The Company has entered into agreements under which we lease various real estate spaces in North America, Europe and Asia Pacific, under non-cancellable leases that expire on various dates through fiscal 2036. Some of our leases include options to extend the term of such leases for a period from 12 months to 60 months, and/or have options to early terminate the lease. As of March 31, 2025, we included such options in determining the lease terms for certain of our leases because we were reasonably certain that we would exercise the extension options. Most of our leases require us to pay certain operating expenses in addition to base rent, such as taxes, insurance and maintenance costs.

The following table summarizes our lease costs for the three and nine months ended March 31, 2025 and 2024 (in thousands):


	Financial Statement Classification	Three Months Ended March 31,				Nine Months Ended March 31,
		2025		2024		2025		2024
Operating lease costs:
Fixed lease costs	Operating expenses	$	2,925	$	2,892	$	8,770	$	8,684
Fixed lease costs	Cost of revenues	1,161		1,126		3,478		2,951
Variable lease costs	Operating expenses	111		229		363		555
Variable lease costs	Cost of revenues	192		44		579		511
Total lease costs		$	4,389	$	4,291	$	13,190	$	12,701

The operating lease costs in the table above include costs for long-term and short-term leases. Total short-term costs for the three and nine months ended March 31, 2025 and 2024 were immaterial. Variable lease costs primarily include maintenance, utilities and operating expenses that are incremental to the fixed base rent payments and are excluded from the calculation of operating lease liabilities and ROU assets. For both the three months ended March 31, 2025 and 2024, cash paid for amounts associated with the Company's operating lease liabilities were approximately $4.3 million. For the nine months ended March 31, 2025 and 2024, cash paid for amounts associated with the Company's operating lease liabilities were approximately $13.3 million and $12.9 million, respectively. Cash paid for amounts associated with the Company’s operating lease liabilities were classified as operating activities in the consolidated statement of cash flows.

The following table shows the Company’s undiscounted future fixed payment obligations under the Company’s recognized operating leases and a reconciliation to the operating lease liabilities as of March 31, 2025:


Remainder of Fiscal 2025	$	3,780
Fiscal 2026	12,382
Fiscal 2027	7,973
Fiscal 2028	6,191
Fiscal 2029	4,034
Thereafter	14,043
Total future fixed operating lease payments	$	48,403

Less: Imputed interest	$	4,104
Total operating lease liabilities	$	44,299

Weighted-average remaining lease term - operating leases	6 years
Weighted-average discount rate - operating leases	3.8		%