Annual report [Section 13 and 15(d), not S-K Item 405]

COMMON STOCK (Tables)

v3.26.1
COMMON STOCK (Tables)
 12 Months Ended
Mar. 31, 2026
Share-Based Payment Arrangement [Abstract]  
Summary of shares reserved fro future issuance under the ESPP
The Company has reserved shares of common stock for future issuance under its ESPP as follows (in thousands):
March 31,
2026 2025
Shares available for issuance at beginning of year 204.4  4.4 
Additional shares authorized for issuance during the period —  200 
   Total shares available for future issuance at end of year 204.4  204.4 
Summary of activity for PSUs
The following table summarizes activity for the unvested Market PSUs and Performance PSUs for the year ended March 31, 2026 (shares in thousands):
Shares Weighted-Average
Grant Date Fair Value per Share
Unvested as of March 31, 2025 213  $ 6.87 
Granted 120  $ 6.11 
Vested (4) $ 19.53 
Forfeited or cancelled (200) $ 7.23 
Unvested as of March 31, 2026 129  $ 6.87 
Summary of activity relating to restricted stock
The following table summarizes activity for the unvested RSUs for the year ended March 31, 2026 (shares in thousands):
Shares Weighted-Average
Grant Date Fair Value per Share
Unvested as of March 31, 2025
 327  $ 11.32 
Granted 371  $ 6.93 
Vested (117) $ 8.58 
Forfeited or cancelled (170) $ 13.94 
Unvested as of March 31, 2026
 411  $ 7.06 
Summary of Disclosure of Share-Based Compensation Arrangements by Share-Based Payment Award
The significant assumptions used by the Company to estimate the fair value of the option awards as of March 31, 2026 are summarized below:

November 1, 2025 January 1, 2026
Term (years) 7.00 years 7.00 years
Volatility 1
100.2% 98.8%
Dividend yield 2
0.00% 0.00%
Risk-free interest rate 3
3.66% 3.79%
Grant date fair value
 $7.39 $5.02
1 Volatility is based of the Company's historical stock price over a period of the expected term of the options.
2 Dividend yield is set to —% as the Company has not historically paid dividends.
3 Risk-free interest rate is based on the Treasury yield for the expected term of the options.
Summary of share-based compensation expense
The following table details the Company's stock-based compensation expense (in thousands):
Year Ended March 31,
2026 2025
Cost of revenue $ (21) $ 373 
Research and development 73  495 
Sales and marketing (66) 317 
General and administrative (835) 1,643 
Total stock-based compensation $ (849) $ 2,828 
Year Ended March 31,
2026 2025
Restricted stock units $ 693  $ 2,515 
Performance share units (1,635) 313 
Stock options 93  — 
Total stock-based compensation $ (849) $ 2,828 
Schedule of ranges of assumptions and estimates
The following table summarizes the key assumptions used in estimating the fair value of the Forbearance Warrant at issuance and at March 31, 2026:
March 31, 2026 September 23, 2025
Discount period (years) 6.48 years 7.0 years
Risk-free interest rate
3.65% - 4.02%
3.52% - 3.83%
Stock price volatility 100.00% 98.00%
Stock price at valuation date $4.75 $10.69
Probability1
15% - 15% - 70%
35% - 15% - 50%
Fair value (in thousands) $14,105 $25,420

(1) Scenario probability as of issuance was based on timing expectations of management that a liquidation event occurring was estimated at 35%; a fundamental transaction occurring was estimated at 15%; and none of the previous events were estimated at 50% and were revised at March 31, 2026 to a 15% of a liquidation event occurring; a 15% of a fundamental transaction occurring; and none of the previous events were estimated at 70%.
The significant assumptions used by the Company to estimate the fair value of the Convertible Note as of December 18, 2025 and March 31, 2026 are summarized below:
March 31, 2026 December 18, 2025
Term (years) 2.7 years 3.0 years
Volatility 85.0% 120.0%
Dividend yield 0.00% 0.00%
Risk-free interest rate 3.77% 3.47%
Probability for maturity 85% 65%
Probability for liquidation event 1
15% 35%
1 See probability discussed under Warrants. Scenario probability was consistently applied.
Schedule of changes in level 2 liabilities
The table below sets forth a summary of changes in the fair value of the Company’s Level 2 Lender Warrant liabilities for the years ended March 31, 2024 and March 31, 2025. The Company did not issue any Lender Warrants during the year ended March 31, 2026 and had no outstanding Lender Warrants as of March 31, 2026.
Balance at March 31, 2024 $ 4,046 
Issuance of warrants 3,157 
Exercise of warrants (52,985)
Repricing adjustment 512 
Change in fair value of warrant liabilities 45,270 
Balance at March 31, 2025 $ — 
The table below sets forth a summary of changes in the fair value of the Company’s Level 2 Forbearance Warrant liabilities for the years ended March 31, 2026 and March 31, 2025:
Balance at March 31, 2025
 $ — 
Issuance of warrants 25,420 
Change in fair value of warrant liabilities (11,315)
Balance at March 31, 2026
 $ 14,105 
The table below sets forth a summary of changes in the fair value of the Company’s Forbearance warrant liabilities for the period ended March 31, 2026:

Balance at March 31, 2025
 $ — 
Issuance of warrants 25,420 
Change in fair value of warrant liabilities (11,315)
Balance at March 31, 2026
 $ 14,105