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Leases
 6 Months Ended
Oct. 31, 2023
Leases [Abstract]  
Leases Leases
The Company’s lease portfolio is comprised of operating leases for office space and equipment and finance leases for equipment. Equipment leases are comprised of vehicles and office equipment. The majority of the Company’s leases include both lease and non-lease components. Non-lease components primarily include maintenance, insurance, taxes and other utilities. The Company combines fixed payments for non-lease components with its lease payments and accounts for them as a single lease component, which increases its ROU assets and lease liabilities. Some of the leases include one or more options to renew or terminate the lease at the Company’s discretion. Generally, the renewal and termination options are not included in the ROU assets and lease liabilities as they are not reasonably certain of exercise. The Company has elected not to recognize a ROU asset or lease liability for leases with an initial term of 12 months or less.
As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the commencement date in determining the present value of the future minimum lease payments. The Company applies the portfolio approach when determining the incremental borrowing rate since it has a centrally managed treasury function. The Company’s incremental borrowing rate is estimated to approximate the interest rate on a collateralized basis with similar terms and payments in a similar economic environment.
Operating leases contain both office and equipment leases and have remaining terms that range from less than one year to nine years, some of which also include options to extend or terminate the lease. Finance leases are comprised of equipment leases and have remaining terms that range from less than one year to five years. Finance lease assets are included in property and equipment, net while finance lease liabilities are included in other accrued liabilities and other liabilities.
During the six months ended October 31, 2023, the Company reduced its real estate footprint and as a result recorded an impairment charge of the ROU assets of $1.6 million in the consolidated statements of operations. No impairment charge of the ROU assets was recorded during the three months ended October 31, 2023 and the three and six months ended October 31, 2022.
The components of lease expense were as follows:
Three Months Ended
October 31,		Six Months Ended
October 31,
2023202220232022
(in thousands)
Finance lease cost
Amortization of ROU assets$448 $365 $850 $738 
Interest on lease liabilities54 46 108 94 
502 411 958 832 
Operating lease cost11,389 12,203 23,086 24,618 
Short-term lease cost222 270 491 433 
Variable lease cost3,724 1,583 6,915 4,238 
Lease impairment cost— — 1,629 — 
Sublease income(1,051)(738)(2,114)(1,245)
Total lease cost$14,786 $13,729 $30,965 $28,876 
Supplemental cash flow information related to leases was as follows:
Six Months Ended
October 31,
20232022
(in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$26,635 $29,114 
Financing cash flows from finance leases$938 $814 
ROU assets obtained in exchange for lease obligations:
Operating leases$4,109 $9,589 
Finance leases$714 $2,497 
Supplemental balance sheet information related to leases was as follows:
October 31, 2023April 30, 2023
(in thousands)
Finance Leases:
Property and equipment, at cost$7,253 $7,103 
Accumulated depreciation(3,149)(2,741)
Property and equipment, net$4,104 $4,362 
Other accrued liabilities$1,373 $1,372 
Other liabilities2,810 3,053 
Total finance lease liabilities$4,183 $4,425 
Weighted average remaining lease terms:
Operating leases4.2 years4.5 years
Finance leases3.5 years3.8 years
Weighted average discount rate:
Operating leases4.9 %4.5 %
Finance leases5.1 %4.7 %
Maturities of lease liabilities were as follows:
Year Ending April 30,OperatingFinancing
(in thousands)
2024 (excluding the six months ended October 31, 2023)$25,365 $793 
202544,791 1,467 
202640,004 1,108 
202721,325 712 
202810,274 472 
Thereafter15,967 7 
Total lease payments157,726 4,559 
Less: imputed interest14,631 376 
Total$143,095 $4,183 
Leases Leases
The Company’s lease portfolio is comprised of operating leases for office space and equipment and finance leases for equipment. Equipment leases are comprised of vehicles and office equipment. The majority of the Company’s leases include both lease and non-lease components. Non-lease components primarily include maintenance, insurance, taxes and other utilities. The Company combines fixed payments for non-lease components with its lease payments and accounts for them as a single lease component, which increases its ROU assets and lease liabilities. Some of the leases include one or more options to renew or terminate the lease at the Company’s discretion. Generally, the renewal and termination options are not included in the ROU assets and lease liabilities as they are not reasonably certain of exercise. The Company has elected not to recognize a ROU asset or lease liability for leases with an initial term of 12 months or less.
As most of the Company’s leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at the commencement date in determining the present value of the future minimum lease payments. The Company applies the portfolio approach when determining the incremental borrowing rate since it has a centrally managed treasury function. The Company’s incremental borrowing rate is estimated to approximate the interest rate on a collateralized basis with similar terms and payments in a similar economic environment.
Operating leases contain both office and equipment leases and have remaining terms that range from less than one year to nine years, some of which also include options to extend or terminate the lease. Finance leases are comprised of equipment leases and have remaining terms that range from less than one year to five years. Finance lease assets are included in property and equipment, net while finance lease liabilities are included in other accrued liabilities and other liabilities.
During the six months ended October 31, 2023, the Company reduced its real estate footprint and as a result recorded an impairment charge of the ROU assets of $1.6 million in the consolidated statements of operations. No impairment charge of the ROU assets was recorded during the three months ended October 31, 2023 and the three and six months ended October 31, 2022.
The components of lease expense were as follows:
Three Months Ended
October 31,		Six Months Ended
October 31,
2023202220232022
(in thousands)
Finance lease cost
Amortization of ROU assets$448 $365 $850 $738 
Interest on lease liabilities54 46 108 94 
502 411 958 832 
Operating lease cost11,389 12,203 23,086 24,618 
Short-term lease cost222 270 491 433 
Variable lease cost3,724 1,583 6,915 4,238 
Lease impairment cost— — 1,629 — 
Sublease income(1,051)(738)(2,114)(1,245)
Total lease cost$14,786 $13,729 $30,965 $28,876 
Supplemental cash flow information related to leases was as follows:
Six Months Ended
October 31,
20232022
(in thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$26,635 $29,114 
Financing cash flows from finance leases$938 $814 
ROU assets obtained in exchange for lease obligations:
Operating leases$4,109 $9,589 
Finance leases$714 $2,497 
Supplemental balance sheet information related to leases was as follows:
October 31, 2023April 30, 2023
(in thousands)
Finance Leases:
Property and equipment, at cost$7,253 $7,103 
Accumulated depreciation(3,149)(2,741)
Property and equipment, net$4,104 $4,362 
Other accrued liabilities$1,373 $1,372 
Other liabilities2,810 3,053 
Total finance lease liabilities$4,183 $4,425 
Weighted average remaining lease terms:
Operating leases4.2 years4.5 years
Finance leases3.5 years3.8 years
Weighted average discount rate:
Operating leases4.9 %4.5 %
Finance leases5.1 %4.7 %
Maturities of lease liabilities were as follows:
Year Ending April 30,OperatingFinancing
(in thousands)
2024 (excluding the six months ended October 31, 2023)$25,365 $793 
202544,791 1,467 
202640,004 1,108 
202721,325 712 
202810,274 472 
Thereafter15,967 7 
Total lease payments157,726 4,559 
Less: imputed interest14,631 376 
Total$143,095 $4,183