XML 23 R14.htm IDEA: XBRL DOCUMENT

4. BALANCE SHEET DETAIL

6 Months Ended

Sep. 30, 2023

NOTE 4—BALANCE SHEET DETAIL



	September 30, 2023		March 31, 2023

	(In thousands)
Inventories:
Work-in-progress	$	3,279	$	3,629
Finished goods		2,289		2,767
Inventory at distributors		9		19
	$	5,577	$	6,415



	September 30, 2023		March 31, 2023

	(In thousands)
Accounts receivable, net:
Accounts receivable	$	3,132	$	3,531
Less: Allowances for credit losses		(48)		(60)
	$	3,084	$	3,471



	September 30, 2023		March 31, 2023

	(In thousands)
Prepaid expenses and other current assets:
Prepaid tooling and masks	$	210	$	333
Other receivables		168		156
Other prepaid expenses and other current assets		880		925
	$	1,258	$	1,414



	September 30, 2023		March 31, 2023

	(In thousands)
Property and equipment, net:
Computer and other equipment	$	18,842	$	19,188
Software		4,428		4,428
Land		3,900		3,900
Building and building improvements		3,741		3,741
Furniture and fixtures		102		102
Leasehold improvements		918		910
		31,931		32,269
Less: Accumulated depreciation		(24,871)		(24,846)
	$	7,060	$	7,423

Depreciation expense was $172,000 and $196,000 for the three months ended September 30, 2023 and 2022, respectively, and $388,000 and $393,000 for the six months ended September 30, 2023 and 2022, respectively.

The following tables summarize the components of intangible assets and related accumulated amortization balances at September 30, 2023 and March 31, 2023 (in thousands):


	As of September 30, 2023
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Intangible assets:
Product designs	$	590	$	(590)	$	—
Patents		4,220		(2,548)		1,672
Software		80		(80)		—
Total	$	4,890	$	(3,218)	$	1,672


	As of March 31, 2023
	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Intangible assets:
Product designs	$	590	$	(590)	$	—
Patents		4,220		(2,430)		1,790
Software		80		(80)		—
Total	$	4,890	$	(3,100)	$	1,790

Amortization of intangible assets included in cost of revenues was $58,000 and $59,000 for the three months ended September 30, 2023 and 2022, respectively, and $117,000 for each of the six months ended September 30, 2023 and 2022.

The Company reviews identifiable amortizable intangible assets for impairment whenever events or changes in circumstances indicate that the carrying value of the assets may not be recoverable. Determination of recoverability is based on the lowest level of identifiable estimated undiscounted cash flows resulting from use of the asset and its eventual disposition. Measurement of any impairment loss is based on the excess of the carrying value of the asset over its fair value. The Company identified a potential impairment indicator for the finite lived intangible assets and performed a recoverability test by comparing the sum of the estimated undiscounted future cash flows of the asset group to the carrying amount as of March 31, 2023. The result of the recoverability test indicated that the sum of the expected future cash flows was greater than the carrying amount of the finite lived intangible assets. Based on the uncertainty of forecasts inherent with a new product, events such as the failure to generate forecasted revenue from the APU product could result in a non-cash impairment charge in future periods.

As of September 30, 2023, the estimated future amortization expense of intangible assets in the table above is as follows (in thousands):


Fiscal year ending March 31,
2024 (remaining six months)	$	117
2025		233
2026		233
2027		233
2028		233
Thereafter		623
Total	$	1,672



	September 30, 2023		March 31, 2023

	(In thousands)
Accrued expenses and other liabilities:
Accrued compensation	$	3,320	$	3,441
Accrued commissions		200		214
Income taxes payable		343		345
Outsourced design resources		598		552
Miscellaneous accrued expenses		681		616
	$	5,142	$	5,168

On November 30, 2022, the Company announced cost reduction initiatives which included an approximate 15% reduction in the Company’s global workforce. The Company incurred $0.3 million in severance related charges during fiscal 2023 including $0.1 million recorded as cost of revenues and $0.2 million recorded as selling, general and administrative expenses. There were no severance related charges in the three and six months ended September 30, 2023 and 2022.