Company: AIRTP
Filing Date: 2025-06-27
Form Type: 10-K
Source: 0000353184-25-000044
Chunk: 353

Company: AIR T INC
Filing Date: 2025-06-27
Form: 10-K
Item: Item 8
Chunk 353
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 guarantees.The Company has elected to combine lease and non-lease components as a single component and not to recognize leases on the balance sheet with an initial term of one year or less.The interest rate implicit in lease contracts is typically not readily determinable, and as such the Company utilizes the incremental borrowing rate to calculate lease liabilities, which is the rate incurred to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment.The components of lease cost for the fiscal years ended March 31, 2025 and 2024 are as follows (in thousands):Twelve Months Ended March 31,20252024Operating lease cost$3,121 $2,587 Short-term lease cost1,111 873 Variable lease cost1,049 828 Total lease cost$5,281 $4,288 

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Amounts reported in the consolidated balance sheets for leases where we are the lessee as of March 31, 2025 and 2024 were as follows (in thousands):March 31, 2025March 31, 2024Operating leasesOperating lease ROU assets$13,274 $11,376 Operating lease liabilities$14,220 $12,276 Weighted-average remaining lease termOperating leases10 years, 3 months12 years, 1 monthWeighted-average discount rateOperating leases5.67 %5.09 %During the twelve months ended March 31, 2025, the Company had ROU assets that were obtained in exchange for new operating lease liabilities in the amount of $4.1 million.The Company has an operating lease between entities under common control where the useful life of certain leasehold improvements exceeds the related lease term. As of March 31, 2025, the remaining lease term on the operating lease was 4 years, 8 months and the useful life of leasehold improvements that exceeded the lease term ranged from 4 years, 10 months to 5 years, 2 months. As of March 31, 2025, the unamortized balance of such leasehold improvements was $0.2 million.Maturities of lease liabilities under non-cancellable leases where we are the lessee as of the fiscal year ended March 31, 2025 are as follows (in thousands):Operating Leases2026$3,115 20272,979 20282,344 20291,745 2030977 Thereafter