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Supporting Financial Information (Tables) | 3 Months Ended
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Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Schedule of Accounts Receivable | Accounts receivable The following table summarizes accounts receivable presented on our consolidated balance sheets as follows (in thousands):
|  |  | December 31, |  | September 30,
|  |  | 2022 |  | 2022
Billed receivables |  |  | $ | 54,438 |  |  | $ | 32,814 |
Contract assets |  |  | 10,740 |  |  | 7,682 |
Allowance for doubtful accounts |  |  | — |  |  | — |
Accounts receivable |  |  | $ | 65,178 |  |  | $ | 40,496 |
Schedule of Other Current Assets | Other current assets The following table summarizes other current assets presented on our consolidated balance sheets as follows (in thousands):
|  |  | December 31, |  | September 30,
|  |  | 2022 |  | 2022
Prepaid insurance and benefits |  |  | $ | 601 |  |  | $ | 737 |
Other receivables |  |  | 922 |  |  | 945 |
Prepaid licenses and other expenses |  |  | 1,726 |  |  | 1,196 |
Other current assets |  |  | $ | 3,249 |  |  | $ | 2,878 |
Schedule of Equipment and Improvements, Net | Equipment and improvements, net The following table summarizes equipment and improvements, net presented on our consolidated balance sheets as follows (in thousands):
|  |  | December 31, |  | September 30,
|  |  | 2022 |  | 2022
Furniture and equipment |  |  | $ | 893 |  |  | $ | 893 |
Computer equipment |  |  | 2,730 |  |  | 2,316 |
Computer software |  |  | 4,407 |  |  | 4,407 |
Leasehold improvements |  |  | 1,614 |  |  | 1,614 |
Total equipment and improvements |  |  | 9,644 |  |  | 9,230 |
Less: accumulated depreciation and amortization |  |  | (7,769) |  |  | (7,526) |
Equipment and improvements, net |  |  | $ | 1,875 |  |  | $ | 1,704 |
Depreciation expense was $0.2 million and $0.3 million for the three months ended December 31, 2022 and 2021, respectively.
Schedule of Intangible Assets | Intangible assets The following table summarizes intangible assets, net presented on our consolidated balance sheets as follows (in thousands):
|  |  | December 31, |  | September 30,
|  |  | 2022 |  | 2022
Intangible assets |  |  |  |  |
Customer contracts and related customer relationships |  |  | $ | 150,187 |  |  | $ | 62,281 |
Covenants not to compete |  |  | 637 |  |  | 522 |
Trade name |  |  | 13,034 |  |  | 3,051 |
Total intangible assets |  |  | 163,858 |  |  | 65,854 |
Less: accumulated amortization |  |  |  |  |
Customer contracts and related customer relationships |  |  | (25,622) |  |  | (23,606) |
Covenants not to compete |  |  | (330) |  |  | (316) |
Trade name |  |  | (1,177) |  |  | (1,048) |
Total accumulated amortization |  |  | (27,129) |  |  | (24,970) |
Intangible assets, net |  |  | $ | 136,729 |  |  | $ | 40,884 |
Amortization expense was $2.2 million and $1.6 million for the three months ended December 31, 2022 and 2021. As of December 31, 2022, the estimated amortization expense per fiscal year as follows (in thousands):
Schedule of Estimated Amortization of Intangible Assets |
2023 (remaining) |  | $ | 12,218 |
2024 |  | 16,214 |
2025 |  | 16,214 |
2026 |  | 15,479 |
2027 |  | 14,451 |
Thereafter |  | 62,153 |
Total amortization expense |  | $ | 136,729 |
Schedule of Accounts Payable, Accrued Expenses, and Other Current Liabilities | Accounts payable and accrued liabilities The following table summarizes accounts payable and accrued liabilities presented on our consolidated balance sheets as follows (in thousands):
|  |  | December 31, |  | September 30,
|  |  | 2022 |  | 2022
Accounts payable |  |  | $ | 16,489 |  |  | $ | 11,886 |
Accrued benefits (a) |  |  | 3,108 |  |  | 3,857 |
Accrued bonus and incentive compensation |  |  | 916 |  |  | 3,625 |
Accrued workers' compensation insurance |  |  | 2,795 |  |  | 4,880 |
Accrued fringe (b) |  |  | 1,099 |  |  | 775 |
Accrued interest payable |  |  | 1,088 |  |  | — |
Accrued purchase price adjustment |  |  | 3,379 |  |  | — |
Other accrued expenses |  |  | 3,837 |  |  | 1,839 |
Accounts payable and accrued liabilities |  |  | $ | 32,711 |  |  | $ | 26,862 |
Schedule of Debt Obligations | Debt obligations The following table summarizes debt obligations presented on our consolidated balance sheets as follows (in thousands):
|  |  |  | December 31, |  | September 30,
|  |  |  | 2022 |  | 2022
Secured revolving line of credit |  |  |  | $ | 16,939 |  |  | $ | — |
Secured term loan |  |  |  | 186,438 |  |  | 22,000 |
Less: unamortized deferred financing costs |  |  |  | (8,930) |  |  | (1,584) |
Net bank debt obligations |  |  |  | 194,447 |  |  | 20,416 |
Less: current portion of debt obligations, net of deferred financing costs |  |  |  | (28,505) |  |  | — |
Long-term portion of debt obligations, net of deferred financing costs |  |  |  | $ | 165,942 |  |  | $ | 20,416 |
Schedule of Interest Expense | Interest expense The following table summarizes interest expense presented on our consolidated statements of operations for the three months ended December 31, 2022 and 2021 as follows (in thousands):
|  |  | 2022 |  | 2021 |  |  |  |
Interest expense (a) |  |  | $ | 1,554 |  |  | $ | 521 |  |  |  |  |
Amortization of deferred financing costs (b) |  |  | 276 |  |  | 151 |  |  |  |  |
Interest expense |  |  | $ | 1,830 |  |  | $ | 672 |  |  |  |  |
(a) Interest expense on borrowing. (b) Amortization of expenses related to secured term loan and secured revolving line of credit.
Schedule of Changes in Carrying Amount of Goodwill | Goodwill The change in the carrying amount of goodwill for the three months ended December 31, 2022 as follows (in thousands):
Balance at September 30, 2022 |  | $ | 65,643 |
Preliminary increase from GRSi acquisition (a) |  | 73,634 |
Balance at December 31, 2022 |  | $ | 139,277 |
Ref (a) The Company is currently assessing the valuation of the GRSi acquisition to make the final purchase price adjustments which may impact the final carrying value of Goodwill. The balance provided is an estimate and subject to revision. Please refer to Note 4 for more information.

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