Changes in Shareholders’ Equity

6 Months Ended

Sep. 30, 2025

Equity [Abstract]

Changes in Shareholders’ Equity

Changes in Shareholders’ Equity:

Changes in Shareholders’ Equity for the three and six months ended September 30, 2025 is summarized below (in thousands):

	Common Stock			Additional Paid-In Capital		Retained Earnings
	Share	Amounts
Beginning balance at March 31, 2025:	20,657	$	21	$	18,560	$	66,544
Net share settlement of restricted stock units	178	—		(28)		—
Stock based compensation	—	—		591		—
Dividends forfeited	—	—		—		1
Net loss	—	—		—		(34,152)
Ending balance at June 30, 2025:	20,835	$	21	$	19,123	$	32,393
Net share settlement of restricted stock units	180	—		(209)		—
Stock based compensation expense	—	—		247		—
Dividends forfeited	—	—		—		—
Net loss	—	—		—		(8,520)
Ending balance at September 30, 2025:	21,016	$	21	$	19,161	$	23,873

Changes in Shareholders’ Equity for the three and six months ended September 30, 2024 is summarized below (in thousands):

	Common Stock				Additional Paid-In Capital		Retained Earnings
	Share		Amounts
Beginning balance at March 31, 2024:	21,149		$	21	$	25,146	$	71,555
Cancellation of restricted stock, net	(548)	—	—		—		—
Stock based compensation (reversal)	—		—		(8,204)		—
Dividends forfeited	—		—		—		1,250
Net loss	—		—		—		3,754
Ending balance at June 30, 2024:	20,601		$	21	$	16,942	$	76,559
Issuance of restricted stock, net	62		—		—		—
Stock based compensation expense	—		—		573		—
Dividends declared	—		—		—		4
Net income	—		—		—		2,326
Ending balance at September 30, 2024:	20,663		$	21	$	17,515	$	78,889

There were 76,064 and zero shares of common stock that were purchased for net settlement in the six months ended September 30, 2025 or 2024, respectively.

On December 2, 2024, the Board of Directors (the “Board”) of the Company adopted a rights agreement and declared a dividend of one right (a “Right”) for each outstanding share of Company common stock, to shareholders of record at the close of business on December 16, 2024 (the “Record Date”). The description and terms of the Rights are set forth in a rights agreement, dated as of December 3, 2024 (the “Rights Agreement”), between the Company and Continental Stock Transfer & Trust Company, a federally chartered trust company, as rights agent.

The Board adopted the Rights Agreement to protect the investment of shareholders during a period in which it believes shares of the Company do not reflect the inherent value of the business or its long-term growth potential, and during which there have been recent significant accumulations of common stock by certain shareholders. The Rights Agreement is intended to enable shareholders to realize the long-term value of their investment in the Company by reducing the likelihood that any entity, person, or group is able to gain a control or control-like position in the Company through open market accumulation without paying all shareholders an appropriate control premium or providing the Board sufficient opportunity to make informed judgments and take actions that are in the best interests of all shareholders.

In general terms, the Rights Agreement imposes significant dilution upon any person or group (other than the Company and certain other excluded persons and exempt persons), that is or becomes the beneficial owner of 12.5% or more of the common stock without the prior approval of the Board following the first public announcement by the Company of the adoption of the Rights Agreement. The term “beneficial ownership” is defined in the Rights Agreement and includes, among other things, certain derivative arrangements.

In general, each Right entitles its registered holder, subject to the terms of the Rights Agreement, to purchase from the Company one one-thousandth of a share of Series A Junior Participating Preferred Stock, par value $0.001 per share (“Preferred Stock”), of the Company at an exercise price of $27.00 per Right, subject to adjustment under certain circumstances (the “Purchase Price”). The Rights will become exercisable if (among other things) any person or group acquires 12.5% or more of the outstanding common stock, including through derivatives agreements, without the approval of the Board (an “Acquiring Person”). If a person or group becomes an Acquiring Person, all holders of Rights except the Acquiring Person or any associate or affiliate thereof may, upon exercise of a Right, purchase for the Purchase Price shares of Common Stock with a market value of two times the Purchase Price, based on the market price of the Common Stock prior to such acquisition. If the Company is acquired in a merger or similar transaction after an Acquiring Person becomes such, all holders of Rights except the Acquiring Person or any associate or affiliate thereof may, upon exercise of a Right, purchase for the Purchase Price shares of the acquiring company with a market value of two times the Purchase Price, based on the market price of the acquiring company’s stock prior to such transaction. Any Rights held by an Acquiring Person will be void and may not be exercised.

On November 26, 2025, the Board unanimously approved an amendment to the Rights Agreement, pursuant to which the expiration date of the Rights Agreement was extended for one year from the close of business on December 2, 2025 until the close of business on December 2, 2026. All other terms and conditions of the Rights Agreement remain unchanged.

After giving effect to such amendment, the Rights will expire on the earliest to occur of (a) the close of business on December 2, 2026, (b) the time at which the Rights are redeemed by the Company (as provided in the Rights Agreement), or (c) the time at which the Rights are exchanged by the Company (as provided in the Rights Agreement). There was no impact to the Company’s current period financial statements from adopting this Rights Agreement.

In connection with the adoption of the Rights Agreement, the Board adopted Articles of Amendment to the Amended and Restated Articles of Incorporation of the Company (the “Articles of Amendment”), which designates the rights, preferences, and privileges of 100,000 shares of a new series of the Company’s preferred stock, par value $0.001 per share, designated as Series A Junior Participating Preferred Stock. The Company filed the Articles of Amendment with the Secretary of State of the State of Florida on December 3, 2024.