar “Up-C” structures. Moreover, this metric is consistent with the pro forma adjusted diluted earnings per share metric that the Company uses internally to assess performance and is further utilized as a performance metric in connection with grants of performance stock units made by the Company to its executives from time to time.

#### 2.
We note you present several non-GAAP measures: pro forma adjusted income before taxes from continuing operations, pro forma adjusted net income from continuing operations, pro forma adjusted diluted earnings per share from continuing operations and pro forma weighted average shares of adjusted diluted Class A common stock outstanding. Please explain why these measures are labelled as “pro forma” as these measures do not appear to be consistent with Article 11 of Regulation S-X. Refer to Question 100.05 of the Non-GAAP Financial Measures Compliance and Disclosure Interpretations. Also please expand disclosure to clarify the purpose of these non-

United States Securities and Exchange Commission

March 21, 2025

Page 4

GAAP measures, how management uses them and why management believes they are useful to investors. Refer to Item 10(e) of Regulation S-K.

Response: We acknowledge the Staff’s comment and respectfully advise the Staff that these measures were not intended to convey a formal “pro forma” measure in accordance with Article 11 of Regulation S-X. In future