Leases (Notes)

6 Months Ended

Jan. 31, 2023

Leases

The Company leases certain manufacturing facilities, warehouse and office spaces, and vehicles accounted for as operating leases. Lease terms typically range from one year to ten years. As of January 31, 2023, the Company did not have any finance leases.

Operating lease expense was $3,868 and $4,087 for the three months ended January 31, 2023 and 2022, respectively, and $7,648 and $8,852 for the six months ended January 31, 2023 and 2022, respectively, which was recognized in either "Cost of goods sold" or "Selling, general and administrative" expenses in the condensed consolidated statements of income, based on the nature of the lease. Short-term lease expense, variable lease expenses, and sublease income was immaterial to the condensed consolidated statements of income for the three and six months ended January 31, 2023 and 2022.

Supplemental cash flow information related to the Company's operating leases for the six months ended January 31, 2023 and 2022, was as follows:


	Six months ended January 31,
	2023		2022
Operating cash outflows from operating leases	$	8,766	$	9,805
Operating lease assets obtained in exchange for new operating lease liabilities (1)	6,545		952

(1) Includes new leases and remeasurements or modifications of existing leases.