v3.26.1
COMMITMENTS AND CONTINGENCIES
9 Months Ended
Mar. 31, 2026
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENCIES

NOTE 14. COMMITMENTS AND CONTINGENCIES

 

Lease Costs

 

The Company made cash payments for all operating leases for the nine months ended March 31, 2026 and 2025, of approximately $0.18 million and $0.37 million, respectively, which were included in net cash used in operating activities within the condensed consolidated statements of cash flows. As of March 31, 2026, the Company’s operating leases have a weighted average remaining lease term of 0.74 years and weighted average discount rate of 8.38%.

 

The total rent expense for all operating leases for the three months ended March 31, 2026 and 2025, was approximately $0.05 million and $0.07 million, respectively.

 

The total rent expense for all operating leases for the nine months ended March 31, 2026 and 2025, was approximately $0.17 million and $0.27 million, respectively.

 

 

Lease Commitments

 

The Company has various operating leases for its offices. These existing leases have remaining lease terms ranging from approximately 0.67 to 1.08 years. Certain lease agreements contain options to renew, with renewal terms that generally extend the lease terms by 1 to 3 years for each option. The Company has renewed one of its current leases and that renewal is incorporated herewith.

 

Future approximate undiscounted lease payments for the Company’s operating lease liabilities and a reconciliation of these payments to its operating lease liabilities as of March 31, 2026 are as follows:

      

Years Ended June 30,    
2026 (3 months)   50,117 
2027   149,484 
Total future minimum lease commitments, including short-term leases   199,601 
Less: future minimum lease payments of short -term leases   (31,500)
Less: imputed interest   (5,771)
Present value of future minimum lease payments, excluding short term leases  $162,330 
      
Current portion of operating lease liabilities  $149,959 
Non-current portion of operating lease liabilities   12,371 
Total operating lease liability  $162,330 

 

Contingent Consideration for Acquisitions

 

Contingent consideration for acquisition consists of the following as of March 31, 2026 and June 30, 2025, respectively (see Note 6):

     

   As of March 31,   As of June 30, 
   2026   2025 
BLI  $   -   $1,483,583 
Total contingent consideration for acquisition  $-   $1,483,583