Accounting Standards Recently Adopted
In December 2023, the Financial Accounting Standards Board (“FASB”) issued ASU 2023-09, Income Taxes (Topic 740): Improvement to Income Tax Disclosures (“ASU 2023-09”) to provide disaggregated income tax disclosures on rate reconciliation and income taxes paid by jurisdiction. This guidance is effective for the Company for its fourth quarter of fiscal 2026 on a prospective basis, though early adoption is permitted. The Company adopted this guidance in its consolidated financial statements for the fiscal year ended April 30, 2026 on a prospective basis. While the adoption did not have impact on the Company’s consolidated financial results, it resulted in additional disclosures in the accompanying notes. See Note 10, “Income Taxes,” for further details.
Recently Issued Accounting Standards Not Yet Adopted
In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income (Topic 220) Disaggregation of Income Statement Expenses (“ASU 2024-03”), to enhance the transparency and decision usefulness of financial information presented in the income statement by requiring disaggregated information about certain income statement expense line items. The Company is required to adopt the guidance in the fourth quarter of fiscal 2028, though early adoption permitted. The Company is currently evaluating the impact of this amendment on its consolidated financial statements.
In July 2025, the FASB issued ASU 2025-05, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets (“ASU 2025-05”) to introduce a practical expedient for the application of the current expected credit loss model to current accounts receivable and contract assets. The amendment is effective beginning in the first quarter of fiscal 2027 on a prospective basis, with early adoption permitted. The Company is currently evaluating the impact of this amendment on its consolidated financial statements.
In September 2025, the FASB issued Accounting Standards Update No. 2025-06, Intangibles - Goodwill and Other - Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software (“ASU 2025-06”). The amendment in this ASU modernizes the accounting for internal-use software costs by increasing the operability of the recognition guidance considering different methods of software development. The amendment is effective beginning in the first quarter of fiscal 2029 on a prospective, retrospective or modified transition basis, with early adoption permitted. The Company is currently evaluating the impact of this amendment on its consolidated financial statements.
In December 2025, the FASB issued ASU No. 2025-11, Interim Reporting (Topic 270): Narrow-Scope Improvements (ASU 2025-11), which clarifies interim disclosure requirements and the applicability of Topic 270. The amendment is effective beginning in the fourth quarter of fiscal 2028 on a prospective or retrospective basis, with early adoption permitted. The Company is currently evaluating the impact of this amendment on its consolidated financial statements.