Leases

12 Months Ended

Mar. 31, 2022

6. Leases

The majority of our leases are comprised of real estate leases for our respective offices around the globe. Our finance leases consist of office equipment. We have no residual value guarantees or restrictions or covenants imposed by or associated with our active leases.

As of March 31, 2022, we have an additional operating lease that has not yet commenced of approximately $11.7 million. This operating lease will commence in fiscal year 2023 with a lease term of approximately eleven years. We do not have any related party leases. We have variable payments for expenses such as common area maintenance and taxes. We do not have variable payments that

are based on an index or rate. As a result, we do not include variable payments in the calculation of the lease liability. Any variable costs are expensed as incurred.

We sublease one of our office leases located in Bellevue, Washington with a lease term that will expire during fiscal year 2024.

The components of lease expenses, which are included in operating expenses in our Consolidated Statements of Operations, were as follows:


	Year ended March 31,
(In thousands)	2022			2021
Operating leases expense	$	4,752		$	4,440
Finance lease expense:
Amortization of ROU assets		17			26
Interest on lease liabilities		2			5
Total finance lease expense		19			31
Variable lease costs		463			443
Short term lease expense		140			120
Sublease income		(782	)		(129	)
Total lease expense	$	4,592		$	4,905

Other information related to leases for fiscal 2022 and 2021 was as follows:


	Year ended March 31,
Supplemental cash flow information	2022			2021
Cash paid for amounts included in the measurement of lease liabilities (in thousands):
Operating cash flows for operating leases	$	5,536		$	5,987
Operating cash flows for finance leases		23			30
Financing cash flows for finance leases		19			24
ROU assets obtained in exchange for lease obligations (in thousands):
Operating leases	$	1,314		$	1,573
Weighted average remaining lease terms
Operating leases		3.08			4.39
Finance leases		1.43			1.44
Weighted average discount rates
Operating leases		7.62	%		10.51	%
Finance leases		4.50	%		4.46	%

The table below reconciles the undiscounted future minimum lease payments (displayed by year and in the aggregate) under non-cancelable leases with terms of more than one year to the total lease liabilities recognized on the Consolidated Balance Sheet as of March 31, 2022:


(In thousands)	Operating leases (1)			Finance leases
Fiscal year ending March 31,
2023		5,222			5
2024		2,939			2
2025		1,846			—
2026		1,319			—
2027		880			—
Thereafter		—			—
Total undiscounted future minimum lease payments		12,206			7
Less: difference between undiscounted lease payments and discounted lease liabilities		(1,508	)		(1	)
Total lease liabilities	$	10,698		$	6

(1)

Non-cancellable sublease proceeds for the fiscal years ending March 31, 2023, and 2024 of $0.8 million and $0.7 million, respectively, are not included in the table above.