Leases

3 Months Ended

Jun. 30, 2024

All the leases in which the Company is the lessee are comprised of corporate office space and tower space. The Company is obligated under certain lease agreements for office space with lease terms expiring on various dates from October 31, 2024 through January 31, 2029, which includes lease extensions for its corporate headquarters ranging from three to ten years. The Company entered into multiple lease agreements for tower space. The lease expiration dates range from November 30, 2024 to June 12, 2031.

Substantially all of the Company’s leases are classified as operating leases. Operating lease agreements are required to be recognized on the Company’s Consolidated Balance Sheets as right of use (“ROU”) assets and corresponding lease liabilities. ROU assets include any prepaid lease payments and exclude any lease incentives and initial direct costs incurred. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The lease terms may include options to extend or terminate the lease if it is reasonably certain that the Company will exercise that option.

Weighted-average remaining lease term and incremental borrowing rate for the Company’s operating leases are as follows:


	Three months ended June 30,
	2024	2023
Weighted average term - operating lease liabilities	3.66 years	2.77 years
Weighted average incremental borrowing rate - operating lease liabilities	9%	12%

Total lease cost amounted to approximately $0.5 million and $0.5 million, respectively, for the three months ended June 30, 2024 and 2023. Total lease cost is included in general and administrative expenses on the Company’s Consolidated Statements of Operations.

The following table presents total lease cost for the three months ended June 30, 2024 and 2023 (in thousands):


	Three months ended June 30,
	2024		2023
Lease cost
Operating lease cost	$	501	$	507


Total lease cost	$	501	$	507

The following table presents supplemental balance sheet information as of June 30, 2024 and March 31, 2024 (in thousands):


	June 30, 2024		March 31, 2024
Non-current assets - right of use assets, net	$	4,493	$	4,432
Current liabilities - operating lease liabilities	$	1,807	$	1,850
Non-current liabilities - operating lease liabilities	$	3,453	$	3,446

Future minimum payments under existing non-cancelable leases for office and tower spaces (exclusive of real estate tax, utilities, maintenance and other costs borne by the Company) for the remaining terms of the leases following the three months ended June 30, 2024, are as follows (in thousands):


Fiscal Year	Operating Leases
2025 (excluding the three months ended June 30, 2024)	$	1,688
2026	1,562
2027	1,158
2028	815
2029	558
After 2029	249
Total future minimum lease payments	6,030
Amount representing interest	(770)
Present value of net future minimum lease payments	$	5,260