Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Sep. 30, 2023 | Oct. 20, 2023 | |
Cover [Abstract] | ||
Entity Registrant Name | NEXTGEN HEALTHCARE, INC. | |
Trading Symbol | NXGN | |
Entity Central Index Key | 0000708818 | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2023 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year End Date | --03-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Emerging Growth Company | false | |
Entity Current Reporting Status | Yes | |
Entity File Number | 001-12537 | |
Entity Tax Identification Number | 95-2888568 | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock, $0.01 Par Value | |
Security Exchange Name | NASDAQ | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Common Stock, Shares Outstanding | 67,096,894 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 53,867 | $ 98,719 |
Restricted cash and cash equivalents | 4,914 | 7,269 |
Marketable securities | 146,432 | 139,612 |
Accounts receivable, net | 89,277 | 88,498 |
Contract assets | 20,489 | 19,561 |
Income taxes receivable | 8,134 | 5,248 |
Prepaid expenses and other current assets | 39,684 | 42,916 |
Total current assets | 362,797 | 401,823 |
Equipment and improvements, net | 4,939 | 6,421 |
Capitalized software costs, net | 59,875 | 54,516 |
Operating lease assets | 2,615 | 3,335 |
Deferred income taxes, net | 29,210 | 29,472 |
Contract assets, net of current | 5,616 | 5,572 |
Intangibles, net | 24,480 | 28,968 |
Goodwill | 322,001 | 321,756 |
Other assets | 46,217 | 44,238 |
Total assets | 857,750 | 896,101 |
Current liabilities: | ||
Accounts payable | 10,467 | 12,022 |
Contract liabilities | 45,932 | 61,601 |
Accrued compensation and related benefits | 28,407 | 36,241 |
Income taxes payable | 604 | 622 |
Operating lease liabilities | 3,471 | 3,826 |
Other current liabilities | 54,997 | 83,799 |
Total current liabilities | 143,878 | 198,111 |
Contract liabilities, net of current | 2,809 | 10,310 |
Deferred compensation | 8,722 | 8,033 |
Convertible senior notes, net, noncurrent | 267,565 | 266,843 |
Operating lease liabilities, net of current | 2,464 | 4,095 |
Other noncurrent liabilities | 9,037 | 8,274 |
Total liabilities | 434,475 | 495,666 |
Commitments and contingencies (Note 17) | ||
Shareholders' equity: | ||
Common stock, $0.01 par value; authorized 100,000 shares; 71,946 shares and 70,875 shares issued at September 30, 2023 and March 31, 2023, respectively; 67,097 shares and 66,026 shares outstanding at September 30, 2023 and March 31, 2023, respectively | 719 | 709 |
Treasury stock, at cost, 4,849 shares and 4,849 shares at September 30, 2023 and March 31, 2023, respectively | (85,752) | (85,752) |
Additional paid-in capital | 371,080 | 359,342 |
Accumulated other comprehensive loss | (1,581) | (1,462) |
Retained earnings | 138,809 | 127,598 |
Total shareholders' equity | 423,275 | 400,435 |
Total liabilities and shareholders' equity | $ 857,750 | $ 896,101 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares | Sep. 30, 2023 | Mar. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in USD per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 71,946,000 | 70,875,000 |
Common stock, shares outstanding | 67,097,000 | 66,026,000 |
Treasury stock, shares | 4,849,000 | 4,849,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Net Income and Comprehensive Income (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Revenues: | ||||
Total revenues | $ 176,418 | $ 159,443 | $ 354,625 | $ 312,745 |
Cost of revenue: | ||||
Amortization of capitalized software costs and acquired intangible assets | 7,181 | 6,744 | 14,172 | 13,878 |
Total cost of revenue | 94,797 | 82,580 | 193,183 | 162,634 |
Gross profit | 81,621 | 76,863 | 161,442 | 150,111 |
Operating expenses: | ||||
Selling, general and administrative | 54,175 | 44,886 | 102,368 | 93,920 |
Research and development costs, net | 18,020 | 20,857 | 38,945 | 42,652 |
Amortization of acquired intangible assets | 1,189 | 705 | 2,377 | 1,410 |
Impairment of assets | 166 | 805 | 525 | 1,329 |
Restructuring costs | 15 | 321 | 105 | 321 |
Total operating expenses | 73,565 | 67,574 | 144,320 | 139,632 |
Income from operations | 8,056 | 9,289 | 17,122 | 10,479 |
Interest income | 1,520 | 74 | 3,189 | 120 |
Interest expense | (3,310) | (325) | (6,549) | (655) |
Other income, net | 430 | 10,292 | 1,480 | 10,287 |
Income before provision for income taxes | 6,696 | 19,330 | 15,242 | 20,231 |
Provision for income taxes | 1,641 | 5,707 | 4,031 | 5,460 |
Net income | 5,055 | 13,623 | 11,211 | 14,771 |
Other comprehensive income: | ||||
Foreign currency translation, net of tax | (76) | (5) | (77) | (33) |
Unrealized gain (loss) on marketable securities, net of tax | 734 | (42) | ||
Comprehensive income | $ 5,713 | $ 13,618 | $ 11,092 | $ 14,738 |
Net income per share: | ||||
Basic | $ 0.08 | $ 0.2 | $ 0.17 | $ 0.22 |
Diluted | $ 0.07 | $ 0.2 | $ 0.17 | $ 0.22 |
Weighted-average shares outstanding: | ||||
Basic | 67,074 | 67,806 | 66,749 | 67,698 |
Diluted | 67,690 | 68,422 | 67,280 | 68,353 |
Recurring | ||||
Revenues: | ||||
Total revenues | $ 161,316 | $ 143,503 | $ 324,690 | $ 283,262 |
Cost of revenue: | ||||
Cost of revenue excluding amortization of capitalized software costs and acquired intangible assets | 75,585 | 65,039 | 154,806 | 127,283 |
Software, hardware, and other non-recurring | ||||
Revenues: | ||||
Total revenues | 15,102 | 15,940 | 29,935 | 29,483 |
Cost of revenue: | ||||
Cost of revenue excluding amortization of capitalized software costs and acquired intangible assets | $ 12,031 | $ 10,797 | $ 24,205 | $ 21,473 |
Condensed Consolidated Statem_2
Condensed Consolidated Statement of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock | Treasury Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | |
Balance at Mar. 31, 2022 | $ 423,078 | $ 692 | $ (35,874) | $ 329,917 | $ 130,252 | $ (1,909) | |
Balance, Shares at Mar. 31, 2022 | 67,075,000 | ||||||
Common stock issued under stock plans, net of shares withheld for taxes | (1,600) | $ 12 | (1,612) | ||||
Common stock issued under stock plans, net of shares withheld for taxes, Shares | 1,137,000 | ||||||
Stock-based compensation | 8,766 | 8,766 | |||||
Repurchase of common stock | [1] | (2,505) | (2,505) | ||||
Repurchase of common stock, Shares | [1] | (148,000) | |||||
Components of other comprehensive income: | |||||||
Translation adjustments | (28) | (28) | |||||
Net income | 1,148 | 1,148 | |||||
Balance at Jun. 30, 2022 | 428,859 | $ 704 | (38,379) | 337,071 | 131,400 | (1,937) | |
Balance, Shares at Jun. 30, 2022 | 68,064,000 | ||||||
Balance at Mar. 31, 2022 | 423,078 | $ 692 | (35,874) | 329,917 | 130,252 | (1,909) | |
Balance, Shares at Mar. 31, 2022 | 67,075,000 | ||||||
Components of other comprehensive income: | |||||||
Translation adjustments | (33) | ||||||
Net income | 14,771 | ||||||
Balance at Sep. 30, 2022 | 441,842 | $ 704 | (45,752) | 343,809 | 145,023 | (1,942) | |
Balance, Shares at Sep. 30, 2022 | 67,605,000 | ||||||
Balance at Jun. 30, 2022 | 428,859 | $ 704 | (38,379) | 337,071 | 131,400 | (1,937) | |
Balance, Shares at Jun. 30, 2022 | 68,064,000 | ||||||
Common stock issued under stock plans, net of shares withheld for taxes | (1,949) | (1,949) | |||||
Common stock issued under stock plans, net of shares withheld for taxes, Shares | (31,000) | ||||||
Stock-based compensation | 8,687 | 8,687 | |||||
Repurchase of common stock | [2] | (7,373) | (7,373) | ||||
Repurchase of common stock, Shares | [2] | (428,000) | |||||
Components of other comprehensive income: | |||||||
Translation adjustments | (5) | (5) | |||||
Net income | 13,623 | 13,623 | |||||
Balance at Sep. 30, 2022 | 441,842 | $ 704 | (45,752) | 343,809 | 145,023 | (1,942) | |
Balance, Shares at Sep. 30, 2022 | 67,605,000 | ||||||
Balance at Mar. 31, 2023 | 400,435 | $ 709 | (85,752) | 359,342 | 127,598 | (1,462) | |
Balance, Shares at Mar. 31, 2023 | 66,026,000 | ||||||
Common stock issued under stock plans, net of shares withheld for taxes | (3,248) | $ 10 | (3,258) | ||||
Common stock issued under stock plans, net of shares withheld for taxes, Shares | 1,017,000 | ||||||
Stock-based compensation | 7,956 | 7,956 | |||||
Components of other comprehensive income: | |||||||
Unrealized gain (loss) on marketable securities, net of tax | (776) | (776) | |||||
Translation adjustments | (1) | (1) | |||||
Net income | 6,156 | 6,156 | |||||
Balance at Jun. 30, 2023 | 410,522 | $ 719 | (85,752) | 364,040 | 133,754 | (2,239) | |
Balance, Shares at Jun. 30, 2023 | 67,043,000 | ||||||
Balance at Mar. 31, 2023 | $ 400,435 | $ 709 | (85,752) | 359,342 | 127,598 | (1,462) | |
Balance, Shares at Mar. 31, 2023 | 66,026,000 | ||||||
Repurchase of common stock, Shares | 0 | ||||||
Components of other comprehensive income: | |||||||
Unrealized gain (loss) on marketable securities, net of tax | $ (42) | ||||||
Translation adjustments | (77) | ||||||
Net income | 11,211 | ||||||
Balance at Sep. 30, 2023 | 423,275 | $ 719 | (85,752) | 371,080 | 138,809 | (1,581) | |
Balance, Shares at Sep. 30, 2023 | 67,097,000 | ||||||
Balance at Jun. 30, 2023 | 410,522 | $ 719 | (85,752) | 364,040 | 133,754 | (2,239) | |
Balance, Shares at Jun. 30, 2023 | 67,043,000 | ||||||
Common stock issued under stock plans, net of shares withheld for taxes | (2,426) | (2,426) | |||||
Common stock issued under stock plans, net of shares withheld for taxes, Shares | 54,000 | ||||||
Stock-based compensation | 9,466 | 9,466 | |||||
Components of other comprehensive income: | |||||||
Unrealized gain (loss) on marketable securities, net of tax | 734 | ||||||
Reclassification of unrealized loss on marketable securities | 734 | 734 | |||||
Translation adjustments | (76) | (76) | |||||
Net income | 5,055 | 5,055 | |||||
Balance at Sep. 30, 2023 | $ 423,275 | $ 719 | $ (85,752) | $ 371,080 | $ 138,809 | $ (1,581) | |
Balance, Shares at Sep. 30, 2023 | 67,097,000 | ||||||
[1] Weighted-average repurchase price (dollars per share) for the three months ended June 30, 2022 was $ 16.93 . Weighted-average repurchase price (dollars per share) for the three months ended September 30, 2022 was $ 17.21 . |
Condensed Consolidated Statem_3
Condensed Consolidated Statement of Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | |
Sep. 30, 2022 | Jun. 30, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||
Weighted-average share repurchase price | $ 17.21 | $ 16.93 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 11,211 | $ 14,771 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization of capitalized software costs | 12,061 | 10,725 |
Amortization of debt issuance costs | 976 | 254 |
Amortization of other intangibles | 4,488 | 4,564 |
Net amortization (accretion) of premiums/discounts on marketable securities | (1,956) | |
Change in fair value of contingent consideration | 400 | |
Depreciation | 2,064 | 2,646 |
Excess tax deficiency (benefit) from share-based compensation | 170 | (434) |
Gain on disposition of Commercial Dental assets | (10,296) | |
Impairment of assets | 171 | 1,329 |
Realized loss on marketable securities | 734 | |
Loss on disposal of equipment and improvements | 37 | 74 |
Loss on foreign currency exchange rates | 100 | 7 |
Non-cash operating lease costs | 763 | 1,682 |
Provision for bad debts | 1,826 | 600 |
Share-based compensation | 17,422 | 17,453 |
Changes in assets and liabilities: | ||
Accounts receivable | (2,606) | (1,527) |
Contract assets | (972) | (2) |
Accounts payable | (1,571) | 3,153 |
Contract liabilities | (23,170) | 1,739 |
Accrued compensation and related benefits | (7,802) | (20,422) |
Income taxes | (2,825) | 3,934 |
Deferred compensation | 689 | (249) |
Operating lease liabilities | (1,979) | (4,097) |
Other assets and liabilities | (27,746) | 7,892 |
Net cash provided by (used in) operating activities | (17,515) | 33,796 |
Cash flows from investing activities: | ||
Additions to capitalized software costs | (17,420) | (18,416) |
Additions to equipment and improvements | (854) | (1,426) |
Proceeds from sales of marketable securities | 15,457 | |
Proceeds from maturities and redemptions of marketable securities | 42,871 | |
Purchases of marketable securities | (63,942) | |
Proceeds from disposition of Commercial Dental assets | 11,253 | |
Net cash used in investing activities | (23,888) | (8,589) |
Cash flows from financing activities: | ||
Proceeds from issuance of shares under employee plans | 1,430 | 2,575 |
Repurchase of common stock | (9,878) | |
Payments for taxes related to net share settlement of equity awards | (7,104) | (6,124) |
Net cash used in financing activities | (5,674) | (13,427) |
Effect of exchange rate changes on cash and cash equivalents | (130) | (219) |
Net increase (decrease) in cash, cash equivalents, and restricted cash | (47,207) | 11,561 |
Cash, cash equivalents, and restricted cash at beginning of period | 105,988 | 66,747 |
Cash, cash equivalents, and restricted cash at end of period | 58,781 | 78,308 |
Supplemental disclosures of cash flow information: | ||
Cash paid for income taxes | 6,689 | 1,963 |
Cash refunds from income taxes | 4 | 9 |
Cash paid for interest | 5,723 | 190 |
Cash paid for amounts included in the measurement of operating lease liabilities | 2,127 | 4,533 |
Operating lease assets obtained in exchange for operating lease liabilities | 585 | |
Accrued purchases of equipment and improvements | $ 20 | $ 144 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 1. Summary of Signific ant Accounting Policies Principles of Consolidation . The condensed consolidated financial statements include the accounts of NextGen Healthcare, Inc. and its wholly-owned subsidiaries (collectively, the “Company”). Each of the terms “NextGen Healthcare,” “NextGen,” “we,” “us,” or “our” as used herein refers collectively to the Company, unless otherwise stated. All intercompany accounts and transactions have been eliminated. Pending Merger. On September 5, 2023, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Next Holdco, LLC, a Delaware limited liability company (“Parent”), and Next Merger Sub, Inc., a Delaware corporation and direct wholly owned subsidiary of Parent (“Merger Sub”), pursuant to which, and on the terms and subject to the conditions thereof, Merger Sub will merge with and into the Company, with the Company surviving as a wholly owned subsidiary of Parent (the “Merger”). Parent and Merger Sub are affiliates of Thoma Bravo Discover Fund IV, L.P., an investment fund managed by Thoma Bravo, L.P. Subject to the terms and conditions of the Merger Agreement, each share of Company common stock, par value $ 0.01 per share that is issued and outstanding immediately prior to the effective time of the Merger (except for certain shares specified in the Merger Agreement) will be canceled and extinguished and automatically converted into the right to receive $ 23.95 per share in cash, without interest and subject to any applicable withholding taxes. Upon completion of the transaction, which is expected to close in the fourth calendar quarter of 2023, our common stock will no longer be listed on any public stock exchange. Basis of Presentation. The accompanying unaudited condensed consolidated financial statements as of September 30, 2023 and for the three and six months ended September 30, 2023 have been prepared in accordance with the requirements of Quarterly Report on Form 10-Q and Article 10 of the Securities and Exchange Commission Regulation S-X and therefore do not include all information and notes which would be presented were such condensed consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements presented in our Annual Report on Form 10-K for the fiscal year ended March 31, 2023. In the opinion of management, the accompanying condensed consolidated financial statements reflect all adjustments which are necessary for a fair statement of the results of operations and cash flows for the periods presented. The results of operations for such interim periods are not necessarily indicative of results of operations to be expected for the full year. References to amounts in the condensed consolidated financial statement sections are in thousands, except shares and per share data, unless otherwise specified. Use of Estimates. The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), which requires us to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and the accompanying notes. Actual results could differ materially from these estimates. We evaluate our estimates on an ongoing basis. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and recording revenue and expenses during the period. Recent Accounting Standards Not Yet Adopted . Recent accounting pronouncements requiring implementation in current or future periods are discussed below or in the notes, where applicable. We do not believe that any other recently issued, but not yet effective accounting standards, if adopted, would have a material impact on our condensed consolidated financial statements. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 6 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer | 2. Revenue from Cont racts with Customers Revenue Recognition and Performance Obligations We generate revenue from sales of licensing rights and subscriptions to our software solutions, hardware and third-party software products, support and maintenance, managed services, transactional and data services, and other non-recurring services, including implementation, training, and consulting services. Our contracts with customers may include multiple performance obligations that consist of various combinations of our software solutions and related services, which are generally capable of being distinct and accounted for as separate performance obligations. The total transaction price is allocated to each performance obligation within a contract based on estimated standalone selling prices. We generally determine standalone selling prices based on the prices charged to customers, except for certain software licenses that are based on the residual approach because their standalone selling prices are highly variable and certain maintenance customers that are based on substantive renewal rates. In instances where standalone selling price is not sufficiently observable, such as revenue cycle management ("RCM") services and software licenses included in our RCM arrangements, we estimate standalone selling price utilizing an expected cost plus a margin approach. When standalone selling prices are not observable, significant judgment is required in estimating the standalone selling price for each performance obligation. Revenue is recognized when control of the promised goods or services is transferred to our customers in an amount that reflects the consideration that we expect to be entitled to in exchange for those goods or services. We exclude sales tax from the measurement of the transaction price and record revenue net of taxes collected from customers and subsequently remitted to governmental authorities. The following table presents our revenues disaggregated by our major revenue categories and by occurrence: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Recurring revenues: Subscription services $ 50,263 $ 43,416 $ 102,761 $ 86,175 Support and maintenance 37,561 38,150 76,070 77,288 Managed services 35,063 31,055 69,822 61,700 Transactional and data services 38,429 30,882 76,037 58,099 Total recurring revenues 161,316 143,503 324,690 283,262 Software, hardware, and other non-recurring revenues: Software license and hardware 5,521 7,916 10,492 14,115 Other non-recurring services 9,581 8,024 19,443 15,368 Total software, hardware and other non-recurring revenues 15,102 15,940 29,935 29,483 Total revenues $ 176,418 $ 159,443 $ 354,625 $ 312,745 Recurring revenues consists of subscription services, support and maintenance, managed services, and transactional and data services. Software, hardware, and other non-recurring revenues consists of revenue from sales of software license and hardware and certain non-recurring services, such as implementation, training, and consulting performed for clients who use our products. We generally recognize revenue for our most significant performance obligations as follows: Subscription services. Performance obligations involving subscription services, which include annual libraries, are satisfied over time as the customer simultaneously receives and consumes the benefits of the services throughout the contract period. Our subscription services primarily include our software-as-a-service (“SaaS”) based offerings, such as our electronic health records and practice management, mobile, patient portal, and population health management solutions. Our SaaS-based offerings may include multiple goods and services, such as providing access to our technology-based solutions together with our managed cloud hosting services. These offerings are concurrently delivered with the same pattern of transfer to our customers and are accounted for as a single performance obligation because the technology-based solutions and other goods and services included within our overall SaaS-based offerings are each individually not capable of being distinct as the customer receives benefits based on the combined offering. Our annual libraries primarily consist of providing stand-ready access to certain content, knowledgebase, databases, and SaaS-based educational tools, which are frequently updated to meet the most current standards and requirements, to be utilized in conjunction with our core solutions. We recognize revenue related to these subscription services, including annual libraries, ratably over the respective noncancelable contract term. Support and maintenance. Performance obligations involving support and maintenance are satisfied over time as the customer simultaneously receives and consumes the benefits of the maintenance services provided. Our support and maintenance services may consist of separate performance obligations, such as unspecified upgrades or enhancements and technical support, which are considered stand-ready in nature and can be offered at various points during the service period. Since the efforts associated with the combined support and maintenance services are rendered concurrently and provided evenly throughout the service period, we consider the series of support and maintenance services to be a single performance obligation. Therefore, we recognize revenue related to these services ratably over the respective noncancelable contract term. Managed services. Managed services consist primarily of RCM and related services, but also includes our hosting services, which we refer to as managed cloud services, transcription services, and certain other recurring services. Performance obligations associated with RCM services are satisfied over time as the customer simultaneously receives and consumes the benefits of the services executed throughout the contract period. The majority of service fees under our RCM arrangements are variable consideration contingent upon collections by our clients. We estimate the variable consideration which we expect to be entitled to over the noncancelable contract term associated with our RCM service arrangements. The estimate of variable consideration included in the transaction price typically involves estimating the amounts we will ultimately collect on behalf of our clients and the relative fee we charge that is generally calculated as a percentage of those collections. Inputs to these estimates include, but are not limited to, historical service fees and collections amounts, timing of historical collections relative to the timing of when claims are submitted by our clients to their respective payers, macroeconomic trends, and anticipated changes in the number of providers. Significant judgment is required when estimating the total transaction price based on the variable consideration. We may apply certain constraints when appropriate whereby we include in the transaction price estimated variable consideration only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. Such estimates are assessed at the contract level. RCM and related services may not be rendered evenly over the contract period as the timing of services are based on customer collections, which may vary throughout the service period. We recognize revenue for RCM based on the amount of collections received throughout the contract term as it most closely depicts our efforts to transfer our service obligations to the customer. Our managed cloud services represent a single performance obligation to provide cloud hosting services to our customers and related revenue is recognized ratably over the respective noncancelable contract term. Performance obligations related to the transcription services, and other recurring services are satisfied as the corresponding services are provided and revenue is recognized as such services are rendered. Transactional and data services. Performance obligations related to transactional and data services, including electronic data interchange (“EDI”), patient pay, and other transaction processing services are satisfied at the point in time the services are rendered or delivered. The transfer of control occurs when the transactional and data services are delivered and the customer receives the benefits from the services provided. Revenue is recognized as such services are rendered. Beginning in fiscal year 2023, to align the presentation of disaggregated revenue with the manner in which management reviews such information, the presentation of disaggregated revenues by major revenue categories was revised to reclassify revenues related to patient pay services and certain other services from the managed services category into the transactional and data services category, which replaced the prior EDI and data services category. The prior period presentation of revenues disaggregated by major revenue categories and by occurrence above has been reclassified to conform with current period presentation. Software license and hardware. Software license and hardware are considered point-in-time performance obligations as control is transferred to customers upon the delivery of the software license and hardware. Our software licenses are considered functional licenses, and revenue recognition generally occurs on the date of contract execution as the customer is provided with immediate access to the license. We generally determine the amount of consideration allocated to the software license performance obligation using the residual approach, except for certain RCM arrangements where the amount allocated to the software license performance obligation is determined based on estimated relative standalone selling prices. For hardware, we recognize revenue upon transfer of such hardware or devices to the customer. Other non-recurring services. Performance obligations related to other non-recurring services, including implementation, training, and consulting services, are generally satisfied as the corresponding services are provided. Once the services have been provided to the customer, the transfer of control has occurred. Therefore, we recognize revenue as such services are rendered. Transaction Price Allocated to Remaining Performance Obligations As of September 30, 2023, the aggregate amount of transaction price related to remaining unsatisfied or partially unsatisfied performance obligations over the respective noncancelable contract term was approximately $ 726,000 , of which we expect to recognize approximately 6 % as services are rendered or goods are delivered, 53 % over the next 12 months, and the remainder thereafter. As of September 30, 2022, the aggregate amount of transaction price related to remaining unsatisfied or partially unsatisfied performance obligations over the respective noncancelable contract term was approximately $ 563,900 , of which we expect to recognize approximately 9 % as services are rendered or goods are delivered, 51 % over the next 12 months, and the remainder thereafter. Contract Balances Contract balances result from the timing differences between our revenue recognition, invoicing, and cash collections. Such contract balances include accounts receivables, contract assets and liabilities, and other customer deposits and liabilities balances. Accounts receivables include invoiced amounts where the right to receive payment is unconditional and only subject to the passage of time. Contract assets, consisting of unbilled receivables, include amounts where revenue recognized exceeds the amount invoiced to the customer and the right to payment is not solely subject to the passage of time. Contract assets are generally associated with our sales of software licenses, but may also be associated with other performance obligations such as subscription services, support and maintenance, annual libraries, and professional services, where control has been transferred to our customers but the associated payments are based on future customer collections (in the case of our RCM service arrangements) or based on future milestone payment due dates. In such instances, the revenue recognized may exceed the amount invoiced to the customer and such balances are included in contract assets since our right to receive payment is not unconditional, but rather is conditional upon customer collections or the continued functionality of the software and our ongoing support and maintenance obligations. Contract liabilities consist mainly of fees invoiced or paid by our clients for which the associated services have not been performed and revenues have not been recognized. Contract assets and contract liabilities are reported in a net position on an individual contract basis at the end of each reporting period. Contract assets are classified as current or long-term on our consolidated balance sheets based on the timing of when we expect to complete the related performance obligations and invoice the customer. Contract liabilities are classified as current on our consolidated balance sheets since the revenue recognition associated with the related customer payments and invoicing is expected to occur within the next twelve months. During the three months ended September 30, 2023 and 2022, we recognized $ 18,672 and $ 17,521 respectively, of revenues that were included in the contract liability balance or invoiced to customers since the beginning of the corresponding periods. During the six months ended September 30, 2023 and 2022, we recognized $ 36,917 and $ 35,245 , respectively, of revenues that were included in the contract liability balance or invoiced to customers since the beginning of the corresponding periods. Our contracts with customers do not include any major financing components. Costs to Obtain or Fulfill a Contract We capitalize all incremental costs of obtaining a contract with a customer to the extent that such costs are directly related to a contract and expected to be recoverable. Our sales commissions and related sales incentives are considered incremental costs requiring capitalization. Capitalized contract costs are amortized to expense utilizing a method that is consistent with the transfer of the related goods or services to the customer. The amortization period ranges from less than one year up to five years , based on the period over which the related goods and services are transferred, including consideration of the expected customer renewals and the related useful lives of the products. Capitalized commissions costs were $ 41,862 as of September 30, 2023, of which $ 14,363 is classified as current and included as prepaid expenses and other current assets and $ 27,498 is classified as long-term and included within other assets on our condensed consolidated balance sheets, based on the expected timing of expense recognition. During the three months ended September 30, 2023 and 2022, we recognized $ 4,356 and $ 3,634 , respectively, of commissions expense. During the six months ended September 30, 2023 and 2022, we recognized $ 8,329 and $ 7,121 , respectively, of commissions expense. Commissions expense primarily relates to the amortization of capitalized commissions costs, which is included as a selling, general and administrative expense in the consolidated statements of net income and comprehensive income. |
Accounts Receivable
Accounts Receivable | 6 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
Accounts Receivable | 3. Accounts Receivable Accounts receivable includes invoiced amounts where the right to receive payment is unconditional and only subject to the passage of time. Allowance for credit losses are reported as a component of accounts receivable as summarized below: September 30, 2023 March 31, 2023 Accounts receivable, gross $ 93,289 $ 92,360 Allowance for credit losses ( 4,012 ) ( 3,862 ) Accounts receivable, net $ 89,277 $ 88,498 The following table represents the changes in the allowance for credit losses, as of and for the three months ended September 30, 2023: Balance as of June 30, 2023 $ ( 3,906 ) Additions charged to costs and expenses ( 951 ) Deductions 845 Balance as of September 30, 2023 $ ( 4,012 ) The following table represents the changes in the allowance for credit losses, as of and for the six months ended September 30, 2023: Balance as of March 31, 2023 $ ( 3,862 ) Additions charged to costs and expenses ( 1,826 ) Deductions 1,676 Balance as of September 30, 2023 $ ( 4,012 ) |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 4. Fair Value Measurements The following tables set forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis at September 30, 2023 and March 31, 2023: Balance At Quoted Prices Significant Other Unobservable September 30, 2023 (Level 1) (Level 2) (Level 3) ASSETS Cash and money market funds $ 52,077 $ 52,077 $ — $ — Commercial paper 1,790 — 1,790 — Total cash and cash equivalents 53,867 52,077 1,790 — Restricted cash and cash equivalents 4,914 4,914 — — United States treasury securities 70,937 — 70,937 — Agency securities 32,732 — 32,732 — Corporate notes and bonds 25,984 — 25,984 — Commercial paper 16,779 — 16,779 — Total marketable securities 146,432 — 146,432 — TOTAL ASSETS $ 205,213 $ 56,991 $ 148,222 $ — LIABILITIES Contingent consideration related to acquisitions $ 4,200 $ — $ — $ 4,200 Convertible senior notes, net, noncurrent 267,565 — 267,565 — TOTAL LIABILITIES $ 271,765 $ — $ 267,565 $ 4,200 Balance At Quoted Prices Significant Other Unobservable March 31, 2023 (Level 1) (Level 2) (Level 3) ASSETS Cash and money market funds $ 73,754 $ 73,754 $ — $ — Commercial paper 10,795 — 10,795 — United States treasury securities 9,979 — 9,979 — Corporate notes and bonds 3,349 — 3,349 — Agency securities 842 — 842 — Total cash and cash equivalents 98,719 73,754 24,965 — Restricted cash and cash equivalents 7,269 7,269 — — United States treasury securities 56,890 — 56,890 — Agency securities 37,991 — 37,991 — Corporate notes and bonds 26,590 — 26,590 — Commercial paper 18,141 — 18,141 — Total marketable securities 139,612 — 139,612 — TOTAL ASSETS $ 245,600 $ 81,023 $ 164,577 $ — LIABILITIES Contingent consideration related to acquisitions $ 3,800 $ — $ — $ 3,800 Convertible senior notes, net, noncurrent 266,843 — 266,843 — TOTAL LIABILITIES $ 270,643 $ — $ 266,843 $ 3,800 We classify our highly liquid money market funds within Level 1 of the fair value hierarchy because they are valued based on quoted market prices in active markets. We classify our United States treasury securities, corporate notes and bonds, agency securities, and commercial paper within Level 2 of the fair value hierarchy because they are valued using inputs other than quoted prices that are directly or indirectly observable in the market, including readily available pricing sources for the identical underlying security that may not be actively traded. The following table presents activity in our financial assets and liabilities measured at fair value using significant unobservable inputs (Level 3), as of and for the three months ended September 30, 2023: Total Liabilities Balance as of March 31, 2023 $ 3,800 Fair value adjustments 400 Balance as of September 30, 2023 $ 4,200 As of September 30, 2023, the contingent consideration liability balance related to the acquisition of TSI Healthcare, LLC (See Note 7) was $ 4,200 , which reflects a $ 400 fair value adjustment for the six months ended September 30, 2023. The categorization of the framework used to measure fair value of the contingent consideration liability is within the Level 3 valuation hierarchy due to the subjective nature of the unobservable inputs used. We assess the fair value of the contingent consideration liability on a recurring basis and any adjustments to fair value subsequent to the measurement period are reflected in the consolidated statements of net income and comprehensive income. Key assumptions included probability-adjusted achievement estimates of applicable revenue targets that were not observable in the market. The fair value adjustments to contingent consideration liabilities are included as a component of selling, general and administrative expense in the consolidated statements of net income and comprehensive income. There are no other assets or liabilities accounted for utilizing unobservable inputs (Level 3) as of September 30, 2023. We believe that the fair value of our other financial assets and liabilities, including accounts receivable, accounts payable, and line of credit, approximate their respective carrying values due to their nominal credit risk. Non-Recurring Fair Value Measurements We have certain assets, including goodwill and other intangible assets, which are measured at fair value on a non-recurring basis and are adjusted to fair value only if an impairment charge is recognized. The categorization of the framework used to measure fair value of the assets is considered to be within the Level 3 valuation hierarchy due to the subjective nature of the unobservable inputs used. |
Investments
Investments | 6 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | 5. Investments The following table summarizes the fair value of our investments and marketable securities as of September 30, 2023: September 30, 2023 Amortized Cost Fair Value Commercial paper $ 1,790 $ 1,790 Money market funds 20,477 20,477 Total cash and cash equivalents 22,267 22,267 United States treasury securities 70,937 70,937 Agency securities 32,732 32,732 Corporate notes and bonds 25,984 25,984 Commercial paper 16,779 16,779 Total marketable securities 146,432 146,432 Total investments $ 168,699 $ 168,699 March 31, 2023 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Commercial paper $ 10,795 $ — $ — $ 10,795 United States treasury securities 9,977 2 — 9,979 Money market funds 5,976 — — 5,976 Corporate notes and bonds 3,349 — — 3,349 Agency securities 842 — — 842 Total cash and cash equivalents 30,939 2 — 30,941 United States treasury securities 56,795 99 ( 4 ) 56,890 Agency securities 37,999 16 ( 24 ) 37,991 Corporate notes and bonds 26,631 14 ( 55 ) 26,590 Commercial paper 18,147 — ( 6 ) 18,141 Total marketable securities 139,572 129 ( 89 ) 139,612 Total investments $ 170,511 $ 131 $ ( 89 ) $ 170,553 At September 30, 2023, we determined it was more likely than not we would sell our investments before recovery of their amortized cost basis. In the three months ending September 30, 2023, we wrote down the amortized cost basis of our investments to fair value and reclassified $ 734 in net unrealized losses out of accumulated comprehensive income into other income, net in the consolidated statements of net income and comprehensive income. The following table presents the contractual maturities of our investments and marketable securities as September 30, 2023: Amortized Cost Fair Value Due within one year $ 123,457 $ 123,457 Due after one year through five years 45,242 45,242 Total 168,699 168,699 |
Leases
Leases | 6 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Leases | 6. L eases Our leasing arrangements are reflected on the balance sheet as right-of-use assets and liabilities pertaining to the rights and obligations created by the leased assets. Right-of-use lease assets and corresponding lease liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. Since the interest rate implicit in our lease arrangements is not readily determinable, we determine an incremental borrowing rate for each lease based on the approximate interest rate on a collateralized basis with similar remaining terms and payments as of the lease commencement date to determine the present value of future lease payments. Our lease terms may include options to extend or terminate the lease. Currently, it is not reasonably certain that we will exercise those options and therefore, we utilize the initial, noncancelable, lease term to calculate the lease assets and corresponding liabilities for all our leases. Operating right-of-use lease assets are classified as operating lease assets on our consolidated balance sheets. We determine whether an arrangement is a lease at inception and classify it as finance or operating. All of our existing material leases are classified as operating leases. Our leases do not contain any residual value guarantees. Our lease agreements generally contain lease and non-lease components. Non-lease components primarily include payments for maintenance and utilities. We have applied the practical expedient to combine fixed payments for non-lease components with our lease payments for all of our leases and account for them together as a single lease component, which increases the amount of our lease assets and corresponding liabilities. Payments under our lease arrangements are primarily fixed, however, certain lease agreements contain variable payments, which are expensed as incurred and not included in the operating lease assets and liabilities. Operating lease costs are recognized on a straight-line basis over the lease term and included as a selling, general and administrative expense in the condensed consolidated statements of net income and comprehensive income. Total operating lease costs were $ 231 and $ 708 for the three months ended September 30, 2023 and 2022, respectively. Total operating lease costs were $ 706 and $ 1,650 for the six months ended September 30, 2023 and 2022, respectively. Components of operating lease costs are summarized as follows: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Operating lease costs $ 393 $ 788 $ 1,014 $ 1,737 Variable lease costs 138 160 319 334 Less: Sublease income ( 300 ) ( 240 ) ( 627 ) ( 421 ) Total operating lease costs $ 231 $ 708 $ 706 $ 1,650 Supplemental cash flow information related to operating leases is summarized as follows: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Cash paid for amounts included in the measurement of operating lease liabilities $ 983 $ 2,225 $ 2,127 $ 4,533 Operating lease assets obtained in exchange for operating lease liabilities — — 585 — We have operating lease agreements for our offices in the United States and India with lease periods expiring between 2024 and 2028 . As of September 30, 2023, our operating leases had a weighted average remaining lease term of 1.9 years and a weighted average discount rate of 4.4 % . Future minimum aggregate lease payments under operating leases as of September 30, 2023 are summarized as follows: For the year ended March 31, 2024 $ 1,815 2025 3,520 2026 572 2027 143 2028 150 2029 and beyond 13 Total future lease payments 6,213 Less interest ( 278 ) Total lease liabilities $ 5,935 In the three and six months ended September 30, 2023, we recorded impairments of $ 166 and $ 525 to our right-of-use assets and certain related fixed assets associated with the vacated locations, or portions thereof, in St. Louis, Hunt Valley, and Cary based on projected sublease rental income and estimated sublease commencement dates and the early termination of a portion of our St. Louis lease. In the three and six months ended September 30, 2022 we vacated portions of certain leased locations and recorded impairments of $ 805 and $ 1,329 , respectively, to our right-of-use assets and certain related fixed assets associated with the vacated locations or portions thereof, in St. Louis, Atlanta, Horsham, and Bangalore based on projected sublease rental income and estimated sublease comme ncement dates and the remeasurement of our operating lease liability associated with the modification of our St. Louis lease. The impairment analyses were performed at the asset group level and the impairment charges were estimated by comparing the fair value of each asset group based on the expected cash flows to its respective book value. We determined the discount rate for each asset group based on the approximate interest rate on a collateralized basis with similar remaining terms and payments as of the impairment date. Significant judgment was required to estimate the fair value of each asset group and actual results could vary from the estimates, resulting in potential future adjustments to amounts previously recorded. |
Business Combinations and Dispo
Business Combinations and Disposals | 6 Months Ended |
Sep. 30, 2023 | |
Business Disposition [Abstract] | |
Business Combinations and Disposals | 7. Business C ombinations and Disposals Acquisition of TSI Healthcare, LLC On November 30, 2022 , we completed the acquisition of TSI Healthcare, LLC ("TSI") pursuant to a securities purchase agreement dated November 30, 2022. TSI is based in Chapel Hill, NC and is a value-added reseller of NextGen Practice Management and Electronic Health Record software and solutions. The purchase price was $ 50,449 , subject to customary working capital and other adjustments. Additionally, under the provisions of the securities purchase agreement, we may pay up to an additional $ 22,000 of cash contingent consideration in the form of an earnout, subject to TSI achieving certain revenue targets through March 2025. The initial fair value of the contingent consideration was $ 3,700 , which was estimated using a Monte Carlo simulation in a risk-neutral framework. The purchase price of TSI is summarized in the table below. The acquisition of TSI was funded by cash flows from operations and cash proceeds from our convertible senior notes (see Note 11). We accounted for the acquisition as a business combination using the acquisition method of accounting. The purchase price was allocated to the tangible and intangible assets acquired and liabilities assumed based on their estimated fair values as of the acquisition date. The fair values of acquired assets and liabilities assumed represent management’s estimate of fair value. During the six months ended September 30, 2023, we recorded a measurement period adjustment of $ 245 to our goodwill associated with the filing of final tax returns. The purchase price allocation of the TSI acquisition was considered final as of September 30, 2023. Identifiable intangible assets acquired from TSI include re-acquired rights, customer relationships, and data health database. The fair values of the acquired intangible assets were determined using the distributor method of the income approach for customer relationships and the multi-period excess earnings method of the income approach for re-acquired rights and the data health database. The valuation model inputs involved the use of significant assumptions, such as distributor margin and discount rate for customer relationships and revenue forecasts, cost of sales and operating expenses as a percentage of revenue, distributor margin, and discount rate for re-acquired rights, which required the application of significant judgment by management. Goodwill represents the excess of the purchase price over the net identifiable assets acquired and liabilities assumed. Goodwill primarily represents, among other factors, the value of synergies expected to be realized and the assemblage of all assets that enable us to create new client relationships, neither of which qualify as separate amortizable intangible assets. Goodwill arising from the acquisition of TSI is considered deductible for tax purposes. Purchase Price Initial purchase price $ 50,449 Fair value of contingent consideration 3,700 Payment for option to early terminate lease 2,000 Working capital adjustment ( 430 ) Total purchase price $ 55,719 Fair value of the net tangible assets acquired and liabilities assumed: Cash and cash equivalents $ 717 Accounts receivable 2,011 Contract assets 1,415 Prepaid expense and other assets 308 Equipment and improvements 879 Contract assets, net of current 2,581 Operating lease assets 957 Deferred income tax asset 1,028 Other assets 50 Accounts payable ( 1,773 ) Accrued compensation and related benefits ( 917 ) Contract liabilities ( 6,247 ) Operating lease liabilities ( 533 ) Other current liabilities ( 964 ) Contract liabilities, net of current ( 11,644 ) Operating lease liabilities, net of current ( 639 ) Total net tangible assets acquired and liabilities assumed ( 12,771 ) Fair value of identifiable intangible assets acquired: Goodwill 54,790 Re-acquired rights 6,250 Customer relationships 5,500 Data health database 1,950 Total identifiable intangible assets acquired 68,490 Total purchase price $ 55,719 The re-acquired rights intangible asset will be amortized over 4 years, the acquired customer relationships intangible assets will be amortized over 11 years, and the acquired data health database intangible asset will be amortized over 3 years. The weighted average amortization period for the acquired TSI intangible assets is 6.8 years. The results of operations of TSI have been included in our consolidated results of operations since the date of acquisition. The results of operations of TSI were not material to our consolidated results of operations for the six months ended September 30, 2023. Disposition of Commercial Dental Assets On July 26, 2022, we executed an Asset Purchase Agreement for the sale of certain non-strategic dental related (“Commercial Dental”) assets for $ 12,000 , subject to certain holdback and other adjustments. Total consideration consisted of $ 11,253 in cash received and $ 600 additional cash expected to be received approximately twelve months from the close date. We recognized a gain on disposition of $ 10,296 in our consolidated statement of net income and comprehensive income as a component of other income (expense). The gain was measured as the total consideration received and expected to be received, less net assets and liabilities included in the transaction, consisting primarily of previously capitalized dental related software development costs, and contract liabilities, less direct incremental transaction costs. The impact of the disposition was not significant and does not qualify for reporting as a discontinued operation because it did not represent a strategic shift that would have a major effect on our operations and financial results. |
Goodwill
Goodwill | 6 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | 8. Goo dwill We test goodwill for impairment annually during our first fiscal quarter, referred to as the annual test date. We will also test for impairment between annual test dates if an event occurs or circumstances change that would indicate the carrying amount may be impaired. Impairment testing for goodwill is performed at a reporting-unit level, which is defined as an operating segment or one level below an operating segment (referred to as a component). We operate as one segment and have a single reporting unit. The measures evaluated by our chief operating decision maker ("CODM"), consisting of the Chief Executive Officer, to assess company performance and make decisions about the allocation of resources include consolidated revenue and consolidated operating results. We have not identified any events or circumstances as of September 30, 2023 that would require an interim goodwill impairment test. We do not amortize goodwill as it has been determined to have an indefinite useful life. The carrying amount of goodwill was $ 322,001 and $ 321,756 as of September 30, 2023 and March 31, 2023, respectively. |
Intangible Assets
Intangible Assets | 6 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | 9. Intangi ble Assets Our definite-lived intangible assets, other than capitalized software development costs, are summarized as follows: September 30, 2023 Customer Trade Names Software Re-acquired Rights Data Health Database Total Gross carrying amount $ 44,700 $ 250 $ 22,500 $ 6,250 $ 1,950 $ 75,650 Accumulated amortization ( 34,489 ) ( 191 ) ( 14,646 ) ( 1,302 ) ( 542 ) ( 51,170 ) Net intangible assets $ 10,211 $ 59 $ 7,854 $ 4,948 $ 1,408 $ 24,480 March 31, 2023 Customer Trade Names Software Re-acquired Rights Data Health Database Total Gross carrying amount $ 44,700 $ 250 $ 25,700 $ 6,250 $ 1,950 $ 78,850 Accumulated amortization ( 32,918 ) ( 166 ) ( 16,060 ) ( 521 ) ( 217 ) ( 49,882 ) Net intangible assets $ 11,782 $ 84 $ 9,640 $ 5,729 $ 1,733 $ 28,968 Amortization expense related to the customer relationships, trade names, and re-acquired rights intangible assets recorded as operating expenses in the consolidated statements of net income and comprehensive income was $ 1,189 and $ 705 for the three months ended September 30, 2023 and 2022, respectively. Amortization expense related to the software technology and data health database intangible assets recorded as cost of revenue was $ 1,055 and $ 1,373 for the three months ended September 30, 2023 and 2022, respectively. Amortization expense related to the customer relationships, trade names, and re-acquired rights intangible assets recorded as operating expenses in the condensed consolidated statements of net income and comprehensive income was $ 2,377 and $ 1,410 for the six months ended September 30, 2023 and 2022, respectively. Amortization expense related to software technology and data health database intangible assets recorded as cost of revenue was $ 2,111 and $ 3,154 for the six months ended September 30, 2023 and 2022, respectively. During the six months ended September 30, 2023, we retired $ 3,200 of fully amortized software technology related to our Inforth acquisition. The following table summarizes the remaining estimated amortization of definite-lived intangible assets as of September 30, 2023: Estimated Remaining Amortization Expense Operating Cost of Total For the year ended March 31, 2024 $ 2,377 $ 2,111 $ 4,488 2025 4,180 4,223 8,403 2026 3,596 2,684 6,280 2027 2,232 244 2,476 2028 and beyond 2,833 — 2,833 Total $ 15,218 $ 9,262 $ 24,480 |
Capitalized Software Costs
Capitalized Software Costs | 6 Months Ended |
Sep. 30, 2023 | |
Research and Development [Abstract] | |
Capitalized Software Costs | 10. Capitalized Software Costs Our capitalized software costs are summarized as follows: September 30, 2023 March 31, 2023 Gross carrying amount $ 139,371 $ 131,791 Accumulated amortization ( 79,496 ) ( 77,275 ) Net capitalized software costs $ 59,875 $ 54,516 Amortization expense related to capitalized software costs was $ 6,125 and $ 5,371 for the three months ended September 30, 2023 and 2022, respectively, and is recorded as cost of revenue in the condensed consolidated statements of net income and comprehensive income. Amortization expense related to capitalized software costs was $ 12,061 , and $ 10,725 for the six months ended September 30, 2023 and 2022, respectively. During the six months ended September 30, 2023, we retired $ 9,841 of fully amortized capitalized software costs that are no longer being utilized by our client base. The following table presents the remaining estimated amortization of capitalized software costs as of September 30, 2023. The estimated amortization is comprised of (i) amortization of released products and (ii) the expected amortization for products that are not yet available for sale based on their estimated economic lives and projected general release dates. For the year ended March 31, 2024 $ 17,100 2025 24,100 2026 13,400 2027 5,275 Total $ 59,875 |
Debt
Debt | 6 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | 11. Debt Convertible Senior Notes On November 1, 2022, we issued $ 275,000 in aggregate principal amount of 3.75 % Convertible Senior Notes due 2027 (“Notes”). The Notes were issued pursuant to, and are governed by, an indenture, dated as of November 1, 2022 (“Indenture”), between the Company and U.S. Bank Trust Company, National Association, as trustee. Net proceeds from the issuance of the Notes were approximately $ 266,517 , after deducting issuance costs totaling $ 8,483 . The Notes will accrue interest at a rate of 3.75 % per annum, payable semi-annually in arrears on May 15 and November 15 of each year, beginning on May 15, 2023. The Notes will mature on November 15, 2027 , unless earlier repurchased, redeemed or converted. Noteholders may convert their notes at their option only in the following circumstances: • during any calendar quarter (and only during such calendar quarter) commencing after the calendar quarter ending on December 31, 2022, if the last reported sale price per share of our common stock exceeds 130 % of the conversion price for each of at least 20 trading days, whether or not consecutive, during the 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter; • during the five consecutive business days immediately after any 10 consecutive trading day period (such 10 consecutive trading day period, the “measurement period”) in which the trading price per $ 1 principal amount of notes for each trading day of the measurement period was less than 98 % of the product of the last reported sale price per share of our common stock on such trading day and the conversion rate on such trading day; • upon the occurrence of certain corporate events or distributions on our common stock, as described in the Indenture; • if we call such notes for redemption; and • at any time from, and including, August 16, 2027 until the close of business on the second scheduled trading day immediately before the maturity date. We will settle conversions by paying or delivering, as applicable, cash and, if applicable, shares of common stock, at our election, based on the applicable conversion rate(s). However, upon conversion of any Notes, the conversion value, which will be determined over an observation period consisting of 60 trading days, will be paid in cash up to at least the principal amount of the Notes being converted. The initial conversion rate is 38.9454 shares of common stock per $ 1 principal amount of Notes, which represents an initial conversion price of approximately $ 25.68 per share of common stock. The conversion rate and conversion price will be subject to customary adjustments upon the occurrence of certain events. In addition, if certain corporate events that constitute a “Make-Whole Fundamental Change” (as defined in the Indenture) occur, then the conversion rate will, in certain circumstances, be increased for a specified period of time. The customary make-whole adjustments were designed in a manner such that the additional number of shares is consistent with the lost time value of the conversion option. Notwithstanding anything to the contrary, in no event will the conversion rate be increased to a number that exceeds 52.5762 shares of our common stock per $ 1 principal amount of Notes. The Notes will be redeemable, in whole or in part (subject to certain limitations described below), at our option at any time, and from time to time, on or after November 20, 2025, and before the 61st scheduled trading day immediately before the maturity date, but only if the last reported sale price per share of our common stock exceeds 130 % of the conversion price on (i) each of at least 20 trading days, whether or not consecutive, during the 30 consecutive trading days ending on, and including, the trading day immediately before the date we send the related redemption notice; and (ii) the trading day immediately before the date we send such notice. However, we may not redeem less than all of the outstanding Notes unless at least $ 100,000 aggregate principal amount of Notes are outstanding and not called for redemption as of the time we send the related redemption notice. The redemption price will be a cash amount equal to the principal amount of the Notes to be redeemed, plus accrued and unpaid interest, if any, to, but excluding, the redemption date. In addition, calling any Note for redemption will constitute a Make-Whole Fundamental Change with respect to that Note, in which case the conversion rate applicable to the conversion of that Note will be increased in certain circumstances if it is converted with a conversion date that is on or after the date we send the related redemption notice and on or before the second business day immediately before the related redemption date. If we elect to redeem less than all of the outstanding Notes, then the redemption will not constitute a make-whole fundamental change with respect to the Notes not called for redemption, and holders of the Notes not called for redemption will not be entitled to an increased conversion rate for such Notes on account of the redemption. If certain corporate events that constitute a “Fundamental Change” (as defined in the Indenture) occur, then, subject to certain exceptions, noteholders may require us to repurchase their Notes at a cash repurchase price equal to the principal amount of the Notes to be repurchased, plus accrued and unpaid interest, if any, to, but excluding, the fundamental change repurchase date. The definition of Fundamental Change includes certain business combination transactions involving the Company and certain de-listing events with respect to our common stock. The Notes will be our senior, unsecured obligations and will be (i) equal in right of payment with our existing and future senior, unsecured indebtedness; (ii) senior in right of payment to our existing and future indebtedness that is expressly subordinated to the Notes; (iii) effectively subordinated to our existing and future secured indebtedness, to the extent of the value of the collateral securing that indebtedness; and (iv) structurally subordinated to all existing and future indebtedness and other liabilities, including trade payables. The Notes are recorded net of issuance costs as noncurrent liabilities in the consolidated balance sheets. The net carrying value of the Notes are as follows: September 30, 2023 March 31, 2023 Principal amount $ 275,000 $ 275,000 Unamortized issuance costs ( 7,435 ) ( 8,157 ) Carrying value, net $ 267,565 $ 266,843 The debt issuance costs of the Notes are being amortized using the effective interest method. The effective interest rate of the Notes is 4.48 %. Interest expense related to the Notes was $ 2,578 and $ 5,185 for the three and six months ended September 30, 2023, respectively. Amortization of debt issuance costs related to the Notes was $ 409 and $ 722 for the three and six months ended September 30, 2023. Line of Credit On March 12, 2021, we entered into a $ 300,000 second amended and restated revolving credit agreement (the “Credit Agreement”) with JPMorgan Chase Bank, N.A., as administrative agent (in such capacity, the “Administrative Agent”), U.S. Bank National Association and Bank of the West, as co-syndication agents, and certain other agents and lenders. The Credit Agreement replaces our prior $ 300,000 amended and restated revolving credit agreement, originally entered into on January 4, 2016 and amended on March 29, 2018. The Credit Agreement provides a subfacility of up to $ 10,000 for letters of credit and a subfacility of up to $ 10,000 for swing-line loans. The Credit Agreement also provides us with the ability to obtain up to $ 150,000 in the aggregate of additional revolving credit commitments and/or term loans thereunder (i.e., in excess of $ 300,000 ) upon satisfaction of certain conditions, including receipt of commitments from new or existing lenders to provide such additional revolving credit commitments and/or term loans. On May 17, 2022, we entered into that certain Amendment No. 1 to Credit Agreement (the “First Amendment”) with the Administrative Agent and the lenders party thereto to amend the existing Credit Agreement. The First Amendment modifies the Credit Agreement to increase our net leverage ratio maintenance covenant from 3.75 x to 4.00 x and increase the related adjusted covenant period option (available upon the consummation of certain acquisitions) from 4.25 x to 4.75 x, in each case, commencing with the reporting period ending June 30, 2022. The First Amendment also makes certain updates to the conditions restricting the making of certain dividends, distributions, and other restricted payments by the Company so that such conditions are based on the our net leverage ratio (as set forth in the Credit Agreement) rather than our total leverage ratio, to increase the dollar cap for such restricted payments that can be made without satisfying leverage conditions from $ 11,500 to $ 25,000 , and to increase flexibility in cash netting calculations in connection with the making of restricted payments. On October 27, 2022, the Company entered into that certain Amendment No. 2 to Credit Agreement (the “Second Amendment”) with the Administrative Agent and the lenders party thereto. The Second Amendment modifies the Credit Agreement to make certain updates to the conditions restricting the making of certain dividends, distributions, and other restricted payments by the Company so that the Company’s compliance with the net leverage ratio governor contained in such conditions is calculated net of the net cash proceeds of the Notes issued pursuant to the Indenture. Effective April 28, 2023, the Company entered into Amendment No. 3 to the Credit Agreement (the "Third Amendment"), which, among other changes, replaces the existing LIBOR-based rate with a SOFR-based rate. The Credit Agreement matures on March 12, 2026 and the full balance of the revolving loans and all other obligations under the Credit Agreement must be paid at that time. In addition, we are required to prepay the revolving loan balance if at any time the aggregate principal amount outstanding under the Credit Agreement exceeds the aggregate commitments thereunder. The Credit Agreement is secured by substantially all of our existing and future property and our material domestic subsidiaries. The revolving loans under the Credit Agreement will be available for letters of credit, permitted acquisitions, working capital and general corporate purposes. We were in compliance with all financial and non-financial covenants under the Credit Agreement as of September 30, 2023. As of September 30, 2023 and March 31, 2023, we had no outstanding loans and $ 300,000 of unused credit under the Credit Agreement. Interest expense related to the Credit Agreement was $ 192 and $ 198 for the three months ended September 30, 2023 and 2022, respectively. Interest expense related to the Credit Agreement was $ 382 and $ 401 for the six months ended September 30, 2023 and 2022, respectively. Costs incurred in connection with securing the Credit Agreement, including fees paid to legal advisors and third parties, are deferred and amortized to interest expense over the term of the Credit Agreement. Deferred debt issuance costs are reported as a component of other assets on the consolidated balance sheets. As of September 30, 2023 and 2022, total unamortized debt issuance costs were $ 1,244 and $ 2,067 , respectively. Amortization of deferred debt issuance costs was $ 127 and $ 127 for the three months ended September 30, 2023 and 2022, respectively. Amortization of deferred debt issuance costs was $ 254 and $ 254 for the six months ended September 30, 2023 and 2022, respectively. |
Composition of Certain Financia
Composition of Certain Financial Statement Captions | 6 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Composition of Certain Financial Statement Captions | 12. Composition of Certain Financial Statement Captions Cash, cash equivalents, and restricted cash are summarized as follows: September 30, 2023 March 31, 2023 Cash and cash equivalents $ 53,867 $ 98,719 Restricted cash and cash equivalents 4,914 7,269 Cash, cash equivalents, and restricted cash $ 58,781 $ 105,988 Prepaid expenses and other current assets are summarized as follows: September 30, 2023 March 31, 2023 Prepaid expenses $ 22,673 $ 26,365 Capitalized commissions costs 14,363 13,813 Accrued interest on marketable securities 916 699 Other current assets 1,732 2,039 Prepaid expenses and other current assets $ 39,684 $ 42,916 Equipment and improvements are summarized as follows: September 30, 2023 March 31, 2023 Computer equipment $ 34,503 $ 35,019 Internal-use software 20,689 20,064 Leasehold improvements 4,542 7,067 Furniture and fixtures 2,787 4,871 Equipment and improvements, gross 62,521 67,021 Accumulated depreciation and amortization ( 57,582 ) ( 60,600 ) Equipment and improvements, net $ 4,939 $ 6,421 Other assets are summarized as follows: September 30, 2023 March 31, 2023 Capitalized commission costs $ 27,499 $ 26,104 Deposits 7,478 7,447 Debt issuance costs 1,244 1,498 Other noncurrent assets 9,996 9,189 Other assets $ 46,217 $ 44,238 Accrued compensation and related benefits are summarized as follows: September 30, 2023 March 31, 2023 Accrued bonus $ 11,670 $ 15,550 Accrued vacation 13,244 13,271 Accrued commissions 3,148 5,166 Accrued payroll and other 345 2,254 Accrued compensation and related benefits $ 28,407 $ 36,241 Other current and noncurrent liabilities are summarized as follows: September 30, 2023 March 31, 2023 Accrued acquisition costs $ 7,861 $ — Customer credit balances and deposits 7,136 5,417 Sales returns reserves and other customer liabilities 5,614 5,390 Care services liabilities 4,914 7,269 Accrued interest payable 4,081 4,244 Accrued hosting costs 3,553 873 Accrued EDI expense 3,068 3,064 Accrued outsourcing costs 2,785 3,023 Accrued employee benefits and withholdings 2,667 3,195 Accrued self insurance expense 2,299 2,359 Accrued consulting and outside services 2,002 3,957 Accrued royalties 1,838 3,248 Accrued legal expense 907 782 Accrued taxes payable 309 1,746 Accrued legal settlement (1) - 33,990 Other accrued expenses 5,963 5,242 Other current liabilities $ 54,997 $ 83,799 Contingent consideration related to acquisitions, noncurrent $ 4,200 $ 3,800 Uncertain tax positions 4,195 3,950 Other liabilities 642 524 Other noncurrent liabilities $ 9,037 $ 8,274 (1) Refer to Note 17, "Commitments, Guarantees and Contingencies" for more details. |
Income Taxes
Income Taxes | 6 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 13. Inco me Taxes The provision of income taxes was $ 1,641 in the three months ended September 30, 2023, reflecting an effective tax rate of 24.5 %. The provision of income taxes was $ 5,707 in the three months ended September 30, 2022, reflecting an effective tax rate of 29.5 %. The provision of income taxes in the six months ended September 30, 2023 was $ 4,031 , reflecting an effective tax rate of 26.4 %. The provision of income taxes in the six months ended September 30, 2022 was $ 5,460 , reflecting an effective tax rate of 27.0 %. The decrease in the effective tax rate for the three and six months ended September 30, 2023 compared to the corresponding prior periods was primarily due to an increase to research and development credits and a decrease to nondeductible stock based compensation, partially offset by an increase of discrete items. The deferred tax assets and liabilities are presented net in the accompanying condensed consolidated balance sheets as noncurrent. We expect to receive the full benefit of the deferred tax assets recorded, with the exception of certain state credits and state net operating loss carryforwards, for which we have recorded a valuation allowance. We had unrecognized tax benefits of $ 6,198 and $ 5,911 related to various federal, state, and local income tax matters as of September 30, 2023 and March 31, 2023, respectively. If recognized, this amount would reduce our effective tax rate. We are subject to taxation in federal, various state, India, and United Kingdom jurisdictions. We are no longer subject to United States federal income tax examinations for tax years before fiscal year ended 2019. With a few exceptions, we are no longer subject to state or local income tax examinations for tax years before fiscal year ended 2018. We do not anticipate the total unrecognized tax benefits to significantly change due to the settlement of audits or the expiration of statute of limitations within the next twelve months . |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 14. Earning s per Share The presentation of “basic” and “diluted” earnings per share is provided below. Share amounts below are in thousands. Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Earnings per share — Basic: Net income $ 5,055 $ 13,623 $ 11,211 $ 14,771 Weighted-average shares outstanding — Basic 67,074 67,806 66,749 67,698 Net income per common share — Basic $ 0.08 $ 0.20 $ 0.17 $ 0.22 Earnings per share — Diluted: Net income $ 5,055 $ 13,623 $ 11,211 $ 14,771 Weighted-average shares outstanding 67,074 67,806 66,749 67,698 Effect of potentially dilutive securities from equity incentive plans 616 616 531 655 Weighted-average shares outstanding — Diluted 67,690 68,422 67,280 68,353 Net income per common share — Diluted $ 0.07 $ 0.20 $ 0.17 $ 0.22 The computation of diluted net income per share does not include 26 options to acquire shares of common stock for the three months ended September 30, 2022 because their inclusion would have an anti-dilutive effect on net income per share. There were no anti-dilutive options for the three months ended September 30, 2023. The computation of diluted net income per share does not include 23 options to acquire shares of common stock for the six months ended September 30, 2022 because their inclusion would have an anti-dilutive effect on net income per share. There were no anti-dilutive options for the six months ended September 30, 2023. The dilutive effect of potentially dilutive common shares is reflected in diluted net income per share by application of the if-converted method for the Notes. The shares issuable upon conversion of the Notes, subject to adjustment in some events, are not considered in the calculation of diluted net income per share because their inclusion would have an anti-dilutive effect on net income per share for the three months ended September 30, 2023. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Sep. 30, 2023 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | 15. Stockhold ers’ Equity Equity Incentive Plans In August 2015, our shareholders approved a stock option and incentive plan (the “2015 Plan”) under which 11,500,000 shares of common stock were reserved for the issuance of awards, including incentive stock options and non-qualified stock options, stock appreciation rights, restricted stock awards and restricted stock unit awards, performance stock awards and other share-based awards. In August 2017, our shareholders approved an amendment to the 2015 Plan, to, among other items, increase the number of shares of common stock reserved for issuance thereunder by 6,000,000 shares, which was further amended in August 2019 as approved by our shareholders, to, among other items, increase the number of shares of common stock reserved for issuance thereunder by an additional 3,575,000 shares. In October 2021, our shareholders approved an amendment and restatement of the Company’s 2015 Equity Incentive Plan (the “Amended 2015 Plan”), to, among other items, increase the number of common stock reserved for issuance thereunder by an additional 1,850,000 shares. In August 2023, our shareholders approved an amendment to the 2015 Plan, to, among other items, increase the number of shares of common stock authorized for issuance by an additional 2,150,000 shares. The Amended 2015 Plan provides that our employees and directors may, at the discretion of the Board of Directors (“Board”) or a duly designated compensation committee, be granted certain share-based awards. In the case of option awards granted under the Amended 2015 Plan, the exercise price of each option is determined based on the date of grant and expire no later than 10 years from the date of grant. Awards granted pursuant to the Amended 2015 Plan are subject to the vesting schedule or performance metrics set forth in the agreements pursuant to which they are granted. Upon a change of control of our Company, as such term is defined in the Amended 2015 Plan, awards under the Amended 2015 Plan will fully vest under certain circumstances. As of September 30, 2023, there were 923,789 outstanding options, 3,091,468 outstanding shares of restricted stock awards, certain outstanding performance stock unit awards as described further below, and 2,725,265 shares available for future grant under the Amended 2015 Plan. In September 2021, the Board adopted the 2021 Employment Inducement Equity Incentive Plan (the “Inducement Plan”) and initially reserved 1,500,000 shares of common stock for issuance under the Inducement Plan. The Inducement Plan was adopted by the Board without stockholder approval pursuant to Rule 5635(c)(4) of the Nasdaq Listing Rules. In accordance with Rule 5635(c)(4) of the Nasdaq Listing Rules, awards under the Inducement Plan may only be made to an employee who has not previously been an employee or member of the Board or the Board of Directors or any parent or subsidiary, or following a bona fide period of non-employment by the Company or a parent or subsidiary, if he or she is granted such award in connection with his or her commencement of employment with the Company or a subsidiary and such grant is an inducement material to his or her entering into employment with the Company or such subsidiary. The terms of the Inducement Plan were substantially similar to the terms of our Amended 2015 Plan, with the exception that incentive stock options may not be granted under the Inducement Plan. Effective as of June 30, 2023, the Inducement Plan was terminated and any shares remaining available for future issuance under the Inducement Plan were canceled; however, the terms and conditions of the Inducement Plan will continue to govern any outstanding awards thereunder granted prior to June 30, 2023. As of September 30, 2023, there were 412,056 outstanding shares of restricted stock awards and 123,390 outstanding performance stock unit awards. Stock-Based Compensation The following table summarizes total share-based compensation expense included in the condensed consolidated statements of net income and comprehensive income for the three and six months ended September 30, 2023 and 2022: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Costs and expenses: Cost of revenue $ 1,036 $ 951 $ 1,878 $ 1,514 Research and development costs 1,183 1,655 1,838 3,238 Selling, general and administrative 7,247 6,081 13,706 12,701 Total share-based compensation 9,466 8,687 17,422 17,453 Income tax benefit ( 2,250 ) ( 2,078 ) ( 4,144 ) ( 4,123 ) Decrease in net income $ 7,216 $ 6,609 $ 13,278 $ 13,330 Share-based compensation expense under our equity incentive plans is based on the number awards that ultimately vest and forfeitures are accounted for as they occur. Restricted Stock Awards Restricted stock awards activity during the six months ended September 30, 2023 is summarized as follows: Restricted Stock Award Activity Weighted- Average Grant-Date Number of Fair Value Shares per Share Outstanding, March 31, 2023 3,297,512 $ 16.72 Granted 1,436,071 15.57 Vested ( 1,086,41 3 ) 15.66 Canceled ( 143,646 ) 16.50 Outstanding, September 30, 2023 3,503,524 $ 16.59 Share-based compensation expense related to restricted stock awards was $ 7,067 and $ 6,372 for the three months ended September 30, 2023 and 2022, respectively. Share-based compensation expense related to restricted stock awards was $ 13,058 and $ 12,651 for the six months ended September 30, 2023 and 2022, respectively. The weighted-average grant date fair value for the restricted stock awards was estimated using the market price of the common stock on the date of grant. The fair value of the restricted stock awards is amortized on a straight-line basis over the vesting period, which is generally between one to three years . As of September 30, 2023, $ 46,335 of total unrecognized compensation costs related to restricted stock awards is expected to be recognized over a weighted-average period of 1.9 years. This amount does not include the cost of new restricted stock awards that may be granted in future periods. The total fair value of restricted stock awards vested as of the vesting dates were $ 7,050 and $ 7,114 for the three months ended September 30, 2023 and 2022, respectively. The total fair value of restricted stock awards vested as of the vesting dates were $ 18,742 and $ 18,205 for the six months ended September 30, 2023 and 2022, respectively. Stock Options The following table summarizes the stock option transactions during the six months ended September 30, 2023: Weighted- Weighted- Average Average Aggregate Exercise Remaining Intrinsic Number of Price Contractual Value Shares per Share Life (years) (in thousands) Outstanding, March 31, 2023 1,130,813 $ 14.75 1.7 $ 3,011 Exercised ( 201,824 ) 14.33 1.3 $ 254 Forfeited/Canceled ( 500 ) — Expired ( 4,700 ) 16.64 Outstanding, September 30, 2023 923,789 $ 14.83 1.5 $ 8,224 Vested and expected to vest, September 30, 2023 923,789 $ 14.83 1.5 $ 8,224 Exercisable, September 30, 2023 923,789 $ 14.83 1.5 $ 8,224 Net Share Settlements Restricted stock awards and performance stock units are generally net share-settled upon vesting to cover the required withholding taxes, and the remaining share amount is transferred to the employee. The majority of restricted stock awards and performance stock units that vested during the six months ended September 30, 2023 and 2022 were net-share settled such that we withheld shares with value equivalent to the employees’ applicable income tax obligations for the applicable income and other employment taxes and remitted the equivalent amount of cash to the appropriate taxing authorities. Total payments for the employees’ applicable income tax obligations are reflected as a financing activity within the accompanying consolidated statements of cash flows. The total shares withheld during the three months ended September 30, 2023 and 2022 were 145,073 and 142,751 respectively, and were based on the value of the restricted stock awards and performance stock units on their vesting date as determined by our closing stock price. The total shares withheld during the six months ended September 30, 2023 and 2022 were 395,048 and 345,263 , respectively. These net-share settlements had the effect of share repurchases by us as they reduced the number of shares that would have otherwise been issued at the vesting date. Performance Stock Units and Awards On October 26, 2020, the Compensation Committee of the Board approved 408,861 performance stock unit awards to be granted to certain executives and non-executive members of the executive leadership team, which vest only in the event certain performance goals are achieved and with continuous service through the date the goals are certified. Approximately 80 % of the performance stock units are tied to the Company’s fiscal year 2022 revenue goal and 20 % are tied to the Company’s fiscal year 2023 revenue goal. Performance stock unit awards funded for fiscal year 2022 and fiscal year 2023 revenue performance will be modified for cumulative 3-year TSR on the three-year grant date anniversary, which is also the cliff vest date. The number of shares to be issued may vary between 8.5 % and 199.5 % of the number of target performance stock units depending on performance, and no such shares will be issued if threshold performance is not achieved. The weighted-average grant date fair value of the awards was $ 16.25 per share, which was estimated using a Monte Carlo-based valuation model for the awards based on total shareholder return and using a probability adjusted achievement rate combined with the market price of the common stock on the date of grant for the awards based on revenue targets. On September 20, 2021, the Compensation Committee of the Board approved an award of 450,000 performance stock units to be granted to our Chief Executive Officer under the Inducement Plan. The award has a grant date of September 22, 2021 and portions of the award vest upon both the attainment of five separate pre-determined stock price milestones during a five-year performance period and continued service over a period of three years following the grant date. The fair value and derived service period for each share-price milestone tranche was estimated separately using a Monte-Carlo based valuation model. The expense for each share-price milestone tranche is amortized over the longer of the derived service period or the explicit service period. The weighted-average grant date fair value of the award was $ 10.52 per share. As of September 30, 2023, 48,667 units were earned and issued as shares. On October 26, 2021, the Compensation Committee of the Board approved 476,713 performance stock units to be granted to certain members of the executive leadership team. The awards have a grant date of November 2, 2021 and portions of the award vest upon both the attainment of four separate pre-determined stock price milestones through September 22, 2026 and continued service over a period of three years following the grant date. The fair value and derived service period for each share-price milestone tranche was estimated separately using a Monte-Carlo based valuation model. The expense for each share-price milestone tranche is amortized over the longer of the derived service period or the explicit service period. The weighted-average grant date fair value of the award was $ 13.02 per share. As of September 30, 2023, 62,668 units were earned and issued as shares. On October 25, 2022, the Compensation Committee of the Board approved 475,337 target performance stock unit awards to be granted to certain executives and non-executive members of the executive leadership team. The awards have a grant date of October 28, 2022 and vest only in the event certain performance goals are achieved and with continuous service through the date the goals are certified. Approximately 50 % of the performance stock units are tied to the Company’s fiscal year 2025 revenue goal and 50 % are tied to the Company’s fiscal year 2025 EBITDA goal. Performance stock unit awards funded will be modified for cumulative 3-year TSR on the three-year grant date anniversary, which is also the cliff vest date. The number of shares to be issued may vary between 0 % and 210 % of the number of target performance stock units depending on performance, and no such shares will be issued if threshold performance is not achieved. The weighted-average grant date fair value of the awards was $ 22.81 per share, which was estimated using a Monte Carlo-based valuation model for the awards based on total shareholder return and using a probability adjusted achievement rate combined with the market price of the common stock on the date of grant. Share-based compensation expense related to the performance stock units and awards was 2,290 and 4,064 for the three and six months ended September 30, 2023, respectively. Share-based compensation expense related to the performance stock units and awards was 2,172 and 4,374 for the three and six months ended September 30, 2022, respectively. As of September 30, 2023, $ 8,457 of total estimated unrecognized compensation costs related to performance stock units and awards is expected to be recognized over a weighted-average period of 1.9 years. This amount does not include the cost of new performance stock units and awards that may be granted in future periods. Employee Share Purchase Plan On August 11, 2014, our shareholders approved an Employee Share Purchase Plan (the “Purchase Plan”) under which 4,000,000 shares of common stock were reserved for future grant. The Purchase Plan allows eligible employees to purchase shares through payroll deductions of up to 15 % of total base salary at a price equal to 90 % of the lower of the fair market values of the shares as of the beginning or the end of the corresponding offering period. Any shares purchased under the Purchase Plan are subject to a six-month holding period. Employees are limited to purchasing no more than 1,500 shares on any single purchase date and no more than $ 25 in total fair market value of shares during any one calendar year. Effective September 15, 2023, the Purchase Plan was suspended in connection with the Merger Agreement. As of September 30, 2023, we have issued 1,140,806 shares under the Purchase Plan. Share-based compensation expense recorded for the employee share purchase plan was $ 109 and $ 130 for the three months ended September 30, 2023 and 2022, respectively. Share-based compensation expense recorded for the employee share purchase plan was $ 300 and $ 349 for the six months ended September 30, 2023 and 2022, respectively. Share Repurchase Program In October 2021, the Board authorized a share repurchase program under which we may repurchase up to $ 60,000 of our outstanding shares of common stock through March 2023. On October 25, 2022, the Board authorized a new share repurchase program under which we may repurchase up to an additional $ 100,000 of outstanding shares of our common stock through March 2025. The timing and amount of any share repurchases under the share repurchase programs will be determined by our management at its discretion based on ongoing assessments of the capital needs of the business, the market price of our common stock and general market conditions. Share repurchases under the programs may be made through a variety of methods, which may include open market purchases, in block trades, accelerated share repurchase transactions, exchange transactions, or any combination of such methods. Repurchases may also be made under Rule 10b5-1 plans, which permit shares of common stock to be repurchased through pre-determined criteria. The programs do not obligate the Company to acquire any particular amount of our common stock, and the share repurchase programs may be suspended or discontinued at any time at our discretion. We did no t repurchase any shares of common stock in the six months ended September 30, 2023. As of September 30, 2023, $ 74,303 remained available for share repurchases pursuant to our share repurchase programs. |
Concentration of Credit Risk
Concentration of Credit Risk | 6 Months Ended |
Sep. 30, 2023 | |
Risks and Uncertainties [Abstract] | |
Concentration of Credit Risk | 16. Concentratio n of Credit Risk We had cash deposits at United States banks and financial institutions which exceeded federally insured limits at September 30, 2023. We are exposed to credit loss for amounts in excess of insured limits in the event of non-performance by the institutions; however, we do not anticipate non-performance by these institutions. |
Commitments, Guarantees and Con
Commitments, Guarantees and Contingencies | 6 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, Guarantees and Contingencies | 17. Commitments, Guara ntees and Contingencies Commitments and Guarantees Our software license agreements include a performance guarantee that our software products will substantially operate as described in the applicable program documentation for a period of 365 days after delivery. To date, we have not incurred any significant costs associated with our performance guarantee or other related warranties and do not expect to incur significant warranty costs in the future. Therefore, no accrual has been made for potential costs associated with these warranties. Certain arrangements also include performance guarantees related to response time, availability for operational use, and other performance-related guarantees. Certain arrangements also include penalties in the form of maintenance credits should the performance of the software fail to meet the performance guarantees. To date, we have not incurred any significant costs associated with these warranties and do not expect to incur significant warranty costs in the future. Therefore, no accrual has been made for potential costs associated with these warranties. We historically have accepted sales returns under limited circumstances. We estimate expected sales returns and other forms of variable consideration considering our customary business practice and contract-specific facts and circumstances, and we consider such estimated potential returns as variable consideration when allocating the transaction price to the extent it is probable that there will not be a significant reversal of cumulative revenue recognized. Our standard sales agreements contain an indemnification provision pursuant to which we shall indemnify, hold harmless, and reimburse the indemnified party for losses suffered or incurred by the indemnified party in connection with any United States patent, any copyright or other intellectual property infringement claim by any third-party with respect to our software. As we have not incurred any significant costs to defend lawsuits or settle claims related to these indemnification agreements, we believe that our estimated exposure on these agreements is currently minimal. Accordingly, we have no liabilities recorded for these indemnification obligations. We also have contingent consideration liabilities related to our acquisitions. Refer to Note 7, “Business Combinations and Disposals” and Note 4, “Fair Value Measurements” of our notes to consolidated financial statements included elsewhere in this Report for further information. Contingencies In addition to commitments and obligations in the ordinary course of business and routine legal proceedings, we are currently subject to various non-ordinary course legal proceedings, claims and investigations, as described below. We accrue estimates for resolution of any legal proceeding and other contingencies when losses are probable and reasonably estimable in accordance with ASC 450, Contingencies (“ASC 450”) . No less than quarterly, and as facts and circumstances change, we review the status of each significant matter underlying a legal proceeding or claim and assess our potential financial exposure. We accrue a liability for an estimated loss if the potential loss from any legal proceeding or claim is considered probable and the amount can be reasonably estimated. Significant judgment is required in both the determination of probability and the determination as to whether the amount of an exposure is reasonably estimable, and accruals are based only on the information available to our management at the time the judgment is made, which may prove to be incomplete, or inaccurate or unanticipated events and circumstances may occur that might cause us to change those estimates and assumptions. The outcome of legal proceedings is inherently uncertain, and we may incur substantial defense costs and expenses defending any of these matters. If one or more of these legal proceedings were resolved against or settled by us in a reporting period for amounts in excess of our management’s expectations, our consolidated financial statements for that and subsequent reporting periods could be materially adversely affected. In addition, we could be forced to incur increased compliance costs or change the manner in which we operate our business, which could have a material adverse impact on our business, results of operations, cash flows or financial condition. DOJ Investigation On July 13, 2023, we entered into a settlement agreement (the “Settlement Agreement”) with the U.S. Department of Justice (the “DOJ”) and two private parties (the “Relators”) to resolve the previously disclosed investigation by the DOJ regarding the Company’s software certification under the United States Department of Health and Human Services Electronic Health Record Incentive Program and the Company’s marketing practices. The investigation also involved a previously disclosed qui tam lawsuit (the “Civil Action”) filed by the Relators against the Company alleging violations of the federal False Claims Act. Pursuant to the terms of the Settlement Agreement, on July 14, 2023, the Company paid a total of $ 31,268 to the United States to settle the claims and a total of $ 1,200 to the Relators for attorneys’ fees, expenses and costs. Upon receipt of such payments, the DOJ and the Relators dismissed the Civil Action and released the Company from the claims specified in the Settlement Agreement. Although we admitted no wrongdoing, the Civil Action and Settlement Agreement may have a material adverse effect on our reputation and consequently our business and operations. Security Incident and Related Litigation On April 28, 2023, the Company issued written notification to approximately 1 million individuals notifying them that NextGen Healthcare, Inc. had discovered that certain of their personal information (name, address, date of birth, and social security number) had been accessed without authorization during a recent data security incident impacting the NextGen Office system. Following notification of the data breach, NextGen Healthcare, Inc. was named as a defendant in sixteen putative class action lawsuits in the United States District Court for the Northern District of Georgia, all of which assert various claims stemming from the data breach and NextGen Healthcare’s alleged failure to safeguard personal information. These lawsuits seek monetary damages, injunctive and declaratory relief, and attorneys’ fees and costs. On July 17, 2023, the Court consolidated all sixteen of the lawsuits into one action in the Northern District of Georgia, styled as Miller v. NextGen Healthcare, Inc. , 1:23-cv-02043-TWT. The Court has appointed interim lead counsel for the consolidated matter, and the plaintiffs will be serving NextGen with a consolidated amended complaint on or about November 30, 2023. We believe we have meritorious defenses to this litigation and intend to vigorously oppose the claims asserted in these complaints and any amended consolidated complaint to be filed in the consolidated action. We cannot reasonably estimate the range of potential losses that may be associated with this litigation because of the early stage of the litigation. We also cannot assure you that we will not become subject to other lawsuits, inquiries, or claims relating to or arising from the matter. Although we maintain cyber-technology liability insurance, it is possible that the ultimate amount paid by us, if we are unsuccessful in defending all of the litigation, will be in excess of our cyber-technology liability insurance coverage applicable to claims of this nature. Hussein Litigation On October 7, 2013, a complaint was filed against our Company and certain of our officers and directors in the Superior Court of the State of California for the County of Orange, captioned Ahmed D. Hussein v. Sheldon Razin, Steven Plochocki, Quality Systems, Inc. and Does 1-10, inclusive, No. 30-2013-00679600-CU-NP-CJC, by Ahmed Hussein, a former director and significant shareholder of our Company. The amended complaint generally alleges fraud and deceit, constructive fraud, negligent misrepresentation and breach of fiduciary duty in connection with statements made to our shareholders regarding our financial condition and projected future performance. The amended complaint seeks actual damages, exemplary and punitive damages and costs. Hussein’s breach of fiduciary duty claims were dismissed on demurrer, and we filed an answer and cross-complaint against Hussein, alleging that he breached fiduciary duties owed to the Company. On September 16, 2015, the Court granted summary judgment with respect to Hussein’s remaining claims, dismissing all claims against us. The cross-complaint against Hussein went to trial, but the Court granted judgment in favor of Hussein on our cross-complaint. Final judgment over Hussein’s claims and our cross-claims was entered on January 9, 2018. Hussein appealed the order granting summary judgment over his claims, and we appealed the court’s decision granting Hussein’s motion for judgment on our cross-complaint. On October 8, 2019, the California State Court of Appeal for the Fourth Appellate District, Division Three, reversed the Superior Court’s grant of summary judgment on Hussein’s affirmative claims and affirmed the trial court’s judgment on the Company’s breach of fiduciary duty claims against Hussein. As a result, the case returned to the trial court for resolution of Hussein’s claims against us. On July 29, 2021, the jury rendered a verdict in favor of the Company and the individual defendants on all counts. Hussein filed a Motion for New Trial, which the Court denied. Hussein has appealed the jury verdict in favor of the Company and the individual defendants. Hussein, the Company, and the individual defendants have appealed the trial court’s denial of requests for recovery of costs arising from the litigation. The parties have completed briefing on the various appeals. The California State Court of Appeal for the Fourth Appellate District, Division Three, held a hearing on the various appeals on August 25, 2023. At this time, NextGen Healthcare is unable to estimate the probability or the amount of liability, if any, related to these claims. Merger Litigation On September 29, 2023 and October 3, 2023, purported stockholders Denise Redfield and Yadira Torres sent demand letters to the Company. These demand letters allege that NextGen Healthcare’s September 26, 2023 Proxy Statement is materially false or misleading because it omitted certain information related to the Company’s merger with Thoma Bravo, LP, including but not limited to information about the Company’s financial projections and analyses performed by NextGen’s financial advisor, Morgan Stanley. On October 7, 2023, October 10, 2023, and October 12, 2023, purported stockholders Toni Dougherty, Ryan O’Dell, and Elaine Wang filed three actions in the United States District Court for the Southern District of New York (Dougherty v. NextGen Healthcare, Inc., et al., Case No. 1:23-cv-08845, O’Dell v. NextGen Healthcare, Inc., et al., Case No. 1:23-cv-08895, and Wang v. NextGen Healthcare, Inc., et al., Case No. 1:23-cv-08982). On October 13, 2023, purported stockholders Michael Floyd and John McDaniels filed actions in the United States District Court for the District of Delaware (Floyd v. NextGen Healthcare, Inc., et al., Case No. 1:23-cv-01150, and McDaniels v. NextGen Healthcare, Inc., et al., Case No. 1:23-cv-01149). On October 12, 2023, October 13, 2023, and October 19, 2023, purported stockholders Michael Kent, Scott Young, and Rina Brodt sent demand letters to the Company. The complaints and demands allege that certain officers and directors of NextGen Healthcare violated Sections 14(a) and 20(a) of the Exchange Act by causing a materially incomplete and misleading registration statement to be filed with the SEC on October 6, 2023 in connection with NextGen Healthcare’s proposed merger with Thoma Bravo, L.P. In particular, the stockholders request that NextGen Healthcare make additional disclosures regarding certain information related to the Merger, including but not limited to financial projections and analyses performed by NextGen Healthcare’s financial advisor, Morgan Stanley. The Company may be involved in additional litigation related to the Merger. The Company believes that the allegations in the complaints and demands are without merit. However, the Company plans to issue supplemental disclosures to address the claims in the various complaints and demands. At this time, NextGen Healthcare is unable to estimate the probability or the amount of liability, if any, related to these claims. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation . The condensed consolidated financial statements include the accounts of NextGen Healthcare, Inc. and its wholly-owned subsidiaries (collectively, the “Company”). Each of the terms “NextGen Healthcare,” “NextGen,” “we,” “us,” or “our” as used herein refers collectively to the Company, unless otherwise stated. All intercompany accounts and transactions have been eliminated. |
Pending Merger | Pending Merger. On September 5, 2023, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with Next Holdco, LLC, a Delaware limited liability company (“Parent”), and Next Merger Sub, Inc., a Delaware corporation and direct wholly owned subsidiary of Parent (“Merger Sub”), pursuant to which, and on the terms and subject to the conditions thereof, Merger Sub will merge with and into the Company, with the Company surviving as a wholly owned subsidiary of Parent (the “Merger”). Parent and Merger Sub are affiliates of Thoma Bravo Discover Fund IV, L.P., an investment fund managed by Thoma Bravo, L.P. Subject to the terms and conditions of the Merger Agreement, each share of Company common stock, par value $ 0.01 per share that is issued and outstanding immediately prior to the effective time of the Merger (except for certain shares specified in the Merger Agreement) will be canceled and extinguished and automatically converted into the right to receive $ 23.95 per share in cash, without interest and subject to any applicable withholding taxes. Upon completion of the transaction, which is expected to close in the fourth calendar quarter of 2023, our common stock will no longer be listed on any public stock exchange. |
Basis of Presentation | Basis of Presentation. The accompanying unaudited condensed consolidated financial statements as of September 30, 2023 and for the three and six months ended September 30, 2023 have been prepared in accordance with the requirements of Quarterly Report on Form 10-Q and Article 10 of the Securities and Exchange Commission Regulation S-X and therefore do not include all information and notes which would be presented were such condensed consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements presented in our Annual Report on Form 10-K for the fiscal year ended March 31, 2023. In the opinion of management, the accompanying condensed consolidated financial statements reflect all adjustments which are necessary for a fair statement of the results of operations and cash flows for the periods presented. The results of operations for such interim periods are not necessarily indicative of results of operations to be expected for the full year. References to amounts in the condensed consolidated financial statement sections are in thousands, except shares and per share data, unless otherwise specified. |
Use of Estimates | Use of Estimates. The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), which requires us to make estimates and assumptions that affect the amounts reported and disclosed in the consolidated financial statements and the accompanying notes. Actual results could differ materially from these estimates. We evaluate our estimates on an ongoing basis. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and recording revenue and expenses during the period. |
Recent Accounting Standards | Recent Accounting Standards Not Yet Adopted . Recent accounting pronouncements requiring implementation in current or future periods are discussed below or in the notes, where applicable. We do not believe that any other recently issued, but not yet effective accounting standards, if adopted, would have a material impact on our condensed consolidated financial statements. |
Revenue Recognition and Performance Obligations | Revenue Recognition and Performance Obligations We generate revenue from sales of licensing rights and subscriptions to our software solutions, hardware and third-party software products, support and maintenance, managed services, transactional and data services, and other non-recurring services, including implementation, training, and consulting services. Our contracts with customers may include multiple performance obligations that consist of various combinations of our software solutions and related services, which are generally capable of being distinct and accounted for as separate performance obligations. The total transaction price is allocated to each performance obligation within a contract based on estimated standalone selling prices. We generally determine standalone selling prices based on the prices charged to customers, except for certain software licenses that are based on the residual approach because their standalone selling prices are highly variable and certain maintenance customers that are based on substantive renewal rates. In instances where standalone selling price is not sufficiently observable, such as revenue cycle management ("RCM") services and software licenses included in our RCM arrangements, we estimate standalone selling price utilizing an expected cost plus a margin approach. When standalone selling prices are not observable, significant judgment is required in estimating the standalone selling price for each performance obligation. Revenue is recognized when control of the promised goods or services is transferred to our customers in an amount that reflects the consideration that we expect to be entitled to in exchange for those goods or services. We exclude sales tax from the measurement of the transaction price and record revenue net of taxes collected from customers and subsequently remitted to governmental authorities. The following table presents our revenues disaggregated by our major revenue categories and by occurrence: |
Revenue Recognition | Recurring revenues consists of subscription services, support and maintenance, managed services, and transactional and data services. Software, hardware, and other non-recurring revenues consists of revenue from sales of software license and hardware and certain non-recurring services, such as implementation, training, and consulting performed for clients who use our products. We generally recognize revenue for our most significant performance obligations as follows: Subscription services. Performance obligations involving subscription services, which include annual libraries, are satisfied over time as the customer simultaneously receives and consumes the benefits of the services throughout the contract period. Our subscription services primarily include our software-as-a-service (“SaaS”) based offerings, such as our electronic health records and practice management, mobile, patient portal, and population health management solutions. Our SaaS-based offerings may include multiple goods and services, such as providing access to our technology-based solutions together with our managed cloud hosting services. These offerings are concurrently delivered with the same pattern of transfer to our customers and are accounted for as a single performance obligation because the technology-based solutions and other goods and services included within our overall SaaS-based offerings are each individually not capable of being distinct as the customer receives benefits based on the combined offering. Our annual libraries primarily consist of providing stand-ready access to certain content, knowledgebase, databases, and SaaS-based educational tools, which are frequently updated to meet the most current standards and requirements, to be utilized in conjunction with our core solutions. We recognize revenue related to these subscription services, including annual libraries, ratably over the respective noncancelable contract term. Support and maintenance. Performance obligations involving support and maintenance are satisfied over time as the customer simultaneously receives and consumes the benefits of the maintenance services provided. Our support and maintenance services may consist of separate performance obligations, such as unspecified upgrades or enhancements and technical support, which are considered stand-ready in nature and can be offered at various points during the service period. Since the efforts associated with the combined support and maintenance services are rendered concurrently and provided evenly throughout the service period, we consider the series of support and maintenance services to be a single performance obligation. Therefore, we recognize revenue related to these services ratably over the respective noncancelable contract term. Managed services. Managed services consist primarily of RCM and related services, but also includes our hosting services, which we refer to as managed cloud services, transcription services, and certain other recurring services. Performance obligations associated with RCM services are satisfied over time as the customer simultaneously receives and consumes the benefits of the services executed throughout the contract period. The majority of service fees under our RCM arrangements are variable consideration contingent upon collections by our clients. We estimate the variable consideration which we expect to be entitled to over the noncancelable contract term associated with our RCM service arrangements. The estimate of variable consideration included in the transaction price typically involves estimating the amounts we will ultimately collect on behalf of our clients and the relative fee we charge that is generally calculated as a percentage of those collections. Inputs to these estimates include, but are not limited to, historical service fees and collections amounts, timing of historical collections relative to the timing of when claims are submitted by our clients to their respective payers, macroeconomic trends, and anticipated changes in the number of providers. Significant judgment is required when estimating the total transaction price based on the variable consideration. We may apply certain constraints when appropriate whereby we include in the transaction price estimated variable consideration only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. Such estimates are assessed at the contract level. RCM and related services may not be rendered evenly over the contract period as the timing of services are based on customer collections, which may vary throughout the service period. We recognize revenue for RCM based on the amount of collections received throughout the contract term as it most closely depicts our efforts to transfer our service obligations to the customer. Our managed cloud services represent a single performance obligation to provide cloud hosting services to our customers and related revenue is recognized ratably over the respective noncancelable contract term. Performance obligations related to the transcription services, and other recurring services are satisfied as the corresponding services are provided and revenue is recognized as such services are rendered. Transactional and data services. Performance obligations related to transactional and data services, including electronic data interchange (“EDI”), patient pay, and other transaction processing services are satisfied at the point in time the services are rendered or delivered. The transfer of control occurs when the transactional and data services are delivered and the customer receives the benefits from the services provided. Revenue is recognized as such services are rendered. Beginning in fiscal year 2023, to align the presentation of disaggregated revenue with the manner in which management reviews such information, the presentation of disaggregated revenues by major revenue categories was revised to reclassify revenues related to patient pay services and certain other services from the managed services category into the transactional and data services category, which replaced the prior EDI and data services category. The prior period presentation of revenues disaggregated by major revenue categories and by occurrence above has been reclassified to conform with current period presentation. Software license and hardware. Software license and hardware are considered point-in-time performance obligations as control is transferred to customers upon the delivery of the software license and hardware. Our software licenses are considered functional licenses, and revenue recognition generally occurs on the date of contract execution as the customer is provided with immediate access to the license. We generally determine the amount of consideration allocated to the software license performance obligation using the residual approach, except for certain RCM arrangements where the amount allocated to the software license performance obligation is determined based on estimated relative standalone selling prices. For hardware, we recognize revenue upon transfer of such hardware or devices to the customer. Other non-recurring services. Performance obligations related to other non-recurring services, including implementation, training, and consulting services, are generally satisfied as the corresponding services are provided. Once the services have been provided to the customer, the transfer of control has occurred. Therefore, we recognize revenue as such services are rendered. |
Non-Recurring Fair Value Measurements | Non-Recurring Fair Value Measurements We have certain assets, including goodwill and other intangible assets, which are measured at fair value on a non-recurring basis and are adjusted to fair value only if an impairment charge is recognized. The categorization of the framework used to measure fair value of the assets is considered to be within the Level 3 valuation hierarchy due to the subjective nature of the unobservable inputs used. |
Leases | Our leasing arrangements are reflected on the balance sheet as right-of-use assets and liabilities pertaining to the rights and obligations created by the leased assets. Right-of-use lease assets and corresponding lease liabilities are recognized at commencement date based on the present value of lease payments over the expected lease term. Since the interest rate implicit in our lease arrangements is not readily determinable, we determine an incremental borrowing rate for each lease based on the approximate interest rate on a collateralized basis with similar remaining terms and payments as of the lease commencement date to determine the present value of future lease payments. Our lease terms may include options to extend or terminate the lease. Currently, it is not reasonably certain that we will exercise those options and therefore, we utilize the initial, noncancelable, lease term to calculate the lease assets and corresponding liabilities for all our leases. Operating right-of-use lease assets are classified as operating lease assets on our consolidated balance sheets. We determine whether an arrangement is a lease at inception and classify it as finance or operating. All of our existing material leases are classified as operating leases. Our leases do not contain any residual value guarantees. Our lease agreements generally contain lease and non-lease components. Non-lease components primarily include payments for maintenance and utilities. We have applied the practical expedient to combine fixed payments for non-lease components with our lease payments for all of our leases and account for them together as a single lease component, which increases the amount of our lease assets and corresponding liabilities. Payments under our lease arrangements are primarily fixed, however, certain lease agreements contain variable payments, which are expensed as incurred and not included in the operating lease assets and liabilities. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Revenues Disaggregated by Major Revenue Categories and by Occurrence | The following table presents our revenues disaggregated by our major revenue categories and by occurrence: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Recurring revenues: Subscription services $ 50,263 $ 43,416 $ 102,761 $ 86,175 Support and maintenance 37,561 38,150 76,070 77,288 Managed services 35,063 31,055 69,822 61,700 Transactional and data services 38,429 30,882 76,037 58,099 Total recurring revenues 161,316 143,503 324,690 283,262 Software, hardware, and other non-recurring revenues: Software license and hardware 5,521 7,916 10,492 14,115 Other non-recurring services 9,581 8,024 19,443 15,368 Total software, hardware and other non-recurring revenues 15,102 15,940 29,935 29,483 Total revenues $ 176,418 $ 159,443 $ 354,625 $ 312,745 |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
Summary of Accounts Receivable | Accounts receivable includes invoiced amounts where the right to receive payment is unconditional and only subject to the passage of time. Allowance for credit losses are reported as a component of accounts receivable as summarized below: September 30, 2023 March 31, 2023 Accounts receivable, gross $ 93,289 $ 92,360 Allowance for credit losses ( 4,012 ) ( 3,862 ) Accounts receivable, net $ 89,277 $ 88,498 |
Summary of Changes in Allowance for Doubtful Accounts | The following table represents the changes in the allowance for credit losses, as of and for the three months ended September 30, 2023: Balance as of June 30, 2023 $ ( 3,906 ) Additions charged to costs and expenses ( 951 ) Deductions 845 Balance as of September 30, 2023 $ ( 4,012 ) The following table represents the changes in the allowance for credit losses, as of and for the six months ended September 30, 2023: Balance as of March 31, 2023 $ ( 3,862 ) Additions charged to costs and expenses ( 1,826 ) Deductions 1,676 Balance as of September 30, 2023 $ ( 4,012 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Assets and Liabilities on a Recurring Basis | The following tables set forth by level within the fair value hierarchy our financial assets and liabilities that were accounted for at fair value on a recurring basis at September 30, 2023 and March 31, 2023: Balance At Quoted Prices Significant Other Unobservable September 30, 2023 (Level 1) (Level 2) (Level 3) ASSETS Cash and money market funds $ 52,077 $ 52,077 $ — $ — Commercial paper 1,790 — 1,790 — Total cash and cash equivalents 53,867 52,077 1,790 — Restricted cash and cash equivalents 4,914 4,914 — — United States treasury securities 70,937 — 70,937 — Agency securities 32,732 — 32,732 — Corporate notes and bonds 25,984 — 25,984 — Commercial paper 16,779 — 16,779 — Total marketable securities 146,432 — 146,432 — TOTAL ASSETS $ 205,213 $ 56,991 $ 148,222 $ — LIABILITIES Contingent consideration related to acquisitions $ 4,200 $ — $ — $ 4,200 Convertible senior notes, net, noncurrent 267,565 — 267,565 — TOTAL LIABILITIES $ 271,765 $ — $ 267,565 $ 4,200 Balance At Quoted Prices Significant Other Unobservable March 31, 2023 (Level 1) (Level 2) (Level 3) ASSETS Cash and money market funds $ 73,754 $ 73,754 $ — $ — Commercial paper 10,795 — 10,795 — United States treasury securities 9,979 — 9,979 — Corporate notes and bonds 3,349 — 3,349 — Agency securities 842 — 842 — Total cash and cash equivalents 98,719 73,754 24,965 — Restricted cash and cash equivalents 7,269 7,269 — — United States treasury securities 56,890 — 56,890 — Agency securities 37,991 — 37,991 — Corporate notes and bonds 26,590 — 26,590 — Commercial paper 18,141 — 18,141 — Total marketable securities 139,612 — 139,612 — TOTAL ASSETS $ 245,600 $ 81,023 $ 164,577 $ — LIABILITIES Contingent consideration related to acquisitions $ 3,800 $ — $ — $ 3,800 Convertible senior notes, net, noncurrent 266,843 — 266,843 — TOTAL LIABILITIES $ 270,643 $ — $ 266,843 $ 3,800 |
Financial Assets and Liabilities Measured At Fair Value Using Significant Unobservable Inputs (Level 3) | The following table presents activity in our financial assets and liabilities measured at fair value using significant unobservable inputs (Level 3), as of and for the three months ended September 30, 2023: Total Liabilities Balance as of March 31, 2023 $ 3,800 Fair value adjustments 400 Balance as of September 30, 2023 $ 4,200 |
Investments (Tables)
Investments (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Fair Value of Investments and Marketable Securities | The following table summarizes the fair value of our investments and marketable securities as of September 30, 2023: September 30, 2023 Amortized Cost Fair Value Commercial paper $ 1,790 $ 1,790 Money market funds 20,477 20,477 Total cash and cash equivalents 22,267 22,267 United States treasury securities 70,937 70,937 Agency securities 32,732 32,732 Corporate notes and bonds 25,984 25,984 Commercial paper 16,779 16,779 Total marketable securities 146,432 146,432 Total investments $ 168,699 $ 168,699 March 31, 2023 Amortized Cost Unrealized Gains Unrealized Losses Fair Value Commercial paper $ 10,795 $ — $ — $ 10,795 United States treasury securities 9,977 2 — 9,979 Money market funds 5,976 — — 5,976 Corporate notes and bonds 3,349 — — 3,349 Agency securities 842 — — 842 Total cash and cash equivalents 30,939 2 — 30,941 United States treasury securities 56,795 99 ( 4 ) 56,890 Agency securities 37,999 16 ( 24 ) 37,991 Corporate notes and bonds 26,631 14 ( 55 ) 26,590 Commercial paper 18,147 — ( 6 ) 18,141 Total marketable securities 139,572 129 ( 89 ) 139,612 Total investments $ 170,511 $ 131 $ ( 89 ) $ 170,553 |
Summary of Contractual Maturities of Investments and Marketable Securities | The following table presents the contractual maturities of our investments and marketable securities as September 30, 2023: Amortized Cost Fair Value Due within one year $ 123,457 $ 123,457 Due after one year through five years 45,242 45,242 Total 168,699 168,699 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Summary of Components of Operating Lease Costs | Components of operating lease costs are summarized as follows: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Operating lease costs $ 393 $ 788 $ 1,014 $ 1,737 Variable lease costs 138 160 319 334 Less: Sublease income ( 300 ) ( 240 ) ( 627 ) ( 421 ) Total operating lease costs $ 231 $ 708 $ 706 $ 1,650 |
Supplemental Cash Flow Information Related to Operating Leases | Supplemental cash flow information related to operating leases is summarized as follows: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Cash paid for amounts included in the measurement of operating lease liabilities $ 983 $ 2,225 $ 2,127 $ 4,533 Operating lease assets obtained in exchange for operating lease liabilities — — 585 — |
Summary of Future Minimum Aggregate Lease Payments Operating Leases | Future minimum aggregate lease payments under operating leases as of September 30, 2023 are summarized as follows: For the year ended March 31, 2024 $ 1,815 2025 3,520 2026 572 2027 143 2028 150 2029 and beyond 13 Total future lease payments 6,213 Less interest ( 278 ) Total lease liabilities $ 5,935 |
Business Combinations and Dis_2
Business Combinations and Disposals (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Business Disposition [Abstract] | |
Summary of Purchase Price Allocation | Purchase Price Initial purchase price $ 50,449 Fair value of contingent consideration 3,700 Payment for option to early terminate lease 2,000 Working capital adjustment ( 430 ) Total purchase price $ 55,719 Fair value of the net tangible assets acquired and liabilities assumed: Cash and cash equivalents $ 717 Accounts receivable 2,011 Contract assets 1,415 Prepaid expense and other assets 308 Equipment and improvements 879 Contract assets, net of current 2,581 Operating lease assets 957 Deferred income tax asset 1,028 Other assets 50 Accounts payable ( 1,773 ) Accrued compensation and related benefits ( 917 ) Contract liabilities ( 6,247 ) Operating lease liabilities ( 533 ) Other current liabilities ( 964 ) Contract liabilities, net of current ( 11,644 ) Operating lease liabilities, net of current ( 639 ) Total net tangible assets acquired and liabilities assumed ( 12,771 ) Fair value of identifiable intangible assets acquired: Goodwill 54,790 Re-acquired rights 6,250 Customer relationships 5,500 Data health database 1,950 Total identifiable intangible assets acquired 68,490 Total purchase price $ 55,719 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets, Other than Capitalized Software Development Costs | Our definite-lived intangible assets, other than capitalized software development costs, are summarized as follows: September 30, 2023 Customer Trade Names Software Re-acquired Rights Data Health Database Total Gross carrying amount $ 44,700 $ 250 $ 22,500 $ 6,250 $ 1,950 $ 75,650 Accumulated amortization ( 34,489 ) ( 191 ) ( 14,646 ) ( 1,302 ) ( 542 ) ( 51,170 ) Net intangible assets $ 10,211 $ 59 $ 7,854 $ 4,948 $ 1,408 $ 24,480 March 31, 2023 Customer Trade Names Software Re-acquired Rights Data Health Database Total Gross carrying amount $ 44,700 $ 250 $ 25,700 $ 6,250 $ 1,950 $ 78,850 Accumulated amortization ( 32,918 ) ( 166 ) ( 16,060 ) ( 521 ) ( 217 ) ( 49,882 ) Net intangible assets $ 11,782 $ 84 $ 9,640 $ 5,729 $ 1,733 $ 28,968 |
Estimated Amortization of Intangible Assets with Determinable Lives | The following table summarizes the remaining estimated amortization of definite-lived intangible assets as of September 30, 2023: Estimated Remaining Amortization Expense Operating Cost of Total For the year ended March 31, 2024 $ 2,377 $ 2,111 $ 4,488 2025 4,180 4,223 8,403 2026 3,596 2,684 6,280 2027 2,232 244 2,476 2028 and beyond 2,833 — 2,833 Total $ 15,218 $ 9,262 $ 24,480 |
Capitalized Software Costs (Tab
Capitalized Software Costs (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Research and Development [Abstract] | |
Capitalized Software Development Costs | Our capitalized software costs are summarized as follows: September 30, 2023 March 31, 2023 Gross carrying amount $ 139,371 $ 131,791 Accumulated amortization ( 79,496 ) ( 77,275 ) Net capitalized software costs $ 59,875 $ 54,516 |
Estimated Amortization of Capitalized Software Costs | The following table presents the remaining estimated amortization of capitalized software costs as of September 30, 2023. The estimated amortization is comprised of (i) amortization of released products and (ii) the expected amortization for products that are not yet available for sale based on their estimated economic lives and projected general release dates. For the year ended March 31, 2024 $ 17,100 2025 24,100 2026 13,400 2027 5,275 Total $ 59,875 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Notes Recorded Net of Issuance Costs | The Notes are recorded net of issuance costs as noncurrent liabilities in the consolidated balance sheets. The net carrying value of the Notes are as follows: September 30, 2023 March 31, 2023 Principal amount $ 275,000 $ 275,000 Unamortized issuance costs ( 7,435 ) ( 8,157 ) Carrying value, net $ 267,565 $ 266,843 |
Composition of Certain Financ_2
Composition of Certain Financial Statement Captions (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Cash, Cash Equivalents, and Restricted Cash | Cash, cash equivalents, and restricted cash are summarized as follows: September 30, 2023 March 31, 2023 Cash and cash equivalents $ 53,867 $ 98,719 Restricted cash and cash equivalents 4,914 7,269 Cash, cash equivalents, and restricted cash $ 58,781 $ 105,988 |
Summary of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets are summarized as follows: September 30, 2023 March 31, 2023 Prepaid expenses $ 22,673 $ 26,365 Capitalized commissions costs 14,363 13,813 Accrued interest on marketable securities 916 699 Other current assets 1,732 2,039 Prepaid expenses and other current assets $ 39,684 $ 42,916 |
Summary of Equipment and Improvements | Equipment and improvements are summarized as follows: September 30, 2023 March 31, 2023 Computer equipment $ 34,503 $ 35,019 Internal-use software 20,689 20,064 Leasehold improvements 4,542 7,067 Furniture and fixtures 2,787 4,871 Equipment and improvements, gross 62,521 67,021 Accumulated depreciation and amortization ( 57,582 ) ( 60,600 ) Equipment and improvements, net $ 4,939 $ 6,421 |
Summary of Other Assets | Other assets are summarized as follows: September 30, 2023 March 31, 2023 Capitalized commission costs $ 27,499 $ 26,104 Deposits 7,478 7,447 Debt issuance costs 1,244 1,498 Other noncurrent assets 9,996 9,189 Other assets $ 46,217 $ 44,238 |
Summary of Accrued Compensation and Related Benefits | Accrued compensation and related benefits are summarized as follows: September 30, 2023 March 31, 2023 Accrued bonus $ 11,670 $ 15,550 Accrued vacation 13,244 13,271 Accrued commissions 3,148 5,166 Accrued payroll and other 345 2,254 Accrued compensation and related benefits $ 28,407 $ 36,241 |
Summary of Other Current and Noncurrent Liabilities | Other current and noncurrent liabilities are summarized as follows: September 30, 2023 March 31, 2023 Accrued acquisition costs $ 7,861 $ — Customer credit balances and deposits 7,136 5,417 Sales returns reserves and other customer liabilities 5,614 5,390 Care services liabilities 4,914 7,269 Accrued interest payable 4,081 4,244 Accrued hosting costs 3,553 873 Accrued EDI expense 3,068 3,064 Accrued outsourcing costs 2,785 3,023 Accrued employee benefits and withholdings 2,667 3,195 Accrued self insurance expense 2,299 2,359 Accrued consulting and outside services 2,002 3,957 Accrued royalties 1,838 3,248 Accrued legal expense 907 782 Accrued taxes payable 309 1,746 Accrued legal settlement (1) - 33,990 Other accrued expenses 5,963 5,242 Other current liabilities $ 54,997 $ 83,799 Contingent consideration related to acquisitions, noncurrent $ 4,200 $ 3,800 Uncertain tax positions 4,195 3,950 Other liabilities 642 524 Other noncurrent liabilities $ 9,037 $ 8,274 (1) Refer to Note 17, "Commitments, Guarantees and Contingencies" for more details. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Weighted Average Shares Outstanding for Basic and Diluted Net Income Per Share | The presentation of “basic” and “diluted” earnings per share is provided below. Share amounts below are in thousands. Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Earnings per share — Basic: Net income $ 5,055 $ 13,623 $ 11,211 $ 14,771 Weighted-average shares outstanding — Basic 67,074 67,806 66,749 67,698 Net income per common share — Basic $ 0.08 $ 0.20 $ 0.17 $ 0.22 Earnings per share — Diluted: Net income $ 5,055 $ 13,623 $ 11,211 $ 14,771 Weighted-average shares outstanding 67,074 67,806 66,749 67,698 Effect of potentially dilutive securities from equity incentive plans 616 616 531 655 Weighted-average shares outstanding — Diluted 67,690 68,422 67,280 68,353 Net income per common share — Diluted $ 0.07 $ 0.20 $ 0.17 $ 0.22 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Sep. 30, 2023 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stock-Based Compensation Expense | The following table summarizes total share-based compensation expense included in the condensed consolidated statements of net income and comprehensive income for the three and six months ended September 30, 2023 and 2022: Three Months Ended September 30, Six Months Ended September 30, 2023 2022 2023 2022 Costs and expenses: Cost of revenue $ 1,036 $ 951 $ 1,878 $ 1,514 Research and development costs 1,183 1,655 1,838 3,238 Selling, general and administrative 7,247 6,081 13,706 12,701 Total share-based compensation 9,466 8,687 17,422 17,453 Income tax benefit ( 2,250 ) ( 2,078 ) ( 4,144 ) ( 4,123 ) Decrease in net income $ 7,216 $ 6,609 $ 13,278 $ 13,330 |
Summary of Restricted Stock Awards Activity | Restricted stock awards activity during the six months ended September 30, 2023 is summarized as follows: Restricted Stock Award Activity Weighted- Average Grant-Date Number of Fair Value Shares per Share Outstanding, March 31, 2023 3,297,512 $ 16.72 Granted 1,436,071 15.57 Vested ( 1,086,41 3 ) 15.66 Canceled ( 143,646 ) 16.50 Outstanding, September 30, 2023 3,503,524 $ 16.59 |
Summary of Stock Option Activity | The following table summarizes the stock option transactions during the six months ended September 30, 2023: Weighted- Weighted- Average Average Aggregate Exercise Remaining Intrinsic Number of Price Contractual Value Shares per Share Life (years) (in thousands) Outstanding, March 31, 2023 1,130,813 $ 14.75 1.7 $ 3,011 Exercised ( 201,824 ) 14.33 1.3 $ 254 Forfeited/Canceled ( 500 ) — Expired ( 4,700 ) 16.64 Outstanding, September 30, 2023 923,789 $ 14.83 1.5 $ 8,224 Vested and expected to vest, September 30, 2023 923,789 $ 14.83 1.5 $ 8,224 Exercisable, September 30, 2023 923,789 $ 14.83 1.5 $ 8,224 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional Information (Details) - $ / shares | Sep. 05, 2023 | Sep. 30, 2023 | Mar. 31, 2023 |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Common stock, par value (in USD per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Price per share | $ 23.95 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Schedule of Revenues Disaggregated by Major Revenue Categories and by Occurrence (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | $ 176,418 | $ 159,443 | $ 354,625 | $ 312,745 |
Subscription Services | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | 50,263 | 43,416 | 102,761 | 86,175 |
Support And Maintenance | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | 37,561 | 38,150 | 76,070 | 77,288 |
Managed Services | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | 35,063 | 31,055 | 69,822 | 61,700 |
Transactional And Data Services | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | 38,429 | 30,882 | 76,037 | 58,099 |
Recurring Revenue | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | 161,316 | 143,503 | 324,690 | 283,262 |
Software License and Hardware | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | 5,521 | 7,916 | 10,492 | 14,115 |
Other Non-recurring Services | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | 9,581 | 8,024 | 19,443 | 15,368 |
Software, hardware, and other non-recurring | ||||
Disaggregation Of Revenue [Line Items] | ||||
Total revenues | $ 15,102 | $ 15,940 | $ 29,935 | $ 29,483 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Revenue From Contract With Customer [Line Items] | ||||
Revenue, Remaining Performance Obligation, Amount | $ 726,000 | $ 563,900 | $ 726,000 | $ 563,900 |
Percentage of revenue expected to recognize as services rendered and goods delivered | 6% | 9% | 6% | 9% |
Percentage of revenue expected to recognize over next 12 months | 53% | 51% | 53% | 51% |
Contract liability balance or invoiced to customers | $ 18,672 | $ 17,521 | $ 36,917 | $ 35,245 |
Capitalized commission costs | 41,862 | |||
Commission expenses | $ 4,356 | $ 3,634 | 8,329 | $ 7,121 |
Prepaid Expenses And Other Current Assets | ||||
Revenue From Contract With Customer [Line Items] | ||||
Capitalized commission costs | 14,363 | |||
Other Noncurrent Assets | ||||
Revenue From Contract With Customer [Line Items] | ||||
Capitalized commission costs | $ 27,498 | |||
Minimum | ||||
Revenue From Contract With Customer [Line Items] | ||||
Capitalized contract cost, amortization period | 1 year | 1 year | ||
Maximum | ||||
Revenue From Contract With Customer [Line Items] | ||||
Capitalized contract cost, amortization period | 5 years | 5 years |
Accounts Receivable - Summary o
Accounts Receivable - Summary of Accounts Receivable (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 |
Receivables [Abstract] | |||
Accounts receivable, gross | $ 93,289 | $ 92,360 | |
Allowance for credit losses | (4,012) | $ (3,906) | (3,862) |
Accounts receivable, net | $ 89,277 | $ 88,498 |
Accounts Receivable - Summary_2
Accounts Receivable - Summary of Changes in Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | |
Receivables [Abstract] | |||
Balance | $ (3,906) | $ (3,862) | |
Additions charged to costs and expenses | (951) | (1,826) | $ (600) |
Deductions | 845 | 1,676 | |
Balance | $ (4,012) | $ (4,012) |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value of Assets and Liabilities on a Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
ASSETS | ||
Marketable securities | $ 146,432 | $ 139,612 |
LIABILITIES | ||
Convertible senior notes, net, noncurrent | 267,565 | 266,843 |
Fair Value, Measurements, Recurring | Carrying Value | ||
ASSETS | ||
Cash and cash equivalents | 53,867 | 98,719 |
Restricted cash and cash equivalents | 4,914 | 7,269 |
Marketable securities | 146,432 | 139,612 |
Total | 205,213 | 245,600 |
LIABILITIES | ||
Contingent consideration related to acquisitions | 4,200 | 3,800 |
Convertible senior notes, net, noncurrent | 267,565 | 266,843 |
Total | 271,765 | 270,643 |
Fair Value, Measurements, Recurring | Carrying Value | Cash and Money Market Funds | ||
ASSETS | ||
Cash and cash equivalents | 52,077 | 73,754 |
Fair Value, Measurements, Recurring | Carrying Value | Commercial Paper | ||
ASSETS | ||
Cash and cash equivalents | 1,790 | 10,795 |
Marketable securities | 16,779 | 18,141 |
Fair Value, Measurements, Recurring | Carrying Value | United States Treasury Securities | ||
ASSETS | ||
Cash and cash equivalents | 9,979 | |
Marketable securities | 70,937 | 56,890 |
Fair Value, Measurements, Recurring | Carrying Value | Corporate Notes and Bonds | ||
ASSETS | ||
Cash and cash equivalents | 3,349 | |
Marketable securities | 25,984 | 26,590 |
Fair Value, Measurements, Recurring | Carrying Value | Agency Securities | ||
ASSETS | ||
Cash and cash equivalents | 842 | |
Marketable securities | 32,732 | 37,991 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Fair Value | ||
ASSETS | ||
Cash and cash equivalents | 52,077 | 73,754 |
Restricted cash and cash equivalents | 4,914 | 7,269 |
Marketable securities | 0 | 0 |
Total | 56,991 | 81,023 |
LIABILITIES | ||
Contingent consideration related to acquisitions | 0 | 0 |
Convertible senior notes, net, noncurrent | 0 | 0 |
Total | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Fair Value | Cash and Money Market Funds | ||
ASSETS | ||
Cash and cash equivalents | 52,077 | 73,754 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Fair Value | Commercial Paper | ||
ASSETS | ||
Cash and cash equivalents | 0 | 0 |
Marketable securities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Fair Value | United States Treasury Securities | ||
ASSETS | ||
Cash and cash equivalents | 0 | |
Marketable securities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Fair Value | Corporate Notes and Bonds | ||
ASSETS | ||
Cash and cash equivalents | 0 | |
Marketable securities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fair Value, Measurements, Recurring | Fair Value | Agency Securities | ||
ASSETS | ||
Cash and cash equivalents | 0 | |
Marketable securities | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Fair Value | ||
ASSETS | ||
Cash and cash equivalents | 1,790 | 24,965 |
Restricted cash and cash equivalents | 0 | 0 |
Marketable securities | 146,432 | 139,612 |
Total | 148,222 | 164,577 |
LIABILITIES | ||
Contingent consideration related to acquisitions | 0 | 0 |
Convertible senior notes, net, noncurrent | 267,565 | 266,843 |
Total | 267,565 | 266,843 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Fair Value | Cash and Money Market Funds | ||
ASSETS | ||
Cash and cash equivalents | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Fair Value | Commercial Paper | ||
ASSETS | ||
Cash and cash equivalents | 1,790 | 10,795 |
Marketable securities | 16,779 | 18,141 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Fair Value | United States Treasury Securities | ||
ASSETS | ||
Cash and cash equivalents | 9,979 | |
Marketable securities | 70,937 | 56,890 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Fair Value | Corporate Notes and Bonds | ||
ASSETS | ||
Cash and cash equivalents | 3,349 | |
Marketable securities | 25,984 | 26,590 |
Significant Other Observable Inputs (Level 2) | Fair Value, Measurements, Recurring | Fair Value | Agency Securities | ||
ASSETS | ||
Cash and cash equivalents | 842 | |
Marketable securities | 32,732 | 37,991 |
Unobservable Inputs (Level 3) | ||
ASSETS | ||
Total | 0 | |
LIABILITIES | ||
Total | 0 | |
Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Fair Value | ||
ASSETS | ||
Cash and cash equivalents | 0 | 0 |
Restricted cash and cash equivalents | 0 | 0 |
Marketable securities | 0 | 0 |
Total | 0 | 0 |
LIABILITIES | ||
Contingent consideration related to acquisitions | 4,200 | 3,800 |
Convertible senior notes, net, noncurrent | 0 | 0 |
Total | 4,200 | 3,800 |
Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Fair Value | Cash and Money Market Funds | ||
ASSETS | ||
Cash and cash equivalents | 0 | 0 |
Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Fair Value | Commercial Paper | ||
ASSETS | ||
Cash and cash equivalents | 0 | 0 |
Marketable securities | 0 | 0 |
Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Fair Value | United States Treasury Securities | ||
ASSETS | ||
Cash and cash equivalents | 0 | |
Marketable securities | 0 | 0 |
Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Fair Value | Corporate Notes and Bonds | ||
ASSETS | ||
Cash and cash equivalents | 0 | |
Marketable securities | 0 | 0 |
Unobservable Inputs (Level 3) | Fair Value, Measurements, Recurring | Fair Value | Agency Securities | ||
ASSETS | ||
Cash and cash equivalents | 0 | |
Marketable securities | $ 0 | $ 0 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Assets and Liabilities Measured At Fair Value Using Significant Unobservable Inputs (Level 3) (Details) $ in Thousands | 6 Months Ended |
Sep. 30, 2023 USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Abstract] | |
Balance | $ (3,800) |
Fair value adjustments | (400) |
Balance | $ (4,200) |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) $ in Thousands | 6 Months Ended |
Sep. 30, 2023 USD ($) | |
Business Acquisition [Line Items] | |
Change in fair value of contingent consideration | $ 400 |
Unobservable Inputs (Level 3) | |
Business Acquisition [Line Items] | |
Assets | 0 |
Liabilities | 0 |
Unobservable Inputs (Level 3) | TSI Healthcare, LLC [Member] | |
Business Acquisition [Line Items] | |
Fair value of contingent consideration | 4,200 |
Change in fair value of contingent consideration | $ 400 |
Investments - Summary of Fair V
Investments - Summary of Fair Value of Investments and Marketable Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Marketable Securities [Line Items] | ||
Cash and cash equivalents, Amortized Cost | $ 53,867 | $ 98,719 |
Marketable securities, Amortized Cost | 146,432 | 139,572 |
Marketable securities, Unrealized Gains | 129 | |
Marketable securities, Unrealized Losses | (89) | |
Marketable securities, Fair Value | 146,432 | 139,612 |
Investments, Amortized Cost | 168,699 | 170,511 |
Investments, Unrealized Gains | 131 | |
Investments, Unrealized Losses | (89) | |
Investments, Fair Value | 168,699 | 170,553 |
Commercial Paper | ||
Marketable Securities [Line Items] | ||
Cash and cash equivalents, Amortized Cost | 1,790 | 10,795 |
Cash and cash equivalents, Unrealized Gains | 0 | |
Cash and cash equivalents, Unrealized Losses | 0 | |
Cash and cash equivalents, Fair Value | 1,790 | 10,795 |
Marketable securities, Amortized Cost | 16,779 | 18,147 |
Marketable securities, Unrealized Gains | 0 | |
Marketable securities, Unrealized Losses | (6) | |
Marketable securities, Fair Value | 16,779 | 18,141 |
United States Treasury Securities | ||
Marketable Securities [Line Items] | ||
Cash and cash equivalents, Amortized Cost | 9,977 | |
Cash and cash equivalents, Unrealized Gains | 2 | |
Cash and cash equivalents, Unrealized Losses | 0 | |
Cash and cash equivalents, Fair Value | 9,979 | |
Marketable securities, Amortized Cost | 70,937 | 56,795 |
Marketable securities, Unrealized Gains | 99 | |
Marketable securities, Unrealized Losses | (4) | |
Marketable securities, Fair Value | 70,937 | 56,890 |
Money Market Funds | ||
Marketable Securities [Line Items] | ||
Cash and cash equivalents, Amortized Cost | 20,477 | 5,976 |
Cash and cash equivalents, Unrealized Gains | 0 | |
Cash and cash equivalents, Unrealized Losses | 0 | |
Cash and cash equivalents, Fair Value | 20,477 | 5,976 |
Corporate Notes and Bonds | ||
Marketable Securities [Line Items] | ||
Cash and cash equivalents, Amortized Cost | 3,349 | |
Cash and cash equivalents, Unrealized Gains | 0 | |
Cash and cash equivalents, Unrealized Losses | 0 | |
Cash and cash equivalents, Fair Value | 3,349 | |
Marketable securities, Amortized Cost | 25,984 | 26,631 |
Marketable securities, Unrealized Gains | 14 | |
Marketable securities, Unrealized Losses | (55) | |
Marketable securities, Fair Value | 25,984 | 26,590 |
Cash and Cash Equivalents | ||
Marketable Securities [Line Items] | ||
Cash and cash equivalents, Amortized Cost | 22,267 | 30,939 |
Cash and cash equivalents, Unrealized Gains | 2 | |
Cash and cash equivalents, Unrealized Losses | 0 | |
Cash and cash equivalents, Fair Value | 22,267 | 30,941 |
Agency Securities | ||
Marketable Securities [Line Items] | ||
Cash and cash equivalents, Amortized Cost | 842 | |
Cash and cash equivalents, Unrealized Gains | 0 | |
Cash and cash equivalents, Unrealized Losses | 0 | |
Cash and cash equivalents, Fair Value | 842 | |
Marketable securities, Amortized Cost | 32,732 | 37,999 |
Marketable securities, Unrealized Gains | 16 | |
Marketable securities, Unrealized Losses | (24) | |
Marketable securities, Fair Value | $ 32,732 | $ 37,991 |
Investments - Summary of Contra
Investments - Summary of Contractual Maturities of Investments and Marketable Securities (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
Investments, Debt and Equity Securities [Abstract] | |
Due within one year, Amortized Cost | $ 123,457 |
Due after one year through five years, Amortized Cost | 45,242 |
Total, Amortized Cost | 168,699 |
Due within one year, Fair Value | 123,457 |
Due after one year through five years, Fair Value | 45,242 |
Total, Fair Value | $ 168,699 |
Investments - Additional Inform
Investments - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Sep. 30, 2023 | Jun. 30, 2023 | Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |||
Unrealized loss on marketable securities, net of tax | $ 734 | $ (776) | $ (42) |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Lessee Lease Description [Line Items] | ||||
Total operating lease costs | $ 231 | $ 708 | $ 706 | $ 1,650 |
Operating lease, weighted average remaining lease term | 1 year 10 months 24 days | 1 year 10 months 24 days | ||
Operating lease, weighted average discount rate, percent | 4.40% | 4.40% | ||
Lease Right of Use Assets and Property Plant and Equipment | ||||
Lessee Lease Description [Line Items] | ||||
Other asset impairment charges | $ 166 | $ 805 | $ 525 | $ 1,329 |
Minimum | ||||
Lessee Lease Description [Line Items] | ||||
Lease expiration year | 2024 | |||
Maximum | ||||
Lessee Lease Description [Line Items] | ||||
Lease expiration year | 2028 |
Leases - Summary of Components
Leases - Summary of Components of Operating Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Leases [Abstract] | ||||
Operating lease costs | $ 393 | $ 788 | $ 1,014 | $ 1,737 |
Variable lease costs | 138 | 160 | 319 | 334 |
Less: Sublease income | (300) | (240) | (627) | (421) |
Total operating lease costs | $ 231 | $ 708 | $ 706 | $ 1,650 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information Related to Operating Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Leases [Abstract] | ||||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 983 | $ 2,225 | $ 2,127 | $ 4,533 |
Operating lease assets obtained in exchange for operating lease liabilities | $ 585 |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Aggregate Lease Payments Operating Leases (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
Leases [Abstract] | |
2024 | $ 1,815 |
2025 | 3,520 |
2026 | 572 |
2027 | 143 |
2028 | 150 |
2029 and beyond | 13 |
Total future lease payments | 6,213 |
Less interest | (278) |
Total lease liabilities | $ 5,935 |
Business Combinations and Dis_3
Business Combinations and Disposals - Additional Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |||
Nov. 30, 2022 | Jul. 26, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Business Acquisition [Line Items] | ||||
Cash consideration | $ 11,253 | |||
Asset Purchase Agreement | ||||
Business Acquisition [Line Items] | ||||
Proceeds from sale of non-strategic dental related assets | $ 12,000 | |||
Cash consideration | 11,253 | |||
Additional cash expected to be received | 600 | |||
Preliminary gain on disposition of assets | $ 10,296 | |||
TSI Healthcare, LLC ("TSI") | ||||
Business Acquisition [Line Items] | ||||
Acquisition completed date | Nov. 30, 2022 | |||
Initial purchase price | $ 50,449 | |||
Fair value of contingent consideration | $ 3,700 | |||
Adjustment of Goodwill | $ 245 | |||
Weighted average amortization period intangible assets | 6 years 9 months 18 days | |||
TSI Healthcare, LLC ("TSI") | Re-acquired Rights | ||||
Business Acquisition [Line Items] | ||||
Amortization period of intangible assets | 4 years | |||
TSI Healthcare, LLC ("TSI") | Customer Relationships | ||||
Business Acquisition [Line Items] | ||||
Amortization period of intangible assets | 11 years | |||
TSI Healthcare, LLC ("TSI") | Data Health Database | ||||
Business Acquisition [Line Items] | ||||
Amortization period of intangible assets | 3 years | |||
TSI Healthcare, LLC ("TSI") | Maximum | ||||
Business Acquisition [Line Items] | ||||
Additional cash contingent consideration | $ 22,000 |
Business Combinations and Dis_4
Business Combinations and Disposals - Summary of Purchase Price Allocation (Details) - USD ($) $ in Thousands | Nov. 30, 2022 | Sep. 30, 2023 | Mar. 31, 2023 |
Fair value of identifiable intangible assets acquired: | |||
Goodwill | $ 322,001 | $ 321,756 | |
TSI Healthcare, LLC ("TSI") | |||
Business Acquisition [Line Items] | |||
Initial purchase price | $ 50,449 | ||
Fair value of contingent consideration | 3,700 | ||
Payment for option to early terminate lease | 2,000 | ||
Working capital adjustment | (430) | ||
Total purchase price | 55,719 | ||
Fair value of the net tangible assets acquired and liabilities assumed: | |||
Cash and cash equivalents | 717 | ||
Accounts receivable | 2,011 | ||
Contract assets | 1,415 | ||
Prepaid expense and other assets | 308 | ||
Equipment and improvements | 879 | ||
Contract assets, net of current | 2,581 | ||
Operating lease assets | 957 | ||
Deferred income tax asset | 1,028 | ||
Other assets | 50 | ||
Accounts payable | (1,773) | ||
Accrued compensation and related benefits | (917) | ||
Contract liabilities | (6,247) | ||
Operating lease liabilities | (533) | ||
Other current liabilities | (964) | ||
Contract liabilities, net of current | (11,644) | ||
Operating lease liabilities, net of current | (639) | ||
Total net tangible assets acquired and liabilities assumed | (12,771) | ||
Fair value of identifiable intangible assets acquired: | |||
Goodwill | 54,790 | ||
Total identifiable intangible assets acquired | 68,490 | ||
Total purchase price | 55,719 | ||
TSI Healthcare, LLC ("TSI") | Re-acquired Rights | |||
Fair value of identifiable intangible assets acquired: | |||
Identifiable intangible assets acquired | 6,250 | ||
TSI Healthcare, LLC ("TSI") | Customer Relationships | |||
Fair value of identifiable intangible assets acquired: | |||
Identifiable intangible assets acquired | 5,500 | ||
TSI Healthcare, LLC ("TSI") | Data Health Database | |||
Fair value of identifiable intangible assets acquired: | |||
Identifiable intangible assets acquired | $ 1,950 |
Goodwill - Additional Informati
Goodwill - Additional Information (Details) $ in Thousands | 6 Months Ended | |
Sep. 30, 2023 USD ($) Segment | Mar. 31, 2023 USD ($) | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Number of operating segments | Segment | 1 | |
Goodwill | $ | $ 322,001 | $ 321,756 |
Intangible Assets - Intangible
Intangible Assets - Intangible Assets, Other than Capitalized Software Development Costs (Details) - Intangible Assets Other Than Capitalized Software - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | $ 75,650 | $ 78,850 |
Accumulated amortization | (51,170) | (49,882) |
Total | 24,480 | 28,968 |
Customer Relationships | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 44,700 | 44,700 |
Accumulated amortization | (34,489) | (32,918) |
Total | 10,211 | 11,782 |
Trade Names | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 250 | 250 |
Accumulated amortization | (191) | (166) |
Total | 59 | 84 |
Computer Software, Intangible Asset | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 22,500 | 25,700 |
Accumulated amortization | (14,646) | (16,060) |
Total | 7,854 | 9,640 |
Re-acquired Rights | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 6,250 | 6,250 |
Accumulated amortization | (1,302) | (521) |
Total | 4,948 | 5,729 |
Data Health Database | ||
Finite Lived Intangible Assets [Line Items] | ||
Gross carrying amount | 1,950 | 1,950 |
Accumulated amortization | (542) | (217) |
Total | $ 1,408 | $ 1,733 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Finite Lived Intangible Assets [Line Items] | ||||
Amortization of other intangibles | $ 4,488 | $ 4,564 | ||
Retired amount of fully amortized capitalized software | 9,841 | |||
Customer Relationships, Trade Names and Re-acquired Rights Intangible Assets | Operating Expense | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Amortization of other intangibles | $ 1,189 | $ 705 | 2,377 | 1,410 |
Software Technology and Data Health Database Intangible Assets | Cost of Revenue | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Amortization of other intangibles | $ 1,055 | $ 1,373 | 2,111 | $ 3,154 |
Computer Software, Intangible Asset | Inforth | ||||
Finite Lived Intangible Assets [Line Items] | ||||
Retired amount of fully amortized capitalized software | $ 3,200 |
Intangible Assets - Estimated A
Intangible Assets - Estimated Amortization of Intangible Assets with Determinable Lives (Details) - Intangible Assets Other Than Capitalized Software - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Finite Lived Intangible Assets [Line Items] | ||
2024 | $ 4,488 | |
2025 | 8,403 | |
2026 | 6,280 | |
2027 | 2,476 | |
2028 and beyond | 2,833 | |
Total | 24,480 | $ 28,968 |
Operating Expense | ||
Finite Lived Intangible Assets [Line Items] | ||
2024 | 2,377 | |
2025 | 4,180 | |
2026 | 3,596 | |
2027 | 2,232 | |
2028 and beyond | 2,833 | |
Total | 15,218 | |
Cost of Revenue | ||
Finite Lived Intangible Assets [Line Items] | ||
2024 | 2,111 | |
2025 | 4,223 | |
2026 | 2,684 | |
2027 | 244 | |
Total | $ 9,262 |
Capitalized Software Costs - Ca
Capitalized Software Costs - Capitalized Software Development Costs (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Research and Development [Abstract] | ||
Gross carrying amount | $ 139,371 | $ 131,791 |
Accumulated amortization | (79,496) | (77,275) |
Net capitalized software costs | $ 59,875 | $ 54,516 |
Capitalized Software Costs - Ad
Capitalized Software Costs - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Research and Development [Abstract] | ||||
Amortization of capitalized software costs | $ 6,125 | $ 5,371 | $ 12,061 | $ 10,725 |
Retired amount of fully amortized capitalized software | $ 9,841 |
Capitalized Software Costs - Es
Capitalized Software Costs - Estimated Amortization of Capitalized Software Costs (Details) - Capitalized Software Costs $ in Thousands | Sep. 30, 2023 USD ($) |
Finite Lived Intangible Assets [Line Items] | |
2024 | $ 17,100 |
2025 | 24,100 |
2026 | 13,400 |
2027 | 5,275 |
Total | $ 59,875 |
Debt - Additional Information (
Debt - Additional Information (Details) | 3 Months Ended | 6 Months Ended | |||||||
Nov. 01, 2022 USD ($) Days UsdNote | May 17, 2022 USD ($) | Mar. 12, 2021 USD ($) | Sep. 30, 2023 USD ($) $ / shares | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) Days UsdNote $ / shares | Sep. 30, 2022 USD ($) | Mar. 31, 2023 USD ($) | Mar. 29, 2018 USD ($) | |
Debt Instrument [Line Items] | |||||||||
Leverage ratio | 4 | 3.75 | |||||||
Adjusted covenant period option | 4.75 | 4.25 | |||||||
Restricted payments cap | $ 25,000,000 | $ 11,500,000 | |||||||
Loans outstanding | $ 0 | $ 0 | $ 0 | ||||||
Remaining borrowing capacity | 300,000,000 | 300,000,000 | 300,000,000 | ||||||
Amortization of debt issuance costs | $ 976,000 | $ 254,000 | |||||||
3.75% Convertible Senior Notes due 2027 | |||||||||
Debt Instrument [Line Items] | |||||||||
Principal amount | $ 275,000,000 | ||||||||
Interest rate | 3.75% | ||||||||
Net proceeds from issuance of notes | $ 266,517,000 | ||||||||
Debt, issuance cost | $ 8,483,000 | ||||||||
Debt instrument, payment terms | The Notes will accrue interest at a rate of 3.75% per annum, payable semi-annually in arrears on May 15 and November 15 of each year, beginning on May 15, 2023. | ||||||||
Debt instrument, frequency of interest payment | semi-annually | ||||||||
Conversion price percentage on price per share of common stock | 130% | ||||||||
Number of trading days exceeds conversion price percentage | Days | 20 | ||||||||
Number of consecutive trading days exceeds conversion price percentage | Days | 30 | ||||||||
Number of consecutive trading days | Days | 30 | ||||||||
Number of consecutive business days | Days | 5 | ||||||||
Number of consecutive trading days | Days | 10 | ||||||||
Debt instrument price per principal amount of notes | UsdNote | 1 | 1 | |||||||
Percentage of last reported sale price per share common stock | 98% | ||||||||
Number of trading days | Days | 60 | ||||||||
Conversion rate | 38.9454 | ||||||||
Principal amount for conversion into common stock | $ 1,000 | $ 1,000 | |||||||
Initial conversion Price per common stock | $ / shares | $ 25.68 | $ 25.68 | |||||||
Conversion price minimum percentage | 130% | ||||||||
Effective interest rate | 4.48% | 4.48% | |||||||
Maturity date | Nov. 15, 2027 | ||||||||
Interest expense | $ 2,578,000 | $ 5,185,000 | |||||||
Debt issuance costs | 7,435,000 | 7,435,000 | $ 8,157,000 | ||||||
Amortization of debt issuance costs | 409,000 | $ 722,000 | |||||||
3.75% Convertible Senior Notes due 2027 | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Number of trading days | Days | 20 | ||||||||
Debt instrument, not called for redemption face amount | 100,000,000 | $ 100,000,000 | |||||||
3.75% Convertible Senior Notes due 2027 | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Conversion rate | 52.5762 | ||||||||
Other Assets | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt issuance costs | 1,244,000 | $ 2,067,000 | $ 1,244,000 | 2,067,000 | |||||
Revolving Credit Facility | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | 300,000,000 | $ 300,000,000 | |||||||
Additional revolving credit commitments | 150,000,000 | ||||||||
Maturity date | Mar. 12, 2026 | ||||||||
Letter of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | 10,000,000 | ||||||||
Swing-Line Loans | |||||||||
Debt Instrument [Line Items] | |||||||||
Maximum borrowing capacity | $ 10,000,000 | ||||||||
Line of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest expense | 192,000 | 198,000 | $ 382,000 | 401,000 | |||||
Amortization of debt issuance costs | $ 127,000 | $ 127,000 | $ 254,000 | $ 254,000 |
Debt - Schedule of Notes Record
Debt - Schedule of Notes Recorded Net of Issuance Costs (Details) - 3.75% Convertible Senior Notes due 2027 - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Debt Instrument [Line Items] | ||
Principal amount: | $ 275,000 | $ 275,000 |
Unamortized issuance costs | (7,435) | (8,157) |
Carrying value, net | $ 267,565 | $ 266,843 |
Composition of Certain Financ_3
Composition of Certain Financial Statement Captions - Summary of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2022 | Mar. 31, 2022 |
Cash, Cash Equivalents, Restricted Cash, and Restricted Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 53,867 | $ 98,719 | ||
Restricted cash and cash equivalents | 4,914 | 7,269 | ||
Cash, cash equivalents, and restricted cash | $ 58,781 | $ 105,988 | $ 78,308 | $ 66,747 |
Composition of Certain Financ_4
Composition of Certain Financial Statement Captions - Summary of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Prepaid Expense and Other Assets, Current [Abstract] | ||
Prepaid expenses | $ 22,673 | $ 26,365 |
Capitalized commissions costs | 14,363 | 13,813 |
Accrued interest on marketable securities | 916 | 699 |
Other current assets | 1,732 | 2,039 |
Prepaid expenses and other current assets | $ 39,684 | $ 42,916 |
Composition of Certain Financ_5
Composition of Certain Financial Statement Captions - Summary of Equipment and Improvements (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | $ 62,521 | $ 67,021 |
Accumulated depreciation and amortization | (57,582) | (60,600) |
Equipment and improvements, net | 4,939 | 6,421 |
Computer Equipment | ||
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | 34,503 | 35,019 |
Internal-Use Software | ||
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | 20,689 | 20,064 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | 4,542 | 7,067 |
Furniture and Fixtures | ||
Property Plant And Equipment [Line Items] | ||
Equipment and improvements, gross | $ 2,787 | $ 4,871 |
Composition of Certain Financ_6
Composition of Certain Financial Statement Captions - Summary of Other Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Other Assets, Noncurrent Disclosure [Abstract] | ||
Capitalized commission costs | $ 27,499 | $ 26,104 |
Deposits | 7,478 | 7,447 |
Debt issuance costs | 1,244 | 1,498 |
Other noncurrent assets | 9,996 | 9,189 |
Other assets | $ 46,217 | $ 44,238 |
Composition of Certain Financ_7
Composition of Certain Financial Statement Captions - Summary of Accrued Compensation and Related Benefits (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 |
Employee-related Liabilities, Current [Abstract] | ||
Accrued bonus | $ 11,670 | $ 15,550 |
Accrued vacation | 13,244 | 13,271 |
Accrued commissions | 3,148 | 5,166 |
Accrued payroll and other | 345 | 2,254 |
Accrued compensation and related benefits | $ 28,407 | $ 36,241 |
Composition of Certain Financ_8
Composition of Certain Financial Statement Captions - Summary of Other Current and Noncurrent Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Mar. 31, 2023 | |
Other Liabilities [Abstract] | |||
Accrued acquisition costs | $ 7,861 | ||
Customer credit balances and deposits | 7,136 | $ 5,417 | |
Sales returns reserves and other customer liabilities | 5,614 | 5,390 | |
Care services liabilities | 4,914 | 7,269 | |
Accrued interest payable | 4,081 | 4,244 | |
Accrued hosting costs | 3,553 | 873 | |
Accrued EDI expense | 3,068 | 3,064 | |
Accrued outsourcing costs | 2,785 | 3,023 | |
Accrued employee benefits and withholdings | 2,667 | 3,195 | |
Accrued self insurance expense | 2,299 | 2,359 | |
Accrued consulting and outside services | 2,002 | 3,957 | |
Accrued royalties | 1,838 | 3,248 | |
Accrued legal expense | 907 | 782 | |
Accrued taxes payable | 309 | 1,746 | |
Accrued legal settlement | [1] | 33,990 | |
Other accrued expenses | 5,963 | 5,242 | |
Other current liabilities | 54,997 | 83,799 | |
Contingent consideration related to acquisitions, noncurrent | 4,200 | 3,800 | |
Uncertain tax positions | 4,195 | 3,950 | |
Other liabilities | 642 | 524 | |
Other noncurrent liabilities | $ 9,037 | $ 8,274 | |
[1] Refer to Note 17, "Commitments, Guarantees and Contingencies" for more details. |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | |||||
Provision for (benefit of) income taxes | $ 1,641 | $ 5,707 | $ 4,031 | $ 5,460 | |
Effective tax rate (as a percentage) | 24.50% | 29.50% | 26.40% | 27% | |
Liability for unrecognized tax benefits | $ 6,198 | $ 6,198 | $ 5,911 | ||
Period within which the company does not anticipate total unrecognized tax benefits to change | within the next twelve months |
Earnings Per Share - Weighted A
Earnings Per Share - Weighted Average Shares Outstanding for Basic and Diluted Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Sep. 30, 2023 | Jun. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Earnings per share — Basic: | ||||||
Net income | $ 5,055 | $ 6,156 | $ 13,623 | $ 1,148 | $ 11,211 | $ 14,771 |
Weighted-average shares outstanding — Basic | 67,074 | 67,806 | 66,749 | 67,698 | ||
Net income per common share - Basic | $ 0.08 | $ 0.2 | $ 0.17 | $ 0.22 | ||
Earnings per share — Diluted: | ||||||
Net income | $ 5,055 | $ 6,156 | $ 13,623 | $ 1,148 | $ 11,211 | $ 14,771 |
Weighted-average shares outstanding — Basic | 67,074 | 67,806 | 66,749 | 67,698 | ||
Effect of potentially dilutive securities from equity incentive plans | 616 | 616 | 531 | 655 | ||
Weighted-average shares outstanding — Diluted | 67,690 | 68,422 | 67,280 | 68,353 | ||
Net income per common share - Diluted | $ 0.07 | $ 0.2 | $ 0.17 | $ 0.22 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Employee Stock Options | ||||
Options excluded from the computation of diluted net income per share | 0 | 26,000 | 0 | 23,000 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||||||||||||
Oct. 25, 2022 | Oct. 26, 2021 | Sep. 20, 2021 | Oct. 26, 2020 | Aug. 11, 2014 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Aug. 31, 2023 | Mar. 31, 2023 | Oct. 31, 2021 | Sep. 30, 2021 | Aug. 31, 2019 | Aug. 31, 2017 | Aug. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Outstanding stock options | 923,789 | 923,789 | 1,130,813 | |||||||||||||
Total share-based compensation | $ 9,466,000 | $ 8,687,000 | $ 17,422,000 | $ 17,453,000 | ||||||||||||
Stock repurchase program, authorized amount | $ 100,000,000 | $ 60,000,000 | ||||||||||||||
Stock repurchased during period, shares | 0 | |||||||||||||||
Stock repurchased available during period value | $ 74,303,000 | |||||||||||||||
Employee Stock Options | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Outstanding stock options | 923,789 | 923,789 | ||||||||||||||
Performance Stock Units | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Total unrecognized compensation costs | $ 8,457,000 | $ 8,457,000 | ||||||||||||||
Stock option recognized over weighted average period (in years) | 1 year 10 months 24 days | |||||||||||||||
Performance Stock Units | Units Granted on September 2021 | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, net of forfeitures | 450,000 | |||||||||||||||
Weighted-average grant date fair value | $ 10.52 | |||||||||||||||
Performance period | 5 years | |||||||||||||||
Award continued service period | 3 years | |||||||||||||||
Shares earned and issued in period | 48,667 | |||||||||||||||
Performance Stock Units | Units Granted On October 2020 | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, net of forfeitures | 408,861 | |||||||||||||||
Percentage of shares issued, minimum | 8.50% | |||||||||||||||
Percentage of shares issued, maximum | 199.50% | |||||||||||||||
Weighted-average grant date fair value | $ 16.25 | |||||||||||||||
Percentage of performance stock units tied to fiscal year 2022 revenue goal | 80% | |||||||||||||||
Vesting period for the 3-year total shareholder return | 3 years | |||||||||||||||
Percentage of performance stock units tied to fiscal year 2023 revenue goal | 20% | |||||||||||||||
Performance Stock Units | Units Granted on October 2021 | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, net of forfeitures | 476,713 | |||||||||||||||
Weighted-average grant date fair value | $ 13.02 | |||||||||||||||
Award continued service period | 3 years | |||||||||||||||
Shares earned and issued in period | 62,668 | |||||||||||||||
Performance Stock Unit Awards | Units Granted on October 2022 | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Total share-based compensation | $ 2,290,000 | 2,172,000 | $ 4,064,000 | 4,374,000 | ||||||||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, net of forfeitures | 475,337 | |||||||||||||||
Percentage of shares issued, minimum | 0% | |||||||||||||||
Percentage of shares issued, maximum | 210% | |||||||||||||||
Weighted-average grant date fair value | $ 22.81 | |||||||||||||||
Vesting period for the 3-year total shareholder return | 3 years | |||||||||||||||
Percentage of performance stock units tied to fiscal year 2025 revenue goal | 50% | |||||||||||||||
Percentage of performance stock units tied to fiscal year 2025 EBITDA goal | 50% | |||||||||||||||
Restricted Stock | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Share-based compensation arrangement by share-based payment award, non-option equity instruments, outstanding, number | 3,503,524 | 3,503,524 | 3,297,512 | |||||||||||||
Total share-based compensation | $ 7,067,000 | 6,372,000 | $ 13,058,000 | 12,651,000 | ||||||||||||
Total unrecognized compensation costs | 46,335,000 | $ 46,335,000 | ||||||||||||||
Stock option recognized over weighted average period (in years) | 1 year 10 months 24 days | |||||||||||||||
Stock awards vested as of vesting | $ 7,050,000 | $ 7,114,000 | $ 18,742,000 | $ 18,205,000 | ||||||||||||
Share-based compensation arrangement by share-based payment award, options, grants in period, net of forfeitures | 1,436,071 | |||||||||||||||
Restricted Stock | Minimum | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Vesting period | 1 year | |||||||||||||||
Restricted Stock | Maximum | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Vesting period | 3 years | |||||||||||||||
Restricted Stock Awards and Performance Stock Units | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Net share-settled upon vesting | 145,073 | 142,751 | 395,048 | 345,263 | ||||||||||||
2015 Plan | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Common stock reserved for issuance | 2,150,000 | 1,850,000 | 3,575,000 | 6,000,000 | ||||||||||||
Common stock reserved | 11,500,000 | |||||||||||||||
Shares available for future grant | 2,725,265 | 2,725,265 | ||||||||||||||
2015 Plan | Employee Stock Options | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Expiration period (in years) | 10 years | |||||||||||||||
2015 Plan | Restricted Stock | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Share-based compensation arrangement by share-based payment award, non-option equity instruments, outstanding, number | 3,091,468 | 3,091,468 | ||||||||||||||
Inducement Plan | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Common stock reserved for issuance | 1,500,000 | |||||||||||||||
Inducement Plan | Restricted Stock | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Share-based compensation arrangement by share-based payment award, non-option equity instruments, outstanding, number | 412,056 | 412,056 | ||||||||||||||
Inducement Plan | Performance Stock Unit Awards | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Share-based compensation arrangement by share-based payment award, non-option equity instruments, outstanding, number | 123,390 | 123,390 | ||||||||||||||
Employee Share Purchase Plan | ||||||||||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||||||||||
Common stock reserved for issuance | 4,000,000 | |||||||||||||||
Total share-based compensation | $ 109,000 | $ 130,000 | $ 300,000 | $ 349,000 | ||||||||||||
Maximum percentage of gross payroll deduction | 15% | |||||||||||||||
Purchase price as a percentage of fair market value | 90% | |||||||||||||||
Maximum shares purchase in a single transaction | 1,500 | |||||||||||||||
Maximum amount purchased in a calendar year | $ 25,000 | |||||||||||||||
Shares issued | 1,140,806 | 1,140,806 |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Stock-Based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Costs and expenses: | ||||
Total share-based compensation | $ 9,466 | $ 8,687 | $ 17,422 | $ 17,453 |
Income tax benefit | (2,250) | (2,078) | (4,144) | (4,123) |
Decrease in net income | 7,216 | 6,609 | 13,278 | 13,330 |
Cost of Revenue | ||||
Costs and expenses: | ||||
Total share-based compensation | 1,036 | 951 | 1,878 | 1,514 |
Research and Development Costs | ||||
Costs and expenses: | ||||
Total share-based compensation | 1,183 | 1,655 | 1,838 | 3,238 |
Selling, General and Administrative | ||||
Costs and expenses: | ||||
Total share-based compensation | $ 7,247 | $ 6,081 | $ 13,706 | $ 12,701 |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Restricted Stock Awards Activity (Details) - Restricted Stock | 6 Months Ended |
Sep. 30, 2023 $ / shares shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Shares Outstanding Beginning Balance | shares | 3,297,512 |
Granted | shares | 1,436,071 |
Vested | shares | (108,641) |
Canceled | shares | (143,646) |
Number of Shares Outstanding Ending Balance | shares | 3,503,524 |
Weighted Average Grant-Date Fair Value per Share, Beginning of Period | $ / shares | $ 16.72 |
Weighted Average Grant-Date Fair Value per Share, Granted | $ / shares | 15.57 |
Weighted Average Grant-Date Fair Value per Share, Vested | $ / shares | 15.66 |
Weighted Average Grant-Date Fair Value per Share, Canceled | $ / shares | 16.5 |
Weighted Average Grant-Date Fair Value per Share, End of Period | $ / shares | $ 0 |
Stockholders' Equity - Summar_2
Stockholders' Equity - Summary of Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 6 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Mar. 31, 2023 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Number of Shares, Outstanding, Beginning | 1,130,813 | |
Number of Shares, Exercised | (201,824) | |
Number of Shares, Forfeited/Canceled | (500) | |
Number of Shares, Expired | (4,700) | |
Number of Shares, Outstanding, Ending | 923,789 | 1,130,813 |
Vested and expected to vest, September 30, 2023 | 923,789 | |
Exercisable, September 30, 2023 | 923,789 | |
Weighted- Average Exercise Price per Share | ||
Weighted-Average Exercise Price per Share, Outstanding, Beginning | $ 14.75 | |
Weighted-Average Exercise Price per Share, Exercised | 14.33 | |
Weighted-Average Exercise Price per Share, Forfeited/Canceled | 0 | |
Weighted-Average Exercise Price per Share, Expired | 16.64 | |
Weighted-Average Exercise Price per Share, Outstanding, Ending | 14.83 | $ 14.75 |
Vested and expected to vest, September 30, 2023 | 14.83 | |
Exercisable, September 30, 2023 | $ 14.83 | |
Weighted- Average Remaining Contractual Life (years) | ||
Outstanding | 1 year 6 months | 1 year 8 months 12 days |
Exercised | 1 year 3 months 18 days | |
Vested and expected to vest, September 30, 2023 | 1 year 6 months | |
Exercisable, September 30, 2023 | 1 year 6 months | |
Aggregate Intrinsic Value | ||
Outstanding | $ 3,011 | |
Exercised | 254 | |
Outstanding | 8,224 | $ 3,011 |
Vested and expected to vest, September 30, 2023 | 8,224 | |
Exercisable, September 30, 2023 | $ 8,224 |
Commitments, Guarantees and C_2
Commitments, Guarantees and Contingencies - Additional Information (Details) $ in Thousands, People in Millions | 6 Months Ended | ||
Jul. 14, 2023 USD ($) | Sep. 30, 2023 | Apr. 28, 2023 People | |
Loss Contingencies [Line Items] | |||
Applicable program documentation period | 365 days | ||
Payments for legal settlements | $ 31,268 | ||
Attorneys fees, expenses and costs | $ 1,200 | ||
Number of individuals impacted in security incident | People | 1 |