LEASES

12 Months Ended

Sep. 30, 2023

11. LEASES

Leases

The Company leases office and research and development facility leases under non-cancelable operating leases for various terms through 2030. Certain lease agreements include renewal options, rent abatement periods, and rental increases throughout the term. Operating lease costs are included within cost of revenue, selling and marketing, research and development, and general and administrative expenses, dependent upon the nature and use of the ROU asset, in the Company’s consolidated statement of operations and other comprehensive income (loss).

The following table provides the components of lease cost recognized in the consolidated statements of operations and comprehensive income for the periods presented (amounts in thousands):


	Twelve Months Ended September 30,
	2023	2022
Operating lease cost	2,025	1,881
Variable lease cost	319	385
Total lease cost(1)	2,344	2,266

1.Short-term lease costs incurred by the Company for the twelve months ended September 30, 2023 and 2022 were immaterial.

Other information related to leases as of the balance sheet dates presented are as follows:


	Twelve Months Ended September 30,
	2023		2022
Weighted-average remaining lease term (years) - operating leases	4.3		4.5
Weighted-average discount rate - operating leases	3.7	%	3.5	%

Maturities of operating lease liabilities as of September 30, 2023 were as follows (amounts in thousands):


	Operating Leases1
2024	1,985
2025	713
2026	701
2027	616
2028	413
Thereafter	574
Total lease payments	5,002
Less: amount representing interest	$	(233)
Present value of future lease payments	$	4,769

1.Excludes approximately $1.8 million of legally binding minimum lease payments for an office lease signed but not yet commenced.