v3.22.4
Fair Value Measurements (Tables)
3 Months Ended
Dec. 31, 2022
Fair Value Disclosures [Abstract]  
Summary of Financial Assets and Liabilities Measured at Fair Value

The following tables summarize the Company’s financial assets and liabilities measured at fair value in the accompanying Unaudited Condensed Consolidated Balance Sheets:

 

 

December 31, 2022

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

(Amounts in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate swap contract

 

$

 

 

$

1,429

 

 

$

 

 

$

1,429

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Contingent consideration liabilities

 

$

 

 

$

 

 

$

80,934

 

 

$

80,934

 

 

 

 

September 30, 2022

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

(Amounts in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate swap contract

 

$

 

 

$

1,528

 

 

$

 

 

$

1,528

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Contingent consideration liabilities

 

$

 

 

$

 

 

$

15,207

 

 

$

15,207

 

Summary of Ranges for Significant Quantitative Unobservable inputs Utilized in Fair Value Measurements

The following table summarizes ranges for significant quantitative unobservable inputs we utilized in our fair value measurements with respect to contingent consideration liabilities:

Unobservable Input:

 

December 31, 2022

Net operating income projected growth rates

 

23% - 25%

Discount rate

 

11.0%

Summary of Changes in Fair Value of Contingent Consideration Liabilities Which Reflect Level 3 Inputs

The following tables set forth the changes in fair value of our contingent consideration liabilities, which reflect Level 3 inputs, for the three months ended December 31, 2021 and 2022:

 

 

Contingent Consideration Liabilities

 

 

 

2021

 

 

2022

 

 

 

(Amounts in thousands)

 

Beginning balance - September 30,

 

$

12,364

 

 

$

15,207

 

Additions from business acquisitions

 

 

6,030

 

 

 

68,680

 

Settlement of contingent consideration liabilities

 

 

(3,000

)

 

 

(4,000

)

Change in fair value and net present value of contingency

 

 

110

 

 

 

1,047

 

Ending balance - December 31,

 

$

15,504

 

 

$

80,934

 

Summary of Carrying Value and Fair Value of Mortgage Facilities he following table summarizes the carrying value and fair value of our mortgage facilities as of September 30, 2022 and December 31, 2022:

 

 

September 30, 2022

 

 

December 31, 2022

 

 

 

Fair Value

 

 

Carrying Value

 

 

Fair Value

 

 

Carrying Value

 

 

 

(Amounts in thousands)

 

Mortgage facility payable to Flagship Bank

 

$

6,355

 

 

$

6,403

 

 

$

5,581

 

 

$

6,279

 

Mortgage facility payable to Seacoast National Bank

 

 

16,681

 

 

 

17,098

 

 

 

13,778

 

 

 

17,060

 

Mortgage facility payable to Hancock Whitney Bank

 

 

24,977

 

 

 

25,192

 

 

 

21,943

 

 

 

24,714