Leases

9 Months Ended

Jun. 30, 2025

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:

	June 30, 2025		September 30, 2024
Assets
Right-of-use assets - operating	$	17,856	$	16,596
Right-of-use assets - finance		190		227
Total right-of-use assets	$	18,046	$	16,823
Liabilities
Current
Operating lease liabilities	$	1,828	$	2,041
Finance lease liabilities		112		101
Total current portion of long-term lease liabilities		1,940		2,142
Long-term
Operating lease liabilities		16,894		15,240
Finance lease liabilities		127		189
Total long-term lease liabilities		17,021		15,429
Total lease liabilities	$	18,961	$	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 June 30,				Nine Months Ended June 30,
Lease cost	Classification	2025		2024		2025		2024
Operating lease cost	Cost of sales	$	454	$	617	$	1,373	$	1,735
Operating lease cost	Selling, general and administrative		371		375		1,098		1,043
Operating lease cost	Research, development and engineering		3		3		9		9
Finance lease cost	Cost of sales		—		—		—		2
Finance lease cost	Selling, general and administrative		26		38		76		80
Total lease cost		$	854	$	1,033	$	2,556	$	2,869

Future minimum lease payments under non-cancelable leases as of June 30, 2025 are as follows, in thousands:

	Operating Leases		Finance Leases		Total
Remainder of 2025	$	776	$	31	$	807
2026		3,045		126		3,171
2027		3,056		85		3,141
2028		3,117		12		3,129
2029		3,184		4		3,188
Thereafter		11,383		—		11,383
Total lease payments		24,561		258		24,819
Less: Interest		5,839		19		5,858
Present value of lease liabilities	$	18,722	$	239	$	18,961

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:

	June 30, 2025			September 30, 2024
Weighted average remaining lease term
Operating leases	7.87 years			8.47 years
Finance leases	2.18 years			2.73 years
Weighted average discount rate
Operating leases		6.85	%		6.58	%
Finance leases		6.56	%		6.43	%