LEASES

9 Months Ended

Jun. 30, 2023

11. LEASES

Leases

The Company leases office and research and development facility leases under non-cancelable operating leases for various

terms through 2030. Certain lease agreements include renewal options, rent abatement periods, and rental increases throughout the

term. As of June 30, 2023, the weighted-average remaining lease term for the Company’s operating leases was 4.7 years and the weighted-average discount rate was 3.1%.

As of June 30, 2023, the Company had operating ROU assets of $4.3 million. As of June 30, 2023, total operating lease liabilities of $5.1 million were comprised of current lease liabilities of $2.1 million and non-current lease liabilities of $3.0 million. As of September 30, 2022, the Company had operating ROU assets of $5.2 million. As of September 30, 2022, total operating lease liabilities of $6.2 million were comprised of current lease liabilities of $2.1 million and non-current lease liabilities of $4.1 million.

The Company recognized $0.5 million and $0.6 million of operating lease costs in the three months ended June 30, 2023 and 2022, respectively. The Company recognized $1.5 million and $1.7 million of operating lease costs in the nine months ended June 30, 2023 and 2022, respectively. Operating lease costs are included within cost of revenue, selling and marketing, research and development, and general and administrative expenses, dependent upon the nature and use of the ROU asset, in the Company’s condensed consolidated statement of operations and other comprehensive income (loss).

The Company paid $1.8 million in operating cash flows for operating leases in the nine months ended June 30, 2023.

Maturities of operating lease liabilities as of June 30, 2023 were as follows (amounts in thousands):


	Operating leases
2023 - remaining	$	562
2024	1,845
2025	636
2026	627
2027	632
2028	424
Thereafter	589
Total lease payments	5,315
Less: amount representing interest	(224)
Present value of future lease payments	$	5,091