(8)
Leases

Operating lease costs were $9.7 million, $9.6 million, and $8.4 million for the fiscal years ended January 31, 2026, 2025, and 2024, respectively. Variable lease expenses, short-term lease expenses and sublease income were immaterial for the fiscal years ended January 31, 2026, 2025, and 2024.

Operating cash flows from operating leases were $10.7 million, $10.2 million, and $7.4 million for the fiscal years ended January 31, 2026, 2025, and 2024, respectively.

Right of use assets obtained in exchange for operating lease liabilities were $2.9 million, $5.4 million, and $8.5 million for the fiscal years ended January 31, 2026, 2025, and 2024, respectively.

Maturities of operating lease liabilities as of January 31, 2026 were as follows:

 

(in thousands)

 

 

 

Fiscal Year 2027

 

$

8,139

 

2028

 

 

3,991

 

2029

 

 

2,821

 

2030

 

 

1,585

 

2031

 

 

698

 

Thereafter

 

 

24

 

Total lease payments

 

$

17,258

 

Less: Imputed interest

 

 

(1,662

)

Total lease liabilities

 

$

15,596

 

Weighted average remaining lease term (years)

 

 

2.9

 

Weighted average discount rate

 

 

7.6

%

Historical Timeline

Fiscal YearFiled
2026Mar 23, 2026Showing above
2025Mar 26, 2025
2024Mar 29, 2024
2023Mar 30, 2023

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.