Supporting Financial Information (Tables)

9 Months Ended

Jun. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Accounts Receivable

Accounts receivable

	(in thousands)
	June 30,		September 30,
	2022		2021
Billed receivables	$	41,870	$	26,140
Contract assets	8,467		7,307
Total accounts receivable	$	50,337	$	33,447

Accounts receivable are non-interest bearing, unsecured and carried at net realizable value. We evaluate our receivables on a quarterly basis and determine whether an allowance is appropriate based on specific collection issues. No allowance for doubtful accounts was deemed necessary at either June 30, 2022 or September 30, 2021.

Schedule of Other Current Assets

Other current assets

	(in thousands)
	June 30,		September 30,
	2022		2021
Prepaid insurance and benefits	$	1,019	$	655
Other receivables	1,021		995
Prepaid licenses and other expenses	2,377		2,615
Other current assets	$	4,417	$	4,265

Schedule of Equipment and Improvements, Net

Equipment and improvements, net

		(in thousands)
		June 30,		September 30,
	Ref	2022		2021
Furniture and equipment		$	958	$	958
Computer equipment		1,484		1,262
Computer software		4,375		4,353
Leasehold improvements		1,595		1,595
Total equipment and improvements		8,412		8,168
Less: accumulated depreciation and amortization	(a)	(7,057)		(6,256)
Equipment and improvements, net		$	1,355	$	1,912

Ref (a): Depreciation expense was $0.2 million and $0.4 million for the three months ended June 30, 2022 and 2021, respectively, and $0.8 million and $1.2 million, for the nine months ended June 30, 2022 and 2021, respectively.

Schedule of Intangible Assets

Intangible assets

		(in thousands)
		June 30,		September 30,
	Ref	2022		2021
Intangible assets	(a)
Customer contracts and related customer relationships		$	62,281	$	62,281
Covenants not to compete		522		522
Trade name		3,051		3,051
Total intangible assets		65,854		65,854
Less: accumulated amortization
Customer contracts and related customer relationships		(22,049)		(17,378)
Covenants not to compete		(303)		(264)
Trade name		(972)		(743)
Total accumulated amortization		(23,324)		(18,385)
Intangible assets, net		$	42,530	$	47,469

Ref (a): Intangible assets (other than goodwill) are subject to amortization. These intangible assets are amortized on a straight-line basis over their estimated useful lives of 10 years. The total amount of amortization expense was $1.6 million for the three months ended June 30, 2022 and 2021 and $4.9 million for the nine months ended June 30, 2022 and 2021.

Schedule of Estimated Amortization of Intangible Assets

Estimated amortization expense for the following fiscal years ending September 30:	(in thousands)
2022 (remaining)	$	1,646
2023	6,585
2024	6,585
2025	6,585
2026	5,851
Thereafter	15,278
Total amortization expense	$	42,530

Schedule of Accounts Payable, Accrued Expenses, and Other Current Liabilities

Accounts payable, accrued expenses, and other current liabilities

	(in thousands)
	June 30,		September 30,
	2022		2021
Accounts payable	$	18,614	$	16,684
Accrued benefits	4,172		2,916
Accrued bonus and incentive compensation	2,600		2,381
Accrued workers' compensation insurance	4,877		7,014
Other accrued expenses	4,835		3,722
Accounts payable, accrued expenses, and other current liabilities	$	35,098	$	32,717

Schedule of Debt Obligations

Debt obligations

		(in thousands)
		June 30,		September 30,
	Ref	2022		2021
Bank term loan		$	28,500	$	46,750
Less: unamortized deferred financing costs		(1,717)		(2,114)
Long-term portion of bank debt obligations, net of deferred financing costs	(a)	$	26,783	$	44,636

Ref (a): As of June 30, 2022 and September 30, 2021, we had no outstanding balance on our revolving line of credit and have satisfied mandatory principal payments covering the following twelve months.

Schedule of Interest Expense

Interest income (expense)

		Three Months Ended				Nine Months Ended
		June 30,				June 30,
(in thousands)	Ref	2022		2021		2022		2021
Interest expense	(a)	$	(334)	$	(696)	$	(1,242)	$	(2,367)
Amortization of deferred financing costs	(b)	(178)		(197)		(497)		(610)
Interest expense, net		$	(512)	$	(893)	$	(1,739)	$	(2,977)

Ref (a): Interest expense on borrowing

Ref (b): Amortization of expenses related to term loan and revolving line of credit