Leases

9 Months Ended

Dec. 31, 2020

Leases [Abstract]

Leases of Lessee Disclosure

LEASES

The Company, as a lessee, enters into operating leases for land, buildings, equipment, and vehicles. For all operating leases with terms greater than 12 months and with fixed payment arrangements, a lease liability and corresponding right-of-use asset are recognized in the balance sheet for the term of the lease by calculating the net present value of future lease payments. On the date of lease commencement, the present value of lease liabilities is determined by discounting the future lease payments by the Company’s collateralized incremental borrowing rate, adjusted for the lease term and currency of the lease payments. If a lease contains a renewal option that the Company is reasonably certain to exercise, the Company accounts for the original lease term and expected renewal term in the calculation of the lease liability and right-of-use asset.

The following table sets forth the right-of-use assets and lease liabilities for operating leases included in the Company’s consolidated balance sheet:

(in thousands of dollars)	December 31, 2020		December 31, 2019		March 31, 2020
Assets
Operating lease right-of-use assets	$	34,717	$	34,230	$	39,256
Liabilities
Current portion of operating lease liabilities	$	9,014	$	8,394	$	9,823
Long-term operating lease liabilities	22,709		23,465		25,893
Total operating lease liabilities	$	31,723	$	31,859	$	35,716

    The following table sets forth the location and amount of operating lease costs included in the Company's consolidated statement of income:

	Three Months Ended December 31,				Nine Months Ended December 31,
(in thousands of dollars)	2020		2019		2020		2019
Income Statement Location
Cost of goods sold	$	3,401	$	2,786	$	9,531	$	7,995
Selling, general, and administrative expenses	2,520		2,132		7,176		6,182
Total operating lease costs(1)	$	5,921	$	4,918	$	16,707	$	14,177

(1)Includes variable operating lease costs.

The following table reconciles the undiscounted cash flows to the operating lease liabilities in the Company’s consolidated balance sheet:

(in thousands of dollars)	December 31, 2020
Maturity of Operating Lease Liabilities
2021(excluding the nine months ended December 31, 2020)	$	3,158
2022	8,760
2023	7,038
2024	5,302
2025	4,286
2026 and thereafter	7,264
Total undiscounted cash flows for operating leases	$	35,808
Less: Imputed interest	(4,085)
Total operating lease liabilities	$	31,723

As of December 31, 2020, the Company had no leases that did not yet commence.

The following table sets forth supplemental information related to operating leases:

	Three Months Ended December 31,				Nine Months Ended December 31,
(in thousands, except lease term and incremental borrowing rate)	2020		2019		2020			2019
Supplemental Cash Flow Information
Cash paid for amounts included in the measurement of operating lease liabilities	$	3,171	$	3,805	$	9,358		$	11,064
Right-of-use assets obtained in exchange for new operating leases	1,532		1,512		3,122			5,613
Weighted Average Remaining Lease Term (years)					5.33			6.01
Weighted Average Collateralized Incremental Borrowing Rate					4.21		%	4.82		%