Leases

6 Months Ended

Dec. 31, 2021

Note 5. Leases

The Company has operating leases for corporate offices and warehouse facilities worldwide. Additionally, the Company leases cars, copy machines and laptops that are considered operating leases. Some of the Company’s leases are non-cancelable operating lease agreements with various expiration dates through June 2026. Certain lease agreements include options to renew or terminate the lease, which are not reasonably certain to be exercised and therefore are not factored into the determination of lease payments.

Operating lease costs for the three and six months ended December 31, 2021 were $2.4 million and $4.8 million, not including short-term operating lease costs of $0.1 million and $0.2 million, respectively. Operating lease costs for the three and six months ended December 31, 2020 were $2.3 million and $4.7 million, not including short-term operating lease costs of $0.1 million and $0.2 million, respectively.

For the three and six months ended December 31, 2021, cash paid for amounts included in the measurement of operating lease liabilities was approximately $0.1 million and $0.2 million, respectively. Operating lease liabilities arising from operating right-of-use assets, which totaled $2.4 million and $4.9 million for the three and six months ended December 31, 2021, respectively.

For the three and six months ended December 31, 2020, cash paid for amounts included in the measurement of operating lease liabilities was approximately $2.4 million and $4.8 million, respectively. Operating lease liabilities arising from obtaining operating right-of-use assets totaled $0.4 million and $0.6 million for the three and six months ended December 31, 2020, respectively.

Operating lease right-of-use assets and operating lease obligations are represented in the table below (in thousands):


	December 31, 2021			June 30, 2021
Beginning balance operating lease right-of-use asset	$	22,522		$	28,647
Lease asset added		1,846			1,069
Amortization for the year		(4,939	)		(7,194	)
Ending balance operating lease right-of-use asset	$	19,429		$	22,522

Beginning balance operating lease obligation	$	25,610		$	32,397
Lease liability added		1,846			1,069
Repayment and interest accretion		(5,373	)		(7,856	)
Ending balance operating lease obligation	$	22,083		$	25,610

Current portion of operating lease obligation	$	8,327		$	8,169
Noncurrent portion of operating lease obligation	$	13,756		$	17,441

Maturities of operating lease liabilities as of December 31, 2021 are presented in the table below (in thousands):


Year Ending June 30,	Amount
2022 (remaining 6 months)	$	4,931
2023		9,183
2024		6,314
2025		3,304
2026		40
Thereafter		—
Total operating lease payments		23,772
Less: imputed interest		(1,686	)
Present value of operating lease liabilities	$	22,086
Weighted average remaining lease term (in years)		2.67
Weighted average discount rate		5.52	%