| Convertible Debt |
The Company’s Convertible Notes are comprised of the following:
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June 30, 2026
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March 31, 2026
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Convertible Notes, related party
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Principal amount of Convertible Notes
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| $ | 42,603,000 | |
| $ | 38,730,000 | |
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Less: unamortized debt discount attributed to Compound Net Derivative Liability
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| | (4,991,000 | ) |
| | (5,332,000 | ) |
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Less: unamortized debt discount attributed to debt issuance costs
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| | (697,000 | ) |
| | (745,000 | ) |
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Carrying amount of the Convertible Notes
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| | 36,915,000 | |
| | 32,653,000 | |
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Plus: Compound Net Derivative Liability
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| | 7,880,000 | |
| | 6,340,000 | |
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Net carrying amount of Convertible Notes, related party
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| $ | 44,795,000 | |
| $ | 38,993,000 | |
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| Total Interest Expense Recognized Related to Convertible Notes |
Interest expense related to the Convertible Notes is as follows:
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| Three Months Ended
June 30, | |
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2026
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2025
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Interest expense on Convertible Notes
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Contractual interest expense
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| $ | 1,065,000 | |
| $ | 968,000 | |
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Accretion of debt discount
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| | 341,000 | |
| | 285,000 | |
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Amortization of debt issuance costs
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| | 48,000 | |
| | 41,000 | |
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Total interest expense on Convertible Notes
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| $ | 1,454,000 | |
| $ | 1,294,000 | |
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