Company: CWAN
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001866368-25-000018
Chunk: 137

Company: Clearwater Analytics Holdings, Inc.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 2
Chunk 137
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 liability insurance.

Non-Operating Expenses

Three Months EndedJune 30,Six Months EndedJune 30,(In thousands, except percentages)20252024$ Change% Change20252024$ Change% ChangeInterest expense$13,464 $1,082 $12,382 1,144%$14,383 $2,181 $12,202 559%Tax receivable agreement expense$— $5,915 $(5,915)(100%)$— $6,201 $(6,201)(100%)Other income, net$(1,546)$(3,508)$(1,962)(56%)$(3,869)$(7,197)$(3,328)(46%)

37

Interest expense increased in the three and six months ended June 30, 2025 mainly due to the newly obtained borrowings under the 2025 Credit Agreement with an average aggregate principal outstanding balance of $937.3 million and weighted average interest rate of 6.53% in the three and six months ended June 30, 2025. 

There was no tax receivable agreement expense in the three months ended June 30, 2025 as all obligations of the tax receivable agreement have been fully paid in accordance with the TRA Amendment in 2024 and no further tax receivable agreement expense is expected in the future.

Other income, net relates to interest income, foreign exchange gains and losses which is driven by fluctuations in exchange rates, and gains and losses related to our investments.

Provision for (Benefit from) Income Taxes

Three Months EndedJune 30,Six Months EndedJune 30,(In thousands, except percentages)20252024$ Change% Change20252024$ Change% ChangeProvision for (benefit from) income taxes$(2,347)$79 $(2,426)(3071%)$(797)$(19)$(778)(4095%)

The provision for (benefit from) income taxes for the three months ended June 30, 2025 decreased due to the valuation allowance release on most of our U.S. net deferred tax assets in the fourth quarter of 2024. The provision for (benefit from) income taxes in the current year includes taxes on our U.S. income (losses) whereas no taxes were provided for on our U.S. income in the prior year due to the valuation allowance. The benefit from income taxes for the six months ended June 30, 202