FINANCING RECEIVABLES AND OPERATING LEASES (Tables)

6 Months Ended

Sep. 30, 2021

FINANCING RECEIVABLES AND OPERATING LEASES [Abstract]

Sales-type Leases

The following table provides the profit recognized for sales-type leases at their commencement date, including modifications that are recognized on a net basis, for the three and six months ended September 30, 2021, and 2020 (in thousands):

	Three months ended September 30,				Six months ended September 30,
	2021		2020		2021		2020
Net sales	$	5,962	$	7,655	$	9,779	$	17,818
Cost of sales		4,926		5,402		8,291		10,729
Gross profit	$	1,036	$	2,253	$	1,488	$	7,089

The following table provides interest income in aggregate on our sales-type leases and lease income on our operating leases for the three and six months ended September 30, 2021, and 2020 (in thousands):

	Three months ended September 30,				Six months ended September 30,
	2021		2020		2021		2020
Interest income on sales-type leases	$	1,000	$	1,884	$	2,290	$	4,103
Lease income on operating leases	$	6,634	$	3,900	$	11,844	$	7,738

Notes Receivable Net and Investments in Leases

The following tables provide a disaggregation of our financing receivables – net (in thousands):

September 30, 2021	Notes Receivable			Lease Receivables			Financing Receivables
Gross receivables	$	104,066		$	54,261		$	158,327
Unguaranteed residual value (1)		-			13,411			13,411
Initial direct costs, net of amortization		271			-			271
Unearned income		-			(7,095	)		(7,095	)
Allowance for credit losses (2)		(1,687	)		(672	)		(2,359	)
Total, net	$	102,650		$	59,905		$	162,555
Reported as:
Current	$	55,928		$	24,154		$	80,082
Long-term		46,722			35,751			82,473
Total, net	$	102,650		$	59,905		$	162,555

(1) Includes unguaranteed residual values of $8,081 thousand that we retained after selling the related lease receivable.

(2) Refer to Note 6, “Allowance for Credit Losses” for details.

March 31, 2021	Notes Receivable			Lease Receivables			Financing Receivables
Gross receivables	$	112,641		$	68,393		$	181,034
Unguaranteed residual value (1)		-			14,876			14,876
Initial direct costs, net of amortization		425			-			425
Unearned income		-			(8,393	)		(8,393	)
Allowance for credit losses (2)		(1,212	)		(1,171	)		(2,383	)
Total, net	$	111,854		$	73,705		$	185,559
Reported as:
Current	$	73,175		$	33,097		$	106,272
Long-term		38,679			40,608			79,287
Total, net	$	111,854		$	73,705		$	185,559

(1) Includes unguaranteed residual values of $9,453 thousand that we retained after selling the related lease receivable.

(2) Refer to Note 6, “Allowance for Credit Losses” for details.

Investment in Operating Lease Equipment - Net

Operating leases—net represents leases that do not qualify as sales-type leases. The components of the operating leases—net are as follows (in thousands):

	September 30, 2021			March 31, 2021
Cost of equipment under operating leases	$	34,082		$	18,748
Accumulated depreciation		(10,700	)		(7,870	)
Investment in operating lease equipment—net (1)	$	23,382		$	10,878

(1) Amounts include estimated unguaranteed residual values of $4.6 million and $2.5 million as of September 30, 2021, and March 31, 2021, respectively.