Company: APPN
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001441683-25-000068
Chunk: 55

Company: APPIAN CORP
Filing Date: 2025-11-06
Form: 10-Q
Item: Item 1
Chunk 55
---
 thousands)Other income, net$(24,678)$(5,882)$(18,796)***% of revenue(4.7)%(1.3)%

*** Indicates a percentage that is not meaningful.

Other income, net was $24.7 million in the nine months ended September 30, 2025 compared to other income, net of $5.9 million in the nine months ended September 30, 2024. This change was primarily due to $19.4 million in foreign exchange gains in the nine months ended September 30, 2025 as compared to $2.5 million in foreign exchange losses in the nine months ended September 30, 2024. In addition, there was a $3.2 million decrease in other income related to a non-recurring local government incentive payment and short-swing profit disgorgement payments to us from a public stockholder of our Class A common stock that were both received in the prior year.

Interest Expense

Nine Months Ended September 30,20252024$ Change% Change(dollars in thousands)Interest expense$15,948$17,921$(1,973)(11.0)%% of revenue3.0 %4.0 %

40

Interest expense decreased by $2.0 million in the nine months ended September 30, 2025 as compared to the corresponding period in 2024 primarily due to a lower effective interest rate and lower outstanding principal across the comparable periods.

Income Tax Expense

Nine Months Ended September 30,20252024$ Change% Change(dollars in thousands)Income tax expense $3,690$690$3,000 ***% of revenue0.7 %0.2 %

*** Indicates a percentage that is not meaningful.

Income tax expense increased by $3.0 million in the nine months ended September 30, 2025 as compared to the corresponding period in 2024. This change was primarily driven by increased pre-tax book income in certain international subsidiaries for the nine months ended September 30, 2025. The change in pre-tax book income was primarily attributable to increases in unrealized foreign exchange gains.

Non-GAAP Financial Measures

To supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, we provide investors with certain non-GAAP financial performance measures. We use these non-GAAP financial performance measures for financial and operational decision-making and as a means to evaluate period-to-period