NETSCOUT SYSTEMS INC Commitments Disclosure
NOTE 19 – COMMITMENTS AND CONTINGENCIES
Legal
From time to time, the Company may be subject to legal proceedings and claims in the ordinary course of business. In the opinion of management, none of the Company’s current legal proceedings and claims, if determined adversely and based on the information known to the management as of the date of this Annual Report, is expected to have a material adverse effect on the Company's financial condition, results of operations or cash flows.
Unconditional Purchase Obligations
At March 31, 2026, the Company had unconditional purchase obligations of $72.4 million, which represent estimated open purchase orders to purchase inventory as well as commitments for products and services used in the normal course of business.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2026 | May 14, 2026 | Showing above |
| 2025 | May 15, 2025 | |
| 2024 | May 16, 2024 | |
| 2023 | May 16, 2023 | |
| 2022 | May 19, 2022 | |
| 2021 | May 20, 2021 | |
| 2020 | May 20, 2020 | |
| 2019 | May 28, 2019 | |
| 2018 | May 22, 2018 | |
| 2017 | May 24, 2017 | |
| 2016 | May 31, 2016 | |
About Commitments Disclosures
Commitments and contingencies disclosures catalog a company's off-balance-sheet obligations and legal exposures — purchase commitments, guarantee arrangements, pending litigation, and regulatory proceedings. These items represent potential future cash outflows that may not appear as liabilities on the balance sheet until they become probable and estimable.
Key signals: litigation reserves and disclosed loss ranges quantify management's estimate of legal exposure, but unquantified "reasonably possible" losses often represent the larger risk. Watch for changes in language around pending cases — shifts from "remote" to "reasonably possible" or increases in estimated loss ranges signal deteriorating outcomes. Unconditional purchase obligations and take-or-pay contracts create fixed cost structures that reduce operational flexibility. Guarantee arrangements for subsidiaries or joint ventures can create cascading obligations. Compare the total commitment schedule against projected free cash flow to assess whether the company can meet its obligations without additional financing.