v3.25.2
Variable Interest Entity
 12 Months Ended
Jul. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Variable Interest Entity

Note 12—Variable Interest Entity

 

The Company is the primary beneficiary of the Disbursement Payments VIE. The Company determined that, effective May 31, 2021, it had the power to direct the activities of the Disbursement Payments VIE that most significantly impact its economic performance, and the Company has the obligation to absorb losses of and the right to receive benefits from the Disbursement Payments VIE that could potentially be significant to it. As a result, the Company consolidates the Disbursement Payments VIE. The Company does not currently own any interest in the Disbursement Payments VIE and thus the net income incurred by the Disbursement Payments VIE was attributed to noncontrolling interests in the accompanying statements of income.

 

The Disbursement Payments VIE’s net income and aggregate funding provided by the Company were as follows:

  

Year ended July 31 (in thousands)  2025   2024   2023 
Net income of the Disbursement Payments VIE  $

940

   $513   $322 
Aggregate funding provided by the Company, net  $488   $215   $112 

 

The Disbursement Payments VIE’s summarized consolidated balance sheet amounts are as follows:

  

July 31

(in thousands)

  2025   2024 
ASSETS          
Cash and cash equivalents  $3,116   $2,626 
Restricted cash   11,000    7,426 
Trade accounts receivable, net   244    74 
Disbursement prefunding   

1,400

    2,587 
Prepaid expenses   431    258 
Other current assets   

224

    294 
Property, plant, and equipment, net   204    179 
Other intangibles, net   

432

    584 
TOTAL ASSETS  $17,051   $14,028 
LIABILITIES AND NONCONTROLLING INTERESTS          
Trade accounts payable  $27   $4 
Accrued expenses   159    124 
Customer funds deposits   10,701    9,195 
Due to the Company   729    241 
Accumulated other comprehensive income   58    27 
Noncontrolling interests   5,377    4,437 
TOTAL LIABILITIES AND NONCONTROLLING INTERESTS  $17,051   $14,028 

 

 

The Disbursement Payments VIE’s assets may only be used to settle the Disbursement Payments VIE’s obligations and may not be used for other consolidated entities. The Disbursement Payments VIE’s liabilities are non-recourse to the general credit of the Company’s other consolidated entities.