Operating leases

3 Months Ended

Sep. 30, 2023

(12) Operating leases

The Company leases certain branch properties under long-term, operating lease agreements. The Company’s operating lease agreements contain non-lease components, which are accounted for separately. The Company’s lease agreements do not contain any residual value guarantee.

The following includes quantitative data related to the Company’s operating leases as September 30, 2023 and June 30, 2023, and for the three months ended September 30, 2023 and 2022:

(In thousands, except weighted-average information).
Operating lease amounts:	September 30, 2023		June 30, 2023
Right-of-use assets	$	2,109	$	2,188
Lease liabilities	$	2,198	$	2,277

	For the three months ended September 30,
	2023		2022
(In thousands)
Other information:
Operating outgoing cash flows from operating leases	$	113	$	89
Right-of-use assets obtained in exchange for new operating lease liabilities	$	19	$	-

Lease costs:
Operating lease cost	$	102	$	81
Variable lease cost	$	11	$	10

The following is a schedule by year of the undiscounted cash flows of the operating lease liabilities, as of September 30, 2023:

(in thousands)
Within the twelve months ended September 30,
2024	$	457
2025		457
2026		445
2027		372
2028		310
Thereafter		337
Total undiscounted cash flow		2,378
Less net present value adjustment		(180	)
Lease Liability	$	2,198

Weighted-average remaining lease term (Years)		5.62
Weighted-average discount rate		2.76	%

Right-of-use assets are included in prepaid expenses and other assets, and lease liabilities are included in accrued expenses and other liabilities within the Company’s consolidated statements of financial condition.