Leases

6 Months Ended

Sep. 30, 2021

Note 7. Leases

The Company maintains lease agreements related to its branch network and for its corporate headquarters. The branch lease agreements range from one to five years and generally contain options to extend from one to three years. The corporate headquarters lease agreement was renewed with a lease maturity date of March 2023. All of the Company’s lease agreements are considered operating leases. None of the Company’s lease payments are dependent on a rate or index that may change after the commencement date, other than the passage of time.

The Company’s lease liability was $4.8 million and $3.4 million as of September 30, 2021 and March 31, 2021, respectively. This liability is based on the present value of the remaining minimum rental payments using a discount rate that is determined based on the Company’s incremental borrowing rate. The lease asset was $4.8 million and $3.4 million as of September 30, 2021 and March 31, 2021, respectively.

Future minimum lease payments under non-cancellable operating leases in effect as of September 30, 2021, are as follows:


in thousands
FY2022 (remaining six months)	$	749
FY2023		1,452
FY2024		976
FY2025		764
FY2026		463
Thereafter	$	737
Total future minimum lease payments		5,141
Present value adjustment		(324	)
Operating lease liability	$	4,817

The following table reports information about the Company’s lease cost for the three months ended September 30, 2021 (in thousands):


Lease cost:
Operating lease cost	$	430
Variable lease cost		85
Total lease cost	$	515

The following table reports information about the Company’s lease cost for the three months ended September 30, 2020 (in thousands):


Lease cost:
Operating lease cost	$	372
Variable lease cost		85
Total lease cost	$	457

The following table reports information about the Company’s lease cost for the six months ended September 30, 2021 (in thousands):


Lease cost:
Operating lease cost	$	820
Variable lease cost		170
Total lease cost	$	990

The following table reports information about the Company’s lease cost for the six months ended September 30, 2020 (in thousands):


Lease cost:
Operating lease cost	$	783
Variable lease cost		182
Total lease cost	$	965

The following table reports other information about the Company’s leases for the three months ended September 30, 2021 (dollar amounts in thousands):


Other Lease Information
Operating Lease - Operating Cash Flows (Fixed Payments)	$	391
Operating Lease - Operating Cash Flows (Liability Reduction)	$	343
Weighted Average Lease Term - Operating Leases		4.3 years
Weighted Average Discount Rate - Operating Leases		6.5%

The following table reports other information about the Company’s leases for the three months ended September 30, 2020 (dollar amounts in thousands):


Other Lease Information
Operating Lease - Operating Cash Flows (Fixed Payments)	$	390
Operating Lease - Operating Cash Flows (Liability Reduction)	$	352
Weighted Average Lease Term - Operating Leases		2.4 years
Weighted Average Discount Rate - Operating Leases		6.5%

The following table reports other information about the Company’s leases for the six months ended September 30, 2021 (dollar amounts in thousands):


Other Lease Information
Operating Lease - Operating Cash Flows (Fixed Payments)	$	776
Operating Lease - Operating Cash Flows (Liability Reduction)	$	678
Weighted Average Lease Term - Operating Leases		3.7 years
Weighted Average Discount Rate - Operating Leases		6.5%

The following table reports other information about the Company’s leases for the six months ended September 30, 2020 (dollar amounts in thousands):


Other Lease Information
Operating Lease - Operating Cash Flows (Fixed Payments)	$	818
Operating Lease - Operating Cash Flows (Liability Reduction)	$	738
Weighted Average Lease Term - Operating Leases		2.7 years
Weighted Average Discount Rate - Operating Leases		6.5%