Leases (Notes)

3 Months Ended

Oct. 31, 2025

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 October 31, 2025, the Company did not have any finance leases.

Operating lease expense was $5,222 and $4,735 for the three months ended October 31, 2025 and 2024, 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 were immaterial to the condensed consolidated statements of income for the three months ended October 31, 2025 and 2024.

Supplemental cash flow information related to the Company’s operating leases for the three months ended October 31, 2025 and 2024 was as follows:


	Three months ended October 31,
	2025		2024
Operating cash outflows from operating leases	$	5,028	$	4,619
Operating lease assets obtained in exchange for new operating lease liabilities (1)	5,975		7,630

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