0001476840-22-000046 | 10-Q | XBRL Viewer

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STOCK INCENTIVE PLANS - Stock-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Share-based Payment Arrangement, Expense
Stock based compensation expense	$ 14,667	$ 710
Cost of revenue, net
Share-based Payment Arrangement, Expense
Stock based compensation expense	4,908	188
Research and development
Share-based Payment Arrangement, Expense
Stock based compensation expense	2,708	154
General and administrative
Share-based Payment Arrangement, Expense
Stock based compensation expense	4,975	304
Sales and marketing
Share-based Payment Arrangement, Expense
Stock based compensation expense	2,076	64
Stock options
Share-based Payment Arrangement, Expense
Stock based compensation expense	1,006	710
Matching shares
Share-based Payment Arrangement, Expense
Stock based compensation expense	2	0
Restricted stock units
Share-based Payment Arrangement, Expense
Stock based compensation expense	$ 13,659	$ 0

GENERAL INFORMATION - Narratives (Details)	Oct. 27, 2021
Accounting Policies [Abstract]
Stock split ratio, common stock	0.10

COMMITMENTS AND CONTINGENCIES - Defined Contribution Plans (Details) - United States - USD ($)		3 Months Ended
	Jan. 01, 2018	Mar. 31, 2022	Mar. 31, 2021
Defined Contribution Plan
Employer discretionary matching		$ 0	$ 0
Employer contributions		$ 200,000	$ 200,000
Maximum
Defined Contribution Plan
Employer contribution (as a percent) (up to)	4.50%

COMMITMENTS AND CONTINGENCIES - Amortizing Term Mortgage (Details) - USD ($) $ in Thousands	1 Months Ended
	Aug. 31, 2019	Mar. 31, 2022	Dec. 31, 2021
Schedule of Capitalization, Long-term Debt
Long-term debt, net of issuance costs		$ 51,847	$ 52,067
Mortgages
Schedule of Capitalization, Long-term Debt
Loaned amount	$ 8,300
Debt instrument, term (in years)	30 years
Interest rate (as a percent)	5.00%
Long-term debt, net of issuance costs		$ 7,900	$ 8,000
Mortgages \| Prime Rate
Schedule of Capitalization, Long-term Debt
Variable rate (as a percent)	0.25%

STOCK INCENTIVE PLANS - RSU Rollforward (Details) - $ / shares	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Weighted average grant date fair value per share
Beginning balance (in dollars per share)	$ 33.75
Granted (in dollars per share)	18.93
Vested (in dollars per share)	33.14
Cancelled/forfeited/expired (in dollars per share)	47.62
Ending balance (in dollars per share)	$ 33.92
Restricted stock units \| Common Class A
RSU Rollforward
Beginning balance (in shares)	4,329,530
Granted (in shares)	43,060	0
Vested (in shares)	(2,316)
Cancelled/forfeited/expired (in shares)	(88,020)
Ending balance (in shares)	4,282,254
Restricted stock units \| Common Stock, LT50
RSU Rollforward
Beginning balance (in shares)	4,301,750
Granted (in shares)	0
Vested (in shares)	0
Cancelled/forfeited/expired (in shares)	(88,020)
Ending balance (in shares)	4,213,730

GENERAL INFORMATION (Policies)	3 Months Ended
GENERAL INFORMATION (Policies)	Mar. 31, 2022
Accounting Policies [Abstract]
Basis of Presentation and Principles of Consolidation	Basis of Presentation and Principles of Consolidation The accompanying unaudited consolidated financial statements, include the accounts of Expensify and its wholly-owned subsidiaries (the "Company"), and have been prepared in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP"), and the applicable rules and regulations of the Securities and Exchange Commission (the "SEC") for interim reporting in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X. We have condensed or omitted certain information and footnote disclosures normally included in financial statements presented in accordance with U.S. GAAP. Management believes the disclosures contained herein are adequate to make the information presented not misleading. However, these condensed consolidated financial statements should be read in conjunction with our consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2021 (the “2021 Annual Report"). All intercompany transactions and balances have been eliminated in consolidation. In the opinion of management, the accompanying condensed consolidated financial statements reflect all normal and recurring adjustments that are necessary to present fairly our financial position, results of operations, changes in convertible preferred stock and stockholders’ equity (deficit), and cash flows for the interim periods presented.
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates and judgments are based on historical experience, forecasted events and various other assumptions that the Company believes to be reasonable under the circumstances. Estimates and judgments may differ under different assumptions or conditions. Estimates and judgments are evaluated on an ongoing basis. Actual results could differ from those estimates. Changes in estimates are recorded in the period in which they become known. Significant estimates and assumptions by management affect the Company’s revenues, fair value of common stock, classification of employee and employee-related expenses, the useful lives and recoverability of long-lived assets, income taxes, capitalization of internal-use software costs, incremental borrowing rates for finance and operating lease right-of-use assets and finance and operating lease liabilities, and stock-based compensation.
Restricted Cash	Restricted Cash Restricted cash includes amounts deposited with a Commercial Bank required as collateral for corporate credit cards issued by the respective Commercial Bank in the U.S. and UK, cash in transit for funds held for customers to the Company's Payment Processor, Expensify Card collateral for funds held for customers, cash held by Expensify.org for social justice and equity efforts of Expensify.org, cash held on behalf of service providers to be used towards service provider share purchases at the end of the Matching Plan (as defined below) offering period, and settlement assets for funds held for customers that are deposited into a Commercial Bank account held by the Company for the benefit of the customers until remitted to the customer's members.
Recent Accounting Pronouncements Adopted And Recent Accounting Pronouncements Not Yet Adopted	Recent Accounting Pronouncements Adopted There have been no changes to the recent accounting pronouncements adopted during the three months ended March 31, 2022 as discussed in “Consolidated Financial Statements — Note 2 - Summary of Significant Accounting Policies” in the 2021 Annual Report. Recent Accounting Pronouncements Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments ("Topic 326"), which requires an impairment model (known as the current expected credit loss or "CECL Model") that is based on expected rather than incurred losses, with an anticipated result of more timely loss recognition. The CECL Model requires measurement of expected credit losses not only based on historical experience and current conditions, but also by including reasonable and supportable forecasts incorporating forward-looking information. The Company is in the process of determining key accounting interpretations, data requirements and necessary changes to our credit loss estimation methods, processes and systems. This guidance is effective for the Company for annual reporting periods beginning after December 15, 2022 and interim periods therein. The Company is currently evaluating the impact of adoption of ASU No. 2016-13 on its consolidated financial statements and related disclosures.

COMMITMENTS AND CONTINGENCIES (Tables)

3 Months Ended

Mar. 31, 2022

Commitments and Contingencies Disclosure [Abstract]

Schedule of Lease Cost

The components of lease cost were as follows (in thousands):


	Three months ended March 31,
	2022		2021
Finance lease cost:
Amortization of ROU assets	$	198	$	198
Interest on lease liabilities	7		12
Total finance lease cost	205		210
Operating lease cost	185		285
Total lease cost	$	390	$	495


	Three months ended March 31,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	(192)	$	(224)
Operating cash flows from finance leases	(7)		(12)
Financing cash flows from finance leases	(197)		(192)

Schedule of Supplemental Balance Sheet Information

Other information related to leases is as follows (in thousands):


	As of March 31,			As of December 31,
	2022			2021
Finance lease ROU asset (included within Lease right-of-use assets)	$	1,053		$	1,251
Operating lease ROU asset (included within Lease right-of-use assets)	$	779		$	951
Weighted-average remaining lease term (in years):
Finance leases	1.33			1.58
Operating leases	1.17			1.40
Weighted-average discount rate:
Finance leases	2.5		%	2.5		%
Operating leases	5.3		%	5.3		%

Schedule of Finance Lease Maturity

Maturities of lease liabilities as of March 31, 2022 were as follows (in thousands):


	Finance leases		Operating leases
For the year ending:
Remainder of 2022	$	619	$	604
2023	476		333
2024	—		—
2025	—		—
2026	—		—
Thereafter	—		—
Total lease payments	1,095		937
Less: imputed interest	(26)		(42)
Less: lease liabilities, current	(798)		(761)
Lease liabilities, non-current	$	271	$	134

Schedule of Operating Lease Maturity

Maturities of lease liabilities as of March 31, 2022 were as follows (in thousands):


	Finance leases		Operating leases
For the year ending:
Remainder of 2022	$	619	$	604
2023	476		333
2024	—		—
2025	—		—
2026	—		—
Thereafter	—		—
Total lease payments	1,095		937
Less: imputed interest	(26)		(42)
Less: lease liabilities, current	(798)		(761)
Lease liabilities, non-current	$	271	$	134

Summary of Principal Payments on all Long-term Debt

Future aggregate annual principal payments on all long-term debt are as follows for the next five years:


As of March 31, 2022	(in thousands)
Remainder of 2022	$	15,441
2023	595
2024	715
2025	1,397
2026 and thereafter	49,546
	67,694
Less: discount for issuance costs	(300)
	67,394
Less: line of credit	(15,000)
Less: current portion, net of issuance costs	(547)
Total long-term debt, net of issuance costs	$	51,847

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

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+ Details

CERTAIN BALANCE SHEET COMPONENTS (Tables)

3 Months Ended

Mar. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Capitalized Software Development Costs

Capitalized software, net consisted of the following (in thousands):


	As of March 31,		As of December 31,
	2022		2021
Capitalized software development costs	$	11,423	$	10,966
Less: accumulated amortization	(5,265)		(4,607)
	$	6,158	$	6,359

The table below provides the amortization expense related to capitalized software development costs for the three months ended March 31, 2022 and 2021 (in thousands):


	Three months ended March 31,
	2022		2021
Amortization expense for capitalized software	$	658	$	376

Schedule of Property And Equipment; and Depreciation And Amortization

Property and equipment, net consisted of the following (in thousands):


	As of March 31,		As of December 31,
	2022		2021
Computers and equipment	$	291	$	311
Furniture and fixtures	1,374		1,462
Leasehold improvements	6,960		7,106
Commercial building	6,493		6,493
Land	4,151		4,151
Construction in progress	2,535		2,391
	21,804		21,914
Less: accumulated depreciation	(6,220)		(5,984)
	$	15,584	$	15,930

The table below provides the depreciation expense related to Property and equipment for the three months ended March 31, 2022 and 2021 (in thousands):


	Three months ended March 31,
	2022		2021
Depreciation expense	$	509	$	597

Schedule of Other Current Assets

Other Current Assets

Other current assets consisted of the following (in thousands):


	As of March 31,		As of December 31,
	2022		2021
Expensify.org restricted cash	$	3,997	$	3,078
Expensify Card posted collateral for funds held for customers	4,323		5,115
Cash in transit for funds held for customers	1,345		388
Contract assets	—		8
Expensify Payments LLC restricted cash	56		55
Income tax receivable	5,544		5,412
Matching plan escrow	235		—
Other	246		145
	$	15,746	$	14,201

Schedule of Accrued Expenses and Other Liabilities

Accrued expenses and other liabilities

Accrued expenses and other liabilities consisted of the following (in thousands):


	As of March 31,		As of December 31,
	2022		2021
Accrued expense reports	$	172	$	246
Partner payouts and advertising fees	438		574
Hosting and license fees	98		36
Credit card processing fees	87		56
Professional and other fees	2,208		1,274
Sales, payroll and other taxes payable	1,819		4,936
Cashback rewards	211		239
Interest payable	771		783
Restricted common stock liability for early stock option exercises	2,231		2,443
Matching plan payroll liability	235		—
Other	141		459
	$	8,411	$	11,046

COMMITMENTS AND CONTINGENCIES - Lease Maturity Schedule (Details) (Details) $ in Thousands	Mar. 31, 2022 USD ($)
Finance leases
Remainder of 2022	$ 619
2023	476
2024	0
2025	0
2026	0
Thereafter	0
Total lease payments	1,095
Less: imputed interest	(26)
Less: lease liabilities, current	(798)
Lease liabilities, non-current	$ 271
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Lease Liability, Current
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Lease liabilities, non-current
Operating leases
Remainder of 2022	$ 604
2023	333
2024	0
2025	0
2026	0
Thereafter	0
Total lease payments	937
Less: imputed interest	(42)
Less: lease liabilities, current	(761)
Lease liabilities, non-current	$ 134
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Lease liabilities, current
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Lease liabilities, non-current

CERTAIN BALANCE SHEET COMPONENTS - Schedule of Amortization Expense and Software Development Costs (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Amortization expense for capitalized software	$ 658	$ 376

COMMITMENTS AND CONTINGENCIES - Summary of Related to Leases (Details)(Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Commitments and Contingencies Disclosure [Abstract]
Finance lease ROU asset (included within Lease right-of-use assets)	$ 1,053	$ 1,251
Operating lease ROU asset (included within Lease right-of-use assets)	$ 779	$ 951
Weighted Average Remaining Lease Term [Abstract]
Finance leases	1 year 3 months 29 days	1 year 6 months 29 days
Operating leases	1 year 2 months 1 day	1 year 4 months 24 days
Weighted-average discount rate:
Finance leases	2.50%	2.50%
Operating leases	5.30%	5.30%
Finance Lease, Right-of-Use Asset, Statement of Financial Position	Lease right-of-use assets	Lease right-of-use assets
Operating Lease, Right-of-Use Asset, Statement of Financial Position	Lease right-of-use assets	Lease right-of-use assets

Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - $ / shares	Mar. 31, 2022	Dec. 31, 2021
Common Class A
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized (in shares)	1,000,000,000	1,000,000,000
Common stock, shares issued (in shares)	68,050,193	67,844,060
Common stock, shares outstanding (in shares)	68,050,193	67,844,060
Common Stock, LT10
Common stock, shares authorized (in shares)	25,000,000	25,000,000
Common stock, shares issued (in shares)	7,332,640	7,332,640
Common stock, shares outstanding (in shares)	7,332,640	7,332,640
Common Stock, LT50
Common stock, shares authorized (in shares)	25,000,000	25,000,000
Common stock, shares issued (in shares)	6,224,160	6,224,160
Common stock, shares outstanding (in shares)	6,224,160	6,224,160

INCOME TAXES - Components of Income Tax Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Current income tax benefit (expense):
Federal	$ (1,092)	$ (2,175)
State	(184)	(555)
Foreign	(356)	(32)
Total provision for income taxes	$ (1,632)	$ (2,762)

- Definition

Amount of current income tax expense (benefit) and deferred income tax expense (benefit) pertaining to continuing operations.

+ References + Details

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Cash flows from operating activities:
Net (loss) income	$ (7,376)	$ 8,043
Adjustments to reconcile net (loss) income to net cash provided (used) by operating activities:
Depreciation and amortization	1,167	1,170
Reduction of operating lease right-of-use assets	185	181
Loss on impairment, receivables and sale or disposal of equipment	231	56
Stock-based compensation	14,667	710
Amortization of debt issuance costs	10	8
Changes in assets and liabilities:
Accounts receivable	(482)	(1,601)
Related party loan receivables	14	0
Settlement assets	(5,689)	464
Prepaid expenses	377	(1,642)
Other current assets	(224)	318
Other assets	80	9
Accounts payable	(2,316)	236
Accrued expenses and other liabilities	(2,635)	2,821
Operating lease liabilities	(6)	(200)
Settlement liabilities	12,433	(980)
Other liabilities	787	316
Net cash provided by operating activities	11,223	9,909
Cash flows from investing activities:
Purchase of property and equipment	(179)	(284)
Software development costs	(494)	(669)
Net cash used by investing activities	(673)	(953)
Cash flows from financing activities:
Principal payments of finance leases	(197)	(192)
Principal payments of term loan	(146)	(616)
Payments of deferred offering costs	0	(400)
Vesting of early exercised stock options	295	0
Issuance of restricted stock units	18	0
Repurchases of early exercised stock options	(4)	0
Proceeds from issuance of common stock on exercise of stock options	252	125
Net cash provided by financing activities	218	(1,083)
Net increase in cash and cash equivalents	10,768	7,873
Cash and cash equivalents and restricted cash, beginning of period	125,315	46,878
Cash and cash equivalents and restricted cash, end of period	136,083	54,751
Supplemental disclosure of cash flow information:
Cash paid for interest	267	723
Cash paid for income taxes	284	263
Noncash investing and financing items:
Accrued deferred offering costs	0	531
Reconciliation of cash, cash equivalents and restricted cash to the consolidated balance sheets
Cash and cash equivalents	101,101	41,926
Restricted cash included in other current assets	9,973	2,818
Restricted cash included in other assets	46	48
Restricted cash included in settlement assets	24,963	9,959
Total cash, cash equivalents and restricted cash	$ 136,083	$ 54,751

CERTAIN BALANCE SHEET COMPONENTS - Schedule of Capitalized Software (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Capitalized software development costs	$ 11,423	$ 10,966
Less: accumulated amortization	(5,265)	(4,607)
Capitalized software, net	$ 6,158	$ 6,359

CERTAIN BALANCE SHEET COMPONENTS - Property and Equipment, Net (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Property, Plant and Equipment
Property and equipment, gross	$ 21,804	$ 21,914
Less: accumulated depreciation	(6,220)	(5,984)
Property and equipment, net	15,584	15,930
Computers and equipment
Property, Plant and Equipment
Property and equipment, gross	291	311
Furniture and fixtures
Property, Plant and Equipment
Property and equipment, gross	1,374	1,462
Leasehold improvements
Property, Plant and Equipment
Property and equipment, gross	6,960	7,106
Commercial building
Property, Plant and Equipment
Property and equipment, gross	6,493	6,493
Land
Property, Plant and Equipment
Property and equipment, gross	4,151	4,151
Construction in progress
Property, Plant and Equipment
Property and equipment, gross	$ 2,535	$ 2,391

NET (LOSS) INCOME PER SHARE

3 Months Ended

Mar. 31, 2022

Earnings Per Share [Abstract]

NET (LOSS) INCOME PER SHARE

The computation of net (loss) income per share attributable to common stockholders is as follows (in thousands, except share and per share data):


	Three months ended March 31,
	2022		2021
Basic net (loss) income per share:
Numerator
Net (loss) income	$	(7,376)	$	8,043
Less: income allocated to participating securities	—		(5,547)
Net (loss) income attributable to Class A, LT10 and LT50 common stockholders, basic and diluted	$	(7,376)	$	2,496
Denominator
Weighted-average shares of common stock used to compute net (loss) income per share attributable to common stockholders, basic	80,147,208		29,522,409
Net (loss) income per share attributable to Class A, LT10 and LT50 common stockholders, basic	$	(0.09)	$	0.08

Diluted net (loss) income per share:
Numerator
Net (loss) income	$	(7,376)	$	8,043
Less: income allocated to participating securities	—		(5,547)
Net (loss) income attributable to Class A, LT10 and LT50 common stockholders, diluted	$	(7,376)	$	2,496
Denominator
Effect of dilutive securities:
Warrants	—		419,250
Stock options	—		10,634,680
Weighted-average shares of common stock used to compute net (loss) income per share attributable to common stockholders, diluted	80,147,208		40,576,339
Net (loss) income per share attributable to Class A, LT10 and LT50 common stockholders, diluted	$	(0.09)	$	0.06

The rights, including the liquidation and dividend rights, of the holders of Class A, LT10 and LT50 common stock are identical, except with respect to voting, conversion and transfer rights. Each share of Class A common stock is entitled to one vote per share, each share of LT10 common stock is entitled to 10 votes per share and each share of LT50 common stock is entitled to 50 votes per share. Each share of LT10 and LT50 common stock is convertible into one share of Class A common stock voluntarily at the option of the holder after the satisfaction of certain requirements, which includes a 10 month notice period for LT10 common stock and 50 months notice period for LT50 common stock to convert to Class A common stock, or automatically upon certain events. The Class A common stock has no conversion rights. As the liquidation and dividend rights are identical for Class A, LT10 and LT50 common stock, the undistributed earnings are allocated on a proportional basis based on the number of weighted-average shares within each class of common stock during the period and the

resulting net (loss) income per share attributable to common stockholders will be the same for the Class A, LT10, and LT50 common stock on an individual or combined basis.

The following potentially dilutive shares were not included in the calculation of diluted shares outstanding as the effect would have been anti-dilutive:


	Year ended Three months ended March 31,
	2022	2021
Weighted-average stock options	6,067,912	—
Matching shares	39,756	—
Convertible preferred stock	—	42,031,390
Total	6,107,668	42,031,390

STOCK INCENTIVE PLANS - Stock Option Narratives (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award
Intrinsic value of options exercised	$ 5,200	$ 2,000
Intrinsic value of options outstanding	$ 106,700		$ 302,800
Weighted average grant date fair value of options granted (in dollars per share)	$ 8.60
Proceeds from issuance of common stock on exercise of stock options	$ 252	$ 125
Stock options
Share-based Compensation Arrangement by Share-based Payment Award
Share-based compensation expense not yet recognized	$ 11,800		$ 13,200
Share-based compensation not yet recognized, recognition period (in years)	1 year 6 months 25 days		1 year 8 months 12 days
Stock options \| Common stock
Share-based Compensation Arrangement by Share-based Payment Award
Shares repurchased (in shares)		0
Stock options \| The 2019 Option Plan
Share-based Compensation Arrangement by Share-based Payment Award
Vesting period (in years)	4 years
Stock options \| The 2009 Option Plan
Share-based Compensation Arrangement by Share-based Payment Award
Vesting period (in years)	4 years
Non Statutory Options
Share-based Compensation Arrangement by Share-based Payment Award
Purchase price as a percentage of common stock (as a percent)	100.00%
Ten Percent Holder \| Stock options
Share-based Compensation Arrangement by Share-based Payment Award
Purchase price as a percentage of common stock (as a percent)	110.00%
Other Than Ten Percent Holder \| Stock options
Share-based Compensation Arrangement by Share-based Payment Award
Purchase price as a percentage of common stock (as a percent)	100.00%
Chief Executive Officer \| Weighted-average stock options
Share-based Compensation Arrangement by Share-based Payment Award
Shares subject to repurchase related to stock options early exercised and not yet vested (in shares)	1,282,740		1,437,760
Shares subject to repurchase related to stock options early exercised and not yet vested	$ 2,200		$ 2,400

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Assets
Cash and cash equivalents	$ 101,101	$ 98,398
Accounts receivable, net	16,022	15,713
Settlement assets	34,313	21,880
Prepaid expenses	7,060	7,436
Related party loan receivable, current	0	14
Other current assets	15,746	14,201
Total current assets	174,242	157,642
Capitalized software, net	6,158	6,359
Property and equipment, net	15,584	15,930
Lease right-of-use assets	1,832	2,202
Deferred tax assets, net	370	370
Other assets	628	710
Total assets	198,814	183,213
Liabilities and stockholders' equity
Accounts payable	1,437	3,752
Accrued expenses and other liabilities	8,411	11,046
Borrowings under line of credit	15,000	15,000
Current portion of long-term debt, net of issuance costs	547	549
Lease liabilities, current	1,559	1,549
Settlement liabilities	34,113	21,680
Total current liabilities	61,067	53,576
Lease liabilities, non-current	405	802
Other liabilities	1,028	153
Long-term debt, net of issuance costs	51,847	52,067
Total liabilities	114,347	106,598
Commitments and contingencies (Note 4)
Stockholders' equity:
Common stock	6	6
Additional paid-in capital	157,743	142,515
Accumulated deficit	(73,282)	(65,906)
Total stockholders' equity	84,467	76,615
Total liabilities and stockholders' equity	$ 198,814	$ 183,213

COMMITMENTS AND CONTINGENCIES - Summary of Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Finance lease cost:
Amortization of ROU assets	$ 198	$ 198
Interest on lease liabilities	7	12
Total finance lease cost	205	210
Operating lease cost	185	285
Total lease cost	$ 390	$ 495

NET (LOSS) INCOME PER SHARE - Anti-dilutive Securities (Details) - shares	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities (in shares)	6,107,668	42,031,390
Weighted-average stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities (in shares)	6,067,912	0
Matching shares
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities (in shares)	39,756	0
Convertible preferred stock
Antidilutive Securities Excluded from Computation of Earnings Per Share
Antidilutive securities (in shares)	0	42,031,390

INCOME TAXES (Tables)

3 Months Ended

Mar. 31, 2022

Income Tax Disclosure [Abstract]

Components of Income Tax Benefit (Provision)

The components of the Company’s provision for income taxes are as follows (in thousands):


	Three months ended March 31,
	2022		2021
Current income tax benefit (expense):
Federal	$	(1,092)	$	(2,175)
State	(184)		(555)
Foreign	(356)		(32)
Total provision for income taxes	$	(1,632)	$	(2,762)

Schedule of Effective Income Tax Rate Reconciliation


	Three months ended March 31,
	2022		2021
Statutory rate	21.0	%	21.0	%
State tax	4.9	%	3.8	%
Research and development (R&D) credit	0.6	%	(0.5)	%
Rate differentials for controlled foreign corporations (CFCs) and charitable organizations	(1.8)	%	(0.2)	%
Permanent items and others	(0.3)	%	—	%
Change in valuation allowance	(53.4)	%	—	%
Stock-based compensation - federal	0.6	%	1.5	%
Total	(28.4)	%	25.6	%

COMMITMENTS AND CONTINGENCIES

3 Months Ended

Mar. 31, 2022

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

Finance and Operating Lease Arrangements

During three months ended March 31, 2022 and 2021, respectively, the Company did not enter into any additional operating lease agreements or finance lease agreements to finance the acquisition of new property and equipment.

The components of lease cost were as follows (in thousands):


	Three months ended March 31,
	2022		2021
Finance lease cost:
Amortization of ROU assets	$	198	$	198
Interest on lease liabilities	7		12
Total finance lease cost	205		210
Operating lease cost	185		285
Total lease cost	$	390	$	495

Other information related to leases is as follows (in thousands):


	As of March 31,			As of December 31,
	2022			2021
Finance lease ROU asset (included within Lease right-of-use assets)	$	1,053		$	1,251
Operating lease ROU asset (included within Lease right-of-use assets)	$	779		$	951
Weighted-average remaining lease term (in years):
Finance leases	1.33			1.58
Operating leases	1.17			1.40
Weighted-average discount rate:
Finance leases	2.5		%	2.5		%
Operating leases	5.3		%	5.3		%


	Three months ended March 31,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	(192)	$	(224)
Operating cash flows from finance leases	(7)		(12)
Financing cash flows from finance leases	(197)		(192)

Maturities of lease liabilities as of March 31, 2022 were as follows (in thousands):


	Finance leases		Operating leases
For the year ending:
Remainder of 2022	$	619	$	604
2023	476		333
2024	—		—
2025	—		—
2026	—		—
Thereafter	—		—
Total lease payments	1,095		937
Less: imputed interest	(26)		(42)
Less: lease liabilities, current	(798)		(761)
Lease liabilities, non-current	$	271	$	134

Financing Arrangements

Amortizing Term Mortgage

Under the amortizing term mortgage agreement with CIBC for the Company's commercial building in Portland, Oregon, the Company borrowed $8.3 million in August 2019, which requires interest and principal payments be made each month over a 30-year period. Interest accrues at a fixed rate of 5% per year until August 2024, at which point the interest rate changes to the Wall Street Journal Prime Rate minus 0.25% for the remaining term of the mortgage. The borrowings are secured by the building. As of March 31, 2022 and December 31, 2021, the outstanding balance of the amortizing term mortgage was $7.9 million and $8.0 million, respectively.

2021 Amended Term Loan

In September 2021, the Company amended and restated its loan and security agreement with CIBC (the "2021 Amended Term Loan") to refinance the existing non-amortizing and amortizing term loans, establish a single term loan of up to $75.0 million, consisting of a $45.0 million initial term loan effective immediately with an option at a later date to enter into an additional $30.0 million delayed term loan, and increase the monthly revolving line of credit to $25.0 million. Approximately $23.5 million of the loan proceeds were used to immediately repay the remaining balances under the amortizing and non-amortizing term loans at the time of the amendment and restatement in September 2021 as well as the commitment fees and any other debt issuance costs associated with the amended agreement. The remaining proceeds from the initial term loan went towards the Company's normal business operations.

Under the 2021 Amended Term Loan with CIBC, the initial term loan of $45.0 million entered into by the Company in September 2021 is payable over a 60 month period with principal and accrued interest payments due each quarter thereafter, which commences with the first payment due on September 30, 2021. Quarterly principal payments are fixed and began with quarterly payments of $0.1 million commencing on September 30, 2021 with increases to $0.2 million beginning October 1, 2024 and $0.6 million beginning October 1, 2025 with any remaining principal balance becoming due and payable at the end of the term loan in September 2026. The amounts borrowed are payable with interest at the bank’s reference rate plus 2.25% (5.75% as of March 31, 2022) beginning on September 30, 2021 and continuing on a quarterly basis through the end of the term loan. The borrowings are secured by substantially all the Company’s assets. As of March 31, 2022 and December 31, 2021, the outstanding balance of the 2021 Amended Term Loan was $44.8 million and $44.9 million, respectively.

Monthly Revolving Line of Credit

The line of credit agreement with CIBC, as amended with the 2021 amended term loan entered into by the Company in September 2021, provides borrowings up to $25.0 million. Borrowings under the line bear interest at the bank’s reference rate plus 1.00% (4.50% as of March 31, 2022) and are secured by substantially all of the Company’s assets. As of March 31, 2022 and December 31, 2021, the line of credit balance remained at $15.0 million with $10.0 million of capacity available for borrowings under the line of credit.

For the three months ended March 31, 2022 and 2021, respectively, the Company incurred an immaterial amount of costs related to the amortizing term mortgage and term loan agreements. These debt issuance costs are reflected as a reduction of the carrying amount of the long-term debt and are being amortized to interest expense over the term of the agreements. As of March 31, 2022 and December 31, 2021, the unamortized debt issuance costs remaining are $0.3 million and $0.2 million, respectively.

Future aggregate annual principal payments on all long-term debt are as follows for the next five years:


As of March 31, 2022	(in thousands)
Remainder of 2022	$	15,441
2023	595
2024	715
2025	1,397
2026 and thereafter	49,546
	67,694
Less: discount for issuance costs	(300)
	67,394
Less: line of credit	(15,000)
Less: current portion, net of issuance costs	(547)
Total long-term debt, net of issuance costs	$	51,847

As of March 31, 2022, the Company was in compliance with all debt covenants.

Defined Contribution Plans

401(k) plan

In fiscal 2009, the Company sponsored a U.S. 401(k) defined contribution plan covering eligible employees who elect to participate. The Company is allowed to make discretionary profit sharing and 401(k) matching contributions as defined in the plan and as approved by the Board of Directors. Effective January 1, 2018, the Company matches up to 4.5% of each eligible participant’s 401(k) contribution. The Company’s actual contribution may be reduced by certain available forfeitures, if any, during the plan year. No discretionary profit-sharing contributions were made during the three months ended March 31, 2022 and 2021. The Company’s 401(k) matching contributions for the three months ended March 31, 2022 and March 31, 2021 was $0.2 million.

From time to time in the normal course of business, the Company may be involved in claims, proceedings and litigation. In the case of any litigation, the Company records a provision for a liability when management believes that it is both probable that a liability has been incurred, and the amount of the loss can be reasonably estimated. The Company reviews these provisions at least quarterly and

adjusts these provisions to reflect the impact of negotiations, settlements, rulings, advice of legal counsel and other information and events pertaining to a particular case.As of March 31, 2022, there were no legal contingency matters, either individually or in aggregate, that would have a material adverse effect on the Company’s financial position, results of operations, or cash flows.

STOCK INCENTIVE PLANS - 2009 and 2019 Stock Option Plan (Details) - shares	1 Months Ended
	Apr. 30, 2019	Jan. 31, 2018	Nov. 09, 2021	Sep. 30, 2021	Dec. 31, 2015
Share-based Compensation Arrangement by Share-based Payment Award
Shares authorized (in shares)	25,204,250
The 2009 Option Plan
Share-based Compensation Arrangement by Share-based Payment Award
Shares authorized (in shares)		17,030,280			16,495,150
Additional shares authorized (in shares)		535,130
The 2019 Option Plan
Share-based Compensation Arrangement by Share-based Payment Award
Additional shares authorized (in shares)	8,173,970
The 2019 Option Plan \| Common Class A
Share-based Compensation Arrangement by Share-based Payment Award
Shares authorized (in shares)			16,856,770
The 2019 Option Plan \| Common Stock, LT50
Share-based Compensation Arrangement by Share-based Payment Award
Shares authorized (in shares)			16,856,770
The 2019 Option Plan \| Restricted stock units
Share-based Compensation Arrangement by Share-based Payment Award
Shares authorized (in shares)				8,679,380
The 2019 Option Plan \| Restricted stock units \| Common Class A
Share-based Compensation Arrangement by Share-based Payment Award
Shares authorized (in shares)				4,339,690
The 2019 Option Plan \| Restricted stock units \| Common Stock, LT50
Share-based Compensation Arrangement by Share-based Payment Award
Shares authorized (in shares)				4,339,690

INCOME TAXES

3 Months Ended

Mar. 31, 2022

Income Tax Disclosure [Abstract]

Income Taxes

INCOME TAXES

The components of the Company’s provision for income taxes are as follows (in thousands):


	Three months ended March 31,
	2022		2021
Current income tax benefit (expense):
Federal	$	(1,092)	$	(2,175)
State	(184)		(555)
Foreign	(356)		(32)
Total provision for income taxes	$	(1,632)	$	(2,762)

For the three months ended March 31, 2022, the Company prepared its interim tax provision by applying a year-to-date effective tax rate. For the three months ended March 31, 2021, the Company prepared its interim tax provision by applying an annual effective tax rate. Use of the actual year-to-date effective tax rate commenced during the three months ended September 30, 2021 and the Company believes that continuing to use the actual year-to-date effective tax rate going forward results in the best estimate of the annual effective tax rate.

The effective income tax rate differs from the statutory rate during the three months ended March 31, 2022 primarily due to the change in valuation allowance.


	Three months ended March 31,
	2022		2021
Statutory rate	21.0	%	21.0	%
State tax	4.9	%	3.8	%
Research and development (R&D) credit	0.6	%	(0.5)	%
Rate differentials for controlled foreign corporations (CFCs) and charitable organizations	(1.8)	%	(0.2)	%
Permanent items and others	(0.3)	%	—	%
Change in valuation allowance	(53.4)	%	—	%
Stock-based compensation - federal	0.6	%	1.5	%
Total	(28.4)	%	25.6	%

The Company follows the provisions of ASC Subtopic 740-10, Accounting for Uncertainty in Income Taxes. ASC 740-10 prescribes a comprehensive model for the recognition, measurement, presentation and disclosure in financial statements of uncertain tax positions that have been taken or expected to be taken on a tax return. As of March 31, 2022 and December 31, 2021, the Company recorded an uncertain tax position liability, exclusive of interest and penalties, of $1.0 million and $0.2 million respectively, within Other liabilities on the consolidated balance sheets.

The Company is subject to income taxes in U.S. federal and various state, local and foreign jurisdictions. The tax years ended from December 2012 to December 2020 remain open to examination due to the carryover of unused net operating losses or tax credits.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

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+ Details

STOCK INCENTIVE PLANS - Stock-based Compensation Narratives (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award
Stock based compensation expense	$ 14,667	$ 710
Software Development
Share-based Compensation Arrangement by Share-based Payment Award
Stock based compensation expense	$ 300

REVENUE AND CERTAIN INCOME STATEMENT COMPONENTS - Total Revenue by Geographic Area (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Disaggregation of Revenue
Revenue	$ 40,370	$ 29,720
United States
Disaggregation of Revenue
Revenue	36,518	26,440
All other locations
Disaggregation of Revenue
Revenue	$ 3,852	$ 3,280

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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+ Details

GENERAL INFORMATION	3 Months Ended
GENERAL INFORMATION	Mar. 31, 2022
Accounting Policies [Abstract]
GENERAL INFORMATION	GENERAL INFORMATION Description of Business Expensify, Inc. ("Expensify"), was incorporated in Delaware on April 29, 2009. Expensify offers a comprehensive expense management platform that integrates with a variety of third-party accounting applications, including QuickBooks Desktop, QuickBooks Online, Xero, NetSuite, Intacct, Sage, Microsoft Dynamics, MYOB and others. Expensify's product simplifies the way that employees and vendors manage and submit expense receipts and bills and provides efficiencies to companies for the payment of those bills. Expensify delivers its services over the internet to corporations and individuals under a license arrangement and offers unique pricing options for small and midsized businesses ("SMB") and enterprises on a per-active-member basis. Expensify's customers are worldwide but primarily in the United States ("U.S."). Expensify also offers an Expensify credit card (the "Expensify Card"), which is primarily distributed to large corporate customers in the U.S. that subsequently distribute the card to their employees for business use. The Expensify Card allows customers to have real-time control over their employees' spending and compliance with spending limits in addition to eReceipt reporting on purchases made. Basis of Presentation and Principles of Consolidation The accompanying unaudited consolidated financial statements, include the accounts of Expensify and its wholly-owned subsidiaries (the "Company"), and have been prepared in accordance with generally accepted accounting principles in the United States of America ("U.S. GAAP"), and the applicable rules and regulations of the Securities and Exchange Commission (the "SEC") for interim reporting in conformity with the instructions to Form 10-Q and Article 10 of Regulation S-X. We have condensed or omitted certain information and footnote disclosures normally included in financial statements presented in accordance with U.S. GAAP. Management believes the disclosures contained herein are adequate to make the information presented not misleading. However, these condensed consolidated financial statements should be read in conjunction with our consolidated financial statements and notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2021 (the “2021 Annual Report"). All intercompany transactions and balances have been eliminated in consolidation. In the opinion of management, the accompanying condensed consolidated financial statements reflect all normal and recurring adjustments that are necessary to present fairly our financial position, results of operations, changes in convertible preferred stock and stockholders’ equity (deficit), and cash flows for the interim periods presented. The consolidated statements of income for the three months ended March 31, 2022 are not necessarily indicative of the results to be expected for the year ending December 31, 2022 or for any other future annual or interim period. On October 27, 2021, the Company effected a ten-for-one stock split of its common stock. All share and per share information has been retroactively adjusted to reflect the stock split for all prior interim periods presented. Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates and judgments are based on historical experience, forecasted events and various other assumptions that the Company believes to be reasonable under the circumstances. Estimates and judgments may differ under different assumptions or conditions. Estimates and judgments are evaluated on an ongoing basis. Actual results could differ from those estimates. Changes in estimates are recorded in the period in which they become known. Significant estimates and assumptions by management affect the Company’s revenues, fair value of common stock, classification of employee and employee-related expenses, the useful lives and recoverability of long-lived assets, income taxes, capitalization of internal-use software costs, incremental borrowing rates for finance and operating lease right-of-use assets and finance and operating lease liabilities, and stock-based compensation. Updates to Significant Accounting Policies The Company’s significant accounting policies are discussed in “Consolidated Financial Statements — Note 2 - Summary of Significant Accounting Policies” in the 2021 Annual Report. There have been no significant changes to these policies during the three months ended March 31, 2022. Restricted Cash Restricted cash includes amounts deposited with a Commercial Bank required as collateral for corporate credit cards issued by the respective Commercial Bank in the U.S. and UK, cash in transit for funds held for customers to the Company's Payment Processor, Expensify Card collateral for funds held for customers, cash held by Expensify.org for social justice and equity efforts of Expensify.org, cash held on behalf of service providers to be used towards service provider share purchases at the end of the Matching Plan (as defined below) offering period, and settlement assets for funds held for customers that are deposited into a Commercial Bank account held by the Company for the benefit of the customers until remitted to the customer's members. Recent Accounting Pronouncements Adopted There have been no changes to the recent accounting pronouncements adopted during the three months ended March 31, 2022 as discussed in “Consolidated Financial Statements — Note 2 - Summary of Significant Accounting Policies” in the 2021 Annual Report. Recent Accounting Pronouncements Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments ("Topic 326"), which requires an impairment model (known as the current expected credit loss or "CECL Model") that is based on expected rather than incurred losses, with an anticipated result of more timely loss recognition. The CECL Model requires measurement of expected credit losses not only based on historical experience and current conditions, but also by including reasonable and supportable forecasts incorporating forward-looking information. The Company is in the process of determining key accounting interpretations, data requirements and necessary changes to our credit loss estimation methods, processes and systems. This guidance is effective for the Company for annual reporting periods beginning after December 15, 2022 and interim periods therein. The Company is currently evaluating the impact of adoption of ASU No. 2016-13 on its consolidated financial statements and related disclosures.

RELATED PARTY TRANSACTIONS	3 Months Ended
RELATED PARTY TRANSACTIONS	Mar. 31, 2022
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	RELATED PARTY TRANSACTIONSDuring the three months ended March 31, 2022, Expensify, Inc. contributed $0.9 million to its wholly-owned subsidiary, Expensify.org, a nonprofit benefit organization established by the Company. There was an immaterial amount of contributions from Expensify, Inc. to Expensify.org during the three months ended March 31, 2021. $0.3 million in commitments from Expensify, Inc. remain open for contribution as of March 31, 2022. All intercompany transactions and balances have been eliminated in consolidation. There are no other significant related party transactions for the Company as of March 31, 2022 except as noted elsewhere in these consolidated financial statements.

INCOME TAXES - Narratives (Details) - USD ($) $ in Millions	Mar. 31, 2022	Dec. 31, 2021
Income Tax Disclosure [Abstract]
Accrual for uncertain tax positions	$ 1.0	$ 0.2

RELATED PARTY TRANSACTIONS (Details) - Expensify.Org - Affiliated Entity $ in Millions	3 Months Ended
	Mar. 31, 2022 USD ($)
Related Party Transaction
Payment of commitments to related party	$ 0.9
Other commitments	$ 0.3

REVENUE AND CERTAIN INCOME STATEMENT COMPONENTS (Tables)

3 Months Ended

Mar. 31, 2022

Revenue Recognition and Deferred Revenue [Abstract]

Schedule of Revenue from Geographic Areas

Our revenues by geographic region, based on user address, were as follows (in thousands):


	Three months ended March 31,
	2022		2021
Revenue by customers' geographic locations
United States	$	36,518	$	26,440
All other locations	3,852		3,280
Total revenue	$	40,370	$	29,720

Schedule of Cashback Rewards

The table below provides the cashback rewards recorded as contra revenue for the three months ended March 31, 2022 and 2021 (in thousands):


	Three months ended March 31,
	2022		2021
Cashback rewards	$	505	$	—

Schedule of Consideration from Vendors

The table below provides the consideration from a vendor, net of credit card processing fees paid to the vendor, for the three months ended March 31, 2022 and 2021 (in thousands):


	Three months ended March 31,
	2022		2021
Consideration from a vendor, net	$	1,123	$	456

STOCK INCENTIVE PLANS

3 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

STOCK INCENTIVE PLANS

2009 and 2019 Stock Plans

In 2009, the Company’s Board of Directors approved the Company's 2009 Stock Plan (the "2009 Stock Plan"). As amended in 2015, the 2009 Stock Plan permitted the Company to grant awards covering up to 16,495,150 shares of the Company’s common stock. In January 2018, the Company increased the number of shares of common stock reserved under the 2009 Stock Plan by 535,130 shares, from 16,495,150 shares to 17,030,280. In April 2019, the Company approved the adoption of the 2019 Stock Plan (the "2019 Stock Plan", and together with the 2009 Stock Plan, the "Stock Plans"). The 2019 Stock Plan permitted the Company to grant up to 8,173,970 additional shares, increasing the overall common stock reserved for grant under the Stock Plans 25,204,250 shares. In September 2021, under the 2019 Stock Plan, the Company's Board of Directors approved the grant of 8,679,380 restricted stock units under the 2019 Stock Plan, which covered of an aggregate of 4,339,690 shares of each of Class A and LT50 common stock effective as of immediately prior to the effectiveness of the Company's IPO Registration Statement on November 9, 2021. On November 9, 2021, the Company's Board of Directors amended and restated the 2019 Stock Plan to, among other things, increased the common stock reserved for issuance under the 2019 Stock Plan to an aggregate of 16,856,770 shares of the Company's LT50 and Class A common stock.

Following the completion of the IPO, the Company did not and will not make any further grants under the Stock Plans. However, the Stock Plans will continue to govern the terms and conditions of the outstanding awards granted under the Stock Plans. Upon the expiration, forfeiture, cancellation, withholding of shares upon exercise or settlement of an award to satisfy the exercise price or tax withholding, or repurchase of any shares of Class A common stock underlying outstanding stock-based awards granted under the 2009 Stock Plan or of Class A or LT50 common stock underlying outstanding stock-based awards granted under the 2019 Stock Plan, an equal number of shares of Class A common stock will become available for grant under the Company's 2021 Incentive Award Plan (the "2021 Plan") and the Company's 2021 Stock Purchase and Matching Plan ("Matching Plan" and together with the 2021 Plan, the "2021 Incentive Plans"), each of which was adopted by the Company immediately before the effectiveness of the IPO Registration Statement.

2021 Incentive Plans

In November 2021, the Company’s Board of Directors adopted, and its stockholders approved, the 2021 Incentive Plans, which both became effective immediately before the effectiveness of the IPO Registration Statement and use a combined share reserve. Under the 2021 Incentive Plans, 11,676,932 shares of the Company's Class A common stock are reserved for issuance pursuant to a variety of stock-based awards, including incentive stock options, nonqualified stock options, stock appreciation rights ("SARs"), restricted stock awards, RSUs, and other forms of equity and cash compensation under the 2021 Plan and purchase rights and matching awards under the Matching Plan. The number of shares initially reserved for issuance or transfer pursuant to awards under the 2021 Incentive Plans was increased by 776,600 shares that were available for issuance under the Stock Plans as of the effective date of the 2021 Incentive Plans and will be increased upon the expiration, forfeiture, cancellation, withholding of shares upon exercise or settlement of an award to satisfy the exercise price or tax withholding, or repurchase of any shares of Class A common stock underlying outstanding stock-based awards granted under the 2009 Stock Plan or of Class A or LT50 common stock underlying outstanding

stock-based awards granted under the 2019 Stock Plan. The number of shares of Class A common stock reserved for issuance under the 2021 Incentive Plans increased by 747,212 shares on January 1, 2022 and will automatically increase each subsequent January 1 through January 1, 2031, by the lesser of (A) 6% of the aggregate number of shares of all classes of the Company's common stock outstanding on the immediately preceding calendar year, or (B) such lesser number of shares as determined by the Company’s board of directors or compensation committee; provided, however, that no more than 87,576,990 shares of stock may be issued upon the exercise of incentive stock options.

Matching Plan

The Matching Plan operates using consecutive 3 month offering periods that commenced on March 15, 2022. Service providers of the Company, including employees and consultants, can participate in the Matching Plan by electing to contribute compensation through payroll deductions or from fee payments or may be granted discretionary awards under the Matching Plan. On the last day of the offering period the contributions made during the offering period are used to purchase shares of Class A common stock.

The price at which Class A common stock is purchased under the Matching Plan equals the average of the high and low trading price of a share of the Company’s Class A common stock as of the last trading day of the offering period. At the end of each offering period, the Company may provide a discretionary match up to 1/10 of a share of the Company's Class A common stock for each share of Class A common stock purchased by or issued to an employee under the Matching Plan that is retained through the end of the applicable offering period. For the current offering period, the Company has elected to match each share of Class A common stock purchased by or issued to an employee under the Matching Plan that is retained through June 14, 2022 with 1/20 of a share of Class A common stock. No fractional shares will be issued by the Company. The Company will round to the nearest full share for shares purchased by an employee as well as any matched shares issued to an employee under the Matching Plan. The match rate applicable to each offering period shall be limited to 1.5% of the shares of any class of Company capital stock outstanding as of the exercise date applicable to such offering period.

The Company estimates the fair value of matched shares provided by the Company under the Matching Plan using the Black-Scholes option-pricing model on the date of grant. The Company recognizes stock-based compensation expense related to the matched shares provided by the Company pursuant to its Matching Plan on a straight-line basis over the applicable 3-month offering period. As of March 31, 2022, no Class A common stock has been issued or purchased by service providers under the Matching Plan. During the three months ended March 31, 2022, the Company granted an estimated total of 4,365 Class A common shares, which will be provided to all service providers participating in the Matching Plan at the end of the current offering period on June 14, 2022.

Restricted Stock Units

On September 24, 2021, the Company approved the grant of RSUs to service providers covering Class A common stock and LT50 common stock effective as of the date the Company amended its certificate of incorporation to include, among other things, LT50 common stock, which was November 9, 2021. RSUs granted to employees in September 2021 vest upon the satisfaction of both a performance and service condition. The performance condition was satisfied immediately prior to the effectiveness of the IPO Registration Statement on November 9, 2021. The RSUs approved on September 24, 2021 vest over eight years with 1/8 of the grant vesting on September 15, 2022 and quarterly vesting of 1/32 of the grant every December 15, March 15, June 15 and September 15 (each, a "Specified Quarterly Date") thereafter until fully vested, in each case subject to continued service to the Company. All RSUs granted to employees during and after November 2021 have a service condition only, which vests over 8 years from a vesting commencement date corresponding to one of the Specified Quarterly Dates near the date of grant, with 1/8 of each grant vesting on the first anniversary of the vesting commencement

date and 1/32 of each grant vesting in equal quarterly installments thereafter until fully vested, in each case, subject to continued service to the Company.

During the three months ended March 31, 2022, the Company granted certain service providers a total of 43,060 RSUs, covering shares of Class A common stock, at a grant date fair value of $18.93 per share. These RSUs vest as described above. The Company had 2,316 RSUs covering shares of Class A common stock vest during the three months ended March 31, 2022 related to previously granted RSU awards to Non-Employee Directors as the quarterly service conditions were satisfied. There were no RSUs granted during the three months ended March 31, 2021.

During the three months ended March 31, 2022, RSU activity was as follows:


	Class A Common Stock(1)	LT50 Common Stock(1)	Weighted average grant date fair value per share
Outstanding at December 31, 2021	4,329,530	4,301,750	$	33.75
RSUs granted	43,060	—	$	18.93
RSUs vested	(2,316)	—	$	47.62
RSUs cancelled/forfeited/expired	(88,020)	(88,020)	$	33.14
Outstanding at March 31, 2022	4,282,254	4,213,730	$	33.92

(1)On November 9, 2021, immediately prior to the effectiveness of the Company’s IPO Registration Statement, the Company’s certificate of incorporation was amended to provide for, among other things, LT50 common stock.

As of March 31, 2022, there was $263.3 million of unamortized stock-based compensation cost related to unvested RSUs, which is expected to be recognized over the remaining weighted average life of 6.81 years. As of December 31, 2021, there was $282.0 million of unamortized stock-based compensation cost related to unvested RSUs, which is expected to be recognized over the remaining weighted average life of 6.92 years.

Stock Options

Both Stock Plans, as well as the 2021 Plan, provide for the grant of incentive and nonstatutory stock options to employees, nonemployee directors and consultants of the Company. Under the Stock Plans and the 2021 Plan, the exercise price of incentive stock options must be at least equal to 110% of the fair market value of the common stock on the grant date for a “ten-percent holder” or 100% of the fair market value of the common stock on the grant date for any other employee. The exercise price of nonstatutory options granted must be at least equal to 100% of the fair market value of the Company’s common stock on the date of grant.

The Company has only granted options under the Stock Plans. Under both Stock Plans, most options typically vest over four years and are exercisable at any time after the grant date, provided that service providers exercising unvested options receive restricted common stock that is subject to repurchase at the original exercise price upon a termination of service. The repurchase right lapses in accordance with the vesting schedule of the exercised option. Early exercises of options prior to vesting are not deemed to be substantive exercises for accounting purposes and accordingly, amounts received for early exercises of unvested options are recorded as a liability. These repurchase terms are considered to be a forfeiture provision and do not result in variable accounting. During the three months ended March 31, 2022, the Company repurchased an immaterial amount of exercised restricted common stock. There were no repurchases of common stock during the three months ended March 31, 2021.

As of March 31, 2022 and December 31, 2021, there were 1,282,740 and 1,437,760 shares, respectively, subject to repurchase related to stock options exercised prior to vesting that are expected to vest. As

of March 31, 2022 and December 31, 2021, the Company recorded a liability related to these shares subject to repurchase in the amount of $2.2 million and $2.4 million, respectively, which is included within Accrued expenses and other liabilities in the accompanying consolidated balance sheets. These amounts are reclassified to common stock and additional paid in capital as the underlying shares vest.

A summary of the Company's stock option activity was as follows:


	Shares	Weighted average exercise price per share		Weighted average remaining contractual life (in years)
Outstanding at December 31, 2021	7,193,193	$	1.87	6.45
Options granted	—	$	—
Options exercised	(205,730)	$	1.60
Options cancelled/forfeited/expired	(184,391)	$	1.73
Outstanding at March 31, 2022	6,803,072	$	1.85	6.04
Exercisable at March 31, 2022	6,564,742	$	1.06	6.29

The total pretax intrinsic value of options exercised during the three months ended March 31, 2022 and 2021 was $5.2 million and $2.0 million, respectively. The total pretax intrinsic value of options outstanding at March 31, 2022 and December 31, 2021 was $106.7 million and $302.8 million, respectively. The intrinsic value is the difference between the estimated fair market value of the Company’s common stock at the date of exercise and the exercise price for in-the-money options. No options were granted during the three months ended March 31, 2022. The weighted average grant date fair value of options granted during the three months ended March 31, 2021 was $8.60.

As of March 31, 2022, there was $11.8 million of unrecognized stock-based compensation cost related to unvested stock options, which is expected to be recognized over a weighted average period of 1.57 years. As of December 31, 2021, there was $13.2 million of unrecognized stock-based compensation cost related to unvested stock options, which is expected to be recognized over a weighted average period of 1.7 years.

Cash received from option exercises and purchases of shares under the Stock Plans for the three months ended March 31, 2022 and 2021 was $0.3 million and $0.1 million, respectively.

Stock-Based Compensation

The following table summarizes the stock-based compensation expense recognized for the options granted under the 2009 Stock Plan, options and RSUs granted under the 2019 Stock Plan, RSUs granted under the 2021 Plan and matching shares issued under the Matching Plan, in each case, as plans discussed above (in thousands):


	Three months ended March 31,
	2022		2021
Stock options	$	1,006	$	710
Matching shares	2		—
Restricted stock units	13,659		—
Total	$	14,667	$	710

Stock-based compensation expense is allocated based on the cost center to which the award holder spent time during the reported periods. Stock-based compensation is included in the following components of expenses on the accompanying consolidated statements of income (in thousands):


	Three months ended March 31,
	2022		2021
Cost of revenue, net	$	4,908	$	188
Research and development	2,708		154
General and administrative	4,975		304
Sales and marketing	2,076		64
Total	$	14,667	$	710

Stock-based compensation expense capitalized as internally developed software costs was $0.3 million for the three months ended March 31, 2022. These amounts were immaterial for the three months ended March 31, 2021.

INCOME TAXES - Reconciliation of Effective Tax Rate (Details)	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Effective Income Tax Rate Reconciliation, Percent
Statutory rate	21.00%	21.00%
State tax	4.90%	3.80%
Research and development (R&D) credit	0.60%	(0.50%)
Rate differentials for controlled foreign corporations (CFCs) and charitable organizations	(1.80%)	(0.20%)
Permanent items and others	(0.30%)	0.00%
Change in valuation allowance	(53.40%)	0.00%
Stock-based compensation - federal	0.60%	1.50%
Total	(28.40%)	25.60%

STOCK INCENTIVE PLANS - Stock Option Roll-forward (Details) - $ / shares	3 Months Ended	12 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Shares
Beginning balance (in shares)	7,193,193
Options granted (in shares)	0
Options exercised (in shares)	(205,730)
Options cancelled/forfeited/expired (in shares)	(184,391)
Ending balance (in shares)	6,803,072	7,193,193
Options exercisable (in shares)	6,564,742
Weighted average exercise price per share
Beginning balance (in dollars per share)	$ 1.87
Options granted (in dollars per share)	0
Options exercised (in dollars per share)	1.60
Options cancelled/forfeited/expired (in dollars per share)	1.73
Ending balance (in dollars per share)	1.85	$ 1.87
Options exercisable (in dollars per share)	$ 1.06
Weighted average remaining contractual life, options outstanding (in years)	6 years 14 days	6 years 5 months 12 days
Weighted average remaining contractual life, options exercisable (in years)	6 years 3 months 14 days

REVENUE AND CERTAIN INCOME STATEMENT COMPONENTS - Cashback Rewards and Consideration (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Disaggregation of Revenue
Consideration from a vendor, net	$ 1,123	$ 456
Cashback Rewards
Disaggregation of Revenue
Cashback rewards	$ 505	$ 0

STOCK INCENTIVE PLANS (Tables)

3 Months Ended

Mar. 31, 2022

Share-based Payment Arrangement [Abstract]

Schedule of RSU Rollforward

During the three months ended March 31, 2022, RSU activity was as follows:


	Class A Common Stock(1)	LT50 Common Stock(1)	Weighted average grant date fair value per share
Outstanding at December 31, 2021	4,329,530	4,301,750	$	33.75
RSUs granted	43,060	—	$	18.93
RSUs vested	(2,316)	—	$	47.62
RSUs cancelled/forfeited/expired	(88,020)	(88,020)	$	33.14
Outstanding at March 31, 2022	4,282,254	4,213,730	$	33.92

Schedule of Stock Option Roll-forward

A summary of the Company's stock option activity was as follows:


	Shares	Weighted average exercise price per share		Weighted average remaining contractual life (in years)
Outstanding at December 31, 2021	7,193,193	$	1.87	6.45
Options granted	—	$	—
Options exercised	(205,730)	$	1.60
Options cancelled/forfeited/expired	(184,391)	$	1.73
Outstanding at March 31, 2022	6,803,072	$	1.85	6.04
Exercisable at March 31, 2022	6,564,742	$	1.06	6.29

Schedule of Stock-based Compensation Expense


	Three months ended March 31,
	2022		2021
Stock options	$	1,006	$	710
Matching shares	2		—
Restricted stock units	13,659		—
Total	$	14,667	$	710


	Three months ended March 31,
	2022		2021
Cost of revenue, net	$	4,908	$	188
Research and development	2,708		154
General and administrative	4,975		304
Sales and marketing	2,076		64
Total	$	14,667	$	710

CERTAIN BALANCE SHEET COMPONENTS - Accrued Expenses and Other Liabilities (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Accrued expense reports	$ 172	$ 246
Partner payouts and advertising fees	438	574
Hosting and license fees	98	36
Credit card processing fees	87	56
Professional and other fees	2,208	1,274
Sales, payroll and other taxes payable	1,819	4,936
Cashback rewards	211	239
Interest payable	771	783
Restricted common stock liability for early stock option exercises	2,231	2,443
Matching plan payroll liability	235	0
Other	141	459
Accrued expenses and other liabilities	$ 8,411	$ 11,046

STOCK INCENTIVE PLANS - 2021 Incentive Plan and Matching Plan (Details) - shares		1 Months Ended	3 Months Ended
	Jan. 01, 2022	Nov. 30, 2021	Mar. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award
Options granted (in shares)			0
2021 Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award
Increase in shares reserved for future issuance (in shares)	747,212	776,600
2021 Incentive Plan \| Common Class A
Share-based Compensation Arrangement by Share-based Payment Award
Shares reserved for future issuance (in shares)		11,676,932
2021 Incentive Plan \| Common Class A \| Maximum
Share-based Compensation Arrangement by Share-based Payment Award
Shares reserved for future issuance (in shares)		87,576,990
Annual increase in shares reserved for future issuance (as a percent)	6.00%
Matching shares
Share-based Compensation Arrangement by Share-based Payment Award
Employer share match rate (as a percent)			1.50%
Matching shares \| Common Class A
Share-based Compensation Arrangement by Share-based Payment Award
Options granted (in shares)			4,365

NET (LOSS) INCOME PER SHARE - Schedule of Earnings Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Numerator
Net (loss) income	$ (7,376)	$ 8,043
Less: income allocated to participating securities	0	(5,547)
Net (loss) income attributable to Class A, LT10 and LT50 common stockholders	(7,376)	2,496
Net (loss) income attributable to Class A, LT10 and LT50 common stockholders, diluted	$ (7,376)	$ 2,496
Denominator
Weighted Average Number of Shares Weighted-average shares of common stock used to compute net (loss) income per share attributable to common stockholders, basic (in shares)	80,147,208	29,522,409
Net (loss) income per share attributable to Class A, LT10 and LT50 common stockholders, basic (in dollars per share)	$ (0.09)	$ 0.08
Numerator
Net (loss) income	$ (7,376)	$ 8,043
Less: income allocated to participating securities	$ 0	$ (5,547)
Effect of dilutive securities:
Warrants (in shares)	0	419,250
Stock options (in shares)	0	10,634,680
Weighted-average shares of common stock used to compute net income (loss) per share attributable to common stockholders, diluted (in shares)	80,147,208	40,576,339
Net (loss) income per share attributable to Class A, LT10 and LT50 common stockholders, diluted (in dollars per share)	$ (0.09)	$ 0.06

CERTAIN BALANCE SHEET COMPONENTS

3 Months Ended

Mar. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

CERTAIN BALANCE SHEET COMPONENTS

Capitalized Software

Capitalized software, net consisted of the following (in thousands):


	As of March 31,		As of December 31,
	2022		2021
Capitalized software development costs	$	11,423	$	10,966
Less: accumulated amortization	(5,265)		(4,607)
	$	6,158	$	6,359

Amortization expense related to capitalized software development costs is recorded in Cost of revenue, net on the consolidated statements of income. The table below provides the amortization expense related to capitalized software development costs for the three months ended March 31, 2022 and 2021 (in thousands):


	Three months ended March 31,
	2022		2021
Amortization expense for capitalized software	$	658	$	376

Property and Equipment, net

Property and equipment, net consisted of the following (in thousands):


	As of March 31,		As of December 31,
	2022		2021
Computers and equipment	$	291	$	311
Furniture and fixtures	1,374		1,462
Leasehold improvements	6,960		7,106
Commercial building	6,493		6,493
Land	4,151		4,151
Construction in progress	2,535		2,391
	21,804		21,914
Less: accumulated depreciation	(6,220)		(5,984)
	$	15,584	$	15,930

Depreciation expense related to Property and equipment is recorded in General and administrative on the consolidated statements of income.

The table below provides the depreciation expense related to Property and equipment for the three months ended March 31, 2022 and 2021 (in thousands):


	Three months ended March 31,
	2022		2021
Depreciation expense	$	509	$	597

Other Current Assets

Other current assets consisted of the following (in thousands):


	As of March 31,		As of December 31,
	2022		2021
Expensify.org restricted cash	$	3,997	$	3,078
Expensify Card posted collateral for funds held for customers	4,323		5,115
Cash in transit for funds held for customers	1,345		388
Contract assets	—		8
Expensify Payments LLC restricted cash	56		55
Income tax receivable	5,544		5,412
Matching plan escrow	235		—
Other	246		145
	$	15,746	$	14,201

Accrued expenses and other liabilities

Accrued expenses and other liabilities consisted of the following (in thousands):


	As of March 31,		As of December 31,
	2022		2021
Accrued expense reports	$	172	$	246
Partner payouts and advertising fees	438		574
Hosting and license fees	98		36
Credit card processing fees	87		56
Professional and other fees	2,208		1,274
Sales, payroll and other taxes payable	1,819		4,936
Cashback rewards	211		239
Interest payable	771		783
Restricted common stock liability for early stock option exercises	2,231		2,443
Matching plan payroll liability	235		—
Other	141		459
	$	8,411	$	11,046

Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Income Statement [Abstract]
Revenue	$ 40,370	$ 29,720
Cost of revenue, net	14,133	7,637
Gross margin	26,237	22,083
Operating expenses:
Research and development	3,701	1,097
General and administrative	14,006	6,367
Sales and marketing	13,372	3,077
Total operating expenses	31,079	10,541
(Loss) income from operations	(4,842)	11,542
Interest and other expenses, net	(902)	(737)
(Loss) income before income taxes	(5,744)	10,805
Provision for income taxes	(1,632)	(2,762)
Net (loss) income	(7,376)	8,043
Less: income allocated to participating securities	0	(5,547)
Net (loss) income attributable to Class A, LT10 and LT50 common stockholders	(7,376)	2,496
Net (loss) income attributable to Class A, LT10 and LT50 common stockholders, diluted	$ (7,376)	$ 2,496
Net (loss) income per share attributable to Class A, LT10 and LT50 common stockholders:
Basic (in dollars per share)	$ (0.09)	$ 0.08
Diluted (in dollars per share)	$ (0.09)	$ 0.06
Weighted-average shares of common stock used to compute net (loss) income per share attributable to Class A, LT10 and LT50 common stockholders:
Weighted-average number of basic shares outstanding (in shares)	80,147,208	29,522,409
Weighted-average number of diluted shares outstanding (in shares)	80,147,208	40,576,339

NET (LOSS) INCOME PER SHARE (Tables)

3 Months Ended

Mar. 31, 2022

Earnings Per Share [Abstract]

Schedule of Earnings Per Share, Basic and Diluted

The computation of net (loss) income per share attributable to common stockholders is as follows (in thousands, except share and per share data):


	Three months ended March 31,
	2022		2021
Basic net (loss) income per share:
Numerator
Net (loss) income	$	(7,376)	$	8,043
Less: income allocated to participating securities	—		(5,547)
Net (loss) income attributable to Class A, LT10 and LT50 common stockholders, basic and diluted	$	(7,376)	$	2,496
Denominator
Weighted-average shares of common stock used to compute net (loss) income per share attributable to common stockholders, basic	80,147,208		29,522,409
Net (loss) income per share attributable to Class A, LT10 and LT50 common stockholders, basic	$	(0.09)	$	0.08

Diluted net (loss) income per share:
Numerator
Net (loss) income	$	(7,376)	$	8,043
Less: income allocated to participating securities	—		(5,547)
Net (loss) income attributable to Class A, LT10 and LT50 common stockholders, diluted	$	(7,376)	$	2,496
Denominator
Effect of dilutive securities:
Warrants	—		419,250
Stock options	—		10,634,680
Weighted-average shares of common stock used to compute net (loss) income per share attributable to common stockholders, diluted	80,147,208		40,576,339
Net (loss) income per share attributable to Class A, LT10 and LT50 common stockholders, diluted	$	(0.09)	$	0.06

Schedule of Anti-dilutive Securities

The following potentially dilutive shares were not included in the calculation of diluted shares outstanding as the effect would have been anti-dilutive:


	Year ended Three months ended March 31,
	2022	2021
Weighted-average stock options	6,067,912	—
Matching shares	39,756	—
Convertible preferred stock	—	42,031,390
Total	6,107,668	42,031,390

COMMITMENTS AND CONTINGENCIES - Cashflow Disclosures (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$ (192)	$ (224)
Operating cash flows from finance leases	(7)	(12)
Financing cash flows from finance leases	$ (197)	$ (192)

COMMITMENTS AND CONTINGENCIES - Monthly revolving line of credit (Details) - USD ($)	12 Months Ended
	Dec. 31, 2021	Dec. 31, 2020	Mar. 31, 2022	Sep. 30, 2021
Line of Credit Facility
Borrowings under line of credit	$ 15,000,000		$ 15,000,000
Unamortized debt issuance cost	200,000		300,000
Revolving Credit Facility \| 2021 Amended Term Loan \| Line of Credit
Line of Credit Facility
Maximum borrowing capacity				$ 25,000,000
Borrowings under line of credit			15,000,000
Remaining borrowing capacity	$ 10,000,000		$ 10,000,000
Revolving Credit Facility \| 2021 Amended Term Loan \| Line of Credit \| Reference Rate
Line of Credit Facility
Variable rate (as a percent)	1.00%	1.00%
Effective interest rate (as a percent)			4.50%

STOCK INCENTIVE PLANS - RSU Narratives (Details) - Restricted stock units - USD ($) $ / shares in Units, $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award
Vesting period (in years)	8 years
Share-based compensation expense not yet recognized	$ 263.3		$ 282.0
Share-based compensation not yet recognized, recognition period (in years)	6 years 9 months 21 days		6 years 11 months 1 day
Common Class A
Share-based Compensation Arrangement by Share-based Payment Award
Granted (in shares)	43,060	0
Vested (in shares)	2,316
Granted (in dollars per share)	$ 18.93

NET (LOSS) INCOME PER SHARE - Narratives (Details)	3 Months Ended
NET (LOSS) INCOME PER SHARE - Narratives (Details)	Mar. 31, 2022 vote shares
Common Class A
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Voting right per share (vote)	1
Shares converted (in shares) \| shares	1
Common Stock, LT10
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Voting right per share (vote)	10
Conversion of stock, notice period (in months)	10 months
Common Stock, LT50
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Voting right per share (vote)	50
Conversion of stock, notice period (in months)	50 months

COMMITMENTS AND CONTINGENCIES - Future aggregate annual principal payments on all long-term debt (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Long-term Debt, Fiscal Year Maturity
Remainder of 2022	$ 15,441
2023	595
2024	715
2025	1,397
2026 and thereafter	49,546
Company borrowed	67,694
Less: discount for issuance costs	(300)	$ (200)
Long-term debt	67,394
Less: line of credit	(15,000)	(15,000)
Less: current portion, net of issuance costs	(547)	(549)
Long-term debt, net of issuance costs	$ 51,847	$ 52,067

REVENUE AND CERTAIN INCOME STATEMENT COMPONENTS

3 Months Ended

Mar. 31, 2022

Revenue Recognition and Deferred Revenue [Abstract]

REVENUE AND CERTAIN INCOME STATEMENT COMPONENTS

Our revenues by geographic region, based on user address, were as follows (in thousands):


	Three months ended March 31,
	2022		2021
Revenue by customers' geographic locations
United States	$	36,518	$	26,440
All other locations	3,852		3,280
Total revenue	$	40,370	$	29,720

No individual customer represents more than 10% of the Company’s total revenue for the three months ended March 31, 2022 and 2021, respectively.

Cashback Rewards

The Company offers a cashback rewards program to all customers based on volume of Expensify card transactions and SaaS subscription tier. Cashback rewards are earned on a monthly basis and paid out the following month. The Company considers their cashback payments to customers as consideration payable to a customer under the scope of ASC 606 and it is therefore recorded as contra revenue within Revenue on the consolidated statements of income.

The table below provides the cashback rewards recorded as contra revenue for the three months ended March 31, 2022 and 2021 (in thousands):


	Three months ended March 31,
	2022		2021
Cashback rewards	$	505	$	—

Consideration From a Vendor, net

The Company receives consideration from a vendor for monetizing Expensify Card activities. This consideration, net of credit card processing fees paid to the vendor, is included as a reduction to cost of revenue within the consolidated statements of income.

The table below provides the consideration from a vendor, net of credit card processing fees paid to the vendor, for the three months ended March 31, 2022 and 2021 (in thousands):


	Three months ended March 31,
	2022		2021
Consideration from a vendor, net	$	1,123	$	456

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI http://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130551-203045

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 13
-Subparagraph (b)(2)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130556-203045

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (b)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130550-203045

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (e)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (a)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (d)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130558-203045

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-SubTopic 10
-Section 50
-Paragraph 12
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=123351226&loc=SL49130554-203045

+ Details

Condensed Consolidated Statements of Convertible Preferred Stock and Stockholders’ Equity (Deficit) (Unaudited) - USD ($) $ in Thousands	Total	Convertible preferred stock Convertible preferred stock	Common stock	Additional paid-in capital	Accumulated deficit
Beginning balance at Dec. 31, 2020		$ 45,105
Beginning balance (in shares) at Dec. 31, 2020		4,203,139
Ending balance at Mar. 31, 2021		$ 45,105
Ending balance (in shares) at Mar. 31, 2021		4,203,139
Beginning balance at Dec. 31, 2020	$ (31,036)		$ 0	$ 21,312	$ (52,348)
Beginning balance (in shares) at Dec. 31, 2020			29,366,940
Increase (Decrease) in Stockholders' Equity
Issuance of common stock upon exercise of stock options	125			125
Issuance of common stock upon exercise of stock options (in shares)			273,580
Stock-based compensation	710			710
Net (loss) income	8,043				8,043
Ending balance at Mar. 31, 2021	(22,158)		$ 0	22,147	(44,305)
Ending balance (in shares) at Mar. 31, 2021			29,640,520
Beginning balance at Dec. 31, 2021	76,615		$ 6	142,515	(65,906)
Beginning balance (in shares) at Dec. 31, 2021			81,400,860
Increase (Decrease) in Stockholders' Equity
Issuance of common stock upon exercise of stock options	$ 252			252
Issuance of common stock upon exercise of stock options (in shares)	205,730		205,730
Vesting of early exercised stock options	$ 295			295
Issuance of restricted stock units	18			18
Issuance of restricted stock units (in shares)			2,733
Repurchases of early exercised stock options	(4)			(4)
Repurchases of early exercised stock options (in shares)			(2,330)
Stock-based compensation	14,667			14,667
Net (loss) income	(7,376)				(7,376)
Ending balance at Mar. 31, 2022	$ 84,467		$ 6	$ 157,743	$ (73,282)
Ending balance (in shares) at Mar. 31, 2022			81,606,993

COMMITMENTS AND CONTINGENCIES - 2021 Amended Term Loan (Details) - USD ($)				1 Months Ended	3 Months Ended		12 Months Ended
	Oct. 01, 2025	Oct. 01, 2024	Sep. 30, 2021	Sep. 30, 2021	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021	Dec. 31, 2020
Schedule of Capitalization, Long-term Debt
Repayments of long term debt					$ 146,000	$ 616,000
Long-term debt, net of issuance costs					$ 51,847,000		$ 52,067,000
2021 Amended Term Loan \| Secured Debt
Schedule of Capitalization, Long-term Debt
Maximum borrowing capacity			$ 75,000,000	$ 75,000,000
Periodic payment				100,000
Effective interest rate (as a percent)					5.75%
Long-term debt, net of issuance costs					$ 44,800,000		$ 44,900,000
2021 Amended Term Loan \| Secured Debt \| Reference Rate
Schedule of Capitalization, Long-term Debt
Variable rate (as a percent)			2.25%
2021 Amended Term Loan \| Secured Debt \| Forecast \| Subsequent Event
Schedule of Capitalization, Long-term Debt
Periodic payment	$ 600,000	$ 200,000
2021 Amended Term Loan \| Line of Credit \| Revolving Credit Facility
Schedule of Capitalization, Long-term Debt
Maximum borrowing capacity			$ 25,000,000	25,000,000
Repayments of long term debt				23,500,000
2021 Amended Term Loan \| Line of Credit \| Revolving Credit Facility \| Reference Rate
Schedule of Capitalization, Long-term Debt
Variable rate (as a percent)							1.00%	1.00%
Effective interest rate (as a percent)					4.50%
Initial Term Loan \| Secured Debt
Schedule of Capitalization, Long-term Debt
Maximum borrowing capacity			45,000,000	$ 45,000,000
Debt instrument, term (in years)				60 months
Delayed Term Loan \| Secured Debt
Schedule of Capitalization, Long-term Debt
Maximum borrowing capacity			$ 30,000,000	$ 30,000,000

CERTAIN BALANCE SHEET COMPONENTS - Other Current Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Schedule Of Other Current Assets [Line Items]
Expensify Card posted collateral for funds held for customers	$ 4,323	$ 5,115
Cash in transit for funds held for customers	1,345	388
Contract assets	0	8
Income tax receivable	5,544	5,412
Matching plan escrow	235	0
Other	246	145
Other current assets	15,746	14,201
Expensify Payment LLC \| Affiliated Entity
Schedule Of Other Current Assets [Line Items]
Restricted cash	56	55
Subsidiaries \| Expensify.Org
Schedule Of Other Current Assets [Line Items]
Restricted cash	$ 3,997	$ 3,078

CERTAIN BALANCE SHEET COMPONENTS - Depreciation (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Depreciation expense	$ 509	$ 597