Cover
Cover - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2022 | May 27, 2022 | Sep. 30, 2021 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Mar. 31, 2022 | ||
Current Fiscal Year End Date | --03-31 | ||
Document Transition Report | false | ||
Entity File Number | 001-39691 | ||
Entity Registrant Name | BARK, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 83-4109918 | ||
Entity Address, Address Line One | 221 Canal Street | ||
Entity Address, City or Town | New York | ||
Entity Address, State or Province | NY | ||
Entity Address, Postal Zip Code | 10013 | ||
City Area Code | 855 | ||
Local Phone Number | 501-2275 | ||
Entity Information, Former Legal or Registered Name | The Original BARK Company, Inc. | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 709.7 | ||
Entity Common Stock, Shares Outstanding (in shares) | 175,308,830 | ||
Documents Incorporated by Reference | None. | ||
Central Index Key | 0001819574 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2022 | ||
Amendment Flag | false | ||
Common Stock, par value $0.0001 | |||
Document Information [Line Items] | |||
Title of 12(b) Security | Common Stock, par value $0.0001 | ||
Trading Symbol | BARK | ||
Security Exchange Name | NYSE | ||
Warrants, each warrant exercisable for one share of Common Stock at an exercise price of $11.50 per share | |||
Document Information [Line Items] | |||
Title of 12(b) Security | Warrants, each warrant exercisable for one share of Common Stock at an exercise price of $11.50 per share | ||
Trading Symbol | BARK WS | ||
Security Exchange Name | NYSE |
Audit Information
Audit Information | 12 Months Ended |
Mar. 31, 2022 | |
Auditor Information [Abstract] | |
Auditor Firm ID | 34 |
Auditor Name | Deloitte & Touche LLP |
Auditor Location | New York, New York |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 199,397 | $ 38,278 |
Accounts receivable—net | 9,752 | 8,927 |
Prepaid expenses and other current assets | 5,878 | 7,409 |
Inventory | 153,115 | 77,454 |
Total current assets | 368,142 | 132,068 |
PROPERTY AND EQUIPMENT—NET | 28,128 | 13,465 |
INTANGIBLE ASSETS—NET | 3,837 | 2,070 |
OPERATING LEASE RIGHT-OF-USE ASSETS | 29,552 | 0 |
OTHER NONCURRENT ASSETS | 4,402 | 3,260 |
TOTAL ASSETS | 434,061 | 150,863 |
CURRENT LIABILITIES: | ||
Accounts payable | 36,834 | 50,501 |
Operating lease liabilities, current | 5,060 | 0 |
Accrued and other current liabilities | 35,168 | 44,605 |
Deferred revenue | 31,549 | 27,177 |
Total current liabilities | 108,611 | 122,283 |
LONG-TERM DEBT | 76,190 | 115,729 |
OPERATING LEASE LIABILITIES | 28,847 | 0 |
OTHER LONG-TERM LIABILITIES | 3,352 | 11,834 |
Total liabilities | 217,000 | 249,846 |
COMMITMENTS AND CONTINGENCIES | ||
REDEEMABLE CONVERTIBLE PREFERRED STOCK: | ||
Redeemable convertible preferred stock | 0 | 59,987 |
STOCKHOLDERS’ EQUITY (DEFICIT): | ||
Common stock, par value $0.0001 per share—500,000,000 shares authorized; 175,290,143 shares issued and outstanding as of March 31, 2022 and 148,622,942 shares authorized; 48,071,777 shares issued and outstanding as of March 31, 2021. | 1 | 0 |
Additional paid-in capital | 465,313 | 20,984 |
Accumulated deficit | (248,253) | (179,954) |
Total stockholders’ equity (deficit) | 217,061 | (158,970) |
TOTAL LIABILITIES, REDEEMABLE CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS’ EQUITY (DEFICIT) | 434,061 | 150,863 |
Convertible Redeemable Preferred Stock | ||
REDEEMABLE CONVERTIBLE PREFERRED STOCK: | ||
Redeemable convertible preferred stock | $ 0 | $ 59,987 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) | Mar. 31, 2022 | Mar. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Convertible preferred stock, par value (USD per share) | $ 0.0001 | $ 0.0001 |
Convertible preferred stock, liquidation preference | $ 0 | $ 62,800,000 |
Convertible preferred stock, shares authorized (in shares) | 0 | 8,010,560 |
Convertible preferred stock, shares issued (in shares) | 0 | 7,752,515 |
Convertible preferred stock, shares outstanding (in shares) | 0 | 7,752,515 |
Common stock, par value (USD per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized (in shares) | 500,000,000 | 148,622,942 |
Common stock, shares issued (in shares) | 175,290,143 | 48,071,777 |
Common stock, shares outstanding (in shares) | 175,290,143 | 48,071,777 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Income Statement [Abstract] | |||
REVENUE | $ 507,406 | $ 378,604 | $ 224,335 |
COST OF REVENUE | 225,300 | 152,664 | 88,921 |
Gross profit | 282,106 | 225,940 | 135,414 |
OPERATING EXPENSES: | |||
General and administrative | 301,870 | 179,510 | 115,893 |
Advertising and marketing | 74,417 | 67,029 | 46,147 |
Total operating expenses | 376,287 | 246,539 | 162,040 |
LOSS FROM OPERATIONS | (94,181) | (20,599) | (26,626) |
INTEREST EXPENSE | (5,464) | (10,923) | (5,421) |
OTHER INCOME (EXPENSE)—NET | 31,346 | 131 | 679 |
NET LOSS BEFORE INCOME TAXES | (68,299) | (31,391) | (31,368) |
PROVISION FOR INCOME TAXES | 0 | 0 | 0 |
NET LOSS AND COMPREHENSIVE LOSS | (68,299) | (31,391) | (31,368) |
NET LOSS AND COMPREHENSIVE LOSS | $ (68,299) | $ (31,391) | $ (31,368) |
Net loss per common share attributable to common stockholders - basic (USD per share) | $ (0.44) | $ (0.68) | $ (0.70) |
Net loss common per share attributable to common stockholders - diluted (USD per share) | $ (0.44) | $ (0.68) | $ (0.70) |
Weighted average common shares used to compute net loss per share attributable to common stockholders - basic (in shares) | 156,201,601 | 46,297,847 | 45,110,365 |
Weighted average common shares used to compute net loss per share attributable to common stockholders - diluted (in shares) | 156,201,601 | 46,297,847 | 45,110,365 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT) - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | Previously Reported | Revision of Prior Period, Reclassification, Adjustment | Common Stock | Common StockPreviously Reported | Common StockRevision of Prior Period, Reclassification, Adjustment | Treasury Stock | Treasury StockPreviously Reported | Treasury StockRevision of Prior Period, Reclassification, Adjustment | Additional Paid-in Capital | Additional Paid-in CapitalPreviously Reported | Additional Paid-in CapitalRevision of Prior Period, Reclassification, Adjustment | Accumulated Deficit | Accumulated DeficitCumulative Effect, Period of Adoption, Adjustment | Accumulated DeficitPreviously Reported |
Convertible Redeemable Preferred stock, beginning balance (in shares) at Mar. 31, 2019 | 7,752,515 | 7,752,515 | ||||||||||||||
Convertible Redeemable Preferred Stock, beginning balance at Mar. 31, 2019 | $ 59,897 | $ 59,897 | ||||||||||||||
Convertible Redeemable Preferred Stock, ending balance (in shares) at Mar. 31, 2020 | 7,752,515 | |||||||||||||||
Convertible Redeemable Preferred Stock, ending balance at Mar. 31, 2020 | $ 59,987 | |||||||||||||||
Shares outstanding, beginning balance (in shares) at Mar. 31, 2019 | 44,803,937 | 5,124,896 | 39,679,041 | 0 | (259,953) | 259,953 | ||||||||||
Beginning balance at Mar. 31, 2019 | (105,992) | $ (121) | $ (105,992) | $ 0 | $ 0 | $ 0 | $ 0 | $ (4,755) | $ 4,755 | $ 11,082 | $ 15,837 | $ (4,755) | $ (117,074) | $ (121) | $ (117,074) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||
Net loss | (31,368) | (31,368) | ||||||||||||||
Issuance for stock options exercised (in shares) | 430,125 | |||||||||||||||
Issuance for stock options exercised | 277 | 277 | ||||||||||||||
Vesting of restricted stock units (in shares) | 197,722 | |||||||||||||||
Vesting of restricted stock units | 271 | 271 | ||||||||||||||
Stock-based compensation | 1,546 | 1,546 | ||||||||||||||
Shares outstanding, ending balance (in shares) at Mar. 31, 2020 | 45,431,784 | 0 | ||||||||||||||
Ending balance at Mar. 31, 2020 | $ (135,387) | $ 0 | $ 0 | 13,176 | (148,563) | |||||||||||
Convertible Redeemable Preferred Stock, ending balance (in shares) at Mar. 31, 2021 | 7,752,515 | |||||||||||||||
Convertible Redeemable Preferred Stock, ending balance at Mar. 31, 2021 | $ 59,987 | |||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||
Net loss | (31,391) | (31,391) | ||||||||||||||
Issuance for stock options exercised (in shares) | 2,337,538 | |||||||||||||||
Issuance for stock options exercised | 1,215 | 1,215 | ||||||||||||||
Restricted shares vesting (in shares) | 306,084 | |||||||||||||||
Restricted shares vesting | 1,098 | 1,098 | ||||||||||||||
Stock-based compensation | 5,424 | 5,424 | ||||||||||||||
Modification of a Warrant | 80 | 80 | ||||||||||||||
Repurchase of Common Stock (in shares) | (3,629) | |||||||||||||||
Repurchase of Common Stock | (9) | (9) | ||||||||||||||
Shares outstanding, ending balance (in shares) at Mar. 31, 2021 | 48,071,777 | 0 | ||||||||||||||
Ending balance at Mar. 31, 2021 | $ (158,970) | $ 0 | $ 0 | 20,984 | (179,954) | |||||||||||
Increase (Decrease) in Temporary Equity [Roll Forward] | ||||||||||||||||
Conversion of Preferred Shares (in shares) | (7,752,515) | |||||||||||||||
Conversion of Preferred Stock | $ (59,987) | |||||||||||||||
Net equity infusion from the Merger (in shares) | 0 | |||||||||||||||
Net equity infusion from the Merger | $ 0 | |||||||||||||||
Convertible Redeemable Preferred Stock, ending balance (in shares) at Mar. 31, 2022 | 0 | |||||||||||||||
Convertible Redeemable Preferred Stock, ending balance at Mar. 31, 2022 | $ 0 | |||||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||
Net loss | $ (68,299) | (68,299) | ||||||||||||||
Issuance for stock options exercised (in shares) | 7,322,815 | 7,322,814 | ||||||||||||||
Issuance for stock options exercised | $ 3,300 | 3,300 | ||||||||||||||
Issuance for warrants exercised (in shares) | 1,931,621 | |||||||||||||||
Issuance for warrants exercised | 1,019 | 1,019 | ||||||||||||||
Restricted shares vesting (in shares) | 7,307 | |||||||||||||||
Restricted shares held for taxes (in shares) | (20,546) | |||||||||||||||
Restricted shares held for taxes | (222) | (222) | ||||||||||||||
Cumulative translation adjustment | 0 | 0 | ||||||||||||||
Stock-based compensation | 17,861 | 17,861 | ||||||||||||||
Conversion of Preferred Stock (in shares) | 7,752,515 | |||||||||||||||
Conversion of Preferred Stock | 59,987 | 59,987 | ||||||||||||||
Conversion of Convertible Notes (in shares) | 1,135,713 | |||||||||||||||
Conversion of Convertible Notes | 12,128 | 12,128 | ||||||||||||||
PIPE Issuance (in shares) | 20,000,000 | |||||||||||||||
PIPE Issuance | 200,000 | 200,000 | ||||||||||||||
Net equity infusion from the Merger (in shares) | 89,088,942 | |||||||||||||||
Net equity infusion from the Merger | 150,257 | $ 1 | 150,256 | |||||||||||||
Shares outstanding, ending balance (in shares) at Mar. 31, 2022 | 175,290,143 | 0 | ||||||||||||||
Ending balance at Mar. 31, 2022 | $ 217,061 | $ 1 | $ 0 | $ 465,313 | $ (248,253) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net loss | $ (68,299,000) | $ (31,391,000) | $ (31,368,000) |
Adjustments to reconcile net loss to cash used in operating activities: | |||
Depreciation & amortization | 4,403,000 | 2,405,000 | 1,397,000 |
Amortization of deferred financing fees and debt discount | 829,000 | 3,508,000 | 1,324,000 |
Bad debt expense | 307,000 | 52,000 | 56,000 |
Stock-based compensation expense | 17,861,000 | 6,522,000 | 1,817,000 |
Loss on extinguishment of debt | 2,024,000 | 0 | 0 |
Increase inventory reserves | 7,223,000 | 0 | 0 |
Loss on exercise of equity classified warrants | 101,000 | 0 | 0 |
Change in fair value of warrant liabilities and derivatives | (33,196,000) | 931,000 | 96,000 |
Paid in kind interest on convertible notes | 4,171,000 | 0 | 0 |
Amortization of right-of use-assets | 3,836,000 | 0 | 0 |
Accounts receivable | (1,115,000) | (5,049,000) | (2,433,000) |
Inventory | (82,884,000) | (37,758,000) | (12,979,000) |
Prepaid expenses and other current assets | (1,055,000) | (2,173,000) | (969,000) |
Other assets | (314,000) | (402,000) | 0 |
Accounts payable and accrued expenses | (13,503,000) | 16,543,000 | 11,937,000 |
Deferred revenue | 4,372,000 | 13,894,000 | 1,072,000 |
Operating lease liabilities | (4,541,000) | 0 | 0 |
Other liabilities | (12,558,000) | 13,300,000 | 10,384,000 |
Net cash used in operating activities | (172,338,000) | (19,618,000) | (19,666,000) |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Capital expenditures | (21,172,000) | (4,825,000) | (4,677,000) |
Net cash used in investing activities | (21,172,000) | (4,825,000) | (4,677,000) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Payments of finance fees | (642,000) | (734,000) | (30,000) |
Payments of transaction costs | (25,244,000) | (1,297,000) | 0 |
Payment of deferred underwriting fees | (8,902,000) | 0 | 0 |
Payment of restricted stock units held for taxes | (222,000) | 0 | 0 |
Payment of finance lease obligations | (588,000) | (334,000) | 0 |
Proceeds from equity infusion from the Merger, net of redemptions | 227,092,000 | 0 | 0 |
Proceeds from PIPE issuance | 200,000,000 | 0 | 0 |
Proceeds from the exercise of stock options | 3,300,000 | 1,215,000 | 277,000 |
Proceeds from the exercise of warrants | 121,000 | 0 | 0 |
Proceeds from convertible notes | 0 | 75,750,000 | 5,367,000 |
Proceeds from debt | 0 | 5,157,000 | 17,564,000 |
Payments to repurchase common stock | 0 | (9,000) | 0 |
Payments of long-term debt | (39,457,000) | (25,250,000) | (500,000) |
Net cash provided by financing activities | 355,458,000 | 54,498,000 | 22,678,000 |
NET INCREASE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH | 161,948,000 | 30,055,000 | (1,665,000) |
CASH, CASH EQUIVALENTS AND RESTRICTED CASH—BEGINNING OF PERIOD | 39,731,000 | 9,676,000 | 11,341,000 |
CASH, CASH EQUIVALENTS AND RESTRICTED CASH—END OF PERIOD | 201,679,000 | 39,731,000 | 9,676,000 |
RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH: | |||
Cash and cash equivalents | 199,397,000 | 38,278,000 | 9,676,000 |
Restricted cash—Prepaid expenses and other current assets | 2,282,000 | 1,453,000 | 0 |
Total cash, cash equivalents and restricted cash | 201,679,000 | 39,731,000 | 9,676,000 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | |||
Purchases of property and equipment included in accounts payable and accrued liabilities | 339,000 | 1,764,000 | 204,000 |
Cash paid for interest | 852,000 | 5,170,000 | 3,026,000 |
NON-CASH INVESTING AND FINANCING ACTIVITIES: | |||
Conversion of preferred stock to common stock | 59,987,000 | 0 | 0 |
Capital contribution related to extinguishment of debt | 536,000 | 0 | 0 |
Issuance of common stock related to cashless exercise of liability classified warrants | 595,000 | 0 | 0 |
Non-cash deferred issuance costs | 0 | 3,000,000 | 0 |
Non-cash deferred transaction costs | 0 | 2,439,000 | 0 |
Non-cash capital lease obligations | 0 | 2,867,000 | 0 |
Issuance of derivatives with debt | 0 | 1,153,000 | 2,692,000 |
Modification of warrant | 0 | 80,000 | 0 |
2025 Convertible Notes | |||
NON-CASH INVESTING AND FINANCING ACTIVITIES: | |||
Issuance of convertible notes | 13,367,000 | 0 | 0 |
Convertible promissory notes | |||
NON-CASH INVESTING AND FINANCING ACTIVITIES: | |||
Issuance of convertible notes | $ 0 | $ 800,000 | $ 0 |
ORGANIZATION AND DESCRIPTION OF
ORGANIZATION AND DESCRIPTION OF BUSINESS | 12 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION AND DESCRIPTION OF BUSINESS | ORGANIZATION AND DESCRIPTION OF BUSINESS BARK, Inc. (the “Company”), a Delaware corporation formerly known as The Original BARK Company and, prior to the Merger, as defined below, Northern Star Acquisition Corp. ("Northern Star") , is an omnichannel brand serving dogs across the four key categories of Play, Food, Health and Home. The Company is located and headquartered in New York, New York. On June 1, 2021 (the “Closing Date”), Northern Star completed the acquisition of Barkbox, Inc. (“Legacy BARK”), a Delaware corporation, pursuant to that certain Agreement and Plan of Reorganization (the “Merger Agreement”), dated December 16, 2020, by and among Northern Star, NSAC Merger Sub Corp., a Delaware corporation and wholly-owned subsidiary of Northern Star (“Merger Sub”), and Legacy BARK. At the Closing Date, Merger Sub merged with and into Legacy BARK, with Legacy BARK surviving the merger as a wholly owned subsidiary of Northern Star (the “Merger” and, collectively with the other transactions described in the Merger Agreement, the “Business Combination”). Also at the Closing Date, Northern Star changed its name to “The Original BARK Company.” On November 22, 2021, the Company changed its corporate name from The Original BARK Company to BARK, Inc. The Merger was accounted for as a reverse recapitalization with Legacy BARK as the accounting acquirer and Northern Star as the acquired company for accounting purposes. Accordingly, all historical financial information presented in the audited consolidated financial statements represents the accounts of Legacy BARK and its wholly owned subsidiaries. Prior to the Merger, Northern Star’s ordinary shares and warrants were traded on the New York Stock Exchange (“NYSE”) under the ticker symbols “STIC” and “STIC WS,” respectively. On the Closing Date, the Company's common stock and warrants began trading on the NYSE under the ticker symbols “BARK” and “BARK WS,” respectively. See Note 3, “Merger,” for additional details. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation —The consolidated financial statements and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States of America (US GAAP) as determined by the Financial Accounting Standards Board (“FASB”). Use of Estimates— The preparation of the consolidated financial statements in conformity with US GAAP and regulations of the U.S. Securities and Exchange Commission requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period covered by the financial statements and accompanying notes. The most significant estimates relate to determination of fair value of the Company’s allowance for uncollectible accounts receivable, allowance for inventory obsolescence, stock-based compensation and the valuation of embedded derivatives. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment, and records adjustments when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ from those estimates. Principles of Consolidation —The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. Impact of the COVID-19 Pandemic —The Company is closely monitoring the impact of the COVID-19 pandemic, including the emergence and spread of variants of COVID-19 on the U.S. and global economies and on the Company’s operating results, financial condition and cash flows. The estimates of the impact COVID-19 may have on the Company’s business may change based on new information that may emerge concerning COVID-19, the actions to contain it or treat its impact and the economic impact on local, regional, national and international markets. The Company has not incurred any significant impairment losses in the carrying values of its assets as a result of the COVID-19 pandemic and is not aware of any specific related event or circumstance that could require the Company to revise the estimates reflected in its consolidated financial statements. Liquidity and Capital Resources — Since inception, the Company has funded its operations primarily with cash flows from operations and issuances of preferred stock and convertible notes. On June 1, 2021, the Company completed the Business Combination, and as a result it received gross proceeds of approximately $427.1 million. The Company recognized net loss of $68.3 million, $31.4 million, and $31.4 million for the years ended March 31, 2022, 2021 and 2020, respectively. We expect that the Company’s cash resources will be sufficient to meet our liquidity, capital expenditure, and anticipated working capital requirements through the date which is twelve months from the date of filing this annual report. As of March 31, 2022, the Company had no obligations, assets or liabilities, which would be considered off-balance sheet arrangements. The Company does not participate in transactions that create relationships with unconsolidated entities or financial partnerships, often referred to as variable interest entities, which would have been established for the purpose of facilitating off-balance sheet arrangements. Segments —The Company has determined that its chief executive officer is the chief operating decision maker (“CODM”). The Company operates and manages the business as two reporting segments: Direct to Consumer and Commerce. See Note 15 for further details. Fair Value of Financial Instruments —The Company’s financial instruments, including cash and cash equivalents, accounts receivable, prepaid expenses and other current assets, accounts payable, and accrued expenses, are carried at historical cost. At March 31, 2022 and 2021, the carrying amounts of these instruments approximated their fair values because of their short-term nature. The carrying amounts of the Company’s long-term debt approximate fair value based on consideration of current borrowing rates available to the Company. Assets and liabilities recorded at fair value on a recurring basis in the consolidated balance sheets are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the exchange price that would be received for an asset or an exit price that would be paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The authoritative guidance on fair value measurements establishes a three-tier fair value hierarchy for disclosure of fair value measurements as follows: Level 1 —Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date; Level 2 —Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities; and Level 3 —Unobservable inputs that are supported by little or no market data for the related assets or liabilities. The categorization of a financial instrument within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The following summarizes assets and liabilities that are measured at fair value on a recurring basis, by level, within the fair value hierarchy (in thousands): As of March 31, 2022 Level 1 Level 2 Level 3 Total Liabilities Public warrant liability (1) $ 5,516 $ — $ — $ 5,516 Private warrant liability (1) $ — $ 2,963 $ — $ 2,963 $ 5,516 $ 2,963 $ — $ 8,479 As of March 31, 2021 Level 1 Level 2 Level 3 Total Liabilities Preferred stock warrant liabilities (1) $ — $ — $ 133 $ 133 Derivative liabilities (2) — — $ 4,883 $ 4,883 $ — $ — $ 5,016 $ 5,016 ______________ (1) Included in accrued and other current liabilities. (2) Included in other long-term liabilities. A summary of the activity of the Level 3 liabilities carried at fair value on a recurring basis from March 31, 2021 through March 31, 2022 is as follows: Balance at March 31, 2021 $ 5,016 Change in fair value of preferred stock warrants 664 Settlement of derivative liability due to 2019 & 2020 Notes conversion (4,883) Settlement of warrant liability upon exercise of warrant (797) Balance at March 31, 2022 $ — The Company’s outstanding warrants include publicly-traded warrants (the “Public Warrants”) which were issued as one-third of a warrant per unit issued during the Company’s initial public offering on November 10, 2020 (the “IPO”), and warrants sold in a private placement to Northern Star’s sponsor (the “Private Warrants”). The Company evaluated its warrants under ASC 815-40, Derivatives and Hedging—Contracts in Entity’s Own Equity (ASC 815), and concluded that they do not meet the criteria to be classified in stockholders’ equity. Since the Public Warrants and Private Warrants meet the definition of a derivative under ASC 815, the warrants have been recorded as current liabilities on the balance sheet at fair value upon issuance, with subsequent changes in their respective fair values recognized in other income, net on the consolidated statements of operations and comprehensive income (loss) at each reporting date. See further disclosure on the change in fair value of Public and Private Warrant liabilities within Note 13, “Other Income - Net.” Cash and Cash Equivalents —Cash and cash equivalents represent cash and highly liquid investments with an original contractual maturity at the date of purchase of three months or less. As of March 31, 2022 and 2021, cash consists primarily of checking and operating accounts. Restricted Cash —The Company has restricted cash with its primary bank related lease security deposits. As of March 31, 2022, 2021 and 2020, the Company has classified $2.3 million and $1.5 million and $0, respectively within prepaid expenses and other current assets, as restricted cash. Accounts Receivable — Net —Accounts receivable are stated at net realizable value. On a periodic basis, management evaluates its accounts receivable and determines whether to provide an allowance or if any accounts should be written off based on a past history of write-offs, collections and current credit conditions. A receivable is considered past due if the Company has not received payments based on agreed-upon terms. The Company generally does not require any security or collateral to support its receivables. The Company performs ongoing evaluations of its customers. As of March 31, 2022 and 2021, the Company had an allowance for doubtful accounts of approximately $0.3 million and less than $0.1 million, respectively. Concentration of Credit Risk and Major Customers and Suppliers —Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. The Company maintains cash and cash equivalents with one domestic financial institution of high credit quality. The Company’s accounts receivable are derived from sales contracts with large retail customers. The Company maintains reserves for potential credit losses on customer accounts when deemed necessary. Significant customers are those that represent more than 10% of the Company’s total revenues or gross accounts receivable balance at each balance sheet date. For the fiscal years ended March 31, 2022 and 2021, the Company did not have any customers that accounted for 10% or more of total revenues. The Company had two customers that accounted for 59% and three customers that accounted for 84% of gross accounts receivable as of March 31, 2022 and 2021, respectively. The Company’s accounts receivable relates to sales to customers within the Commerce segment, which represented 11.7% and 11.8% of total revenue for the fiscal years ended March 31, 2022 and 2021, respectively. Significant suppliers are those that represent more than 10% of the Company’s total finished goods purchased or accounts payable at each balance sheet date. During each of the fiscal years ended March 31, 2022 and 2021, the Company had two suppliers that accounted for 27% of total finished goods purchased and two suppliers that accounted for 30% of total finished goods purchased, respectively. The Company had two suppliers that accounted for 26% of the accounts payable balance and two suppliers that accounted for 44% of the accounts payable balance as of March 31, 2022 and 2021, respectively. Property and Equipment — Net —Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation, and amortization is provided for using the straight-line method over the estimated useful lives of the assets. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or estimated useful life of the asset. Depreciation, and amortization expense includes the amortization of finance lease assets. Costs of maintenance and repairs that do not improve or extend the lives of the respective assets are expensed as incurred. Upon retirement or sale, the cost and related accumulated depreciation and amortization are removed from the consolidated balance sheets and the resulting gain or loss is reflected in general and administrative expenses in the consolidated statements of operations and comprehensive loss. The estimated useful lives for significant property and equipment categories are as follows: Asset Class Useful Life Computer equipment, software, and domain names 3 years Warehouse machinery and equipment 5 years Furniture and fixtures 5 years Leased equipment and leasehold improvements Shorter of remaining lease term or estimated useful life Long-Lived Assets and Intangible Assets — Net —The Company capitalizes qualifying internally-developed software development costs incurred during the application development stage, as long as it is probable the project will be completed, and the software will be used to perform the function intended. Capitalization of such costs ceases once the project is substantially complete and ready for its intended use. Costs related to maintenance of internal-use software are expensed in the period incurred. Capitalized costs are amortized over the project’s estimated useful life of three years. Software development costs consist primarily of salary and benefits for the Company’s development staff and third-party contractors’ fees. Capitalized software development costs are included in intangible assets on the consolidated balance sheets and amortized to depreciation expense included in general and administrative expenses on the consolidated statement of operations and comprehensive loss for the fiscal years ended March 31, 2022, 2021, and 2020. The Company assesses long-lived assets for impairment in accordance with the provisions of Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 360, Property, Plant and Equipment . A long-lived asset (asset group) is tested for recoverability whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. The carrying amount of a long-lived asset is not recoverable if it exceeds the sum of the undiscounted future cash flows expected to result from the use and eventual disposition of the asset. The amount of impairment loss, if any, is measured as the difference between the carrying value of the asset and its estimated fair value. The Company estimates fair value based on the best information available, making necessary estimates, judgments and projections. For purposes of these tests, long-lived assets must be grouped with other assets and liabilities at the lowest level for which identifiable cash flows are largely independent of the cash flows of other assets and liabilities. There were no impairments of long-lived assets for the fiscal years ended March 31, 2022, 2021, and 2020. Leases —The Company determine if an arrangement is a lease at inception, and leases are classified at commencement as either operating or finance leases. Right-of-use (“ROU”) assets and lease liabilities are recognized at commencement date based on the present value of the future minimum lease payments over the lease term. ROU assets also include any lease payments made. Operating lease ROU assets are presented separately in current and non-current assets and finance lease ROU assets are included in property and equipment, net on the Company’s consolidated balance sheets. As the Company’s operating leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on information available at the commencement date in determining the present value of future payments. This rate is an estimate of the collateralized borrowing rate the Company would incur on its future lease payments over a similar term based on the information available at commencement date. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. As of March 31, 2022 and 2021, the Company did not include any options to extend leases in its lease terms as it was not reasonably certain to exercise them. The Company’s lease agreements do not contain residual value guarantees or covenants. The Company utilizes certain practical expedients and policy elections available under the lease accounting standard. Leases with a term of one year or less are not recognized on its consolidated balance sheets; the Company recognizes lease expense for these leases on a straight-line basis over the lease term. Additionally, the Company has elected to include non-lease components with lease components for contracts containing real estate leases for the purpose of calculating lease ROU assets and liabilities, to the extent that they are fixed. Non-lease components that are not fixed are expensed as incurred as variable lease payments. The Company’s real estate operating leases typically include non-lease components such as common-area maintenance costs. Income Taxes —The Company accounts for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to operating loss carryforwards and temporary differences between financial statement bases of existing assets and liabilities and their respective income tax bases. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in the income tax rates on deferred tax asset and liability balances is recognized in income in the period that includes the enactment date of such rate change. A valuation allowance is recorded for loss carryforwards and other deferred tax assets when it is determined that it is more likely than not that such loss carryforwards and deferred tax assets will not be realized. The Company recognizes the tax benefits on any uncertain tax positions taken or expected to be taken in the consolidated financial statements when it is more likely than not the position will be realized upon ultimate settlement with the tax authority assuming full knowledge of the position and relevant facts. The tax benefits recognized in the consolidated financial statements from such a position are measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The Company recognizes estimated interest and penalties related to uncertain tax positions as a part of the provision for income taxes. Deferred Financing Costs —Deferred financing fees relate to the external costs incurred to obtain financing for the Company. Deferred financing fees are amortized over the respective term of the financing using the effective interest method. Deferred financing fees are presented on the consolidated balance sheets as a reduction to long-term debt. Derivative Assets and Liabilities —The Company’s convertible note agreement contains features determined to be embedded derivatives from its host. Embedded derivatives are separated from the host contract and carried at fair value when the embedded derivative possesses economic characteristics that are not clearly and closely related to the economic characteristics of the host contract and a separate, standalone instrument with the same terms would qualify as a derivative instrument. The derivative is measured both initially and in subsequent periods at fair value, with changes in fair value recognized on the statement of operations and comprehensive loss. Revenue Recognition —The Company recognizes revenue upon the transfer of control of its products and services to its customers. The recognition of revenue is determined through application of the following five-step model: • Identification of the contract(s) with customers; • Identification of the performance obligation(s) in the contract; • Determination of the transaction price; • Allocation of the transaction price to the performance obligation(s) in the contract; and • Recognition of revenue when or as the performance obligation(s) are satisfied. The Company generates revenue through Direct to Consumer channels, which includes the sale of subscription products, sale of BARK Bright products, sale of BARK Food products, and sale of BarkShop products. See below for additional information on each offering. Toys and Treats Subscriptions —The Company’s principal revenue generating products are a tailored assortment of premium and highly durable toys and treats sold in boxes through BarkBox and Super Chewer monthly subscriptions. Subscription plans are offered as monthly, three month, six month or annual commitments. BarkBox and Super Chewer subscription rates vary based on the type of subscription plan selected by the customer, with Super Chewer’s price point being slightly higher based on additional costs of the more durable product, but resulting in similar gross margins. Each delivered box represents a single performance obligation and the Company bears the risk of loss if a shipment is not received or is damaged. Subscription revenue is recognized at a point in time as control is transferred to the customer upon delivery of each monthly box. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products, which includes an estimate of future returns and chargebacks based on historical rates. The transaction price is inclusive of fixed discounts which represent a reduction to revenue for each performance obligation. There is judgement in utilizing historical trends for estimating future returns. As of March 31, 2022 and 2021, the refund liability related to revenue for subscriptions was $0.9 million and $1.2 million, respectively, and is recorded within accrued and other current liabilities on the consolidated balance sheets. On a monthly basis, subscription customers have the option to purchase additional toys, treats, or other products to add to their respective subscription boxes. Each add on product represents a single performance obligation and therefore revenue is recognized at a point in time as control is transferred to the customer upon delivery of goods to the customer. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. BARK Bright —The initial product in this product line is a proprietary enzymatic dental solution combined with a treat for dogs to prevent and combat oral health issues, sold through monthly subscriptions. Each delivered box represents a single performance obligation and therefore subscription revenue is recognized at a point in time as control is transferred to the customer upon delivery of each monthly box. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. BARK Food —This product line consists of personalized meals for dogs sold at a meal per day price. Subscription revenue is recognized at a point in time, as control is transferred to the customer upon delivery. BarkShop —The Company sells individual toys and treats through the Company’s website, BarkShop. Revenue relating to the sale of goods on BarkShop is recognized at a point in time upon delivery of goods to the customer. Each delivery represents a single performance obligation and the Company bears the risk of loss if a shipment is not received or is damaged. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. C ustomers have the right to return products for thirty days subsequent to delivery. The Company also generates revenue from product sales through retail commerce channels. See below for additional information on each offering. Retail —The Company sells toys and treats through major retailers. Revenue is recognized at a point in time, as control is transferred upon delivery of goods to the retailers. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. Retail sales are generally recognized upon delivery with adjustments to net sales for customer payment discounts, sales returns, and estimated chargebacks allowances. Similar to Toys and Treats subscriptions, the customer payment discounts, sales returns and chargebacks are considered to be contingent and represents a component of variable consideration. The estimated consideration reflects potential sales returns and chargebacks as a reduction in the transaction price. The Company has determined that the expected value method will provide the best predictor for a refund liability associated with sales returns and chargebacks. The estimate is recorded in total for sales transactions recorded in each period and, in effect, represents a reduction in the transaction price at the time of sale. As of March 31, 2022 and 2021, the refund liability related to retail revenue was $0.4 million and $0.1 million, respectively, recorded within accrued and other current liabilities on the consolidated balance sheet. Online Marketplaces —Online marketplaces revenue consists of sales of toys, BARK Bright health and wellness solutions and BARK Home products sold through major online marketplaces. BARK Home consists of an assortment of proprietary essential products for daily life, including dog beds, bowls, collars, harnesses and leashes. Online marketplaces revenue is recognized at a point in time, as control is transferred, upon delivery of goods to the end customer. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. The Company evaluated principal versus agent considerations to determine whether it is appropriate to record seller fees paid to the marketplaces as an expense or as a reduction of revenue. Seller fees charged by third-party marketplaces are recorded as general and administrative expense and are not recorded as a reduction of revenue as the Company owns and controls all the goods before they are transferred to the end customer. The Company can, at any time, direct the marketplaces and similarly with other third-party logistics providers (“Logistics Providers”), to return the Company’s inventory to any location specified by the Company. Any returns made by customers directly to Logistics Providers are the responsibility of the Company to make customers whole and the Company retains the inventory risk. Further, the Company is subject to credit risk (i.e., credit card chargebacks), establishes the prices of its products, can determine who fulfills the goods to the customer (third-party online marketplaces or the Company) and can limit quantities or stop selling the goods at any time. Based on these considerations, the Company is the principal in these arrangements. The Company earned revenue from the sale of Toys and Treats subscriptions, and the sale of goods through the Company’s BarkShop website. Deferred revenue represented payment for subscription boxes that the Company was contractually obligated to deliver in future periods. Subscription revenue was recognized as each monthly box was delivered to the customer. Revenue was recognized net of cash discounts given to the customer and net of estimated sales returns and chargebacks. Revenue relating to the sale of goods was recognized upon delivery of goods to the customer, as the risk of loss on these sales transfers to the customer upon delivery. Shipping and Handling —The Company includes costs associated with the outbound shipping and handling of its products as a component of general and administrative expenses in the consolidated statements of operations and comprehensive loss. Shipping and handling fees billed to the customers are recorded as revenue. Sales Tax —As a part of the Company’s normal course of business, sales taxes are collected from customers. Sales taxes collected are remitted to the appropriate governmental tax authority on behalf of the customer. Sales tax collected from customers is not considered revenue and is included in accrued and other current liabilities until remitted. Total sales tax accrued was $9.2 million and $24.2 million, as of March 31, 2022 and 2021, respectively. As of March 31, 2022 and 2021, $3.1 million and $14.5 million of the sales tax accrued had been collected but not remitted, respectively. On June 21, 2018, the U.S. Supreme Court decided, in South Dakota v. Wayfair, Inc. that state and local jurisdictions may, at least in certain circumstances, enforce a sales and use tax collection obligation on remote vendors that have no physical presence in such jurisdiction. A number of states have positioned themselves to require sales and use tax collection by remote vendors and/or by online marketplaces. The details and effective dates of these collection requirements vary from state to state and accordingly, the Company recorded a liability in those periods in which it created economic nexus based on each state’s requirements. Total sales tax expense recorded related to economic nexus was $0.6 million, $1.2 million and $5.0 million for the fiscal years ended March 31, 2022, 2021, and 2020, respectively. Inventories —Consist principally of finished goods, and represent products available for sale and are accounted for using the first-in, first-out (“FIFO”) method and valued at the lower of cost or net realizable value. Inventory costs consist of product and inbound shipping and handling costs. The Company assesses the valuation of inventory and periodically writes down the value for estimated excess and obsolete inventory based upon estimates of future demand and market conditions. Inventory valuation requires the Company to make judgments, based on information available at each reporting period. Inventory valuation losses are recorded as cost of revenues. The Company reviews current business trends and forecasts, and inventory aging to determine adjustments which it estimates will be needed to liquidate existing excess inventories and record inventories at either the lower of cost or net realizable value or the lower of cost or market, as applicable. The Company believes that all inventory write-downs required at March 31, 2022, have been recorded. The Company’s historical estimates of inventory reserves have not differed materially from actual results. If market conditions were to change, including as a result of the current conflict in Ukraine and its broader macroeconomic implications or the COVID-19 pandemic and the supply chain and logistics disruptions globally, it is possible that the required level of inventory reserves would need to be adjusted. As of March 31, 2022 and 2021, the Company has recorded reserves to reflect inventories at their estimated net realizable value. The reserve balance as of March 31, 2022 and 2021 was $8.8 million and $1.6 million, respectively. Cost of Revenues —Cost of revenues includes the purchase price of inventory sold, inbound freight costs associated with inventory, shipping supply costs, and inventory shrinkage costs. General and Administrativ e—General and administrative expenses include compensation and benefits costs, including stock-based compensation expense, facility costs, insurance, professional service fees, donations of goods in kind and other general overhead costs including depreciation and amortization and account management support teams, as well as commissions. General and administrative expense also includes processing fees charged by third parties that provide payment processing services for credit cards. For the fiscal years ended March 31, 2022, 2021 and 2020 the Company recorded payment processing fees of $10.8 million, $8.4 million and $5.7 million, respectively, within general and administrative expenses in the consolidated statements of operations and comprehensive loss. Fulfillment Cost —Fulfillment costs represent those costs incurred in operating and staffing fulfillment and customer service centers, including costs attributable to receiving, inspecting, picking, packaging and preparing customer orders for shipment, outbound freight costs associated with shipping orders to customers, and responding to inquiries from customers. For the fiscal years ended March 31, 2022, 2021 and 2020, the Company recorded fulfillment costs of $150.5 million, $94.9 million, and $53.4 million, respectively, which are included within general and administrative expenses in the consolidated statements of operation and comprehensive loss. Advertising Costs —Costs associated with the Company’s advertising and sales promotions are expensed as incurred and are included in advertising and marketing expense in the co |
MERGER
MERGER | 12 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
MERGER | MERGER On June 1, 2021, the Company consummated the Merger pursuant to the terms of the Merger Agreement, by and among the Company, NSAC Merger Sub, and Legacy BARK. Immediately upon the consummation of the Merger and the other transactions contemplated by the Merger Agreement (collectively, the “Transactions”), Merger Sub merged with and into Legacy BARK, with Legacy BARK surviving the Business Combination as a wholly-owned subsidiary of the Company. In connection with the Transactions, the Company changed its name to “The Original BARK Company,” and in November 2021 changed its name to BARK, Inc. The Merger was accounted for as a reverse recapitalization in accordance with U.S. GAAP primarily due to the fact that Legacy BARK stockholders continue to control the Company post the closing of the Merger. Under this method of accounting, Northern Star is treated as the “acquired” company for accounting purposes and the Merger is treated as the equivalent of Legacy BARK issuing stock for the net assets of Northern Star, accompanied by a recapitalization. The net assets of Northern Star are stated at historical cost, with no goodwill or other intangible assets recorded. Reported shares and earnings per share available to holders of the Company’s common stock and equity awards prior to the Business Combination have been retroactively restated reflecting the exchange ratio established pursuant to the Business Combination Agreement (1:8.7425). Treasury stock has also been retrospectively restated to reflect the cancellation and extinguishment of the shares pursuant to the Merger Agreement. Pursuant to the Merger, on the Closing Date, each stockholder of Legacy BARK’s common and preferred stock, (including stockholders issued common stock as a result of the conversion of Legacy BARK’s outstanding convertible promissory notes issued in 2019 and 2020 (other than the 2025 Convertible Notes - see Note 7, “Debt”)) received 8.7425 shares of the Company’s common stock, par value $0.0001 per share, per share of Legacy BARK’s common stock and preferred stock, respectively, owned by such Legacy BARK stockholder that was outstanding immediately prior to the Closing Date. In addition, pursuant to the terms of the Merger Agreement, at the Effective Time of the Merger, (1) options to purchase shares of Legacy BARK’s common stock were converted into options to purchase an aggregate of 29,257,576 shares of the Company's common stock and (2) warrants to purchase shares of Legacy BARK’s common and redeemable convertible preferred stock were converted into warrants to purchase an aggregate of 1,897,212 shares of the Company's common stock. Additionally, at the Closing: • the conversion obligations with respect to Legacy BARK’s 5.50% convertible senior secured notes due 2025 (the “2025 Convertible Notes”) were assumed by the Company and the 2025 Convertible Notes became convertible at the election of the holders into shares of the Company's common stock. As of the Closing, the 2025 Convertible Notes were convertible at the election of the holder into an aggregate of 7,713,121 shares of the Company's common stock based on the then outstanding principal and accrued interest. The 2025 Convertible Notes are still outstanding as of March 31, 2022; • certain investors (the “PIPE Investors”) purchased an aggregate of 20,000,000 shares of the Company's common stock in a private placement at a price of $10.00 per share for an aggregate purchase price of $200.0 million (the “PIPE” issuance); • each of the 6,358,750 outstanding shares of Northern Star’s Class B common stock were converted into a share of the Company's common stock on a one-for-one basis. Each outstanding warrant of Northern Star entitles the holder to purchase shares of the Company's common stock at a price of $11.50 per share beginning on November 13, 2021; and • the Company amended and restated its amended and restated certificate of incorporation, increasing the number of shares of common stock authorized to issue to 500,000,000 shares. |
REVENUE FROM CONTRACTS WITH CUS
REVENUE FROM CONTRACTS WITH CUSTOMERS | 12 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE FROM CONTRACTS WITH CUSTOMERS | REVENUE FROM CONTRACTS WITH CUSTOMERS The Company’s standard payment terms vary but do not result in a significant delay between the timing of invoice and payment. The Company occasionally negotiates other payment terms during the contracting process for its retail business. The Company has elected the practical expedient to not adjust the total consideration within a contract to reflect a financing component when the duration of the financing is one year or less. Disaggregated Revenue Revenue disaggregated by significant revenue stream for the fiscal years ended March 31, 2022, 2021, and 2020 were as follows (in thousands): Fiscal Year Ended March 31, 2022 2021 2020 Revenue Direct to Consumer: Toys and treats subscription $ 435,389 $ 325,992 $ 199,744 Other 12,685 7,978 4,407 Total Direct to Consumer $ 448,074 $ 333,970 $ 204,151 Commerce 59,332 44,634 20,184 Revenue $ 507,406 $ 378,604 $ 224,335 Contract Liability The Company’s contract liability represents cash collections from its customers prior to delivery of subscription products, which is recorded as deferred revenue on the consolidated balance sheets. Deferred revenue is recognized as r evenue upon the delivery of the box or product. Deferred revenue was $31.5 million and $27.2 million as of March 31, 2022 and 2021, respectively. During the fiscal year ended March 31, 2022, the Company recognized $26.3 million of revenue included in deferred revenue as of March 31, 2021. |
PROPERTY AND EQUIPMENT AND INTA
PROPERTY AND EQUIPMENT AND INTANGIBLE ASSETS | 12 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT AND INTANGIBLE ASSETS | PROPERTY AND EQUIPMENT AND INTANGIBLE ASSETS Property and equipment consisted of the following as of March 31, 2022 and 2021: March 31, 2022 2021 Computer equipment, software, and domain names $ 4,822 $ 3,423 Warehouse machinery and equipment 13,309 3,292 Furniture and fixtures 1,195 992 Leasehold improvements 12,039 6,338 Construction in process 3,596 3,392 Total property and equipment 34,961 17,437 Less: accumulated depreciation (6,833) (3,972) Property and equipment—net $ 28,128 $ 13,465 Intangible assets consisted of the following as of March 31, 2022 and 2021: March 31, 2022 2021 Internally developed software $ 6,268 $ 3,038 Less: accumulated amortization $ (2,431) $ (968) Intangible assets—net $ 3,837 $ 2,070 Total depreciation expense for property and equipment during the fiscal years ended March 31, 2022 and 2021 was $2.9 million and $1.7 million, respectively. Total amortization expense for internally developed software during the fiscal years ended March 31, 2022 and 2021 was $1.5 million and $0.7 million, respectively. Amortization expense related to finance leases amounted to $0.6 million and $0.2 million for fiscal years ended March 31, 2022 and 2021. Depreciation and amortization expense is included in general and administrative expenses on the consolidated statements of operations and comprehensive loss. As of March 31, 2022 and 2021, equipment that was leased under finance leases and included in property and equipment, net in the consolidated balance sheets was $2.5 million and $3.0 million, respectively. |
ACCRUED AND OTHER CURRENT LIABI
ACCRUED AND OTHER CURRENT LIABILITIES | 12 Months Ended |
Mar. 31, 2022 | |
Payables and Accruals [Abstract] | |
ACCRUED AND OTHER CURRENT LIABILITIES | ACCRUED AND OTHER CURRENT LIABILITIES Accrued expenses and other current liabilities consisted of the following as of March 31, 2022 and 2021: March 31, 2022 2021 Warrant liability $ 8,479 $ 133 Sales tax payable 9,163 24,164 Accrued compensation costs 3,421 3,287 Refund liability 1,275 1,292 Accrued licensing fees 190 209 Accrued deferred financing fees 3,000 3,000 Accrued professional and legal fees 1,246 2,484 Accrued marketing costs 464 4,199 Other accrued expenses 7,930 5,837 Accrued and other current liabilities $ 35,168 $ 44,605 |
DEBT
DEBT | 12 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT As of March 31, 2022 and 2021, long-term debt consisted of the following: March 31, 2022 2021 2025 Convertible Notes $ 79,171 $ 75,000 Western Alliance revolving line of credit & term loan — 34,300 Convertible promissory notes — 7,167 PPP loan — 5,157 79,171 121,624 Less: deferred financing fees and debt discount (2,981) (5,895) Total long-term debt $ 76,190 $ 115,729 2025 Convertible Notes On November 27, 2020, the Company issued $75.0 million aggregate principal amount of 2025 Convertible Notes to Magnetar Capital, LLC (“Magnetar”) under an indenture, dated as of November 27, 2020, between Legacy BARK and U.S. Bank National Association, as trustee and collateral agent (the “Indenture”). The Company received net proceeds of approximately $74.7 million from the sale of the 2025 Convertible Notes, after deducting fees and expenses of approximately $0.3 million. The Company recorded the expenses as a discount to the note and will amortize over the term of the note. The 2025 Convertible Notes will mature on December 1, 2025, unless earlier converted, redeemed or repurchased. The Company used approximately $27.6 million of the net proceeds from the sale of the 2025 Convertible Notes to repay the outstanding term loans with Western Alliance Bank and Pinnacle, which included $2.0 million of early repayment fees related to the Pinnacle loan. The 2025 Convertible Notes are governed by the Indenture. The 2025 Convertible Notes bear interest at the annual rate of 5.50%, payable entirely in payment-in-kind annually on December 1 st of each year commencing December 1, 2021, compounded annually. On December 1, 2021, the accrued interest of $4.2 million was paid-in-kind through an increase of the outstanding principal on the 2025 Convertible Notes. If the 2025 Convertible Notes are not converted into common stock by the maturity date, the Company must repay the outstanding principal amount plus accrued interest. The 2025 Convertible Notes contain call and put options to be settled in cash contingent upon the occurrence of a change in control and a default interest rate increase of 3.0% applicable upon the occurrence of an event of default that when evaluated under the guidance of ASC 815, Derivatives and Hedging , are embedded derivatives requiring bifurcation at fair value. The fair value calculation includes Level 3 inputs including the estimated fair value of the Company’s common stock and assumptions regarding the probability that the contingent call or put will be exercised or an event of default will occur. Management determined that the probability that the contingent events will occur was near zero at inception and has remained near zero as of March 31, 2022. Therefore, the Company did not record a derivative liability related to these features at March 31, 2022. The Company will continue to assess the probability of occurrence quarterly during the term of the 2025 Convertible Notes. As of March 31, 2022 and 2021, the Company had $79.2 million and $75.0 million of outstanding borrowings under the 2025 Convertible Notes agreement respectively. Western Alliance Bank—Line of Credit and Term Loan In October 2017, the Company entered into a loan and security agreement (the “Western Alliance Agreement”) and issued a warrant to purchase preferred stock (“Initial Western Alliance Warrant”) to Western Alliance Bank (“Western Alliance”), which provided for a secured revolving line of credit (the “Credit Facility”) in an aggregate principal amount of up to $35.0 million with a maturity date of October 12, 2020. On December 7, 2018, the Company amended the Western Alliance Agreement, which included the issuance of a warrant to purchase common stock (“Subsequent Western Alliance Warrant”) to Western Alliance. The modification to the Western Alliance Agreement provided for an additional term loan of $10.0 million at issuance and an incremental seasonal loan of $5.0 million. The seasonal loan matured and was repaid on March 31, 2020. The term loan had a maturity date of December 31, 2021. On July 31, 2020, the Company amended the Western Alliance Agreement and extended the expiration of the warrants to July 31, 2030. The modification to the Western Alliance Agreement amended the maturity date of the Credit Facility to August 12, 2021. On November 27, 2020, the Company repaid the outstanding $10.0 million principal of the term loan with Western Alliance Bank, as well as $0.2 million of early repayment fees, using proceeds from the issuance of the 2025 Convertible Notes (the “2025 Convertible Notes”). See further discussion of the 2025 Convertible Notes issuance below. In conjunction with the 2025 Convertible Notes issuance, the Company amended the Western Alliance Agreement to extend the Credit Facility repayment date from August 12, 2021 to December 31, 2021. On January 22, 2021, the Company amended the Western Alliance Agreement to extend the Credit Facility maturity date to May 31, 2022. On October 29, 2021, the Company and Western Alliance entered into the eleventh loan and security modification agreement, which increased the sublimit for foreign exchange services and export, import, and standby letters of credit under the Company’s existing loan and security agreement with Western Alliance to $2.7 million. On May 27, 2022, the Company and Western Alliance entered into the twelfth loan and security modification agreement, which extended the Credit Facility maturity date to June 30, 2022. The interest rate for borrowings under the Credit Facility, as amended, is equal to (i) the greater of the prime rate that is published in the Money Rates section of The Wall Street Journal from time to time (the “Prime Rate”) and 5.25%, plus (ii) half of one percent (0.50%), per annum. The Credit Facility has a borrowing base subject to an amount equal to eighty percent (80.00%) of the Company’s trailing three months of subscription revenue. Western Alliance has first perfected security in substantially all of the Company’s assets, including its rights to its intellectual property. As of March 31, 2021, the Company had $34.3 million of outstanding borrowings under the Credit Facility. On June 15, 2021, in connection with the Merger, the Company repaid the outstanding balance on the Credit Facility, and as of March 31, 2022 there are no outstanding borrowings under the Credit Facility. The full amount of the Credit Facility of $35.0 million remains available to be borrowed by the Company if or when needed through the termination date of the agreement of May 31, 2022. Under the terms of this Credit Facility, the Company is required to comply with certain financial and nonfinancial covenants, including covenants to maintain certain liquidity amounts, as defined in the amended Western Alliance Agreement. As of March 31, 2022 and 2021, the Company was compliant with its financial covenants. Convertible Promissory Notes On December 19, 2019, the Company entered into a note purchase agreement and issued individual convertible promissory notes thereunder (the “2019 Notes”), with an option for subsequent closings through May 1, 2020 for up to $10.0 million in aggregate principal. The Company received gross proceeds of $3.9 million in two December 2019 closings. The 2019 Notes bore interest at a rate of 7% per year, capitalized quarterly, and payable in kind (“PIK Interest”). The 2019 Notes had a maturity date of December 19, 2024, unless previously converted into equity securities pursuant to the terms of the note purchase agreement. On March 31, 2020, the Company entered into a note purchase agreement and issued individual convertible promissory notes thereunder (the “2020 Notes”), with an option for subsequent closings through May 1, 2020 for up to $10.0 million in aggregate principal. The Company received gross proceeds of $1.5 million from the initial closing of the note purchase agreement on March 31, 2020 with employees, founders, and existing investors, representing a related party transaction. The agreement consisted of both Pro Rata Notes and Super Pro Rata Notes. Pro-Rata Notes are defined as one or more promissory notes issued to each lender with respect to the amount of the lender’s consideration, up to the lender’s pro rata amount as set forth in the note purchase agreement. Super Pro-Rata Notes are defined as one or more promissory notes issued to each lender with respect to the lender’s amount of consideration paid in excess of their pro rata amount. The Super Pro Rata Notes bore interest at a rate of 10% per year, capitalized quarterly, and payable in kind (“PIK Interest”), while the Pro Rata Notes bore interest at a rate of 8% per year, capitalized quarterly, and PIK Interest. The 2020 Notes had a maturity date of March 30, 2023, unless previously converted into equity securities pursuant to the terms of the note purchase agreement. On May 1, 2020, the Company received gross proceeds of $1.0 million from the second closing of the March 31, 2020 note purchase agreement with existing investors, representing a related party transaction. On June 18, 2020, the Company amended the term loan with Pinnacle Ventures, LLC (“Pinnacle”), which extended the initial principal repayment period. In consideration of the modification, the Company issued to Pinnacle convertible promissory notes under the March 31, 2020 note purchase agreement of $0.8 million from the third closing of the March 31, 2020 note purchase agreement. On November 27, 2020, in connection with the 2025 Convertible Notes issuance, the Company entered into subordination agreements with the holders of the 2019 Notes and 2020 Notes and extended the maturity of the notes to May 30, 2026. On December 16, 2020, in connection with the execution of the Merger, the Company amended the note purchase agreements associated with the 2019 Notes and 2020 Notes to amend the conversion terms of the notes. The 2019 Notes and 2020 Notes included the following features that were assessed and determined to meet all of the criteria required to be separated as an embedded derivative from its host: • In-substance put options upon Qualified or Non-Qualified Equity Financing • Redemption (put option) upon deemed liquidation event As of March 31, 2021, the Company had $7.2 million of outstanding borrowings under the 2019 Notes and 2020 Notes. On June 1, 2021, in connection with the closing of the Merger, the outstanding principal and interest of the 2019 Notes and 2020 Notes were converted to 1,135,713 common shares of the Company, with a fair value of $12.8 million. The conversion of the notes resulted in a loss on extinguishment of $2.0 million recorded to other expense included in other income, net on the consolidated statement of operations and comprehensive loss, as well as a capital contribution of $0.5 million recorded to additional paid-in-capital on the consolidated balance sheet for the portion of the loss associated with the 2020 Notes which were with related parties. Paycheck Protection Program On April 24, 2020, the Company received funds of $5.2 million under the Paycheck Protection Program (“PPP”), a part of the CARES Act. The loan was serviced by Western Alliance Bank, and the application for these funds required the Company to, in good faith, certify that the current economic uncertainty made the loan necessary to support ongoing operations. On June 11, 2021, the Company voluntarily repaid in full the outstanding principal and interest amounts of the PPP loan. |
REDEEMABLE CONVERTIBLE PREFERRE
REDEEMABLE CONVERTIBLE PREFERRED STOCK | 12 Months Ended |
Mar. 31, 2022 | |
Temporary Equity [Abstract] | |
REDEEMABLE CONVERTIBLE PREFERRED STOCK | REDEEMABLE CONVERTIBLE PREFERRED STOCK The following table summarizes issued and outstanding redeemable convertible preferred stock of Legacy BARK as of both immediately prior to the Closing Date and March 31, 2021 (in thousands, except share and per share information): Redeemable Convertible Preferred Stock Shares Carrying Value Series Seed 2,057,188 $ 1,897 Series A 2,110,400 4,948 Series B 990,068 10,285 Series C 2,142,188 34,585 Series C-1 452,671 8,272 Prior to the completion of the Merger there were no significant changes to the terms of the Redeemable Convertible Preferred Stock. Upon the Closing of the Merger, the Legacy BARK redeemable convertible preferred stock converted into 67,776,888 shares of the Company’s common stock based on the Merger’s exchange ratio of 8.7425. The Company recorded the conversion at the carrying value of the redeemable convertible preferred stock at the time of Closing. There are no shares of redeemable convertible preferred stock authorized or outstanding as of March 31, 2022. |
STOCK-BASED COMPENSTION PLANS
STOCK-BASED COMPENSTION PLANS | 12 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
STOCK-BASED COMPENSTION PLANS | STOCK-BASED COMPENSATION PLANS Equity Incentive Plans The Barkbox, Inc. 2011 Stock Incentive Plan (as amended from time to time, the “2011 Plan”) provides for the award of stock options and other equity interests in the Company to directors, officers, employees, advisors or consultants of the Company. On June 1, 2021, in connection with the Merger, the 2021 Equity Incentive Plan (the “2021 Plan”) became effective and 16,929,505 authorized shares of common stock were reserved for issuance thereunder. In addition, pursuant to the terms of the Merger Agreement, on the Closing Date of the Merger, options to purchase shares of Legacy BARK’s common stock previously issued under the 2011 Plan were converted into options to purchase an aggregate of 29,390,344 shares of BARK common stock. As of March 31, 2022, 15,623,772 shares of common stock were available for the Company to grant under the 2021 Stock Plan; there were no remaining shares available for grant under the 2011 Plan. For each fiscal year beginning on April 1, 2022 and ending on (and including) March 31, 2031, the aggregate number of shares of common stock that may be issued under the 2021 Plan may be increased by a number, determined and approved by the Company's board of directors (the “Board”) on or before May 1st of such fiscal year, not to exceed 5% of the total number of shares of common stock issued and outstanding on the last day of the preceding fiscal year. The Board did not approve an increase for fiscal year 2023. The 2011 and 2021 Plans (together, the “Plans”) are administered by the Company’s Compensation Committee of its Board (the “Compensation Committee”). The exercise prices, vesting and other restrictions are determined by the Board, except that the exercise price per share of a stock option may not be less than 100% of the fair value of the common share on the date of grant. Stock options awarded under the Plans have vesting conditions of 25% on the first anniversary of the date of grant and 75% on a monthly basis at a rate of 1/36th, unless otherwise determined by the Compensation Committee. The Plans provide that the Compensation Committee shall determine the vesting conditions of awards granted under the Plans, and the Compensation Committee has, from time to time, approved vesting schedules for certain awards that deviate from the vesting conditions contained in the previous sentence. Stock Option Activity The following is a summary of stock option activity for the fiscal year ended March 31, 2022: Number Options Outstanding Weighted- Average Exercise Price Weighted-Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Outstanding as of March 31, 2021 29,454,960 2.08 5.34 $ 251,553 Granted 1,435,386 7.70 Exercised (7,322,815) 0.56 Cancelled or forfeited (4,167,331) 3.22 Expired (68,564) 0.06 Outstanding as of March 31, 2022 19,331,636 $ 2.83 7.17 $ 38,332 Vested and expected to vest as of March 31, 2022 17,759,831 $ 2.52 7.04 $ 37,058 Exercisable as of March 31, 2022 13,877,397 $ 1.71 6.65 $ 32,724 The aggregate intrinsic value of stock options is calculated as the difference between the exercise price of the stock options and the fair value of the Company’s common shares for those stock options that had exercise prices lower than the fair value of the Company’s common shares. The weighted-average grant-date fair value of options granted during the years ended March 31, 2022, 2021 and 2020 was $4.10, $3.65 and $0.57 respectively. The total intrinsic value of options exercised during the year ended March 31, 2022, 2021 and 2020 was $44.7 million, $23.6 million and $0.3 million respectively. As of March 31, 2022, 2021 and 2020, there was $11.4 million, $21.9 million, and $2.40 million of unrecognized stock-based compensation expense related to unvested stock options, respectively. The unrecognized stock-based compensation expense is expected to be recognized over a weighted average remaining vesting period of 2.71, 3.44 and 2.87 years at March 31, 2022, 2021 and 2020, respectively. The Company estimates the fair values of stock options using the Black-Scholes option-pricing model on the date of grant. During the years ended March 31, 2022, 2021, and 2020 the assumptions used in the Black-Scholes option pricing model were as follows: Fiscal Year Ended March 31, 2022 2021 2020 Expected term (years) 5.24 5.26 5.08 Expected volatility 62.96 % 76.48 % 45.65 % Risk-free interest rate 1.16 % 0.19 % 1.71 % Expected dividend yield — % — % — % Restricted Stock Award (“RSA”) Activity The Company awarded 35,000, and 22,616 RSAs during the fiscal years ended March 31, 2021 and 2020, respectively. There were no RSAs granted during the fiscal year ended March 31, 2022. The grant date fair value of the RSAs granted during the fiscal years ended March 31, 2021 and 2020 was recognized as compensation expense over the requisite service period. Of the 35,000 shares of restricted stock issued during the year ended March 31, 2021, 25,000 shares vested immediately upon grant and 10,000 shares of restricted stock vested over 12 equal monthly installments. All of the shares of RSAs granted during the year ended March 31, 2020 had immediate vesting upon grant. To determine the fair value of the RSAs granted during the fiscal years ended March 31, 2021, and 2020, the Company’s Board utilized independent valuations and other available information when estimating the value of the stock underlying the granted RSAs. The weighted-average estimated fair value per share of the RSAs granted during the years ended March 31, 2021, and 2020 was $6.33, and $1.36 respectively. The total stock-based compensation expense associated with the grants of RSAs was $0.8 million $1.10 million and $0.3 million for the fiscal years ended March 31, 2022, 2021 and 2020, respectively. During the fiscal year ended March 31, 2022 the Company withheld 17,605 RSAs upon vesting in connection with the tax election determined by the award recipient. The RSAs withheld for taxes had a $0.2 million impact to additional paid in capital. Restricted Stock Unit (“RSU”) Activity During the fiscal year ended March 31, 2022 the Company awarded 4,224,623 RSUs for the purchase of common stock of which 97,835 RSUs were canceled. The Company did not grant any RSUs during the fiscal year ended March 31, 2021, or 2020. Each RSU granted during the fiscal year ended March 31, 2022 will vest based on continued service which is generally four years. The grant date fair value of the RSUs will be recognized as compensation expense over the requisite service period. The weighted-average fair value of restricted stock granted during the fiscal year ended March 31, 2022 was $5.34. The total stock-based compensation expense associated with the grants of restricted stock was $3.3 million. During the fiscal year ended March 31, 2022 the Company withheld 2,941 RSUs upon vesting in connection with the tax election determined by the award recipient. The RSUs withheld for taxes had a less than $0.1 million impact to additional paid in capital. Stock-Based Compensation The following table summarizes the total stock-based compensation expense by function for the fiscal years ended March 31, 2022, 2021, and 2020 which includes expense related to options and restricted stock units (in thousands): Fiscal Year ended March 31, 2022 2021 2020 General and administrative $17,063 $6,298 $1,757 Advertising and marketing 797 224 60 Total stock-based compensation expense $17,861 $6,522 $1,817 Employee Stock Purchase Plan In June 2021, the 2021 Employee Stock Purchase Plan (the “2021 ESPP”) became effective. The 2021 ESPP authorizes the issuance of shares of common stock pursuant to purchase rights granted to employees. A total of 3,385,901 shares of common stock have been reserved for future issuance under the 2021 ESPP. For each fiscal year beginning on April 1, 2021 and ending on (and including) March 31, 2031, the aggregate number of shares of common stock that may be issued under the 2021 ESPP shall increase by a number, determined and approved by the Board on or before May 1st of such fiscal year, not to exceed the lesser of (i) one percent (1%) of the total number of shares of common stock issued and outstanding on the last day of the preceding fiscal year or (ii) 1,500,000 shares of common stock. If the Board does not determine to increase the aggregate number of shares of common stock in the 2021 ESPP by May 1st of such fiscal year, such increase shall be zero. The Board did not approve an increase for fiscal year 2023. The first offering period under the 2021 ESPP shall commence on June 10, 2022. As of March 31, 2022, no shares have been issued under the 2021 ESPP. |
LEASES
LEASES | 12 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
LEASES | LEASESOn March 31, 2022, the Company adopted ASC Topic 842, Leases (ASC 842), using the modified retrospective transition method. The Company elected to apply the package of practical expedients provided under the transition guidance withing ASC 842, and accordingly, did not reassess whether any expired or existing contracts are or contain leases, did not reassess lease classification for expired or existing leases, and did not reassess initial indirect costs for any existing leases. The Company adopted this ASU by applying the new guidance to new and existing leases effective April 1, 2021, with no restatement of comparative periods. Upon adoption, the Company recorded an operating lease right-of-use asset and an operating lease liability on the balance sheet as per table below. In addition, assets under equipment leases previously classified as capital leases within Property and Equipment on the Company’s balance sheet were reclassified to finance lease right-of-use assets upon adoption of the guidance. Right-of-use assets and obligations were recognized based on the present value of remaining lease payments over the lease term. As the Company’s operating lease agreements do not provide an implicit rate or a readily determinable incremental borrowing rate, an estimated incremental borrowing rate was used based on the information available at the adoption date in determining the present value of lease payments. Operating lease cost is recognized on a straight-line basis over the lease term. Finance lease cost is recognized as a combination of the amortization expense for the Right-of-Use (“ROU”) asset and interest expense for the outstanding lease liabilities using the discounted rate discussed above.Variable lease costs such as common area costs and other operating costs are expensed as incurred. Leases with an initial term of 12 months or less are not recorded on the balance sheet. The adoption of this new guidance did not have a material net impact on the Company’s consolidated statements of operations or consolidated statements of cash flows. Operating Leases The Company has operating leases for its offices and fulfillment centers. Rental expense for operating leases was $5.2 mil lion and $3.3 million for the years ended March 31, 2022 and 2021, respectively. Upon adoption of ASC 842, the Company recognized operating lease right-of-use assets of $29.6 million and operating lease liabilities of $33.9 million. On March 26, 2021, the Company entered into a lease agreement for its fulfillment center in Columbus, Ohio. In accordance with the ASC 842 guidance, the lease is classified as an operating lease. The average monthly cash payment related to the Company’s Columbus, Ohio operating lease is approximately $36,000 per month, and the lease term will expire on July 31, 2026. In connection with the adoption of ASC 842, the Company recorded a right-of-use asset and lease liability related to this lease of $1.4 million and $1.8 million respectively as of March 31, 2022 based on the present value of payments and incremental borrowing rate of 5.5%. On October 29, 2021, the Company entered into a lease agreement for a new office space. In accordance with the ASC 842 guidance, the lease is classified as an operating lease. The new lease commences on April 1, 2022 and includes escalating rent payments and a 198 month term. Rent expense will be recorded on a straight-line basis over the lease term. Future minimum lease payments required under the operating lease are approximately $51.7 million. In connection with the lease agreement the Company executed a letter of credit of approximately $1.9 million. On April 23, 2021, the Company entered into a lease agreement for its fulfillment center in Las Vegas, Nevada. In accordance with the ASC 842 guidance, the lease is classified as an operating lease. The average monthly cash payment related to the Company’s Las Vegas, Nevada operating lease is approximately $205,000 per month, and the lease term will expire on March 31, 2029. In connection with the adoption of ASC 842, the Company recorded a right-of-use asset and lease liability related to this lease of $13.3 million and $14.4 million respectively as of March 31, 2022 based on the present value of payments and incremental borrowing rate of 6.2%. The following schedule represents the components of the Company’s operating and finance lease assets as of March 31, 2022 (in thousands): Leases Classification March 31, 2022 Assets Operating Operating lease right-of-use assets $ 29,552 Finance Property and equipment, net 2,538 Liabilities Operating lease liabilities (current) Operating lease liabilities, current $ 5,060 Finance lease liabilities (current) Accrued and other current liabilities 642 Operating lease liabilities (non-current) Operating lease liabilities $ 28,847 Finance lease liabilities (non-current) Other long-term liabilities 1,896 The following schedule represents the components of lease expense for the fiscal year ended March 31, 2022 (in thousands): March 31, 2022 Finance Lease Costs: Amortization of right-of-use assets $ 588 Interest on lease liabilities 313 Operating lease costs 5,554 Sublease income (357) Total lease costs $ 6,098 As of March 31, 2022, the Company’s maturity of operating lease liabilities in the years ending up March 31. 2027 and thereafter are as follows (in thousands): Finance Leases Operating Leases 2023 $ 890 $ 6,963 2024 890 6,725 2025 890 6,263 2026 383 6,437 2027 9 5,284 Thereafter — 9,260 Total lease payments 3,062 40,931 Less: imputed interest (524) (7,024) Present value of lease liabilities $ 2,538 $ 33,907 Other operating leases information: Cash paid for amounts included in the measurement of lease liabilities $ 4,541 Right-of-use assets obtained in exchange for new lease liabilities $ 33,387 Weighted-average remaining term (years) 6.2 Weighted average discount rate 4.6% Other finance leases information: Cash paid for amounts included in the measurement of lease liabilities $ 588 Right-of-use assets obtained in exchange for new lease liabilities $ 3,107 Weighted-average remaining term (years) 3.5 Weighted average discount rate 11.0% In accordance with ASC 840, the following is a schedule by years of future minimum lease payments required under the operating leases that have initial or noncancelable lease terms in excess of one year as of March 31, 2021. Fiscal year ending March 31: 2022 $ 4,113 2023 4,559 2024 4,269 2025 3,798 2026 3,899 Thereafter 6,459 Total minimum lease payments $ 27,097 |
LEASES | LEASESOn March 31, 2022, the Company adopted ASC Topic 842, Leases (ASC 842), using the modified retrospective transition method. The Company elected to apply the package of practical expedients provided under the transition guidance withing ASC 842, and accordingly, did not reassess whether any expired or existing contracts are or contain leases, did not reassess lease classification for expired or existing leases, and did not reassess initial indirect costs for any existing leases. The Company adopted this ASU by applying the new guidance to new and existing leases effective April 1, 2021, with no restatement of comparative periods. Upon adoption, the Company recorded an operating lease right-of-use asset and an operating lease liability on the balance sheet as per table below. In addition, assets under equipment leases previously classified as capital leases within Property and Equipment on the Company’s balance sheet were reclassified to finance lease right-of-use assets upon adoption of the guidance. Right-of-use assets and obligations were recognized based on the present value of remaining lease payments over the lease term. As the Company’s operating lease agreements do not provide an implicit rate or a readily determinable incremental borrowing rate, an estimated incremental borrowing rate was used based on the information available at the adoption date in determining the present value of lease payments. Operating lease cost is recognized on a straight-line basis over the lease term. Finance lease cost is recognized as a combination of the amortization expense for the Right-of-Use (“ROU”) asset and interest expense for the outstanding lease liabilities using the discounted rate discussed above.Variable lease costs such as common area costs and other operating costs are expensed as incurred. Leases with an initial term of 12 months or less are not recorded on the balance sheet. The adoption of this new guidance did not have a material net impact on the Company’s consolidated statements of operations or consolidated statements of cash flows. Operating Leases The Company has operating leases for its offices and fulfillment centers. Rental expense for operating leases was $5.2 mil lion and $3.3 million for the years ended March 31, 2022 and 2021, respectively. Upon adoption of ASC 842, the Company recognized operating lease right-of-use assets of $29.6 million and operating lease liabilities of $33.9 million. On March 26, 2021, the Company entered into a lease agreement for its fulfillment center in Columbus, Ohio. In accordance with the ASC 842 guidance, the lease is classified as an operating lease. The average monthly cash payment related to the Company’s Columbus, Ohio operating lease is approximately $36,000 per month, and the lease term will expire on July 31, 2026. In connection with the adoption of ASC 842, the Company recorded a right-of-use asset and lease liability related to this lease of $1.4 million and $1.8 million respectively as of March 31, 2022 based on the present value of payments and incremental borrowing rate of 5.5%. On October 29, 2021, the Company entered into a lease agreement for a new office space. In accordance with the ASC 842 guidance, the lease is classified as an operating lease. The new lease commences on April 1, 2022 and includes escalating rent payments and a 198 month term. Rent expense will be recorded on a straight-line basis over the lease term. Future minimum lease payments required under the operating lease are approximately $51.7 million. In connection with the lease agreement the Company executed a letter of credit of approximately $1.9 million. On April 23, 2021, the Company entered into a lease agreement for its fulfillment center in Las Vegas, Nevada. In accordance with the ASC 842 guidance, the lease is classified as an operating lease. The average monthly cash payment related to the Company’s Las Vegas, Nevada operating lease is approximately $205,000 per month, and the lease term will expire on March 31, 2029. In connection with the adoption of ASC 842, the Company recorded a right-of-use asset and lease liability related to this lease of $13.3 million and $14.4 million respectively as of March 31, 2022 based on the present value of payments and incremental borrowing rate of 6.2%. The following schedule represents the components of the Company’s operating and finance lease assets as of March 31, 2022 (in thousands): Leases Classification March 31, 2022 Assets Operating Operating lease right-of-use assets $ 29,552 Finance Property and equipment, net 2,538 Liabilities Operating lease liabilities (current) Operating lease liabilities, current $ 5,060 Finance lease liabilities (current) Accrued and other current liabilities 642 Operating lease liabilities (non-current) Operating lease liabilities $ 28,847 Finance lease liabilities (non-current) Other long-term liabilities 1,896 The following schedule represents the components of lease expense for the fiscal year ended March 31, 2022 (in thousands): March 31, 2022 Finance Lease Costs: Amortization of right-of-use assets $ 588 Interest on lease liabilities 313 Operating lease costs 5,554 Sublease income (357) Total lease costs $ 6,098 As of March 31, 2022, the Company’s maturity of operating lease liabilities in the years ending up March 31. 2027 and thereafter are as follows (in thousands): Finance Leases Operating Leases 2023 $ 890 $ 6,963 2024 890 6,725 2025 890 6,263 2026 383 6,437 2027 9 5,284 Thereafter — 9,260 Total lease payments 3,062 40,931 Less: imputed interest (524) (7,024) Present value of lease liabilities $ 2,538 $ 33,907 Other operating leases information: Cash paid for amounts included in the measurement of lease liabilities $ 4,541 Right-of-use assets obtained in exchange for new lease liabilities $ 33,387 Weighted-average remaining term (years) 6.2 Weighted average discount rate 4.6% Other finance leases information: Cash paid for amounts included in the measurement of lease liabilities $ 588 Right-of-use assets obtained in exchange for new lease liabilities $ 3,107 Weighted-average remaining term (years) 3.5 Weighted average discount rate 11.0% In accordance with ASC 840, the following is a schedule by years of future minimum lease payments required under the operating leases that have initial or noncancelable lease terms in excess of one year as of March 31, 2021. Fiscal year ending March 31: 2022 $ 4,113 2023 4,559 2024 4,269 2025 3,798 2026 3,899 Thereafter 6,459 Total minimum lease payments $ 27,097 |
COMMITMENT AND CONTINGENCIES
COMMITMENT AND CONTINGENCIES | 12 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENT AND CONTINGENCIES | COMMITMENT AND CONTINGENCIES Lease commitments The Company entered into various non-cancelable lease agreements related to its corporate offices, warehouses, and certain equipment. For additional information regarding the Company’s lease agreements, see Note 10. Litigation |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES A reconciliation of the Company’s effective tax rate to the United States federal income tax rate is as follows: March 31, 2022 2021 2020 Federal statutory rate 21.0 % 21.00 % 21.00 % Permanent differences (1.51) (2.29) (0.88) State taxes, net of federal benefits 8.85 3.12 1.73 Change in valuation allowance (42.85) (18.26) (22.79) Interest expense (1.33) — — Warrant mark-to-market 10.11 — — Stock compensation 5.64 (1.02) — Other deferred adjustments 0.09 (2.55) — Other — — 0.94 Total — % — % — % The components of the Company’s deferred taxes are as follows (in thousands): As of March 31, 2022 2021 Deferred tax assets: Net operating loss carryforwards $ 45,807 $ 24,960 Charitable contributions 723 155 Interest expense 3,599 3,330 Lease Liabilities 9,259 — UNICAP 6,340 3,048 Stock compensation 4,280 1,379 Accruals and other 4,497 3,861 Total deferred tax assets 74,505 36,733 Valuation allowance (65,892) (36,621) Net deferred tax assets 8,613 112 Depreciation (472) (112) Lease Right-of-Use Asset (8,141) — Total deferred tax liabilities (8,613) (112) Net deferred tax assets $ — $ — As of March 31, 2022, the Company had federal net operating loss carryforwards (“NOLs”) of approximately $ 190.1 million, of which $60.5 million begin to expire in 2031 and $129.7 million can be carried forward indefinitely. The Company also had state NOLs of approximately $110.0 million which begin to expire in 2031. As of March 31, 2021, the Company had federal net operating loss carryforwards (“NOLs”) of approximately $112.3 million, of which $60.5 million begin to expire in 2031 and $51.9million can be carried forward indefinitely. The Company also had state NOLs of approximately $41.1 million which begin to expire in 2031. Net operating loss and tax credit carry-forwards are subject to review and possible adjustment by the IRS and may become subject to an annual limitation in the event of certain cumulative changes in the ownership interest of significant stockholders over a three-year period in excess of 50% as defined under Sections 382 and 383 in the Internal Revenue Code, which could limit the amount of tax attributes that can be utilized annually to offset future taxable income or tax liabilities. The amount of the annual limitation is determined based on the Company’s value immediately prior to the ownership change. Subsequent ownership changes may further affect the limitation in future years. The Company has completed a formal study through March 31, 2022 to determine if any ownership changes within the meaning of IRC Section 382 and 383 have occurred. As a result of the study, it was determined that BarkBox, Inc. experienced an ownership change on July 8, 2014; however, the limitation from the ownership change will not result in any of the NOLs or tax credits expiring unutilized. The Company has not completed a formal study related to Northern Star Acquisition Corp. and its separate NOLs from periods prior to the Merger. However, any potential ownership change is not expected to result in any of the NOLs expiring unutilized. The Company has recorded a valuation allowance against its deferred tax assets in each of the years ended March 31, 2022 and 2021, because the Company’s management believes that it is more likely than not that these assets will not be realized. As a result of generating additional net operating losses, the valuation allowance increased by approximately $ 29.3 million, from $36.6 million as of March 31, 2021 to $65.9 million as of March 31, 2022. The Company had no unrecognized tax benefits or related interest and penalties accrued for the years ended March 31, 2022, 2021 and 2020 . The Company will recognize interest and penalties related to uncertain tax positions in income tax expense. The Company is subject to U.S. federal income tax and state income tax. The statute of limitations for assessment by the IRS and state tax authorities is open for the tax years since 2017; currently, no federal or state income tax returns are under examination by the respective taxing authorities. To the extent the Company has tax attributes carryforwards, the tax years in which the attribute was generated may still be adjusted upon examination by the IRS and the state tax authorities to the extent utilized in a future period. On March 27, 2020, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act to provide relief as a result of the COVID-19 outbreak. The Company has examined the impact of the CARES Act on the business and none of the provisions have a significant impact on the Company. |
OTHER INCOME (LOSS) - NET
OTHER INCOME (LOSS) - NET | 12 Months Ended |
Mar. 31, 2022 | |
Other Income and Expenses [Abstract] | |
OTHER INCOME (LOSS) - NET | OTHER INCOME (LOSS)—NETOther income—net consisted of the following: Fiscal Year Ended March 31 2022 2021 2020 Other income — net: Other income $ 275 $ 267 $ 583 Change in fair value of warrants 33,196 (6) 3 Change in fair value of derivative liability — (925) 93 Loss on extinguishment of debt (2,024) — — Loss on warrant exercise (101) — — Settlement claim — 795 0 $ 31,346 $ 131 $ 679 |
NET LOSS PER SHARE
NET LOSS PER SHARE | 12 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
NET LOSS PER SHARE | NET LOSS PER SHARE Basic and diluted net income (loss) per share attributable to common stockholders was calculated as follows: Fiscal Year Ended March 31 2022 2021 2020 Numerator: Net loss $ (68,299) $ (31,391) $ (31,368) Less: Earnings attributable to participating securities $ — $ — $ — Net loss attributable to common stockholders—basic and diluted $ (68,299) $ (31,391) $ (31,368) Denominator: Weighted average common shares outstanding—basic and diluted 156,201,601 46,297,847 45,110,365 Net loss per share attributable to common stockholders - basic and diluted $ (0.44) $ (0.68) $ (0.70) For the fiscal year ended March 31, 2022, the Company’s potential dilutive securities, which include stock options, RSUs, warrants and convertible notes have been excluded from the computation of diluted net loss per share as the effect would be to reduce the net loss per share. Therefore, the weighted-average number of shares of common stock outstanding used to calculate both basic and diluted net loss per share attributable to common stockholders is the same for the three months and fiscal year ended March 31, 2022. For the fiscal year ended March 31, 2021, the Company’s potential dilutive securities, which include redeemable convertible preferred stock, stock options and warrants, have been excluded from the computation of diluted net loss per share as the effect would be to reduce the net loss per share. Therefore, the weighted-average number of shares of common stock outstanding used to calculate both basic and diluted net loss per share attributable to common stockholders is the same for the three months and fiscal year ended March 31, 2021. The Company excluded the following potential shares of common stock, presented based on amounts outstanding at March 31, 2022, 2021 and 2020 from the computation of diluted net loss per share attributable to common shareholders for the fiscal years ended March 31, 2022, 2021 and 2020 because including them would have had an anti-dilutive effect. As of March 31, 2022 2021 2020 Redeemable convertible preferred stock as converted to common stock — 29,139,810 29,139,810 Stock options to purchase common stock 19,331,636 29,454,960 21,178,016 Restricted stock units 4,134,053 — — Warrants to purchase common stock 13,036,333 2,044,719 2,044,719 Warrants to purchase preferred stock — 4,572 4,572 2025 convertible notes as converted to common stock 8,062,230 — — |
SEGMENTS
SEGMENTS | 12 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
SEGMENTS | SEGMENTS The Company applies ASC 280, Segment Reporting , in determining reportable segments for its financial statement disclosure. The Company has two reportable segments: Direct to Consumer and Commerce. The Direct to Consumer segment derives revenue from the sale of BarkBox, Super Chewer, BARK Bright and BARK Food subscriptions, as well as product line sales through the Company’s website, BarkShop. The Commerce segment derives revenue from the sale of toys, treats and BARK Home products through major retailers and online marketplaces. Reporting in this format provides management with the financial information necessary to evaluate the success of the segments and the overall business. There are no internal revenue transactions between the Company’s segments. The CODM reviews revenue and gross profit for both of the reportable segments. Gross profit is defined as revenue less cost of revenue incurred by the segment. The Company does not allocate assets at the reportable segment level as these are managed on an entity wide group basis and, accordingly, the Company does not report asset information by segments. Key financial performance measures of the segments including revenue, cost of revenue, and gross profit are as follows (in thousands): Fiscal Year Ended March 31 2022 2021 2020 Direct to Consumer: Revenue $ 448,074 $ 333,970 $ 204,151 Cost of revenue 187,991 128,044 79,191 Gross profit 260,083 205,926 124,960 Commerce: Revenue 59,332 44,634 20,184 Cost of revenue 37,309 24,620 9,730 Gross profit 22,023 20,014 10,454 Consolidated: Revenue 507,406 378,604 224,335 Cost of revenue 225,300 152,664 88,921 Gross profit $ 282,106 $ 225,940 $ 135,414 |
401(k)
401(k) | 12 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
401(k) | 401(k)The Company sponsors a 401(k) defined contribution plan covering all eligible U.S. employees. Subject to certain Internal Revenue Service (“IRS”) limits, eligible employees may elect to contribute from 1% to 100% of their compensation. Company contributions to the plan are at the sole discretion of the Company’s Board. Currently, the Company does not provide a 401(k) match. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Mar. 31, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTSOn May 27, 2022, the company amended the Western Alliance Agreement to extend the Credit Facility maturity date to June 30, 2022. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation—The consolidated financial statements and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States of America (US GAAP) as determined by the Financial Accounting Standards Board (“FASB”). |
Use of Estimates | Use of Estimates— The preparation of the consolidated financial statements in conformity with US GAAP and regulations of the U.S. Securities and Exchange Commission requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period covered by the financial statements and accompanying notes. The most significant estimates relate to determination of fair value of the Company’s allowance for uncollectible accounts receivable, allowance for inventory obsolescence, stock-based compensation and the valuation of embedded derivatives. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment, and records adjustments when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ from those estimates. |
Principles of Consolidation | Principles of Consolidation —The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. |
Liquidity and Capital Resources | Liquidity and Capital Resources— Since inception, the Company has funded its operations primarily with cash flows from operations and issuances of preferred stock and convertible notes. |
Off-Balance Sheet Arrangements | As of March 31, 2022, the Company had no obligations, assets or liabilities, which would be considered off-balance sheet arrangements. The Company does not participate in transactions that create relationships with unconsolidated entities or financial partnerships, often referred to as variable interest entities, which would have been established for the purpose of facilitating off-balance sheet arrangements. |
Segments | Segments —The Company has determined that its chief executive officer is the chief operating decision maker (“CODM”). The Company operates and manages the business as two reporting segments: Direct to Consumer and Commerce. See Note 15 for further details. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments —The Company’s financial instruments, including cash and cash equivalents, accounts receivable, prepaid expenses and other current assets, accounts payable, and accrued expenses, are carried at historical cost. At March 31, 2022 and 2021, the carrying amounts of these instruments approximated their fair values because of their short-term nature. The carrying amounts of the Company’s long-term debt approximate fair value based on consideration of current borrowing rates available to the Company. Assets and liabilities recorded at fair value on a recurring basis in the consolidated balance sheets are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the exchange price that would be received for an asset or an exit price that would be paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The authoritative guidance on fair value measurements establishes a three-tier fair value hierarchy for disclosure of fair value measurements as follows: Level 1 —Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date; Level 2 —Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities; and Level 3 —Unobservable inputs that are supported by little or no market data for the related assets or liabilities. |
Cash and Cash Equivalents | Cash and Cash Equivalents —Cash and cash equivalents represent cash and highly liquid investments with an original contractual maturity at the date of purchase of three months or less. As of March 31, 2022 and 2021, cash consists primarily of checking and operating accounts. |
Restricted Cash | Restricted Cash—The Company has restricted cash with its primary bank related lease security deposits. |
Accounts Receivable—Net | Accounts Receivable — Net |
Concentration of Credit Risk and Major Customers and Suppliers | Concentration of Credit Risk and Major Customers and Suppliers —Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. The Company maintains cash and cash equivalents with one domestic financial institution of high credit quality. The Company’s accounts receivable are derived from sales contracts with large retail customers. The Company maintains reserves for potential credit losses on customer accounts when deemed necessary. |
Property and Equipment—Net | Property and Equipment — Net —Property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation, and amortization is provided for using the straight-line method over the estimated useful lives of the assets. Leasehold improvements are amortized using the straight-line method over the shorter of the lease term or estimated useful life of the asset. Depreciation, and amortization expense includes the amortization of finance lease assets. Costs of maintenance and repairs that do not improve or extend the lives of the respective assets are expensed as incurred. Upon retirement or sale, the cost and related accumulated depreciation and amortization are removed from the consolidated balance sheets and the resulting gain or loss is reflected in general and administrative expenses in the consolidated statements of operations and comprehensive loss. |
Long-Lived Assets and Intangible Assets—Net | Long-Lived Assets and Intangible Assets — Net —The Company capitalizes qualifying internally-developed software development costs incurred during the application development stage, as long as it is probable the project will be completed, and the software will be used to perform the function intended. Capitalization of such costs ceases once the project is substantially complete and ready for its intended use. Costs related to maintenance of internal-use software are expensed in the period incurred. Capitalized costs are amortized over the project’s estimated useful life of three years. Software development costs consist primarily of salary and benefits for the Company’s development staff and third-party contractors’ fees. Capitalized software development costs are included in intangible assets on the consolidated balance sheets and amortized to depreciation expense included in general and administrative expenses on the consolidated statement of operations and comprehensive loss for the fiscal years ended March 31, 2022, 2021, and 2020. The Company assesses long-lived assets for impairment in accordance with the provisions of Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 360, Property, Plant and Equipment . A long-lived asset (asset group) is tested for recoverability whenever events or changes in circumstances indicate that its carrying amount may not be recoverable. The carrying amount of a long-lived asset is not recoverable if it exceeds the sum of the undiscounted future cash flows expected to result from the use and eventual disposition of the asset. The amount of impairment loss, if any, is measured as the difference between the carrying value of the asset and its estimated fair value. The Company estimates fair value based on the best information available, making necessary estimates, judgments and projections. For purposes of these tests, long-lived assets must be grouped with other assets and liabilities at the lowest level for which identifiable cash flows are largely independent of the cash flows of other assets and liabilities. There were no impairments of long-lived assets for the fiscal years ended March 31, 2022, 2021, and 2020. |
Leases | Leases —The Company determine if an arrangement is a lease at inception, and leases are classified at commencement as either operating or finance leases. Right-of-use (“ROU”) assets and lease liabilities are recognized at commencement date based on the present value of the future minimum lease payments over the lease term. ROU assets also include any lease payments made. Operating lease ROU assets are presented separately in current and non-current assets and finance lease ROU assets are included in property and equipment, net on the Company’s consolidated balance sheets. As the Company’s operating leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on information available at the commencement date in determining the present value of future payments. This rate is an estimate of the collateralized borrowing rate the Company would incur on its future lease payments over a similar term based on the information available at commencement date. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. As of March 31, 2022 and 2021, the Company did not include any options to extend leases in its lease terms as it was not reasonably certain to exercise them. The Company’s lease agreements do not contain residual value guarantees or covenants. |
Income Taxes | Income Taxes —The Company accounts for income taxes under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to operating loss carryforwards and temporary differences between financial statement bases of existing assets and liabilities and their respective income tax bases. Deferred tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in the income tax rates on deferred tax asset and liability balances is recognized in income in the period that includes the enactment date of such rate change. A valuation allowance is recorded for loss carryforwards and other deferred tax assets when it is determined that it is more likely than not that such loss carryforwards and deferred tax |
Deferred Financing Costs | Deferred Financing Costs —Deferred financing fees relate to the external costs incurred to obtain financing for the Company. Deferred financing fees are amortized over the respective term of the financing using the effective interest method. Deferred financing fees are presented on the consolidated balance sheets as a reduction to long-term debt. |
Derivative Assets and Liabilities | Derivative Assets and Liabilities —The Company’s convertible note agreement contains features determined to be embedded derivatives from its host. Embedded derivatives are separated from the host contract and carried at fair value when the embedded derivative possesses economic characteristics that are not clearly and closely related to the economic characteristics of the host contract and a separate, standalone instrument with the same terms would qualify as a derivative instrument. The derivative is measured both initially and in subsequent periods at fair value, with changes in fair value recognized on the statement of operations and comprehensive loss. |
Revenue Recognition | Revenue Recognition —The Company recognizes revenue upon the transfer of control of its products and services to its customers. The recognition of revenue is determined through application of the following five-step model: • Identification of the contract(s) with customers; • Identification of the performance obligation(s) in the contract; • Determination of the transaction price; • Allocation of the transaction price to the performance obligation(s) in the contract; and • Recognition of revenue when or as the performance obligation(s) are satisfied. The Company generates revenue through Direct to Consumer channels, which includes the sale of subscription products, sale of BARK Bright products, sale of BARK Food products, and sale of BarkShop products. See below for additional information on each offering. Toys and Treats Subscriptions —The Company’s principal revenue generating products are a tailored assortment of premium and highly durable toys and treats sold in boxes through BarkBox and Super Chewer monthly subscriptions. Subscription plans are offered as monthly, three month, six month or annual commitments. BarkBox and Super Chewer subscription rates vary based on the type of subscription plan selected by the customer, with Super Chewer’s price point being slightly higher based on additional costs of the more durable product, but resulting in similar gross margins. Each delivered box represents a single performance obligation and the Company bears the risk of loss if a shipment is not received or is damaged. Subscription revenue is recognized at a point in time as control is transferred to the customer upon delivery of each monthly box. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products, which includes an estimate of future returns and chargebacks based on historical rates. The transaction price is inclusive of fixed discounts which represent a reduction to revenue for each performance obligation. There is judgement in utilizing historical trends for estimating future returns. As of March 31, 2022 and 2021, the refund liability related to revenue for subscriptions was $0.9 million and $1.2 million, respectively, and is recorded within accrued and other current liabilities on the consolidated balance sheets. On a monthly basis, subscription customers have the option to purchase additional toys, treats, or other products to add to their respective subscription boxes. Each add on product represents a single performance obligation and therefore revenue is recognized at a point in time as control is transferred to the customer upon delivery of goods to the customer. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. BARK Bright —The initial product in this product line is a proprietary enzymatic dental solution combined with a treat for dogs to prevent and combat oral health issues, sold through monthly subscriptions. Each delivered box represents a single performance obligation and therefore subscription revenue is recognized at a point in time as control is transferred to the customer upon delivery of each monthly box. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. BARK Food —This product line consists of personalized meals for dogs sold at a meal per day price. Subscription revenue is recognized at a point in time, as control is transferred to the customer upon delivery. BarkShop —The Company sells individual toys and treats through the Company’s website, BarkShop. Revenue relating to the sale of goods on BarkShop is recognized at a point in time upon delivery of goods to the customer. Each delivery represents a single performance obligation and the Company bears the risk of loss if a shipment is not received or is damaged. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. C ustomers have the right to return products for thirty days subsequent to delivery. The Company also generates revenue from product sales through retail commerce channels. See below for additional information on each offering. Retail —The Company sells toys and treats through major retailers. Revenue is recognized at a point in time, as control is transferred upon delivery of goods to the retailers. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. Retail sales are generally recognized upon delivery with adjustments to net sales for customer payment discounts, sales returns, and estimated chargebacks allowances. Similar to Toys and Treats subscriptions, the customer payment discounts, sales returns and chargebacks are considered to be contingent and represents a component of variable consideration. The estimated consideration reflects potential sales returns and chargebacks as a reduction in the transaction price. The Company has determined that the expected value method will provide the best predictor for a refund liability associated with sales returns and chargebacks. The estimate is recorded in total for sales transactions recorded in each period and, in effect, represents a reduction in the transaction price at the time of sale. As of March 31, 2022 and 2021, the refund liability related to retail revenue was $0.4 million and $0.1 million, respectively, recorded within accrued and other current liabilities on the consolidated balance sheet. Online Marketplaces —Online marketplaces revenue consists of sales of toys, BARK Bright health and wellness solutions and BARK Home products sold through major online marketplaces. BARK Home consists of an assortment of proprietary essential products for daily life, including dog beds, bowls, collars, harnesses and leashes. Online marketplaces revenue is recognized at a point in time, as control is transferred, upon delivery of goods to the end customer. Revenue is measured as the amount of consideration the Company expects to be entitled to in exchange for transferring products. The Company evaluated principal versus agent considerations to determine whether it is appropriate to record seller fees paid to the marketplaces as an expense or as a reduction of revenue. Seller fees charged by third-party marketplaces are recorded as general and administrative expense and are not recorded as a reduction of revenue as the Company owns and controls all the goods before they are transferred to the end customer. The Company can, at any time, direct the marketplaces and similarly with other third-party logistics providers (“Logistics Providers”), to return the Company’s inventory to any location specified by the Company. Any returns made by customers directly to Logistics Providers are the responsibility of the Company to make customers whole and the Company retains the inventory risk. Further, the Company is subject to credit risk (i.e., credit card chargebacks), establishes the prices of its products, can determine who fulfills the goods to the customer (third-party online marketplaces or the Company) and can limit quantities or stop selling the goods at any time. Based on these considerations, the Company is the principal in these arrangements. The Company earned revenue from the sale of Toys and Treats subscriptions, and the sale of goods through the Company’s BarkShop website. Deferred revenue represented payment for subscription boxes that the Company was contractually obligated to deliver in future periods. Subscription revenue was recognized as each monthly box was delivered to the customer. Revenue was recognized net of cash discounts given to the customer and net of estimated sales returns and chargebacks. Revenue relating to the sale of goods was recognized upon delivery of goods to the customer, as the risk of loss on these sales transfers to the customer upon delivery. Shipping and Handling —The Company includes costs associated with the outbound shipping and handling of its products as a component of general and administrative expenses in the consolidated statements of operations and comprehensive loss. Shipping and handling fees billed to the customers are recorded as revenue. |
Sales Tax | Sales Tax—As a part of the Company’s normal course of business, sales taxes are collected from customers. Sales taxes collected are remitted to the appropriate governmental tax authority on behalf of the customer. Sales tax collected from customers is not considered revenue and is included in accrued and other current liabilities until remitted. On June 21, 2018, the U.S. Supreme Court decided, in South Dakota v. Wayfair, Inc. that state and local jurisdictions may, at least in certain circumstances, enforce a sales and use tax collection obligation on remote vendors that have no physical presence in such jurisdiction. A number of states have positioned themselves to require sales and use tax collection by remote vendors and/or by online marketplaces. The details and effective dates of these collection requirements vary from state to state and accordingly, the Company recorded a liability in those periods in which it created economic nexus based on each state’s requirements. |
Inventories | Inventories —Consist principally of finished goods, and represent products available for sale and are accounted for using the first-in, first-out (“FIFO”) method and valued at the lower of cost or net realizable value. Inventory costs consist of product and inbound shipping and handling costs. The Company assesses the valuation of inventory and periodically writes down the value for estimated excess and obsolete inventory based upon estimates of future demand and market conditions. Inventory valuation requires the Company to make judgments, based on information available at each reporting period. Inventory valuation losses are recorded as cost of revenues. |
Cost of Revenues | Cost of Revenues —Cost of revenues includes the purchase price of inventory sold, inbound freight costs associated with inventory, shipping supply costs, and inventory shrinkage costs. |
General and Administrative | General and Administrative—General and administrative expenses include compensation and benefits costs, including stock-based compensation expense, facility costs, insurance, professional service fees, donations of goods in kind and other general overhead costs including depreciation and amortization and account management support teams, as well as commissions. General and administrative expense also includes processing fees charged by third parties that provide payment processing services for credit cards. |
Fulfillment Cost | Fulfillment Cost—Fulfillment costs represent those costs incurred in operating and staffing fulfillment and customer service centers, including costs attributable to receiving, inspecting, picking, packaging and preparing customer orders for shipment, outbound freight costs associated with shipping orders to customers, and responding to inquiries from customers. |
Advertising Cost | Advertising Costs—Costs associated with the Company’s advertising and sales promotions are expensed as incurred and are included in advertising and marketing expense in the consolidated statements of operations and comprehensive loss. |
Stock-Based Compensation | Stock-Based Compensation —The Company measures and records the expense related to stock-based payment awards based on the fair value of those awards as determined on the date of grant. The Company recognizes stock-based compensation expense over the requisite service period of the individual grant, generally equal to the vesting period and uses the straight-line method to recognize stock-based compensation. For stock options with performance conditions, the Company records compensation expense when it is deemed probable that the performance condition will be met. The Company uses the Black-Scholes option-pricing model to determine the fair value of stock awards. The Company estimates expected forfeitures of stock-based awards at the grant date and recognizes compensation cost only for those awards expected to vest. The Company estimates future forfeitures at the date of grant based on historical experience and revises the estimates, if necessary, in subsequent periods if actual forfeitures differ from those estimates. For stock-based awards issued to nonemployees, including consultants, the Company records expense related to stock options based on the fair value of the options calculated using the Black-Scholes option-pricing model over the service performance period. The fair value of options granted to nonemployees is remeasured over the vesting period and recognized as an expense over the period the services are rendered. The Company calculates the fair value of options granted by using the Black-Scholes option-pricing model with the following assumptions: Expected Volatility —The Company estimated volatility for option grants by evaluating the average historical volatility of a peer group of companies for the period immediately preceding the option grant for a term that is approximately equal to the options’ expected life. Expected Term —The expected term of the Company’s options represents the period that the stock-based awards are expected to be outstanding. The Company has elected to use the simplified method to compute the expected term, which the Company believes is representative of future behavior. The Company will continue to evaluate the appropriateness of utilizing such method. Risk-Free Interest Rate —The risk-free interest rate is based on the implied yield currently available on U.S. Treasury zero-coupon issues with an equivalent remaining term at the grant date. Dividend Yield —The Company has not declared or paid dividends to date and does not anticipate declaring dividends. As such, the dividend yield has been estimated to be zero. Common Stock Valuations — Since the closing of the Merger, the fair value of the common stock was determined using the Company’s closing stock price as reported on the New York Stock Exchange. Prior to the Closing of the Merger the Company had historically granted stock options at exercise prices equal to the fair value as determined by the Board of Directors (the “Board”) on the date of grant. In the absence of a public trading market, the Board, with input from management, exercised significant judgment and considered numerous objective and subjective factors to determine the fair value of the Company’s common stock as of the date of each stock option grant. In addition, the Board considered the independent valuations completed by a third-party valuation consultant. The valuations of the Company’s common stock were determined in accordance with the guidelines outlined in the American Institute of Certified Public Accountants Practice Aid, Valuation of Privately-Held-Company Equity Securities Issued as Compensation. |
Net Loss Per Share | Net Loss Per Share —Basic net loss per share attributable to common stockholders is computed by dividing the loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during the period, without consideration for potentially dilutive securities. Diluted net loss per share is computed by dividing the loss attributable to common stockholders by the weighted-average number of shares of common stock and potentially dilutive securities outstanding during the period determined using the treasury-stock and if-converted methods. For purposes of the diluted loss per share calculation, stock options, redeemable convertible preferred stock and warrants are considered to be potentially dilutive securities, but were excluded from the calculation of diluted loss per share because their effect would be anti-dilutive and therefore, basic and diluted loss per share were the same for all periods presented. |
Related Party Transactions | Related Party Transactions —Parties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. Parties are also considered to be related if they are subject to common control. Related parties may be individuals or corporate entities. A transaction is considered to be a related party transaction when there is a transfer of resources or obligations between related parties. As of March 31, 2022 there were no material related party arrangements. The only material related party arrangement as of March 31 |
Recent Accounting Pronouncements Adopted and Recent Accounting Pronouncements Issued but Not Yet Adopted | Recent Accounting Pronouncements Adopted In June 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. ASU 2016-13 requires an entity to utilize a new impairment model known as the current expected credit loss (“CECL”) model to estimate its lifetime “expected credit loss” and record an allowance that, when deducted from the amortized cost basis of the financial asset, presents the net amount expected to be collected on the financial asset. The CECL model is expected to result in more timely recognition of credit losses. ASU 2016-13 also requires new disclosures for financial assets measured at amortized cost, loans, and available-for-sale debt securities. The Company adopted this ASU in its fourth quarter of the fiscal year ended March 31, 2022, the effects of which were recognized effective April 1, 2021, using a modified retrospective approach. The adoption did not have a material impact on the Company’s consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842), which introduced and codified new lease accounting guidance under ASC 842. This standard requires lessees to record a lease liability, initially measured at the present value of future lease payments, and a right-of-use asset, associated with operating leases, on its balance sheet. The standard also requires a single lease expense to be recognized within the statement of operations on a straight-line basis over the lease term. The Company adopted this ASU in its fourth quarter of the fiscal year ended March 31, 2022, the effects of which were recognized effective April 1, 2021. The adoption of the ASU resulted in the Company recording lease liabilities for $36.4 million and right-of-use assets for $32.1 million associated with its operating leases and finance leases on its consolidated balance sheet as of March 31, 2022, and did not have a significant effect on the consolidated statement of operations and comprehensive loss or consolidated statement of cash flows. The adoption resulted also in no cumulative adjustment to retained earnings. The Company utilized the modified retrospective transition approach, whereby all prior periods continue to be reported and disclosed under previous lease accounting guidance, ASC Topic 840, Leases. Current periods beginning on or after April 1, 2022 are presented under ASC Topic 842, Leases. See Note 10 for further details. The Company elected to use the package of practical expedients permitted under the transition guidance. The Company did not reassess (i) whether any expired or existing contracts are or contain leases, (ii) the lease classification for any expired or existing leases, or (iii) initial direct costs for any existing leases. Additionally, the Company elected to not record on the balance sheet leases with a term of twelve months or less. Recent Accounting Pronouncements Issued but Not Yet Adopted In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which is intended to simplify the accounting for income taxes. This updated removes certain exceptions to the general principles in Topic 740 and also clarifies and amends existing guidance to improve consistent application. The new standard will be effective beginning April 1, 2022. The Company does not expect the adoption of ASU 2019-12 to have a material impact on the Company’s consolidated financial statements. In August 2020, the FASB issued ASU 2020-06, Debt-Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging-Contracts in Entity’s Own Equity (Subtopic 815-40), which simplifies the accounting for convertible instruments by removing major separation models required under current guidance. ASU 2020-06 also removes certain settlement conditions that are required for equity contracts to qualify for the derivative scope exception and simplifies the diluted earnings per share calculation in certain areas. ASU 2020-06 is effective for annual reporting periods beginning after December 15, 2021, including interim periods within those annual reporting periods, with early adoption permitted. The Company is currently evaluating the impact ASU 2020-06 will have on its financial statements and related disclosures. The Company does not expect the adoption of ASU 2020-06 to have a material impact on the Company’s consolidated financial statements. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following summarizes assets and liabilities that are measured at fair value on a recurring basis, by level, within the fair value hierarchy (in thousands): As of March 31, 2022 Level 1 Level 2 Level 3 Total Liabilities Public warrant liability (1) $ 5,516 $ — $ — $ 5,516 Private warrant liability (1) $ — $ 2,963 $ — $ 2,963 $ 5,516 $ 2,963 $ — $ 8,479 As of March 31, 2021 Level 1 Level 2 Level 3 Total Liabilities Preferred stock warrant liabilities (1) $ — $ — $ 133 $ 133 Derivative liabilities (2) — — $ 4,883 $ 4,883 $ — $ — $ 5,016 $ 5,016 ______________ (1) Included in accrued and other current liabilities. (2) Included in other long-term liabilities. |
Summary of Liabilities Measured at Fair Value on a Recurring Basis | A summary of the activity of the Level 3 liabilities carried at fair value on a recurring basis from March 31, 2021 through March 31, 2022 is as follows: Balance at March 31, 2021 $ 5,016 Change in fair value of preferred stock warrants 664 Settlement of derivative liability due to 2019 & 2020 Notes conversion (4,883) Settlement of warrant liability upon exercise of warrant (797) Balance at March 31, 2022 $ — |
Schedule of Property, Plant and Equipment, Estimated Useful Lives | The estimated useful lives for significant property and equipment categories are as follows: Asset Class Useful Life Computer equipment, software, and domain names 3 years Warehouse machinery and equipment 5 years Furniture and fixtures 5 years Leased equipment and leasehold improvements Shorter of remaining lease term or estimated useful life |
REVENUE FROM CONTRACTS WITH C_2
REVENUE FROM CONTRACTS WITH CUSTOMERS (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregated Revenue | Revenue disaggregated by significant revenue stream for the fiscal years ended March 31, 2022, 2021, and 2020 were as follows (in thousands): Fiscal Year Ended March 31, 2022 2021 2020 Revenue Direct to Consumer: Toys and treats subscription $ 435,389 $ 325,992 $ 199,744 Other 12,685 7,978 4,407 Total Direct to Consumer $ 448,074 $ 333,970 $ 204,151 Commerce 59,332 44,634 20,184 Revenue $ 507,406 $ 378,604 $ 224,335 |
PROPERTY AND EQUIPMENT AND IN_2
PROPERTY AND EQUIPMENT AND INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consisted of the following as of March 31, 2022 and 2021: March 31, 2022 2021 Computer equipment, software, and domain names $ 4,822 $ 3,423 Warehouse machinery and equipment 13,309 3,292 Furniture and fixtures 1,195 992 Leasehold improvements 12,039 6,338 Construction in process 3,596 3,392 Total property and equipment 34,961 17,437 Less: accumulated depreciation (6,833) (3,972) Property and equipment—net $ 28,128 $ 13,465 |
Schedule of Intangible Assets | Intangible assets consisted of the following as of March 31, 2022 and 2021: March 31, 2022 2021 Internally developed software $ 6,268 $ 3,038 Less: accumulated amortization $ (2,431) $ (968) Intangible assets—net $ 3,837 $ 2,070 |
ACCRUED AND OTHER CURRENT LIA_2
ACCRUED AND OTHER CURRENT LIABILITIES (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the following as of March 31, 2022 and 2021: March 31, 2022 2021 Warrant liability $ 8,479 $ 133 Sales tax payable 9,163 24,164 Accrued compensation costs 3,421 3,287 Refund liability 1,275 1,292 Accrued licensing fees 190 209 Accrued deferred financing fees 3,000 3,000 Accrued professional and legal fees 1,246 2,484 Accrued marketing costs 464 4,199 Other accrued expenses 7,930 5,837 Accrued and other current liabilities $ 35,168 $ 44,605 |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | As of March 31, 2022 and 2021, long-term debt consisted of the following: March 31, 2022 2021 2025 Convertible Notes $ 79,171 $ 75,000 Western Alliance revolving line of credit & term loan — 34,300 Convertible promissory notes — 7,167 PPP loan — 5,157 79,171 121,624 Less: deferred financing fees and debt discount (2,981) (5,895) Total long-term debt $ 76,190 $ 115,729 |
REDEEMABLE CONVERTIBLE PREFER_2
REDEEMABLE CONVERTIBLE PREFERRED STOCK (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Temporary Equity [Abstract] | |
Schedule of Redeemable Convertible Preferred Stock | The following table summarizes issued and outstanding redeemable convertible preferred stock of Legacy BARK as of both immediately prior to the Closing Date and March 31, 2021 (in thousands, except share and per share information): Redeemable Convertible Preferred Stock Shares Carrying Value Series Seed 2,057,188 $ 1,897 Series A 2,110,400 4,948 Series B 990,068 10,285 Series C 2,142,188 34,585 Series C-1 452,671 8,272 |
STOCK-BASED COMPENSTION PLANS (
STOCK-BASED COMPENSTION PLANS (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Stock Option Activity | The following is a summary of stock option activity for the fiscal year ended March 31, 2022: Number Options Outstanding Weighted- Average Exercise Price Weighted-Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Outstanding as of March 31, 2021 29,454,960 2.08 5.34 $ 251,553 Granted 1,435,386 7.70 Exercised (7,322,815) 0.56 Cancelled or forfeited (4,167,331) 3.22 Expired (68,564) 0.06 Outstanding as of March 31, 2022 19,331,636 $ 2.83 7.17 $ 38,332 Vested and expected to vest as of March 31, 2022 17,759,831 $ 2.52 7.04 $ 37,058 Exercisable as of March 31, 2022 13,877,397 $ 1.71 6.65 $ 32,724 |
Summary of Assumptions for Black-Scholes Option Pricing Model | Fiscal Year Ended March 31, 2022 2021 2020 Expected term (years) 5.24 5.26 5.08 Expected volatility 62.96 % 76.48 % 45.65 % Risk-free interest rate 1.16 % 0.19 % 1.71 % Expected dividend yield — % — % — % |
Summary of Stock-based Compensation Expense by Function | The following table summarizes the total stock-based compensation expense by function for the fiscal years ended March 31, 2022, 2021, and 2020 which includes expense related to options and restricted stock units (in thousands): Fiscal Year ended March 31, 2022 2021 2020 General and administrative $17,063 $6,298 $1,757 Advertising and marketing 797 224 60 Total stock-based compensation expense $17,861 $6,522 $1,817 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Schedule of Operating And Finance Lease Assets and Liabilities | The following schedule represents the components of the Company’s operating and finance lease assets as of March 31, 2022 (in thousands): Leases Classification March 31, 2022 Assets Operating Operating lease right-of-use assets $ 29,552 Finance Property and equipment, net 2,538 Liabilities Operating lease liabilities (current) Operating lease liabilities, current $ 5,060 Finance lease liabilities (current) Accrued and other current liabilities 642 Operating lease liabilities (non-current) Operating lease liabilities $ 28,847 Finance lease liabilities (non-current) Other long-term liabilities 1,896 |
Schedule of Lease Cost and Other Information | The following schedule represents the components of lease expense for the fiscal year ended March 31, 2022 (in thousands): March 31, 2022 Finance Lease Costs: Amortization of right-of-use assets $ 588 Interest on lease liabilities 313 Operating lease costs 5,554 Sublease income (357) Total lease costs $ 6,098 Other operating leases information: Cash paid for amounts included in the measurement of lease liabilities $ 4,541 Right-of-use assets obtained in exchange for new lease liabilities $ 33,387 Weighted-average remaining term (years) 6.2 Weighted average discount rate 4.6% Other finance leases information: Cash paid for amounts included in the measurement of lease liabilities $ 588 Right-of-use assets obtained in exchange for new lease liabilities $ 3,107 Weighted-average remaining term (years) 3.5 Weighted average discount rate 11.0% |
Schedule of Finance Lease Liability Fiscal Year Maturity (Topic 842) | As of March 31, 2022, the Company’s maturity of operating lease liabilities in the years ending up March 31. 2027 and thereafter are as follows (in thousands): Finance Leases Operating Leases 2023 $ 890 $ 6,963 2024 890 6,725 2025 890 6,263 2026 383 6,437 2027 9 5,284 Thereafter — 9,260 Total lease payments 3,062 40,931 Less: imputed interest (524) (7,024) Present value of lease liabilities $ 2,538 $ 33,907 |
Schedule of Operating Lease Liability Maturity (Topic 842) | As of March 31, 2022, the Company’s maturity of operating lease liabilities in the years ending up March 31. 2027 and thereafter are as follows (in thousands): Finance Leases Operating Leases 2023 $ 890 $ 6,963 2024 890 6,725 2025 890 6,263 2026 383 6,437 2027 9 5,284 Thereafter — 9,260 Total lease payments 3,062 40,931 Less: imputed interest (524) (7,024) Present value of lease liabilities $ 2,538 $ 33,907 |
Schedule of Future Minimum Rental Payments for Operating Leases (Topic 840) | In accordance with ASC 840, the following is a schedule by years of future minimum lease payments required under the operating leases that have initial or noncancelable lease terms in excess of one year as of March 31, 2021. Fiscal year ending March 31: 2022 $ 4,113 2023 4,559 2024 4,269 2025 3,798 2026 3,899 Thereafter 6,459 Total minimum lease payments $ 27,097 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Reconciliation of Effective Income Tax Rate | A reconciliation of the Company’s effective tax rate to the United States federal income tax rate is as follows: March 31, 2022 2021 2020 Federal statutory rate 21.0 % 21.00 % 21.00 % Permanent differences (1.51) (2.29) (0.88) State taxes, net of federal benefits 8.85 3.12 1.73 Change in valuation allowance (42.85) (18.26) (22.79) Interest expense (1.33) — — Warrant mark-to-market 10.11 — — Stock compensation 5.64 (1.02) — Other deferred adjustments 0.09 (2.55) — Other — — 0.94 Total — % — % — % |
Schedule of Deferred Taxes | The components of the Company’s deferred taxes are as follows (in thousands): As of March 31, 2022 2021 Deferred tax assets: Net operating loss carryforwards $ 45,807 $ 24,960 Charitable contributions 723 155 Interest expense 3,599 3,330 Lease Liabilities 9,259 — UNICAP 6,340 3,048 Stock compensation 4,280 1,379 Accruals and other 4,497 3,861 Total deferred tax assets 74,505 36,733 Valuation allowance (65,892) (36,621) Net deferred tax assets 8,613 112 Depreciation (472) (112) Lease Right-of-Use Asset (8,141) — Total deferred tax liabilities (8,613) (112) Net deferred tax assets $ — $ — |
OTHER INCOME (LOSS) - NET (Tabl
OTHER INCOME (LOSS) - NET (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Nonoperating Income (Expense) | Other income—net consisted of the following: Fiscal Year Ended March 31 2022 2021 2020 Other income — net: Other income $ 275 $ 267 $ 583 Change in fair value of warrants 33,196 (6) 3 Change in fair value of derivative liability — (925) 93 Loss on extinguishment of debt (2,024) — — Loss on warrant exercise (101) — — Settlement claim — 795 0 $ 31,346 $ 131 $ 679 |
NET LOSS PER SHARE (Tables)
NET LOSS PER SHARE (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Net Income (Loss) Per Share, Basic and Diluted | Basic and diluted net income (loss) per share attributable to common stockholders was calculated as follows: Fiscal Year Ended March 31 2022 2021 2020 Numerator: Net loss $ (68,299) $ (31,391) $ (31,368) Less: Earnings attributable to participating securities $ — $ — $ — Net loss attributable to common stockholders—basic and diluted $ (68,299) $ (31,391) $ (31,368) Denominator: Weighted average common shares outstanding—basic and diluted 156,201,601 46,297,847 45,110,365 Net loss per share attributable to common stockholders - basic and diluted $ (0.44) $ (0.68) $ (0.70) |
Schedule of Antidilutive Securities Excluded from Computation of Net Loss Per Share | The Company excluded the following potential shares of common stock, presented based on amounts outstanding at March 31, 2022, 2021 and 2020 from the computation of diluted net loss per share attributable to common shareholders for the fiscal years ended March 31, 2022, 2021 and 2020 because including them would have had an anti-dilutive effect. As of March 31, 2022 2021 2020 Redeemable convertible preferred stock as converted to common stock — 29,139,810 29,139,810 Stock options to purchase common stock 19,331,636 29,454,960 21,178,016 Restricted stock units 4,134,053 — — Warrants to purchase common stock 13,036,333 2,044,719 2,044,719 Warrants to purchase preferred stock — 4,572 4,572 2025 convertible notes as converted to common stock 8,062,230 — — |
SEGMENTS (Tables)
SEGMENTS (Tables) | 12 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Key financial performance measures of the segments including revenue, cost of revenue, and gross profit are as follows (in thousands): Fiscal Year Ended March 31 2022 2021 2020 Direct to Consumer: Revenue $ 448,074 $ 333,970 $ 204,151 Cost of revenue 187,991 128,044 79,191 Gross profit 260,083 205,926 124,960 Commerce: Revenue 59,332 44,634 20,184 Cost of revenue 37,309 24,620 9,730 Gross profit 22,023 20,014 10,454 Consolidated: Revenue 507,406 378,604 224,335 Cost of revenue 225,300 152,664 88,921 Gross profit $ 282,106 $ 225,940 $ 135,414 |
ORGANIZATION AND DESCRIPTION _2
ORGANIZATION AND DESCRIPTION OF BUSINESS - Narrative (Details) | Mar. 31, 2022keyCategory |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of key categories | 4 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) | Jun. 01, 2021USD ($) | Mar. 31, 2022USD ($)segment | Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($) | Apr. 01, 2021USD ($) | Nov. 20, 2020shares |
Concentration Risk [Line Items] | ||||||
PIPE issuance consideration | $ 427,100,000 | |||||
Recognized net loss | $ (68,299,000) | $ (31,391,000) | $ (31,368,000) | |||
Recognized net loss | $ (68,299,000) | (31,391,000) | (31,368,000) | |||
Number of reporting segments | segment | 2 | |||||
Warrants issued per share, percent | shares | 0.3333 | |||||
Restricted cash | $ 2,282,000 | 1,453,000 | 0 | |||
Allowance for doubtful accounts | $ 300,000 | 100,000 | ||||
Intangible asset, useful life | 3 years | |||||
Impairments of long-lived assets | $ 0 | 0 | 0 | |||
Refund liability | 1,275,000 | 1,292,000 | ||||
Sales tax payable | 9,163,000 | 24,164,000 | ||||
Accrued sales taxes collected not remitted | 3,100,000 | 14,500,000 | ||||
Sales tax expense | 600,000 | 1,200,000 | 5,000,000 | |||
Inventory reserve balance | 8,800,000 | 1,600,000 | ||||
Advertising costs | 63,700,000 | 60,100,000 | 39,700,000 | |||
Material related party transaction amount | 0 | |||||
Accounting Standards Update 2016-02 | ||||||
Concentration Risk [Line Items] | ||||||
Lease liability | $ 36,400,000 | |||||
Lease right-of-use asset | $ 32,100,000 | |||||
General and administrative | ||||||
Concentration Risk [Line Items] | ||||||
Credit cards payment processing fees | 10,800,000 | 8,400,000 | 5,700,000 | |||
Fulfillment costs | 150,500,000 | 94,900,000 | $ 53,400,000 | |||
Accrued and Other Current Liabilities | Sales Channel, Through Intermediary | ||||||
Concentration Risk [Line Items] | ||||||
Refund liability | 400,000 | 100,000 | ||||
Subscription and Circulation | Accrued and Other Current Liabilities | ||||||
Concentration Risk [Line Items] | ||||||
Refund liability | $ 900,000 | $ 1,200,000 | ||||
Accounts Receivable | Customer Concentration Risk | Two Customers | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 59.00% | |||||
Accounts Receivable | Customer Concentration Risk | Three Customers | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 84.00% | |||||
Accounts Receivable | Segment Concentration Risk | Commerce | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 11.70% | 11.80% | ||||
Finished Goods | Supplier Concentration Risk | Two Suppliers | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 27.00% | 30.00% | ||||
Accounts Payable | Supplier Concentration Risk | Two Suppliers | ||||||
Concentration Risk [Line Items] | ||||||
Concentration risk, percentage | 26.00% | 44.00% |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Summary of Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | $ 8,479 | $ 133 |
Fair Value, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | 4,883 | |
Total | 8,479 | 5,016 |
Fair Value, Recurring | Public Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 5,516 | |
Fair Value, Recurring | Private Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 2,963 | |
Fair Value, Recurring | Preferred Stock Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 133 | |
Level 1 | Fair Value, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | 0 | |
Total | 5,516 | 0 |
Level 1 | Fair Value, Recurring | Public Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 5,516 | |
Level 1 | Fair Value, Recurring | Private Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 0 | |
Level 1 | Fair Value, Recurring | Preferred Stock Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 0 | |
Level 2 | Fair Value, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | 0 | |
Total | 2,963 | 0 |
Level 2 | Fair Value, Recurring | Public Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 0 | |
Level 2 | Fair Value, Recurring | Private Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 2,963 | |
Level 2 | Fair Value, Recurring | Preferred Stock Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 0 | |
Level 3 | Fair Value, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | 4,883 | |
Total | 0 | 5,016 |
Level 3 | Fair Value, Recurring | Public Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | 0 | |
Level 3 | Fair Value, Recurring | Private Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | $ 0 | |
Level 3 | Fair Value, Recurring | Preferred Stock Warrant | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Warrant liability | $ 133 |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Activity of Liabilities Measured at Fair Value on a Recurring Basis (Details) - Level 3 - Fair Value, Recurring $ in Thousands | 12 Months Ended |
Mar. 31, 2022USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Beginning balance | $ 5,016 |
Change in fair value of preferred stock warrants | 664 |
Settlements | (797) |
Ending balance | 0 |
Convertible Promissory Notes - 2019 and 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Settlements | $ (4,883) |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Property, Plant and Equipment, Estimated Useful Lives (Details) | 12 Months Ended |
Mar. 31, 2022 | |
Computer equipment, software, and domain names | |
Property, Plant and Equipment [Line Items] | |
Useful Life | 3 years |
Warehouse machinery and equipment | |
Property, Plant and Equipment [Line Items] | |
Useful Life | 5 years |
Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Useful Life | 5 years |
MERGER - Narrative (Details)
MERGER - Narrative (Details) - USD ($) | Jun. 01, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | Nov. 27, 2020 |
Business Combination, Separately Recognized Transactions [Line Items] | ||||
Common stock, par value (USD per share) | $ 0.0001 | $ 0.0001 | $ 0.0001 | |
Reverse recapitalization, options converted (in shares) | 29,257,576 | |||
Reverse recapitalization, warrants converted (in shares) | 1,897,212 | |||
PIPE issuance consideration | $ 427,100,000 | |||
Exercise price of warrants (USD per share) | $ 11.50 | |||
Common stock, shares authorized (in shares) | 500,000,000 | 500,000,000 | 148,622,942 | |
PIPE Issuance | ||||
Business Combination, Separately Recognized Transactions [Line Items] | ||||
PIPE issuance (in shares) | 20,000,000 | |||
Sale of stock (USD per share) | $ 10 | |||
PIPE issuance consideration | $ 200,000,000 | |||
Common Class B | ||||
Business Combination, Separately Recognized Transactions [Line Items] | ||||
Net equity infusion from the Merger (in shares) | 6,358,750 | |||
2025 Convertible Notes | Convertible Debt | ||||
Business Combination, Separately Recognized Transactions [Line Items] | ||||
Debt interest rate | 5.50% | |||
Debt instrument, convertible, number of equity instruments (in shares) | 7,713,121 | |||
Retrospective Application Of Recapitalization Correction | ||||
Business Combination, Separately Recognized Transactions [Line Items] | ||||
Recapitalization exchange ratio (in shares) | 8.7425 |
REVENUE FROM CONTRACTS WITH C_3
REVENUE FROM CONTRACTS WITH CUSTOMERS - Schedule of Disaggregated Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 507,406 | $ 378,604 | $ 224,335 |
Direct to Consumer: | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 448,074 | 333,970 | 204,151 |
Commerce | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 59,332 | 44,634 | 20,184 |
Toys and treats subscription | Direct to Consumer: | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 435,389 | 325,992 | 199,744 |
Other | Direct to Consumer: | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 12,685 | $ 7,978 | $ 4,407 |
REVENUE FROM CONTRACTS WITH C_4
REVENUE FROM CONTRACTS WITH CUSTOMERS - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | ||
Contractual liabilities included in deferred revenue | $ 31,549 | $ 27,177 |
Contractual liabilities included in deferred revenue, revenue recognized | $ 26,300 |
PROPERTY AND EQUIPMENT AND IN_3
PROPERTY AND EQUIPMENT AND INTANGIBLE ASSETS - Property and Equipment (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment and finance lease right-of-use assets before accumulated depreciation | $ 34,961 | $ 17,437 |
Less: accumulated depreciation | (6,833) | (3,972) |
Property and equipment and finance lease right-of-use assets, net | 28,128 | 13,465 |
Computer equipment, software, and domain names | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment and finance lease right-of-use assets before accumulated depreciation | 4,822 | 3,423 |
Warehouse machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment and finance lease right-of-use assets before accumulated depreciation | 13,309 | 3,292 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment and finance lease right-of-use assets before accumulated depreciation | 1,195 | 992 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment and finance lease right-of-use assets before accumulated depreciation | 12,039 | 6,338 |
Construction in process | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment and finance lease right-of-use assets before accumulated depreciation | $ 3,596 | $ 3,392 |
PROPERTY AND EQUIPMENT AND IN_4
PROPERTY AND EQUIPMENT AND INTANGIBLE ASSETS - Intangible Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Property, Plant and Equipment [Abstract] | ||
Internally developed software | $ 6,268 | $ 3,038 |
Less: accumulated amortization | (2,431) | (968) |
Intangible assets—net | $ 3,837 | $ 2,070 |
PROPERTY AND EQUIPMENT AND IN_5
PROPERTY AND EQUIPMENT AND INTANGIBLE ASSETS - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Property, Plant and Equipment [Line Items] | ||
Amortization expense for internally developed software | $ 1,500 | $ 700 |
Amortization expense related to finance leases | 588 | 200 |
Equipment leased under finance leases | 2,538 | 3,000 |
General and administrative | ||
Property, Plant and Equipment [Line Items] | ||
Depreciation | $ 2,900 | $ 1,700 |
ACCRUED AND OTHER CURRENT LIA_3
ACCRUED AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Payables and Accruals [Abstract] | ||
Warrant liability | $ 8,479 | $ 133 |
Sales tax payable | 9,163 | 24,164 |
Accrued compensation costs | 3,421 | 3,287 |
Refund liability | 1,275 | 1,292 |
Accrued licensing fees | 190 | 209 |
Accrued deferred financing fees | 3,000 | 3,000 |
Accrued professional and legal fees | 1,246 | 2,484 |
Accrued marketing costs | 464 | 4,199 |
Other accrued expenses | 7,930 | 5,837 |
Accrued and other current liabilities | $ 35,168 | $ 44,605 |
DEBT - Long-term Debt (Details)
DEBT - Long-term Debt (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 79,171 | $ 121,624 |
Less: deferred financing fees and debt discount | (2,981) | (5,895) |
Total long-term debt | 76,190 | 115,729 |
Convertible Debt | 2025 Convertible Notes | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 79,171 | 75,000 |
Convertible Debt | Convertible promissory notes | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 0 | 7,167 |
Total long-term debt | 7,200 | |
Line of Credit and Term Loan | Western Alliance revolving line of credit & term loan | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 0 | 34,300 |
Loans Payable | PPP loan | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 0 | $ 5,157 |
DEBT - 2025 Convertible Notes N
DEBT - 2025 Convertible Notes Narrative (Details) - USD ($) | Dec. 01, 2021 | Nov. 27, 2020 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 |
Debt Instrument [Line Items] | |||||
Proceeds from convertible notes | $ 0 | $ 75,750,000 | $ 5,367,000 | ||
Payments of debt issuance costs | 642,000 | 734,000 | 30,000 | ||
Payments of long-term debt | 39,457,000 | 25,250,000 | 500,000 | ||
Paid in kind interest on convertible notes | 4,171,000 | 0 | $ 0 | ||
2025 Convertible Notes | Convertible Debt | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 75,000,000 | ||||
Proceeds from convertible notes | 74,700,000 | ||||
Payments of debt issuance costs | $ 300,000 | ||||
Debt interest rate | 5.50% | ||||
Paid in kind interest on convertible notes | $ 4,200,000 | ||||
Debt instrument, debt default, interest rate increase | 3.00% | ||||
Convertible debt | $ 79,200,000 | $ 75,000,000 | |||
Amended Western Alliance Agreement and Pinnacle Agreement | Term Loan | |||||
Debt Instrument [Line Items] | |||||
Payments of long-term debt | $ 27,600,000 | ||||
Pinnacle Term Loan | Term Loan | |||||
Debt Instrument [Line Items] | |||||
Debt early repayment fees | $ 2,000,000 |
DEBT - Western Alliance Bank -
DEBT - Western Alliance Bank - Line of Credit and Term Loan Narrative (Details) - USD ($) | May 27, 2022 | Nov. 27, 2020 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | Oct. 29, 2021 | Dec. 07, 2018 | Oct. 31, 2017 |
Debt Instrument [Line Items] | ||||||||
Payments of long-term debt | $ 39,457,000 | $ 25,250,000 | $ 500,000 | |||||
Total long-term debt | 76,190,000 | 115,729,000 | ||||||
Line of Credit | Western Alliance Agreement | Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Maximum borrowing capacity | $ 2,700,000 | $ 35,000,000 | ||||||
Total long-term debt | 0 | $ 34,300,000 | ||||||
Line of credit facility, remaining borrowing capacity | $ 35,000,000 | |||||||
Line of Credit | Western Alliance Agreement | Revolving Credit Facility | Subsequent Event | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, interest rate floor | 0.50% | |||||||
Borrowing base, percentage | 80.00% | |||||||
Line of Credit | Western Alliance Agreement | Revolving Credit Facility | Prime Rate | Subsequent Event | ||||||||
Debt Instrument [Line Items] | ||||||||
Basis spread on variable rate | 5.25% | |||||||
Term Loan | Western Alliance Agreement | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, face amount | $ 10,000,000 | |||||||
Payments of long-term debt | $ 10,000,000 | |||||||
Extinguishment of debt, early repayment fee | $ 200,000 | |||||||
Incremental Seasonal Loan | Western Alliance Agreement | ||||||||
Debt Instrument [Line Items] | ||||||||
Debt instrument, face amount | $ 5,000,000 |
DEBT - Convertible Promissory N
DEBT - Convertible Promissory Notes Narrative (Details) | Jun. 01, 2021USD ($)shares | May 01, 2020USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($)debtClosing | Mar. 31, 2022USD ($)shares | Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($) | Jun. 18, 2020USD ($) | Dec. 19, 2019USD ($) |
Debt Instrument [Line Items] | |||||||||
Proceeds from convertible notes | $ 0 | $ 75,750,000 | $ 5,367,000 | ||||||
Total long-term debt | 76,190,000 | 115,729,000 | |||||||
Loss on extinguishment of debt | $ 2,024,000 | 0 | 0 | ||||||
Common Stock | |||||||||
Debt Instrument [Line Items] | |||||||||
Conversion of preferred shares (in shares) | shares | 1,135,713 | 1,135,713 | |||||||
Debt instrument, convertible, value of equity instruments | $ 12,800,000 | ||||||||
Convertible Debt | Convertible Promissory Notes - 2019 | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument, face amount (up to) | $ 10,000,000 | ||||||||
Proceeds from convertible notes | $ 3,900,000 | ||||||||
Number of debt closings | debtClosing | 2 | ||||||||
Debt interest rate | 7.00% | ||||||||
Convertible Debt | Convertible Promissory Notes - 2020 | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt instrument, face amount (up to) | $ 10,000,000 | $ 10,000,000 | $ 800,000 | ||||||
Proceeds from convertible notes | $ 1,000,000 | $ 1,500,000 | |||||||
Convertible Debt | Convertible Promissory Notes - 2020, Super Pro Rata Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt interest rate | 10.00% | 10.00% | |||||||
Convertible Debt | Convertible Promissory Notes - 2020, Pro Rata Notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt interest rate | 8.00% | 8.00% | |||||||
Convertible Debt | Convertible promissory notes | |||||||||
Debt Instrument [Line Items] | |||||||||
Total long-term debt | $ 7,200,000 | ||||||||
Loss on extinguishment of debt | 2,000,000 | ||||||||
Equity component of convertible debt | $ 500,000 |
DEBT - Paycheck Protection Plan
DEBT - Paycheck Protection Plan Program (Details) - USD ($) $ in Thousands | Apr. 24, 2020 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 |
Debt Instrument [Line Items] | ||||
Proceeds from debt | $ 0 | $ 5,157 | $ 17,564 | |
PPP loan | Loans Payable | ||||
Debt Instrument [Line Items] | ||||
Proceeds from debt | $ 5,200 |
REDEEMABLE CONVERTIBLE PREFER_3
REDEEMABLE CONVERTIBLE PREFERRED STOCK - Issued and Outstanding Redeemable Convertible Preferred Stock (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2019 |
Preferred Units [Line Items] | ||||
Convertible preferred stock, shares issued (in shares) | 0 | 7,752,515 | ||
Convertible preferred stock, shares outstanding (in shares) | 0 | 7,752,515 | 7,752,515 | 7,752,515 |
Redeemable convertible preferred stock | $ 0 | $ 59,987 | $ 59,987 | $ 59,897 |
Series Seed | ||||
Preferred Units [Line Items] | ||||
Convertible preferred stock, shares issued (in shares) | 2,057,188 | |||
Convertible preferred stock, shares outstanding (in shares) | 2,057,188 | |||
Redeemable convertible preferred stock | $ 1,897 | |||
Series A | ||||
Preferred Units [Line Items] | ||||
Convertible preferred stock, shares issued (in shares) | 2,110,400 | |||
Convertible preferred stock, shares outstanding (in shares) | 2,110,400 | |||
Redeemable convertible preferred stock | $ 4,948 | |||
Series B | ||||
Preferred Units [Line Items] | ||||
Convertible preferred stock, shares issued (in shares) | 990,068 | |||
Convertible preferred stock, shares outstanding (in shares) | 990,068 | |||
Redeemable convertible preferred stock | $ 10,285 | |||
Series C | ||||
Preferred Units [Line Items] | ||||
Convertible preferred stock, shares issued (in shares) | 2,142,188 | |||
Convertible preferred stock, shares outstanding (in shares) | 2,142,188 | |||
Redeemable convertible preferred stock | $ 34,585 | |||
Series C-1 | ||||
Preferred Units [Line Items] | ||||
Convertible preferred stock, shares issued (in shares) | 452,671 | |||
Convertible preferred stock, shares outstanding (in shares) | 452,671 | |||
Redeemable convertible preferred stock | $ 8,272 |
REDEEMABLE CONVERTIBLE PREFER_4
REDEEMABLE CONVERTIBLE PREFERRED STOCK - Narrative (Details) - shares | Jun. 01, 2021 | Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2019 |
Preferred Units [Line Items] | |||||
Convertible preferred stock, converted into common stock (in shares) | 67,776,888 | ||||
Convertible preferred stock, shares authorized (in shares) | 0 | 8,010,560 | |||
Convertible preferred stock, shares outstanding (in shares) | 0 | 7,752,515 | 7,752,515 | 7,752,515 | |
Retrospective Application Of Recapitalization Correction | |||||
Preferred Units [Line Items] | |||||
Recapitalization exchange ratio (in shares) | 8.7425 | ||||
Convertible Redeemable Preferred Stock | |||||
Preferred Units [Line Items] | |||||
Convertible preferred stock, shares authorized (in shares) | 0 | ||||
Convertible preferred stock, shares outstanding (in shares) | 0 |
STOCK-BASED COMPENSTION PLANS -
STOCK-BASED COMPENSTION PLANS - Equity Incentive Plans Narrative (Details) - shares | Jun. 01, 2021 | Mar. 31, 2022 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Reverse recapitalization, options converted (in shares) | 29,257,576 | |
Minimum exercise price, percentage of common share grant date fair value | 100.00% | |
First Anniversary | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting rights, percentage | 25.00% | |
One Thirty-Sixth on a Monthly Basis | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting rights, percentage | 75.00% | |
2021 Equity Incentive Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized (in shares) | 16,929,505 | |
Number of shares available for grant (in shares) | 15,623,772 | |
Maximum annual increase in shares , percentage of shares issued and outstanding | 5.00% | |
2011 Stock Incentive Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Reverse recapitalization, options converted (in shares) | 29,390,344 | |
Number of shares available for grant (in shares) | 0 |
STOCK-BASED COMPENSTION PLANS_2
STOCK-BASED COMPENSTION PLANS - Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Number Options Outstanding | ||
Outstanding, beginning balance (in shares) | 29,454,960 | |
Granted (in shares) | 1,435,386 | |
Exercised (in shares) | (7,322,815) | |
Cancelled or forfeited (in shares) | (4,167,331) | |
Expired (in shares) | (68,564) | |
Outstanding, ending balance (in shares) | 19,331,636 | 29,454,960 |
Vested and expected to vest, end of period (in shares) | 17,759,831 | |
Exercisable, end of period (in shares) | 13,877,397 | |
Weighted- Average Exercise Price | ||
Outstanding, beginning balance (USD per share) | $ 2.08 | |
Granted (USD per share) | 7.70 | |
Exercised (USD per share) | 0.56 | |
Cancelled or forfeited (USD per share) | 3.22 | |
Expired (USD per share) | 0.06 | |
Outstanding, ending balance (USD per share) | 2.83 | $ 2.08 |
Vested and expected to vest, end of period (USD per share) | 2.52 | |
Exercisable, end of period (USD per share) | $ 1.71 | |
Weighted-Average Remaining Contractual Life (Years), Outstanding | 7 years 2 months 1 day | 5 years 4 months 2 days |
Weighted- Average Remaining Contractual Life (Years), Vested and expected to vest | 7 years 14 days | |
Weighted- Average Remaining Contractual Life (Years), Exercisable | 6 years 7 months 24 days | |
Aggregate Intrinsic Value, Outstanding | $ 38,332 | $ 251,553 |
Aggregate Intrinsic Value, Vested and expected to vest | 37,058 | |
Aggregate Intrinsic Value, Exercisable | $ 32,724 |
STOCK-BASED COMPENSTION PLANS_3
STOCK-BASED COMPENSTION PLANS - Stock Option Activity Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted-average grant-date fair value of options granted (USD per share) | $ 4.10 | $ 3.65 | $ 0.57 |
Stock options intrinsic value | $ 44.7 | $ 23.6 | $ 0.3 |
Unrecognized stock-based compensation expense | $ 11.4 | $ 21.9 | $ 2.4 |
Stock option | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized stock-based compensation expense, period for recognition | 2 years 8 months 15 days | 3 years 5 months 8 days | 2 years 10 months 13 days |
STOCK-BASED COMPENSTION PLANS_4
STOCK-BASED COMPENSTION PLANS - Fair Value Measurements and Valuation Assumptions (Details) - Stock option | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected term (years) | 5 years 2 months 26 days | 5 years 3 months 3 days | 5 years 29 days |
Expected volatility | 62.96% | 76.48% | 45.65% |
Risk-free interest rate | 1.16% | 0.19% | 1.71% |
Expected dividend yield | 0.00% | 0.00% | 0.00% |
STOCK-BASED COMPENSTION PLANS_5
STOCK-BASED COMPENSTION PLANS - RSA & RSU Activity Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 17,861 | $ 6,522 | $ 1,817 |
Restricted shares held for taxes | $ 222 | ||
Share based compensation arrangement by share based payment award equity instruments other than options, cancelled (in shares) | 97,835 | ||
Additional Paid-in Capital | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted shares held for taxes | $ 222 | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based compensation arrangement by share based payment award equity instruments other than options, granted (in shares) | 0 | 35,000 | 22,616 |
Share based compensation arrangement by share based payment award equity instruments other than options, vested (in shares) | 25,000 | ||
Number of shares of restricted stock vest over monthly installments (in shares) | 10,000 | ||
Weighted-average estimated fair value per share of the restricted stock granted (USD per share) | $ 6.33 | $ 1.36 | |
Stock-based compensation expense | $ 800 | $ 1,100 | $ 300 |
Restricted shares held for taxes (in shares) | 17,605 | ||
Restricted Stock | Additional Paid-in Capital | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted shares held for taxes | $ 200 | ||
Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share based compensation arrangement by share based payment award equity instruments other than options, granted (in shares) | 4,224,623 | ||
Weighted-average estimated fair value per share of the restricted stock granted (USD per share) | $ 5.34 | ||
Stock-based compensation expense | $ 3,300 | ||
Restricted shares held for taxes (in shares) | 2,941 | ||
Award vesting period | 4 years | ||
Restricted stock units | Additional Paid-in Capital | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted shares held for taxes | $ 100 |
STOCK-BASED COMPENSTION PLANS_6
STOCK-BASED COMPENSTION PLANS - Summary of Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 17,861 | $ 6,522 | $ 1,817 |
General and administrative | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | 17,063 | 6,298 | 1,757 |
Advertising and marketing | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock-based compensation expense | $ 797 | $ 224 | $ 60 |
STOCK-BASED COMPENSTION PLANS_7
STOCK-BASED COMPENSTION PLANS - Employee Stock Purchase Plan Narrative (Details) - Employee Stock - shares | 1 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Mar. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized (in shares) | 3,385,901 | |
Maximum annual increase in shares , percentage of shares issued and outstanding | 1.00% | |
Shares issued in period (in shares) | 0 | |
Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized, maximum annual increase, number of shares (in shares) | 1,500,000 | |
Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares authorized, maximum annual increase, number of shares (in shares) | 0 |
LEASES - Narrative (Details)
LEASES - Narrative (Details) - USD ($) $ in Thousands | Oct. 29, 2021 | Apr. 23, 2021 | Mar. 26, 2021 | Mar. 31, 2022 | Mar. 31, 2021 |
Lessee, Lease, Description [Line Items] | |||||
Operating lease expense net of sublease income | $ 5,200 | $ 3,300 | |||
Operating lease, right-of-use assets | 29,552 | 0 | |||
Present value of lease liabilities | 33,907 | ||||
Lease term | 198 months | ||||
Total lease payments | $ 51,700 | 40,931 | |||
Proceeds from lines of credit | $ 1,900 | ||||
Rental expense for operating leases | $ 3,500 | ||||
Accounting Standards Update 2016-02 | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating lease, right-of-use assets | 29,600 | ||||
Present value of lease liabilities | 33,900 | ||||
OHIO | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating lease, right-of-use assets | 1,400 | ||||
Present value of lease liabilities | $ 1,800 | ||||
Operating lease, payments per month | $ 36 | ||||
Incremental borrowing rate | 5.50% | ||||
NEVADA | |||||
Lessee, Lease, Description [Line Items] | |||||
Operating lease, right-of-use assets | $ 13,300 | ||||
Present value of lease liabilities | $ 14,400 | ||||
Operating lease, payments per month | $ 205 | ||||
Incremental borrowing rate | 6.20% |
LEASES - Schedule of Operating
LEASES - Schedule of Operating And Finance Lease Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Assets | ||
Operating | $ 29,552 | $ 0 |
Finance | 2,538 | 3,000 |
Liabilities | ||
Operating lease liabilities (current) | 5,060 | 0 |
Finance lease liabilities (current) | 642 | |
Operating lease liabilities (non-current) | 28,847 | $ 0 |
Finance lease liabilities (non-current) | $ 1,896 | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | PROPERTY AND EQUIPMENT—NET | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued and other current liabilities | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | OTHER LONG-TERM LIABILITIES |
LEASES - Lease Expense (Details
LEASES - Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Leases [Abstract] | ||
Amortization of right-of-use assets | $ 588 | $ 200 |
Finance Lease Costs, Interest on lease liabilities | 313 | |
Operating lease costs | 5,554 | |
Sublease income | (357) | |
Total lease costs | $ 6,098 |
LEASES - Lease Maturity (Detail
LEASES - Lease Maturity (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Oct. 29, 2021 |
Finance Leases | ||
2023 | $ 890 | |
2024 | 890 | |
2025 | 890 | |
2026 | 383 | |
2027 | 9 | |
Thereafter | 0 | |
Total lease payments | 3,062 | |
Less: imputed interest | (524) | |
Present value of lease liabilities | 2,538 | |
Operating Leases | ||
2023 | 6,963 | |
2024 | 6,725 | |
2025 | 6,263 | |
2026 | 6,437 | |
2027 | 5,284 | |
Thereafter | 9,260 | |
Total lease payments | 40,931 | $ 51,700 |
Less: imputed interest | (7,024) | |
Present value of lease liabilities | $ 33,907 |
LEASES - Operating and Finance
LEASES - Operating and Finance Lease Information (Details) - USD ($) | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Operating Lease | |||
Cash paid for amounts included in the measurement of lease liabilities | $ 4,541,000 | ||
Right-of-use assets obtained in exchange for new lease liabilities | $ 33,387,000 | ||
Weighted-average remaining term (years) | 6 years 2 months 12 days | ||
Weighted average discount rate | 4.60% | ||
Finance Lease | |||
Cash paid for amounts included in the measurement of lease liabilities | $ 588,000 | $ 334,000 | $ 0 |
Right-of-use assets obtained in exchange for new lease liabilities | $ 3,107,000 | ||
Weighted-average remaining term (years) | 3 years 6 months | ||
Weighted average discount rate | 11.00% |
LEASES - Future Minimum Lease P
LEASES - Future Minimum Lease Payments (Details) $ in Thousands | Mar. 31, 2021USD ($) |
Leases [Abstract] | |
2022 | $ 4,113 |
2023 | 4,559 |
2024 | 4,269 |
2025 | 3,798 |
2026 | 3,899 |
Thereafter | 6,459 |
Total minimum lease payments | $ 27,097 |
INCOME TAXES - Income Tax Rate
INCOME TAXES - Income Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Federal statutory rate | 21.00% | 21.00% | 21.00% |
Permanent differences | (1.51%) | (2.29%) | (0.88%) |
State taxes, net of federal benefits | 8.85% | 3.12% | 1.73% |
Change in valuation allowance | (42.85%) | (18.26%) | (22.79%) |
Interest expense | (1.33%) | 0.00% | 0.00% |
Warrant mark-to-market | 10.11% | 0.00% | 0.00% |
Stock compensation | 5.64% | (1.02%) | 0.00% |
Other deferred adjustments | 0.09% | (2.55%) | 0.00% |
Other | 0.00% | 0.00% | 0.94% |
Total | 0.00% | 0.00% | 0.00% |
INCOME TAXES - Deferred Tax Ass
INCOME TAXES - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Mar. 31, 2021 |
Deferred tax assets: | ||
Net operating loss carryforwards | $ 45,807 | $ 24,960 |
Charitable contributions | 723 | 155 |
Interest expense | 3,599 | 3,330 |
Lease Liabilities | 9,259 | 0 |
UNICAP | 6,340 | 3,048 |
Stock compensation | 4,280 | 1,379 |
Accruals and other | 4,497 | 3,861 |
Total deferred tax assets | 74,505 | 36,733 |
Valuation allowance | (65,892) | (36,621) |
Net deferred tax assets | 8,613 | 112 |
Depreciation | (472) | (112) |
Lease Right-of-Use Asset | (8,141) | 0 |
Total deferred tax liabilities | (8,613) | (112) |
Net deferred tax assets | $ 0 | $ 0 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) - USD ($) | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Income Tax Contingency [Line Items] | |||
Federal net operating loss carryforwards | $ 190,100,000 | $ 112,300,000 | |
Increase in valuation allowance | 29,300,000 | ||
Valuation allowance | 65,892,000 | 36,621,000 | |
Unrecognized tax benefits | 0 | 0 | $ 0 |
Federal | |||
Income Tax Contingency [Line Items] | |||
Operating loss carryforwards, subject to expiration | 60,500,000 | 60,500,000 | |
Operating loss carryforwards, not subject to expiration | 129,700,000 | 51,900,000 | |
State | |||
Income Tax Contingency [Line Items] | |||
Operating loss carryforwards, subject to expiration | $ 110,000,000 | $ 41,100,000 |
OTHER INCOME (LOSS) - NET - Sch
OTHER INCOME (LOSS) - NET - Schedule of Other Income - Net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Other income—net: | |||
Other income | $ 275 | $ 267 | $ 583 |
Change in fair value of warrants | 33,196 | (6) | 3 |
Change in fair value of derivative liability | 0 | (925) | 93 |
Loss on extinguishment of debt | (2,024) | 0 | 0 |
Loss on warrant exercise | (101) | 0 | 0 |
Settlement claim | 0 | 795 | 0 |
Other income - net | $ 31,346 | $ 131 | $ 679 |
NET LOSS PER SHARE - Calculatio
NET LOSS PER SHARE - Calculation of Basic and Diluted Loss per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Numerator: | |||
Net loss | $ (68,299) | $ (31,391) | $ (31,368) |
Less: Earnings attributable to participating securities, basic | 0 | 0 | 0 |
Less: Earnings attributable to participating securities, diluted | 0 | 0 | 0 |
Net loss attributable to common stockholders - basic | (68,299) | (31,391) | (31,368) |
Net loss attributable to common stockholders - diluted | $ (68,299) | $ (31,391) | $ (31,368) |
Denominator: | |||
Weighted average common shares outstanding—basic (in shares) | 156,201,601 | 46,297,847 | 45,110,365 |
Weighted-average common shares outstanding - diluted (in shares) | 156,201,601 | 46,297,847 | 45,110,365 |
Net Income Loss Per Share Attributable To Common Stockholders [Abstract] | |||
Net loss per share attributable to common stockholders - basic (USD per share) | $ (0.44) | $ (0.68) | $ (0.70) |
Net loss per share attributable to common stockholders - diluted (USD per share) | $ (0.44) | $ (0.68) | $ (0.70) |
NET LOSS PER SHARE - Schedule o
NET LOSS PER SHARE - Schedule of Antidilutive Securities Excluded from Computation of Net Loss per Share (Details) - shares | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Redeemable convertible preferred stock as converted to common stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of loss per share (in shares) | 0 | 29,139,810 | 29,139,810 |
Stock options to purchase common stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of loss per share (in shares) | 19,331,636 | 29,454,960 | 21,178,016 |
Restricted stock units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of loss per share (in shares) | 4,134,053 | 0 | 0 |
Warrants to purchase common stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of loss per share (in shares) | 13,036,333 | 2,044,719 | 2,044,719 |
Warrants to purchase preferred stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of loss per share (in shares) | 0 | 4,572 | 4,572 |
2025 convertible notes as converted to common stock | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of loss per share (in shares) | 8,062,230 | 0 | 0 |
SEGMENTS - Narrative (Details)
SEGMENTS - Narrative (Details) | 12 Months Ended |
Mar. 31, 2022segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
SEGMENTS - Schedule of Gross Pr
SEGMENTS - Schedule of Gross Profit by Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Mar. 31, 2020 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Revenue | $ 507,406 | $ 378,604 | $ 224,335 |
Cost of revenue | 225,300 | 152,664 | 88,921 |
Gross profit | 282,106 | 225,940 | 135,414 |
Direct to Consumer: | |||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Revenue | 448,074 | 333,970 | 204,151 |
Cost of revenue | 187,991 | 128,044 | 79,191 |
Gross profit | 260,083 | 205,926 | 124,960 |
Commerce | |||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||
Revenue | 59,332 | 44,634 | 20,184 |
Cost of revenue | 37,309 | 24,620 | 9,730 |
Gross profit | $ 22,023 | $ 20,014 | $ 10,454 |
401(k) (Details)
401(k) (Details) | 12 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Defined contribution plan, minimum employee contribution | 1.00% |
Defined contribution plan, maximum employee contribution | 100.00% |
Uncategorized Items - bark-2022
Label | Element | Value |
Accounting Standards Update [Extensible Enumeration] | us-gaap_AccountingStandardsUpdateExtensibleList | Accounting Standards Update 2014-09 [Member] |