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SIGNIFICANT ACCOUNTING POLICIES (Tables)
 6 Months Ended
Feb. 28, 2025
Accounting Policies [Abstract]  
Disaggregation of Revenue
The components of revenue for the three and six months ended February 28, 2025 and February 29, 2024, respectively, were as follows:
Three Months EndedSix Months Ended
(in thousands)February 28, 2025February 29, 2024February 28, 2025February 29, 2024
Software licenses
Point in time$12,412 $11,354 $22,531 $18,675 
Over time1,072 260 1,668 528 
Services   
Over time8,948 6,691 17,157 13,602 
Total revenues$22,432 $18,305 $41,356 $32,805 
Accounts Receivable, Allowance for Credit Loss
The activity in the allowance for credit losses related to our accounts receivable is summarized as follows:
Three Months EndedSix Months Ended
(in thousands)February 28, 2025February 29, 2024February 28, 2025February 29, 2024
Balance, beginning of period$145 $37 $149 $46 
Provision for credit losses18 (7)22 (16)
Write-offs16 — 8 — 
Balance, end of period$179 $30 $179 $30 
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 February 28, 2025:
(in thousands)
ROU assets$827 
Lease liabilities, current$313 
Lease liabilities, long-term$483 
Operating lease costs$274 
Weighted-average remaining lease term5.20 years
Weighted-average discount rate4.51 %
Schedule of Finite-Lived Intangible Assets
The following table summarizes other intangible assets as of February 28, 2025:
(in thousands)Amortization
Period		Acquisition
Value		Accumulated
Amortization		Net Book Value
Trade namesNone$12,610 $— $12,610 
Covenants not to compete
Straight line 2 to 3 years
100 43 57 
Other internal use software
Straight line 3 to 13 years
950 78 872 
Customer relationships
Straight line 8 to 14 years
10,540 3,231 7,309 
ERP
Straight line 15 years
2,529 467 2,062 
$26,729 $3,819 $22,910 
The following table summarizes other intangible assets as of August 31, 2024:
(in thousands)Amortization
Period		Acquisition
Value		Accumulated
Amortization		Net Book Value
Trade namesNone$12,610 $— $12,610 
Covenants not to compete
Straight line 2 to 3 years
100 23 77 
Other internal use software
Straight line 3 to 13 years
608 47 561 
Customer relationships
Straight line 8 to 14 years
10,540 2,726 7,814 
ERP
Straight line 15 years
2,529 381 2,148 
$26,387 $3,177 $23,210 
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 fiscal year 2025$694 
2026$1,264 
2027$1,216 
2028$1,052 
2029$1,052 
Debt Securities, Available-for-Sale
The following tables summarize our short-term investments as of February 28, 2025, and August 31, 2024:
February 28, 2025
(in thousands)Amortized costUnrealized gainsUnrealized lossesFair value
Level 1:
Term deposits (due within one year)$5,000 $— $— $5,000 
Corporate debt securities (due within one year)5,389 4 — 5,393 
Total Level 110,389 4 — 10,393 
Level 2:— — — — 
Level 3:— — — — 
Total available-for-sale securities$10,389 $4 $— $10,393 
August 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)8,448 — (4)8,444 
Total Level 19,948 — (4)9,944 
Level 2:— — — — 
Level 3:— — — — 
Total available-for-sale securities$9,948 $— $(4)$9,944 
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, 2024$640 
Contingent consideration payment— 
Change in fair value of contingent consideration(640)
 Contingent consideration at February 28, 2025$— 
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination
The following table summarizes intellectual property as of February 28, 2025:
(in thousands)Amortization
Period		Acquisition
Value		Accumulated
Amortization		Net Book
Value
Developed technologies–DILIsym acquisition
Straight line 9 years
$2,850 $2,452 $398 
Intellectual rights of Entelos Holding Company
Straight line 10 years
50 32 18 
Developed technologies–Lixoft acquisition
Straight line 16 years
8,010 2,410 5,600 
Developed technologies–Immunetrics acquisition
Straight line 5 years
1,080 369 711 
Developed technologies–Pro-ficiency acquisition
Straight line 5 years
16,630 2,396 14,234 
$28,620 $7,659 $20,961 
The following table summarizes intellectual property as of August 31, 2024:
(in thousands)Amortization
Period		Acquisition
Value		Accumulated
Amortization		Net Book
Value
Developed technologies–DILIsym acquisition
Straight line 9 years
$2,850 $2,294 $556 
Intellectual rights of Entelos Holding Company
Straight line 10 years
50 30 20 
Developed technologies–Lixoft acquisition
Straight line 16 years
8,010 2,173 5,837 
Developed technologies–Immunetrics acquisition
Straight line 5 years
1,080 261 819 
Developed technologies–Pro-ficiency acquisition
Straight line 5 years
16,630 732 15,898 
$28,620 $5,490 $23,130 
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 fiscal year 2025$2,170 
2026$4,264 
2027$4,024 
2028$3,979 
2029$3,066 
Schedule of Earnings Per Share, Basic and Diluted The components of basic and diluted earnings per share for the three and six months ended February 28, 2025, and February 29, 2024, were as follows:
Three Months EndedSix Months Ended
(in thousands)February 28, 2025February 29, 2024February 28, 2025February 29, 2024
Numerator
Net income attributable to common shareholders$3,074 $4,029 $3,280 $5,974 
Denominator
Weighted-average number of common shares outstanding during the period20,097 19,975 20,082 19,961 
Dilutive effect of stock options180 340 180 327 
Common stock and common-stock equivalents used for diluted earnings per share20,277 20,315 20,262 20,288 
Schedule of Goodwill
The below is a reconciliation of Goodwill for the six months ended February 28, 2025:
(in thousands)CPPQSPALIMCTotal
Balance, August 31, 2024$7,323 $11,776 $31,108 $45,871 $96,078 
Addition— — — — — 
Measurement period adjustment*— — 92 135 227 
Impairments— — — — — 
Balance, February 28, 2025$7,323 $11,776 $31,200 $46,006 $96,305 
*Adjustment for net working capital & excess cash settlement in association with Pro-ficiency acquisition