Note 11—Leases

We enter into lease contracts for certain of our facilities at various locations worldwide. Our leases have remaining lease terms of one to ten years, some of which include options to extend the lease term for periods of up to five years when it is reasonably certain that we will exercise such options.

Balance sheet and other information related to our leases is as follows:

 

Operating Leases
(In thousands)

 

Balance Sheet Classification

 

January 31,
2026

 

 

January 31,
2025

 

Lease Assets

 

Right of Use Assets

 

$

2,466

 

 

$

1,781

 

Lease Liabilities—Current

 

Other Accrued Expenses

 

$

584

 

 

$

320

 

Lease Liabilities—Long Term

 

Lease Liabilities

 

$

1,953

 

 

$

1,535

 

 

Lease cost information is as follows:

 

Operating Leases
(In thousands)

 

Statement of Income Classification

 

2026

 

 

2025

 

Operating Lease Costs

 

General and Administrative Expense

 

$

702

 

 

$

410

 

 

 

At January 31, 2026, maturities of operating lease liabilities are as follows:

 

(In thousands)

 

 

 

2027

 

$

721

 

2028

 

 

635

 

2029

 

 

449

 

2030

 

 

365

 

2031

 

 

255

 

Thereafter

 

 

577

 

Total Lease Payments

 

 

3,002

 

Less: Imputed Interest

 

 

(465

)

Total Lease Liabilities

 

$

2,537

 

 

As of January 31, 2026, the weighted-average remaining lease term and weighted-average discount rate for our operating leases are 6.0 years and 6.19%, respectively. We calculated the weighted-average discount rate using incremental borrowing rates, which equal the rates of interest that we would pay to borrow funds on a fully collateralized basis over a similar term.

Supplemental cash flow information related to leases is as follows:

 

(In thousands)

 

2026

 

 

2025

 

Cash paid for operating lease liabilities

 

$

675

 

 

$

418

 

Historical Timeline

Fiscal YearFiled
2026Apr 15, 2026Showing above
2025Apr 15, 2025
2024Apr 12, 2024
2023Apr 17, 2023
2022Apr 18, 2022
2021Apr 13, 2021
2020Apr 10, 2020

About Leases Disclosures

Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.

Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.