Leases

6 Months Ended

Oct. 31, 2020

Leases [Abstract]

Leases

Leases

Operating Leases - ROU assets related to operating leases are presented as “Operating lease right-of-use assets” on the unaudited condensed consolidated balance sheets. Lease liabilities related to operating leases with lease terms greater than twelve months are presented in “Short-term lease liability - operating” and “Long-term lease liability - operating” on the unaudited condensed consolidated balance sheets.

Operating lease ROU assets and lease liabilities are recognized at the commencement date based on the present value of the future lease payments over the lease term. The discount rate used to determine the present value of the lease payments is the rate implicit in the lease unless that rate cannot be readily determined, in which case, the Company utilizes its incremental borrowing rate in determining the present value of the future lease payments. The incremental borrowing rate is the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. Operating lease ROU assets may also include any cumulative prepaid or accrued rent when the lease payments are uneven throughout the lease term. The ROU assets and lease liabilities may also include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The ROU asset includes any lease payments made and lease incentives received prior to the commencement date. The Company has lease arrangements with lease and non-lease components which are accounted for separately. Non-lease components of the lease payments are expensed as incurred and are not included in determining the present value.

Finance Leases - ROU assets related to finance leases are presented in "Property, plant and equipment, net” on the unaudited condensed consolidated balance sheet. Lease liabilities related to finance leases are presented in “Current maturities of long-term debt” and “Long-term debt, less current maturities” on the unaudited condensed consolidated balance sheets.

Finance lease ROU assets and lease liabilities are recognized at the commencement date based on the present value of the future lease payments over the lease term. The discount rate used to determine the present value of the lease payments is the rate implicit in the lease unless that rate cannot be readily determined, in which case, the Company utilizes its incremental borrowing rate in determining the present value of the future lease payments. The incremental borrowing rate is the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment.

The components of lease costs were as follows:

	Six Months Ended
	October 31,
(in thousands)	2020		2019
Finance lease cost:
Reduction in the carrying value of right-of-use assets	$	222	$	1,239
Interest on lease liabilities	30		105
Operating lease cost	13,366		12,768

Additional information related to leases was as follows:

	Six Months Ended
	October 31,
(in thousands)	2020			2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for finance leases	$	30		$	105
Operating cash flows for operating leases	12,164			11,783
Financing cash flows for financing leases	210			1,203
Right-of-use assets obtained in exchange for new finance lease liabilities	941			643
Right-of-use assets obtained in exchange for new operating lease liabilities	6,788			24,178
Weighted average remaining lease term (years)
Weighted average remaining lease term - finance leases	3.18			3.36
Weighted average remaining lease term - operating leases	7.08			6.51
Weighted average discount rate
Weighted average discount rate - finance leases	3.02		%	3.20		%
Weighted average discount rate - operating leases	3.31		%	4.26		%

The following is a reconciliation of future undiscounted cash flows to the operating and finance lease liabilities, and the related ROU assets, presented on the unaudited condensed consolidated balance sheet as of October 31, 2020:

(in thousands)	Operating leases		Financing leases
Year ending April 30,
2021	$	12,157	$	1,247
2022	21,928		1,766
2023	21,250		1,300
2024	19,345		1,001
2025	17,157		318
Thereafter	57,709		92
Total lease payments	149,546		5,724
Less imputed interest	(16,516)		(259)
Total lease liability	133,030		5,465
Current maturities	(19,519)		(2,140)
Lease liability - long-term	$	113,511	$	3,325
Lease assets	$	128,125	$	10,013

Leases

Leases

Operating Leases - ROU assets related to operating leases are presented as “Operating lease right-of-use assets” on the unaudited condensed consolidated balance sheets. Lease liabilities related to operating leases with lease terms greater than twelve months are presented in “Short-term lease liability - operating” and “Long-term lease liability - operating” on the unaudited condensed consolidated balance sheets.

Operating lease ROU assets and lease liabilities are recognized at the commencement date based on the present value of the future lease payments over the lease term. The discount rate used to determine the present value of the lease payments is the rate implicit in the lease unless that rate cannot be readily determined, in which case, the Company utilizes its incremental borrowing rate in determining the present value of the future lease payments. The incremental borrowing rate is the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. Operating lease ROU assets may also include any cumulative prepaid or accrued rent when the lease payments are uneven throughout the lease term. The ROU assets and lease liabilities may also include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The ROU asset includes any lease payments made and lease incentives received prior to the commencement date. The Company has lease arrangements with lease and non-lease components which are accounted for separately. Non-lease components of the lease payments are expensed as incurred and are not included in determining the present value.

Finance Leases - ROU assets related to finance leases are presented in "Property, plant and equipment, net” on the unaudited condensed consolidated balance sheet. Lease liabilities related to finance leases are presented in “Current maturities of long-term debt” and “Long-term debt, less current maturities” on the unaudited condensed consolidated balance sheets.

Finance lease ROU assets and lease liabilities are recognized at the commencement date based on the present value of the future lease payments over the lease term. The discount rate used to determine the present value of the lease payments is the rate implicit in the lease unless that rate cannot be readily determined, in which case, the Company utilizes its incremental borrowing rate in determining the present value of the future lease payments. The incremental borrowing rate is the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment.

The components of lease costs were as follows:

	Six Months Ended
	October 31,
(in thousands)	2020		2019
Finance lease cost:
Reduction in the carrying value of right-of-use assets	$	222	$	1,239
Interest on lease liabilities	30		105
Operating lease cost	13,366		12,768

Additional information related to leases was as follows:

	Six Months Ended
	October 31,
(in thousands)	2020			2019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for finance leases	$	30		$	105
Operating cash flows for operating leases	12,164			11,783
Financing cash flows for financing leases	210			1,203
Right-of-use assets obtained in exchange for new finance lease liabilities	941			643
Right-of-use assets obtained in exchange for new operating lease liabilities	6,788			24,178
Weighted average remaining lease term (years)
Weighted average remaining lease term - finance leases	3.18			3.36
Weighted average remaining lease term - operating leases	7.08			6.51
Weighted average discount rate
Weighted average discount rate - finance leases	3.02		%	3.20		%
Weighted average discount rate - operating leases	3.31		%	4.26		%

The following is a reconciliation of future undiscounted cash flows to the operating and finance lease liabilities, and the related ROU assets, presented on the unaudited condensed consolidated balance sheet as of October 31, 2020:

(in thousands)	Operating leases		Financing leases
Year ending April 30,
2021	$	12,157	$	1,247
2022	21,928		1,766
2023	21,250		1,300
2024	19,345		1,001
2025	17,157		318
Thereafter	57,709		92
Total lease payments	149,546		5,724
Less imputed interest	(16,516)		(259)
Total lease liability	133,030		5,465
Current maturities	(19,519)		(2,140)
Lease liability - long-term	$	113,511	$	3,325
Lease assets	$	128,125	$	10,013