v3.25.4
Note 12 - Leases
3 Months Ended
Dec. 31, 2025
Notes to Financial Statements  
Lessee, Operating Leases [Text Block]

12.  Leases

 

The Company leases facilities in the United States for its corporate and regional field offices. During the three months ended December 31, 2025 and 2024, the Company was also a lessee/sublessor for certain office locations.


Commencing December 1, 2025, the Company leases office space in Garden City, New York. The lease is for $7 thousand per month, through  March 31, 2031.

 

The Company maintains a sublease for its Rosemont, Illinois location. During the quarter ended March 31, 2025, the Company remeasured its operating lease liability for one of its sublet locations as a result of a change in the expected lease term in conjunction with the extension of the sublease. Such remeasurement resulted in an adjustment to the operating lease asset of less than $0.1 million, which approximated to the amount in which the operating lease liability was remeasured.  The sublease is for $6 thousand a month and has a term through January 31, 2028.

 

The components of net lease costs were as follows:

 

  

Three Months Ended December 31,

 
  

2025

  

2024

 

Condensed Consolidated Statement of Operations:

        

Operating lease cost

 $38  $50 

Variable lease cost

  15   17 

Less: Sublease income, net

  (18)  (18)

Total

 $35  $49 

  

Cash paid for amounts included in the measurement of lease liabilities was $31 thousand and $37 thousand for the three months ended December 31, 2025 and 2024, all of which represents operating cash flows from operating leases. As of December 31, 2025, the weighted average remaining lease term was 4.6 years and the weighted average discount rate was 11.0%. 

 

At December 31, 2025, future minimum rental commitments under non-cancelable leases with initial or remaining terms in excess of one year were as follows:

 

  Payments Operating Leases  Receipts Subleases  Net Leases 

Fiscal year:

            

2026 (remaining)

 $110  $54  $56 

2027

  122   72   50 

2028

  116   24   92 

2029

  95   -   95 

2030

  95   -   95 

Thereafter

  47   -   47 

Total lease commitments

  585   150   435 

Less: Amount representing interest

  (98)        

Present value of lease liabilities

  487         

Less: current portion

  (125)        

Operating lease liabilities, net of current portion

 $362         

 

As of December 31, 2025, the Company had lease commitments that extended to fiscal 2031.