Company: APPF
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0001433195-25-000142
Chunk: 25

Company: APPFOLIO INC
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 1
Chunk 25
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 deferred tax assets will not be realized. We weigh all available positive and negative evidence, including our earnings history and results of recent operations, scheduled reversals of deferred tax liabilities, projected future taxable income and tax planning strategies. During the three months ended December 31, 2024, we assessed all available evidence and determined that there was sufficient positive evidence to overcome the negative evidence, including our past and current financial results, growth demonstrated in our top-line performance, as well as projected profitability. Accordingly, we determined it is more likely than not that the deferred tax assets will be realized and we released our valuation allowance at December 31, 2024.There were no material changes to our unrecognized tax benefits during the three and nine months ended September 30, 2025, and we do not expect to have any significant changes to unrecognized tax benefits through the remainder of the year.On July 4, 2025, the One Big Beautiful Bill Act ("OBBBA") was signed into law. Included in this legislation are provisions that allow for the immediate expensing of domestic United States research and development expenses, immediate expensing of certain capital expenditures, and other changes to the U.S. taxation of profits derived from foreign operations. We believe the impact of the relevant OBBBA provisions to our income tax expense is not material and are currently expecting a favorable impact on our cash flows. We will continue to monitor and assess the impact of OBBBA on our Condensed Consolidated Financial Statements.

 9. Revenue and Other Information

The following table presents our revenue categories for the three and nine months ended September 30, 2025 and 2024 (in thousands):  Three Months EndedSeptember 30,Nine Months EndedSeptember 30, 2025202420252024Core solutions$53,752 $46,030 $155,738 $132,974 Value Added Services192,092 157,726 536,943 451,677 Other3,509 1,977 9,949 5,887 Total revenue$249,353 $205,733 $702,630 $590,538 Our revenue is generated primarily from customers in the United States. Our property and equipment is primarily located in the United States.

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Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 

The following discussion and analysis of our financial condition, results of operations and liquidity should be read together with our Condensed Consolidated Financial Statements and the related