Leases (Tables)

6 Months Ended

Feb. 28, 2023

Leases [Abstract]

Schedule of future minimum commitments

The following table reconciles our future undiscounted cash flows related to our operating leases and the reconciliation to the combined Current lease liabilities and Long-term lease liabilities in the Consolidated Balance Sheets as of February 28, 2023:

(in thousands)	Minimum Lease Payments
Fiscal Years Ended August 31,
2023 (remaining six months)	$	19,171
2024	35,952
2025	33,864
2026	33,043
2027	31,777
Thereafter	114,427
Total	$	268,234
Less: Imputed interest	42,992
Present value	$	225,242

Schedule of other information related to operating leases

The following table includes the components of our occupancy costs in our Consolidated Statements of Income:

	Three Months Ended				Six Months Ended
	February 28,				February 28,
(in thousands)	2023		2022		2023		2022
Operating lease cost(1)	$	8,156	$	10,221	$	16,233	$	20,699
Variable lease cost(2)	$	3,834	$	2,858	$	8,054	$	5,748

(1)    Operating lease costs include costs associated with fixed lease payments and index-based variable payments that qualified for lease accounting under ASC 842, Leases and complied with the practical expedients and exceptions elected by us.

(2)    Variable lease costs include costs that were not fixed at the lease commencement date and are not dependent on an index or rate. These costs were not included in the measurement of lease liabilities and primarily include variable non-lease costs, such as utilities, real estate taxes, insurance and maintenance, as well as lease costs for those leases that qualified for the short-term lease exception.

The following table summarizes our lease term and discount rate assumptions related to the operating leases recorded on the Consolidated Balance Sheets:

	As of February 28, 2023		As of August 31, 2022
Weighted average remaining lease term (in years)	8.2		8.6
Weighted average discount rate (IBR)	4.4	%	4.4	%

The following table summarizes supplemental cash flow information related to our operating leases:

	Six Months Ended
	February 28,
(in thousands)	2023		2022
Cash paid for amounts included in the measurement of lease liabilities	$	19,596	$	22,172
Lease ROU assets obtained in exchange for lease liabilities(1)	$	1,379	$	2,680
Reductions to ROU assets resulting from reductions to lease liabilities(2)	$	—	$	(8,893)

(1)Primarily includes new lease arrangements entered into during the period and contract modifications that extend our lease terms and/or provide additional rights.

(2)Primarily relates to lease term reassessments based on contractual options to early terminate, resulting in a reduction to the lease liability and the corresponding lease ROU asset.