Liquidity Services (LQDT) 10-Q 6 Feb 20 2020 Q1 Quarterly report Financial data

Cover Page

Cover Page - shares	3 Months Ended
	Dec. 31, 2019	Feb. 03, 2020
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Dec. 31, 2019
Document Transition Report	false
Entity File Number	0-51813
Entity Registrant Name	LIQUIDITY SERVICES, INC
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	52-2209244
Entity Address, Address Line One	6931 Arlington Road, Suite 200
Entity Address, City or Town	Bethesda
Entity Address, State or Province	MD
Entity Address, Postal Zip Code	20814
City Area Code	202
Local Phone Number	467-6868
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		33,988,798
Entity Central Index Key	0001235468
Amendment Flag	false
Current Fiscal Year End Date	--09-30
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q1

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2019	Sep. 30, 2019
Current assets:
Cash and cash equivalents	$ 24,183	$ 36,497
Short-term investments	25,000	30,000
Accounts receivable, net of allowance for doubtful accounts of $250 and $291	5,949	6,704
Inventory, net	5,808	5,843
Prepaid taxes and tax refund receivable	2,608	2,531
Prepaid expenses and other current assets	6,975	8,350
Total current assets	70,523	89,925
Property and equipment, net of accumulated depreciation of $11,564 and $10,566	18,695	18,846
Operating lease assets	11,724
Intangible assets, net	5,727	6,043
Goodwill	59,728	59,467
Deferred tax assets	851	866
Other assets	11,948	12,136
Total assets	179,196	187,283
Current liabilities:
Accounts payable	9,714	15,051
Accrued expenses and other current liabilities	19,055	28,794
Current portion of operating lease liabilities	4,893
Distributions payable	0	1,675
Deferred revenue	2,689	3,049
Payables to sellers	20,910	20,253
Total current liabilities	57,261	68,822
Operating lease liabilities	7,646
Deferred taxes and other long-term liabilities	1,852	2,286
Total liabilities	66,759	71,108
Commitments and contingencies (Note 11)	0	0
Stockholders’ equity:
Common stock, $0.001 par value; 120,000,000 shares authorized; 33,887,591 shares issued and outstanding at December 31, 2019; 33,687,115 shares issued and outstanding at September 30, 2019	34	34
Additional paid-in capital	243,311	242,686
Accumulated other comprehensive loss	(7,140)	(7,973)
Accumulated deficit	(123,768)	(118,572)
Total stockholders’ equity	112,437	116,175
Total liabilities and stockholders’ equity	$ 179,196	$ 187,283

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2019	Sep. 30, 2019
Statement of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 250	$ 291
Property and equipment, accumulated depreciation	$ 11,564	$ 10,566
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	120,000,000	120,000,000
Common stock, shares issued (in shares)	33,887,591	33,687,115
Common stock, shares outstanding (in shares)	33,887,591	33,687,115

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Total revenue	$ 49,504	$ 54,053
Costs and expenses from operations:
Cost of goods sold (excludes depreciation and amortization)	24,176	24,956
Seller distributions	0	2,624
Technology and operations	11,241	12,524
Sales and marketing	9,605	8,981
General and administrative	7,707	8,634
Depreciation and amortization	1,572	1,204
Other operating expenses	193	205
Total costs and expenses	54,494	59,128
Loss from operations	(4,990)	(5,075)
Interest and other income, net	(252)	(319)
Loss before provision (benefit) for income taxes	(4,738)	(4,756)
Provision (benefit) for income taxes	458	266
Net loss	$ (5,196)	$ (5,022)
Basic and diluted loss per common share (in dollars per share)	$ (0.15)	$ (0.15)
Basic and diluted weighted average shares outstanding (in shares)	33,545,235	32,808,144
Revenue
Total revenue	$ 30,349	$ 35,735
Fee revenue
Total revenue	$ 19,155	$ 18,318

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Statement of Comprehensive Income [Abstract]
Net loss	$ (5,196)	$ (5,022)
Other comprehensive income (loss):
Foreign currency translation	833	(427)
Other comprehensive income (loss)	833	(427)
Comprehensive loss	$ (4,363)	$ (5,449)

Consolidated Statement of Stock

Consolidated Statement of Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
Balance (in shares) at Sep. 30, 2018		32,774,118
Balance at Sep. 30, 2018	$ 129,654	$ 33	$ 236,115	$ (6,449)	$ (100,045)
Increase (Decrease) in Stockholders' Equity
Net loss	(5,022)				(5,022)
Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units (in shares)		409,060
Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units	8		8
Foreign currency translation	(427)
Balance (in shares) at Dec. 31, 2018		33,183,178
Balance at Dec. 31, 2018	126,499	$ 33	237,679	(6,876)	(104,337)
Balance (in shares) at Sep. 30, 2019		33,687,115
Balance at Sep. 30, 2019	116,175	$ 34	242,686	(7,973)	(118,572)
Increase (Decrease) in Stockholders' Equity
Net loss	(5,196)				(5,196)
Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units (in shares)		283,164
Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units	2		2
Taxes paid associated with net settlement of stock compensation awards (in shares)		(67,688)
Taxes paid associated with net settlement of stock compensation awards	(498)		(498)
Forfeitures of restricted stock awards (in shares)		(15,000)
Forfeitures of restricted stock awards	0
Stock compensation expense	1,121		1,121
Foreign currency translation	833			833
Balance (in shares) at Dec. 31, 2019		33,887,591
Balance at Dec. 31, 2019	$ 112,437	$ 34	$ 243,311	$ (7,140)	$ (123,768)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Operating activities
Net loss	$ (5,196)	$ (5,022)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Depreciation and amortization	1,572	1,204
Stock compensation expense	1,039	1,513
Provision for doubtful accounts	21	81
Deferred tax provision (benefit)	100	20
Gain on disposal of property and equipment	(12)	(11)
Change in fair value of earnout liability	200	100
Changes in operating assets and liabilities:
Accounts receivable	734	(1,298)
Inventory	35	(374)
Prepaid and deferred taxes	(77)	211
Prepaid expenses and other assets	(725)	1,401
Operating lease assets and liabilities	(97)
Accounts payable	(5,337)	(3,490)
Accrued expenses and other current liabilities	(9,409)	(413)
Distributions payable	(1,675)	(607)
Deferred revenue	(359)	633
Payables to sellers	658	(1,785)
Other liabilities	(75)	(239)
Net cash (used in) provided by operating activities	(18,603)	(8,076)
Investing activities
Increase in intangibles	(20)	(5)
Purchases of property and equipment, including capitalized software	(1,330)	(1,575)
Proceeds from sales of property and equipment	12	24
Proceeds from promissory note	2,553	0
Purchases of short-term investments	(25,000)	(10,000)
Maturities of short-term investments	30,000	0
Net cash (used in) provided by investing activities	6,215	(11,556)
Financing activities
Payments of the principal portion of finance lease liabilities	(8)
Taxes paid associated with net settlement of stock compensation awards	(498)	0
Proceeds from exercise of stock options	2	8
Net cash (used in) provided by financing activities	(504)	8
Effect of exchange rate differences on cash and cash equivalents	578	(311)
Net (decrease) increase in cash and cash equivalents	(12,314)	(19,935)
Cash and cash equivalents at beginning of period	36,497	58,448
Cash and cash equivalents at end of period	24,183	38,513
Supplemental disclosure of cash flow information
Cash paid for income taxes, net	$ 9	$ 32

Organization

Organization	3 Months Ended
	Dec. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization	Organization Liquidity Services, Inc. (the Company) operates a network of ecommerce marketplaces that enable buyers and sellers to transact in an efficient, automated environment offering over 500 product categories. The Company’s marketplaces provide professional buyers access to a global, organized supply of new, surplus and scrap assets presented with digital images and other relevant product information. Additionally, the Company enables corporate and government sellers to enhance their financial return on offered assets by providing a liquid marketplace and value-added services that encompass the consultative management, valuation and sale of surplus assets. The Company's services include program management, valuation, asset management, reconciliation, refurbishment and recycling, fulfillment, marketing and sales, warehousing and transportation, buyer support, compliance and risk mitigation, as well as self-directed service tools for its sellers. The Company organizes the products on its marketplaces into categories across major industry verticals such as consumer electronics, general merchandise, apparel, scientific equipment, aerospace parts and equipment, technology hardware, energy equipment, industrial capital assets, fleet and transportation equipment and specialty equipment. Currently, the Company’s marketplaces are: www.liquidation.com, www.govdeals.com, www.networkintl.com, www.secondipity.com, and www.go-dove.com. The Company also operates a global search engine for listing used machinery and equipment for sale at www.machinio.com. The Company has four reportable segments: GovDeals, Retail Supply Chain Group (RSCG), Capital Assets Group (CAG), and Machinio. See Note 12 in the Notes to the Consolidated Financial Statements for Segment Information. The Company's operations are subject to certain risks and uncertainties, many of which are associated with technology-oriented companies, including, but not limited to, the Company's dependence on use of the Internet, the effect of general business and economic trends, the Company's susceptibility to rapid technological change, actual and potential competition by entities with greater financial and other resources, and the potential for the commercial sellers from which the Company derives a significant portion of its inventory to change the way they conduct their disposition of surplus assets or to otherwise terminate or not renew their contracts with the Company.

Summary of Significant Accounti

Summary of Significant Accounting Policies	3 Months Ended
	Dec. 31, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Unaudited Interim Financial Information The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments, consisting of normal, recurring adjustments considered necessary for a fair presentation, have been included. The information disclosed in the notes to the consolidated financial statements for these periods is unaudited. Operating results for the three months ended December 31, 2019 are not necessarily indicative of the results that may be expected for the year ending September 30, 2020 or for any future period. Leases The Company adopted Accounting Standards Codification (ASC) Topic 842, Leases (ASC 842) effective October 1, 2019. As a result of adopting ASC 842, there have been significant changes to the Company's lease accounting policy from the disclosures in the Company’s Annual Report on Form 10-K for the year ended September 30, 2019. These changes are described below. The Company determines if an arrangement is a lease upon inception. A contract is or contains a lease if the contract provides the right to control the use of an identified asset for a period of time. Lease assets and liabilities are recognized at the lease commencement date at an amount equal to the present value of the lease payments to be made over the lease term. The lease payments represent the combination of lease and nonlease components. The discount rate used to determine the present value is the Company’s incremental borrowing rate for a duration that is consistent with the lease term, as the rates implicit in the Company’s leases are generally not determinable. The Company’s incremental borrowing rate is estimated using publicly-available information for companies with comparable financial profiles, adjusted for the impact of collateralization. The lease term includes the impacts of options to extend or terminate the lease only if it is reasonably certain that the option will be exercised. Lease expense related to operating lease assets and liabilities is recognized on a straight-line basis over the lease term. Lease expense related to finance lease assets is recognized on a straight-line basis over the shorter of the useful life of the asset or the lease term, while lease expense related to finance lease liabilities is recognized using the interest method. Lease-related payments not included in the determination of the lease assets and liabilities, such as variable lease payments, are expensed as incurred. Lease assets and liabilities are not recognized when the lease term is 12 months or less, however, short-term lease expense is still recognized on a straight-line basis over the lease term. Balances related to the Company's finance leases are included with Other assets (finance lease assets), Accrued expenses and other liabilities (current portion of finance lease liabilities), and Deferred taxes and other long-term liabilities (non-current portion of finance lease liabilities). Lease assets are assessed for impairment in accordance with the Company’s accounting policy for the impairment of long-lived assets. Contract Assets and Liabilities Contract assets reflect an estimate of expenses that will be reimbursed upon settlement with a seller. The contract asset balance was $0.3 million as of December 31, 2019 and $0.3 million as of September 30, 2019 and is included in the line item Prepaid expenses and other current assets on the Consolidated Balance Sheets. Contract liabilities reflect obligations to provide services for which the Company has already received consideration, and generally arise from up-front payments received in connection with Machinio's subscription services. The contract liability balance was $2.7 million as of December 31, 2019 and $3.0 million as of September 30, 2019, and is included in the line item Deferred revenue on the Consolidated Balance Sheets. Of the September 30, 2019 contract liability balance, $1.4 million was earned as Fee revenue during the three months ended December 31, 2019. The $2.7 million contract liability balance as of December 31, 2019 also represents the Company's remaining performance obligations related to contracts with customers that are one year or greater in duration. The Company expects to recognize the substantial majority of that amount as Fee revenue over the next 12 months. Contract Costs Contract costs relate to sales commissions paid on subscription contracts that are capitalized. Contract costs are amortized over the expected life of the customer contract. The contract cost balance was $0.5 million as of December 31, 2019 and $0.5 million as of September 30, 2019 and is included in the line item Prepaid expenses and other current assets and Other assets on the Consolidated Balance Sheet. Amortization expense was immaterial during the three months ended December 31, 2019 and 2018. Other Assets - Promissory Note On September 30, 2015, the Company sold certain assets related to its Jacobs Trading business to Tanager Acquisitions, LLC (Tanager). In connection with the disposition, Tanager assumed certain liabilities related to the Jacobs Trading business. Tanager issued a $12.3 million five On October 10, 2019, the Company entered into a Forbearance Agreement and Amendment to Note, Security Agreement and Guaranty Agreement (the "Forbearance Agreement") with Tanager (now known as Jacobs Trading, LLC) and certain of its affiliates (collectively, "JTC"). In exchange for additional collateral, security, and a higher interest rate, the Company granted JTC a new repayment schedule that requires quarterly payments to be made from August 2020 to August 2023. Upon execution of the Forbearance Agreement, JTC repaid $2.5 million in principal, plus $0.4 million in accrued interest. JTC has the opportunity to prepay the full amount remaining before May 15, 2020 at a $0.5 million discount. Of the $12.3 million owed to the Company, $6.6 million has been repaid as of December 31, 2019. The Company considered the terms of the Forbearance Agreement and the cash flows expected to be received from JTC under the new repayment schedule in concluding that it remains probable that the Company will collect the amounts due to the Company as of December 31, 2019 and that no impairment loss has been incurred. Of the $5.7 million outstanding at December 31, 2019, $5.1 million is recorded in Other assets, and $0.6 million is recorded in Prepaid expenses and other current assets, based on the scheduled repayment dates. Risk Associated with Certain Concentrations The Company does not perform credit evaluations for the majority of its buyers. However, most sales are recorded subsequent to payment authorization being received. As a result, the Company is not subject to significant collection risk, as most goods are not shipped before payment is received. For consignment sales transactions, funds are typically collected from buyers and are held by the Company on the sellers' behalf in Payables to sellers on the Consolidated Balance Sheets. The Company releases the funds, less the Company's commission and other fees due, to the seller through Accounts payable after the buyer has accepted the goods or within 30 days, depending on the state where the buyer and seller conduct business. Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash in banks over FDIC limits, certificates of deposit, accounts receivable, and the promissory note. The Company deposits its cash with financial institutions that the Company considers to be of high credit quality. The Company's RSCG segment has vendor contracts with Amazon.com, Inc. under which the RSCG segment acquires and sells commercial merchandise. Transactions under these contracts represented 48.3% and 40.5% of consolidated Cost of goods sold for the three months ended December 31, 2019 and 2018, respectively. During the three months ended December 31, 2018, the Company had one material vendor contract with the Department of Defense (DoD) under which its CAG segment acquired, managed and sold government property: the Scrap Contract, which concluded on September 30, 2019. Sales of property acquired under the Scrap Contract accounted for 7.5% of the Company's consolidated revenues for the three months ended December 31, 2018. Earnings per Share For the three months ended December 31, 2019 and 2018, basic and diluted weighted average common shares were the same because the Company operated at a net loss in both periods, causing any inclusion of potentially dilutive securities in the computation of diluted net income (loss) per share to be anti-dilutive. See Note 7 for the amounts of outstanding stock options, restricted stock awards and restricted stock units that could potentially dilute net income (loss) per share in the future. Recent Accounting Pronouncements Accounting Standards Adopted On October 1, 2019, the Company adopted ASC 842 using the modified retrospective transition method. Prior periods have not been restated. To perform the adoption, the Company elected several practical expedients, including the package of practical expedients to not reassess prior conclusions on whether a contract is or contains a lease, lease classification, and initial direct costs. The Company also elected to combine both the lease and nonlease components as a single component to be accounted for as a lease, to not recognize lease assets or liabilities for leases with initial lease terms of 12 months or less, and to not use hindsight when determining the lease term. Upon adoption, the Company recognized $11.3 million of operating lease assets and $12.2 million of operating lease liabilities. The Company does not have significant finance lease assets and liabilities. No cumulative-effect adjustment to opening retained earnings was required. No material impacts were noted on the Consolidated Statements of Operations or Consolidated Statements of Cash Flows. Refer to Note 3 for additional details on the Company’s leases. On October 1, 2019, the Company adopted ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income . As the Company had no stranded tax effects resulting from the Tax Cuts and Jobs Act enacted on December 22, 2017, no election to reclassify stranded tax effects from Accumulated other comprehensive to Retained earnings was made. The Company also adopted the following ASU 2018-07, Improvements to Nonemployee Share-based Payment Accounting, during the three months ended December 31, 2019. It did not have a significant impact on the consolidated financial statements or the related footnote disclosures. Accounting Standards Not Yet Adopted In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments (Topic 326) , or ASC 326. ASC 326, including all amendments and related guidance, was designed to provide financial statement users with more useful information about the expected credit losses on financial instruments and other commitments to extend credit. ASC 326 will require estimation of expected credit losses using a methodology that takes into consideration a broad range of reasonable and supportable information. The guidance will be effective for the Company beginning on October 1, 2023 and will be applied on a modified-retrospective basis, with any cumulative-effect adjustment recorded to retained earnings on the adoption date. The Company is in the process of evaluating the impact ASC 326 will have on its consolidated financial statements and expects to estimate credit losses on its financial assets such as its Accounts receivable, Short-term investments, and promissory note. While the Company has not experienced significant credit losses historically, the materiality of the impact of adoption will depend on events and conditions as of the date of adoption, which cannot be determined conclusively at this time. In August 2018, the FASB issued ASU 2018-15, Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract . ASU 2018-15 aligns the requirements for capitalizing implementation costs in a cloud computing arrangement with the requirement for capitalizing implementation costs incurred to develop or obtain internal-use software. This ASU will become effective for the Company beginning October 1, 2020. The Company is currently evaluating the effect that the adoption of this ASU may have on its consolidated financial statements. In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes . ASU 2019-12 seeks to improve the consistent application of and simplify the guidance for the accounting for income taxes. The ASU removes certain exceptions to the general principals in ASC 740, Income Taxes , and clarifies and amends other existing guidance. The ASU will become effective for the Company beginning October 1, 2021. The Company is currently evaluating the effect that the adoption of this ASU may have on its consolidated financial statements.

Leases

Leases	3 Months Ended
	Dec. 31, 2019
Leases [Abstract]
Leases	Leases The Company has operating leases for its corporate offices, warehouses, vehicles and equipment. The operating leases have remaining terms of up to 5.7 years. Some of the leases have options to extend or terminate the leases. The exercise of such options is generally at the Company’s discretion. The lease agreements do not contain any significant residual value guarantees or restrictive covenants. The Company also subleases excess corporate office space. The Company's finance leases and related balances are not significant. The components of lease expense are: Three Months Ended (in thousands) December 31, 2019 Finance lease – lease asset amortization $ 21 Finance lease – interest on lease liabilities 7 Operating lease cost 1,336 Short-term lease cost 21 Variable lease cost (1) 331 Sublease income (119) Total net lease cost $ 1,597 (1) Variable lease costs primarily relate to the Company's election to combine non-lease components such as common area maintenance, insurance and taxes related to its real estate leases. To a lesser extent, the Company's equipment leases have variable costs associated with usage and subsequent changes to costs based upon an index. Maturities of lease liabilities are: December 31, 2019 (in thousands) Operating Leases Finance Leases Remainder of 2020 $ 4,165 $ 41 2021 3,942 56 2022 2,618 55 2023 1,897 56 2024 953 56 Thereafter 379 106 Total lease payments (1) $ 13,954 $ 370 Less: imputed interest (2) (1,415) (78) Total lease liabilities $ 12,539 $ 292 (1) The weighted average remaining lease term is 3.3 years for operating leases and 6.6 years for finance leases. (2) The weighted average discount rate is 6.4% for operating leases and 7.5% for finance leases. Supplemental disclosures of cash flow information related to leases are: (in thousands) Three Months Ended Cash paid for amounts included in operating lease liabilities $ 1,266 Cash paid for amounts included in finance lease liabilities 8 Non-cash: lease liabilities arising from new operating lease assets obtained (1) 12,188 Non-cash: lease liabilities arising from new finance lease assets obtained 10 Non-cash: adjustments to lease assets and liabilities 1,598 (1) Amount includes $12.2 million of lease liabilities recognized upon the adoption of ASC 842 on October 1, 2019 (see Note 2).
Leases	Leases The Company has operating leases for its corporate offices, warehouses, vehicles and equipment. The operating leases have remaining terms of up to 5.7 years. Some of the leases have options to extend or terminate the leases. The exercise of such options is generally at the Company’s discretion. The lease agreements do not contain any significant residual value guarantees or restrictive covenants. The Company also subleases excess corporate office space. The Company's finance leases and related balances are not significant. The components of lease expense are: Three Months Ended (in thousands) December 31, 2019 Finance lease – lease asset amortization $ 21 Finance lease – interest on lease liabilities 7 Operating lease cost 1,336 Short-term lease cost 21 Variable lease cost (1) 331 Sublease income (119) Total net lease cost $ 1,597 (1) Variable lease costs primarily relate to the Company's election to combine non-lease components such as common area maintenance, insurance and taxes related to its real estate leases. To a lesser extent, the Company's equipment leases have variable costs associated with usage and subsequent changes to costs based upon an index. Maturities of lease liabilities are: December 31, 2019 (in thousands) Operating Leases Finance Leases Remainder of 2020 $ 4,165 $ 41 2021 3,942 56 2022 2,618 55 2023 1,897 56 2024 953 56 Thereafter 379 106 Total lease payments (1) $ 13,954 $ 370 Less: imputed interest (2) (1,415) (78) Total lease liabilities $ 12,539 $ 292 (1) The weighted average remaining lease term is 3.3 years for operating leases and 6.6 years for finance leases. (2) The weighted average discount rate is 6.4% for operating leases and 7.5% for finance leases. Supplemental disclosures of cash flow information related to leases are: (in thousands) Three Months Ended Cash paid for amounts included in operating lease liabilities $ 1,266 Cash paid for amounts included in finance lease liabilities 8 Non-cash: lease liabilities arising from new operating lease assets obtained (1) 12,188 Non-cash: lease liabilities arising from new finance lease assets obtained 10 Non-cash: adjustments to lease assets and liabilities 1,598

Goodwill

Goodwill	3 Months Ended
	Dec. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	Goodwill The following table presents changes in the carrying amount of goodwill by reportable segment: (in thousands) CAG GovDeals Machinio Total Balance at September 30, 2018 $ 21,530 $ 23,731 $ 14,558 $ 59,819 Translation adjustments (352) — — (352) Balance at September 30, 2019 $ 21,178 $ 23,731 $ 14,558 $ 59,467 Translation adjustments 261 — — 261 Balance at December 31, 2019 $ 21,439 $ 23,731 $ 14,558 $ 59,728 Goodwill is tested for impairment at the beginning of the fourth quarter and during interim periods whenever events or circumstances indicate that the carrying value may not be recoverable. The Company did not identify any indicators of impairment that required an interim impairment test during the three months ended December 31, 2019.

Intangible Assets

Intangible Assets	3 Months Ended
	Dec. 31, 2019
Finite-Lived Intangible Assets, Net [Abstract]
Intangible Assets	Intangible Assets The components of intangible assets are as follows: December 31, 2019 September 30, 2019 (dollars in thousands) Useful Gross Accumulated Net Gross Accumulated Net Contract intangibles 6 $ 3,100 $ (775) $ 2,325 $ 3,100 $ (646) $ 2,454 Technology 5 2,700 (810) 1,890 2,700 (675) 2,025 Patent and trademarks 7 - 10 2,293 (781) 1,512 2,276 (712) 1,564 Total intangible assets $ 8,093 $ (2,366) $ 5,727 $ 8,076 $ (2,033) $ 6,043 The remaining intangible assets balance at December 31, 2019 is expected to be amortized as follows: (in thousands) Expected Amortization Expense Years ending September 30, Remainder of 2020 $ 1,003 2021 1,333 2022 1,324 2023 1,180 2024 642 2025 and thereafter 245 Total $ 5,727 Intangible asset amortization expense was $0.3 million and $0.3 million for the three months ended December 31, 2019 and 2018, respectively.

Income Taxes

Income Taxes	3 Months Ended
	Dec. 31, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company’s interim effective income tax rate is based on management’s best current estimate of the Company's expected annual effective income tax rate. The Company recorded a pre-tax loss in the first three months of fiscal year 2020 and its corresponding effective tax rate is (9.7%). Tax expense in the three months ended December 31, 2019 is due to state and foreign taxes paid. The effective tax rate differed from the statutory federal rate of 21% primarily as a result of the valuation allowance charge on current year losses and the impact of foreign, state, and local income taxes and permanent tax adjustments. The Company identified no new uncertain tax positions during the three months ended December 31, 2019. The Company and its subsidiaries file income tax returns in the U.S. federal jurisdiction, various state and local jurisdictions and in foreign jurisdictions, primarily Canada and the United Kingdom. As of December 31, 2019, none of the Company's federal or state income tax returns are under examination. The statute of limitations for U.S. federal income tax returns for years prior to fiscal

Stockholders' Equity

Stockholders' Equity	3 Months Ended
	Dec. 31, 2019
Equity [Abstract]
Stockholders' Equity	Stockholders’ Equity The changes in stockholders’ equity for the prior year comparable period is as follows: Common Stock (dollars in thousands) Shares Amount Additional Accumulated Accumulated Total Balance at September 30, 2018 32,774,118 $ 33 $ 236,115 $ (6,449) $ (100,045) $ 129,654 Cumulative adjustment related to the adoption of ASC 606 — — — — 730 730 Net loss — — — — (5,022) (5,022) Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units 409,060 — 8 — — 8 Stock compensation expense — — 1,556 — — 1,556 Foreign currency translation — — — (427) — (427) Balance at December 31, 2018 33,183,178 $ 33 $ 237,679 $ (6,876) $ (104,337) $ 126,499 Stock Compensation Expense Stock-based compensation expense was $1.0 million for the three months ended December 31, 2019, which included $1.1 million of expense related to equity-classified stock options and RSUs & RSAs (restricted stock units and awards) and a$0.1 million benefit related to liability-classified SARs (cash-settled stock appreciation rights). Stock Options and RSUs & RSAs The following table presents stock option and RSUs & RSAs grant activity: Three Months Ended December 31, 2019 Stock Options granted: Options containing only service conditions: 387,800 Weighted average exercise price $ 6.93 Weighted average grant date fair value $ 2.71 Options containing market conditions: 387,800 Weighted average exercise price $ 6.93 Weighted average grant date fair value $ 2.66 RSUs & RSAs granted: RSUs & RSAs containing only service conditions: 158,600 Weighted average grant date fair value $ 6.69 RSUs & RSAs containing market conditions: 158,600 Weighted average grant date fair value $ 4.55 The stock options and RSUs & RSAs containing only service conditions will vest over a four four with the first fiscal quarter after the first anniversary of the grant date, based upon the trailing 20-days average of the Company’s share price. The range of assumptions used to determine the fair value of stock options containing only service conditions using the Black-Scholes option-pricing model during the three months ended December 31, 2019 include a dividend yield of 0%, expected volatility rates of 46.5% to 49.0%, risk-free interest rates of 1.5%, and expected terms of 4.6 to 5.0 years. The range of assumptions used to determine the fair value of stock options and RSUs & RSAs containing market conditions using Monte Carlo simulations during the three months ended December 31, 2019 include a dividend yield of 0%, expected volatility rates of 46.7% to 51.2%, risk-free interest rates of 1.5% to 1.7%, and expected holding period (% of remaining term for stock options only) of 30.7% to 100%. SARs During the three months ended December 31, 2019, the Company did not issue any SARs, 225,267 SARs were exercised requiring the Company to make cash payments of $0.6 million, and 12,241 SARs were canceled. As of December 31, 2019, 195,894 SARs were outstanding. Share Repurchase Program The Company did not repurchase shares during the three months ended December 31, 2019 or 2018. As of December 31, 2019, the Company has $10.1 million of remaining authorization to repurchase shares under its share repurchase program.

Fair Value Measurement

Fair Value Measurement	3 Months Ended
	Dec. 31, 2019
Fair Value Disclosures [Abstract]
Fair Value Measurement	Fair Value Measurement The Company measures and records certain assets and liabilities at fair value on a recurring basis. Authoritative guidance issued by the FASB establishes a fair value hierarchy for those instruments measured at fair value that distinguishes between assumptions based on market data (observable inputs) and the Company’s assumptions (unobservable inputs). The hierarchy consists of three levels: Level 1: Quoted market prices in active markets for identical assets or liabilities; Level 2: Inputs other than Level 1 inputs that are either directly or indirectly observable; and Level 3: Unobservable inputs developed using estimates and assumptions developed by the Company, which reflect those that a market participant would use. During the year ended September 30, 2018, and as a result of the acquisition of Machinio, the Company recorded contingent consideration which is measured at fair value (Level 3) at December 31, 2019 and September 30, 2019. At September 30, 2019, the Company estimated the fair value of the contingent consideration using a Monte Carlo simulation. The simulation estimated Machinio's adjusted EBITDA over the calendar year 2019 earn-out period using a market-based volatility factor and market interest rates resulting in an average EBITDA. A present value factor was applied based on the expected settlement date of the contingent consideration. At December 31, 2019, the calendar year 2019 earn-out period was complete, and the liability was based upon Machinio's actual adjusted EBITDA results during that period. The changes in the earn-out liability measured at fair value using Level 3 inputs to determine fair value for the three months ended December 31, 2019 are as follows: (in thousands) Contingent Consideration Balance at September 30, 2019 $ 4,800 Change in fair value 200 Balance at December 31, 2019 $ 5,000 The increase in the fair value of the earn-out liability is due to Machinio's full attainment of its actual adjusted EBITDA target for the calendar year 2019 earn-out period. The liability for this consideration is included in Accrued expenses and other current liabilities in the Consolidated Balance Sheets as of December 31, 2019 and September 30, 2019, as the earn-out is expected to settle prior to the end of the second quarter of fiscal 2020. The expense for the change in fair value is included Other operating expenses in the Consolidated Statements of Operations. The Company also has short-term investments of $25.0 million and $30.0 million at December 31, 2019 and September 30, 2019, respectively, in certificates of deposit with maturities of six months or less, and interest rates between 1.75% and 2.50%. These assets were measured at fair value at December 31, 2019 and September 30, 2019 and were classified as Level 1 assets within the fair value hierarchy. The Company’s financial assets and liabilities not measured at fair value are cash and cash equivalents (which includes cash and commercial paper with original maturities of less than 90 days), accounts receivable, a promissory note and accounts payable. The Company believes the carrying values of these instruments approximate fair value.

Defined Benefit Pension Plan

Defined Benefit Pension Plan	3 Months Ended
	Dec. 31, 2019
Retirement Benefits [Abstract]
Defined Benefit Pension Plan	Defined Benefit Pension Plan Certain employees of Liquidity Services UK Limited (GoIndustry), which the Company acquired in July 2012, are covered by the Henry Butcher Pension Fund and Life Assurance Scheme (the Scheme), a qualified defined benefit pension plan. The Company guarantees GoIndustry's performance on all present and future obligations to make payments to the Scheme for up to a maximum of £10 million British pounds. The Scheme was closed to new members on January 1, 2002. The net periodic benefit, other than service costs, is recognized within Interest other income, net in the Consolidated Statements of Operations, and for the three months ended December 31, 2019 and 2018 included the following components: Three Months Ended December 31, (in thousands) 2019 2018 Service cost $ — $ — Interest cost 109 158 Expected return on plan assets (200) (244) Amortization of prior service cost 5 — Total net periodic (benefit) $ (86) $ (86)

Business Realignment Expenses

Business Realignment Expenses	3 Months Ended
	Dec. 31, 2019
Restructuring and Related Activities [Abstract]
Business Realignment Expenses	Business Realignment Expenses Business realignment expenses are associated with management changes, exiting certain businesses, or other cost saving actions and are recorded as a component of Other operating expenses on the Consolidated Statements of Operations. For the year ended September 30, 2019, business realignment expenses were incurred related to: management changes associated with a strategic reorganization of the Company's go-to-market strategy for self-directed and fully-managed market place services, the conclusion of the Scrap Contract, and other cost saving actions. Business realignment expenses were as follows for the periods presented: Three Months Ended December 31, (in thousands) 2019 2018 Employee severance and benefit costs: CAG $ — $ — Corporate & Other — 170 Total employee severance and benefit costs — 170 Occupancy and other costs: CAG — 46 Corporate & Other — 134 Total occupancy and other costs — 180 Total business realignment expenses $ — $ 350 The table below sets forth the significant components and activity in the liability for business realignment initiatives, on a segment and consolidated basis: (in thousands) Liability Balance at September 30, 2018 Business Cash Liability Balance at September 30, 2019 Adoption of ASC 842 Business Cash Liability Balance at December 31, 2019 Employee severance and benefit costs: CAG $ 89 $ 443 $ (118) $ 414 $ — $ — $ (384) $ 30 Corporate & Other 21 1,537 (1,320) 238 — — (229) 9 Total employee severance and benefit costs $ 110 $ 1,980 $ (1,438) $ 652 $ — $ — $ (613) $ 39 Occupancy and other costs: CAG 459 51 (341) 169 (169) — — — Corporate & Other 807 134 (941) — — — — — Total occupancy and other costs $ 1,266 $ 185 $ (1,282) $ 169 $ (169) $ — $ — $ — Total business realignment $ 1,376 $ 2,165 $ (2,720) $ 821 $ (169) $ — $ (613) $ 39

Legal Proceedings and Other Con

Legal Proceedings and Other Contingencies	3 Months Ended
	Dec. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
Legal Proceedings and Other Contingencies	Legal Proceedings and Other Contingencies The Company reserves for contingent liabilities based on ASC 450, Contingencies , when it determines that a liability is probable and reasonably estimable. From time to time, the Company may become involved in litigation relating to claims arising in the ordinary course of the business. There are no claims or actions pending or threatened against the Company that, if adversely determined, would in management's judgment have a material adverse effect on the Company.

Segment Information

Segment Information	3 Months Ended
	Dec. 31, 2019
Segment Reporting [Abstract]
Segment Information	Segment Information The Company provides results in four reportable operating segments: GovDeals, RSCG, CAG and Machinio. Descriptions of our reportable segments are as follows: • The GovDeals reportable segment provides self-directed service solutions in which sellers list their own assets, and it consists of marketplaces that enable local and state government entities including city, county and state agencies, as well as quasi-governmental businesses located in the United States and Canada to sell surplus and salvage assets. GovDeals also offers a suite of services to sellers that includes asset sales and marketing. Through the end of fiscal 2019, GovDeals provided self-directed service solutions to commercial businesses as part of the Auction Deals marketplace. • The RSCG reportable segment consists of marketplaces that enable corporations located in the United States and Canada to sell surplus and salvage consumer goods and retail capital assets. RSCG also offers a suite of services that includes returns management, asset recovery, and e-commerce services. This segment includes the Company's Liquidation.com, Liquidation.com DIRECT, and Secondipity marketplaces. • The CAG reportable segment provides full-service solutions to sellers and it consists of marketplaces that enable commercial businesses to sell surplus, salvage, and scrap assets. CAG also offers a suite of services that includes surplus management, asset valuation, asset sales and marketing. Commercial sellers are located in the United States, Europe, Australia and Asia. This segment includes the Company's Network International and GoIndustry DoveBid marketplaces and, beginning in fiscal 2020, self-directed service solutions for commercial businesses within a unified marketplace previously referred to as Auction Deals. Prior to the conclusion of the Scrap Contract (see Note 2), CAG sold scrap assets from the DoD on its Government Liquidation marketplace. • The Machinio reportable segment operates a global online platform for listing used equipment for sale in the construction, machine tool, transportation, printing and agriculture sectors. We also report results of Corporate & Other, which for the three months ended December 31, 2018 includes a previously existing operating segment that did not meet the quantitative thresholds to be a reportable segment, IronDirect. The Company exited the IronDirect business in January 2019. Decisions concerning the allocation of the Company’s resources are made by the Company’s Chief Operating Decision Maker (CODM), which is the Company's Chief Executive Officer. The Company reports segment information based on the internal performance measures used by the CODM to assess the performance of each operating segment in a given period. In connection with that assessment, the CODM uses segment gross profit to evaluate the performance of each segment. Gross profit is calculated as total revenue less cost of goods sold and seller distributions. The following table sets forth certain financial information for the Company's reportable segments: Three Months Ended December 31, (in thousands) 2019 2018 GovDeals: Revenue $ — $ — Fee revenue 8,015 7,658 Total revenue 8,015 7,658 Gross profit $ 7,446 $ 7,061 RSCG: Revenue $ 27,826 $ 26,070 Fee revenue 3,871 3,408 Total revenue 31,697 29,478 Gross profit $ 10,305 $ 9,549 CAG: Revenue $ 2,523 $ 9,230 Fee revenue 5,419 6,252 Total revenue 7,942 15,482 Gross profit $ 5,814 $ 8,883 Machinio: Revenue $ — $ — Fee revenue 1,850 991 Total revenue 1,850 991 Gross Profit $ 1,763 $ 878 Corporate & Other: Revenue $ — $ 435 Fee revenue — 9 Total revenue — 444 Gross profit $ — $ 102 Consolidated: Revenue $ 30,349 $ 35,735 Fee revenue 19,155 18,318 Total revenue 49,504 54,053 Gross profit $ 25,328 $ 26,473 The following table presents a reconciliation of gross profit used in the reportable segments to the Company's consolidated results: Three Months Ended December 31, (in thousands) 2019 2018 Reconciliation: Gross profit $ 25,328 $ 26,473 Operating expenses 30,125 31,343 Other operating expenses 193 205 Interest and other income, net (252) (319) Loss before provision for income taxes $ (4,738) $ (4,756) The percent of our revenues that came from transactions conducted outside of the United States for the three months ended December 31, 2019 and 2018 was 13.9% and 16.3%, respectively.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	3 Months Ended
	Dec. 31, 2019
Accounting Policies [Abstract]
Unaudited Interim Financial Information	Unaudited Interim Financial Information
Leases	Leases The Company adopted Accounting Standards Codification (ASC) Topic 842, Leases (ASC 842) effective October 1, 2019. As a result of adopting ASC 842, there have been significant changes to the Company's lease accounting policy from the disclosures in the Company’s Annual Report on Form 10-K for the year ended September 30, 2019. These changes are described below. The Company determines if an arrangement is a lease upon inception. A contract is or contains a lease if the contract provides the right to control the use of an identified asset for a period of time. Lease assets and liabilities are recognized at the lease commencement date at an amount equal to the present value of the lease payments to be made over the lease term. The lease payments represent the combination of lease and nonlease components. The discount rate used to determine the present value is the Company’s incremental borrowing rate for a duration that is consistent with the lease term, as the rates implicit in the Company’s leases are generally not determinable. The Company’s incremental borrowing rate is estimated using publicly-available information for companies with comparable financial profiles, adjusted for the impact of collateralization. The lease term includes the impacts of options to extend or terminate the lease only if it is reasonably certain that the option will be exercised. Lease expense related to operating lease assets and liabilities is recognized on a straight-line basis over the lease term. Lease expense related to finance lease assets is recognized on a straight-line basis over the shorter of the useful life of the asset or the lease term, while lease expense related to finance lease liabilities is recognized using the interest method. Lease-related payments not included in the determination of the lease assets and liabilities, such as variable lease payments, are expensed as incurred. Lease assets and liabilities are not recognized when the lease term is 12 months or less, however, short-term lease expense is still recognized on a straight-line basis over the lease term. Balances related to the Company's finance leases are included with Other assets (finance lease assets), Accrued expenses and other liabilities (current portion of finance lease liabilities), and Deferred taxes and other long-term liabilities (non-current portion of finance lease liabilities). Lease assets are assessed for impairment in accordance with the Company’s accounting policy for the impairment of long-lived assets.
Contract Assets and Liabilities; Contract Costs	Contract Assets and Liabilities Contract assets reflect an estimate of expenses that will be reimbursed upon settlement with a seller. The contract asset balance was $0.3 million as of December 31, 2019 and $0.3 million as of September 30, 2019 and is included in the line item Prepaid expenses and other current assets on the Consolidated Balance Sheets. Contract liabilities reflect obligations to provide services for which the Company has already received consideration, and generally arise from up-front payments received in connection with Machinio's subscription services. The contract liability balance was $2.7 million as of December 31, 2019 and $3.0 million as of September 30, 2019, and is included in the line item Deferred revenue on the Consolidated Balance Sheets. Of the September 30, 2019 contract liability balance, $1.4 million was earned as Fee revenue during the three months ended December 31, 2019. The $2.7 million contract liability balance as of December 31, 2019 also represents the Company's remaining performance obligations related to contracts with customers that are one year or greater in duration. The Company expects to recognize the substantial majority of that amount as Fee revenue over the next 12 months. Contract Costs
Other Assets - Promissory Note	Other Assets - Promissory Note On September 30, 2015, the Company sold certain assets related to its Jacobs Trading business to Tanager Acquisitions, LLC (Tanager). In connection with the disposition, Tanager assumed certain liabilities related to the Jacobs Trading business. Tanager issued a $12.3 million five On October 10, 2019, the Company entered into a Forbearance Agreement and Amendment to Note, Security Agreement and Guaranty Agreement (the "Forbearance Agreement") with Tanager (now known as Jacobs Trading, LLC) and certain of its affiliates (collectively, "JTC"). In exchange for additional collateral, security, and a higher interest rate, the Company granted JTC a new repayment schedule that requires quarterly payments to be made from August 2020 to August 2023. Upon execution of the Forbearance Agreement, JTC repaid $2.5 million in principal, plus $0.4 million in accrued interest. JTC has the opportunity to prepay the full amount remaining before May 15, 2020 at a $0.5 million discount. Of the $12.3 million owed to the Company, $6.6 million has been repaid as of December 31, 2019.
Risk Associated with Certain Concentrations	Risk Associated with Certain Concentrations The Company does not perform credit evaluations for the majority of its buyers. However, most sales are recorded subsequent to payment authorization being received. As a result, the Company is not subject to significant collection risk, as most goods are not shipped before payment is received. For consignment sales transactions, funds are typically collected from buyers and are held by the Company on the sellers' behalf in Payables to sellers on the Consolidated Balance Sheets. The Company releases the funds, less the Company's commission and other fees due, to the seller through Accounts payable after the buyer has accepted the goods or within 30 days, depending on the state where the buyer and seller conduct business. Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash in banks over FDIC limits, certificates of deposit, accounts receivable, and the promissory note. The Company deposits its cash with financial institutions that the Company considers to be of high credit quality.
Earnings per Share	Earnings per Share
Recent Accounting Pronouncements	Recent Accounting Pronouncements Accounting Standards Adopted On October 1, 2019, the Company adopted ASC 842 using the modified retrospective transition method. Prior periods have not been restated. To perform the adoption, the Company elected several practical expedients, including the package of practical expedients to not reassess prior conclusions on whether a contract is or contains a lease, lease classification, and initial direct costs. The Company also elected to combine both the lease and nonlease components as a single component to be accounted for as a lease, to not recognize lease assets or liabilities for leases with initial lease terms of 12 months or less, and to not use hindsight when determining the lease term. Upon adoption, the Company recognized $11.3 million of operating lease assets and $12.2 million of operating lease liabilities. The Company does not have significant finance lease assets and liabilities. No cumulative-effect adjustment to opening retained earnings was required. No material impacts were noted on the Consolidated Statements of Operations or Consolidated Statements of Cash Flows. Refer to Note 3 for additional details on the Company’s leases. On October 1, 2019, the Company adopted ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income . As the Company had no stranded tax effects resulting from the Tax Cuts and Jobs Act enacted on December 22, 2017, no election to reclassify stranded tax effects from Accumulated other comprehensive to Retained earnings was made. The Company also adopted the following ASU 2018-07, Improvements to Nonemployee Share-based Payment Accounting, during the three months ended December 31, 2019. It did not have a significant impact on the consolidated financial statements or the related footnote disclosures. Accounting Standards Not Yet Adopted In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments (Topic 326) , or ASC 326. ASC 326, including all amendments and related guidance, was designed to provide financial statement users with more useful information about the expected credit losses on financial instruments and other commitments to extend credit. ASC 326 will require estimation of expected credit losses using a methodology that takes into consideration a broad range of reasonable and supportable information. The guidance will be effective for the Company beginning on October 1, 2023 and will be applied on a modified-retrospective basis, with any cumulative-effect adjustment recorded to retained earnings on the adoption date. The Company is in the process of evaluating the impact ASC 326 will have on its consolidated financial statements and expects to estimate credit losses on its financial assets such as its Accounts receivable, Short-term investments, and promissory note. While the Company has not experienced significant credit losses historically, the materiality of the impact of adoption will depend on events and conditions as of the date of adoption, which cannot be determined conclusively at this time. In August 2018, the FASB issued ASU 2018-15, Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract . ASU 2018-15 aligns the requirements for capitalizing implementation costs in a cloud computing arrangement with the requirement for capitalizing implementation costs incurred to develop or obtain internal-use software. This ASU will become effective for the Company beginning October 1, 2020. The Company is currently evaluating the effect that the adoption of this ASU may have on its consolidated financial statements. In December 2019, the FASB issued ASU 2019-12, Simplifying the Accounting for Income Taxes . ASU 2019-12 seeks to improve the consistent application of and simplify the guidance for the accounting for income taxes. The ASU removes certain exceptions to the general principals in ASC 740, Income Taxes , and clarifies and amends other existing guidance. The ASU will become effective for the Company beginning October 1, 2021. The Company is currently evaluating the effect that the adoption of this ASU may have on its consolidated financial statements.

Leases (Tables)

Leases (Tables)	3 Months Ended
	Dec. 31, 2019
Leases [Abstract]
Summary of lease expense and supplemental cash flow information	The components of lease expense are: Three Months Ended (in thousands) December 31, 2019 Finance lease – lease asset amortization $ 21 Finance lease – interest on lease liabilities 7 Operating lease cost 1,336 Short-term lease cost 21 Variable lease cost (1) 331 Sublease income (119) Total net lease cost $ 1,597 (1) Variable lease costs primarily relate to the Company's election to combine non-lease components such as common area maintenance, insurance and taxes related to its real estate leases. To a lesser extent, the Company's equipment leases have variable costs associated with usage and subsequent changes to costs based upon an index. Supplemental disclosures of cash flow information related to leases are: (in thousands) Three Months Ended Cash paid for amounts included in operating lease liabilities $ 1,266 Cash paid for amounts included in finance lease liabilities 8 Non-cash: lease liabilities arising from new operating lease assets obtained (1) 12,188 Non-cash: lease liabilities arising from new finance lease assets obtained 10 Non-cash: adjustments to lease assets and liabilities 1,598 (1) Amount includes $12.2 million of lease liabilities recognized upon the adoption of ASC 842 on October 1, 2019 (see Note 2).
Schedule of operating lease maturities	Maturities of lease liabilities are: December 31, 2019 (in thousands) Operating Leases Finance Leases Remainder of 2020 $ 4,165 $ 41 2021 3,942 56 2022 2,618 55 2023 1,897 56 2024 953 56 Thereafter 379 106 Total lease payments (1) $ 13,954 $ 370 Less: imputed interest (2) (1,415) (78) Total lease liabilities $ 12,539 $ 292 (1) The weighted average remaining lease term is 3.3 years for operating leases and 6.6 years for finance leases. (2) The weighted average discount rate is 6.4% for operating leases and 7.5% for finance leases.
Schedule of finance lease maturities	Maturities of lease liabilities are: December 31, 2019 (in thousands) Operating Leases Finance Leases Remainder of 2020 $ 4,165 $ 41 2021 3,942 56 2022 2,618 55 2023 1,897 56 2024 953 56 Thereafter 379 106 Total lease payments (1) $ 13,954 $ 370 Less: imputed interest (2) (1,415) (78) Total lease liabilities $ 12,539 $ 292 (1) The weighted average remaining lease term is 3.3 years for operating leases and 6.6 years for finance leases. (2) The weighted average discount rate is 6.4% for operating leases and 7.5% for finance leases.

Goodwill (Tables)

Goodwill (Tables)	3 Months Ended
	Dec. 31, 2019
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of goodwill activity	The following table presents changes in the carrying amount of goodwill by reportable segment: (in thousands) CAG GovDeals Machinio Total Balance at September 30, 2018 $ 21,530 $ 23,731 $ 14,558 $ 59,819 Translation adjustments (352) — — (352) Balance at September 30, 2019 $ 21,178 $ 23,731 $ 14,558 $ 59,467 Translation adjustments 261 — — 261 Balance at December 31, 2019 $ 21,439 $ 23,731 $ 14,558 $ 59,728

Intangible Assets (Tables)

Intangible Assets (Tables)	3 Months Ended
	Dec. 31, 2019
Finite-Lived Intangible Assets, Net [Abstract]
Schedule of intangible assets	The components of intangible assets are as follows: December 31, 2019 September 30, 2019 (dollars in thousands) Useful Gross Accumulated Net Gross Accumulated Net Contract intangibles 6 $ 3,100 $ (775) $ 2,325 $ 3,100 $ (646) $ 2,454 Technology 5 2,700 (810) 1,890 2,700 (675) 2,025 Patent and trademarks 7 - 10 2,293 (781) 1,512 2,276 (712) 1,564 Total intangible assets $ 8,093 $ (2,366) $ 5,727 $ 8,076 $ (2,033) $ 6,043
Schedule of future expected amortization of intangible assets	The remaining intangible assets balance at December 31, 2019 is expected to be amortized as follows: (in thousands) Expected Amortization Expense Years ending September 30, Remainder of 2020 $ 1,003 2021 1,333 2022 1,324 2023 1,180 2024 642 2025 and thereafter 245 Total $ 5,727

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	3 Months Ended
	Dec. 31, 2019
Equity [Abstract]
Schedule of stockholders equity	The changes in stockholders’ equity for the prior year comparable period is as follows: Common Stock (dollars in thousands) Shares Amount Additional Accumulated Accumulated Total Balance at September 30, 2018 32,774,118 $ 33 $ 236,115 $ (6,449) $ (100,045) $ 129,654 Cumulative adjustment related to the adoption of ASC 606 — — — — 730 730 Net loss — — — — (5,022) (5,022) Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units 409,060 — 8 — — 8 Stock compensation expense — — 1,556 — — 1,556 Foreign currency translation — — — (427) — (427) Balance at December 31, 2018 33,183,178 $ 33 $ 237,679 $ (6,876) $ (104,337) $ 126,499
Summary of stock options and restricted stock granted	The following table presents stock option and RSUs & RSAs grant activity: Three Months Ended December 31, 2019 Stock Options granted: Options containing only service conditions: 387,800 Weighted average exercise price $ 6.93 Weighted average grant date fair value $ 2.71 Options containing market conditions: 387,800 Weighted average exercise price $ 6.93 Weighted average grant date fair value $ 2.66 RSUs & RSAs granted: RSUs & RSAs containing only service conditions: 158,600 Weighted average grant date fair value $ 6.69 RSUs & RSAs containing market conditions: 158,600 Weighted average grant date fair value $ 4.55

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)	3 Months Ended
	Dec. 31, 2019
Fair Value Disclosures [Abstract]
Changes in financial liabilities fair value	The changes in the earn-out liability measured at fair value using Level 3 inputs to determine fair value for the three months ended December 31, 2019 are as follows: (in thousands) Contingent Consideration Balance at September 30, 2019 $ 4,800 Change in fair value 200 Balance at December 31, 2019 $ 5,000

Defined Benefit Pension Plan (T

Defined Benefit Pension Plan (Tables)	3 Months Ended
	Dec. 31, 2019
Retirement Benefits [Abstract]
Schedule of net periodic benefit cost recognized	The net periodic benefit, other than service costs, is recognized within Interest other income, net in the Consolidated Statements of Operations, and for the three months ended December 31, 2019 and 2018 included the following components: Three Months Ended December 31, (in thousands) 2019 2018 Service cost $ — $ — Interest cost 109 158 Expected return on plan assets (200) (244) Amortization of prior service cost 5 — Total net periodic (benefit) $ (86) $ (86)

Business Realignment Expenses (

Business Realignment Expenses (Tables)	3 Months Ended
	Dec. 31, 2019
Restructuring and Related Activities [Abstract]
Restructuring and related costs	Business realignment expenses were as follows for the periods presented: Three Months Ended December 31, (in thousands) 2019 2018 Employee severance and benefit costs: CAG $ — $ — Corporate & Other — 170 Total employee severance and benefit costs — 170 Occupancy and other costs: CAG — 46 Corporate & Other — 134 Total occupancy and other costs — 180 Total business realignment expenses $ — $ 350 The table below sets forth the significant components and activity in the liability for business realignment initiatives, on a segment and consolidated basis: (in thousands) Liability Balance at September 30, 2018 Business Cash Liability Balance at September 30, 2019 Adoption of ASC 842 Business Cash Liability Balance at December 31, 2019 Employee severance and benefit costs: CAG $ 89 $ 443 $ (118) $ 414 $ — $ — $ (384) $ 30 Corporate & Other 21 1,537 (1,320) 238 — — (229) 9 Total employee severance and benefit costs $ 110 $ 1,980 $ (1,438) $ 652 $ — $ — $ (613) $ 39 Occupancy and other costs: CAG 459 51 (341) 169 (169) — — — Corporate & Other 807 134 (941) — — — — — Total occupancy and other costs $ 1,266 $ 185 $ (1,282) $ 169 $ (169) $ — $ — $ — Total business realignment $ 1,376 $ 2,165 $ (2,720) $ 821 $ (169) $ — $ (613) $ 39

Segment Information (Tables)

Segment Information (Tables)	3 Months Ended
	Dec. 31, 2019
Segment Reporting [Abstract]
Schedule of segment reporting information by segment	The following table sets forth certain financial information for the Company's reportable segments: Three Months Ended December 31, (in thousands) 2019 2018 GovDeals: Revenue $ — $ — Fee revenue 8,015 7,658 Total revenue 8,015 7,658 Gross profit $ 7,446 $ 7,061 RSCG: Revenue $ 27,826 $ 26,070 Fee revenue 3,871 3,408 Total revenue 31,697 29,478 Gross profit $ 10,305 $ 9,549 CAG: Revenue $ 2,523 $ 9,230 Fee revenue 5,419 6,252 Total revenue 7,942 15,482 Gross profit $ 5,814 $ 8,883 Machinio: Revenue $ — $ — Fee revenue 1,850 991 Total revenue 1,850 991 Gross Profit $ 1,763 $ 878 Corporate & Other: Revenue $ — $ 435 Fee revenue — 9 Total revenue — 444 Gross profit $ — $ 102 Consolidated: Revenue $ 30,349 $ 35,735 Fee revenue 19,155 18,318 Total revenue 49,504 54,053 Gross profit $ 25,328 $ 26,473
Reconciliation of revenue from segments to consolidated	The following table presents a reconciliation of gross profit used in the reportable segments to the Company's consolidated results: Three Months Ended December 31, (in thousands) 2019 2018 Reconciliation: Gross profit $ 25,328 $ 26,473 Operating expenses 30,125 31,343 Other operating expenses 193 205 Interest and other income, net (252) (319) Loss before provision for income taxes $ (4,738) $ (4,756)

Organization (Details)

Organization (Details)	3 Months Ended
	Dec. 31, 2019reportablesegmentcategories
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of product categories offered (more than) | categories	500
Reportable segments (in segments) | reportablesegment	4

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - Performance Obligations (Details) - Machinio - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 $ in Millions	Dec. 31, 2019USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation	$ 2.7
Remaining performance obligation, period	1 year

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Narrative (Details)	Oct. 10, 2019USD ($)	Sep. 30, 2015USD ($)	Dec. 31, 2019USD ($)	Dec. 31, 2018USD ($)contract	Dec. 31, 2019USD ($)	Oct. 01, 2019USD ($)	Sep. 30, 2019USD ($)
Business Acquisition [Line Items]
Contract asset			$ 300,000		$ 300,000		$ 300,000
Contract liability			2,700,000		2,700,000		3,000,000
Contract liability recognized as revenue			1,400,000
Contract costs			500,000		500,000		$ 500,000
Interest income			252,000	$ 319,000
Operating lease assets			11,724,000		11,724,000
Total lease liabilities			$ 12,539,000		12,539,000
ASU 2016-02
Business Acquisition [Line Items]
Operating lease assets						$ 11,300,000
Total lease liabilities						$ 12,200,000
Supplier Concentration Risk | Cost of Goods | Contract With Commercial Client
Business Acquisition [Line Items]
Concentration risk (as a percentage)			48.30%	40.50%
Government Contracts Concentration Risk | Scrap Contract
Business Acquisition [Line Items]
Number of contracts | contract				1
Government Contracts Concentration Risk | Sales Revenue | Scrap Contract
Business Acquisition [Line Items]
Concentration risk (as a percentage)				7.50%
Tanager Acquisitions Promissory Note
Business Acquisition [Line Items]
Receivable with imputed interest, face amount		$ 12,300,000
Receivable with imputed interest, term		5 years
Proceeds from collection of notes receivable	$ 2,500,000				6,600,000
Interest income	400,000
Prepayment discount	$ 500,000
Receivable with imputed interest, net amount			$ 5,700,000		5,700,000
Tanager Acquisitions Promissory Note | Prepaid Expenses and Other Current Assets
Business Acquisition [Line Items]
Receivable with imputed interest, net amount			600,000		600,000
Tanager Acquisitions Promissory Note | Other Assets
Business Acquisition [Line Items]
Receivable with imputed interest, net amount			$ 5,100,000		$ 5,100,000

Leases - Narrative (Details)

Leases - Narrative (Details)	Dec. 31, 2019
Maximum
Lessee, Lease, Description [Line Items]
Remaining lease terms	5 years 8 months 12 days

Leases - Lease Expense (Details

Leases - Lease Expense (Details) $ in Thousands	3 Months Ended
	Dec. 31, 2019USD ($)
Leases [Abstract]
Finance lease – lease asset amortization	$ 21
Finance lease – interest on lease liabilities	7
Operating lease cost	1,336
Short-term lease cost	21
Variable lease cost	331
Sublease income	(119)
Total net lease cost	$ 1,597

Leases - Maturities of Lease Li

Leases - Maturities of Lease Liabilities (Details) $ in Thousands	Dec. 31, 2019USD ($)
Operating Leases
Remainder of 2020	$ 4,165
2021	3,942
2022	2,618
2023	1,897
2024	953
Thereafter	379
Total lease payments	13,954
Less: imputed interest	(1,415)
Total lease liabilities	12,539
Finance Leases
Remainder of 2020	41
2021	56
2022	55
2023	56
2024	56
Thereafter	106
Total lease payments	370
Less: imputed interest	(78)
Total lease liabilities	$ 292
Operating leases, weighted average remaining lease term	3 years 3 months 18 days
Finance leases, weighted average remaining lease term	6 years 7 months 6 days
Operating leases, weighted average discount rate	6.40%
Finance leases, weighted average discount rate	7.50%

Leases - Supplemental Cash Flow

Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2019	Oct. 01, 2019
Lessee, Lease, Description [Line Items]
Cash paid for amounts included in operating lease liabilities	$ 1,266
Cash paid for amounts included in finance lease liabilities	8
Non-cash: lease liabilities arising from new operating lease assets obtained	12,188
Non-cash: lease liabilities arising from new finance lease assets obtained	10
Non-cash: adjustments to lease assets and liabilities	1,598
Total lease liabilities	$ 12,539
ASU 2016-02
Lessee, Lease, Description [Line Items]
Total lease liabilities		$ 12,200

Goodwill (Details)

Goodwill (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Dec. 31, 2019	Sep. 30, 2019
Goodwill
Balance at the beginning of the period	$ 59,467	$ 59,819
Translation adjustments	261	(352)
Balance at the end of the period	59,728	59,467
CAG
Goodwill
Balance at the beginning of the period	21,178	21,530
Translation adjustments	261	(352)
Balance at the end of the period	21,439	21,178
GovDeals
Goodwill
Balance at the beginning of the period	23,731	23,731
Translation adjustments	0	0
Balance at the end of the period	23,731	23,731
Machinio
Goodwill
Balance at the beginning of the period	14,558	14,558
Translation adjustments	0	0
Balance at the end of the period	$ 14,558	$ 14,558

Intangible Assets - Carrying Am

Intangible Assets - Carrying Amount (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2019	Sep. 30, 2019
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 8,093	$ 8,076
Accumulated Amortization	(2,366)	(2,033)
Total	$ 5,727	6,043
Contract intangibles
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	6 years
Gross Carrying Amount	$ 3,100	3,100
Accumulated Amortization	(775)	(646)
Total	$ 2,325	2,454
Technology
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	5 years
Gross Carrying Amount	$ 2,700	2,700
Accumulated Amortization	(810)	(675)
Total	1,890	2,025
Patent and trademarks
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	2,293	2,276
Accumulated Amortization	(781)	(712)
Total	$ 1,512	$ 1,564
Minimum | Patent and trademarks
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	7 years
Maximum | Patent and trademarks
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	10 years

Intangible Assets - Amortizatio

Intangible Assets - Amortization (Details) - USD ($) $ in Thousands	Dec. 31, 2019	Sep. 30, 2019
Future expected amortization of intangible assets
Remainder of 2020	$ 1,003
2021	1,333
2022	1,324
2023	1,180
2024	642
2025 and thereafter	245
Total	$ 5,727	$ 6,043

Intangible Assets - Narrative (

Intangible Assets - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Finite-Lived Intangible Assets, Net [Abstract]
Amortization of intangible assets	$ 0.3	$ 0.3

Income Taxes (Details)

Income Taxes (Details)	3 Months Ended
	Dec. 31, 2019
Income Tax Disclosure [Abstract]
Effective tax rate	(9.70%)

Stockholders' Equity - Schedule

Stockholders' Equity - Schedule of Stockholders' Equity (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Oct. 01, 2018
Increase (Decrease) in Stockholders' Equity
Balance	$ 116,175	$ 129,654
Cumulative adjustment related to the adoption of ASC 606			$ 730
Net loss	(5,196)	(5,022)
Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units	2	8
Stock compensation expense		1,556
Foreign currency translation		(427)
Balance	$ 112,437	$ 126,499
Common Stock
Increase (Decrease) in Stockholders' Equity
Balance (in shares)	33,687,115	32,774,118
Balance	$ 34	$ 33
Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units (in shares)	283,164	409,060
Balance (in shares)	33,887,591	33,183,178
Balance	$ 34	$ 33
Additional Paid-in Capital
Increase (Decrease) in Stockholders' Equity
Balance	242,686	236,115
Exercise of stock options, grants of restricted stock awards, and vesting of restricted stock units	2	8
Stock compensation expense		1,556
Balance	243,311	237,679
Accumulated Other Comprehensive Loss
Increase (Decrease) in Stockholders' Equity
Balance	(7,973)	(6,449)
Foreign currency translation		(427)
Balance	(7,140)	(6,876)
Accumulated Deficit
Increase (Decrease) in Stockholders' Equity
Balance	(118,572)	(100,045)
Cumulative adjustment related to the adoption of ASC 606			$ 730
Net loss	(5,196)	(5,022)
Foreign currency translation		0
Balance	$ (123,768)	$ (104,337)

Stockholders' Equity - Narrativ

Stockholders' Equity - Narrative (Details) - USD ($) $ in Millions	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Stockholders' Equity
Stock-based compensation expense	$ 1
Shares repurchased (in shares)	0	0
Amount yet to be expended under the program	$ 10.1
Employee Stock Option and Restricted Stock
Stockholders' Equity
Stock-based compensation expense	1.1
Cash-settled stock appreciation rights
Stockholders' Equity
Stock-based compensation expense	$ (0.1)
Shares issued (in shares)	0
Exercised (in shares)	225,267
Cash paid to settle stock appreciation rights	$ 0.6
Forfeited (in shares)	12,241
Outstanding (in shares)	195,894
Stock Option - Service Based
Stockholders' Equity
Shares and options vesting period	4 years
Dividend yield (as a percent)	0.00%
Expected volatility, minimum (as a percent)	46.50%
Expected volatility, maximum (as a percent)	49.00%
Risk free interest rate (as a percent)	1.50%
Stock Option - Service Based | Minimum
Stockholders' Equity
Expected term	4 years 7 months 6 days
Stock Option - Service Based | Maximum
Stockholders' Equity
Expected term	5 years
Restricted Stock - Service Based
Stockholders' Equity
Shares and options vesting period	4 years
Stock Option - Market-Based
Stockholders' Equity
Shares and options vesting period	4 years
Dividend yield (as a percent)	0.00%
Expected volatility, minimum (as a percent)	46.70%
Expected volatility, maximum (as a percent)	51.20%
Risk free interest rate, minimum (as a percent)	1.50%
Risk free interest rate, maximum (as a percent)	1.70%
Stock Option - Market-Based | Minimum
Stockholders' Equity
Expected holding period (as a percent)	30.70%
Stock Option - Market-Based | Maximum
Stockholders' Equity
Expected holding period (as a percent)	100.00%
Restricted Stock - Market Based
Stockholders' Equity
Shares and options vesting period	4 years
Dividend yield (as a percent)	0.00%
Expected volatility, minimum (as a percent)	46.70%
Expected volatility, maximum (as a percent)	51.20%
Risk free interest rate, minimum (as a percent)	1.50%
Risk free interest rate, maximum (as a percent)	1.70%
Restricted Stock - Market Based | Minimum
Stockholders' Equity
Expected holding period (as a percent)	30.70%
Restricted Stock - Market Based | Maximum
Stockholders' Equity
Expected holding period (as a percent)	100.00%

Stockholders' Equity - Grant Ac

Stockholders' Equity - Grant Activity (Details)	3 Months Ended
	Dec. 31, 2019$ / sharesshares
Stock Option - Service Based
Stock Options granted:
Options granted (in shares) | shares	387,800
Weighted average exercise price (USD per share)	$ 6.93
Weighted average grant date fair value (USD per share)	$ 2.71
Stock Option - Market-Based
Stock Options granted:
Options granted (in shares) | shares	387,800
Weighted average exercise price (USD per share)	$ 6.93
Weighted average grant date fair value (USD per share)	$ 2.66
Restricted Stock - Service Based
RSUs & RSAs granted:
Restricted shares granted (in shares) | shares	158,600
Weighted average grant date fair value (USD per share)	$ 6.69
Restricted Stock - Market Based
RSUs & RSAs granted:
Restricted shares granted (in shares) | shares	158,600
Weighted average grant date fair value (USD per share)	$ 4.55

Fair Value Measurement - Narrat

Fair Value Measurement - Narrative (Details) - USD ($) $ in Millions	Dec. 31, 2019	Sep. 30, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Certificates of deposits	$ 25		$ 30
Minimum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate	1.75%	1.75%
Maximum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Interest rate	2.50%	2.50%

Fair Value Measurement - Change

Fair Value Measurement - Change in Level 3 Assets (Details) - Recurring basis - Level 3 Assets $ in Thousands	3 Months Ended
	Dec. 31, 2019USD ($)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance, contingent consideration	$ 4,800
Change in fair value	200
Ending balance, contingent consideration	$ 5,000

Defined Benefit Pension Plan (D

Defined Benefit Pension Plan (Details) $ in Thousands, £ in Millions	3 Months Ended
	Dec. 31, 2019USD ($)	Dec. 31, 2018USD ($)	Dec. 31, 2019GBP (£)
Retirement Benefits [Abstract]
Guarantee obligation value, maximum | £			£ 10
Service cost	$ 0	$ 0
Interest cost	109	158
Expected return on plan assets	(200)	(244)
Amortization of prior service cost	5	0
Total net periodic (benefit)	$ (86)	$ (86)

Business Realignment Expenses -

Business Realignment Expenses - Business Realignment Expenses (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Sep. 30, 2019
Restructuring Cost and Reserve [Line Items]
Restructuring Charges	$ 0	$ 350	$ 2,165
Employee severance and benefit costs
Restructuring Cost and Reserve [Line Items]
Restructuring Charges	0	170	1,980
Occupancy and other costs
Restructuring Cost and Reserve [Line Items]
Restructuring Charges	0	180	185
CAG | Employee severance and benefit costs
Restructuring Cost and Reserve [Line Items]
Restructuring Charges	0	0	443
CAG | Occupancy and other costs
Restructuring Cost and Reserve [Line Items]
Restructuring Charges	0	46	51
Corporate & Other | Employee severance and benefit costs
Restructuring Cost and Reserve [Line Items]
Restructuring Charges	0	170	1,537
Corporate & Other | Occupancy and other costs
Restructuring Cost and Reserve [Line Items]
Restructuring Charges	$ 0	$ 134	$ 134

Business Realignment Expenses_2

Business Realignment Expenses - Restructuring Related Costs (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Dec. 31, 2019	Dec. 31, 2018	Sep. 30, 2019
Restructuring Reserve [Roll Forward]
Beginning balance	$ 821	$ 1,376	$ 1,376
Restructuring Charges	0	350	2,165
Cash Payments	(613)		(2,720)
Ending balance	39		821
ASU 2016-02
Restructuring Reserve [Roll Forward]
Adoption of ASC 842	(169)
Employee severance and benefit costs
Restructuring Reserve [Roll Forward]
Beginning balance	652	110	110
Restructuring Charges	0	170	1,980
Cash Payments	(613)		(1,438)
Ending balance	39		652
Employee severance and benefit costs | ASU 2016-02
Restructuring Reserve [Roll Forward]
Adoption of ASC 842	0
Occupancy and other costs
Restructuring Reserve [Roll Forward]
Beginning balance	169	1,266	1,266
Restructuring Charges	0	180	185
Cash Payments	0		(1,282)
Ending balance	0		169
Occupancy and other costs | ASU 2016-02
Restructuring Reserve [Roll Forward]
Adoption of ASC 842	(169)
Corporate & Other | Employee severance and benefit costs
Restructuring Reserve [Roll Forward]
Beginning balance	238	21	21
Restructuring Charges	0	170	1,537
Cash Payments	(229)		(1,320)
Ending balance	9		238
Corporate & Other | Employee severance and benefit costs | ASU 2016-02
Restructuring Reserve [Roll Forward]
Adoption of ASC 842	0
Corporate & Other | Occupancy and other costs
Restructuring Reserve [Roll Forward]
Beginning balance	0	807	807
Restructuring Charges	0	134	134
Cash Payments	0		(941)
Ending balance	0		0
Corporate & Other | Occupancy and other costs | ASU 2016-02
Restructuring Reserve [Roll Forward]
Adoption of ASC 842	0
CAG | Employee severance and benefit costs
Restructuring Reserve [Roll Forward]
Beginning balance	414	89	89
Restructuring Charges	0	0	443
Cash Payments	(384)		(118)
Ending balance	30		414
CAG | Employee severance and benefit costs | ASU 2016-02
Restructuring Reserve [Roll Forward]
Adoption of ASC 842	0
CAG | Occupancy and other costs
Restructuring Reserve [Roll Forward]
Beginning balance	169	459	459
Restructuring Charges	0	$ 46	51
Cash Payments	0		(341)
Ending balance	0		$ 169
CAG | Occupancy and other costs | ASU 2016-02
Restructuring Reserve [Roll Forward]
Adoption of ASC 842	$ (169)

Legal Proceedings and Other C_2

Legal Proceedings and Other Contingencies (Details) $ in Millions	3 Months Ended
	Dec. 31, 2019USD ($)
Commitments and Contingencies Disclosure [Abstract]
Tax audit liability paid	$ 0.6

Segment Information - Narrative

Segment Information - Narrative (Details) - reportablesegment	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Revenue, Major Customer [Line Items]
Reportable segments (in segments)	4
Non-US | Sales Revenue | Geographic Concentration Risk
Revenue, Major Customer [Line Items]
Concentration risk (as a percentage)	13.90%	16.30%

Segment Information - Reconcili

Segment Information - Reconciliation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 31, 2019	Dec. 31, 2018
Segment Reporting Information [Line Items]
Total revenue	$ 49,504	$ 54,053
Gross profit	25,328	26,473
Operating expenses	30,125	31,343
Other operating expenses	193	205
Interest and other income, net	(252)	(319)
Loss before provision (benefit) for income taxes	(4,738)	(4,756)
Operating Segments | GovDeals
Segment Reporting Information [Line Items]
Total revenue	8,015	7,658
Gross profit	7,446	7,061
Operating Segments | RSCG
Segment Reporting Information [Line Items]
Total revenue	31,697	29,478
Gross profit	10,305	9,549
Operating Segments | CAG
Segment Reporting Information [Line Items]
Total revenue	7,942	15,482
Gross profit	5,814	8,883
Operating Segments | Machinio
Segment Reporting Information [Line Items]
Total revenue	1,850	991
Gross profit	1,763	878
Corporate & Other
Segment Reporting Information [Line Items]
Total revenue	0	444
Gross profit	0	102
Revenue
Segment Reporting Information [Line Items]
Total revenue	30,349	35,735
Revenue | Operating Segments | GovDeals
Segment Reporting Information [Line Items]
Total revenue	0	0
Revenue | Operating Segments | RSCG
Segment Reporting Information [Line Items]
Total revenue	27,826	26,070
Revenue | Operating Segments | CAG
Segment Reporting Information [Line Items]
Total revenue	2,523	9,230
Revenue | Operating Segments | Machinio
Segment Reporting Information [Line Items]
Total revenue	0	0
Revenue | Corporate & Other
Segment Reporting Information [Line Items]
Total revenue	0	435
Fee revenue
Segment Reporting Information [Line Items]
Total revenue	19,155	18,318
Fee revenue | Operating Segments | GovDeals
Segment Reporting Information [Line Items]
Total revenue	8,015	7,658
Fee revenue | Operating Segments | RSCG
Segment Reporting Information [Line Items]
Total revenue	3,871	3,408
Fee revenue | Operating Segments | CAG
Segment Reporting Information [Line Items]
Total revenue	5,419	6,252
Fee revenue | Operating Segments | Machinio
Segment Reporting Information [Line Items]
Total revenue	1,850	991
Fee revenue | Corporate & Other
Segment Reporting Information [Line Items]
Total revenue	$ 0	$ 9