Quarterly report [Sections 13 or 15(d)]

COMMON STOCK

v3.26.3
COMMON STOCK
 6 Months Ended
Sep. 30, 2026
Share-Based Payment Arrangement [Abstract]  
COMMON STOCK COMMON STOCK
Stock Options
During the six months ended September 30, 2026, the Company granted options to purchase shares of the Company's common stock as follows: 1,508,650 options on April 1, 2026, 20,000 options on August 1, 2026, and 80,000 options on September 1, 2026. The stock options were valued using the Black-Scholes option pricing model on the grant date. There were no options granted during the three or six months ended September 30, 2025.
The significant assumptions used by the Company to estimate the fair value of the option awards are summarized below:

Grant Date Term (years)
Volatility 1
Dividend yield 2
Risk-free interest rate 3
Weighted-average grant date fair value
April 1, 2026 7.00 years 99.9% 0.00% 4.02% $3.94
August 1, 2026 7.00 years 102.8% 0.00% 4.49% $8.50
September 1, 2026 7.00 years 105.5% 0.00% 4.58% $19.58
1 Volatility is based off of the Company's historical stock price over a period of the expected term of the options.
2 Dividend yield is set to 0.00% 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.

Stock-based Compensation Expense
The following table details the Company's stock-based compensation expense (in thousands):
Three Months Ended September 30, Six Months Ended September 30,
2026 2025 2026 2025
Cost of revenue $ 27  $ 41  $ 34  $ (567)
Research and development (57) 19  43  87 
Sales and marketing 185  (82) 323  (6)
General and administrative 680  346  1,183  281 
Total stock-based compensation $ 835  $ 324  $ 1,583  $ (205)
Three Months Ended September 30, Six Months Ended September 30,
2026 2025 2026 2025
Restricted stock units $ 327  $ 544  $ 664  $ 239 
Performance share units 46  (220) 33  (444)
Stock options 462  —  886  — 
Total stock-based compensation $ 835  $ 324  $ 1,583  $ (205)
Private Placement
On June 1, 2026, the Company entered into Securities Purchase Agreements with certain accredited investors, pursuant to which the Company, in a private placement (the “Private Placement”), agreed to issue and sell to the investors an aggregate of 10,615,712 shares of the Company’s common stock, par value $0.01 per share, at a price of $9.42 per share, for aggregate gross proceeds to the Company of $100.0 million. After deducting placement agent fees and other offering expenses payable by the Company, the Company received net proceeds of approximately $94.3 million. The Private Placement closed June 4, 2026.
Standby Equity Purchase Agreement
On January 25, 2025, the Company entered into the SEPA with YA II PN, Ltd., a Cayman Islands exempt limited partnership ("YA") in which pursuant to which the Company had the right, but not the obligation, to sell up to $200.0 million of its common stock to YA.

On June 4, 2026, in accordance with the terms of the SEPA, the Company provided a notice to YA regarding its termination of the SEPA, effective June 11, 2026. There were no amounts owed to YA under the SEPA at the time the termination notice was provided.

The Company did not make any sales under the SEPA during fiscal 2027, prior to termination. Comparatively, the Company had sales of 6.32 million shares for net proceeds of approximately $67 million in the first half of fiscal 2026.