Leases

3 Months Ended

Oct. 31, 2021

The Company's lease obligations consist of operating leases for office facilities and equipment, with lease periods expiring through fiscal year 2032. Some leases include one or more options to renew. Lease renewals are not assumed in the determination of the lease term until the exercise of the renewal option is deemed to be reasonably certain.

Components of operating lease costs were as follows (in thousands):


	Three Months Ended October 31,
	2021		2020
Operating lease cost1	$	4,252	$	4,372
Variable lease cost	1,408		1,366
Sublease income	(390)		(395)
Net operating lease cost	$	5,270	$	5,343

(1) Lease expense for leases with an initial term of 12 months or less is excluded from the table above and was $0.2 million and $0.3 million for the three months ended October 31, 2021 and 2020, respectively.

Future operating lease payments as of October 31, 2021 were as follows (in thousands):


Fiscal Year Ending July 31,
2022 (remainder of fiscal year)	$	11,936
2023	16,821
2024	16,721
2025	16,967
2026	17,115
Thereafter	68,198
Total future lease payments	147,758
Less imputed interest	(24,146)
Total lease liability balance	$	123,612

Supplemental information related to leases was as follows (in thousands, except for lease term and discount rate):


	October 31, 2021			July 31, 2021
Operating lease assets	$	94,568		$	97,447

Current portion of lease liabilities	$	11,312		$	11,624
Non-current portion of lease liabilities	112,300			115,374
Total lease liabilities	$	123,612		$	126,998

Weighted average remaining lease term (years)	8.52			8.74
Weighted average discount rate	4.20		%	4.20		%

Supplemental cash and non-cash information related to operating leases was as follows (in thousands):


	Three Months Ended October 31,
	2021		2020
Cash payments for operating leases	$	5,934	$	5,285
Operating lease assets obtained in exchange for lease liabilities	$	415	$	9,217