2024 Q2 Form 10-Q Financial Statement

#000095017024050638 Filed on April 30, 2024

View on sec.gov

Income Statement

Concept 2024 Q2 2024 Q1
Revenue $232.6M $227.2M
YoY Change 9.88% 10.89%
Cost Of Revenue $55.32M $59.38M
YoY Change -5.75% 3.93%
Gross Profit $177.3M $167.9M
YoY Change 15.87% 13.58%
Gross Profit Margin 76.22% 73.87%
Selling, General & Admin $87.59M $92.65M
YoY Change 6.72% 22.88%
% of Gross Profit 49.4% 55.19%
Research & Development $49.25M $49.48M
YoY Change 13.58% 20.69%
% of Gross Profit 27.78% 29.47%
Depreciation & Amortization $29.75M $33.95M
YoY Change -11.0% -0.02%
% of Gross Profit 16.78% 20.23%
Operating Expenses $154.8M $160.1M
YoY Change 7.89% 19.04%
Operating Profit $22.51M $7.797M
YoY Change 135.61% -41.5%
Interest Expense $16.60M $16.45M
YoY Change -360.3% 18.94%
% of Operating Profit 73.74% 211.0%
Other Income/Expense, Net $1.253M $2.939M
YoY Change -106.25% 5342.59%
Pretax Income $25.75M -$4.834M
YoY Change -125.85% -445.04%
Income Tax $4.300M -$4.200M
% Of Pretax Income 16.7%
Net Earnings $21.45M -$597.0K
YoY Change -121.96% -127.34%
Net Earnings / Revenue 9.22% -0.26%
Basic Earnings Per Share $0.03 $0.00
Diluted Earnings Per Share $0.03 $0.00
COMMON SHARES
Basic Shares Outstanding 614.6M 604.7M
Diluted Shares Outstanding 638.4M 598.3M

Balance Sheet

Concept 2024 Q2 2024 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $237.9M $191.2M
YoY Change -41.05% -43.49%
Cash & Equivalents $237.9M $191.2M
Short-Term Investments
Other Short-Term Assets $26.59M $31.29M
YoY Change -42.34% -9.99%
Inventory
Prepaid Expenses
Receivables $120.9M $102.0M
Other Receivables $4.093M $0.00
Total Short-Term Assets $408.9M $343.2M
YoY Change -25.87% -29.25%
LONG-TERM ASSETS
Property, Plant & Equipment $176.4M $164.8M
YoY Change -4.75% 9.52%
Goodwill $1.418B $1.418B
YoY Change 0.0% -5.18%
Intangibles $970.5M $990.5M
YoY Change -8.79% -9.46%
Long-Term Investments $10.23M $10.23M
YoY Change 0.0% 0.0%
Other Assets $42.55M $43.70M
YoY Change -42.14% -15.58%
Total Long-Term Assets $2.670B $2.680B
YoY Change -2.93% -6.16%
TOTAL ASSETS
Total Short-Term Assets $408.9M $343.2M
Total Long-Term Assets $2.670B $2.680B
Total Assets $3.079B $3.024B
YoY Change -6.76% -9.51%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $20.95M $23.72M
YoY Change 9.8% 50.16%
Accrued Expenses $61.15M $39.50M
YoY Change -0.99% -14.07%
Deferred Revenue $45.99M $45.25M
YoY Change 14.79% 12.37%
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due $8.000M $8.000M
YoY Change -27.05% 0.0%
Total Short-Term Liabilities $146.6M $135.8M
YoY Change 8.28% 8.87%
LONG-TERM LIABILITIES
Long-Term Debt $764.2M $765.9M
YoY Change -4.47% -0.85%
Other Long-Term Liabilities $10.35M $7.347M
YoY Change -90.55% 272.0%
Total Long-Term Liabilities $774.6M $773.2M
YoY Change -14.84% -0.16%
TOTAL LIABILITIES
Total Short-Term Liabilities $146.6M $135.8M
Total Long-Term Liabilities $774.6M $773.2M
Total Liabilities $1.167B $1.222B
YoY Change -8.68% -2.42%
SHAREHOLDERS EQUITY
Retained Earnings -$1.106B -$1.127B
YoY Change 37.67% 59.69%
Common Stock $62.00K $61.00K
YoY Change -1.59% -3.17%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $1.894B $1.784B
YoY Change
Total Liabilities & Shareholders Equity $3.079B $3.024B
YoY Change -6.76% -9.51%

Cashflow Statement

Concept 2024 Q2 2024 Q1
OPERATING ACTIVITIES
Net Income $21.45M -$597.0K
YoY Change -121.96% -127.34%
Depreciation, Depletion And Amortization $29.75M $33.95M
YoY Change -11.0% -0.02%
Cash From Operating Activities $51.77M $55.24M
YoY Change -25.56% 66.98%
INVESTING ACTIVITIES
Capital Expenditures $15.56M $15.66M
YoY Change 6.95% 7.77%
Acquisitions
YoY Change
Other Investing Activities
YoY Change
Cash From Investing Activities -$15.56M -$15.66M
YoY Change 6.95% 7.77%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net $2.000M
YoY Change 0.0%
Cash From Financing Activities 10.52M -43.85M
YoY Change -1.03% 992.35%
NET CHANGE
Cash From Operating Activities 51.77M 55.24M
Cash From Investing Activities -15.56M -15.66M
Cash From Financing Activities 10.52M -43.85M
Net Change In Cash 46.73M -4.384M
YoY Change -28.8% -130.1%
FREE CASH FLOW
Cash From Operating Activities $51.77M $55.24M
Capital Expenditures $15.56M $15.66M
Free Cash Flow $36.21M $39.57M
YoY Change -34.16% 113.4%

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CY2023Q1 us-gaap Profit Loss
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CY2023Q1 us-gaap Share Based Compensation
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CY2023Q1 us-gaap Amortization Of Financing Costs
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CY2023Q1 cccs Noncash Lease Expense
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CY2023Q1 us-gaap Gain Loss On Sale Of Property Plant Equipment
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CY2023Q1 us-gaap Net Cash Provided By Used In Operating Activities
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CY2023Q1 us-gaap Proceeds From Issuance Of Shares Under Incentive And Share Based Compensation Plans
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CY2023Q1 us-gaap Payments Related To Tax Withholding For Share Based Compensation
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CY2023Q1 us-gaap Net Cash Provided By Used In Financing Activities
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CY2023Q1 us-gaap Effect Of Exchange Rate On Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Including Disposal Group And Discontinued Operations
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CY2024Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
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CY2023Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
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CY2023Q1 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2023Q1 us-gaap Capital Expenditures Incurred But Not Yet Paid
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CY2023Q1 us-gaap Income Taxes Paid Net
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CY2024Q1 us-gaap Use Of Estimates
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<p style="margin-left:4.533%;font-size:10pt;margin-top:6pt;font-family:Times New Roman;margin-bottom:0;text-align:left;"><span style="color:#000000;white-space:pre-wrap;font-weight:bold;font-size:10pt;font-family:Times New Roman;min-width:fit-content;">Use of Estimates</span><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;min-width:fit-content;">—The </span><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;min-width:fit-content;">preparation of the condensed consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts, and the disclosures of contingent amounts, in the Company’s condensed consolidated financial statements and the accompanying notes. Although the Company regularly assesses these estimates, actual</span><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;min-width:fit-content;"> </span></p><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;min-width:fit-content;">results </span><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;min-width:fit-content;">could differ from those estimates. Changes in estimates are recorded in the period in which they become known. The Company bases its estimates on historical experience and various other assumptions that it believes to be reasonable under the circumstances. Actual results could differ from management’s estimates if past experience or other assumptions are not substantially accurate. Significant estimates in these condensed consolidated financial statements include the estimation of contract transaction prices, the determination of the amortization period for contract assets, the valuation of goodwill and intangible assets, the valuation of the warrant liabilities, and the estimates and assumptions associated with stock incentive plans.</span>
CY2024Q1 us-gaap Prior Period Reclassification Adjustment Description
PriorPeriodReclassificationAdjustmentDescription
<p style="margin-left:4.533%;font-size:10pt;margin-top:6pt;font-family:Times New Roman;margin-bottom:0;text-align:left;"><span style="color:#000000;white-space:pre-wrap;font-weight:bold;font-size:10pt;font-family:Times New Roman;min-width:fit-content;">Reclassifications</span><span style="color:#000000;white-space:pre-wrap;font-size:12pt;font-family:Times New Roman;min-width:fit-content;">—</span><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;min-width:fit-content;">Certain reclassifications of prior period amounts have been made to conform to the current period presentation. For the three months ended March 31, 2024, changes in the fair value of the Company's interest rate cap agreements are recognized within other income (expense)—net in the condensed consolidated statements of operations and comprehensive (loss) income. Corresponding amounts recognized during the three months ended March 31, 2023, were previously classified as a change in fair value of derivative instruments and have been reclassified to conform to the current period presentation. The amounts reclassified had no impact on net (loss) income</span><span style="color:#000000;white-space:pre-wrap;font-size:10pt;font-family:Times New Roman;min-width:fit-content;">.</span></p>
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CY2022Q3 us-gaap Revenue From Contract With Customer Including Assessed Tax
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CY2024Q1 cccs Revenue Remaining Performance Obligation Revenue To Be Recognized Thereafter
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CY2023Q1 cccs Deferred Revenue Revenue Recognized
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CY2023Q4 us-gaap Contract With Customer Liability
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CY2023Q1 us-gaap Capitalized Contract Cost Amortization
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CY2024Q1 cccs Capitalized Contract Cost Additional Amounts Deferred
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CY2023Q1 cccs Capitalized Contract Cost Additional Amounts Deferred
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CY2024Q1 us-gaap Capitalized Contract Cost Net
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CY2023Q1 us-gaap Capitalized Contract Cost Net
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CY2024Q1 us-gaap Capitalized Contract Cost Net Current
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CY2023Q1 us-gaap Capitalized Contract Cost Net Current
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CY2024Q1 us-gaap Capitalized Contract Cost Net Noncurrent
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CY2023Q1 us-gaap Capitalized Contract Cost Net Noncurrent
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CY2024Q1 us-gaap Capitalized Contract Cost Net
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CY2023Q1 us-gaap Capitalized Contract Cost Net
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CY2024Q1 cccs Discount Rate Based On Cost Of Debt
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CY2024Q1 cccs Increase Decrease In Contingent Consideration Liability
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CY2023Q1 cccs Increase Decrease In Contingent Consideration Liability
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CY2024Q1 us-gaap Asset Impairment Charges
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CY2023Q1 us-gaap Asset Impairment Charges
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CY2024Q1 us-gaap Income Tax Expense Benefit
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CY2024Q1 us-gaap Income Taxes Paid
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CY2023Q1 us-gaap Income Taxes Paid
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CY2023Q4 us-gaap Allowance For Doubtful Accounts Receivable
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CY2024Q1 us-gaap Allowance For Doubtful Accounts Receivable Recoveries
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CY2023Q1 us-gaap Allowance For Doubtful Accounts Receivable Recoveries
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CY2024Q1 us-gaap Allowance For Doubtful Accounts Receivable Write Offs
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CY2024Q1 us-gaap Allowance For Doubtful Accounts Receivable
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CY2023Q1 us-gaap Allowance For Doubtful Accounts Receivable
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CY2024Q1 cccs Prepaid Service Fee
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CY2023Q4 cccs Prepaid Service Fee
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CY2024Q1 cccs Prepaid Software And Equipment Maintenance
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CY2024Q1 us-gaap Prepaid Insurance
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CY2023Q4 us-gaap Other Assets
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CY2024Q1 us-gaap Property Plant And Equipment Net
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CY2023Q4 us-gaap Property Plant And Equipment Net
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CY2024Q1 us-gaap Depreciation Amortization And Accretion Net
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CY2023Q1 us-gaap Depreciation Amortization And Accretion Net
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CY2024Q1 us-gaap Operating Lease Cost
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CY2023Q1 us-gaap Variable Lease Cost
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CY2024Q1 us-gaap Lease Cost
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CY2023Q1 us-gaap Lease Cost
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CY2024Q1 us-gaap Operating Lease Payments
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CY2023Q1 us-gaap Operating Lease Payments
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CY2024Q1 us-gaap Finite Lived Intangible Assets Amortization Expense Year Four
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CY2024Q1 us-gaap Finite Lived Intangible Assets Amortization Expense Year Five
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72454000
CY2024Q1 cccs Finite Lived Intangible Assets Amortization Expense After Year Four
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453992000
CY2024Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
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CY2023Q1 us-gaap Right Of Use Asset Obtained In Exchange For Operating Lease Liability
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CY2024Q1 us-gaap Goodwill Impairment Loss
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CY2023Q1 us-gaap Goodwill Impairment Loss
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CY2024Q1 us-gaap Goodwill Gross
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1520926000
CY2024Q1 us-gaap Goodwill Impaired Accumulated Impairment Loss
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103202000
CY2024Q1 us-gaap Goodwill
Goodwill
1417724000
CY2023Q4 us-gaap Goodwill Gross
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1520926000
CY2023Q4 us-gaap Goodwill Impaired Accumulated Impairment Loss
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103202000
CY2023Q4 us-gaap Goodwill
Goodwill
1417724000
CY2023 us-gaap Asset Impairment Charges
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CY2019 us-gaap Asset Impairment Charges
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25800000
CY2024Q1 us-gaap Goodwill Impairment Loss
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CY2023Q1 us-gaap Goodwill Impairment Loss
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CY2024Q1 us-gaap Impairment Of Intangible Assets Excluding Goodwill
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CY2023Q1 us-gaap Impairment Of Intangible Assets Excluding Goodwill
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CY2024Q1 us-gaap Finite Lived Intangible Assets Gross
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(i) the extension of the performance period by one year, (ii) a change to the performance criteria, (iii) a change to the number of units to be issued depending on performance and (iv) for certain grants, imposing a maximum number of units to be issued depending on performance equal to 100% of the target.The modification to the performance-based RSUs subject to a market condition resulted in incremental stock-based compensation expense of $67.0 million, which is being recognized ratably over the modified performance periods.
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1
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5108
CY2024Q1 cccs Share Based Compensation By Share Based Arrangement Non Vested Options Outstanding Weighted Average Remaining Contractual Term
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P3Y9M18D
CY2024Q1 cccs Share Based Compensation By Share Based Arrangement Non Vested Options Outstanding Aggregate Intrinsic Value
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290713000
CY2024Q1 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Exercisable Number
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CY2024Q1 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Exercisable Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableWeightedAverageExercisePrice
2.89
CY2024Q1 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Exercisable Weighted Average Remaining Contractual Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsExercisableWeightedAverageRemainingContractualTerm1
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CY2024Q1 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Vested And Expected To Vest Outstanding Weighted Average Remaining Contractual Term1
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageRemainingContractualTerm1
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CY2024Q1 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Vested And Expected To Vest Outstanding Aggregate Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingAggregateIntrinsicValue
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CY2024Q1 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Equity Instruments Other Than Options Vested In Period Total Fair Value
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CY2024Q1 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Stock Options
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CY2024Q1 us-gaap Employee Service Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition1
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CY2024Q1 us-gaap Class Of Warrant Or Right Exercise Price Of Warrants Or Rights1
ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1
11.5
CY2024Q1 us-gaap Class Of Warrant Or Righst Date From Which Warrants Or Rights Exercisable
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2021-08-29
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2026-07-30
CY2024Q1 us-gaap Fair Value Adjustment Of Warrants
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1600000
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CY2024Q1 cccs Warrant Liablity
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CY2023Q4 cccs Warrant Liablity
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CY2023Q1 us-gaap Net Income Loss
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1142000
CY2023Q1 us-gaap Temporary Equity Accretion To Redemption Value Adjustment
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0
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2184000
CY2024Q1 us-gaap Weighted Average Number Of Shares Outstanding Basic
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616217176
CY2024Q1 us-gaap Amount Of Dilutive Securities Stock Options And Restrictive Stock Units
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0
CY2023Q1 us-gaap Amount Of Dilutive Securities Stock Options And Restrictive Stock Units
AmountOfDilutiveSecuritiesStockOptionsAndRestrictiveStockUnits
30163785000
CY2024Q1 us-gaap Unrealized Gain Loss On Derivatives
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718000
CY2023Q1 us-gaap Unrealized Gain Loss On Derivatives
UnrealizedGainLossOnDerivatives
-2604000
CY2024Q1 us-gaap Gain Loss On Derivative Instruments Net Pretax
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2031000
CY2023Q1 us-gaap Gain Loss On Derivative Instruments Net Pretax
GainLossOnDerivativeInstrumentsNetPretax
0
CY2024Q1 us-gaap Other Nonoperating Income
OtherNonoperatingIncome
190000
CY2023Q1 us-gaap Other Nonoperating Income
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54000
CY2024Q1 us-gaap Other Nonoperating Income Expense
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2939000
CY2023Q1 us-gaap Other Nonoperating Income Expense
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-2550000
CY2024Q1 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
598279377
CY2023Q1 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
646380961
CY2024Q1 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
0
CY2023Q1 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
0
CY2024Q1 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0
CY2023Q1 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0
CY2024Q1 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
36824894
CY2023Q1 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
15957331
CY2024Q1 us-gaap Number Of Operating Segments
NumberOfOperatingSegments
1
CY2024Q1 us-gaap Revenues
Revenues
227237000
CY2023Q1 us-gaap Revenues
Revenues
204919000
CY2024Q1 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
164825000
CY2023Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
160416000
CY2024Q1 ecd Trd Arr Ind Name
TrdArrIndName
Mary Jo Prigge
CY2024Q1 ecd Trd Arr Ind Title
TrdArrIndTitle
Executive Vice President, Chief Service Delivery Officer of the Company
CY2024Q1 ecd Rule10b51 Arr Trmntd Flag
Rule10b51ArrTrmntdFlag
true
CY2024Q1 ecd Rule10b51 Arr Adopted Flag
Rule10b51ArrAdoptedFlag
true
CY2024Q1 ecd Trd Arr Adoption Date
TrdArrAdoptionDate
March 20, 2024
CY2024Q1 ecd Trd Arr Securities Agg Avail Amt
TrdArrSecuritiesAggAvailAmt
200000

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