Liquidity Services (LQDT) 10-Q 3 Aug 17 2017 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Jun. 30, 2017	Aug. 01, 2017
Document and Entity Information
Entity Registrant Name	LIQUIDITY SERVICES INC
Entity Central Index Key	1,235,468
Document Type	10-Q
Document Period End Date	Jun. 30, 2017
Amendment Flag	false
Current Fiscal Year End Date	--09-30
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		31,503,349
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q3

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Jun. 30, 2017	Sep. 30, 2016
Current assets:
Cash and cash equivalents	$ 113,935,000	$ 134,513,000
Accounts receivable, net of allowance for doubtful accounts of $643 and $718 at June 30, 2017 and September 30, 2016, respectively	11,621,000	10,355,000
Inventory	18,876,000	27,610,000
Tax refund receivable	378,000	1,205,000
Prepaid taxes	1,981,000	2,166,000
Prepaid expenses and other current assets ($0.9 million and $2.2 million measured at fair value as of June 30, 2017 and September 30, 2016, respectively)	7,891,000	9,063,000
Total current assets	154,682,000	184,912,000
Property and equipment, net	16,689,000	14,376,000
Intangible assets, net	1,374,000	2,650,000
Goodwill	45,189,000	45,134,000
Deferred long-term tax assets	1,021,000	1,021,000
Other assets	12,611,000	12,016,000
Total assets	231,566,000	260,109,000
Current liabilities:
Accounts payable	11,768,000	9,732,000
Accrued expenses and other current liabilities	31,742,000	45,133,000
Distributions payable	9,930,000	1,722,000
Customer payables	23,931,000	28,901,000
Total current liabilities	77,371,000	85,488,000
Deferred taxes and other long-term liabilities	10,642,000	12,010,000
Total liabilities	88,013,000	97,498,000
Commitments and contingencies (Note 11)	0	0
Stockholders’ equity:
Common stock, $0.001 par value; 120,000,000 shares authorized; 31,485,857 shares issued and outstanding at June 30, 2017; 30,742,662 shares issued and outstanding at September 30, 2016	29,000	29,000
Additional paid-in capital	226,422,000	220,192,000
Accumulated other comprehensive loss	(8,639,000)	(8,571,000)
Retained earnings (accumulated deficit)	(74,259,000)	(49,039,000)
Total stockholders’ equity	143,553,000	162,611,000
Total liabilities and stockholders’ equity	$ 231,566,000	$ 260,109,000

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2017	Sep. 30, 2016
Statement of Financial Position [Abstract]
Accounts receivable, allowance for doubtful accounts (in dollars)	$ 643	$ 718
Prepaid expenses and other current assets, fair value (in dollars)	$ 1,200	$ 2,200
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	120,000,000	120,000,000
Common stock, shares issued	31,485,857	30,742,662
Common stock, shares outstanding	31,485,857	30,742,662

Unaudited Consolidated Statemen

Unaudited Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Income Statement [Abstract]
Weighted Average Number of Shares Outstanding, Basic	31,485,599	30,726,554	31,369,077	30,603,641
Revenue	$ 44,404	$ 62,025	$ 144,799	$ 178,633
Fee revenue	21,116	23,163	63,851	59,308
Total revenue	65,520	85,188	208,650	237,941
Costs and expenses:
Cost of goods sold (excluding amortization)	30,413	39,292	97,248	106,102
Client distributions	5,189	2,663	14,697	7,526
Technology and operations	19,639	22,541	62,607	70,026
Sales and marketing	8,273	9,967	27,410	28,575
General and administrative	8,751	9,042	26,836	29,576
Depreciation and amortization	1,365	1,616	4,228	4,948
Acquisition costs	0	0	0	39
Total costs and expenses	73,630	85,121	233,026	246,792
Other operating expense	652	0	1,044	0
(Loss) income from operations	(8,762)	67	(25,420)	(8,851)
Interest (income) expense and other expense, net	(189)	208	(291)	(242)
Loss before provision (benefit) for income taxes	(8,573)	(141)	(25,129)	(8,609)
Provision (benefit) for income taxes	41	(17)	91	(2,438)
Net loss	$ (8,614)	$ (124)	$ (25,220)	$ (6,171)
Basic and diluted loss per common share (USD per share)	$ (0.27)	$ 0	$ (0.80)	$ (0.20)
Basic and diluted weighted average shares outstanding (in shares)	31,485,599	30,726,554	31,369,077	30,603,641

Unaudited Consolidated Stateme5

Unaudited Consolidated Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Statement of Comprehensive Income [Abstract]
Net loss	$ (8,614)	$ (124)	$ (25,220)	$ (6,171)
Other comprehensive (loss) income:
Foreign currency translation	323	(117)	(68)	546
Other comprehensive income (loss), net of taxes	323	(117)	(68)	546
Comprehensive loss	$ (8,291)	$ (241)	$ (25,288)	$ (5,625)

Unaudited Consolidated Stateme6

Unaudited Consolidated Statement of Changes in Stockholders' Equity - 9 months ended Jun. 30, 2017 - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Loss	Retained Earnings
Balance at Sep. 30, 2016	$ 162,611	$ 29	$ 220,192	$ (8,571)	$ (49,039)
Balance (in shares) at Sep. 30, 2016		30,742,662
Increase (Decrease) in Stockholders' Equity
Vesting of restricted stock (in shares)		743,195
Vesting of restricted stock and exercise of stock options	93		93
Compensation expense and incremental tax loss from grants of common stock options and restricted stock	6,137		6,137
Net loss	(25,220)				(25,220)
Foreign currency translation	(68)			(68)
Balance at Jun. 30, 2017	$ 143,553	$ 29	$ 226,422	$ (8,639)	$ (74,259)
Balance (in shares) at Jun. 30, 2017		31,485,857

Unaudited Consolidated Stateme7

Unaudited Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Operating activities
Net loss	$ (25,220)	$ (6,171)
Adjustments to reconcile net loss to net cash (used) provided by operating activities:
Depreciation and amortization	4,228	4,948
Stock compensation expense	5,462	8,228
Provision for inventory allowance	8,101	2,052
Provision for doubtful accounts	(1)	226
Deferred tax benefit	0	(2,438)
Incremental tax benefit from exercise of common stock options	0	138
Impairment of long-lived assets	1,028	0
Change in fair value of financial instruments	(749)	0
Changes in operating assets and liabilities:
Accounts receivable	(1,274)	(2,997)
Inventory	633	(2,371)
Prepaid and deferred taxes	1,356	33,938
Prepaid expenses and other assets	981	(1,919)
Accounts payable	2,036	(988)
Accrued expenses and other current liabilities	(13,422)	7,907
Distributions payable	8,208	(998)
Customer payables	(4,971)	(785)
Other liabilities	(662)	(134)
Net cash (used) provided by operating activities	(14,266)	38,636
Investing activities
Increase in intangibles	(78)	(46)
Purchases of property and equipment, including capitalized software	(6,210)	(4,587)
Net cash used in investing activities	(6,288)	(4,633)
Financing activities
Proceeds from exercise of common stock options (net of tax)	93	0
Incremental tax benefit from exercise of common stock options	0	(138)
Net cash provided (used) by financing activities	93	(138)
Effect of exchange rate differences on cash and cash equivalents	(117)	535
Net (decrease) increase in cash and cash equivalents	(20,578)	34,400
Cash and cash equivalents at beginning of period	134,513	95,465
Cash and cash equivalents at end of period	113,935	129,865
Supplemental disclosure of cash flow information
Cash paid (received) for income taxes, net	$ (931)	$ (34,001)

Organization

Organization	9 Months Ended
	Jun. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization	Organization Liquidity Services (the “Company”) operates a network of leading e-commerce 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 its 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 broad range of services include program management, valuation, asset management, reconciliation, RTV and RMA ("Return to Vendor" and "Returns Management Authorization"), refurbishment and recycling, fulfillment, marketing and sales, warehousing and transportation, buyer customer support, and compliance and risk mitigation. 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. The Company’s marketplaces are www.liquidation.com, www.govliquidation.com, www.govdeals.com, www.networkintl.com, www.secondipity.com, www.go-dove.com, www.unclesamsretailoutlet.com, www.irondirect.com, and auctiondeals.com. The Company has over 10,000 clients, including Fortune 1000 and Global 500 organizations as well as federal, state, and local government agencies. The Company has three reportable segments, Retail Supply Chain Group (RSCG), Capital Assets Group (CAG), and GovDeals. 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 U.S. Government agencies from which the Company derives a significant portion of its inventory to change the way they conduct their surplus disposition or to otherwise not renew their contracts with the Company. The Company has evaluated subsequent events through the date that these financial statements were issued and filed with the Securities and Exchange Commission.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Jun. 30, 2017
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 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 and nine months ended June 30, 2017 are not necessarily indicative of the results that may be expected for the year ending September 30, 2017 , or for any future period. Fee revenue is revenue earned under the consignment model, as well as other fee revenue, and is presented separately as it accounts for more than 10% of total revenue. New Accounting Pronouncements In August 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-15, Presentation of Financial Statements - Going Concern , which requires management to evaluate whether there are conditions and events that raise substantial doubt about the entity’s ability to continue as a going concern and to provide disclosures in certain circumstances. The new guidance was issued to reduce diversity in the timing and content of footnote disclosures. This guidance will become effective for the Company for the annual period ending September 30, 2017. The Company does not expect the adoption of this standard to have a material effect upon its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, Compensation-Stock Compensation (Topic 718) . The new standard will change certain aspects of accounting for share-based payments to employees. Under the new standard, the Company will no longer record excess tax benefits and certain tax deficiencies in additional paid-in capital (“APIC”). Instead, the Company will record all excess tax benefits and tax deficiencies as income tax expense or benefit in the income statement when the awards vest or are settled. The APIC pools will be eliminated. For interim reporting purposes, the Company will account for excess tax benefits and tax deficiencies as discrete items in the period in which they occur. The new standard will also allow the Company to repurchase more of an employee’s shares than it can today for income tax withholding purposes without triggering liability accounting and to make a policy election to account for forfeitures as they occur. The new guidance will require the Company to present excess tax benefits as an operating activity on the statement of cash flows rather than as a financing activity. This guidance will become effective for the Company beginning on October 1, 2017. The Company does not expect the adoption of this standard to have a material effect upon its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) - Classification of Certain Cash Receipts and Cash Payments. ASU 2016-15 clarifies how entities should classify certain cash receipts and cash payments in the statement of cash flows, including debt prepayment or extinguishment costs, settlement of contingent consideration arising from a business combination, insurance settlement proceeds, and distributions from certain equity method investees, and amends certain disclosure requirements of Accounting Standards Codification ("ASC") 230. The guidance will generally be applied retrospectively and is effective for the Company beginning on October 1, 2018, and interim periods therein. The Company is currently evaluating the methods of adoption allowed by the new standard and the effect that adoption of the standard is expected to have on the Company’s consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805). ASU 2017-01 clarifies the definition of a business to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or business. The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. This guidance will become effective for the Company beginning on October 1, 2018. The amendments in this update should be applied prospectively on or after the effective date. No disclosures are required at transition. The Company does not expect the adoption of this standard to have a material effect upon its consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers , which supersedes most existing revenue recognition guidance under GAAP. The new standard will change the way the Company recognizes revenue and significantly expand the disclosure requirements for revenue arrangements. The guidance may be adopted either retrospectively or on a modified retrospective basis whereby the new standard would be applied to new and existing arrangements with remaining performance obligations as of the effective date, with a cumulative catch-up adjustment recorded to retained earnings at the effective date for existing arrangements with remaining performance obligations. As of June 30, 2017, the Company has initiated a formal project to assess this new standard. The Company is performing the assessment in a phased approach, and has hired outside consultants to assist with the assessment and implementation phases. The Company and its consultants are in the assessment phase, which includes gaining an understanding of the impact of the new standard through analysis and contract reviews. This guidance will become effective for the Company beginning October 1, 2018. The Company has not yet selected the transition method it will use, and as noted above, is evaluating the effect that adoption of the standard is expected to have on the Company's consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU 2016-02, Leases . ASU 2016-02 will change the way the Company recognizes its leased assets. ASU 2016-02 will require organizations that lease assets—referred to as “lessees”—to recognize on the balance sheet the assets and liabilities representing the rights and obligations created by those leases. ASU 2016-02 will also require disclosures to help investors and other financial statement users better understand the amount, timing, and uncertainty of cash flows arising from leases. This guidance will become effective for the Company beginning on October 1, 2019. The Company is currently evaluating the methods of adoption allowed by the new standard and the effect that adoption of the standard is expected to have on the Company’s consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350) . Under ASU 2017-04 the entity should perform its annual or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount of a reporting unit exceeds the reporting unit's fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Additionally, an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. This guidance will become effective for the Company beginning on October 1, 2020. The Company is currently evaluating the methods of adoption allowed by the new standard and the effect that adoption of the standard is expected to have on the Company’s consolidated financial statements and related disclosures. In March 2017, the FASB issued ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost . ASU 2017-07 changes how employers that sponsor defined benefit pension and/or other postretirement benefit plans present the cost of the benefits in the income statement. Under this standard, employers will present the service cost component of net periodic benefit cost in the same income statement line item(s) as other employee compensation costs arising from services rendered during the period. Employers will present the other components of the net periodic benefit cost separately from the line item(s) that includes the service cost and outside of any subtotal of operating income, if one is presented. This guidance will become effective for the Company beginning on October 1, 2018. The Company is currently evaluating the methods of adoption allowed by the new standard and the effect that adoption of the standard is expected to have on the Company’s consolidated financial statements and related disclosures. Business Combinations The Company recognizes all of the assets acquired, liabilities assumed, contractual contingencies, and contingent consideration at their fair value on the acquisition date. Acquisition-related costs are recognized separately from the acquisition and expensed as incurred. Restructuring costs incurred in periods subsequent to the acquisition date are expensed when incurred. Subsequent changes to the purchase price (i.e., working capital adjustments) or other fair value adjustments determined during the measurement period are recorded as an adjustment to goodwill, with the exception of contingent consideration, which is recognized in the statement of operations in the period it is modified. All subsequent changes to a valuation allowance or uncertain tax position that relate to the acquired company and existed at the acquisition date that occur both within the measurement period and as a result of facts and circumstances that existed at the acquisition date are recognized as an adjustment to goodwill. All other changes in valuation allowances are recognized as a reduction or increase to income tax expense. Accounts Receivable Accounts receivable are recorded at the invoiced amount and are non-interest bearing. The Company maintains an allowance for doubtful accounts to reserve for potentially uncollectible receivables. Allowances are based on management’s judgment, which considers historical experience and specific knowledge of accounts where collectability may not be probable. The Company makes provisions based on historical bad debt experience, a specific review of all significant outstanding invoices and an assessment of general economic conditions. Inventory Inventory consists of property obtained for resale, generally through the online auction process, and is stated at the lower of cost or market. Cost is determined using the specific identification method. Charges for unsellable inventory, as well as for inventory written down to expected market price, are included in Cost of goods sold in the period in which they have been determined to occur. During the third quarter of fiscal 2017, the Company recorded a $1.9 million inventory reserve within its IronDirect operating segment, as the carrying value of this inventory was written down to its expected market value. As of June 30, 2017 , and September 30, 2016 , the Company’s inventory reserve was approximately $4.3 million and $3.4 million , respectively. Prepaid expenses and other current assets Prepaid expenses and other current assets includes prepaid income tax, financial assets, the short-term portion of a promissory note, as well as other miscellaneous prepaid expenses. Financial assets are related to participation agreements for principal transactions in the Company's commercial business. Changes in the fair value of the Company's financial assets are recorded in Other operating expense. Other Assets On September 30, 2015 , the Company sold certain assets related to its Jacobs Trading business to Tanager Acquisitions, LLC (the ‘‘Buyer’’). In connection with the disposition, the Buyer assumed certain liabilities related to the Jacobs Trading business. The Buyer issued a $12.3 million five -year interest bearing promissory note to the Company. Of the $12.3 million , $1.0 million has been repaid. Of the remaining $11.3 million , $9.8 million was recorded in Other assets, and $1.5 million in Prepaid expenses and other current assets as of June 30, 2017 . Earnings per Share The Company calculates net income (loss) per share in accordance with FASB Topic 260 Earnings Per Share (“ASC 260”). Under ASC 260, basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted-average number of common shares outstanding during the reporting period. The weighted average number of shares of common stock outstanding includes vested restricted stock units. Diluted net income (loss) per share (“EPS”) reflects the potential dilution that could occur assuming conversion or exercise of all dilutive unexercised stock options and unvested restricted stock units. The dilutive effect of unexercised stock options and unvested restricted stock units was determined using the treasury stock method. Under the treasury stock method, the proceeds received from the exercise of stock options, the amount of compensation cost for future service not yet recognized by the Company and the amount of tax benefits that would be recorded in additional paid-in capital when stock options become deductible for income tax purposes are all assumed to be used to repurchase shares of the Company’s common stock. Stock options and restricted stock units are not included in the computation of diluted net income (loss) per share when they are antidilutive. For the three and nine months ended June 30, 2017 and 2016 , the basic and diluted weighted average common shares were the same because the inclusion of dilutive securities in the computation of diluted net income would have been anti-dilutive. See Note 7 for outstanding stock options and unvested restricted stock, all of which are anti-dilutive for the three and nine months ended June 30, 2017 and 2016 . The following summarizes the basic and diluted loss per share: Three Months Ended June 30, Nine Months Ended June 30, 2017 2016 2017 2016 (Unaudited) (dollars in thousands, except per share amounts) Weighted average shares calculation: Basic weighted average common shares outstanding 31,485,599 30,726,554 31,369,077 30,603,641 Treasury stock effect of options and restricted stock — — — — Diluted weighted average common shares outstanding 31,485,599 30,726,554 31,369,077 30,603,641 Net loss $ (8,614 ) $ (124 ) $ (25,220 ) $ (6,171 ) Basic and diluted loss per common share $ (0.27 ) $ 0.00 $ (0.80 ) $ (0.20 ) The basic and diluted weighted average common shares were the same for the three and nine months ended June 30, 2017 and 2016 as the inclusion of any dilutive securities would have been antidilutive. These anti-dilutive shares totaled zero and 35,153 for the three and nine months ended June 30, 2017, respectively, and zero for the three and nine months ended June 30, 2016. Stock-Based Compensation The Company estimates the fair value of share-based awards on the date of grant. The fair value of stock options and stock appreciation rights is determined using the Black-Scholes option-pricing model. The fair value of restricted stock units is based on the closing price of the Company’s common stock on the date of grant. The determination of the fair value of the Company’s stock option units and stock appreciation rights is based on a variety of factors including, but not limited to, the Company’s common stock price, expected stock price volatility over the expected life of units, and actual and projected exercise behavior. Additionally, the Company has estimated forfeitures for share-based awards at the dates of grant based on historical experience, adjusted for future expectation. The forfeiture estimate is revised as necessary if actual forfeitures differ from these estimates. The Company issues restricted stock units where restrictions lapse upon either the passage of time (service vesting conditions), achievement of performance targets (performance vesting conditions), or some combination thereof. For those restricted stock units with only service vesting conditions, the Company recognizes compensation cost on a straight-line basis over the explicit service period. For units with both performance and service vesting conditions, the Company starts recognizing compensation cost over the remaining service period, when it is probable the performance condition will be met. For stock options and stock units that contain performance vesting conditions, the Company excludes these units from diluted earnings per share computations until the contingency is met as of the end of that reporting period. The Company presents the cash flows from the tax benefits resulting from tax deductions in excess of the compensation cost recognized for those options (excess tax benefits) as a financing activity with a corresponding operating cash outflow in the Consolidated Statements of Cash Flows when it is considered probable that those tax benefits will be realized.

Significant Contracts

Significant Contracts	9 Months Ended
	Jun. 30, 2017
Contractors [Abstract]
Significant Contracts	Significant Contracts The Company has a Surplus contract with the Defense Logistics Agency Disposition Services (DLA). Under this contract, the Company is the remarketer of substantially all Department of Defense (DoD) non-rolling stock surplus turned into the DLA and available for sale within the United States, Puerto Rico, and Guam. The Surplus contract requires the Company to purchase substantially all usable surplus property offered to the Company by the DoD at a fixed percentage of the DoD's original acquisition value (OAV). This fixed percentage is 4.35% ; prior to the date the current Surplus contract became effective, this fixed percentage was 1.8% . The Company retains 100% of the profits from the resale of the property and bears all of the costs for the merchandising and sale of the property. Included in accrued expenses and other current liabilities in the Consolidated Balance Sheet is a liability to the DoD of $8.0 million and $16.1 million for inventory as of June 30, 2017 and September 30, 2016 , respectively. The Surplus contract permits either party to terminate the contract for convenience. The initial two -year base period ended in December 2016. On December 6, 2016, the DLA notified the Company that it was exercising the first 1 -year extension option. The Surplus contract now extends through December 14, 2017. There are three remaining one -year options to extend, exercisable by the DLA. Notwithstanding the options to extend, the DLA held a pre-proposal conference on August 2, 2017 in which the DLA explained a plan to conduct a solicitation for the disposal of surplus DoD assets in the near future. The DLA has not yet issued a formal solicitation. The Company currently earns fees for services provided under the Surplus contract. Service fees may vary month-to-month based on services rendered, agreed pricing and volume of goods. The Company anticipates service fee revenue over several quarters to decline as we anticipate pricing declines for the services we provide to the DOD. Revenue under the Surplus contract was negatively affected for the quarter ended June 30, 2017 as a result of an approximately $0.7 million decrease in service revenues due to new pricing compared to the pricing in effect as of March 31, 2017. Applying the lower service fees currently planned, revenue under the Surplus contract would have been lower by $1.7 million for the quarter ended June 30, 2017. The company anticipates that the results of the second quarter of fiscal 2018 will fully reflect the impact of the new reduced service fees. Assuming the exercise of the next option year, the Company anticipates that the results of the second quarter of fiscal 2018 will fully reflect the impact of the new reduced service fees. Revenue from the Surplus contract accounted for 26.4% and 30.9% of the Company's consolidated revenue for the three months ended June 30, 2017 and 2016, respectively, and 27.8% and 31.0% of the Company's consolidated revenue for the nine months ended June 30, 2017 and 2016 , respectively. The Company has a Scrap contract with the DLA under which the Company is the remarketer of substantially all DoD non-electronic scrap turned into the DLA available for sale within the United States, Puerto Rico, and Guam. The Scrap contract was awarded to the Company in April 2016. The contract is a three -year contract with two, one -year renewal options. The base period of the Scrap contract will expire on September 30, 2019. The Company pays a revenue-sharing payment to the DLA under this contract equal to 64.5% of the gross resale proceeds of the scrap property, and the Company bears all of the costs for the sorting, merchandising and sale of the property. The contract contains a provision permitting the DLA to terminate the contract for convenience upon written notice to the Company. The Company commenced operations under this contract in the quarter ended December 31, 2016. The original Scrap contract was structured as a profit-sharing arrangement, whereby the profit sharing percentage to the DLA was 65.0% . As a result of moving from a profit-sharing arrangement to a revenue-sharing arrangement, the Company re-named the balance sheet line item from Profit-sharing distributions payable to Distributions payable during the first quarter of fiscal 2017. Revenue from the Scrap contract accounted for approximately 12.3% and 8.6% of the Company's consolidated revenue for the three months ended June 30, 2017 and 2016, respectively, and 10.9% and 9.8% of the Company's consolidated revenue for the nine months ended June 30, 2017 and 2016 , respectively. Additionally, the Company has a contract with a commercial client under which it acquires and sells commercial merchandise. Revenue generated from the arrangement represented approximately 16.1% and 9.1% of the Company's consolidated revenue for the three months ended June 30, 2017 and 2016, respectively, and 15.2% and 9.4% of the Company's consolidated revenue for the nine months ended June 30, 2017 and 2016 , respectively.

Goodwill

Goodwill	9 Months Ended
	Jun. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	Goodwill The goodwill of acquired companies is primarily related to the acquisition of an experienced and knowledgeable workforce. The following table presents goodwill balances and foreign currency translation adjustments to those balances for the Company's reportable segments that have goodwill during the nine months ended June 30, 2017 : Goodwill (in thousands) CAG GovDeals Total Balance at September 30, 2016 21,403 23,731 45,134 Translation adjustments 55 — 55 Balance at June 30, 2017 $ 21,458 $ 23,731 $ 45,189 During fiscal year 2016 , the Company made a voluntary change in the method of applying an accounting principle to change the date of the annual goodwill impairment assessment. The date was changed from September 30 to July 1. On July 1, 2016 the Company identified indicators of impairment, performed an impairment analysis, and as a result recorded a $19.0 million impairment charge to the RSCG segment during the fourth quarter of fiscal 2016. The Company's remaining reporting units with goodwill had fair values as of July 1, 2016 that substantially exceeded their respective book values.

Intangible Assets

Intangible Assets	9 Months Ended
	Jun. 30, 2017
Finite-Lived Intangible Assets, Net [Abstract]
Intangible Assets	Intangible Assets The components of identifiable intangible assets as of June 30, 2017 and September 30, 2016 are as follows: June 30, 2017 September 30, 2016 Useful Life (in years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (dollars in thousands) Contract intangibles 10 $ 1,500 $ (535 ) $ 965 $ 1,500 $ (150 ) $ 1,350 Brand and technology 3 - 5 4,877 (4,877 ) — 5,749 (5,018 ) 731 Covenant not to compete 3 - 5 — — — 700 (533 ) 167 Patent and trademarks 3 - 10 897 (488 ) 409 820 (418 ) 402 Total intangible assets $ 7,274 $ (5,900 ) $ 1,374 $ 8,769 $ (6,119 ) $ 2,650 Future expected amortization of intangible assets at June 30, 2017 is as follows: Future Amortization Years ending September 30, (in thousands) 2017 remaining three months $ 53 2018 189 2019 182 2020 183 2021 and thereafter 767 Total $ 1,374 Intangible assets amortization expense was approximately $0.3 million and $0.4 million for the three months ended June 30, 2017 and 2016 , respectively. Intangible assets amortization expense was approximately $0.9 million and $1.1 million for the nine months ended June 30, 2017 and 2016 , respectively. The Company recorded a $0.3 million impairment of a contract intangible associated with IronDirect business, which is included within accumulated amortization above. The Company also concluded that the covenant not to compete intangible asset received in connection with the acquisition of the TruckCenter business, was impaired due to exiting the TruckCenter land-based, live auction and retail business, and recorded a $0.1 million charge, and reduced the remaining unamortized value of this intangible asset to zero during the nine months ended June 30, 2017. This impairment charge is recorded in the Other operating expense line item in the Consolidated Statements of Operations.

Income Taxes

Income Taxes	9 Months Ended
	Jun. 30, 2017
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 expected annual effective income tax rate. The Company recorded a pre-tax loss in the first nine months of fiscal year 2017 and its corresponding effective tax rate is approximately -1.7% before recognition of a $0.3 million tax benefit for the recovery of prior year taxes paid. The Company applies the authoritative guidance related to uncertainty in income taxes. ASC 740 states that a benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, on the basis of technical merits. The Company records unrecognized tax benefits as a reduction to its deferred tax asset for its net operating loss carryforward. During fiscal year 2016, the Company reduced its net operating loss carryforward by $0.7 million for unrecognized tax benefits related to federal and state tax exposures. During the nine months ended June 30, 2017 , the Company reduced its net operating loss carryforward by $1.4 million for unrecognized tax benefits related to federal and state tax exposures. The Company’s policy is to recognize interest and penalties in the period in which they occur in the income tax provision. 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 U.K. Currently, the Company has open federal and state income tax examinations for fiscal years 2012 through 2015. The Company anticipates no material tax liability will arise from these examinations. The statute of limitations for U.S. federal income tax returns for years prior to fiscal 2013 is now closed. However, certain tax attribute carryforwards that were generated prior to fiscal 2013 may be adjusted upon examination by tax authorities if they are utilized.

Stockholders' Equity

Stockholders' Equity	9 Months Ended
	Jun. 30, 2017
Stockholders' Equity Note [Abstract]
Stockholders' Equity	Stockholders’ Equity Share Repurchase Program The Company is authorized to repurchase issued and outstanding shares of its common stock under a share repurchase program approved by the Company's Board of Directors. Share repurchases may be made through open market purchases, privately negotiated transactions or otherwise, at times and in such amounts as management deems appropriate. The timing and actual number of shares repurchased will depend on a variety of factors including price, corporate and regulatory requirements and other market conditions. The repurchase program may be discontinued or suspended at any time, and will be funded using available cash. The Company's Board of Directors reviews the share repurchase program periodically, the last such review having occurred in May 2016. The Company did not repurchase shares under this program during the nine months ended June 30, 2017 or 2016. As of June 30, 2017 , the Company may repurchase an additional $10.1 million in shares under this program. 2006 Omnibus Long-Term Incentive Plan (the 2006 Plan) Under the 2006 Omnibus Long-Term Incentive Plan, or the 2006 Plan, as amended, 13,000,000 shares of common stock were available for issuance as of September 30, 2016. On February 23, 2017, at the Company's annual meeting of stockholders, the stockholders approved amendments to the 2006 Plan to increase the number of shares available for issuance under the 2006 Plan by 3,300,000 , to a total of 16,300,000 shares. The 2006 Plan has a fungible share pool so that awards other than options or stock appreciation rights granted would be counted as 1.5 shares from the shares reserved for issuance. During the nine months ended June 30, 2017 , the Company canceled options to purchase 40,718 shares and 112,380 restricted shares subject to performance vesting conditions because the Compensation Committee, which administers the 2006 Plan, determined the performance goals had become unachievable. At June 30, 2017 , there were 3,175,586 shares remaining reserved for issuance in connection with awards under the 2006 Plan. During the nine months ended June 30, 2017 , the Company issued 218,550 cash-settled stock appreciation rights at the price of $10.30 , and 178,022 cash-settled stock appreciation rights were forfeited. During fiscal year 2016, the Company issued 1,062,668 cash-settled stock appreciation rights at the price of $4.57 , and 153,338 cash-settled stock appreciation rights were forfeited. The cash settled stock appreciation rights are recorded as liability awards. The maximum number of shares subject to options or stock appreciation rights that can be awarded under the 2006 Plan to any person is 1,000,000 per year. The maximum number of shares that can be awarded under the 2006 Plan to any person, other than pursuant to an option or stock appreciation right, is 700,000 per year. The Company issues stock appreciation rights where conditions lapse upon either the passage of time (service vesting), achievement of performance targets, or some combination of these conditions. The Company recognizes compensation cost with respect to stock appreciation rights only subject to service vesting conditions on a straight-line basis over the explicit service period. For awards subject to both performance and service vesting conditions, the Company starts recognizing compensation cost over the remaining service period, when it is probable the performance vesting condition will be met. The stock appreciation rights that are only subject to service vesting conditions generally vest over a period of one to four years conditioned on continued employment for the incentive period. Stock Option Activity A summary of the Company’s stock option activity for the nine months ended June 30, 2017 and year ended September 30, 2016 is as follows: Options Weighted- Average Exercise Price Options outstanding at September 30, 2015 1,472,643 $ 17.46 Options granted 583,228 6.68 Options exercised (1,251 ) 7.48 Options canceled (346,133 ) 16.99 Options outstanding at September 30, 2016 1,708,487 13.91 Options granted 232,845 9.18 Options exercised (12,421 ) 7.41 Options canceled (174,395 ) 12.25 Options outstanding at June 30, 2017 1,754,516 13.49 Options exercisable at June 30, 2017 1,281,593 15.05 The intrinsic value and weighted average remaining contractual life in years of outstanding and exercisable options at June 30, 2017 is approximately $14,468 and 5.87 and $14,468 and 5.11 years, respectively, based on a stock price per share of $6.35 on June 30, 2017 . Over the last three years, volatility rates have ranged from 51.49% to 77.92% , the dividend rate has been 0% , risk free interest rates have ranged from 0.26% to 2.17% and expected forfeiture rates have ranged from 21.38% to 23.54% . Restricted Share Activity A summary of the Company’s restricted share activity for the nine months ended June 30, 2017 and year ended September 30, 2016 is as follows: Restricted Shares Weighted- Average Fair Value Unvested restricted shares at September 30, 2015 2,367,187 $ 16.08 Restricted shares granted 1,504,655 5.54 Restricted shares vested (715,188 ) 16.09 Restricted shares canceled (495,409 ) 20.25 Unvested restricted shares at September 30, 2016 2,661,245 9.34 Restricted shares granted 783,352 9.01 Restricted shares vested (730,774 ) 10.98 Restricted shares canceled (459,300 ) 9.65 Unvested restricted shares at June 30, 2017 2,254,523 8.64 The intrinsic value and weighted average remaining contractual life in years of unvested restricted shares at June 30, 2017 was approximately 14.32 million and 8.5 years, respectively, based on a stock price per share of $6.35 on June 30, 2017 .

Fair Value Measurement

Fair Value Measurement	9 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value Measurement	Fair Value Measurement The Company measures and records in the accompanying consolidated financial statements 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. As of June 30, 2017 , and September 30, 2016 , the Company had no Level 1 or Level 2 assets or liabilities measured at fair value. As of June 30, 2017 , and September 30, 2016 , the Company had financial assets that are measured at fair value and are classified as Level 3 assets within the fair value hierarchy. The Company has elected to record the financial assets using the fair value option under ASC 825, Financial Instruments . These financial assets represent the value of rights the Company holds from its participation in certain principal transactions in the Company's commercial business, where a third party partner owns the underlying assets to be sold, and the Company has contributed funds to the partner towards purchasing those underlying assets. These assets are included in Prepaid expenses and other current assets in the Consolidated Balance Sheets. The changes in financial assets measured at fair value for which the Company has used Level 3 inputs to determine fair value for the nine months ended June 30, 2017 are as follows ($ in thousands): Level 3 Assets Balance at September 30, 2016 $ 2,200 Acquisition of financial assets 2,662 Settlements (4,700 ) Change in fair value of financial assets 749 Balance at June 30, 2017 $ 911 During the three months ended June 30, 2017, the Company recognized no change in the fair value of its financial assets. During the nine months ended June 30, 2017, the Company recognized a gain of approximately $0.7 million on its financial assets. When valuing its Level 3 assets, the Company gives consideration to asset condition, economic and/or market events, and other pertinent information that would impact its estimate of the expected generated proceeds. The valuation procedures are primarily based on management's projection of the value of the assets securing the financial investment. Management’s estimation of the fair value of these assets is based on the best information available in the circumstances and may incorporate management's own assumptions around market demand for these assets which could involve a level of judgment, taking into consideration a combination of internal and external factors. Changes in fair value of the Company's Level 3 assets are recorded in Other operating expense in the Consolidated Statements of Operations. The Company’s financial assets not measured at fair value are cash and cash equivalents (which includes cash and commercial paper with original maturities of less than 90 days). The Company believes the carrying value of these instruments approximates fair value due to their short-term maturities.

Defined Benefit Pension Plan

Defined Benefit Pension Plan	9 Months Ended
	Jun. 30, 2017
Defined Benefit Pension Plan
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 net periodic benefit recognized for the three and nine months ended June 30, 2017 and 2016 included the following components: Three Months Ended June 30, Nine Months Ended June 30, Qualified Defined Benefit Pension Plan 2017 2016 2017 2016 (dollars in thousands) Service cost $ — $ — $ — $ — Interest cost 148 205 436 634 Expected return on plan assets (213 ) (271 ) (623 ) (823 ) Amortization of prior service cost — — — — Amortization of actuarial (gain)/loss — — — — Amortization of transitional obligation/(asset) — — — — Total net periodic (benefit) $ (65 ) $ (66 ) $ (187 ) $ (189 )

Guarantees

Guarantees	9 Months Ended
	Jun. 30, 2017
Guarantees [Abstract]
Guarantees	Guarantees During the second quarter of 2015, the Company issued a guarantee to GoIndustry and the Trustees (the “Trustees”) of the Henry Butcher Pension Fund and Life Assurance Scheme (the ‘‘Scheme’’). Under the arrangement, the Company irrevocably and unconditionally (a) guarantees to the Trustees punctual performance by GoIndustry of all its Guaranteed Obligations, defined as all present and future obligations and liabilities (whether actual or contingent and whether owed jointly or severally in any capacity whatsoever) of the Company to make payments to the Scheme up to a maximum of 10 million British pounds, (b) undertakes with the Trustees that, whenever GoIndustry does not pay any amount when due in respect of the Company's Guaranteed Obligations, it must immediately on demand by the Trustees pay that amount as if it were the principal obligor; and (c) indemnifies the Trustees as an independent and primary obligation immediately on demand against any cost, charge, expense, loss or liability suffered or incurred by the Trustees if any payment obligation guaranteed by the Company is or becomes unenforceable, invalid or illegal; the amount of the cost, charge, expense, loss or liability under this indemnity will be equal to the amount the Trustees would otherwise have been entitled to recover on the basis of a guarantee. The guarantee is a continuing guarantee that will extend to the ultimate balance of all sums payable by the Company in respect of its Guaranteed Obligations. As of June 30, 2017, the Company's Plan assets exceeded Plan liabilities by approximately $0.2 million . As of September 30, 2016, the Company's Plan liabilities exceeded Plan assets by approximately $0.6 million . The funded status of the Scheme as of September 30, 2016 , was disclosed in Note 14, Defined Benefit Pension Plan, to the consolidated financial statements included in the Company’s Annual Report on Form 10-K for the year ended September 30, 2016 .

Legal Proceedings

Legal Proceedings	9 Months Ended
	Jun. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Legal Proceedings	Legal Proceedings Howard v. Liquidity Services, Inc., et al., Civ. No. 14-1183 (D.D.C. 2014). On July 14, 2014, Leonard Howard filed a putative class action complaint in the United States District Court for the District of Columbia (the ‘‘District Court’’) against the Company and its chief executive officer, chief financial officer, and chief accounting officer, on behalf of stockholders who purchased the Company’s common stock between February 1, 2012, and May 7, 2014. The complaint alleged that the defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by, among other things, misrepresenting the Company’s growth initiative, growth potential, and financial and operating conditions, thereby artificially inflating its stock price, and sought unspecified compensatory damages and costs and expenses, including attorneys’ and experts’ fees. On October 14, 2014, the Court appointed Caisse de Dépôt et Placement du Québec and the Newport News Employees’ Retirement Fund as co-lead plaintiffs. The plaintiffs filed an amended complaint on December 15, 2014, which alleges substantially similar claims, but which does not name the chief accounting officer as a defendant. On March 2, 2015, the Company moved to dismiss the amended complaint for failure to state a claim or plead fraud with the requisite particularity. On March 31, 2016, the Court granted that motion in part and denied it in part. Only the claims related to the alleged misrepresentation regarding the Company’s retail division were not dismissed. On May 16, 2016, the Company answered the amended complaint. Plaintiffs’ class certification motion was fully briefed as of May 16, 2017. The scheduling order in this action requires that fact discovery be completed by November 30, 2017, and that expert discovery be completed by May 23, 2018. The Company believes the allegations in the amended complaint are without merit and cannot estimate a range of potential liability, if any, at this time. In re Liquidity Services, Inc. Derivative Litigation, Civ. No. 2017-0080-JTL (Del. Ch.). On February 2, 2017, plaintiff David Girardi filed a putative derivative complaint in the Court of Chancery of the State of Delaware (the “Court of Chancery”), and on February 7, 2017, plaintiff Harold Slingerland filed a putative derivative complaint in the Court of Chancery. On March 9, 2017, plaintiffs Girardi and Slingerland filed a consolidated putative derivative complaint in the Court of Chancery, purportedly on the Company’s behalf. The consolidated complaint names as defendants the Company’s CEO and CFO, as well as certain other individuals who served on the Company’s Board of Directors between 2012 and 2014, and seeks to recover from those individuals, not the Company. The complaint asserts that, among other things, the defendants breached their fiduciary duties to the Company and its stockholders by causing or allowing the Company to make the same misstatements that are alleged in the amended complaint in the Howard action, and for alleged trading in the Company’s securities while in possession of material non-public information. The defendants have filed a motion to dismiss which is now fully briefed. The Company believes the allegations in the consolidated complaint are without merit and cannot estimate a range of potential liability, if any, at this time.

Segment Information Segment Inf

Segment Information Segment Information	9 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
Segment Information	Segment Information In prior periods, the Company presented one reportable segment. Effective this quarter, the Company is providing operating results in three reportable segments: GovDeals, Capital Assets Group (CAG), and Retail Supply Chain Group (RSCG). These three segments constitute 98% of our revenue as of June 30, 2017, and each offers separately branded marketplaces to enable sellers to achieve channel marketing objectives to reach buyers. Across our segments, the Company offers its seller-clients various transaction models as well as a suite of services, and our revenues vary depending upon the models employed and the level of service required. This change in segment presentation does not affect consolidated statements of operations and comprehensive loss, balance sheets or statements of cash flows. A description of the reportable segments follows: • GovDeals reportable segment provides self-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 commercial businesses located in the United States and Canada to sell surplus and salvage assets. GovDeals also offers a suite of services that includes asset sales and marketing, and client self-service. This segment includes our GovDeals.com and AuctionDeals.com marketplaces. • CAG reportable segment provides full-service solutions to sellers and it consists of marketplaces that enable federal government agencies as well as commercial businesses to sell surplus, salvage, and scrap assets. The assets that the company receives as the exclusive contractor of the Defense Logistics Agency (DLA) Disposition Services of the U.S. Department of Defense are sold in this segment. CAG also offers a suite of services that includes surplus management, asset valuation, and asset sales and marketing. Commercial sellers are located in the United States, Europe, Australia and Asia. This segment includes our Network International, GoIndustry DoveBid, Government Liquidation, and Uncle Sam's Retail Outlet marketplaces. • 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 eCommerce services. This segment includes our Liquidation.com, Liquidation.com DIRECT, and Secondipity marketplaces. Corporate & Other primarily consists of the Company's TruckCenter and IronDirect operating segments that are not individually significant, as well as elimination adjustments. 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 CEO, with oversight by the Board of Directors. 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 evaluates the performance of each segment based upon segment gross profit. Gross profit is calculated as total revenue less cost of goods sold and client distributions. The following table sets forth certain financial information for the Company's reportable segments. Three Months Ended June 30, Nine Months Ended June 30, 2017 2016 2017 2016 GovDeals: Revenue $ 7,464 $ 6,420 $ 19,901 $ 17,067 Gross profit $ 7,023 $ 6,041 $ 18,670 $ 16,040 CAG: Revenue $ 34,400 $ 54,199 $ 113,978 $ 146,692 Gross profit $ 17,418 $ 29,352 $ 56,961 $ 85,171 RSCG: Revenue $ 23,528 $ 23,804 $ 72,029 $ 67,818 Gross profit $ 7,398 $ 7,675 $ 22,566 $ 22,176 Corporate & Other: Revenue $ 128 $ 765 $ 2,742 $ 6,364 Gross profit $ (1,921 ) $ 164 $ (1,492 ) $ 926 Consolidated: Revenue $ 65,520 $ 85,188 $ 208,650 $ 237,941 Gross profit 29,918 43,232 96,705 124,313 Operating Expenses (36,663 ) (41,549 ) (116,853 ) (128,177 ) Depreciation/Amortization (1,365 ) (1,616 ) (4,228 ) (4,948 ) Acquisition costs — — — (39 ) Other operating expense (652 ) — (1,044 ) — Interest income/(expense) and other expense, net 189 (208 ) 291 242 (Provision) benefit for income taxes (41 ) 17 (91 ) 2,438 Net loss $ (8,614 ) $ (124 ) $ (25,220 ) $ (6,171 ) June 30, September 30, 2017 2016 Segment Assets: GovDeals 37,965 38,828 CAG 102,967 117,870 RSCG 30,991 — Corporate & Other 59,643 103,411 Total Segment Assets: 231,566 260,109 As of September 30, 2016, the RSCG segment balance sheet was included within Corporate & Other. Due to the impracticality for the Company to separate those balance sheets at that time, the entire asset balance is included within the Corporate & Other line item above. As of June 30, 2017, the RSCG and corporate balance sheets have been separated.

Summary of Significant Accoun20

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Unaudited Interim Financial Information	Unaudited Interim Financial Information The accompanying unaudited consolidated financial statements have been prepared in accordance with 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 and nine months ended June 30, 2017 are not necessarily indicative of the results that may be expected for the year ending September 30, 2017 , or for any future period. Fee revenue is revenue earned under the consignment model, as well as other fee revenue, and is presented separately as it accounts for more than 10% of total revenue
New Accounting Pronouncements	New Accounting Pronouncements In August 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-15, Presentation of Financial Statements - Going Concern , which requires management to evaluate whether there are conditions and events that raise substantial doubt about the entity’s ability to continue as a going concern and to provide disclosures in certain circumstances. The new guidance was issued to reduce diversity in the timing and content of footnote disclosures. This guidance will become effective for the Company for the annual period ending September 30, 2017. The Company does not expect the adoption of this standard to have a material effect upon its consolidated financial statements. In March 2016, the FASB issued ASU 2016-09, Compensation-Stock Compensation (Topic 718) . The new standard will change certain aspects of accounting for share-based payments to employees. Under the new standard, the Company will no longer record excess tax benefits and certain tax deficiencies in additional paid-in capital (“APIC”). Instead, the Company will record all excess tax benefits and tax deficiencies as income tax expense or benefit in the income statement when the awards vest or are settled. The APIC pools will be eliminated. For interim reporting purposes, the Company will account for excess tax benefits and tax deficiencies as discrete items in the period in which they occur. The new standard will also allow the Company to repurchase more of an employee’s shares than it can today for income tax withholding purposes without triggering liability accounting and to make a policy election to account for forfeitures as they occur. The new guidance will require the Company to present excess tax benefits as an operating activity on the statement of cash flows rather than as a financing activity. This guidance will become effective for the Company beginning on October 1, 2017. The Company does not expect the adoption of this standard to have a material effect upon its consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) - Classification of Certain Cash Receipts and Cash Payments. ASU 2016-15 clarifies how entities should classify certain cash receipts and cash payments in the statement of cash flows, including debt prepayment or extinguishment costs, settlement of contingent consideration arising from a business combination, insurance settlement proceeds, and distributions from certain equity method investees, and amends certain disclosure requirements of Accounting Standards Codification ("ASC") 230. The guidance will generally be applied retrospectively and is effective for the Company beginning on October 1, 2018, and interim periods therein. The Company is currently evaluating the methods of adoption allowed by the new standard and the effect that adoption of the standard is expected to have on the Company’s consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805). ASU 2017-01 clarifies the definition of a business to assist entities with evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or business. The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. This guidance will become effective for the Company beginning on October 1, 2018. The amendments in this update should be applied prospectively on or after the effective date. No disclosures are required at transition. The Company does not expect the adoption of this standard to have a material effect upon its consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers , which supersedes most existing revenue recognition guidance under GAAP. The new standard will change the way the Company recognizes revenue and significantly expand the disclosure requirements for revenue arrangements. The guidance may be adopted either retrospectively or on a modified retrospective basis whereby the new standard would be applied to new and existing arrangements with remaining performance obligations as of the effective date, with a cumulative catch-up adjustment recorded to retained earnings at the effective date for existing arrangements with remaining performance obligations. As of June 30, 2017, the Company has initiated a formal project to assess this new standard. The Company is performing the assessment in a phased approach, and has hired outside consultants to assist with the assessment and implementation phases. The Company and its consultants are in the assessment phase, which includes gaining an understanding of the impact of the new standard through analysis and contract reviews. This guidance will become effective for the Company beginning October 1, 2018. The Company has not yet selected the transition method it will use, and as noted above, is evaluating the effect that adoption of the standard is expected to have on the Company's consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU 2016-02, Leases . ASU 2016-02 will change the way the Company recognizes its leased assets. ASU 2016-02 will require organizations that lease assets—referred to as “lessees”—to recognize on the balance sheet the assets and liabilities representing the rights and obligations created by those leases. ASU 2016-02 will also require disclosures to help investors and other financial statement users better understand the amount, timing, and uncertainty of cash flows arising from leases. This guidance will become effective for the Company beginning on October 1, 2019. The Company is currently evaluating the methods of adoption allowed by the new standard and the effect that adoption of the standard is expected to have on the Company’s consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU 2017-04, Intangibles-Goodwill and Other (Topic 350) . Under ASU 2017-04 the entity should perform its annual or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount of a reporting unit exceeds the reporting unit's fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Additionally, an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. This guidance will become effective for the Company beginning on October 1, 2020. The Company is currently evaluating the methods of adoption allowed by the new standard and the effect that adoption of the standard is expected to have on the Company’s consolidated financial statements and related disclosures. In March 2017, the FASB issued ASU 2017-07, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost . ASU 2017-07 changes how employers that sponsor defined benefit pension and/or other postretirement benefit plans present the cost of the benefits in the income statement. Under this standard, employers will present the service cost component of net periodic benefit cost in the same income statement line item(s) as other employee compensation costs arising from services rendered during the period. Employers will present the other components of the net periodic benefit cost separately from the line item(s) that includes the service cost and outside of any subtotal of operating income, if one is presented. This guidance will become effective for the Company beginning on October 1, 2018. The Company is currently evaluating the methods of adoption allowed by the new standard and the effect that adoption of the standard is expected to have on the Company’s consolidated financial statements and related disclosures.
Business Combinations	Business Combinations The Company recognizes all of the assets acquired, liabilities assumed, contractual contingencies, and contingent consideration at their fair value on the acquisition date. Acquisition-related costs are recognized separately from the acquisition and expensed as incurred. Restructuring costs incurred in periods subsequent to the acquisition date are expensed when incurred. Subsequent changes to the purchase price (i.e., working capital adjustments) or other fair value adjustments determined during the measurement period are recorded as an adjustment to goodwill, with the exception of contingent consideration, which is recognized in the statement of operations in the period it is modified. All subsequent changes to a valuation allowance or uncertain tax position that relate to the acquired company and existed at the acquisition date that occur both within the measurement period and as a result of facts and circumstances that existed at the acquisition date are recognized as an adjustment to goodwill. All other changes in valuation allowances are recognized as a reduction or increase to income tax expense.
Accounts Receivable	Accounts Receivable Accounts receivable are recorded at the invoiced amount and are non-interest bearing. The Company maintains an allowance for doubtful accounts to reserve for potentially uncollectible receivables. Allowances are based on management’s judgment, which considers historical experience and specific knowledge of accounts where collectability may not be probable. The Company makes provisions based on historical bad debt experience, a specific review of all significant outstanding invoices and an assessment of general economic conditions.
Inventory	Inventory Inventory consists of property obtained for resale, generally through the online auction process, and is stated at the lower of cost or market. Cost is determined using the specific identification method. Charges for unsellable inventory, as well as for inventory written down to expected market price, are included in Cost of goods sold in the period in which they have been determined to occur. During the third quarter of fiscal 2017, the Company recorded a $1.9 million inventory reserve within its IronDirect operating segment, as the carrying value of this inventory was written down to its expected market value. As of June 30, 2017 , and September 30, 2016 , the Company’s inventory reserve was approximately $4.3 million and $3.4 million , respectively.
Prepaid expenses and other current assets	Prepaid expenses and other current assets Prepaid expenses and other current assets includes prepaid income tax, financial assets, the short-term portion of a promissory note, as well as other miscellaneous prepaid expenses. Financial assets are related to participation agreements for principal transactions in the Company's commercial business. Changes in the fair value of the Company's financial assets are recorded in Other operating expense.
Other Assets	Other Assets On September 30, 2015 , the Company sold certain assets related to its Jacobs Trading business to Tanager Acquisitions, LLC (the ‘‘Buyer’’). In connection with the disposition, the Buyer assumed certain liabilities related to the Jacobs Trading business. The Buyer issued a $12.3 million five -year interest bearing promissory note to the Company. Of the $12.3 million , $1.0 million has been repaid. Of the remaining $11.3 million , $9.8 million was recorded in Other assets, and $1.5 million in Prepaid expenses and other current assets as of June 30, 2017 .
Earnings per Share	Earnings per Share The Company calculates net income (loss) per share in accordance with FASB Topic 260 Earnings Per Share (“ASC 260”). Under ASC 260, basic net income (loss) per common share is calculated by dividing net income (loss) by the weighted-average number of common shares outstanding during the reporting period. The weighted average number of shares of common stock outstanding includes vested restricted stock units. Diluted net income (loss) per share (“EPS”) reflects the potential dilution that could occur assuming conversion or exercise of all dilutive unexercised stock options and unvested restricted stock units. The dilutive effect of unexercised stock options and unvested restricted stock units was determined using the treasury stock method. Under the treasury stock method, the proceeds received from the exercise of stock options, the amount of compensation cost for future service not yet recognized by the Company and the amount of tax benefits that would be recorded in additional paid-in capital when stock options become deductible for income tax purposes are all assumed to be used to repurchase shares of the Company’s common stock. Stock options and restricted stock units are not included in the computation of diluted net income (loss) per share when they are antidilutive. For the three and nine months ended June 30, 2017 and 2016 , the basic and diluted weighted average common shares were the same because the inclusion of dilutive securities in the computation of diluted net income would have been anti-dilutive. See Note 7 for outstanding stock options and unvested restricted stock, all of which are anti-dilutive for the three and nine months ended June 30, 2017 and 2016 . The basic and diluted weighted average common shares were the same for the three and nine months ended June 30, 2017 and 2016 as the inclusion of any dilutive securities would have been antidilutive. These anti-dilutive shares totaled zero and 35,153 for the three and nine months ended June 30, 2017, respectively, and zero for the three and nine months ended June 30, 2016.
Stock-Based Compensation	Stock-Based Compensation The Company estimates the fair value of share-based awards on the date of grant. The fair value of stock options and stock appreciation rights is determined using the Black-Scholes option-pricing model. The fair value of restricted stock units is based on the closing price of the Company’s common stock on the date of grant. The determination of the fair value of the Company’s stock option units and stock appreciation rights is based on a variety of factors including, but not limited to, the Company’s common stock price, expected stock price volatility over the expected life of units, and actual and projected exercise behavior. Additionally, the Company has estimated forfeitures for share-based awards at the dates of grant based on historical experience, adjusted for future expectation. The forfeiture estimate is revised as necessary if actual forfeitures differ from these estimates. The Company issues restricted stock units where restrictions lapse upon either the passage of time (service vesting conditions), achievement of performance targets (performance vesting conditions), or some combination thereof. For those restricted stock units with only service vesting conditions, the Company recognizes compensation cost on a straight-line basis over the explicit service period. For units with both performance and service vesting conditions, the Company starts recognizing compensation cost over the remaining service period, when it is probable the performance condition will be met. For stock options and stock units that contain performance vesting conditions, the Company excludes these units from diluted earnings per share computations until the contingency is met as of the end of that reporting period. The Company presents the cash flows from the tax benefits resulting from tax deductions in excess of the compensation cost recognized for those options (excess tax benefits) as a financing activity with a corresponding operating cash outflow in the Consolidated Statements of Cash Flows when it is considered probable that those tax benefits will be realized.

Summary of Significant Accoun21

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Jun. 30, 2017
Accounting Policies [Abstract]
Summary of the basic and diluted income per share	The following summarizes the basic and diluted loss per share: Three Months Ended June 30, Nine Months Ended June 30, 2017 2016 2017 2016 (Unaudited) (dollars in thousands, except per share amounts) Weighted average shares calculation: Basic weighted average common shares outstanding 31,485,599 30,726,554 31,369,077 30,603,641 Treasury stock effect of options and restricted stock — — — — Diluted weighted average common shares outstanding 31,485,599 30,726,554 31,369,077 30,603,641 Net loss $ (8,614 ) $ (124 ) $ (25,220 ) $ (6,171 ) Basic and diluted loss per common share $ (0.27 ) $ 0.00 $ (0.80 ) $ (0.20 )

Goodwill (Tables)

Goodwill (Tables)	9 Months Ended
	Jun. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Summary of goodwill activity	The following table presents goodwill balances and foreign currency translation adjustments to those balances for the Company's reportable segments that have goodwill during the nine months ended June 30, 2017 : Goodwill (in thousands) CAG GovDeals Total Balance at September 30, 2016 21,403 23,731 45,134 Translation adjustments 55 — 55 Balance at June 30, 2017 $ 21,458 $ 23,731 $ 45,189

Intangible Assets (Tables)

Intangible Assets (Tables)	9 Months Ended
	Jun. 30, 2017
Finite-Lived Intangible Assets, Net [Abstract]
Schedule of intangible assets	The components of identifiable intangible assets as of June 30, 2017 and September 30, 2016 are as follows: June 30, 2017 September 30, 2016 Useful Life (in years) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (dollars in thousands) Contract intangibles 10 $ 1,500 $ (535 ) $ 965 $ 1,500 $ (150 ) $ 1,350 Brand and technology 3 - 5 4,877 (4,877 ) — 5,749 (5,018 ) 731 Covenant not to compete 3 - 5 — — — 700 (533 ) 167 Patent and trademarks 3 - 10 897 (488 ) 409 820 (418 ) 402 Total intangible assets $ 7,274 $ (5,900 ) $ 1,374 $ 8,769 $ (6,119 ) $ 2,650
Schedule of future expected amortization of intangible assets	Future expected amortization of intangible assets at June 30, 2017 is as follows: Future Amortization Years ending September 30, (in thousands) 2017 remaining three months $ 53 2018 189 2019 182 2020 183 2021 and thereafter 767 Total $ 1,374

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	9 Months Ended
	Jun. 30, 2017
Stockholders' Equity Note [Abstract]
Summary of stock option activity	A summary of the Company’s stock option activity for the nine months ended June 30, 2017 and year ended September 30, 2016 is as follows: Options Weighted- Average Exercise Price Options outstanding at September 30, 2015 1,472,643 $ 17.46 Options granted 583,228 6.68 Options exercised (1,251 ) 7.48 Options canceled (346,133 ) 16.99 Options outstanding at September 30, 2016 1,708,487 13.91 Options granted 232,845 9.18 Options exercised (12,421 ) 7.41 Options canceled (174,395 ) 12.25 Options outstanding at June 30, 2017 1,754,516 13.49 Options exercisable at June 30, 2017 1,281,593 15.05
Summary of restricted share activity	A summary of the Company’s restricted share activity for the nine months ended June 30, 2017 and year ended September 30, 2016 is as follows: Restricted Shares Weighted- Average Fair Value Unvested restricted shares at September 30, 2015 2,367,187 $ 16.08 Restricted shares granted 1,504,655 5.54 Restricted shares vested (715,188 ) 16.09 Restricted shares canceled (495,409 ) 20.25 Unvested restricted shares at September 30, 2016 2,661,245 9.34 Restricted shares granted 783,352 9.01 Restricted shares vested (730,774 ) 10.98 Restricted shares canceled (459,300 ) 9.65 Unvested restricted shares at June 30, 2017 2,254,523 8.64

Fair Value Measurement (Tables)

Fair Value Measurement (Tables)	9 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Changes in financial assets fair value	The changes in financial assets measured at fair value for which the Company has used Level 3 inputs to determine fair value for the nine months ended June 30, 2017 are as follows ($ in thousands): Level 3 Assets Balance at September 30, 2016 $ 2,200 Acquisition of financial assets 2,662 Settlements (4,700 ) Change in fair value of financial assets 749 Balance at June 30, 2017 $ 911

Defined Benefit Pension Plan (T

Defined Benefit Pension Plan (Tables)	9 Months Ended
	Jun. 30, 2017
Defined Benefit Pension Plan
Schedule of net periodic benefit cost recognized	The net periodic benefit recognized for the three and nine months ended June 30, 2017 and 2016 included the following components: Three Months Ended June 30, Nine Months Ended June 30, Qualified Defined Benefit Pension Plan 2017 2016 2017 2016 (dollars in thousands) Service cost $ — $ — $ — $ — Interest cost 148 205 436 634 Expected return on plan assets (213 ) (271 ) (623 ) (823 ) Amortization of prior service cost — — — — Amortization of actuarial (gain)/loss — — — — Amortization of transitional obligation/(asset) — — — — Total net periodic (benefit) $ (65 ) $ (66 ) $ (187 ) $ (189 )

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	Jun. 30, 2017
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 June 30, Nine Months Ended June 30, 2017 2016 2017 2016 GovDeals: Revenue $ 7,464 $ 6,420 $ 19,901 $ 17,067 Gross profit $ 7,023 $ 6,041 $ 18,670 $ 16,040 CAG: Revenue $ 34,400 $ 54,199 $ 113,978 $ 146,692 Gross profit $ 17,418 $ 29,352 $ 56,961 $ 85,171 RSCG: Revenue $ 23,528 $ 23,804 $ 72,029 $ 67,818 Gross profit $ 7,398 $ 7,675 $ 22,566 $ 22,176 Corporate & Other: Revenue $ 128 $ 765 $ 2,742 $ 6,364 Gross profit $ (1,921 ) $ 164 $ (1,492 ) $ 926 Consolidated: Revenue $ 65,520 $ 85,188 $ 208,650 $ 237,941 Gross profit 29,918 43,232 96,705 124,313 Operating Expenses (36,663 ) (41,549 ) (116,853 ) (128,177 ) Depreciation/Amortization (1,365 ) (1,616 ) (4,228 ) (4,948 ) Acquisition costs — — — (39 ) Other operating expense (652 ) — (1,044 ) — Interest income/(expense) and other expense, net 189 (208 ) 291 242 (Provision) benefit for income taxes (41 ) 17 (91 ) 2,438 Net loss $ (8,614 ) $ (124 ) $ (25,220 ) $ (6,171 ) June 30, September 30, 2017 2016 Segment Assets: GovDeals 37,965 38,828 CAG 102,967 117,870 RSCG 30,991 — Corporate & Other 59,643 103,411 Total Segment Assets: 231,566 260,109

Organization (Details)

Organization (Details) client in Thousands	3 Months Ended	6 Months Ended	9 Months Ended
	Jun. 30, 2017reportablesegmentclient	Mar. 31, 2017reportablesegment	Jun. 30, 2017categoryclientsegment
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Minimum number of product categories offered (in categories) | category			500
Number of clients | client	10		10
Reportable segments (in segments)	3	1	3

Summary of Significant Accoun29

Summary of Significant Accounting Policies - Narrative (Details) - USD ($) $ in Millions	Sep. 30, 2015	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Sep. 30, 2016
Business Combination [Line Items]
Inventory reserve		$ 4.3		$ 4.3		$ 3.4
Antidilutive shares		0	0	35,153	0
Tanager Acquisitions Promissory Note
Business Combination [Line Items]
Receivable with imputed interest, face amount	$ 12.3
Receivable with imputed interest, term	5 years
Proceeds from collection of notes receivable				$ 1
Receivable with imputed interest, net amount		$ 11.3		11.3
Tanager Acquisitions Promissory Note | Other Assets
Business Combination [Line Items]
Receivable with imputed interest, net amount		9.8		9.8
Tanager Acquisitions Promissory Note | Prepaid Expenses and Other Current Assets
Business Combination [Line Items]
Receivable with imputed interest, net amount		1.5		1.5
IronDirect
Business Combination [Line Items]
Inventory reserve		$ 1.9		$ 1.9

Summary of Significant Accoun30

Summary of Significant Accounting Policies - Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Weighted average shares calculation:
Basic weighted average shares outstanding	31,485,599	30,726,554	31,369,077	30,603,641
Treasury stock effect of options and restricted stock	0	0	0	0
Diluted weighted average common shares outstanding	31,485,599	30,726,554	31,369,077	30,603,641
Net loss	$ (8,614)	$ (124)	$ (25,220)	$ (6,171)
Basic and diluted loss per common share (USD per share)	$ (0.27)	$ 0	$ (0.80)	$ (0.20)

Significant Contracts (Details)

Significant Contracts (Details) - USD ($) $ in Thousands	Dec. 06, 2016	Dec. 31, 2016	Apr. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Sep. 30, 2016
Significant Contracts
Liability for inventory included in accrued expenses and other current liabilities				$ 31,742		$ 31,742		$ 45,133
Non-rolling stock
Significant Contracts
Usable surplus property to be purchased as a fixed percentage of DoD's original acquisition value						1.80%
Surplus Contract
Significant Contracts
Liability for inventory included in accrued expenses and other current liabilities				$ 8,000		$ 8,000		$ 16,100
Base period		2 years
Term of each renewal options extended	1 year					1 year
Surplus Contract | Sales Revenue, Net | U.S. Department of Defense
Significant Contracts
Percentage of revenue				26.40%	30.90%	27.80%	31.00%
Surplus Contract | Pro Forma
Significant Contracts
Decrease in revenue				$ 1,700
Surplus Contract | Non-rolling stock
Significant Contracts
Usable surplus property to be purchased as a fixed percentage of DoD's original acquisition value						4.35%
Profits from resale of the property retained (as a percent)						100.00%
Surplus Contract | Service Fee
Significant Contracts
Decrease in revenue				$ 700
Scrap Contract
Significant Contracts
Term of each renewal options extended			1 year
Term of contract			3 years
Adjusted percentage of profit sharing distribution			65.00%			64.50%
Scrap Contract | Sales Revenue, Net | U.S. Department of Defense
Significant Contracts
Percentage of revenue				12.30%	8.60%	10.90%	9.80%
Commercial Client | Sales Revenue, Net | Customer Concentration Risk
Significant Contracts
Percentage of revenue				16.10%	9.10%	15.20%	9.40%

Goodwill (Details)

Goodwill (Details) $ in Thousands	9 Months Ended
	Jun. 30, 2017USD ($)
Goodwill
Balance at the beginning of the period	$ 45,134
Translation adjustments	55
Balance at the end of the period	45,189
CAG
Goodwill
Balance at the beginning of the period	21,403
Translation adjustments	55
Balance at the end of the period	21,458
GovDeals
Goodwill
Balance at the beginning of the period	23,731
Translation adjustments	0
Balance at the end of the period	$ 23,731

Goodwill - Narrative (Details)

Goodwill - Narrative (Details) $ in Millions	3 Months Ended
	Sep. 30, 2016USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Impairment of goodwill	$ 19

Intangible Assets - Carrying Am

Intangible Assets - Carrying Amount (Details) - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2017	Sep. 30, 2016
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 7,274	$ 8,769
Accumulated Amortization	(5,900)	(6,119)
Total	$ 1,374	2,650
Contract intangibles
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	10 years
Gross Carrying Amount	$ 1,500	1,500
Accumulated Amortization	(535)	(150)
Total	965	1,350
Brand and technology
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	4,877	5,749
Accumulated Amortization	(4,877)	(5,018)
Total	0	731
Covenant not to compete
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	0	700
Accumulated Amortization	0	(533)
Total	0	167
Patent and trademarks
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	897	820
Accumulated Amortization	(488)	(418)
Total	$ 409	$ 402
Minimum | Brand and technology
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	3 years
Minimum | Covenant not to compete
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	3 years
Minimum | Patent and trademarks
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	3 years
Maximum | Brand and technology
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	5 years
Maximum | Covenant not to compete
Finite-Lived Intangible Assets [Line Items]
Useful Life (in years)	5 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	Jun. 30, 2017	Sep. 30, 2016
Future expected amortization of intangible assets
2017 (remaining three months)	$ 53
2,018	189
2,019	182
2,020	183
2021 and thereafter	767
Total	$ 1,374	$ 2,650

Intangible Assets - Narrative (

Intangible Assets - Narrative (Details) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Finite-Lived Intangible Assets [Line Items]
Amortization of intangible assets	$ 300,000	$ 400,000	$ 900,000	$ 1,100,000
Contract intangibles
Finite-Lived Intangible Assets [Line Items]
Impairment of long-lived assets			300,000
Covenant not to compete | TruckCenter
Finite-Lived Intangible Assets [Line Items]
Impairment of long-lived assets			100,000
Intangible assets	$ 0		$ 0

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Jun. 30, 2017	Sep. 30, 2016
Income Tax Disclosure [Abstract]
Expected effective tax rate (as a percent)	(1.70%)
Recognized tax benefit	$ 0.3
Decrease in unrecognized tax benefits	$ 1.4	$ 0.7

Stockholders' Equity - Narrativ

Stockholders' Equity - Narrative (Details) - USD ($)	Feb. 23, 2017	Jun. 30, 2017	Sep. 30, 2016	Jun. 30, 2017
Stockholders' Equity
Amount yet to be expended under the program		$ 10,100,000		$ 10,100,000
Shares available for issuance	16,300,000		13,000,000
Increase in shares available for issuance	3,300,000
Reserve shares counted per share granted from fungible share pool (in shares)	1.5
Options canceled (in shares)		40,718
Forfeited (in shares)		112,380
Remaining shares reserved for issuance		3,175,586		3,175,586
Stock price (in dollars per share)		$ 6.35		$ 6.35
Cash-settled stock appreciation rights
Stockholders' Equity
Forfeited (in shares)		178,022	153,338
Granted (in shares)		218,550	1,062,668
Granted (in dollars per share)		$ 10.30	$ 4.57
Options or stock appreciation rights | Maximum
Stockholders' Equity
Number of shares awarded per person per year		1,000,000
Other than options or stock appreciation rights | Maximum
Stockholders' Equity
Number of shares awarded per person per year		700,000
Employee and director options
Stockholders' Equity
Intrinsic value of outstanding shares		$ 14,468		$ 14,468
Weighted average remaining contractual life of outstanding options		5 years 10 months 14 days
Intrinsic value of exercisable options		$ 14,468		$ 14,468
Weighted average remaining contractual life of exercisable options		5 years 1 month 9 days
Expected volatility, minimum (as a percent)				51.49%
Expected volatility, maximum (as a percent)				77.92%
Dividend yield (as a percent)				0.00%
Risk free interest rate, minimum (as a percent)				0.26%
Risk free interest rate, maximum (as a percent)				2.17%
Employee and director options | Minimum
Stockholders' Equity
Shares and options vesting period		1 year
Expected forfeiture rate (as a percent)				21.38%
Employee and director options | Maximum
Stockholders' Equity
Shares and options vesting period		4 years
Expected forfeiture rate (as a percent)				23.54%
Restricted shares
Stockholders' Equity
Forfeited (in shares)		459,300	495,409
Granted (in shares)		783,352	1,504,655
Granted (in dollars per share)		$ 9.01	$ 5.54
Intrinsic value of unvested restricted shares		$ 14,320,000		$ 14,320,000
Weighted average remaining contractual life of unvested restricted shares		8 years 6 months

Stockholders' Equity - 2006 Pla

Stockholders' Equity - 2006 Plan Activity (Details) - Employee and director options - $ / shares	9 Months Ended	12 Months Ended
	Jun. 30, 2017	Sep. 30, 2016
Stock option activity
Options outstanding at the beginning of the period (in shares)	1,708,487	1,472,643
Options granted (in shares)	232,845	583,228
Options exercised (in shares)	(12,421)	(1,251)
Options cancelled (in shares)	(174,395)	(346,133)
Options outstanding at the end of the period (in shares)	1,754,516	1,708,487
Options exercisable at the end of the period (in shares)	1,281,593
Weighted-Average Exercise Price
Options outstanding at the beginning of the period (in dollars per share)	$ 13.91	$ 17.46
Options granted (in dollars per share)	9.18	6.68
Options exercised (in dollars per share)	7.41	7.48
Options cancelled (in dollars per share)	12.25	16.99
Options outstanding at the end of the period (in dollars per share)	13.49	$ 13.91
Options exercisable at the end of the period (in dollars per share)	$ 15.05

Stockholders' Equity - Restrict

Stockholders' Equity - Restricted Share Activity (Details) - $ / shares	9 Months Ended	12 Months Ended
	Jun. 30, 2017	Sep. 30, 2016
Restricted share activity
Restricted shares cancelled	(112,380)
Restricted shares
Restricted share activity
Unvested restricted shares at the beginning of the period	2,661,245	2,367,187
Restricted shares granted	783,352	1,504,655
Restricted shares vested	(730,774)	(715,188)
Restricted shares cancelled	(459,300)	(495,409)
Unvested restricted shares at the end of the period	2,254,523	2,661,245
Weighted-Average Fair Value
Unvested restricted shares at the beginning of the period (in dollars per share)	$ 9.34	$ 16.08
Granted (in dollars per share)	9.01	5.54
Restricted shares vested (in dollars per share)	10.98	16.09
Restricted shares cancelled (in dollars per share)	9.65	20.25
Unvested restricted shares at the end of the period (in dollars per share)	$ 8.64	$ 9.34

Fair Value Measurement - Narrat

Fair Value Measurement - Narrative (Details) - USD ($)	9 Months Ended
	Jun. 30, 2017	Sep. 30, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Recognized gain (loss) on financial assets	$ 700,000
Recurring basis | Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, fair value	0	$ 0
Liabilities, fair value	0	0
Recurring basis | Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Assets, fair value	0	0
Liabilities, fair value	$ 0	$ 0

Fair Value Measurement - Change

Fair Value Measurement - Change in Level 3 Assets (Details) - USD ($) $ in Thousands	9 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Change in fair value of financial assets	$ 749	$ 0
Recurring basis | Level 3 Assets
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Balance at September 30, 2016	2,200
Acquisition of financial assets	2,662
Settlements	(4,700)
Change in fair value of financial assets	749
Balance at June 30, 2017	$ 911

Defined Benefit Pension Plan (D

Defined Benefit Pension Plan (Details) - Defined benefit pension plan - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Net periodic benefit cost recognized
Interest cost	$ 148	$ 205	$ 436	$ 634
Expected return on plan assets	(213)	(271)	(623)	(823)
Total net periodic benefit	$ (65)	$ (66)	$ (187)	$ (189)

Guarantees (Details)

Guarantees (Details) £ in Millions, $ in Millions	Jun. 30, 2017USD ($)	Sep. 30, 2016USD ($)	Mar. 31, 2015GBP (£)
Guarantees [Abstract]
Guarantee obligation value, maximum | £			£ 10
Funded (unfunded) status of plan | $	$ 0.2	$ (0.6)

Segment Information - Narrative

Segment Information - Narrative (Details)	3 Months Ended	6 Months Ended	9 Months Ended
	Jun. 30, 2017reportablesegment	Mar. 31, 2017reportablesegment	Jun. 30, 2017segment
Segment Reporting [Abstract]
Reportable segments (in segments)	3	1	3
Segments percentage of revenue (as a percentage)	98.00%

Segment Information (Details)

Segment Information (Details) - USD ($)	3 Months Ended		9 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Sep. 30, 2016
Segment Reporting Information [Line Items]
Revenue	$ 65,520,000	$ 85,188,000	$ 208,650,000	$ 237,941,000
Acquisition costs	0	0	0	(39,000)
(Provision) benefit for income taxes	(41,000)	17,000	(91,000)	2,438,000
Net loss	(8,614,000)	(124,000)	(25,220,000)	(6,171,000)
Assets	231,566,000		231,566,000		$ 260,109,000
Operating Segments | GovDeals
Segment Reporting Information [Line Items]
Revenue	7,464,000	6,420,000	19,901,000	17,067,000
Gross profit	7,023,000	6,041,000	18,670,000	16,040,000
Assets	37,965,000		37,965,000		38,828,045
Operating Segments | CAG
Segment Reporting Information [Line Items]
Revenue	34,400,000	54,199,000	113,978,000	146,692,000
Gross profit	17,418,000	29,352,000	56,961,000	85,171,000
Assets	102,967,000		102,967,000		117,870,348
Operating Segments | RSCG
Segment Reporting Information [Line Items]
Revenue	23,528,000	23,804,000	72,029,000	67,818,000
Gross profit	7,398,000	7,675,000	22,566,000	22,176,000
Assets	30,991,000		30,991,000		0
Corporate and Other
Segment Reporting Information [Line Items]
Revenue	128,000	765,000	2,742,000	6,364,000
Gross profit	(1,921,000)	164,000	(1,492,000)	926,000
Assets	59,643,000		59,643,000		$ 103,410,750
Segment Reconciling Items
Segment Reporting Information [Line Items]
Revenue	65,520,000	85,188,000	208,650,000	237,941,000
Gross profit	29,918,000	43,232,000	96,705,000	124,313,000
Operating Expenses	(36,663,000)	(41,549,000)	(116,853,000)	(128,177,000)
Depreciation/Amortization	(1,365,000)	(1,616,000)	(4,228,000)	(4,948,000)
Acquisition costs	0	0		39,000
Other operating expense	(652,000)	0	(1,044,000)	0
Interest income/(expense) and other expense, net	189,000	(208,000)	291,000	242,000
(Provision) benefit for income taxes	$ (41,000)	$ 17,000	$ (91,000)	$ 2,438,000