GSI Technology (GSIT) 10-Q5 Nov 212022 Q2 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Sep. 30, 2021	Oct. 31, 2021
Document And Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2021
Document Transition Report	false
Entity File Number	001-33387
Entity Registrant Name	GSI TECHNOLOGY INC
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	77-0398779
Entity Address, Address Line One	1213 Elko Drive
Entity Address, City or Town	Sunnyvale
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	94089
City Area Code	408
Local Phone Number	331-8800
Title of 12(b) Security	Common Stock, $0.001 par value
Trading Symbol	GSIT
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		24,353,931
Entity Central Index Key	0001126741
Current Fiscal Year End Date	--03-31
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2022
Amendment Flag	false

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
ASSETS
Cash and cash equivalents	$ 40,943	$ 44,234
Short-term investments	9,791	9,717
Accounts receivable, net	3,653	3,665
Inventories	4,449	4,343
Prepaid expenses and other current assets	1,899	1,487
Total current assets	60,735	63,446
Property and equipment, net	7,335	7,328
Operating lease right-of-use assets	471	677
Long-term investments	2,759	5,792
Goodwill	7,978	7,978
Intangible assets, net	2,139	2,256
Deposits	139	135
Total assets	81,556	87,612
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable	1,736	1,567
Lease liabilities, current	282	375
Accrued expenses and other liabilities	5,126	5,520
Total current liabilities	7,144	7,462
Income taxes payable	9	9
Lease liabilities, non-current	212	324
Contingent consideration, non-current	4,270	4,225
Total liabilities	11,635	12,020
Commitments and contingencies (Note 9)
Stockholders' equity:
Preferred stock: $0.001 par value authorized: 5,000,000 shares; issued and outstanding: none
Common Stock: $0.001 par value authorized: 150,000,000 shares; issued and outstanding: 24,328,128 and 24,020,276 shares, respectively	24	24
Additional paid-in capital	50,858	47,722
Accumulated other comprehensive loss	(51)	(20)
Retained earnings	19,090	27,866
Total stockholders' equity	69,921	75,592
Total liabilities and stockholders' equity	$ 81,556	$ 87,612

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Sep. 30, 2021	Mar. 31, 2021
Stockholders' Equity
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	150,000,000	150,000,000
Common stock, shares issued	24,328,128	24,020,276
Common stock, shares outstanding	24,328,128	24,020,276

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Income Statement [Abstract]
Net revenues	$ 7,797,000	$ 6,659,000	$ 16,588,000	$ 13,280,000
Cost of revenues	3,620,000	3,547,000	7,629,000	7,118,000
Gross profit	4,177,000	3,112,000	8,959,000	6,162,000
Operating expenses:
Research and development	5,907,000	5,659,000	12,010,000	11,484,000
Selling, general and administrative	2,787,000	2,606,000	5,827,000	5,526,000
Total operating expenses	8,694,000	8,265,000	17,837,000	17,010,000
Loss from operations	(4,517,000)	(5,153,000)	(8,878,000)	(10,848,000)
Interest income, net	18,000	80,000	41,000	194,000
Other expense, net	(26,000)	(96,000)	(69,000)	(104,000)
Loss before income taxes	(4,525,000)	(5,169,000)	(8,906,000)	(10,758,000)
Provision (benefit) for income taxes	42,000	62,000	(130,000)	549,000
Net loss	$ (4,567,000)	$ (5,231,000)	$ (8,776,000)	$ (11,307,000)
Net loss per share:
Basic	$ (0.19)	$ (0.22)	$ (0.36)	$ (0.48)
Diluted	$ (0.19)	$ (0.22)	$ (0.36)	$ (0.48)
Weighted average shares used in per share calculations:
Basic	24,229	23,617	24,162	23,529
Diluted	24,229	23,617	24,162	23,529

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Statement of Comprehensive Loss [Abstract]
Net loss	$ (4,567)	$ (5,231)	$ (8,776)	$ (11,307)
Net unrealized loss on available-for-sale investments	(16)	(53)	(31)	(28)
Total comprehensive loss	$ (4,583)	$ (5,284)	$ (8,807)	$ (11,335)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Retained Earnings	Total
Beginning Balance - Shares at Mar. 31, 2020	23,229,286
Beginning Balance - Amount at Mar. 31, 2020	$ 23	$ 40,176	$ 71	$ 49,371	$ 89,641
Issuance of common stock under employee stock option plans, shares	412,140
Issuance of common stock under employee stock option plans, amount	$ 1	2,508			2,509
Stock-based compensation expense		1,408			1,408
Comprehensive loss:
Net loss				(11,307)	(11,307)
Net unrealized gain (loss) on available-for-sale investments			(28)		(28)
Ending Balance, Shares at Sep. 30, 2020	23,641,426
Ending Balance, Amount at Sep. 30, 2020	$ 24	44,092	43	38,064	82,223
Beginning Balance - Shares at Jun. 30, 2020	23,607,773
Beginning Balance - Amount at Jun. 30, 2020	$ 24	43,269	96	43,295	86,684
Issuance of common stock under employee stock option plans, shares	33,653
Issuance of common stock under employee stock option plans, amount		170			170
Stock-based compensation expense		653			653
Comprehensive loss:
Net loss				(5,231)	(5,231)
Net unrealized gain (loss) on available-for-sale investments			(53)		(53)
Ending Balance, Shares at Sep. 30, 2020	23,641,426
Ending Balance, Amount at Sep. 30, 2020	$ 24	44,092	43	38,064	82,223
Beginning Balance - Shares at Mar. 31, 2021	24,020,276
Beginning Balance - Amount at Mar. 31, 2021	$ 24	47,722	(20)	27,866	75,592
Issuance of common stock under employee stock option plans, shares	307,852
Issuance of common stock under employee stock option plans, amount		1,597			1,597
Stock-based compensation expense		1,539			1,539
Comprehensive loss:
Net loss				(8,776)	(8,776)
Net unrealized gain (loss) on available-for-sale investments			(31)		(31)
Ending Balance, Shares at Sep. 30, 2021	24,328,128
Ending Balance, Amount at Sep. 30, 2021	$ 24	50,858	(51)	19,090	69,921
Beginning Balance - Shares at Jun. 30, 2021	24,166,062
Beginning Balance - Amount at Jun. 30, 2021	$ 24	49,328	(35)	23,657	72,974
Issuance of common stock under employee stock option plans, shares	162,066
Issuance of common stock under employee stock option plans, amount		814			814
Stock-based compensation expense		716			716
Comprehensive loss:
Net loss				(4,567)	(4,567)
Net unrealized gain (loss) on available-for-sale investments			(16)		(16)
Ending Balance, Shares at Sep. 30, 2021	24,328,128
Ending Balance, Amount at Sep. 30, 2021	$ 24	$ 50,858	$ (51)	$ 19,090	$ 69,921

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Cash flows from operating activities:
Net loss	$ (8,776)	$ (11,307)
Adjustments to reconcile net loss to net cash used in operating activities:
Allowance for doubtful accounts and other	(80)	(24)
Provision for excess and obsolete inventories	265	230
Non-cash lease expense	206	305
Depreciation and amortization	501	707
Stock-based compensation	1,539	1,408
Amortization of premium on investments	45	17
Changes in assets and liabilities:
Accounts receivable	92	2,072
Inventory	(371)	(221)
Prepaid expenses and other assets	(416)	273
Accounts payable	165	108
Accrued expenses and other liabilities	(548)	(1,863)
Net cash used in operating activities	(7,378)	(8,295)
Cash flows from investing activities:
Purchase of investments	(3,250)	(11,339)
Maturities of short-term investments	6,133	9,750
Purchases of property and equipment	(393)	(109)
Net cash provided by (used in) investing activities	2,490	(1,698)
Cash flows from financing activities:
Proceeds from issuance of common stock under employee stock plans	1,597	2,509
Net cash provided by financing activities	1,597	2,509
Net decrease in cash and cash equivalents	(3,291)	(7,484)
Cash and cash equivalents at beginning of the period	44,234	51,506
Cash and cash equivalents at end of the period	40,943	44,022
Non-cash investing and financing activities:
Purchases of property and equipment through accounts payable and accruals	4	13
Operating lease right-of-use assets exchanged for lease obligations		658
Supplemental cash flow information:
Net cash (paid) received for income taxes	$ 25	$ (799)

1. THE COMPANY AND SUMMARY OF S

1. THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Sep. 30, 2021
The Company And Summary Of Significant Accounting Policies
NOTE 1-THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 1—THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of presentation The accompanying unaudited condensed consolidated financial statements of GSI Technology, Inc. and its subsidiaries (“GSI” or the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and pursuant to the instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities and Exchange Commission. Accordingly, the interim financial statements do not include all of the information and footnotes required by GAAP for annual financial statements. These interim financial statements contain all adjustments (which consist of only normal, recurring adjustments) that are, in the opinion of management, necessary to state fairly the interim financial information included therein. The Company believes that the disclosures are adequate to make the information not misleading. However, these financial statements should be read in conjunction with the audited consolidated financial statements and related notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2021. The consolidated results of operations for the six months ended September 30, 2021 are not necessarily indicative of the results to be expected for the entire fiscal year. Significant accounting policies Except for the changes in the approach to intraperiod tax allocation, the methodology for calculating income taxes in an interim period, the recognition of deferred tax liabilities for outside basis differences and the simplification of other aspects of accounting for income taxes, which were updated as a result of adopting a new accounting standard, there have been no material changes to our significant accounting policies that were disclosed in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2021. Risk and uncertainties The COVID-19 pandemic has affected many of the countries in which the Company, its customers, suppliers and other business partners conduct business. Governments in affected regions have implemented, and may continue to implement, safety precautions which include quarantines, travel restrictions, business closures, cancellations of public gatherings and other measures as they deem necessary. Many organizations and individuals, including the Company and its employees, are taking additional steps to avoid or reduce infection, including limiting travel and working from home. These measures are disrupting normal business operations both in and outside of affected areas and have had significant negative impacts on businesses and financial markets worldwide. The Company continues to monitor its operations and government recommendations and has made modifications to its normal operations because of the COVID-19 global pandemic. The Company has instituted many preventative measures and is regularly evaluating those measures and others as it continues to better understand its current and future operating environment. Since March 2020, except for the Company’s employees located in Taiwan, the majority of its employees have worked from home around the world. In May 2021, with the surge in COVID-19 infections in Taiwan, the Company’s Taiwan employees began working from home under alternating schedules, fully returning to work in July 2021. The Company has maintained a substantial portion of its manufacturing operational capacity at its primary manufacturing support facility located in Hsin Chu, Taiwan where the Company’s suppliers are located and where all of the Company’s products are manufactured. Supply chain shortages, the impact of ongoing and expected price increases from suppliers and the impact of COVID infections in Taiwan that have recently impacted the operations of our manufacturing partners are expected to impact our fulfillment of sales in the near term and into calendar 2022. Final testing of the Company’s products is conducted in house. Shipping and receiving operations are being maintained by a skeleton crew with minimal impact. The Company’s revenues have been and are expected to continue to be impacted by changes in customer buying patterns and communication limitations related to COVID-19 restrictions that require a significant number of its customer contacts to work from home. The Company’s results continue to demonstrate the challenges that the Company is facing during the COVID-19 global pandemic, which has restricted the activities of the Company’s sales force and distributors, reduced customer demand and caused the postponement of investment in certain customer sectors. These challenges are also impacting the Company as it enters new markets and engages with target customers to sell its new APU product. Industry conferences and on-site training workshops, which are typically used for building a sales pipeline, have been limited due to COVID-19 related restrictions. The Company has adapted its sales strategies for the COVID-19 environment, where it cannot do face-to-face meetings and conduct secure meetings with government and defense customers, but the Company is still not operating at an optimal level. The disruption to the marketplace resulting from the COVID-19 global pandemic that the Company continues to experience is unlike anything the Company has ever had to deal with. While the Company continues to monitor the business metrics that it has historically used to predict its financial performance, the Company is uncertain as to whether these metrics will operate consistently with its historical experience. The Company believes that during the next 12 months the COVID-19 pandemic could impact general economic activity and demand in its end markets. Although the Company cannot estimate the length or gravity of the impact of the COVID-19 outbreak at this time, if the pandemic continues, it may have an adverse effect on the Company’s results of operations, financial position, including potential impairments, and liquidity in fiscal year 2022 and into fiscal year 2023. This includes results from new information that may emerge concerning COVID-19, the rollout and effectiveness of vaccines and any actions taken to contain or treat COVID-19, as well as the economic impact on local, regional, national and international customers and markets. The Company has made estimates of the impact of COVID-19 within its condensed consolidated financial statements and there may be changes to those estimates in future periods that could be material. Accounting pronouncements recently adopted In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” as part of its initiative to reduce complexity in the accounting standards. eliminates certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The standard also clarifies and simplifies other aspects of the accounting for income taxes. The Company adopted ASU No. 2019-12 in the quarter ended June 30, 2021. Accounting pronouncements not yet effective for fiscal 2022 In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” receivables, loans, and other financial instruments, the Company will be required to use a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses which reflects losses that are probable. Credit losses relating to available-for-sale debt securities will also be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. ASU 2016-13 is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, with early adoption permitted beginning April 1, 2019. Application of the amendments is through a cumulative-effect adjustment to retained earnings as of the effective date. The Company is currently evaluating the impact of this standard on its condensed consolidated financial statements.

2. REVENUE RECOGNITION

2. REVENUE RECOGNITION	6 Months Ended
2. REVENUE RECOGNITION	Sep. 30, 2021
REVENUE RECOGNITION.
Note 2 - REVENUE RECOGNITION	NOTE 2—REVENUE RECOGNITION The Company determines revenue recognition through the following steps: (1) identification of the contract with a customer; (2) identification of the performance obligations in the contract; (3) determination of the transaction price; (4) allocation of the transaction price to the performance obligations in the contract; and (5) recognition of revenue when, or as, we satisfy a performance obligation. The majority of the Company’s customer contracts, which may be in the form of purchase orders, contracts or purchase agreements, contain performance obligations for delivery of agreed upon products. Delivery of all performance obligations contained within a contract with a customer typically occurs at the same time (or within the same accounting period). Transfer of control typically occurs at the point at which delivery has occurred, title and the risks and rewards of ownership have passed to the customer, and the Company has a right to payment. For all transactions apart from consignment sales, the Company will generally recognize revenue upon shipment of the product. For consignment sales, revenue is recognized at the time that the product is pulled from consignment warehouses. Because all of the Company’s performance obligations relate to contracts with a duration of less than one year, the Company has elected to apply the optional exemption practical expedient provided in ASC 606 and, therefore, is not required to disclose the aggregate amount of the transaction price allocated to performance obligations that are unsatisfied or partially unsatisfied at the end of the reporting period. The Company adjusts the transaction price for variable consideration. Variable consideration is not typically significant and primarily results from stock rotation rights and quick pay discounts provided to certain distributors. As a practical expedient, the Company is recognizing the incremental costs of obtaining a contract, specifically commission expenses that have a period of benefit of less than twelve months, as an expense when incurred. Additionally, the Company has adopted an accounting policy to recognize shipping costs that occur after control transfers to the customer as a fulfillment activity. The Company’s contracts with customers do not typically include extended payment terms. Payment terms vary by contract type and type of customer and generally range from 30 to 60 days from shipment. Additionally, the Company has right to payment upon shipment. The Company records revenue net of sales tax, value added tax, excise tax and other taxes collected concurrent with product sales. The impact of such taxes on products sales is immaterial. The Company has also elected to recognize the cost for freight and shipping when control over the products sold passes to customers and revenue is recognized. The Company warrants its products to be free of defects generally for a period of three years . The Company estimates its warranty costs based on historical warranty claim experience and includes such costs in cost of revenues. Warranty costs and the accrued warranty liability were not material as of September 30, 2021. The majority of the Company’s revenue is derived from sales of SRAM products which represent approximately 98% of total revenues in the six months ended September 30, 2021. Nokia, the Company’s largest customer, purchases products directly from the Company and through contract manufacturers and distributors. Based on information provided to the Company by its contract manufacturers and distributors, purchases by Nokia represented approximately 34% and 39% of the Company’s net revenues in the six months ended September 30, 2021 and 2020, respectively. See “Note 12 — Segment and Geographic Information” for revenue by shipment destination. The following table presents the Company’s revenue disaggregated by customer type. Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands) (In thousands) Contract manufacturers $ 1,988 $ 3,685 $ 5,852 $ 5,853 Distribution 5,500 2,783 10,209 7,107 OEMs 309 191 527 320 $ 7,797 $ 6,659 $ 16,588 $ 13,280

3. NET LOSS PER COMMON SHARE

3. NET LOSS PER COMMON SHARE	6 Months Ended
3. NET LOSS PER COMMON SHARE	Sep. 30, 2021
NET LOSS PER COMMON SHARE
NOTE 3 - NET LOSS PER COMMON SHARE	NOTE 3—NET LOSS PER COMMON SHARE The Company uses the treasury stock method to calculate the weighted average shares used in computing diluted net loss per share. The following table sets forth the computation of basic and diluted net loss per share: Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands, except per share amounts) (In thousands, except per share amounts) Net loss $ (4,567) $ (5,231) $ (8,776) $ (11,307) Denominators: Weighted average shares—Basic 24,229 23,617 24,162 23,529 Dilutive effect of employee stock options — — — — Dilutive effect of employee stock purchase plan options — — — — Weighted average shares—Dilutive 24,229 23,617 24,162 23,529 Net loss per common share—Basic $ (0.19) $ (0.22) $ (0.36) $ (0.48) Net loss per common share—Diluted $ (0.19) $ (0.22) $ (0.36) $ (0.48) The following shares of common stock underlying outstanding stock options, determined on a weighted average basis, were excluded from the computation of diluted net loss per share as they had an anti-dilutive effect: Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands) (In thousands) Shares underlying options and ESPP shares 6,266 5,253 5,828 4,747

4. BALANCE SHEET DETAIL

4. BALANCE SHEET DETAIL	6 Months Ended
4. BALANCE SHEET DETAIL	Sep. 30, 2021
BALANCE SHEET DETAIL
NOTE 4 - BALANCE SHEET DETAIL	NOTE 4—BALANCE SHEET DETAIL September 30, 2021 March 31, 2021 (In thousands) Inventories: Work-in-progress $ 2,976 $ 1,561 Finished goods 1,461 2,764 Inventory at distributors 12 18 $ 4,449 $ 4,343 September 30, 2021 March 31, 2021 (In thousands) Accounts receivable, net: Accounts receivable $ 3,693 $ 3,785 Less: Allowances for doubtful accounts and other (40) (120) $ 3,653 $ 3,665 September 30, 2021 March 31, 2021 (In thousands) Prepaid expenses and other current assets: Prepaid tooling and masks $ 460 $ 584 Other receivables 162 291 Other prepaid expenses and other current assets 1,277 612 $ 1,899 $ 1,487 September 30, 2021 March 31, 2021 (In thousands) Property and equipment, net: Computer and other equipment $ 18,025 $ 18,359 Software 4,409 4,097 Land 3,900 3,900 Building and building improvements 3,735 3,735 Furniture and fixtures 102 102 Leasehold improvements 877 877 31,048 31,070 Less: Accumulated depreciation (23,713) (23,742) $ 7,335 $ 7,328 Depreciation expense was $197,000 and $287,000 for the three months ended September 30, 2021 and 2020, respectively, and $384,000 and $590,000 for the six months ended September 30, 2021 and 2020. The following tables summarize the components of intangible assets and related accumulated amortization balances at September 30, 2021 and March 31, 2021 (in thousands): As of September 30, 2021 Gross Accumulated Net Carrying Intangible assets: Product designs $ 590 $ (590) $ — Patents 4,220 (2,081) 2,139 Software 80 (80) — Total $ 4,890 $ (2,751) $ 2,139 As of March 31, 2021 Gross Accumulated Net Carrying Intangible assets: Product designs $ 590 $ (590) $ — Patents 4,220 (1,964) 2,256 Software 80 (80) — Total $ 4,890 $ (2,634) $ 2,256 Amortization of intangible assets included in cost of revenues was $58,000 and $59,000 for the three months ended September 30, 2021 and 2020, respectively, and $117,000 and $117,000 for the six months ended September 30, 2021 and 2020. As of September 30, 2021, the estimated future amortization expense of intangible assets in the table above is as follows (in thousands): Fiscal year ending March 31, 2022 (Remaining six months) $ 117 2023 233 2024 233 2025 233 2026 233 Thereafter 1,090 Total $ 2,139 September 30, 2021 March 31, 2021 (In thousands) Accrued expenses and other liabilities: Accrued compensation $ 4,015 $ 4,173 Accrued commissions 242 217 Income taxes payable 53 198 Miscellaneous accrued expenses 816 932 $ 5,126 $ 5,520

5. GOODWILL

5. GOODWILL	6 Months Ended
5. GOODWILL	Sep. 30, 2021
GOODWILL
NOTE 5 - GOODWILL	NOTE 5—GOODWILL Goodwill represents the difference between the purchase price and the estimated fair value of the identifiable assets acquired and liabilities assumed in a business combination. The Company tests for goodwill impairment on an annual basis, or more frequently if events or changes in circumstances indicate that the asset is more likely than not impaired. The Company has one reporting unit. The Company assesses goodwill for impairment on an annual basis on the last day of February in the fourth quarter of its fiscal year. The Company had a goodwill balance of $8.0 million as of both March 31, 2021 and September 30, 2021. The goodwill resulted from the acquisition of MikaMonu Group Ltd. in fiscal 2016. The Company completed its annual impairment test during the fourth quarter of fiscal 2021 and concluded that there was no impairment, as the fair value of its sole reporting unit exceeded its carrying value. The Company believes that the fair value established during the fiscal 2021 annual goodwill impairment testing was reasonable, and no triggering event has taken place subsequent to the fiscal 2021 annual assessment.

6. INCOME TAXES

6. INCOME TAXES	6 Months Ended
6. INCOME TAXES	Sep. 30, 2021
INCOME TAXES
NOTE 6 - INCOME TAXES	NOTE 6—INCOME TAXES The current portion and long-term portion of the Company’s unrecognized tax benefits was $0 at both September 30, 2021 and March 31, 2021. As of September 30, 2021, $3.4 million of unrecognized tax benefits had been recorded as a reduction to net deferred tax assets. As of September 30, 2021, the Company’s net deferred tax assets of $14.5 million were subject to a valuation allowance of $14.5 million. On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was enacted. The CARES Act is an approximate $2 trillion emergency economic stimulus package passed in response to the COVID-19 global pandemic. The CARES Act includes aid to small businesses in the form of loans and grants and other efforts to stabilize the U.S. economy. The Consolidated Appropriations Act (“CAA”) which was signed into law in 2020 extended some of the CARES Act programs along with adding new stimulus provisions. In March 2021, the American Rescue Plan Act of 2021 (“ARPA”) was also passed which further extended several CARES Act relief programs and other assistance. The Company has not filed, and does not intend to file, for funding related to the CARES Act, the CAA or ARPA due to its strong balance sheet and liquidity position with $53.5 million in cash and cash equivalents, short-term investments and long-term investments and no debt outstanding as of September 30, 2021. The Company currently has no plans to defer payroll taxes, to layoff or furlough employees or to modify leases and stock compensation plans. Also included in the CARES Act are numerous income tax provisions including changes to the net operating loss rules. During fiscal year 2021, the Company recorded a $378,000 tax benefit resulting from the carryback of the Company’s fiscal year 2020 federal net operating loss to fiscal year 2018 due to the five-year net operating loss carryback provision from the CARES Act. The Company believes that the CAA and ARPA will not have a significant impact on it. Management believes that within the next twelve months the Company will not have a significant reduction in uncertain tax benefits, including interest and penalties, related to positions taken with respect to credits and loss carryforwards on previously filed tax returns. The Company’s policy is to include interest and penalties related to unrecognized tax benefits within the provision for income taxes in the Condensed Consolidated Statements of Operations. The Company is subject to taxation in the United States and various state and foreign jurisdictions. Fiscal years 2012 through 2021 remain open to examination by federal tax authorities, and fiscal years 2011 through 2021 remain open to examination by California tax authorities. During the quarter ended June 30, 2020, the Company settled an income tax audit in Israel for fiscal years 2016 through 2019 that resulted in a discrete tax provision of $479,000 and a tax liability of $713,000 as of June 30, 2020 that was paid in the quarter ended September 30, 2020. For the six months ended September 30, 2021 and September 30, 2020, the Company incurred income tax expense (benefit) of ($130,000) and $549,000 on net losses before income taxes of ($8.9 million) and ($10.8 million), respectively. The provision (benefit) was calculated using the annualized effective tax rate method. The Company’s estimated annual effective income tax rate, including discrete items, was approximately 0.49% and (3.3%) as of September 30, 2021 and 2020, respectively. The annual effective tax rates as of September 30, 2021 and 2020 vary from the United States statutory income tax rate primarily due to valuation allowances in the United States, whereby pre-tax losses do not result in the recognition of corresponding income tax benefits and expenses and the foreign tax differential.

7. FINANCIAL INSTRUMENTS

7. FINANCIAL INSTRUMENTS	6 Months Ended
7. FINANCIAL INSTRUMENTS	Sep. 30, 2021
FINANCIAL INSTRUMENTS
NOTE 7 - FINANCIAL INSTRUMENTS	NOTE 7—FINANCIAL INSTRUMENTS Fair value measurements Authoritative accounting guidance for fair value measurements provides a framework for measuring fair value and related disclosures. The guidance applies to all financial assets and financial liabilities that are measured on a recurring basis. The guidance requires fair value measurement to be classified and disclosed in one of the following three categories: Level 1: Valuations based on quoted prices in active markets for identical assets and liabilities. The fair value of available-for-sale securities included in the Level 1 category is based on quoted prices that are readily and regularly available in an active market. As of September 30, 2021, the Level 1 category included money market funds of Level 2: Valuations based on observable inputs (other than Level 1 prices), such as quoted prices for similar assets at the measurement date; quoted prices in markets that are not active; or other inputs that are observable, either directly or indirectly. The fair value of available-for-sale securities included in the Level 2 category is based on the market values obtained from an independent pricing service that were evaluated using pricing models that vary by asset class and may incorporate available trade, bid and other market information and price quotes from well-established independent pricing vendors and broker-dealers. As of September 30, 2021, the Level 2 category included short-term investments of $9.8 million and long-term investments of $2.8 million, which were comprised of certificates of deposit, government and agency securities. Level 3: Valuations based on inputs that are unobservable and involve management judgment and the reporting entity’s own assumptions about market participants and pricing. As of September 30, 2021, the Company’s Level 3 financial instruments measured at fair value on the Condensed Consolidated Balance Sheets consisted of the contingent consideration liability related to the acquisition of MikaMonu. The fair value of the contingent consideration liability was initially determined as of the acquisition date using unobservable inputs. These inputs included the estimated amount and timing of future cash flows, the probability of success (achievement of the various contingent events) and a risk-adjusted discount rate of approximately 14.8% used to adjust the probability-weighted cash flows to their present value. Significant increases (decreases) in any of those inputs in isolation would result in a significantly higher (lower) fair value measurement. Generally, changes used in the assumptions for future cash flows and probability of success would be accompanied by a directionally similar change in the fair value measurement and expense. Conversely, changes in the risk-adjusted discount rate would be accompanied by a directionally opposite change in the related fair value measurement and expense. Subsequent to the acquisition date, at each reporting period, the contingent consideration liability is re-measured to fair value with changes recorded in selling, general and administrative expenses in the Condensed Consolidated Statements of Operations. During the most recent re-measurement of the contingent consideration liability as of March 31, 2021, the Company used a risk-adjusted discount rate of approximately 14.5% to adjust the probability-weighted cash flows to their present value using probabilities ranging from 0% to 15% for the remaining contingent events. The contingent consideration liability is included in contingent consideration, non-current on the Consolidated Balance Sheet at September 30, 2021 and March 31, 2021 in the amount of $4.3 million and $4.2 million, respectively. The fair value of financial assets measured on a recurring basis is as follows (in thousands): Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Assets Observable Unobservable and Liabilities Inputs Inputs September 30, 2021 (Level 1) (Level 2) (Level 3) Assets: Money market funds $ 16,995 $ 16,995 $ — $ — Marketable securities 12,550 — 12,550 — Total $ 29,545 $ 16,995 $ 12,550 $ — Liabilities: Contingent consideration $ 4,270 $ — $ — $ 4,270 Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Assets Observable Unobservable and Liabilities Inputs Inputs March 31, 2021 (Level 1) (Level 2) (Level 3) Assets: Money market funds $ 22,992 $ 22,992 $ — $ — Marketable securities 15,509 — 15,509 — Total $ 38,501 $ 22,992 $ 15,509 $ — Liabilities: Contingent consideration $ 4,225 $ — $ — $ 4,225 The following table sets forth the changes in fair value of contingent consideration for the six months ended September 30, 2021 and 2020, respectively: Six Months Ended September 30, 2021 2020 (In thousands) Contingent consideration, beginning of period $ 4,225 $ 3,898 Change due to accretion 45 50 Contingent consideration, end of period $ 4,270 $ 3,948 Short-term and long-term investments All of the Company’s short-term and long-term investments are classified as available-for-sale. Available-for-sale debt securities with maturities greater than twelve months are classified as long-term investments when they are not intended for use in current operations. Investments in available-for-sale securities are reported at fair value with unrecognized gains (losses), net of tax, as a component of accumulated other comprehensive loss in the Condensed Consolidated Balance Sheets. The Company had money market funds of $17.0 million and $23.0 million at September 30, 2021 and March 31, 2021, respectively, included in cash and cash equivalents on the Condensed Consolidated Balance Sheets. The Company monitors its investments for impairment periodically and records appropriate reductions in carrying values when declines are determined to be other-than-temporary. The following table summarizes the Company’s available-for-sale investments: September 30, 2021 Gross Gross Unrealized Unrealized Fair Cost Gains Losses Value (In thousands) Short-term investments: Certificates of deposit $ 4,750 $ 6 $ — $ 4,756 Supranational obligations 2,021 — — 2,021 Agency bonds 3,005 9 — 3,014 Total short-term investments $ 9,776 $ 15 $ — $ 9,791 Long-term investments: Certificates of deposit $ 2,750 $ 10 $ (1) $ 2,759 Total long-term investments $ 2,750 $ 10 $ (1) $ 2,759 March 31, 2021 Gross Gross Unrealized Unrealized Fair Cost Gains Losses Value (In thousands) Short-term investments: Certificates of deposit $ 1,495 $ 13 $ — $ 1,508 Supranational obligations 2,273 1 — 2,274 Agency bonds 5,911 24 — 5,935 Total short-term investments $ 9,679 $ 38 $ — $ 9,717 Long-term investments: Certificates of deposit $ 3,750 $ 19 $ (1) $ 3,768 Supranational obligations 1,023 — (1) 1,022 Agency bonds 1,001 1 — 1,002 Total long-term investments $ 5,774 $ 20 $ (2) $ 5,792 The following table shows the gross unrealized losses and fair value of the Company’s investments with unrealized losses aggregated by investment category and length of time that individual securities have been in a continuous loss position as of September 30, 2021 and March 31, 2021, respectively. September 30, 2021 Less Than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Value Loss Value Loss Value Loss (In thousands) Certificates of deposit $ 3,998 $ (2) $ — $ — $ 3,998 $ (2) Supranational obligations 2,021 — — — 2,021 — $ 6,019 $ (2) $ — $ — $ 6,019 $ (2) March 31, 2021 Less Than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Value Loss Value Loss Value Loss (In thousands) Certificates of deposit $ 1,499 $ (1) $ - $ - $ 1,499 $ (1) Supranational obligations 2,037 (1) 2,037 (1) $ 3,536 $ (2) $ - $ - $ 3,536 $ (2) The Company’s investment portfolio consists of both corporate and governmental securities that have a maximum maturity of three years . All unrealized gains and losses are due to changes in interest rates and bond yields. Subject to normal credit risks, the Company has the ability to realize the full value of all these investments upon maturity. The deferred tax liability related to unrecognized gains and losses on short-term and long-term investments was $(7,000) and $(15,000) at September 30, 2021 and March 31, 2021, respectively. As of September 30, 2021, contractual maturities of the Company’s available-for-sale investments were as follows: Fair Cost Value (In thousands) Maturing within one year $ 9,777 $ 9,791 Maturing in one to three years 2,750 2,759 $ 12,527 $ 12,550 The Company classifies its short-term investments as “available-for-sale” as they are intended to be available for use in current operations.

8. LEASES

8. LEASES	6 Months Ended
8. LEASES	Sep. 30, 2021
LEASES
NOTE 8 - LEASES	NOTE 8—LEASES The Company has operating leases for corporate offices, research and development facilities, certain equipment and software. The Company’s leases have remaining lease terms of 1 months to 23 months , some of which include options to extend for up to 5 years . Supplemental balance sheet information related to leases was as follows: As of As of September 30, 2021 March 31, 2021 (In thousands) Operating Leases Operating lease right-of-use assets $ 471 $ 677 Lease liabilities-current $ 282 $ 375 Lease liabilities-non-current 212 324 Total operating lease liabilities $ 494 $ 699 The following table provides the details of lease costs: Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands) (In thousands) Operating lease cost $ 102 $ 167 $ 227 $ 332 Short-term lease cost 82 8 113 16 $ 184 $ 175 $ 340 $ 348 The following table provides other information related to leases: Six Months Ended September 30, 2021 2020 (In thousands) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 232 $ 339 Right-of-use assets obtained in exchange for lease obligations Operating leases $ — $ 658 Weighted-average remaining lease term (years): Operating leases 1.81 2.26 Weighted-average discount rate: Operating leases 4.43% 5.02% The following table provides the maturities of the Company’s operating lease liabilities as of September 30, 2021: Operating Lease Liabilities Fiscal Year (In thousands) 2022 (Remaining six months) $ 158 2023 253 2024 102 Total undiscounted future cash flows 513 Less: Imputed interest (19) Present value of undiscounted future cash flows $ 494 Presentation on statement of financial position Current $ 282 Non-current $ 212

9. COMMITMENTS AND CONTINGENCIE

9. COMMITMENTS AND CONTINGENCIES	6 Months Ended
9. COMMITMENTS AND CONTINGENCIES	Sep. 30, 2021
COMMITMENTS AND CONTINGENCIES
NOTE 9 - COMMITMENTS AND CONTINGENCIES	NOTE 9—COMMITMENTS AND CONTINGENCIES Indemnification obligations The Company is a party to a variety of agreements pursuant to which it may be obligated to indemnify the other party with respect to certain matters. Typically, these obligations arise in the context of contracts entered into by the Company, under which the Company agrees to hold the other party harmless against losses arising from a breach of representations and covenants related to such matters as title to assets sold and certain intellectual property rights. In each of these circumstances, payment by the Company is conditioned on the other party making a claim pursuant to the procedures specified in the particular contract, which procedures typically allow the Company to challenge the other party’s claims. Further, the Company’s obligations under these agreements may be limited in terms of time and/or amount, and in some instances, the Company may have recourse against third parties for certain payments made by it under these agreements. It is not possible to predict the maximum potential amount of future payments that may be required under these or similar agreements due to the conditional nature of the Company’s obligations and the unique facts and circumstances involved in each particular agreement. Historically, payments made by the Company under these agreements have not had a material effect on its business, financial condition, cash flows or results of operations. Product warranties The Company warrants its products to be free of defects generally for a period of three years . The Company estimates its warranty costs based on historical warranty claim experience and includes such costs in cost of revenues. Warranty costs and the accrued warranty liability were not material as of September 30, 2021 and March 31, 2021 and for the three months ended September 30, 2021 or 2020.

10. STOCK-BASED COMPENSATION

10. STOCK-BASED COMPENSATION	6 Months Ended
10. STOCK-BASED COMPENSATION	Sep. 30, 2021
STOCK-BASED COMPENSATION
NOTE 10 - STOCK-BASED COMPENSATION	NOTE 10—STOCK-BASED COMPENSATION As of September 30, 2021, 4,584,209 shares of common stock were available for grant under the Company’s Amended and Restated 2016 Equity Incentive Plan. The following table summarizes the Company’s stock option activities for the six months ended September 30, 2021: Weighted Number of Shares Average Weighted Shares Underlying Remaining Average Available for Options Contractual Exercise Intrinsic Grant Outstanding Life (Years) Price Value Balance at March 31, 2021 1,331,562 8,432,877 $ 6.17 Options reserved 4,000,000 — $ — Granted (901,603) 901,603 $ 5.62 Exercised — (236,844) $ 5.24 $ 106,676 Forfeited 154,250 (427,367) $ 6.63 Balance at September 30, 2021 4,584,209 8,670,269 5.83 $ 6.11 Options vested and exercisable 5,434,556 4.18 $ 5.78 $ 1,419,514 Options vested and expected to vest 8,565,001 5.79 $ 6.11 $ 1,419,514 The weighted average fair value per underlying share of options granted during the three months ended September 30, 2021 and 2020 was $2.34 and $2.24, respectively, and $2.35 and $2.34 for the six months ended September 30, 2021 and 2020, respectively. Options outstanding by exercise price at September 30, 2021 were as follows: Number of Options Outstanding Options Exercisable Shares Weighted Weighted Average Weighted Underlying Average Remaining Number Average Options Exercise Contractual Vested and Exercise Exercise Price Outstanding Price Life (Years) Exercisable Price $ 3.40 - 4.90 875,582 $ 4.06 2.53 875,582 $ 4.06 $ 4.92 - 4.99 1,094,351 $ 4.98 4.25 1,094,351 $ 4.98 $ 5.13 - 5.58 1,335,061 $ 5.42 6.69 639,468 $ 5.24 $ 5.59 - 5.83 1,230,477 $ 5.77 6.18 502,572 $ 5.70 $ 5.91 - 6.63 868,469 $ 6.23 5.89 670,738 $ 6.26 $ 6.70 - 6.86 1,124,317 $ 6.77 5.47 642,968 $ 6.81 $ 7.26 - 7.53 941,048 $ 7.36 7.01 621,280 $ 7.28 $ 7.65 - 8.06 508,661 $ 7.84 7.81 235,594 $ 7.79 $ 8.09 82,160 $ 8.09 6.33 61,557 $ 8.09 $ 8.30 610,143 $ 8.30 7.82 90,446 $ 8.30 8,670,269 $ 6.11 5.83 5,434,556 $ 5.78 The following table summarizes stock-based compensation expense by line item in the Condensed Consolidated Statements of Operations, all relating to employee stock plans: Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In Thousands) (In Thousands) Cost of revenues $ 64 $ 84 $ 134 $ 172 Research and development 418 353 888 766 Selling, general and administrative 234 216 517 470 Total $ 716 $ 653 $ 1,539 $ 1,408 As stock-based compensation expense recognized in the Condensed Consolidated Statement of Operations is based on awards ultimately expected to vest, it has been reduced for estimated forfeitures in accordance with authoritative guidance. The Company estimates forfeitures at the time of grant and revises the original estimates, if necessary, in subsequent periods if actual forfeitures differ from those estimates. No tax benefit related to stock-based compensation was recognized in the six months ended September 30, 2021 due to a full valuation allowance. There were no windfall tax benefits realized from exercised stock options in either of these periods. Compensation cost capitalized within inventory at September 30, 2021 was immaterial. As of September 30, 2021, the Company’s total unrecognized compensation cost was $5.9 million, which will be recognized over a weighted average period of 2.35 years. The Company calculated the fair value of stock-based awards in the periods presented using the Black-Scholes option pricing model and the following weighted average assumptions: Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 Stock Option Plans: Risk-free interest rate 0.66 % 0.22 % 0.66 - 0.80 % 0.22 - 0.36 % Expected life (in years) 5.00 5.00 5.00 5.00 Volatility 48.1 % 44.6 % 47.7 - 48.1 % 41.9 - 44.6 % Dividend yield — % — % — % — % Employee Stock Purchase Plan: Risk-free interest rate — % — % 0.04 % 0.15 % Expected life (in years) — — 0.50 0.50 Volatility — % — % 57.4 % 67.1 % Dividend yield — % — % — % — %

11. RELATED PARTY TRANSACTION

11. RELATED PARTY TRANSACTION	6 Months Ended
11. RELATED PARTY TRANSACTION	Sep. 30, 2021
RELATED PARTY TRANSACTION
NOTE 11 - RELATED PARTY TRANSACTION	NOTE 11—RELATED PARTY TRANSACTION The Company incurred non-recurring engineering service expense and production charges of approximately $80,000 and $84,000 during the six months ended September 30, 2021 and 2020, respectively, from Wistron Neweb Corp (“WNC”) in connection with the manufacturing of single-APU PCIe boards, to be used in the Company’s in-place associative computing product. Haydn Hsieh, a member of the Company’s board of directors, is the Chairman and Chief Strategy Officer of WNC. The amount owed to WNC, of

12. SEGMENT AND GEOGRAPHIC INFO

12. SEGMENT AND GEOGRAPHIC INFORMATION	6 Months Ended
12. SEGMENT AND GEOGRAPHIC INFORMATION	Sep. 30, 2021
SEGMENT AND GEOGRAPHIC INFORMATION
NOTE 12 - SEGMENT AND GEOGRAPHIC INFORMATION	NOTE 12—SEGMENT AND GEOGRAPHIC INFORMATION Based on its operating management and financial reporting structure, the Company has determined that it has one reportable business segment: the design, development and sale of integrated circuits. The following is a summary of net revenues by geographic area based on the location to which product is shipped: Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands) (In thousands) United States $ 3,908 $ 3,345 $ 8,442 $ 5,813 China 309 365 630 1,002 Singapore 1,446 597 3,031 1,836 Netherlands 1,080 1,599 2,448 3,132 Germany 813 560 1,389 1,038 Rest of the world 241 193 648 459 $ 7,797 $ 6,659 $ 16,588 $ 13,280 All sales are denominated in United States dollars.

1. THE COMPANY AND SUMMARY OF_2

1. THE COMPANY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Sep. 30, 2021
The Company And Summary Of Significant Accounting Policies
Basis of presentation	Basis of presentation The accompanying unaudited condensed consolidated financial statements of GSI Technology, Inc. and its subsidiaries (“GSI” or the “Company”) have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and pursuant to the instructions to Form 10-Q and Article 10 of Regulation S-X of the Securities and Exchange Commission. Accordingly, the interim financial statements do not include all of the information and footnotes required by GAAP for annual financial statements. These interim financial statements contain all adjustments (which consist of only normal, recurring adjustments) that are, in the opinion of management, necessary to state fairly the interim financial information included therein. The Company believes that the disclosures are adequate to make the information not misleading. However, these financial statements should be read in conjunction with the audited consolidated financial statements and related notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2021. The consolidated results of operations for the six months ended September 30, 2021 are not necessarily indicative of the results to be expected for the entire fiscal year.
Significant accounting policies	Significant accounting policies Except for the changes in the approach to intraperiod tax allocation, the methodology for calculating income taxes in an interim period, the recognition of deferred tax liabilities for outside basis differences and the simplification of other aspects of accounting for income taxes, which were updated as a result of adopting a new accounting standard, there have been no material changes to our significant accounting policies that were disclosed in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2021.
Risk and uncertainties	Risk and uncertainties The COVID-19 pandemic has affected many of the countries in which the Company, its customers, suppliers and other business partners conduct business. Governments in affected regions have implemented, and may continue to implement, safety precautions which include quarantines, travel restrictions, business closures, cancellations of public gatherings and other measures as they deem necessary. Many organizations and individuals, including the Company and its employees, are taking additional steps to avoid or reduce infection, including limiting travel and working from home. These measures are disrupting normal business operations both in and outside of affected areas and have had significant negative impacts on businesses and financial markets worldwide. The Company continues to monitor its operations and government recommendations and has made modifications to its normal operations because of the COVID-19 global pandemic. The Company has instituted many preventative measures and is regularly evaluating those measures and others as it continues to better understand its current and future operating environment. Since March 2020, except for the Company’s employees located in Taiwan, the majority of its employees have worked from home around the world. In May 2021, with the surge in COVID-19 infections in Taiwan, the Company’s Taiwan employees began working from home under alternating schedules, fully returning to work in July 2021. The Company has maintained a substantial portion of its manufacturing operational capacity at its primary manufacturing support facility located in Hsin Chu, Taiwan where the Company’s suppliers are located and where all of the Company’s products are manufactured. Supply chain shortages, the impact of ongoing and expected price increases from suppliers and the impact of COVID infections in Taiwan that have recently impacted the operations of our manufacturing partners are expected to impact our fulfillment of sales in the near term and into calendar 2022. Final testing of the Company’s products is conducted in house. Shipping and receiving operations are being maintained by a skeleton crew with minimal impact. The Company’s revenues have been and are expected to continue to be impacted by changes in customer buying patterns and communication limitations related to COVID-19 restrictions that require a significant number of its customer contacts to work from home. The Company’s results continue to demonstrate the challenges that the Company is facing during the COVID-19 global pandemic, which has restricted the activities of the Company’s sales force and distributors, reduced customer demand and caused the postponement of investment in certain customer sectors. These challenges are also impacting the Company as it enters new markets and engages with target customers to sell its new APU product. Industry conferences and on-site training workshops, which are typically used for building a sales pipeline, have been limited due to COVID-19 related restrictions. The Company has adapted its sales strategies for the COVID-19 environment, where it cannot do face-to-face meetings and conduct secure meetings with government and defense customers, but the Company is still not operating at an optimal level. The disruption to the marketplace resulting from the COVID-19 global pandemic that the Company continues to experience is unlike anything the Company has ever had to deal with. While the Company continues to monitor the business metrics that it has historically used to predict its financial performance, the Company is uncertain as to whether these metrics will operate consistently with its historical experience. The Company believes that during the next 12 months the COVID-19 pandemic could impact general economic activity and demand in its end markets. Although the Company cannot estimate the length or gravity of the impact of the COVID-19 outbreak at this time, if the pandemic continues, it may have an adverse effect on the Company’s results of operations, financial position, including potential impairments, and liquidity in fiscal year 2022 and into fiscal year 2023. This includes results from new information that may emerge concerning COVID-19, the rollout and effectiveness of vaccines and any actions taken to contain or treat COVID-19, as well as the economic impact on local, regional, national and international customers and markets. The Company has made estimates of the impact of COVID-19 within its condensed consolidated financial statements and there may be changes to those estimates in future periods that could be material.
Accounting pronouncements recently adopted or not yet effective	Accounting pronouncements recently adopted In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” as part of its initiative to reduce complexity in the accounting standards. eliminates certain exceptions related to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The standard also clarifies and simplifies other aspects of the accounting for income taxes. The Company adopted ASU No. 2019-12 in the quarter ended June 30, 2021. Accounting pronouncements not yet effective for fiscal 2022 In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” receivables, loans, and other financial instruments, the Company will be required to use a forward-looking expected loss model rather than the incurred loss model for recognizing credit losses which reflects losses that are probable. Credit losses relating to available-for-sale debt securities will also be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. ASU 2016-13 is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years, with early adoption permitted beginning April 1, 2019. Application of the amendments is through a cumulative-effect adjustment to retained earnings as of the effective date. The Company is currently evaluating the impact of this standard on its condensed consolidated financial statements.

2. REVENUE RECOGNITION (Tables)

2. REVENUE RECOGNITION (Tables)	6 Months Ended
2. REVENUE RECOGNITION (Tables)	Sep. 30, 2021
REVENUE RECOGNITION.
Summary of revenue disaggregated by customer type	Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands) (In thousands) Contract manufacturers $ 1,988 $ 3,685 $ 5,852 $ 5,853 Distribution 5,500 2,783 10,209 7,107 OEMs 309 191 527 320 $ 7,797 $ 6,659 $ 16,588 $ 13,280

3. NET LOSS PER COMMON SHARE (T

3. NET LOSS PER COMMON SHARE (Tables)	6 Months Ended
3. NET LOSS PER COMMON SHARE (Tables)	Sep. 30, 2021
NET LOSS PER COMMON SHARE
Basic and diluted net loss per share	Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands, except per share amounts) (In thousands, except per share amounts) Net loss $ (4,567) $ (5,231) $ (8,776) $ (11,307) Denominators: Weighted average shares—Basic 24,229 23,617 24,162 23,529 Dilutive effect of employee stock options — — — — Dilutive effect of employee stock purchase plan options — — — — Weighted average shares—Dilutive 24,229 23,617 24,162 23,529 Net loss per common share—Basic $ (0.19) $ (0.22) $ (0.36) $ (0.48) Net loss per common share—Diluted $ (0.19) $ (0.22) $ (0.36) $ (0.48)
Anti-dilutive shares	Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands) (In thousands) Shares underlying options and ESPP shares 6,266 5,253 5,828 4,747

4. BALANCE SHEET DETAIL (Tables

4. BALANCE SHEET DETAIL (Tables)	6 Months Ended
4. BALANCE SHEET DETAIL (Tables)	Sep. 30, 2021
BALANCE SHEET DETAIL
Schedule of inventories	September 30, 2021 March 31, 2021 (In thousands) Inventories: Work-in-progress $ 2,976 $ 1,561 Finished goods 1,461 2,764 Inventory at distributors 12 18 $ 4,449 $ 4,343
Schedule of accounts receivable, net	September 30, 2021 March 31, 2021 (In thousands) Accounts receivable, net: Accounts receivable $ 3,693 $ 3,785 Less: Allowances for doubtful accounts and other (40) (120) $ 3,653 $ 3,665
Schedule of prepaid expenses and other current assets	September 30, 2021 March 31, 2021 (In thousands) Prepaid expenses and other current assets: Prepaid tooling and masks $ 460 $ 584 Other receivables 162 291 Other prepaid expenses and other current assets 1,277 612 $ 1,899 $ 1,487
Schedule of property and equipment, net	September 30, 2021 March 31, 2021 (In thousands) Property and equipment, net: Computer and other equipment $ 18,025 $ 18,359 Software 4,409 4,097 Land 3,900 3,900 Building and building improvements 3,735 3,735 Furniture and fixtures 102 102 Leasehold improvements 877 877 31,048 31,070 Less: Accumulated depreciation (23,713) (23,742) $ 7,335 $ 7,328
Schedule of intangible assets	The following tables summarize the components of intangible assets and related accumulated amortization balances at September 30, 2021 and March 31, 2021 (in thousands): As of September 30, 2021 Gross Accumulated Net Carrying Intangible assets: Product designs $ 590 $ (590) $ — Patents 4,220 (2,081) 2,139 Software 80 (80) — Total $ 4,890 $ (2,751) $ 2,139 As of March 31, 2021 Gross Accumulated Net Carrying Intangible assets: Product designs $ 590 $ (590) $ — Patents 4,220 (1,964) 2,256 Software 80 (80) — Total $ 4,890 $ (2,634) $ 2,256
Estimated future amortization expense of intangible assets	As of September 30, 2021, the estimated future amortization expense of intangible assets in the table above is as follows (in thousands): Fiscal year ending March 31, 2022 (Remaining six months) $ 117 2023 233 2024 233 2025 233 2026 233 Thereafter 1,090 Total $ 2,139
Schedule of accrued expenses and other liabilities	September 30, 2021 March 31, 2021 (In thousands) Accrued expenses and other liabilities: Accrued compensation $ 4,015 $ 4,173 Accrued commissions 242 217 Income taxes payable 53 198 Miscellaneous accrued expenses 816 932 $ 5,126 $ 5,520

7. FINANCIAL INSTRUMENTS (Table

7. FINANCIAL INSTRUMENTS (Tables)	6 Months Ended
7. FINANCIAL INSTRUMENTS (Tables)	Sep. 30, 2021
FINANCIAL INSTRUMENTS
Schedule of fair value of financial assets measured on a recurring basis	The fair value of financial assets measured on a recurring basis is as follows (in thousands): Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Assets Observable Unobservable and Liabilities Inputs Inputs September 30, 2021 (Level 1) (Level 2) (Level 3) Assets: Money market funds $ 16,995 $ 16,995 $ — $ — Marketable securities 12,550 — 12,550 — Total $ 29,545 $ 16,995 $ 12,550 $ — Liabilities: Contingent consideration $ 4,270 $ — $ — $ 4,270 Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Assets Observable Unobservable and Liabilities Inputs Inputs March 31, 2021 (Level 1) (Level 2) (Level 3) Assets: Money market funds $ 22,992 $ 22,992 $ — $ — Marketable securities 15,509 — 15,509 — Total $ 38,501 $ 22,992 $ 15,509 $ — Liabilities: Contingent consideration $ 4,225 $ — $ — $ 4,225
Schedule of changes in fair value of contingent consideration	Six Months Ended September 30, 2021 2020 (In thousands) Contingent consideration, beginning of period $ 4,225 $ 3,898 Change due to accretion 45 50 Contingent consideration, end of period $ 4,270 $ 3,948
Schedule of available-for-sale investments	September 30, 2021 Gross Gross Unrealized Unrealized Fair Cost Gains Losses Value (In thousands) Short-term investments: Certificates of deposit $ 4,750 $ 6 $ — $ 4,756 Supranational obligations 2,021 — — 2,021 Agency bonds 3,005 9 — 3,014 Total short-term investments $ 9,776 $ 15 $ — $ 9,791 Long-term investments: Certificates of deposit $ 2,750 $ 10 $ (1) $ 2,759 Total long-term investments $ 2,750 $ 10 $ (1) $ 2,759 March 31, 2021 Gross Gross Unrealized Unrealized Fair Cost Gains Losses Value (In thousands) Short-term investments: Certificates of deposit $ 1,495 $ 13 $ — $ 1,508 Supranational obligations 2,273 1 — 2,274 Agency bonds 5,911 24 — 5,935 Total short-term investments $ 9,679 $ 38 $ — $ 9,717 Long-term investments: Certificates of deposit $ 3,750 $ 19 $ (1) $ 3,768 Supranational obligations 1,023 — (1) 1,022 Agency bonds 1,001 1 — 1,002 Total long-term investments $ 5,774 $ 20 $ (2) $ 5,792
Schedule of unrealized losses and fair value of investments	September 30, 2021 Less Than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Value Loss Value Loss Value Loss (In thousands) Certificates of deposit $ 3,998 $ (2) $ — $ — $ 3,998 $ (2) Supranational obligations 2,021 — — — 2,021 — $ 6,019 $ (2) $ — $ — $ 6,019 $ (2) March 31, 2021 Less Than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Value Loss Value Loss Value Loss (In thousands) Certificates of deposit $ 1,499 $ (1) $ - $ - $ 1,499 $ (1) Supranational obligations 2,037 (1) 2,037 (1) $ 3,536 $ (2) $ - $ - $ 3,536 $ (2)
Schedule of contractual maturities of the available-for-sale investments	Fair Cost Value (In thousands) Maturing within one year $ 9,777 $ 9,791 Maturing in one to three years 2,750 2,759 $ 12,527 $ 12,550

8. LEASES (Tables)

8. LEASES (Tables)	6 Months Ended
8. LEASES (Tables)	Sep. 30, 2021
LEASES
Summary of balance sheet information related to leases	As of As of September 30, 2021 March 31, 2021 (In thousands) Operating Leases Operating lease right-of-use assets $ 471 $ 677 Lease liabilities-current $ 282 $ 375 Lease liabilities-non-current 212 324 Total operating lease liabilities $ 494 $ 699
Summary of components of lease costs	Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands) (In thousands) Operating lease cost $ 102 $ 167 $ 227 $ 332 Short-term lease cost 82 8 113 16 $ 184 $ 175 $ 340 $ 348
Summary of other information related to leases	Six Months Ended September 30, 2021 2020 (In thousands) Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 232 $ 339 Right-of-use assets obtained in exchange for lease obligations Operating leases $ — $ 658 Weighted-average remaining lease term (years): Operating leases 1.81 2.26 Weighted-average discount rate: Operating leases 4.43% 5.02%
Summary of maturities of the lease liabilities	Operating Lease Liabilities Fiscal Year (In thousands) 2022 (Remaining six months) $ 158 2023 253 2024 102 Total undiscounted future cash flows 513 Less: Imputed interest (19) Present value of undiscounted future cash flows $ 494 Presentation on statement of financial position Current $ 282 Non-current $ 212

10. STOCK-BASED COMPENSATION (T

10. STOCK-BASED COMPENSATION (Tables)	6 Months Ended
10. STOCK-BASED COMPENSATION (Tables)	Sep. 30, 2021
STOCK-BASED COMPENSATION
Summary of stock option activities	Weighted Number of Shares Average Weighted Shares Underlying Remaining Average Available for Options Contractual Exercise Intrinsic Grant Outstanding Life (Years) Price Value Balance at March 31, 2021 1,331,562 8,432,877 $ 6.17 Options reserved 4,000,000 — $ — Granted (901,603) 901,603 $ 5.62 Exercised — (236,844) $ 5.24 $ 106,676 Forfeited 154,250 (427,367) $ 6.63 Balance at September 30, 2021 4,584,209 8,670,269 5.83 $ 6.11 Options vested and exercisable 5,434,556 4.18 $ 5.78 $ 1,419,514 Options vested and expected to vest 8,565,001 5.79 $ 6.11 $ 1,419,514
Schedule of options outstanding by exercise price	Number of Options Outstanding Options Exercisable Shares Weighted Weighted Average Weighted Underlying Average Remaining Number Average Options Exercise Contractual Vested and Exercise Exercise Price Outstanding Price Life (Years) Exercisable Price $ 3.40 - 4.90 875,582 $ 4.06 2.53 875,582 $ 4.06 $ 4.92 - 4.99 1,094,351 $ 4.98 4.25 1,094,351 $ 4.98 $ 5.13 - 5.58 1,335,061 $ 5.42 6.69 639,468 $ 5.24 $ 5.59 - 5.83 1,230,477 $ 5.77 6.18 502,572 $ 5.70 $ 5.91 - 6.63 868,469 $ 6.23 5.89 670,738 $ 6.26 $ 6.70 - 6.86 1,124,317 $ 6.77 5.47 642,968 $ 6.81 $ 7.26 - 7.53 941,048 $ 7.36 7.01 621,280 $ 7.28 $ 7.65 - 8.06 508,661 $ 7.84 7.81 235,594 $ 7.79 $ 8.09 82,160 $ 8.09 6.33 61,557 $ 8.09 $ 8.30 610,143 $ 8.30 7.82 90,446 $ 8.30 8,670,269 $ 6.11 5.83 5,434,556 $ 5.78
Summary of stock-based compensation expense by line item	Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In Thousands) (In Thousands) Cost of revenues $ 64 $ 84 $ 134 $ 172 Research and development 418 353 888 766 Selling, general and administrative 234 216 517 470 Total $ 716 $ 653 $ 1,539 $ 1,408
Schedule of weighted average assumptions	Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 Stock Option Plans: Risk-free interest rate 0.66 % 0.22 % 0.66 - 0.80 % 0.22 - 0.36 % Expected life (in years) 5.00 5.00 5.00 5.00 Volatility 48.1 % 44.6 % 47.7 - 48.1 % 41.9 - 44.6 % Dividend yield — % — % — % — % Employee Stock Purchase Plan: Risk-free interest rate — % — % 0.04 % 0.15 % Expected life (in years) — — 0.50 0.50 Volatility — % — % 57.4 % 67.1 % Dividend yield — % — % — % — %

12. SEGMENT AND GEOGRAPHIC IN_2

12. SEGMENT AND GEOGRAPHIC INFORMATION (Tables)	6 Months Ended
12. SEGMENT AND GEOGRAPHIC INFORMATION (Tables)	Sep. 30, 2021
SEGMENT AND GEOGRAPHIC INFORMATION
Net revenues by geographic area	Three Months Ended September 30, Six Months Ended September 30, 2021 2020 2021 2020 (In thousands) (In thousands) United States $ 3,908 $ 3,345 $ 8,442 $ 5,813 China 309 365 630 1,002 Singapore 1,446 597 3,031 1,836 Netherlands 1,080 1,599 2,448 3,132 Germany 813 560 1,389 1,038 Rest of the world 241 193 648 459 $ 7,797 $ 6,659 $ 16,588 $ 13,280

2. REVENUE RECOGNITION (Details

2. REVENUE RECOGNITION (Details)	6 Months Ended
2. REVENUE RECOGNITION (Details)	Sep. 30, 2021	Sep. 30, 2020
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, Practical Expedient, Initial Application and Transition, Nondisclosure of Transaction Price Allocation to Remaining Performance Obligation [true false]	true
Revenue, Practical Expedient, Incremental Cost of Obtaining Contract [true/false]	true
Warranty period	3 years
Net revenue \| Customer Concentration Risk
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Concentration risk percentage	34.00%	39.00%
SARM Products \| Net revenue \| Customer Concentration Risk
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Concentration risk percentage	98.00%
Minimum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Payment terms	30 days
Maximum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Payment terms	60 days

2. REVENUE RECOGNITION - Revenu

2. REVENUE RECOGNITION - Revenue disaggregated (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Disaggregation of Revenue [Line Items]
Net revenues	$ 7,797	$ 6,659	$ 16,588	$ 13,280
Contract Manufacturers
Disaggregation of Revenue [Line Items]
Net revenues	1,988	3,685	5,852	5,853
Distribution
Disaggregation of Revenue [Line Items]
Net revenues	5,500	2,783	10,209	7,107
OEMs
Disaggregation of Revenue [Line Items]
Net revenues	$ 309	$ 191	$ 527	$ 320

3. NET LOSS PER COMMON SHARE (D

3. NET LOSS PER COMMON SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
NET LOSS PER COMMON SHARE
Net loss	$ (4,567)	$ (5,231)	$ (8,776)	$ (11,307)
Weighted average shares - Basic	24,229	23,617	24,162	23,529
Weighted average shares - Dilutive	24,229	23,617	24,162	23,529
Net loss per common share - Basic	$ (0.19)	$ (0.22)	$ (0.36)	$ (0.48)
Net loss per common share - Diluted	$ (0.19)	$ (0.22)	$ (0.36)	$ (0.48)

3. NET LOSS PER COMMON SHARE -

3. NET LOSS PER COMMON SHARE - Shares underlying options (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
NET LOSS PER COMMON SHARE
Shares underlying options and ESPP shares	6,266	5,253	5,828	4,747

4. BALANCE SHEET DETAIL - Inven

4. BALANCE SHEET DETAIL - Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
Inventories:
Work-in-progress	$ 2,976	$ 1,561
Finished goods	1,461	2,764
Inventory at distributors	12	18
Total inventory	$ 4,449	$ 4,343

4. BALANCE SHEET DETAIL - Accou

4. BALANCE SHEET DETAIL - Accounts receivable, net (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
Accounts receivable, net:
Accounts receivable	$ 3,693	$ 3,785
Less: Allowances for doubtful accounts and other	(40)	(120)
Total accounts receivable, net	$ 3,653	$ 3,665

4. BALANCE SHEET DETAIL - Prepa

4. BALANCE SHEET DETAIL - Prepaid expenses and other current assets (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
Prepaid expenses and other current assets:
Prepaid tooling and masks	$ 460	$ 584
Other receivables	162	291
Other prepaid expenses and other current assets	1,277	612
Total prepaid expenses and other current assets	$ 1,899	$ 1,487

4. BALANCE SHEET DETAIL - Prope

4. BALANCE SHEET DETAIL - Property and equipment, net (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Mar. 31, 2021
Property and equipment, net:
Property and equipment, gross	$ 31,048,000		$ 31,048,000		$ 31,070,000
Less: Accumulated depreciation	(23,713,000)		(23,713,000)		(23,742,000)
Total property and equipment, net	7,335,000		7,335,000		7,328,000
Depreciation	197,000	$ 287,000	384,000	$ 590,000
Computer and other equipment
Property and equipment, net:
Property and equipment, gross	18,025,000		18,025,000		18,359,000
Software
Property and equipment, net:
Property and equipment, gross	4,409,000		4,409,000		4,097,000
Land
Property and equipment, net:
Property and equipment, gross	3,900,000		3,900,000		3,900,000
Building and building improvements
Property and equipment, net:
Property and equipment, gross	3,735,000		3,735,000		3,735,000
Furniture and fixtures
Property and equipment, net:
Property and equipment, gross	102,000		102,000		102,000
Leasehold improvements
Property and equipment, net:
Property and equipment, gross	$ 877,000		$ 877,000		$ 877,000

4. BALANCE SHEET DETAIL - Intan

4. BALANCE SHEET DETAIL - Intangible assets (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Mar. 31, 2021
Gross Carrying Amount	$ 4,890,000		$ 4,890,000		$ 4,890,000
Accumulated Amortization	(2,751,000)		(2,751,000)		(2,634,000)
Total	2,139,000		2,139,000		2,256,000
Amortization of intangible assets	58,000	$ 59,000	117,000	$ 117,000
Product designs
Gross Carrying Amount	590,000		590,000		590,000
Accumulated Amortization	(590,000)		(590,000)		(590,000)
Patents
Gross Carrying Amount	4,220,000		4,220,000		4,220,000
Accumulated Amortization	(2,081,000)		(2,081,000)		(1,964,000)
Total	2,139,000		2,139,000		2,256,000
Software.
Gross Carrying Amount	80,000		80,000		80,000
Accumulated Amortization	$ (80,000)		$ (80,000)		$ (80,000)

4. BALANCE SHEET DETAIL - Futur

4. BALANCE SHEET DETAIL - Future amortization (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
Fiscal year ending March 31,
2022 (Remaining six months)	$ 117
2023	233
2024	233
2025	233
2026	233
Thereafter	1,090
Total	$ 2,139	$ 2,256

4. BALANCE SHEET DETAIL - Accru

4. BALANCE SHEET DETAIL - Accrued expenses and other liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
Accrued expenses and other liabilities:
Accrued compensation	$ 4,015	$ 4,173
Accrued commissions	242	217
Income taxes payable	53	198
Miscellaneous accrued expenses	816	932
Total accrued expenses and other liabilities	$ 5,126	$ 5,520

5. GOODWILL (Details)

5. GOODWILL (Details) $ in Thousands	6 Months Ended	12 Months Ended
5. GOODWILL (Details) $ in Thousands	Sep. 30, 2021USD ($)segment	Mar. 31, 2021USD ($)
GOODWILL
Number of reporting units \| segment	1
Goodwill	$ 7,978	$ 7,978
Goodwill impairment		$ 0

6. INCOME TAXES - Unrecognized

6. INCOME TAXES - Unrecognized tax benefits (Details) - USD ($)	3 Months Ended			6 Months Ended		12 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Jun. 30, 2020	Sep. 30, 2021	Sep. 30, 2020	Mar. 31, 2021
Unrecognized tax benefits, current	$ 0			$ 0		$ 0
Deferred tax assets unrecognized tax benefit	3,400,000			3,400,000
Valuation allowance	(14,500,000)			(14,500,000)		(13,000,000)
Net deferred tax asset	14,500,000			14,500,000		13,000,000
Cash, cash equivalents and short-term and long-term investments	53,500,000			53,500,000
Provision (benefit) for income taxes	42,000	$ 62,000		(130,000)	$ 549,000
Income (loss) before income taxes	$ (4,525,000)	(5,169,000)		$ (8,906,000)	$ (10,758,000)
Tax benefit, CARES Act						$ 378,000
Effective annual income tax rate (as a percentage)				0.49%	(3.30%)
Israel Tax Authority [Member]
Provision (benefit) for income taxes			$ 479,000
Income tax payment		$ 713,000
Israel Tax Authority [Member] \| Accrued expenses and other liabilities
Income taxes, accrued			$ 713,000

7. FINANCIAL INSTRUMENTS (Detai

7. FINANCIAL INSTRUMENTS (Details) $ in Thousands	Sep. 30, 2021USD ($)	Mar. 31, 2021USD ($)	Nov. 23, 2015
Fair value measurements
Discount rate		14.5	14.8
Short-term investments	$ 9,791	$ 9,717
Long-term investments	2,759	$ 5,792
Minimum
Fair value measurements
Probability rate		0
Maximum
Fair value measurements
Probability rate		0.15
Level 2 \| Marketable securities
Fair value measurements
Short-term investments	9,800
Long-term investments	2,800
Other accrued expenses
Fair value measurements
Contingent consideration liability	4,300	$ 4,200
Recurring
Fair value measurements
Assets	29,545	38,501
Liabilities	4,270	4,225
Recurring \| Money market funds
Fair value measurements
Money market funds	16,995	22,992
Recurring \| Marketable securities
Fair value measurements
Marketable securities	12,550	15,509
Recurring \| Level 1
Fair value measurements
Assets	16,995	22,992
Recurring \| Level 1 \| Money market funds
Fair value measurements
Money market funds	16,995	22,992
Recurring \| Level 2
Fair value measurements
Assets	12,550	15,509
Recurring \| Level 2 \| Marketable securities
Fair value measurements
Marketable securities	12,550	15,509
Recurring \| Level 3
Fair value measurements
Liabilities	$ 4,270	$ 4,225

7. FINANCIAL INSTRUMENTS - Chan

7. FINANCIAL INSTRUMENTS - Change in contingent consideration (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Changes in fair value of contingent consideration
Contingent consideration, beginning of period	$ 4,225	$ 3,898
Change due to accretion	45	50
Contingent consideration, end of period	$ 4,270	$ 3,948

7. FINANCIAL INSTRUMENTS - Avai

7. FINANCIAL INSTRUMENTS - Available-for-sale investments (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
Available-for-sale investments
Cost	$ 12,527
Total	12,550
Short-term investments
Available-for-sale investments
Cost	9,776	$ 9,679
Gross Unrealized Gains	15	38
Total	9,791	9,717
Short-term investments \| Certificates of deposit
Available-for-sale investments
Cost	4,750	1,495
Gross Unrealized Gains	6	13
Total	4,756	1,508
Short-term investments \| Supranational obligations
Available-for-sale investments
Cost	2,021	2,273
Gross Unrealized Gains		1
Total	2,021	2,274
Short-term investments \| Agency bonds
Available-for-sale investments
Cost	3,005	5,911
Gross Unrealized Gains	9	24
Total	3,014	5,935
Long-term investment
Available-for-sale investments
Cost	2,750	5,774
Gross Unrealized Gains	10	20
Gross Unrealized Losses	(1)	(2)
Total	2,759	5,792
Long-term investment \| Certificates of deposit
Available-for-sale investments
Cost	2,750	3,750
Gross Unrealized Gains	10	19
Gross Unrealized Losses	(1)	(1)
Total	$ 2,759	3,768
Long-term investment \| Supranational obligations
Available-for-sale investments
Cost		1,023
Gross Unrealized Losses		(1)
Total		1,022
Long-term investment \| Agency bonds
Available-for-sale investments
Cost		1,001
Gross Unrealized Gains		1
Total		$ 1,002

7. FINANCIAL INSTRUMENTS - Unre

7. FINANCIAL INSTRUMENTS - Unrealized losses and fair value (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
Fair Value
Less Than 12 Months, Fair Value	$ 6,019	$ 3,536
Total, Fair Value	6,019	3,536
Unrealized Loss
Less Than 12 Months, Unrealized Loss	(2)	(2)
Total, Unrealized Loss	(2)	(2)
Certificates of deposit
Fair Value
Less Than 12 Months, Fair Value	3,998	1,499
Total, Fair Value	3,998	1,499
Unrealized Loss
Less Than 12 Months, Unrealized Loss	(2)	(1)
Total, Unrealized Loss	(2)	(1)
Supranational obligations
Fair Value
Less Than 12 Months, Fair Value	2,021	2,037
Total, Fair Value	$ 2,021	2,037
Unrealized Loss
Less Than 12 Months, Unrealized Loss		(1)
Total, Unrealized Loss		$ (1)

7. FINANCIAL INSTRUMENTS - Othe

7. FINANCIAL INSTRUMENTS - Other information (Details) - USD ($)	6 Months Ended
	Sep. 30, 2021	Mar. 31, 2021
Other information
Maximum maturity period of investment portfolio	3 years
Deferred tax liability related to unrecognized gains and losses on short-term and long-term investments	$ 7,000	$ 15,000

7. FINANCIAL INSTRUMENTS - Cont

7. FINANCIAL INSTRUMENTS - Contractual maturities (Details) $ in Thousands	Sep. 30, 2021USD ($)
FINANCIAL INSTRUMENTS
Maturing within one year, Cost	$ 9,777
Maturing in one to three years, Cost	2,750
Total	12,527
Maturing within one year, Fair Value	9,791
Maturing in one to three years, Fair Value	2,759
Total	$ 12,550

8. LEASES - Operating leases (D

8. LEASES - Operating leases (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2021	Mar. 31, 2021
Leases
Operating lease, option to extend	true
Operating lease, renewal term	5 years
Operating lease right-of-use assets	$ 471	$ 677
Lease liabilities, current	282	375
Lease liabilities, non-current	212	324
Total operating lease liabilities	$ 494	$ 699
Minimum
Leases
Operating lease, term of lease	1 month
Maximum
Leases
Operating lease, term of lease	23 months

8. LEASES - Lease costs (Detail

8. LEASES - Lease costs (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
8. LEASES - Lease costs (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Components of lease costs
Operating lease cost	$ 102	$ 167	$ 227	$ 332
Short-term lease cost	82	8	113	16
Lease costs	$ 184	$ 175	$ 340	$ 348

8. LEASES - Other information (

8. LEASES - Other information (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from operating leases	$ 232	$ 339
Right-of-use assets obtained in exchange for lease obligations - Operating leases		$ 658
Weighted-average remaining lease term (years) - Operating leases	1 year 9 months 21 days	2 years 3 months 3 days
Weighted-average discount rate - Operating leases	4.43%	5.02%

8. LEASES - Maturity of lease l

8. LEASES - Maturity of lease liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2021	Mar. 31, 2021
Maturity of Lease Liabilities
2022 (Remaining six months)	$ 158
2023	253
2024	102
Total	513
Less: Imputed interest	(19)
Total operating lease liabilities	494	$ 699
Current	282	375
Non-current	$ 212	$ 324

9. COMMITMENTS AND CONTINGENC_2

9. COMMITMENTS AND CONTINGENCIES - Product warranties (Details)	6 Months Ended
	Sep. 30, 2021
Product warranties
Warranty period	3 years

10. STOCK-BASED COMPENSATION -

10. STOCK-BASED COMPENSATION - Stock option activities (Details)	6 Months Ended
	Sep. 30, 2021USD ($)$ / sharesshares
STOCK-BASED COMPENSATION
Shares available for grant, Beginning	1,331,562
Options reserved (in shares)	4,000,000
Granted (in shares)	(901,603)
Forfeited (in shares)	154,250
Shares available for grant, Ending	4,584,209
Number of Shares Underlying Options Outstanding
Balance at the beginning of the period (in shares)	8,432,877
Granted (in shares)	901,603
Exercised (in shares)	(236,844)
Forfeited (in shares)	(427,367)
Balance at the end of the period (in shares)	8,670,269
Options vested and exercisable (in shares)	5,434,556
Options vested and expected to vest (in shares)	8,565,001
Weighted Average Remaining Contractual Life
Options weighted average remaining contractual life	5 years 9 months 29 days
Options vested and expected to vest	5 years 9 months 14 days
Options vested and exercisable	4 years 2 months 4 days
Weighted Average Exercise Price
Balance at the beginning of the period (in dollars per share) \| $ / shares	$ 6.17
Granted (in dollars per share) \| $ / shares	5.62
Exercised (in dollars per share) \| $ / shares	5.24
Forfeited (in dollars per share) \| $ / shares	6.63
Balance at the end of the period (in dollars per share) \| $ / shares	6.11
Options vested and exercisable (in dollars per share) \| $ / shares	5.78
Options vested and expected to vest (in dollars per share) \| $ / shares	$ 6.11
Intrinsic Value
Exercised (in dollars) \| $	$ 106,676
Options vested and exercisable (in dollars) \| $	1,419,514
Options vested and expected to vest (in dollars) \| $	$ 1,419,514

10. STOCK-BASED COMPENSATION _2

10. STOCK-BASED COMPENSATION - Options outstanding by exercise price (Details) - $ / shares	6 Months Ended
	Sep. 30, 2021	Mar. 31, 2021
Options outstanding by exercise price
Exercise Price (in dollars per share)	$ 6.11	$ 6.17
Number of Shares Underlying Options Outstanding (in shares)	8,670,269
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 6.11
Options Outstanding, Weighted Average Remaining Contractual Life	5 years 9 months 29 days
Options Exercisable, Number Vested and Exercisable (in shares)	5,434,556
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 5.78
$3.40 - $4.90
Options outstanding by exercise price
Exercise Price, low end of range (in dollars per share)	3.40
Exercise Price, high end of range (in dollars per share)	$ 4.90
Number of Shares Underlying Options Outstanding (in shares)	875,582
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 4.06
Options Outstanding, Weighted Average Remaining Contractual Life	2 years 6 months 10 days
Options Exercisable, Number Vested and Exercisable (in shares)	875,582
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 4.06
$4.92 - $4.99
Options outstanding by exercise price
Exercise Price, low end of range (in dollars per share)	4.92
Exercise Price, high end of range (in dollars per share)	$ 4.99
Number of Shares Underlying Options Outstanding (in shares)	1,094,351
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 4.98
Options Outstanding, Weighted Average Remaining Contractual Life	4 years 3 months
Options Exercisable, Number Vested and Exercisable (in shares)	1,094,351
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 4.98
$5.13 - $5.58
Options outstanding by exercise price
Exercise Price, low end of range (in dollars per share)	5.13
Exercise Price, high end of range (in dollars per share)	$ 5.58
Number of Shares Underlying Options Outstanding (in shares)	1,335,061
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 5.42
Options Outstanding, Weighted Average Remaining Contractual Life	6 years 8 months 8 days
Options Exercisable, Number Vested and Exercisable (in shares)	639,468
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 5.24
$5.59 - $5.83
Options outstanding by exercise price
Exercise Price, low end of range (in dollars per share)	5.59
Exercise Price, high end of range (in dollars per share)	$ 5.83
Number of Shares Underlying Options Outstanding (in shares)	1,230,477
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 5.77
Options Outstanding, Weighted Average Remaining Contractual Life	6 years 2 months 4 days
Options Exercisable, Number Vested and Exercisable (in shares)	502,572
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 5.70
$5.91 - $6.63
Options outstanding by exercise price
Exercise Price, low end of range (in dollars per share)	5.91
Exercise Price, high end of range (in dollars per share)	$ 6.63
Number of Shares Underlying Options Outstanding (in shares)	868,469
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 6.23
Options Outstanding, Weighted Average Remaining Contractual Life	5 years 10 months 20 days
Options Exercisable, Number Vested and Exercisable (in shares)	670,738
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 6.26
$6.70 - $6.86
Options outstanding by exercise price
Exercise Price, low end of range (in dollars per share)	6.70
Exercise Price, high end of range (in dollars per share)	$ 6.86
Number of Shares Underlying Options Outstanding (in shares)	1,124,317
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 6.77
Options Outstanding, Weighted Average Remaining Contractual Life	5 years 5 months 19 days
Options Exercisable, Number Vested and Exercisable (in shares)	642,968
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 6.81
$7.26 - $7.53
Options outstanding by exercise price
Exercise Price, low end of range (in dollars per share)	7.26
Exercise Price, high end of range (in dollars per share)	$ 7.53
Number of Shares Underlying Options Outstanding (in shares)	941,048
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 7.36
Options Outstanding, Weighted Average Remaining Contractual Life	7 years 3 days
Options Exercisable, Number Vested and Exercisable (in shares)	621,280
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 7.28
$7.65 - $8.06
Options outstanding by exercise price
Exercise Price, low end of range (in dollars per share)	7.65
Exercise Price, high end of range (in dollars per share)	$ 8.06
Number of Shares Underlying Options Outstanding (in shares)	508,661
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 7.84
Options Outstanding, Weighted Average Remaining Contractual Life	7 years 9 months 21 days
Options Exercisable, Number Vested and Exercisable (in shares)	235,594
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 7.79
$8.09
Options outstanding by exercise price
Exercise Price (in dollars per share)	$ 8.09
Number of Shares Underlying Options Outstanding (in shares)	82,160
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 8.09
Options Outstanding, Weighted Average Remaining Contractual Life	6 years 3 months 29 days
Options Exercisable, Number Vested and Exercisable (in shares)	61,557
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 8.09
$8.30
Options outstanding by exercise price
Exercise Price (in dollars per share)	$ 8.30
Number of Shares Underlying Options Outstanding (in shares)	610,143
Options Outstanding, Weighted Average Exercise Price (in dollars per share)	$ 8.30
Options Outstanding, Weighted Average Remaining Contractual Life	7 years 9 months 25 days
Options Exercisable, Number Vested and Exercisable (in shares)	90,446
Options Exercisable, Weighted Average Exercise Price (in dollars per share)	$ 8.30

10. STOCK-BASED COMPENSATION _3

10. STOCK-BASED COMPENSATION - Stock-based compensation expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Stock-based compensation expense by line item
Stock-based compensation expense	$ 716	$ 653	$ 1,539	$ 1,408
Cost of revenues
Stock-based compensation expense by line item
Stock-based compensation expense	64	84	134	172
Research and development
Stock-based compensation expense by line item
Stock-based compensation expense	418	353	888	766
Selling, general and administrative
Stock-based compensation expense by line item
Stock-based compensation expense	$ 234	$ 216	$ 517	$ 470

10. STOCK-BASED COMPENSATION _4

10. STOCK-BASED COMPENSATION - Weighted average assumptions (Details) - USD ($)	3 Months Ended		6 Months Ended
	Sep. 30, 2021	Sep. 30, 2020	Sep. 30, 2021	Sep. 30, 2020
Other information
Income tax benefit recognized from allocation of share-based compensation expense			$ 0
Windfall tax benefits realized			0
Unrecognized compensation costs	$ 5,900,000		$ 5,900,000
Weighted average period of recognition of unrecognized compensation costs			2 years 4 months 6 days
Weighted average fair value per underlying share of options granted (in dollars per share)	$ 2.34	$ 2.24	$ 2.35	$ 2.34
Employee stock options
Stock-based compensation
Risk-free interest rate (as a percent)	0.66%	0.22%
Risk-free interest rate, low end of range (as a percent)			0.66%	0.22%
Risk-free interest rate, high end of range (as a percent)			0.80%	0.36%
Expected life	5 years	5 years	5 years	5 years
Volatility (as a percent)	48.10%	44.60%
Volatility, low end of range (as a percent)			47.70%	41.90%
Volatility, high end of range (as a percent)			48.10%	44.60%
Employee stock purchase plan options
Stock-based compensation
Risk-free interest rate (as a percent)			0.04%	0.15%
Expected life			6 months	6 months
Volatility (as a percent)			57.40%	67.10%

11. RELATED PARTY TRANSACTION (

11. RELATED PARTY TRANSACTION (Details) - USD ($)	6 Months Ended
11. RELATED PARTY TRANSACTION (Details) - USD ($)	Sep. 30, 2021	Sep. 30, 2020
Related Party Transaction [Line Items]
Amount owed to WNC	$ 69,000	$ 30,000
Non-Recurring Engineering Services \| Wistron Neweb Corp
Related Party Transaction [Line Items]
Non-recurring engineering service expense	$ 80,000	$ 84,000

12. SEGMENT AND GEOGRAPHIC IN_3

12. SEGMENT AND GEOGRAPHIC INFORMATION - Revenue (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2021USD ($)	Sep. 30, 2020USD ($)	Sep. 30, 2021USD ($)segment	Sep. 30, 2020USD ($)
Net revenues by geographic area
Net revenues	$ 7,797	$ 6,659	$ 16,588	$ 13,280
Number of reporting units \| segment			1
United States
Net revenues by geographic area
Net revenues	3,908	3,345	$ 8,442	5,813
China
Net revenues by geographic area
Net revenues	309	365	630	1,002
Singapore
Net revenues by geographic area
Net revenues	1,446	597	3,031	1,836
Netherlands
Net revenues by geographic area
Net revenues	1,080	1,599	2,448	3,132
Germany
Net revenues by geographic area
Net revenues	813	560	1,389	1,038
Rest of the world
Net revenues by geographic area
Net revenues	$ 241	$ 193	$ 648	$ 459