Leases

6 Months Ended

Mar. 31, 2025

Leases [Abstract]

Leases

As of March 31, 2025, we leased 23 airport facilities, office space, and other property and equipment under non-cancelable operating leases. The leases generally require us to pay all taxes, maintenance, insurance, and other operating expenses. Operating leased expense is recognized as a rental expense on a straight-line basis over the lease term, net of lessor rebates and other incentives.

Aggregate rental expense under all aircraft, equipment and facility leases totaled approximately $2.8 million and $4.6 million for the three months ended March 31, 2025 and March 31, 2024, respectively, and $6.1 million and $12.6 million for the six months ended March 31, 2025 and March 31, 2024, respectively.

The components of our lease costs were as follows (in thousands):

	Three Months Ended March 31,				Six Months Ended March 31,
	2025		2024		2025		2024
Operating lease costs	$	580	$	1,154	$	1,361	$	2,423
Variable and short-term lease costs		2,260		1,672		4,646		2,961
Interest expense on finance lease liabilities		-		1,256		48		2,545
Amortization expense of finance lease assets		-		513		54		4,636
Total lease costs	$	2,840	$	4,595	$	6,109	$	12,565

As of March 31, 2025, our operating leases have a remaining weighted average lease term of 6.2 years and our operating lease liabilities were measured using a weighted average discount rate of 5.4%.