Derivative Financial Instruments

12 Months Ended

Sep. 30, 2022

Derivative Instruments And Hedging Activities Disclosure [Abstract]

. Derivative Financial Instruments

We operate internationally and, in the normal course of business, are exposed to fluctuations in foreign currency exchange rates related to third-party vendor and intercompany payments for goods and services within our non-U.S. subsidiaries. We use foreign exchange forward contracts that are not designated as hedges to manage currency risk. The contracts can have maturities up to three years. As of September 30, 2022 and 2021, the total notional amount of forward contracts was $63.3 million and $61.0 million, respectively. As of September 30, 2022 and 2021, the weighted-average remaining maturity of these instruments was approximately 10.5 and 11.9 months, respectively.

The following table summarizes the fair value and presentation in the Consolidated Balance Sheets for derivative instruments as of September 30, 2022 and 2021 (dollars in thousands):


		Fair Value
Derivatives not designated as hedges	Classification	September 30, 2022		September 30, 2021
Foreign currency forward contracts	Prepaid expenses and other current assets	$	1,627	$	1,235
Foreign currency forward contracts	Other assets		660		365
Foreign currency forward contracts	Accrued expenses and other current liabilities		1,812		131
Foreign currency forward contracts	Other liabilities		711		148

The following tables display a summary of the income related to foreign currency forward contracts within the Consolidated Statements of Operations for the fiscal years ended September 30, 2022, 2021 and 2020 (dollars in thousand):


		Gain recognized in earnings
		Year Ended September 30,
Derivatives not designated as hedges	Classification	2022		2021		2020
Foreign currency forward contracts	Other income (expense), net	$	860	$	2,512	$	-