Intapp, Inc.

Previous wording

During the three months ended December 31, 2024, we generated total revenues of $121.2 million with a gross margin of 73%. Our operating cash flow was $25.2 million. Total cash and cash equivalents as of December 31, 2024 were $285.6 million. Our remaining performance obligations, which represent all future revenue under contract yet to be recognized, were $615.3 million as of December 31, 2024.

Current wording

During the three months ended March 31, 2025, we generated total revenues of $129.1 million with a gross margin of 75%. Our operating cash flow was $35.5 million. Total cash and cash equivalents as of March 31, 2025 were $323.2 million. Our remaining performance obligations, which represent all future revenue under contract yet to be recognized, were $621.5 million as of March 31, 2025.

Previous wording

We have a track record of successfully identifying and integrating complementary businesses within the professional and financial services industry. To complement our organic investment in innovation and accelerate our growth, we will continue to evaluate acquisition opportunities that help us extend our platform, broaden and deepen our market leadership, and add new clients.

Current wording

We have a track record of successfully identifying, acquiring and integrating complementary businesses within the professional and financial services industry. To complement our organic investment in innovation and accelerate our growth, we will continue to evaluate acquisition opportunities that help us extend our platform, broaden and deepen our market leadership, and add new clients.

Previous wording

ARR was $437.1 million and $365.0 million as of December 31, 2024 and 2023, respectively, an increase of 20%.

Current wording

ARR was $454.7 million and $382.7 million as of March 31, 2025 and 2024, respectively, an increase of 19%.

Previous wording

Cloud ARR was $331.1 million and $256.1 million as of December 31, 2024 and 2023, respectively, an increase of 29%, and represented 76% and 70% of ARR as of December 31, 2024 and 2023, respectively.

Current wording

Cloud ARR was $351.8 million and $274.2 million as of March 31, 2025 and 2024, respectively, an increase of 28%, and represented 77% and 72% of ARR as of March 31, 2025 and 2024, respectively.

Previous wording

This metric accounts for changes in our recurring revenue base from cross-sell (additional solution capabilities sold), upsell (additional seats sold), price changes, and client attrition (including contraction of solution capabilities, contraction of seats and client churn). We upsold additional seats and cross-sold new solutions to our existing clients such that our trailing twelve months’ NRR as of December 31, 2024 was 113%, which is within our expected range of 113% to 117%.

Current wording

This metric accounts for changes in our recurring revenue base from cross-sell (additional solution capabilities sold), upsell (additional seats sold), price changes, and client attrition (including contraction of solution capabilities, contraction of seats and client churn). We upsold additional seats and cross-sold new solutions to our existing clients such that our trailing twelve months’ NRR as of March 31, 2025 was 113%.

Previous wording

We believe our ability to increase the number of clients on our platform is a key indicator of the growth of our business and our future business opportunities. We define a client at the end of any reporting period as an entity with at least one active subscription as of the measurement date. As of December 31, 2024, we had over 2,650 clients. No single client represented more than 10% of total revenues for either of the three and six months ended December 31, 2024 and 2023.

Current wording

We believe our ability to increase the number of clients on our platform is a key indicator of the growth of our business and our future business opportunities. We define a client at the end of any reporting period as an entity with at least one active subscription as of the measurement date. As of March 31, 2025, we had over 2,650 clients. No single client represented more than 10% of total revenues for either of the three and nine months ended March 31, 2025 and 2024.

Previous wording

Our client base includes some of the largest and most reputable professional and financial services firms globally. These clients have the financial and operating resources needed to purchase, deploy, and successfully use the full capabilities of our software platform, and as such, we believe the number of our clients with contracts greater than $100,000 of ARR is an important metric for highlighting our progress on the path to full adoption of our platform by our professional and financial services clients. As of December 31, 2024 and 2023, we had 728 and 649 clients, respectively, with contracts greater than $100,000 of ARR.

Current wording

Our client base includes some of the largest and most reputable professional and financial services firms globally. These clients have the financial and operating resources needed to purchase, deploy, and successfully use the full capabilities of our software platform, and as such, we believe the number of our clients with contracts greater than $100,000 of ARR is an important metric for highlighting our progress on the path to full adoption of our platform by our professional and financial services clients. As of March 31, 2025 and 2024, we had 748 and 673 clients, respectively, with contracts greater than $100,000 of ARR.

Previous wording

Certain prior period amounts reported thereto have been reclassified to conform to the current year presentation. Effective July 1, 2024, we adjusted the classification of support services related to subscription license to be included within “license” on the unaudited condensed consolidated statements of operations. Prior to July 1, 2024, support services related to subscription license was included in a line item entitled “SaaS and Support.” The presentation of cost of revenues has been conformed to reflect the changes related to the presentation of revenues. Such reclassifications related to the presentation of revenues and cost of revenues effective as of July 1, 2024 and did not affect total revenues, operating income, or net income. There was no change to the revenue recognition policy, except for the change in classification noted herein.

Current wording

Certain prior period amounts reported have been reclassified to conform to the current year presentation. Effective July 1, 2024, we adjusted the classification of support services related to subscription license to be included within “license” on the unaudited condensed consolidated statements of operations. Prior to July 1, 2024, support services related to subscription license was included in a line item entitled “SaaS and Support.” The presentation of cost of revenues has been conformed to reflect the changes related to the presentation of revenues. Such reclassifications related to the presentation of revenues and cost of revenues effective as of July 1, 2024 and did not affect total revenues, operating income, or net income. There was no change to the revenue recognition policy, except for the change in classification noted herein.

Previous wording

Our cost of SaaS revenues comprises the direct costs to deliver and support our SaaS solutions and premium support services related to SaaS, including personnel costs, allocated overhead costs for facilities and IT, third-party hosting fees related to cloud services, amortization of capitalized internal-use software costs and amortization of acquired intangible assets.

Current wording

Our cost of SaaS revenues comprises the direct costs to deliver and support our SaaS solutions and premium support services related to SaaS, including personnel costs, allocated overhead costs, third-party hosting fees related to cloud services, amortization of capitalized internal-use software costs and amortization of acquired intangible assets.

Previous wording

Our cost of license revenues comprises the direct costs to support our license, including personnel costs, and allocated overhead costs for facilities and IT.

Current wording

Our cost of license revenues comprises the direct costs to support our license, including personnel costs, and allocated overhead costs.

Previous wording

Our cost of professional services revenues comprises the personnel-related costs for our professional services employees and contractors responsible for delivering implementation, upgrade and migration services to our clients. This includes personnel costs and allocated overhead costs for facilities and IT. We expect the cost of professional services revenues to increase in absolute dollars as we continue to hire personnel and engage contractors to provide implementation, upgrade and migration services to our growing client base.

Current wording

Our cost of professional services revenues comprises the personnel-related costs for our professional services employees and contractors responsible for delivering implementation, upgrade and migration services to our clients. This includes personnel costs and allocated overhead costs. We expect the cost of professional services revenues to increase in absolute dollars as we continue to hire personnel and engage contractors to provide implementation, upgrade and migration services to our growing client base.

Previous wording

Our research and development expenses consist primarily of personnel-related costs for engineering and product development employees, costs of third-party services, and allocations of various overhead, cloud hosting costs and facilities costs. We expect our research and development expenses to continue to increase in absolute dollars for the foreseeable future as we continue to dedicate substantial internal resources to develop, improve and expand the functionality of our solutions.

Current wording

Our research and development expenses consist primarily of personnel-related costs for engineering and product development employees, costs of third-party services, and allocations of overhead costs, cloud hosting costs and facilities costs. We expect our research and development expenses to continue to increase in absolute dollars for the foreseeable future as we continue to dedicate substantial internal resources to develop, improve and expand the functionality of our solutions.

Previous wording

Our sales and marketing expenses consist primarily of costs incurred for personnel-related costs for our sales and marketing employees as well as sales commissions and benefits, costs of marketing events and online advertising, allocations of various overhead and facilities costs and travel and entertainment expenses. We capitalize client acquisition costs (principally commissions paid to sales personnel) and subsequently amortize these costs over the expected period of benefit. In the medium-term, we expect to see an increase in sales and marketing expense as we continue to expand our direct sales force to take advantage of opportunities for growth and increase in in-person meetings, conferences, and attendance at trade shows.

Current wording

Our sales and marketing expenses consist primarily of costs incurred for personnel-related costs for our sales and marketing employees as well as sales commissions and benefits, costs of marketing events and online advertising, allocations of overhead costs, and travel and entertainment expenses. We capitalize client acquisition costs (principally commissions paid to sales personnel) and subsequently amortize these costs over the expected period of benefit. In the medium-term, we expect to see an increase in sales and marketing expense as we continue to expand our direct sales force to take advantage of opportunities for growth and increase in in-person meetings, conferences, and attendance at trade shows.

Previous wording

Interest and other income (expense), net consists primarily of interest income from our cash and cash equivalents, non-cash interest expense related to the amortization of deferred financing costs, and gains and losses from foreign currency transactions.

Current wording

Interest and other income, net consists primarily of interest income from our cash and cash equivalents, gains and losses from foreign currency transactions, and non-cash interest expense related to the amortization of deferred financing costs.

Previous wording

Our income tax benefit (expense) consists of an estimate of federal, state, and foreign income taxes based on enacted federal, state, and foreign tax rates, as adjusted for allowable credits, deductions, uncertain tax positions, changes in the valuation of our deferred tax assets and liabilities, and changes in tax laws. We maintain a full valuation allowance on our federal and state deferred tax assets as we have concluded that it is more likely than not that the deferred tax assets will not be realized.

Current wording

Our income tax expense consists of an estimate of federal, state, and foreign income taxes based on enacted federal, state, and foreign tax rates, as adjusted for allowable credits, deductions, uncertain tax positions, changes in the valuation of our deferred tax assets and liabilities, and changes in tax laws. We maintain a full valuation allowance on our federal and state deferred tax assets as we have concluded that it is more likely than not that the deferred tax assets will not be realized.

Previous wording

Comparison of the Three and Six Months Ended December 31, 2024 and 2023

Current wording

Comparison of the Three and Nine Months Ended March 31, 2025 and 2024

Previous wording

SaaS revenues increased by $16.9 million, or 27%, and $34.8 million, or 29%, respectively, in the three and six months ended December 31, 2024 compared to the same period in the prior year, due to sales to new clients and expansion of existing clients from both cross-selling and upselling sales motions. The continuation of clients migrating from using our on-premise license solutions to our cloud solutions also contributed to the growth.

Current wording

SaaS revenues increased by $18.5 million, or 28%, and $53.3 million, or 28%, respectively, in the three and nine months ended March 31, 2025 compared to the same periods in the prior year, due to sales to new clients and expansion of existing clients from both cross-selling and upselling sales motions. The continuation of clients migrating from using our on-premise license solutions to our cloud solutions also contributed to the growth.

Previous wording

License revenues remained relatively flat in the three and six months ended December 31, 2024 compared to the same period in the prior year.

Current wording

License revenues remained relatively flat in the three and nine months ended March 31, 2025 compared to the same periods in the prior year.

Previous wording

Professional services revenues decreased by $0.6 million, or 2%, for the six months ended December 31, 2024 compared to the six months ended December 31, 2023, due to changes in mix of resource delivery to our third-party implementation partners.

Current wording

Professional services revenues decreased by $0.8 million, or 6%, and $1.5 million, or 4%, respectively, in the three and nine months ended March 31, 2025 compared to the same periods in the prior year, due to changes in mix of resource delivery to our third-party implementation partners.

Previous wording

Cost of SaaS revenues increased by $3.5 million, or 27%, for the three months ended December 31, 2024 compared to the three months ended December 31, 2023. This was driven by increases in cloud hosting costs of $0.6 million, allocated overhead costs of $0.6 million, personnel-related costs of $0.6 million as a result of increased headcount, amortization of acquired intangible assets costs of $0.5 million, stock-based compensation costs of $0.4 million due to an increase in stock awards granted and royalty expenses of $0.3 million.

Current wording

Cost of SaaS revenues increased by $3.5 million, or 27%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. This was driven by increases in cloud hosting costs of $0.8 million, allocated overhead costs of $0.7 million, personnel-related costs of $0.6 million as a result of increased headcount, amortization of acquired intangible assets costs of $0.5 million, stock-based compensation costs of $0.4 million due to an increase in stock awards granted and royalty expenses of $0.3 million.

Previous wording

Cost of SaaS revenues increased by $6.1 million, or 24%, for the six months ended December 31, 2024 compared to the six months ended December 31, 2023. This was driven by increases in cloud hosting costs of $1.1 million, allocated overhead costs of $1.0 million, amortization of acquired intangible assets costs of $1.0 million, royalty expenses of $0.9 million, personnel-related costs of $0.9 million as a result of increased headcount and stock-based compensation costs of $0.7 million due to an increase in stock awards granted.

Current wording

Cost of SaaS revenues increased by $9.6 million, or 25%, for the nine months ended March 31, 2025 compared to the nine months ended March 31, 2024. This was driven by increases in cloud hosting costs of $1.9 million, allocated overhead costs of $1.7 million, personnel-related costs of $1.5 million as a result of increased headcount, amortization of acquired intangible assets costs of $1.4 million, royalty expenses of $1.2 million, and stock-based compensation costs of $1.1 million due to an increase in stock awards granted.

Previous wording

Cost of license revenues remain relatively flat for the six months ended December 31, 2024 compared to the six months ended December 31, 2023.

Current wording

Cost of license revenues remained relatively flat for the nine months ended March 31, 2025 compared to the nine months ended March 31, 2024.

Previous wording

Cost of professional services revenues decreased by $1.8 million, or 11%, for the three months ended December 31, 2024 compared to the three months ended December 31, 2023, primarily due to decreases in personnel-related costs of $1.6 million as a result of decreased headcount and subcontractor costs of $0.3 million, partially offset by an increase in stock-based compensation costs of $0.2 million due to an increase in stock awards granted.

Current wording

Cost of professional services revenues decreased by $1.4 million, or 9%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024, primarily due to decreases in personnel-related costs of $1.8 million as a result of decreased headcount, partially offset by an increase in stock-based compensation costs of $0.3 million due to an increase in stock awards granted.

Previous wording

Cost of professional services revenues decreased by $4.1 million, or 12%, for the six months ended December 31, 2024 compared to the six months ended December 31, 2023, primarily due to decreases in personnel-related costs of $3.2 million as a result of decreased headcount, subcontractor costs of $0.5 million and allocated overhead costs of $0.5 million, partially offset by an increase in stock-based compensation costs of $0.3 million due to an increase in stock awards granted.

Current wording

Cost of professional services revenues decreased by $5.5 million, or 11%, for the nine months ended March 31, 2025 compared to the nine months ended March 31, 2024, primarily due to decreases in personnel-related costs of $4.9 million as a result of decreased headcount, subcontractor costs of $0.6 million and allocated overhead costs of $0.6 million, partially offset by an increase in stock-based compensation costs of $0.5 million due to an increase in stock awards granted.

Previous wording

Gross profit increased by $15.6 million, or 21%, for the three months ended December 31, 2024 compared to the three months ended December 31, 2023. Of this increase, $13.4 million was attributable to growth in SaaS revenues and $2.3 million was attributable to a decrease in professional services costs as a percentage of related revenues.

Current wording

Gross profit increased by $16.3 million, or 20%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. Of this increase, $15.0 million was attributable to growth in SaaS revenues and $0.6 million was attributable to a decrease in professional services costs as a percentage of related revenues.

Previous wording

Gross profit increased by $32.4 million, or 23% for the six months ended December 31, 2024 compared to the six months ended December 31, 2023. Of this increase, $28.7 million was attributable to growth in SaaS revenues and a decrease in SaaS costs as a percentage of related revenues and $3.5 million was attributable to a decrease in professional services costs as a percentage of related revenues.

Current wording

Gross profit increased by $48.8 million, or 22% for the nine months ended March 31, 2025 compared to the nine months ended March 31, 2024. Of this increase, $43.7 million was attributable to growth in SaaS revenues and a decrease in SaaS costs as a percentage of related revenues and $4.1 million was attributable to a decrease in professional services costs as a percentage of related revenues.

Previous wording

Research and development expenses increased by $5.3 million, or 19%, for the three months ended December 31, 2024 compared to the three months ended December 31, 2023. This was driven by increases in personnel-related costs of $3.0 million due to annual salary increases and increased headcount, stock-based compensation expense of $2.3 million primarily due to an increase in stock awards granted.

Current wording

Research and development expenses increased by $16.0 million, or 19%, for the nine months ended March 31, 2025 compared to the nine months ended March 31, 2024. This was driven by increases in personnel-related costs of $8.1 million due to annual salary increases and increased headcount, stock-based compensation expense of $6.2 million primarily due to an increase in stock awards granted, allocated overhead costs of $2.1 million due to increased headcount and subcontractor costs of $0.4 million, partially offset by an increase of capitalized internal-use software costs of $0.8 million.

Previous wording

Sales and marketing expenses increased by $8.9 million, or 13%, for the six months ended December 31, 2024 compared to the six months ended December 31, 2023. This was driven by increases in personnel-related costs of $5.1 million primarily due to annual salary increases and increased headcount, stock-based compensation expense of $2.7 million primarily due to an increase in stock awards granted, allocated overhead costs of $0.8 million due to increased headcount and commissions of $0.7 million due to increased sales.

Current wording

Sales and marketing expenses increased by $7.0 million, or 20%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. This was driven by increases in personnel-related costs of $2.7 million primarily due to annual salary increases and increased headcount, stock-based compensation expense of $2.0 million primarily due to an increase in stock awards granted, commissions of $0.8 million due to increased sales, allocated overhead costs of $0.7 million due to increased headcount, and subcontractor costs of $0.6 million.

Previous wording

General and administrative expenses increased by $3.8 million, or 18%, for the three months ended December 31, 2024 compared to the three months ended December 31, 2023. This was driven by increases in stock-based compensation expense of $3.5 million mainly due to an increase in stock awards granted and personnel-related costs of $1.8 million primarily due to annual salary increases, partially offset by a decrease of $2.0 million in costs allocated to other functions due to increase headcount in other departments and a $1.0 million decrease in contractor costs.

Current wording

General and administrative expenses increased by $0.8 million, or 3%, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024. This was driven by increases in stock-based compensation expense of $2.1 million primarily due to an increase in stock awards granted and personnel-related costs of $1.2 million primarily due to annual salary increases, partially offset by decreases in costs allocated to other functions of $1.9 million due to increase headcount in other departments and $0.5 million in contractor costs.

Previous wording

General and administrative expenses increased by $6.7 million, or 16%, for the six months ended December 31, 2024 compared to the six months ended December 31, 2023. This was driven by increases in stock-based compensation expense of $4.0 million mainly due to an increase in stock awards granted, personnel-related costs of $3.8 million due to annual salary increases and increased headcount, overhead costs of $1.2 million due to changes in fair value of contingent consideration related to prior acquisitions, partially offset by a decrease of $2.7 million in costs allocated to other functions due to increased headcount in other departments.

Current wording

General and administrative expenses increased by $7.5 million, or 11%, for the nine months ended March 31, 2025 compared to the nine months ended March 31, 2024. This was driven by increases in stock-based compensation expense of $6.1 million mainly due to an increase in stock awards granted, personnel-related costs of $5.0 million due to annual salary increases and increased headcount, overhead costs of $1.2 million due to changes in fair value of contingent consideration related to prior acquisitions, partially offset by a decrease of $4.7 million in costs allocated to other functions due to increased headcount in other departments.

Previous wording

The change in interest and other income (expense), net, for the three months ended December 31, 2024 compared to the three months ended December 31, 2023, was primarily due to a $3.4 million loss from foreign currency transactions partially offset by a $1.3 million increase in interest income as our cash held in money market funds increased.

Current wording

The change in interest and other income, net, for the three months ended March 31, 2025 compared to the three months ended March 31, 2024, was primarily due to a $1.5 million increase in interest income as our cash held in money market funds increased and a $1.3 million gain from foreign currency transactions.

Previous wording

The change in interest and other income (expense), net, for the six months ended December 31, 2024 compared to the six months ended December 31, 2023, was primarily due to a $2.5 million increase in interest income as our cash held in money market funds increased.

Current wording

The change in interest and other income, net, for the nine months ended March 31, 2025 compared to the nine months ended March 31, 2024, was primarily due to a $4.0 million increase in interest income as our cash held in money market funds increased and $1.1 million gain from foreign currency transactions.

Previous wording

Our income tax benefit (expense) during the three and six months ended December 31, 2024 and 2023 was primarily attributable to income tax expense in a number of U.S. state jurisdictions and foreign jurisdictions.

Current wording

Our income tax expense during the three and nine months ended March 31, 2025 and 2024 was primarily attributable to income tax expense in a number of U.S. state jurisdictions and foreign jurisdictions.

Previous wording

As of December 31, 2024, we had cash and cash equivalents of $285.6 million. We finance our liquidity needs primarily through collections from clients and the issuance of equity securities. We generally bill and collect from our clients annually in advance. Our billings are subject to seasonality with billings in the fourth quarter higher than in the other quarters.

Current wording

As of March 31, 2025, we had cash and cash equivalents of $323.2 million. We finance our liquidity needs primarily through collections from clients and the issuance of equity securities. We generally bill and collect from our clients annually in advance. Our billings are subject to seasonality with billings in the fourth quarter higher than in the other quarters.

Previous wording

During the six months ended December 31, 2024, net cash provided by operating activities was $49.7 million, as our operating loss of $14.7 million was reduced by $64.4 million of adjustments. These adjustments consisted of $56.6 million of non-cash charges (principally comprising of stock-based compensation, depreciation and amortization and amortization of operating lease right-of-use assets) and net cash inflow of $7.8 million from net changes in operating assets and liabilities. The net cash inflow from changes in operating assets and liabilities was primarily driven by an increase in deferred revenue of $15.5 million due to revenue recognition, a decrease in accounts receivable of $6.5 million due to the timing of billing and collections on our outstanding receivables and a $2.1 million increase in other liabilities due to timing of payments, offset by a $7.9 million decrease in accounts payable and accrued liabilities primarily due to payments made within the period, an increase of $5.0 million in prepaid expenses and other assets primarily due to payments made within the period, a decrease in operating lease liabilities of $2.7 million due to lease payments, an increase in unbilled receivables of $0.5 million due to the timing of invoicing to our clients and an increase in deferred commissions of $0.2 million.

Current wording

During the nine months ended March 31, 2025, net cash provided by operating activities was $85.2 million, as our net loss of $17.7 million was reduced by $102.9 million of adjustments. These adjustments consisted of $85.3 million of non-cash charges (principally comprising of stock-based compensation, depreciation and amortization and amortization of operating lease right-of-use assets) and net cash inflow of $17.5 million from net changes in operating assets and liabilities. The net cash inflow from changes in operating assets and liabilities was primarily driven by a decrease in accounts receivable of $31.4 million due to the timing of billing and collections on our outstanding receivables, a $1.3 million increase in other liabilities due to timing of payments and a $0.7 million decrease in deferred commissions, offset by a $6.7 million increase in prepaid expenses and other assets primarily due to payments made within the period, an increase in unbilled receivables of $4.3 million due to the timing of invoicing to our clients, a $3.7 million decrease in operating lease liabilities due to lease payments and a $1.2 million decrease in accounts payable and accrued liabilities primarily due to payments made within the period.

Previous wording

During the six months ended December 31, 2023, net cash provided by operating activities was $23.6 million, as our operating loss of $24.5 million was reduced by $48.1 million of adjustments. These adjustments consisted of $44.4 million of non-cash charges (principally comprising stock-based compensation and depreciation and amortization expense), and net cash inflow of $3.7 million from net changes in operating assets and liabilities. The net cash inflow from changes in operating assets and liabilities was primarily driven by a decrease in accounts receivable of $12.6 million due to the timing of billing and collections on our outstanding receivables and an increase in deferred revenue of $4.8 million due to the timing of invoicing to our clients, offset by an increase in unbilled receivables of $5.8 million, a decrease in operating lease liabilities of $2.3 million due to lease payments, an increase in prepaid expenses and other assets of $1.8 million, a decrease in accounts payable and accrued liabilities of $1.5 million primarily due to payments for annual bonuses and timing of payments, a decrease in other liabilities of $1.2 million and an increase in deferred commissions of $1.1 million due to increased sales.

Current wording

During the nine months ended March 31, 2024, net cash provided by operating activities was $40.2 million, as our net loss of $31.4 million was reduced by $71.6 million of adjustments. These adjustments consisted of $65.7 million of non-cash charges (principally comprising of stock-based compensation and depreciation and amortization), and net cash inflow of $5.9 million from net changes in operating assets and liabilities. The net cash inflow from changes in operating assets and liabilities was primarily driven by a decrease in accounts receivable of $10.1 million due to the timing of billing and collections on our outstanding receivables, an increase in accounts payable and accrued liabilities of $6.3 million primarily due to timing of payments and an increase in deferred revenue of $4.9 million due to the timing of invoicing to our clients, offset by an increase in unbilled receivables of $5.8 million, an increase in prepaid expenses and other assets of $4.1 million, a decrease in operating lease liabilities of $3.5 million due to lease payments, an increase in deferred commissions of $1.8 million due to increased sales.

Previous wording

During the six months ended December 31, 2024, net cash used in investing activities was $4.8 million, consisting of capitalized internal-use software costs of $3.5 million, $0.9 million working capital adjustment related to a prior acquisition and capital expenditures of $0.4 million on property and equipment largely of computer equipment.

Current wording

During the nine months ended March 31, 2025, net cash used in investing activities was $7.2 million, consisting of capitalized internal-use software costs of $5.5 million, $0.9 million working capital adjustment related to a prior acquisition and capital expenditures of $0.8 million on property and equipment largely of computer equipment.

Previous wording

During the six months ended December 31, 2023, net cash used in investing activities was $4.8 million, consisting of capitalized internal-use software costs of $3.5 million and capital expenditures of $1.3 million on property and equipment largely of computer software and development costs.

Current wording

During the nine months ended March 31, 2024, net cash used in investing activities was $6.9 million, consisting of capitalized internal-use software costs of $5.2 million and capital expenditures of $1.7 million on property and equipment consisting largely of computer software and development costs.

Previous wording

During the six months ended December 31, 2024, net cash provided by financing activities was $32.1 million, primarily comprised of $32.6 million of proceeds from stock option exercises and $2.0 million of proceeds from the employee stock purchase plan, offset by $2.4 million in payments for contingent consideration and holdbacks related to a prior acquisition.

Current wording

During the nine months ended March 31, 2025, net cash provided by financing activities was $35.7 million, primarily comprised of $36.1 million of proceeds from stock option exercises and $2.0 million of proceeds from the employee stock purchase plan, offset by $2.4 million in payments for contingent consideration and holdbacks related to a prior acquisition.

Previous wording

During the six months ended December 31, 2023, net cash provided by financing activities was $16.3 million, primarily comprised of $17.9 million of proceeds from stock option exercises and $1.7 million of proceeds from the employee stock purchase plan, offset by $2.6 million of payments for the final contingent consideration and cash holdback related to prior acquisitions and $0.7 million of payments related to deferred offering costs in connection with our follow-on public offering.

Current wording

During the nine months ended March 31, 2024, net cash provided by financing activities was $23.6 million, primarily comprised of $25.2 million of proceeds from stock option exercises and $1.7 million of proceeds from employee stock purchase plan, offset by $2.6 million of payments for the final contingent consideration and cash holdback related to prior acquisitions and $0.7 million of payments related to deferred offering costs in connection with our follow-on public offering.