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LICENSING AGREEMENTS
6 Months Ended
Sep. 30, 2022
Commitments and Contingencies Disclosure [Abstract]  
LICENSING AGREEMENTS

NOTE 3 – LICENSING AGREEMENTS

 

United Kingdom and the Republic of Ireland, the Channel Islands, and the Isle of Man

 

In March 2014, the Company entered into an Exclusive Marketing Rights Agreement (the “Marketing Rights Agreement”) with an unrelated third party (the “Licensee”), that granted to the Licensee the exclusive right to market and promote the sugarBEAT® device and related patches under its own brand in the UK and the Republic of Ireland, the Channel Islands, and the Isle of Man. The Company received a non-refundable, up-front cash payment of GBP 1,000,000 (approximately $1.12 million and $1.31 million as of September 30, 2022 and March 31, 2022, respectively), upon signing the Marketing Rights Agreement. The upfront payment received from the Marketing Rights Agreement has been deferred and will be recorded as income over the term of the Marketing Rights Agreement, which commenced upon the first delivery of the sugarBEAT® device to the Licensee in December 2021. Consequently, approximately $71,000, and $259,000 is included in deferred revenue classified as a current liability as of September 30, 2022 and March 31, 2022, respectively, with the remainder being shown in the non-current portion of deferred revenue.