SEGMENTS

9 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

SEGMENTS

SEGMENTS

The Company determines its operating segments based on ASC 280, Segment Reporting, in alignment with how the chief operating decision making group monitors and manages the performance of the business as well as the level at which financial information is reviewed. The Company’s operating segments are strategic business units that offer different products and services.

The Company's core business is delivering seamlessly integrated payment and software solutions customers in strategic vertical markets. This is accomplished through the Merchant Services and Proprietary Software and Payments segments.

The Merchant Services segment provides comprehensive payment solutions. The Merchant Services segment includes third-party integrated payment solutions as well as traditional merchant processing services across the Company's strategic vertical markets.

The Proprietary Software and Payments segment delivers solutions, including embedded payments, to the Company's customers through proprietary software. Payments are delivered through both the payment facilitator model and the traditional merchant processing model.

The Other category includes corporate overhead expenses when presenting reportable segment information.

The Company primarily uses processing margin to measure operating performance. Processing margin is equal to revenue less other cost of services plus residuals expense, which are a component of other cost of services. The following is a summary of reportable segment operating performance for the three and nine months ended June 30, 2022 and 2021.

	As of and for the Three Months Ended June 30, 2022
	Merchant Services		Proprietary Software and Payments		Other		Total
Revenue	$	32,714	$	47,839	$	—	$	80,553
Other costs of services	(16,303)		(3,456)		10		(19,749)
Residuals	10,320		348		(11)		10,657
Processing margin	$	26,731	$	44,731	$	(1)	$	71,461
Residuals							(10,657)
Selling, general and administrative							(47,775)
Depreciation and amortization							(7,506)
Change in fair value of contingent consideration							(8,254)
Loss from operations							$	(2,731)
Total assets	$	204,656	$	510,336	$	65,432	$	780,424
Goodwill	$	119,086	$	234,796	$	—	$	353,882

	As of and for the Nine Months Ended June 30, 2022
	Merchant Services		Proprietary Software and Payments		Other		Total
Revenue	$	91,071	$	141,575	$	(34)	$	232,612
Other costs of services	(43,273)		(9,660)		43		(52,890)
Residuals	26,555		1,139		(28)		27,666
Processing margin	$	74,353	$	133,054	$	(19)	$	207,388
Residuals							(27,666)
Selling, general and administrative							(142,878)
Depreciation and amortization							(21,823)
Change in fair value of contingent consideration							(24,684)
Loss from operations							$	(9,663)
Total assets	$	204,656	$	510,336	$	65,432	$	780,424
Goodwill	$	119,086	$	234,796	$	—	$	353,882

	As of and for the Three months ended June 30, 2021(1)
	Merchant Services		Proprietary Software and Payments		Other		Total
Revenue	$	29,963	$	33,729	$	(563)	$	63,129
Other costs of services	(14,206)		(2,397)		539		(16,064)
Residuals	8,374		273		(519)		8,128
Processing margin	$	24,131	$	31,605	$	(543)	$	55,193
Residuals							(8,128)
Selling, general and administrative							(37,296)
Depreciation and amortization							(6,995)
Change in fair value of contingent consideration							(3,609)
Loss from operations							$	(835)
Total assets	$	209,989	$	377,416	$	60,846	$	648,251
Goodwill	$	119,086	$	169,960	$	—	$	289,046

__________________________

1.Effective October 1, 2020, the Company's financial statements are presented in accordance with ASU 2021-08, Accounting Standards Codification Topic 805, Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. See Note 2 to the interim consolidated financial statements for a description of the recently adopted accounting pronouncement.

	As of and for the Nine Months Ended June 30, 2021(1)
	Merchant Services		Proprietary Software and Payments		Other		Total
Revenue	$	81,130	$	77,491	$	(1,674)	$	156,947
Other costs of services	(36,829)		(5,864)		1,649		(41,044)
Residuals	21,219		817		(1,612)		20,424
Processing margin	$	65,520	$	72,444	$	(1,637)	$	136,327
Residuals							(20,424)
Selling, general and administrative							(92,769)
Depreciation and amortization							(17,938)
Change in fair value of contingent consideration							(5,835)
Loss from operations							$	(639)
Total assets	$	209,989	$	377,416	$	60,846	$	648,251
Goodwill	$	119,086	$	169,960	$	—	$	289,046

__________________________

1.Effective October 1, 2020, the Company's financial statements are presented in accordance with ASU 2021-08, Accounting Standards Codification Topic 805, Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. See Note 2 to the interim consolidated financial statements for a description of the recently adopted accounting pronouncement.

The Company has not disclosed expenditures on long-lived assets as such expenditures are not reviewed by or provided to the chief operating decision maker.