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Segment information (Tables)

12 Months Ended

Mar. 31, 2022

The segment information provided to the CODM is as follows (in thousands):


	As of March 31, 2020
	Subscription revenue (1)		Hardware and other revenue (2)		Total revenue		Segment Adjusted EBITDA

Regional Sales Offices
Africa	$	70,886	$	5,870	$	76,756	$	33,103
Europe	11,682		3,345		15,027		5,603
Americas	22,322		2,207		24,529		10,370
Middle East and Australasia	17,389		5,741		23,130		11,031
Brazil	5,181		614		5,795		2,366
Total Regional Sales Offices	127,460		17,777		145,237		62,473
Central Services Organization	110		303		413		(9,175)
Total Segment Results	$	127,570	$	18,080	$	145,650	$	53,298

(1) Subscription revenue is recognized over time.

(2) Hardware and other revenue is recognized at a point in time.


	As of March 31, 2021
	Subscription revenue (1)		Hardware and other revenue (2)		Total revenue		Segment Adjusted EBITDA

Regional Sales Offices
Africa	$	62,453	$	5,495	$	67,948	$	31,781
Europe	12,138		2,441		14,579		6,260
Americas	18,211		770		18,981		7,077
Middle East and Australasia	16,558		4,679		21,237		9,751
Brazil	3,922		142		4,064		1,495
Total Regional Sales Offices	113,282		13,527		126,809		56,364
Central Services Organization	69		16		85		(7,553)
Total Segment Results	$	113,351	$	13,543	$	126,894	$	48,811

(1) Subscription revenue is recognized over time.

(2) Hardware and other revenue is recognized at a point in time.


	As of March 31, 2022
	Subscription revenue (1)		Hardware and other revenue (2)		Total revenue		Segment Adjusted EBITDA

Regional Sales Offices
Africa	$	74,778	$	8,398	$	83,176	$	36,467
Europe	13,509		3,745		17,254		6,337
Americas	14,036		1,538		15,574		842
Middle East and Australasia	16,950		5,604		22,554		10,034
Brazil	4,253		401		4,654		1,260
Total Regional Sales Offices	123,526		19,686		143,212		54,940
Central Services Organization	47		35		82		(10,168)
Total Segment Results	$	123,573	$	19,721	$	143,294	$	44,772

(1) Subscription revenue is recognized over time.

(2) Hardware and other revenue is recognized at a point in time.

Reconciliation of Segment Results to Income Before Tax

A reconciliation of the segment results to income before income tax expense for the year is disclosed below (in thousands).


	As of March 31,
	2020		2021		2022

Segment Adjusted EBITDA	$	53,298	$	48,811	$	44,772
Corporate and consolidation entries	(8,366)		(8,879)		(10,243)
Loss contingency (1)	(233)		—		—

Operating lease costs (2)	(1,610)		(1,652)		(1,611)
Product development costs (3)	(1,363)		(1,112)		(1,353)
Depreciation and amortization	(19,972)		(16,559)		(14,951)
Impairment of long-lived assets	(6)		(8)		(47)
Stock-based compensation costs	(660)		(1,273)		(1,325)
Restructuring costs (4)	1		(1,055)		(164)
Net profit/(loss) on sale of property, plant and equipment	270		(13)		36
Net foreign exchange losses	(610)		(959)		(648)
Net interest income/(expense)	67		(72)		(510)
Legal costs associated with patent infringement	—		—		(591)
Income before income tax expense	$	20,816	$	17,229	$	13,365

(1) For segment reporting purposes, a loss contingency (51% probability), had been raised prior to fiscal year 2019. As of March 31, 2020, the loss contingency was no longer needed because an outflow was considered remote. In order to reconcile Segment Adjusted EBITDA to income before income tax expense, the increases/decreases to the loss contingency, recognized for segment reporting purposes, needed to be added/deducted.

(2) For the purposes of calculating Segment Adjusted EBITDA, operating leases have been capitalized, except for leases with a term of no more than 12 months or leases of low value assets. Where operating leases are capitalized for segment reporting purposes, the amortization of the right-of-use asset and the interest on the operating lease liability are excluded from the Segment Adjusted EBITDA. Therefore, in order to reconcile Segment Adjusted EBITDA to income before income tax expense, the total lease expense in respect of operating leases needs to be deducted.

(3) For segment reporting purposes, product development costs, which do not meet the capitalization requirements under ASC 730 Research and Development or under ASC 985 Software, are capitalized and amortized. The amortization is excluded from Segment Adjusted EBITDA. In order to reconcile Segment Adjusted EBITDA to income before income tax expense, product development costs capitalized for segment reporting purposes need to be deducted.

(4) During fiscal year 2021, the Company incurred $1.1 million of restructuring costs which comprise of employee termination benefits, as a result of measures to minimize the adverse economic and business effect of the COVID-19 pandemic and to re-align resources with the Company’s current business outlook and cost structure. $0.7 million, $0.2 million, $0.1 million and $0.1 million of the restructuring costs related to the CSO, Africa, North America and Middle East and Australasia reporting segments, respectively. As of March 31, 2022, all of the restructuring costs had been paid. Restructuring costs are included in Administration and other expenses in the consolidated statements of income.

Schedule of Long-Lived Assets by Geographical Location

The following table depicts the geographical location of the Company’s long-lived assets (in thousands) other than financial instruments, deferred commissions and deferred tax assets:


	As of March 31,
	2021		2022

South Africa	$	63,832	$	75,621
Europe	10,366		10,161
America	5,178		5,192
Middle East and Australia	5,474		5,099
Brazil	854		1,095
Total	$	85,704	$	97,168

These assets are allocated based on the physical location of the asset.