Note 11 - Fair Value Measurements

6 Months Ended

Sep. 30, 2023

Notes to Financial Statements

Fair Value Disclosures [Text Block]

Note 11 — Fair Value Measurements

The following table presents the fair value of the Company’s financial liabilities that are measured at fair value on a recurring basis (in thousands):

	September 30, 2023
	Fair		Hierarchy Level
	Value		Level 1		Level 2		Level 3
Liabilities:
Warrant liability on PodcastOne bridge loan	$	-	$	-	$	-	$	-
Bifurcated embedded derivative on PodcastOne bridge loan		-		-		-		-
	$	-	$	-	$	-	$	-

	March 31, 2023
	Fair		Hierarchy Level
	Value		Level 1		Level 2		Level 3
Liabilities:
Warrant liability on PodcastOne bridge loan	$	2,817	$	-	$	-	$	2,817
Bifurcated embedded derivative on PodcastOne bridge loan		1,950		-		-		1,950
	$	4,767	$	-	$	-	$	4,767

The following table presents a reconciliation of the Company’s financial liabilities that are measured at Level 3 within the fair value hierarchy (in thousands):

	Amount
Balance at March 31, 2023	$	4,767
Change in fair value of bifurcated embedded derivatives, reported in earnings		7,603
Reclassification of warrant liability to equity		(9,116	)
Conversion of bifurcated embedded derivative into common stock		(3,254	)
Balance as of September 30, 2023	$	-

Due to their short maturity, the carrying amounts of the Company’s accounts receivable, accounts payable, accrued liabilities and other long-term liabilities approximated their fair values as of September 30, 2023 and March 31, 2023.