Leases

9 Months Ended

Mar. 31, 2024

Note 4. 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-cancellable operating lease agreements with various expiration dates through June 2035. As of March 31, 2024, the Company had committed to payments of $1.6 million related to operating lease agreement where the lease term had not yet commenced as of March 31, 2024, but is expected to commence during the remainder of calendar year 2024 with a lease term of five years. 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.

The following table provides information related to the Company’s operating leases (in thousands):


	Three Months Ended March 31,				Nine Months Ended March 31,
	2024		2023		2024		2023
Operating lease costs (1)	$	2,039	$	2,354	$	7,049	$	7,005
Short-term operating lease costs		98		67		231		298
Cash paid for amounts included in the measurement of lease liabilities		1,987		2,461		7,012		6,904

(1)

Excludes expenses related to short-term lease operating costs.

Operating lease right-of-use assets and operating lease liabilities consisted of the following (in thousands):


	March 31, 2024			June 30, 2023
Operating lease right-of-use assets
Balance at the beginning of period	$	25,853		$	16,798
Lease assets added		8,464			17,157
Amortization for the period		(5,190	)		(8,102	)
Balance at the end of period	$	29,127		$	25,853

Operating lease liabilities
Balance at the beginning of period	$	27,753		$	19,020
Lease liabilities added		10,617			16,834
Repayment and interest accretion		(4,874	)		(8,101	)
Balance at the end of period	$	33,496		$	27,753

Current portion of operating lease liabilities	$	5,279		$	4,151
Non-current portion of operating lease liabilities		28,217			23,602

Maturities of operating lease liabilities as of March 31, 2024 are presented in the table below (dollars in thousands):


	Amount
2024 (remaining three months)	$	1,962
2025		4,987
2026		5,963
2027		5,917
2028		4,805
Thereafter		27,650
Total operating lease payments		51,284
Less: imputed interest		(17,788	)
Present value of operating lease liabilities	$	33,496
Weighted average remaining lease term (in years)		8.7
Weighted average discount rate		10.0	%