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SIGNIFICANT ACCOUNTING POLICIES (Tables)
 9 Months Ended
May 31, 2024
Accounting Policies [Abstract]  
Disaggregation of Revenue
The components of disaggregation of revenue for the three and nine months ended May 31, 2024, and May 31, 2023, were as follows:
Three Months EndedNine Months Ended
(in thousands)May 31, 2024May 31, 2023May 31, 2024May 31, 2023
Software licenses
Point in time$11,678 $10,348 $30,353 $26,341 
Over time230 284 758 852 
Services   
Over time6,636 5,602 20,238 16,755 
Total revenue$18,544 $16,234 $51,349 $43,948 
Schedule of Geographical Revenues Geographical revenues for the three and nine months ended May 31, 2024, and May 31, 2023, were as follows:
(in thousands)Three Months Ended
May 31, 2024May 31, 2023
$% of total $% of total
Americas$12,428 67 %$10,774 66 %
EMEA4,513 24 %3,358 21 %
Asia Pacific1,603 9 %2,102 13 %
Total$18,544 100 %$16,234 100 %
Nine Months Ended
(in thousands)May 31, 2024May 31, 2023
$% of total $% of total
Americas$35,780 70 %$29,863 68 %
EMEA11,480 22 %9,106 21 %
Asia Pacific4,089 8 %4,979 11 %
Total$51,349 100 %$43,948 100 %
Accounts Receivable, Allowance for Credit Loss
The activity in the allowance for credit losses related to our trade receivables is summarized as follows:
Three Months EndedNine Months Ended
(in thousands)May 31, 2024May 31, 2023May 31, 2024May 31, 2023
Balance, beginning of period$37 $12 $46 $12 
Provision for credit losses112 75 103 75 
Write-offs— (38)— (38)
Balance, end of period$149 $49 $149 $49 
Property and Equipment Estimated Useful Lives Depreciation and amortization are calculated using the straight-line method over the estimated useful lives as follows:
Equipment5 years
Computer equipment
3 to 7 years
Furniture and fixtures
5 to 7 years
Leasehold improvementsShorter of the asset life or lease term
Lease, Cost
Supplemental information related to operating leases was as follows as of May 31, 2024:
(in thousands)
ROU assets$948 
Lease liabilities, current$410 
Lease liabilities, long-term$512 
Operating lease costs$361 
Weighted-average remaining lease term2.73 years
Weighted-average discount rate5.32 %
Schedule of Finite-Lived Intangible Assets
The following table summarizes other intangible assets as of May 31, 2024:
(in thousands)Amortization
Period		Acquisition
Value		Accumulated
Amortization		Net Book Value
Trade namesNone$4,210 $— $4,210 
Covenants not to compete
Straight line 2 to 3 years
30 15 15 
Other internal use software
Straight line 3 to 5 years
575 33 542 
Customer relationships
Straight line 8 to 14 years
8,230 2,480 5,750 
ERP
Straight line 15 years
2,529 334 2,195 
$15,574 $2,862 $12,712 
The following table summarizes other intangible assets as of August 31, 2023:
(in thousands)Amortization
Period		Acquisition
Value		Accumulated
Amortization		Net Book Value
Trade namesNone$4,210 $— $4,210 
Covenants not to compete
Straight line 3 years
30 3 27 
Other internal use software
Straight line 3 to 5 years
350 10 340 
Customer relationships
Straight line 8 to 14 years
8,230 1,887 6,343 
ERP
Straight line 15 years
2,112 207 1,905 
$14,932 $2,107 $12,825 
Finite-lived Intangible Assets Amortization Expense
Estimated future amortization of finite-lived intangible assets for the next five fiscal years are as follows:
(in thousands)
Years Ending August 31,
Amount
Remainder of 2024$238 
2025$957 
2026$945 
2027$898 
2028$755 
Debt Securities, Available-for-Sale
The following tables summarize our short-term investments as of May 31, 2024, and August 31, 2023:
May 31, 2024
(in thousands)Amortized costUnrealized gainsUnrealized lossesFair value
Level 1:
Term deposits (due within one year)$1,500 $— $— $1,500 
Corporate debt securities (due within one year)8,414 — (39)8,375 
Total Level 19,914 — (39)9,875 
Level 2:— — — — 
Level 3:— — — — 
Total available-for-sale securities$9,914 $— $(39)$9,875 
August 31, 2023
(in thousands)Amortized costUnrealized gainsUnrealized lossesFair value
Level 1:
Term deposits (due within one year)$4,000 $— $— $4,000 
U.S. government and agency securities (due within one year)4,453 (5)4,448 
Commercial paper (due within one year)9,070 (9)9,061 
Corporate debt securities (due within one year)40,417 — (101)40,316 
Total Level 157,940 — (115)57,825 
Level 2:— — — — 
Level 3:— — — — 
Total held-to-maturity securities$57,940 $— $(115)$57,825 
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation
The following is a reconciliation of contingent consideration at fair value:
(in thousands)Amount
Contingent consideration at August 31, 2023$4,780 
Contingent consideration payment(2,500)
Change in fair value of contingent consideration(270)
 Contingent consideration at May 31, 2024$2,010 
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination
The following table summarizes intellectual property as of May 31, 2024:
(in thousands)Amortization
Period		Acquisition
Value		Accumulated
Amortization		Net Book
Value
Termination/nonassertion agreement-TSRL Inc.
Straight line 10 years
$6,000 $6,000 $— 
Developed technologies–DILIsym acquisition
Straight line 9 years
2,850 2,215 635 
Intellectual rights of Entelos Holding Company
Straight line 10 years
50 28 22 
Developed technologies–Lixoft acquisition
Straight line 16 years
8,010 2,048 5,962 
Developed technologies–Immunetrics acquisition
Straight line 5 years
1,080 207 873 
$17,990 $10,498 $7,492 
The following table summarizes intellectual property as of August 31, 2023:
(in thousands)Amortization
Period		Acquisition
Value		Accumulated
Amortization		Net Book
Value
Termination/nonassertion agreement-TSRL Inc.
Straight line 10 years
$6,000 $5,575 $425 
Developed technologies–DILIsym acquisition
Straight line 9 years
2,850 1,978 872 
Intellectual rights of Entelos Holding Company
Straight line 10 years
50 25 25 
Developed technologies–Lixoft acquisition
Straight line 16 years
8,010 1,678 6,332 
Developed technologies–Immunetrics acquisition
Straight line 5 years
1,080 45 1,035 
$17,990 $9,301 $8,689 
Schedule of Future Amortization Expenses
Estimated future amortization of intellectual property for the next five fiscal years are as follows:
(in thousands)
Years Ending August 31,
Amount
Remainder of 2024$237 
2025$1,009 
2026$933 
2027$693 
2028$648 
Schedule of Earnings Per Share, Basic and Diluted The components of basic and diluted earnings per share for the three and nine months ended May 31, 2024, and May 31, 2023, were as follows:
Three Months EndedNine Months Ended
(in thousands)May 31, 2024May 31, 2023May 31, 2024May 31, 2023
Numerator
Net income attributable to common shareholders$3,137 $4,008 $9,111 $9,427 
Denominator
Weighted-average number of common shares outstanding during the period19,995 19,972 19,972 20,123 
Dilutive effect of stock options438 383 352 389 
Common stock and common stock equivalents used for diluted earnings per share20,433 20,355 20,324 20,512 
Schedule of Goodwill
Reconciliation of Goodwill for the nine months ended May 31, 2024:
(in thousands)CPPQSPTotal
Balance, August 31, 2023$7,323 $11,776 $19,099 
Addition— — — 
Impairments— — — 
Balance, May 31, 2024$7,323 $11,776 $19,099