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ALLOWANCE FOR CREDIT LOSSES
 12 Months Ended
Mar. 31, 2022
ALLOWANCE FOR CREDIT LOSSES [Abstract]  
ALLOWANCE FOR CREDIT LOSSES
6. ALLOWANCE FOR CREDIT LOSSES

The following table provides the activity in our allowance for credit losses for the years ended March 31, 2022, 2021 and 2020 (in thousands):

 
Accounts
Receivable
    
Notes
Receivable
    
Lease
Receivables
    
Total
  
Balance as of March 31, 2019
  
$
1,579
    
$
505
    
$
530
    
$
2,614
  
Provision for credit losses
    
627
      
293
      
84
      
1,004
  
Write-offs and other
    
(425
)
    
-
      
(4
)
    
(429
)
Balance as of March 31, 2020
    
1,781
      
798
      
610
      
3,189
  
Provision for credit losses
    
367
      
503
      
566
      
1,436
  
Write-offs and other
    
(84
)
    
(89
)
    
(5
)
    
(178
)
Balance as of March 31, 2021
    
2,064
      
1,212
      
1,171
      
4,447
  
Provision for credit losses
    
482
      
(312
)
    
(272
)
    
(102
)
Write-offs and other
    
(135
)
    
(192
)
    
(218
)
    
(545
)
Balance as of March 31, 2022
  
$
2,411
    
$
708
    
$
681
    
$
3,800
  

We evaluate our customers using an internally assigned credit quality rating (“CQR”). The CQR categories of our financing receivables are:

•
High CQR: This rating includes accounts with excellent to good business credit, asset quality and capacity to meet financial obligations. Loss rates in this category are generally less than 1%.

•
Average CQR: This rating includes accounts with average credit risk that are more susceptible to loss in the event of adverse business or economic conditions. Loss rates in this category are generally in the range of 2% to 10%.

•
Low CQR: This rating includes accounts that have marginal credit risk such that the customer’s ability to make repayment is impaired or may likely become impaired. The loss rates in this category in the normal course are generally in the range of 10% to 100%.

The following table provides the amortized cost basis of our financing receivables by CQR and by credit origination year as of March 31, 2022(in thousands):

 
Amortized cost basis by origination year ending March 31,
                          
   
2022
    
2021
    
2020
    
2019
    
2018
    
2017
    
Total
    
Transfers
(2)
    
Net
credit
exposure
  
                                                       
Notes receivable:
                                                      
High CQR
  
$
35,264
    
$
28,005
    
$
1,297
    
$
345
    
$
2
    
$
4
    
$
64,917
    
$
(30,274
)
  
$
34,643
  
Average CQR
    
8,922
      
2,976
      
758
      
213
      
3
      
-
      
12,872
      
(4,763
)
    
8,109
  
Low CQR
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Total
  
$
44,186
    
$
30,981
    
$
2,055
    
$
558
    
$
5
    
$
4
    
$
77,789
    
$
(35,037
)
  
$
42,752
  
                                                                         
Lease receivables:
                                                                        
High CQR
  
$
14,549
    
$
5,002
    
$
2,499
    
$
902
    
$
50
    
$
11
    
$
23,013
    
$
(3,385
)
  
$
19,628
  
Average CQR
    
10,936
      
3,092
      
741
      
47
      
72
      
-
      
14,888
      
(347
)
    
14,541
  
Low CQR
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Total
  
$
25,485
    
$
8,094
    
$
3,240
    
$
949
    
$
122
    
$
11
    
$
37,901
    
$
(3,732
)
  
$
34,169
  
                                                                         
Total amortized cost (1)
  
$
69,671
    
$
39,075
    
$
5,295
    
$
1,507
    
$
127
    
$
15
    
$
115,690
    
$
(38,769
)
  
$
76,921
  

  (1)
Unguaranteed residual values of $6,424 thousand that we retained after selling the related lease receivable is excluded from amortized cost..
  (2)
Transfers consist of receivables that have been transferred to third-party financial institutions on a non-recourse basis and receivables that are in the process of being transferred to third-party financial institutions.

The following table provides the amortized cost basis of our financing receivables by CQR and by credit origination year as of March 31, 2021 (in thousands):

 
Amortized cost basis by origination year ending March 31,
                    
   
2021
    
2020
    
2019
    
2018
    
2017
    
Total
    
Transfers
(2)
    
Net
credit
exposure
  
                                                 
Notes receivable:
                                                
High CQR
  
$
93,793
    
$
6,250
    
$
769
    
$
771
    
$
19
    
$
101,602
    
$
(63,471
)
  
$
38,131
  
Average CQR
    
7,689
      
2,468
      
550
      
8
      
-
      
10,715
      
(2,896
)
    
7,819
  
Low CQR
    
-
      
-
      
324
      
-
      
-
      
324
      
-
      
324
  
Total
  
$
101,482
    
$
8,718
    
$
1,643
    
$
779
    
$
19
    
$
112,641
    
$
(66,367
)
  
$
46,274
  
                                                                 
Lease receivables:
                                                                
High CQR
  
$
28,898
    
$
5,885
    
$
1,798
    
$
463
    
$
125
    
$
37,169
    
$
(7,468
)
  
$
29,701
  
Average CQR
    
23,445
      
3,482
      
1,017
      
270
      
40
      
28,254
      
(4,592
)
    
23,662
  
Low CQR
    
-
      
-
      
-
      
-
      
-
      
-
      
-
      
-
  
Total
  
$
52,343
    
$
9,367
    
$
2,815
    
$
733
    
$
165
    
$
65,423
    
$
(12,060
)
  
$
53,363
  
                                                                 
Total amortized cost (1)
  
$
153,825
    
$
18,085
    
$
4,458
    
$
1,512
    
$
184
    
$
178,064
    
$
(78,427
)
  
$
99,637
  

  (1)
Unguaranteed residual values of $9,453 thousand that we retained after selling the related lease receivable and initial direct costs of notes receivable of $425 thousand are excluded from amortized cost.
  (2)
Transfers consist of receivables that have been transferred to third-party financial institutions on a non-recourse basis and receivables that are in the process of being transferred to third-party financial institutions.

The following table provides an aging analysis of our financing receivables as of March 31, 2022 (in thousands):

 
31-60
Days Past
Due
    
61-90
Days Past
Due
    
> 90
Days Past
Due
    
Total
Past Due
    
Current
    
Total
Billed
    
Unbilled
    
Amortized
Cost
  
Notes receivable
  
$
187
    
$
37
    
$
23
    
$
247
    
$
5,307
    
$
5,554
    
$
72,235
    
$
77,789
  
Lease receivables
    
115
      
325
      
430
      
870
      
639
      
1,509
      
36,392
      
37,901
  
Total
  
$
302
    
$
362
    
$
453
    
$
1,117
    
$
5,946
    
$
7,063
    
$
108,627
    
$
115,690
  

The following table provides an aging analysis of our financing receivables as of March 31, 2021 (in thousands):

 
31-60
Days Past
Due
    
61-90
Days Past
Due
    
> 90
Days Past
Due
    
Total
Past Due
    
Current
    
Total
Billed
    
Unbilled
    
Amortized
Cost
  
Notes receivable
  
$
648
    
$
910
    
$
673
    
$
2,231
    
$
3,240
    
$
5,471
    
$
107,170
    
$
112,641
  
Lease receivables
    
804
      
132
      
643
      
1,579
      
2,566
      
4,145
      
61,278
      
65,423
  
Total
  
$
1,452
    
$
1,042
    
$
1,316
    
$
3,810
    
$
5,806
    
$
9,616
    
$
168,448
    
$
178,064
  

Our financial assets on nonaccrual status were not significant as of March 31, 2022 and March 31, 2021.