Leases

6 Months Ended

Mar. 31, 2021

Our leases consist primarily of office and manufacturing space, construction equipment and office equipment. All of our future lease obligations are related to non-cancelable operating leases. The most significant portion of our lease portfolio relates to leases of office and manufacturing facilities in Canada which we no longer occupy. We currently sublease the majority of these Canadian facilities. The following table provides a summary of lease cost components for the three and six months ended March 31, 2021 and 2020, respectively (in thousands):


	Three months ended March 31,				Six months ended March 31,
Lease Cost	2021		2020		2021		2020
Operating lease cost	$	629	$	580	$	1,237	$	1,208
Less: sublease income	(177)		(158)		(357)		(237)
Variable lease cost(1)	109		84		217		178
Short-term lease cost(2)	319		159		488		349
Total lease cost	$	880	$	665	$	1,585	$	1,498

(1) Variable lease cost represents common area maintenance charges related to our Canadian office space lease.

(2) Short-term lease cost includes leases and rentals with initial terms of one year or less.

We recognize operating lease assets and operating lease liabilities representing the present value of the remaining lease payments for leases with initial terms greater than twelve months. Leases with initial terms of twelve months or less are not recorded in our Condensed Consolidated Balance Sheets. Our operating lease assets have been reduced by a lease accrual of $0.5 million related to certain unused facility leases in Canada. The following table provides a summary of the operating lease assets and operating lease liabilities included in our Condensed Consolidated Balance Sheets as of March 31, 2021 and September 30, 2020, respectively (in thousands):


Operating Leases	March 31, 2021		September 30, 2020
Assets:
Operating lease assets, net	$	4,390	$	5,217
Liabilities:
Current operating lease liabilities	1,948		2,352
Long-term operating lease liabilities	2,897		3,434
Total lease liabilities	$	4,845	$	5,786

The following table provides the maturities of our operating lease liabilities as of March 31, 2021 (in thousands):


	Operating Leases
Remainder of 2021	$	1,203
2022	2,387
2023	1,365
2024	101
2025	—
Thereafter	—
Total future minimum lease payments	5,056
Less: present value discount (imputed interest)	(211)
Present value of lease liabilities	$	4,845

The weighted average discount rate as of March 31, 2021 was 4.1%. The weighted average remaining lease term was 2.1 years at March 31, 2021.