The Company leases certain branch properties under long-term operating lease agreements. The Company’s operating lease agreements contain non-lease components, which are generally accounted for separately. The Company’s lease agreements do not contain any residual value guarantee.
The following includes quantitative data related to the Company’s operating leases at March 31, 2026 and June 30, 2025, and for the three and nine months ended March 31, 2026 and 2025:
| | | | | | | | | |
|
(In thousands)
|
| |
| |
| |
| |
| Operating lease amounts: |
| March 31, 2026 |
| June 30, 2025 |
|
|
Right-of-use assets
|
| $ |
2,164 | |
| $ |
2,284 | |
|
Lease liabilities
|
| $ |
2,254 | |
| $ |
2,366 | |
| | | | | | | | | |
| |
| For the three months ended
March 31, |
|
| (In thousands) |
| 2026 |
|
| 2025 |
|
|
Other information:
|
| |
| |
| |
| |
|
Operating outgoing cash flows from operating leases
|
| $ |
146 | |
| $ |
126 | |
|
Right-of-use assets obtained in exchange for new operating lease liabilities
|
| $ |
242 | |
| $ |
- | |
| |
| |
| |
| |
| |
|
Lease costs:
|
| |
| |
| |
| |
|
Operating lease cost
|
| $ |
130 | |
| $ |
113 | |
|
Variable lease cost
|
| $ |
11 | |
| $ |
11 | |
| | | | | | | | | |
| |
| For the nine months ended
March 31, |
|
| (In thousands) |
| 2026 |
|
| 2025 |
|
|
Other information:
|
| |
| |
| |
| |
|
Operating outgoing cash flows from operating leases
|
| $ |
415 | |
| $ |
376 | |
|
Right-of-use assets obtained in exchange for new operating lease liabilities
|
| $ |
242 | |
| $ |
117 | |
| |
| |
| |
| |
| |
|
Lease costs:
|
| |
| |
| |
| |
|
Operating lease cost
|
| $ |
400 | |
| $ |
340 | |
|
Variable lease cost
|
| $ |
33 | |
| $ |
33 | |
The following is a schedule by year of the undiscounted cash flows of the operating lease liabilities, excluding common area maintenance charges and real estate taxes as of March 31, 2026:
| | | | | | (In thousands, except weighted-average information) | | | | | | Within the twelve months ended March 31, | | | | | | 2027 | | $ | 570 | | | 2028 | | | 529 | | | 2029 | | | 412 | | | 2030 | | | 352 | | | 2031 | | | 283 | | | Thereafter | | | 376 | | | Total undiscounted cash flow | | | 2,522 | | | Less net present value adjustment | | | (268 | ) | | Lease liability | | $ | 2,254 | | | | | | | | | Weighted-average remaining lease term (years) | | | 5.52 | | | Weighted-average discount rate | | | 3.80 | % |
Right-of-use assets are included in prepaid expenses and other assets, and lease liabilities are included in accrued expenses and other liabilities within the Company’s consolidated statements of financial condition.
|