FINANCING RECEIVABLES AND OPERATING LEASES (Tables)

9 Months Ended

Dec. 31, 2020

FINANCING RECEIVABLES AND OPERATING LEASES [Abstract]

Sales-type Leases

The following table provides the profit recognized for sales-type leases at their commencement date, including modifications that are recognized on a net basis, for the three and nine months ended December 31, 2020, and 2019 (in thousands):

	Three months ended December 31,				Nine months ended December 31,
	2020		2019		2020		2019
Net sales	$	4,182	$	5,710	$	22,000	$	13,697
Cost of sales		3,362		4,807		14,091		11,459
Gross profit	$	820	$	903	$	7,909	$	2,238

The following table provides interest income in aggregate on our sales-type leases and lease income on our operating leases for the three and nine months ended December 31, 2020, and 2019 (in thousands):

	Three months ended December 31,				Nine months ended December 31,
	2020		2019		2020		2019
Interest income on sales-type leases	$	1,956	$	1,272	$	6,059	$	4,862
Lease income on operating leases	$	3,623	$	4,489	$	11,361	$	14,908

Notes Receivable Net and Investments in Leases

The following tables provide a disaggregation of our financing receivables – net (in thousands):

December 31, 2020	Notes Receivable			Lease Receivables			Financing Receivables
Gross receivables	$	111,321		$	89,629		$	200,950
Unguaranteed residual value (1)		-			20,388			20,388
Initial direct costs, net of amortization		464			-			464
Unearned income		-			(12,133	)		(12,133	)
Reserve for credit losses (2)		(1,280	)		(1,088	)		(2,368	)
Total, net	$	110,505		$	96,796		$	207,301
Reported as:
Current	$	74,585		$	52,107		$	126,692
Long-term		35,920			44,689			80,609
Total, net	$	110,505		$	96,796		$	207,301

(1) Includes unguaranteed residual values of $12,314 thousand that we retained after selling the related lease receivable.

(2) Refer to Note 7, “Allowance for Credit Losses” for details.

March 31, 2020	Notes Receivable			Lease Receivables			Financing Receivables
Minimum payments	$	55,417		$	69,492		$	124,909
Estimated unguaranteed residual value (1)		-			21,862			21,862
Initial direct costs, net of amortization		212			247			459
Unearned income		-			(11,612	)		(11,612	)
Reserve for credit losses (2)		(798	)		(610	)		(1,408	)
Total, net	$	54,831		$	79,379		$	134,210
Reported as:
Current	$	31,181		$	38,988		$	70,169
Long-term		23,650			40,391			64,041
Total, net	$	54,831		$	79,379		$	134,210

(1) Includes unguaranteed residual values of $14,972 thousand for sales type leases, which have been sold and accounted for as sales.

(2) Refer to Note 7, “Allowance for Credit Losses” for details.

Future Scheduled Minimum Lease Payments

The following table provides the future scheduled minimum lease payments for investments in sales-type leases as of  December 31, 2020 (in thousands):

Remainder of the Year ending March 31, 2021	$	40,211
Year Ending March 31, 2022		24,111
Year Ending March 31, 2023		16,337
Year Ending March 31, 2024		5,992
Year Ending March 31, 2025 and thereafter		2,978
Total	$	89,629

Investment in Operating Lease Equipment - Net

Operating leases—net represents leases that do not qualify as sales-type leases. The components of the operating leases—net are as follows (in thousands):

	December 31, 2020			March 31, 2020
Cost of equipment under operating leases	$	18,182		$	21,276
Accumulated depreciation		(11,449	)		(11,159	)
Investment in operating lease equipment—net (1)	$	6,733		$	10,117

(1) Amounts include estimated unguaranteed residual values of $2.6 million and $3.1 million as of December 31, 2020, and March 31, 2020, respectively.

Future Minimum Rental Payments for Operating Leases

The following table provides the future scheduled minimum lease rental payments for operating leases as of December 31, 2020 (in thousands):

Remainder of the Year ending March 31, 2021	$	625
Year Ending March 31, 2022		2,007
Year Ending March 31, 2023		1,456
Year Ending March 31, 2024		479
Year Ending March 31, 2025 and thereafter		37
Total	$	4,604