Leases

3 Months Ended

Dec. 31, 2024

Leases [Abstract]

Leases

5. Leases

The following table provides information about the financial statement classification of our lease balances reported within the Condensed Consolidated Balance Sheets, in thousands:

	December 31, 2024		September 30, 2024
Assets
Right-of-use assets - operating	$	15,978	$	16,596
Right-of-use assets - finance		204		227
Total right-of-use assets	$	16,182	$	16,823
Liabilities
Current
Operating lease liabilities	$	2,098	$	2,041
Finance lease liabilities		102		101
Total current portion of long-term lease liabilities		2,200		2,142
Long-term
Operating lease liabilities		14,666		15,240
Finance lease liabilities		161		189
Total long-term lease liabilities		14,827		15,429
Total lease liabilities	$	17,027	$	17,571

The following table provides information about the financial statement classification of our lease expenses reported in the Condensed Consolidated Statements of Operations, in thousands:

		Three Months Ended December 31,
Lease cost	Classification	2024		2023
Operating lease cost	Cost of sales	$	459	$	745
Operating lease cost	Selling, general and administrative		363		204
Operating lease cost	Research, development and engineering		3		3
Finance lease cost	Cost of sales		—		1
Finance lease cost	Selling, general and administrative		25		20
Total lease cost		$	850	$	973

Future minimum lease payments under non-cancelable leases as of December 31, 2024 are as follows, in thousands:

	Operating Leases		Finance Leases		Total
Remainder of 2025	$	2,337	$	88	$	2,425
2026		2,867		117		2,984
2027		2,286		77		2,363
2028		2,326		5		2,331
2029		2,370		—		2,370
Thereafter		10,007		—		10,007
Total lease payments		22,193		287		22,480
Less: Interest		5,429		24		5,453
Present value of lease liabilities	$	16,764	$	263	$	17,027

Operating lease payments include $2.3 million related to options to extend lease terms that are reasonably certain of being exercised.

The following table provides information about the remaining lease terms and discount rates applied:

	December 31, 2024			September 30, 2024
Weighted average remaining lease term
Operating leases	8.32 years			8.47 years
Finance leases	2.48 years			2.73 years
Weighted average discount rate
Operating leases		6.61	%		6.58	%
Finance leases		6.43	%		6.43	%