Supporting Financial Information

Accounts receivable



			(in thousands)
		September 30,			September 30,
	Ref		2016			2015
Billed receivables			$	5,265		$	2,498
Unbilled receivables			1,372			788
Total accounts receivable			6,637			3,286
Less: Allowance for doubtful accounts	(a)		—			—
Accounts receivable, net			$	6,637		$	3,286

Ref (a): Accounts receivable are non-interest bearing, unsecured and carried at fair value, which is net of an allowance for doubtful accounts. We evaluate our receivables on a quarterly basis and determine whether an allowance is appropriate based on specific collection issues. Our allowance for doubtful accounts was zero at both September 30, 2016 and September 30, 2015. Our allowance for doubtful accounts is assessed based on Company policy of specific identification for aged items. The Company generally does not have delinquent receivables due to the nature of its business.

Other current assets



			(in thousands)
		September 30,			September 30,
	Ref		2016			2015
Prepaid insurance and benefits			$	168		$	156
Other receivables and prepaid expenses			374			273
Other current assets			$	542		$	429

Equipment and improvements, net



			(in thousands)
		September 30,				September 30,
	Ref		2016				2015
Furniture and equipment			$	638			$	197
Computer equipment			202				162
Computer software			309				297
Leasehold improvements			38				63
Total fixed assets			1,187				719
Less accumulated depreciation and amortization			(543		)		(383		)
Equipment and improvements, net	(a)		$	644			$	336

Ref (a): Equipment and improvements are stated at cost. Depreciation and amortization are provided using the straight-line method over the estimated useful asset lives (3 to 7) and the shorter of the initial lease term or estimated useful life for leasehold improvements. Maintenance and repair costs are expensed as incurred. Depreciation of equipment was $188 thousand as of September 30, 2016 and $55 thousand as of September 30, 2015.

Goodwill and Intangibles



					(in thousands)
				September 30, 2016
	Ref	Goodwill			Customer Relationships			Non Compete			Total
Gross Balance		$	34,745		$	7,247		$	1,370		$	43,362
Accumulated amortization		—			(993		)	(65		)	(1,058		)
Net balance	(a)	$	34,745		$	6,254		$	1,305		$	42,304



Ref (a): Estimated amortization expense for future years:	(in thousands)
Year 1	$	2,375
Year 2	2,142
Year 3	1,519
Year 4	825
Year 5	152
Thereafter	546
	$	7,559

Ref (a): Intangibles acquired during the acquisition of Danya included customer relationships and a covenant not to compete. The intangibles are amortized on a straight-line basis over the estimated useful lives (4- 9 years). Total amount of amortization expense for the year ended September 30, 2016 was $1 million.

Accrued payroll



			(in thousands)
		September 30,			September 30,
	Ref		2016			2015
Accrued payroll related to billed receivables			$	3,616		$	2,259
Accrued payroll related to unbilled accounts receivable			—			536
Total accrued payroll			$	3,616		$	2,795

Accounts payable, accrued expenses and other current liabilities



			(in thousands)
		September 30,			September 30,
	Ref		2016			2015
Accounts payable			$	4,324		$	87
Accrued benefits			1,197			267
Accrued bonus and incentive compensation			508			858
Accrued workers compensation insurance			981			945
Other accrued expenses			126			694
Accounts payable, accrued expenses, and other current liabilities			$	7,136		$	2,851

Debt obligations



			(in thousands)
		September 30,				September 30,
	Ref		2016				2015
Bank term loan	(a)		$	23,438			$	—
Less unamortized debt issuance costs			(1,222		)		—
Net bank debt obligation			22,216				—
Less current portion of bank debt obligations			(3,560		)		—
Long term portion of bank debt obligation			$	18,656			$	—



Ref (a): Maturity of the net bank debt obligation as follows, in thousands:
Year 1	$	3,750
Year 2	3,750
Year 3	3,750
Year 4	3,750
Year 5	8,438
Total net bank debt obligation	$	23,438

Other Income (Expense)



		(in thousands)
		Twelve Months Ended
		September 30,
	Ref	2016			2015
Interest income (expense), net	(a)	$	(454	)	$	(80	)
Amortization of deferred financing costs	(b)	(289		)	—
Other income (expense), net	(c)	(80		)	824
Acquisition expense	(d)	(795		)	—
Other income (expense), net		$	(1,618	)	$	744

Ref (a): Interest expense on borrowing related to the acquisition of Danya

Ref (b): Amortizations of expenses related to securing financing to acquire Danya

Ref (c): Prior year miscellaneous other income includes $1.5 million from resolution of the legacy payroll tax issue in fourth quarter 2015, partially offset by the $0.6 million, net, March 2015 non-cash settlement of the retroactive payment issue.

Ref (d): Reflects non-operational expenses related to the acquisition Danya.