Company: AFRM
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001628280-25-050295
Chunk: 21

Company: Affirm Holdings, Inc.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 21
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 (loss) as a component of sales and marketing expense. As of September 30, 2025, the accumulated amortization is $228.3 million and the remaining net asset value is $42.3 million, which will be recognized over the remaining useful life of 3.8 years.Other Assets    Other assets consisted of the following (in thousands):September 30, 2025June 30, 2025Processing reserves$68,416 $90,826 Prepaid expenses46,411 47,027 Risk sharing assets41,565 43,179 Equity securities held at cost40,396 40,277 Prepaid payroll taxes for stock-based compensation31,606 25,188 Operating lease right-of-use assets16,754 19,124 Foreign deferred tax asset11,889 13,929 Other assets12,677 15,810 Total other assets$269,713 $295,360 Accrued Expenses and Other LiabilitiesAccrued expenses and other liabilities consisted of the following (in thousands):September 30, 2025June 30, 2025Accrued expenses$75,669 $72,813 Operating lease liability28,108 31,943 Other liabilities62,053 52,516 Total accrued expenses and other liabilities$165,830 $157,272 

6.   Leases

We lease office space under operating leases with various expiration dates through 2032. We have the option to renew or extend our leases. Certain lease agreements include the option to terminate the lease with prior written notice ranging from nine months to one year. As of September 30, 2025, we have not considered such provisions in the determination of the lease term, as it is not reasonably certain these options will be exercised. Leases have remaining terms that range from less than one year to seven years.

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Several leases require us to obtain standby letters of credit, naming the lessor as a beneficiary. These letters of credit act as security for the faithful performance by us of all terms, covenants and conditions of the lease agreement. We are required to post collateral for the letters of credit in the form of cash or eligible securities. As of both September 30, 2025 and June 30, 2025, the collateral totaled $4.5 million, which was in the form of securities that have been classified as securities available for sale at fair value