Company: AFRM
Filing Date: 2025-02-06
Form Type: 10-Q
Source: 0001820953-25-000012
Chunk: 70

Company: Affirm Holdings, Inc.
Filing Date: 2025-02-06
Form: 10-Q
Item: Part I, Item 1
Chunk 70
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 Employee Stock Purchase Plan (“ESPP”). The purpose of the ESPP is to secure the services of new employees, to retain the services of existing employees and to provide incentives for such individuals to exert maximum effort towards the success of the Company and that of its affiliates. A total of 16.1 million shares of Class A common stock are reserved and available for issuance under the ESPP and 1.9 million shares have been issued as of December 31, 2024. The ESPP provides for six-month offering periods beginning December 1 and June 1 of each year. At the end of each offering period, shares of our Class A common stock are purchased on behalf of each ESPP participant at a price per share equal to 85% of the lesser of (1) the fair market value of the Class A common stock on first day of the offering period (the grant date) or (2) the fair market value of the Class A common stock on the last day of the offering period (the purchase date). We use the Black-Scholes-Merton option pricing model to measure the fair value of the purchase rights issued under the ESPP at the first day of the offering period, which represents the grant date. We record stock-based compensation expense on a straight-line basis over each six-month offering period, the requisite service period of the award.Stock-Based Compensation ExpenseThe following table presents the components and classification of stock-based compensation (in thousands):Three Months Ended December 31,Six Months Ended December 31,2024202320242023General and administrative$57,719 $61,939 $120,524 $132,123 Technology and data analytics23,677 22,567 49,648 57,703 Sales and marketing4,482 4,305 9,677 9,770 Processing and servicing220 1,353 482 2,927 Total stock-based compensation in operating expenses86,098 90,164 180,331 202,523 Capitalized into property, equipment and software, net44,708 29,657 94,186 68,460 Total stock-based compensation$130,806 $119,821 $274,517 $270,983 

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15.   Restructuring and other

In February 2023, we committed to a restructuring plan (the “February 2023 Plan”) that included reducing our workforce and vacating a portion of our San