v3.25.2
SEGMENT INFORMATION
 3 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
Our chief operating decision maker (“CODM”), the Chief Executive Officer, manages business activities as a single operating and reportable segment at the consolidated level. The CODM reviews and utilizes consolidated financial information, including revenue, gross profit, operating loss and net loss as reported on the condensed consolidated statements of operations, to assess performance and allocate resources to support strategic priorities. Condensed consolidated net loss is our segment’s primary measure of profit or loss. The measure of segment assets is reported on the condensed consolidated balance sheets as total consolidated assets.
Our CODM reviews the following significant segment expenses, which are each separately disclosed and presented in the condensed consolidated statements of operations: cost of revenue for product, cost of revenue for subscription services, research and development expenses, sales and marketing expenses, and general and
administrative expenses. Other segment items within condensed consolidated net loss include restructuring and impairment expenses, other income (expense), net and income tax provision. Other significant noncash segment expenses include stock-based compensation and depreciation and amortization.

Disaggregation of Revenue
The following table depicts the disaggregation of revenue by geographic areas and major product offerings and geographies and is consistent with how the CODM evaluates its financial performance (in thousands):
 Three Months Ended June 30,
20252024
Americas1
   Product revenue$22,750 $24,580 
   Service and subscription14,359 14,710 
Total revenue37,109 57 %39,290 54 %
EMEA
   Product revenue9,983 13,518 
   Service and subscription8,482 9,402 
Total revenue18,465 29 %22,920 32 %
APAC
   Product revenue4,802 4,554 
   Service and subscription2,102 2,599 
Total revenue6,904 11 %7,153 10 %
Consolidated
   Product revenue37,535 42,652 
   Service and subscription24,943 26,711 
   Royalty2
1,808 3 %2,902 4 %
Total revenue$64,286 100 %$72,265 100 %

1 Revenue for the Americas geographic region outside of the United States is not significant.
2 Royalty revenue is not allocatable to geographic regions.


Revenue by Solution
Three Months Ended June 30,
2025%2024%
Primary storage systems$12,529 19 %$17,594 24 %
Secondary storage systems18,506 30 %16,412 23 %
Device and media9,941 15 %9,601 13 %
Service 21,502 33 %25,756 36 %
Royalty1,808 3 %2,902 4 %
Total revenue1
$64,286 100 %$72,265 100 %

1 Subscription revenue of $3.4 million and $1.0 million was allocated to primary and secondary storage systems for the three months ended June 30, 2025 and 2024, respectively.

Net Loss
The following table shows reported segment revenue, segment profit or loss, and significant segment expenses were as follows: (in thousands):

Three Months Ended June 30,
20252024
Total revenue
$64,286 $72,265 
Total cost of revenue
41,574 45,208 
Gross profit
22,712 27,057 
Gross margin
35.3 %37.4 %
Operating expenses
     Salaries & fringe1
18,001 21,423 
     Outside services2
7,676 13,194 
     Infrastructure3
2,522 2,908 
     Operational costs4
2,332 2,355 
     Restructuring
2,423 1,192 
     Other5
2,354 2,788 
          Total operating expenses
35,308 43,860 
Loss from operations
(12,596)(16,803)
Other expense, net
(430)(41)
Interest expense(6,516)(3,790)
Change in fair value of warrant liability— 1,666 
Loss on debt extinguishment, net2,559 (695)
Net loss before income taxes
(16,983)(19,663)
Income tax provision223 235 
Net loss
$(17,206)$(19,898)
1 Salaries & fringe includes spend on contractors.
2 Outside services includes contractor, recruiting and legal expenses.
3 Infrastructure includes property related expenses, including fixed and variable lease expense, telecommunications and depreciation.
4 Operational costs include due and subscriptions, computer expenses, office supplies and other miscellaneous items.
5 Other segment items includes travel related spend, marketing expense, taxes, fees and other miscellaneous items.