Commitments

12 Months Ended

Mar. 31, 2025

Commitments and Contingencies Disclosure [Abstract]

Commitments

Note 14 — Commitments

From time to time, the Company enters into satellite construction agreements as well as various other satellite-related purchase commitments, including with respect to the provision of launch services, operation of its satellites and satellite insurance. As of March 31, 2025, future minimum payments under the Company’s satellite construction contracts and other satellite-related purchase commitments for the next five fiscal years and thereafter were as follows:

Fiscal Years Ending	(In thousands)
2026	$	262,927
2027		98,303
2028		79,747
2029		39,272
2030		1,491
Thereafter		5,638
	$	487,378

The Company’s contracts with satellite manufacturers require the Company to make monthly in-orbit satellite performance incentive payments with respect to certain satellites in commercial service, including interest, through fiscal year 2028, subject to the continued satisfactory performance of the applicable satellites. The Company records the net present value of these expected future payments as a liability and as a component of the cost of the satellites. As of March 31, 2025, the Company’s estimated satellite performance incentive obligations and accrued interest for the applicable satellites were approximately $11.4 million, of which $6.2 million and $5.2 million have been classified as current in accrued liabilities and non-current in other liabilities, respectively. Under these satellite construction contracts, the Company may incur up to $11.4 million in total costs for satellite performance incentive obligations and related interest earned with potential future minimum payments of $5.8 million, $4.7 million and an insignificant amount in fiscal years 2026, 2027, 2028, respectively, with no commitments thereafter.

The Company has various other purchase commitments under satellite capacity agreements which are used to provide satellite networking services to its customers for future minimum payments, which as of March 31, 2025 are approximately $145.1 million, $82.9 million, $74.8 million, $73.2 million and $23.6 million in fiscal years 2026, 2027, 2028, 2029 and 2030, respectively, and $3.9 million of further minimum payments thereafter.