Accrued Expenses and Other Current Liabilities

9 Months Ended

Apr. 30, 2025

Payables and Accruals [Abstract]

Accrued Expenses and Other Current Liabilities

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consist of the following at:

	April 30, 2025		July 31, 2024
Accrued wages and benefits	$	22,017,000	22,131,000
Accrued contract costs	7,772,000		17,267,000
Accrued warranty obligations	8,545,000		7,049,000
Accrued commissions and royalties	5,150,000		5,396,000
Accrued legal costs	736,000		3,092,000
Other	14,942,000		7,310,000
Accrued expenses and other current liabilities	$	59,162,000	62,245,000

Accrued contract costs represent direct and indirect costs on contracts as well as estimates of amounts owed for invoices not yet received from vendors or reflected in accounts payable.

Accrued warranty obligations as of April 30, 2025 relate to estimated liabilities for assurance type warranty coverage that we provide to our customers. We generally provide warranty coverage for some of our products for a period of at least one year from the date of delivery. We record a liability for estimated warranty expense based on historical claims, product failure rates, consideration of contractual obligations, future costs to resolve software issues and other factors. Some of our product warranties are provided under long-term contracts, the costs of which are incorporated into our estimates of total contract costs.

Changes in our accrued warranty obligations during the nine months ended April 30, 2025 and 2024 were as follows:

	Nine months ended April 30,
	2025		2024
Balance at beginning of period	$	7,049,000	8,285,000
Provision for warranty obligations	3,721,000		768,000
Charges incurred	(2,225,000)		(1,250,000)
Adjustments for changes in estimates	—		(393,000)
PST Divestiture	—		(418,000)
Balance at end of period	$	8,545,000	6,992,000