Leases

9 Months Ended

Mar. 31, 2026

The Company evaluates contracts for lease accounting at contract inception and assesses lease classification at the lease commencement date. The finance lease is related to the $5.1 million of a machinery lease financing with a vendor. The Company does not record leases on the Condensed Consolidated Balance Sheets with a term of one year or less.

The components of the Company’s operating and finance lease expenses are as follows for the periods presented (in thousands):


	Three Months Ended March 31,				Nine Months Ended March 31,
	2026		2025		2026		2025
Operating leases:
Fixed rent expense	$	1,644	$	1,611	$	4,922	$	4,756
Variable rent expense	249		289		788		828
Finance lease:
Amortization of equipment	128		128		385		385
Interest	32		50		110		164
Short-term leases
Short-term lease expenses	74		48		154		122
Total lease expenses	$	2,127	$	2,126	$	6,359	$	6,255

Supplemental balance sheet information related to the Company’s operating and finance leases is as follows (in thousands, except lease term and discount rate):


	March 31, 2026			June 30, 2025
Operating Leases:
Right-of-use assets associated with operating leases	$	22,481		$	21,288
Finance Lease:
Property, plant and equipment, gross	$	5,133		$	5,133
Accumulated depreciation	(2,069)			(1,684)
Property, plant and equipment, net	$	3,064		$	3,449

Weighted average remaining lease term (in years)
Operating leases	4.24			5.00
Finance lease	1.50			2.25

Weighted average discount rate
Operating leases	4.91		%	4.88		%
Finance lease	7.51		%	7.51		%

Supplemental cash flow information related to the Company’s operating and finance leases is as follows (in thousands):


	Nine Months Ended March 31,
	2026		2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	5,151	$	4,830
Operating cash flows from finance lease	$	110	$	164
Financing cash flows from finance lease	$	748	$	694

Non-cash investing and financing information:
Operating lease right-of-use assets obtained in exchange for lease obligations	$	5,508	$	945

Future minimum lease payments are as follows as of March 31, 2026 (in thousands):


Year ending June 30,	Operating Leases		Finance Leases
The remainder of fiscal 2026	$	1,764	$	286
2027	6,986		1,144
2028	6,416		191
2029	4,773		—
2030	3,729		—
Thereafter	2,094		—
Total minimum lease payments	25,762		1,621
Less: Amounts representing interest	(2,528)		(88)
Total lease liabilities	$	23,234	$	1,533

Leases

The components of the Company’s operating and finance lease expenses are as follows for the periods presented (in thousands):


	Three Months Ended March 31,				Nine Months Ended March 31,
	2026		2025		2026		2025
Operating leases:
Fixed rent expense	$	1,644	$	1,611	$	4,922	$	4,756
Variable rent expense	249		289		788		828
Finance lease:
Amortization of equipment	128		128		385		385
Interest	32		50		110		164
Short-term leases
Short-term lease expenses	74		48		154		122
Total lease expenses	$	2,127	$	2,126	$	6,359	$	6,255

Supplemental balance sheet information related to the Company’s operating and finance leases is as follows (in thousands, except lease term and discount rate):


	March 31, 2026			June 30, 2025
Operating Leases:
Right-of-use assets associated with operating leases	$	22,481		$	21,288
Finance Lease:
Property, plant and equipment, gross	$	5,133		$	5,133
Accumulated depreciation	(2,069)			(1,684)
Property, plant and equipment, net	$	3,064		$	3,449

Weighted average remaining lease term (in years)
Operating leases	4.24			5.00
Finance lease	1.50			2.25

Weighted average discount rate
Operating leases	4.91		%	4.88		%
Finance lease	7.51		%	7.51		%

Supplemental cash flow information related to the Company’s operating and finance leases is as follows (in thousands):


	Nine Months Ended March 31,
	2026		2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	5,151	$	4,830
Operating cash flows from finance lease	$	110	$	164
Financing cash flows from finance lease	$	748	$	694

Non-cash investing and financing information:
Operating lease right-of-use assets obtained in exchange for lease obligations	$	5,508	$	945

Future minimum lease payments are as follows as of March 31, 2026 (in thousands):


Year ending June 30,	Operating Leases		Finance Leases
The remainder of fiscal 2026	$	1,764	$	286
2027	6,986		1,144
2028	6,416		191
2029	4,773		—
2030	3,729		—
Thereafter	2,094		—
Total minimum lease payments	25,762		1,621
Less: Amounts representing interest	(2,528)		(88)
Total lease liabilities	$	23,234	$	1,533