Iteris (ITI) 10-K 29 Jun 23 2023 FY Annual report Financial data

Cover

Cover - USD ($)	12 Months Ended
	Mar. 31, 2023	May 31, 2023	Sep. 30, 2022
Cover [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Mar. 31, 2023
Current Fiscal Year End Date	--03-31
Document Transition Report	false
Entity File Number	001-08762
Entity Registrant Name	ITERIS, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	95-2588496
Entity Address, Address Line One	1250 S. Capital of Texas Hwy., Building 1, Suite 330
Entity Address, City or Town	Austin
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	78746
City Area Code	512
Local Phone Number	716-0808
Title of 12(b) Security	Common Stock, $0.10 par value
Trading Symbol	ITI
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	true
Entity Shell Company	false
Entity Public Float			$ 123,850,913
Entity Common Stock, Shares Outstanding		42,569,363
Documents Incorporated by Reference	Part III of this report incorporates by reference certain information from the registrant's definitive proxy statement for the 2023 Annual Meeting of Stockholders, which will be filed with the Securities and Exchange Commission not later than 120 days after the end of the fiscal year covered by this Annual Report on Form 10-K.
Entity Central Index Key	0000350868
Amendment Flag	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	FY

Audit Information

Audit Information	12 Months Ended
	Mar. 31, 2023
Audit Information [Abstract]
Auditor Firm ID	34
Auditor Name	Deloitte & Touche LLP
Auditor Location	Costa Mesa, CA

Balance Sheets

Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Current assets:
Cash and cash equivalents	$ 16,587	$ 23,689
Restricted cash	140	120
Trade accounts receivable, net of allowance for doubtful accounts of $357 and $903 at March 31, 2023 and 2022, respectively	23,809	25,628
Unbilled accounts receivable	8,349	8,470
Inventories	10,841	7,980
Prepaid expenses and other current assets	3,128	4,076
Total current assets	62,854	69,963
Property and equipment, net	1,297	1,392
Right-of-use assets	8,345	11,382
Intangible assets, net	10,190	11,780
Goodwill	28,340	28,340
Other assets	768	1,120
Noncurrent assets of discontinued operations	0	6
Total assets	111,794	123,983
Current liabilities:
Trade accounts payable	12,943	11,926
Accrued payroll and related expenses	12,923	11,409
Accrued liabilities	5,453	5,623
Deferred revenue	6,720	5,779
Current liabilities of discontinued operations	0	163
Total current liabilities	38,039	34,900
Lease liabilities	7,641	10,763
Deferred income taxes	422	337
Unrecognized tax benefits	79	105
Other long-term liabilities	2,707	2,456
Noncurrent liabilities of discontinued operations	0	172
Total liabilities	48,888	48,733
Commitments and contingencies (Note 6)
Stockholders' equity:
Preferred stock, $1.00 par value: Authorized shares—2,000 Issued and outstanding shares—0	0	0
Common stock, $0.10 par value: Authorized shares—70,000 at March 31, 2023 and March 31, 2022 Issued and outstanding shares—42, 808 at March 31, 2023 and 42,416 at March 31, 2022	4,282	4,242
Treasury Stock	(891)	0
Additional paid-in capital	190,082	186,720
Accumulated deficit	(130,567)	(115,712)
Total stockholders' equity	62,906	75,250
Total liabilities and stockholders' equity	$ 111,794	$ 123,983

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Statement of Financial Position [Abstract]
Trade accounts receivable, allowance for doubtful accounts	$ 357	$ 903
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, authorized (in shares)	2,000,000	2,000,000
Preferred stock, issued (in shares)	0	0
Preferred stock, outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, authorized (in shares)	70,000,000	70,000,000
Common stock, issued (in shares)	42,808,000	42,416,000
Common stock, outstanding (in shares)	42,808,000	42,416,000

Statements of Operations

Statements of Operations - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Total revenues	$ 156,052	$ 133,572
Cost of revenues	114,034	86,179
Gross profit	42,018	47,393
Operating expenses:
General and administrative	22,083	25,131
Sales and Marketing	22,802	18,929
Research and development	8,321	7,354
Amortization of intangible assets	2,620	2,673
Restructuring charges	707	0
Total operating expenses	56,533	54,087
Operating income (loss)	(14,515)	(6,694)
Non-operating income (expense):
Other income (expense)	124	(18)
Interest income (expense)	(329)	(14)
Income (loss) from continuing operations before income taxes	(14,720)	(6,726)
Provision for income taxes	(135)	(174)
Net income (loss) from continuing operations	(14,855)	(6,900)
Loss from discontinued operations before gain on sale, net of tax	0	(180)
Net income (loss) from discontinued operations, net of tax	0	(180)
Net income (loss)	$ (14,855)	$ (7,080)
Income (loss) per share - basic:
Income (loss) per share from continuing operations -Basic (in dollars per share)	$ (0.35)	$ (0.16)
Income (loss) per share from discontinued operations -Basic (in dollars per share)	0	0
Net income (loss) per basic share (in dollars per share)	(0.35)	(0.16)
Income (loss) per share - diluted:
Income (loss) per share from continuing operations - Diluted (in dollars per share)	(0.35)	(0.16)
Income (loss) per share from discontinued operations - Diluted (in dollars per share)	0	0
Net income (loss) per diluted share (in dollars per share)	$ (0.35)	$ (0.16)
Shares used in basic per share calculations	42,374,000	42,222,000
Shares used in diluted per share calculations	42,374,000	42,222,000
Product revenues
Total revenues	$ 85,097	$ 68,729
Cost of revenues	63,013	40,501
Service revenues
Total revenues	70,955	64,843
Cost of revenues	$ 51,021	$ 45,678

Statements of Stockholders' Equ

Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	As Previously Reported	Revision of Prior Period, Adjustment	Common Stock	Common Stock As Previously Reported	Treasury Stock	Treasury Stock As Previously Reported	Additional Paid-In Capital	Additional Paid-In Capital As Previously Reported	Accumulated Deficit	Accumulated Deficit As Previously Reported	Accumulated Deficit Revision of Prior Period, Adjustment
Balance (in shares) at Mar. 31, 2021				41,687,000	41,687,000
Balance at Mar. 31, 2021	$ 77,366	$ 78,979	$ (1,613)	$ 4,170	$ 4,170	$ 0	$ 0	$ 181,828	$ 181,828	$ (108,632)	$ (107,019)	$ (1,613)
Beginning balance, treasury stock (in shares) at Mar. 31, 2021						0	0
Increase (Decrease) in Stockholders' Equity
Stock option exercises (in shares)				489,000
Stock option exercises	1,330			$ 48				1,282
Issuance of shares pursuant to Employee Stock Purchase Plan (in shares)				95,000
Issuance of shares pursuant to Employee Stock Purchase Plan	436			$ 9				427
Stock-based compensation	3,401							3,401
Issuance of shares pursuant to vesting of restricted stock units, net of payroll withholding taxes (in shares)				145,000
Issuance of shares pursuant to vesting of restricted stock units, net of payroll withholding taxes	(203)			$ 15				(218)
Net income (loss)	$ (7,080)									(7,080)
Balance (in shares) at Mar. 31, 2022	42,416,000			42,416,000
Balance at Mar. 31, 2022	$ 75,250	$ 76,863		$ 4,242		$ 0		186,720		(115,712)
Ending balance, treasury stock (in shares) at Mar. 31, 2022						0
Increase (Decrease) in Stockholders' Equity
Stock option exercises (in shares)				60,000
Stock option exercises	105			$ 7		$ 0		98
Issuance of shares pursuant to Employee Stock Purchase Plan (in shares)				180,000
Issuance of shares pursuant to Employee Stock Purchase Plan	490			$ 19				471
Stock-based compensation	2,890							2,890
Issuance of shares pursuant to vesting of restricted stock units, net of payroll withholding taxes (in shares)				152,000
Issuance of shares pursuant to vesting of restricted stock units, net of payroll withholding taxes	(83)			$ 14				(97)
Treasury stock purchases (in shares)						300,000
Treasury stock purchases	$ (884)					$ (884)
Deferred shares held within rabbi trust (in shares)	68,627					69,000
Deferred shares held within rabbi trust	$ (7)					$ (7)
Net income (loss)	$ (14,855)									(14,855)
Balance (in shares) at Mar. 31, 2023	42,808,000			42,808,000
Balance at Mar. 31, 2023	$ 62,906			$ 4,282		$ (891)		$ 190,082		$ (130,567)
Ending balance, treasury stock (in shares) at Mar. 31, 2023						369,000

Statements of Cash Flows

Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash flows from operating activities
Net income (loss)	$ (14,855)	$ (7,080)
Less: Net income (loss) from discontinued operations	0	(180)
Net income (loss) from continuing operations	(14,855)	(6,900)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Project Loss	0	3,394
Right-of-use asset non-cash expense	2,114	2,515
Deferred income tax	59	(485)
Depreciation of property and equipment	615	820
Stock-based compensation	2,890	3,401
Amortization of intangible assets	3,179	3,240
Loss on disposal of equipment	8	177
Other	(7)	0
Changes in operating assets and liabilities, net of effects of discontinued operations and acquisitions:
Trade accounts receivable	1,819	(6,608)
Unbilled accounts receivable and deferred revenue	1,385	148
Inventories	(2,861)	(2,914)
Prepaid expenses and other assets	1,300	(2,495)
Trade accounts payable and accrued expenses	1,253	2,683
Operating lease liabilities	(1,406)	(2,569)
Net cash provided by (used in) operating activities - continuing operations	(4,507)	(5,593)
Net cash used in operating activities - discontinued operations	(329)	(128)
Net cash provided by (used in) in operating activities	(4,836)	(5,721)
Cash flows from investing activities
Purchases of property and equipment	(528)	(466)
Maturities of investments	0	3,100
Capitalized software development costs	(1,346)	(1,635)
Net cash provided by (used in) investing activities - continuing operations	(1,874)	999
Net cash provided by investing activities - discontinued operations	0	1,500
Net cash provided by (used in) investing activities	(1,874)	2,499
Cash flows from financing activities
Repurchases of common stock	(884)	0
Proceeds from stock option exercises	105	1,330
Proceeds from ESPP purchases	490	436
Tax withholding payments for net share settlements of restricted stock units	(83)	(203)
Net cash provided by (used in) financing activities - continuing operations	(372)	1,563
Net cash provided by (used in) financing activities	(372)	1,563
Increase (decrease) in cash, cash equivalents and restricted cash	(7,082)	(1,659)
Cash, cash equivalents and restricted cash at beginning of period	23,809	25,468
Cash, cash equivalents and restricted cash at end of period	16,727	23,809
Supplemental cash flow information:
Income taxes	0	223
Supplemental schedule of non-cash investing and financing activities:
Issuance of common stock for vested restricted stock units	14	15
Lease liabilities arising from obtaining right-of-use assets	313	2,544
Capitalized software development costs	$ 243	$ 0

Description of Business and Sum

Description of Business and Summary of Significant Accounting Policies	12 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business and Summary of Significant Accounting Policies	Description of Business and Summary of Significant Accounting Policies Description of Business Iteris, Inc. (referred to collectively in this report as "Iteris", the "Company", "we", "our", and "us") is a provider of smart mobility infrastructure solutions. Our cloud-enabled solutions help public transportation agencies, municipalities, commercial entities and other transportation infrastructure providers monitor, visualize, and optimize mobility infrastructure to make mobility safe, efficient and sustainable for everyone. As a pioneer in intelligent transportation systems ("ITS") technology, our intellectual property, advanced detection sensors, mobility and traffic data, software-as-a-service ("SaaS") offerings, mobility consulting services, and cloud-enabled managed services represent a comprehensive range of smart mobility infrastructure management solutions that we distribute to customers throughout the United States ("U.S.") and internationally. We believe our products, solutions and services increase vehicle and pedestrian safety and decrease congestion within our communities, while also reducing environmental impact, including vehicle carbon emissions. We continue to make significant investments to leverage our existing technologies and further enhance our advanced sensors, mobility intelligence software, mobility data sets, mobility consulting services and cloud-enabled managed services. As we are always mindful of capital allocation, we apply significant effort to evaluate and prioritize these investments. Likewise, we are always exploring strategic alternatives intended to optimize the value of our Company. Iteris was incorporated in Delaware in 1987 and has operated in its current form since 2004. Recent Developments COVID-19 Update The COVID-19 pandemic (the “Pandemic”) materially adversely impacted global economic conditions. As COVID-19 has entered an endemic stage, COVID-19 may continue to have an unpredictable and unprecedented impact on the global economy, including possible additional supply chain disruptions, workplace dislocations, economic contraction, and negative pressure on customer budgets and customer sentiment. Given the uncertainties surrounding the impacts of COVID-19 on the Company's future financial condition and results of operations, we have and may continue to identify and execute various actions to preserve our liquidity, manage cash flow and strengthen our financial flexibility. Such actions include, but are not limited to, reducing discretionary spending, reducing capital expenditures, and implementing restructuring activities (see Note 3, Restructuring Activities , to the Financial Statements for more information). Our products require specialized parts which have become more difficult to source. In some cases, we have had to purchase such parts from third-party brokers at substantially higher prices. Additionally, to mitigate the impact of component shortages, we increased inventory levels for parts in short supply. In the event demand does not materialize, we would need to hold excess inventory for several quarters. Alternatively, we may be unable to source sufficient components, even from third-party brokers, at any price, to meet customer demand, resulting in high levels of backlog that we are unable to ship. The Company's tactics to mitigate the current global supply chain issues included re-designing certain circuit boards to accommodate computer chips that are more readily available in the market at more reasonable prices, and by accumulating inventory in the first two quarters of the fiscal year ended March 31, 2023 ("Fiscal 2023"). We have placed non-cancellable inventory orders for certain products in advance of our normal lead times to secure normal and incremental future supply and capacity and may need to continue to do so in the future. Due to the supply chain environment, the Company increased inventory by approximately $2.9 million as part of the Company’s supply chain strategy for Fiscal 2023. The cash flow used in operating activities of our continuing operations was approximately $4.5 million during the twelve months ended March 31, 2023. Cash used during Fiscal 2023 was primarily due to two factors. First, the planned increase in inventory during the first half of Fiscal 2023 and continued re-design of certain circuit boards as part of the Company’s supply chain strategy to help assure the Company has enough product to satisfy customer demand. Second, the net operating loss as a result of higher inventory component costs related to the global supply chain constraints. The increase in inventory purchases and in particular components purchased in the secondary markets was curtailed in the second half of Fiscal 2023, and the Company currently does not expect to continue to accumulate inventory, in the same magnitude, in future periods. However, if the Company encounters additional supply chain constraints again in the future, it may need to further adjust its operations to have sufficient liquidity. On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act ("CARES Act") was signed into law in the United States. The CARES Act provides relief to U.S. corporations through financial assistance programs and modifications to certain income tax provisions. The Company applied certain beneficial provisions of the CARES Act, including the payroll tax deferral and the alternative minimum tax acceleration. As of March 31, 2023, the Company had repaid all amounts deferred under the CARES Act (see Note 5, Income Taxes , to the Financial Statements for more information). COVID-19 has had an impact on the Company’s human capital. While our Santa Ana product and commercial operations facility has remained open throughout the Pandemic, many of our employees worked remotely during the past three years. With the recent easing of COVID-19 restrictions imposed by local and state authorities, a larger portion of our workforce has returned to our various facilities while others continue to work remotely. The Company’s information technology infrastructure has proven sufficiently flexible to minimize disruptions in required duties and responsibilities. Additionally, we have been able to timely file financial reports. We believe we have the infrastructure to efficiently work remotely during COVID-19's current endemic stage and well into the future. The Company assessed the impacts of COVID-19 on the estimates and assumptions used in preparing our financial statements. The estimates and assumptions used in our assessments were based on management’s judgment and may be subject to change as new events occur and additional information is obtained. In particular, there is significant uncertainty about the duration and extent of the impact of COVID-19, which has entered an endemic stage, and its resulting impact on global economic conditions. If economic conditions caused by COVID-19 do not recover as currently estimated by management, the Company’s financial condition, cash flows and results of operations may be materially impacted. The Company will continue to assess the effect on its operations by monitoring the impact of COVID-19 and the actions implemented to combat the virus throughout the world. As a result, our assessment of the impact of COVID-19 may change. Acquisition of the Assets of TrafficCast International, Inc. On December 6, 2020, the Company entered into an Asset Purchase Agreement (the “TrafficCast Purchase Agreement”) with TrafficCast International, Inc. (“TrafficCast”), a privately held company headquartered in Madison, Wisconsin that provides travel information technology, applications and content to customers throughout North America in the media, mobile technology, automotive and public sectors. Under the TrafficCast Purchase Agreement, the Company agreed to purchase from TrafficCast substantially all of its assets, composed of its travel information technology, applications and content (the “TrafficCast Business”) and assume certain specified liabilities of the TrafficCast Business. On May 6, 2022, approximately $0.9 million was paid to settle the balance of security hold back agreed to as part of the acquisition, net of approximately $0.1 million of post-closing adjustments. As of March 31, 2023, the achievement levels of the revenue targets with respect to the earnout were resolved and the balance remaining of approximately $0.6 million was accrued in accordance with the terms of the agreement. This item is included in accrued liabilities on the balance sheets. Simultaneous with closing the transaction, the parties entered into certain ancillary agreements that provided Iteris with ongoing access to mapping and monitoring services that the TrafficCast Business used to support its real-time and predictive travel data and associated content until termination of these agreements on December 6, 2022. Restructuring Activities To help offset recent increases in supply chain costs, on May 12, 2022, the Board of Directors of Iteris, Inc. approved additional restructuring activities to better position the Company for increased profitability and growth. The Company incurred employee separation costs in relation to these activities, which were included in restructuring charges on the statement of operations (see Note 3, Restructuring Activities , to the Financial Statements for more information). Basis of Presentation Our financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP"). Use of Estimates The preparation of financial statements in conformity with GAAP requires our management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, and reported amounts of revenues and expenses during the reporting period. Significant estimates made in the preparation of the financial statements include, but are not limited to, recoverability of long-lived and intangible assets; fair value of acquired intangible assets and goodwill; estimates of future cash flows used to assess the recoverability of the impairment of goodwill; collectability of accounts receivable and related allowance for doubtful accounts; projections of taxable income used to assess realizability of deferred tax assets; warranty reserves; costs to complete long-term contracts; indirect cost rates used in cost plus contracts; fair value of stock option awards and equity instruments; fair value of contingent consideration and capitalization and estimated useful life of the Company's internal-use software development costs. Estimates are based on historical experience and on various assumptions that the Company believes are reasonable under current circumstances. However, future events are subject to change and best estimates and judgments may require further adjustments, therefore, actual results could differ materially from those estimates. Management periodically evaluates such estimates and they are adjusted prospectively based upon such periodic evaluation. Revenue Recognition Revenues are recognized when control of the promised goods or services are transferred to our customers, in an amount that reflects the consideration that we expect to be entitled to in exchange for those goods or services. We generate all of our revenue from contracts with customers, ranging from multi-year agreements to purchase orders. Product revenue related contracts with customers begin when we acknowledge a purchase order for a specific customer order of product to be delivered in the near term. These purchase orders are generally short-term in nature. Product revenue is recognized at a point in time upon shipment or upon customer receipt of the product, depending on shipping terms. The Company determined that this method best represents the transfer of goods as transfer of control typically occurs upon shipment or upon customer receipt of the product. Service revenues sometimes consist of revenues derived from maintenance support and the use of the Company’s service platforms and Application Programming Interfaces ("APIs") on a subscription basis. We generate this revenue from fees for maintenance and support, monthly active user fees, SaaS fees, and hosting and storage fees. In most cases, the subscription or transaction arrangement is a single performance obligation comprised of a series of distinct services that are substantially the same and that have the same pattern of transfer (i.e., distinct days of service). The Company applies a time-based measure of progress to the total transaction price, which results in ratable recognition over the term of the contract. The Company determined that this method best represents the transfer of services in these situations as the customer obtains equal benefit from the service throughout the service period. Service revenues are also derived from long-term engineering and consulting service contracts with governmental agencies. These contracts generally include performance obligations in which control is transferred over time. For fixed fee contracts, we recognize revenue over time using the proportion of actual costs incurred to the total costs expected to complete the contract performance obligation. The Company determined that this method best represents the transfer of services as the proportional cost incurred closely depicts the efforts or inputs completed towards the satisfaction of a fixed fee contract performance obligation. Other contracts can be based on a Time & Materials (“T&M”) and Cost Plus Fixed Fee (“CPFF”) structure, where such contracts are considered to involve variable consideration. However, contractual performance obligations with these fee types qualify for the “Right to Invoice” practical expedient. Under this practical expedient, the Company is allowed to recognize revenue, over time, in the amount to which the Company has a right to invoice. In addition, the Company is not required to estimate such variable consideration upon inception of the contract or reassess the estimate each reporting period. The Company determined that this method best represents the transfer of services as, upon billing, the Company has a right to consideration from a customer in an amount that directly corresponds with the value to the customer of the Company’s performance completed to date. The Company accounts for individual goods and services separately if they are distinct performance obligations, which often requires significant judgment based upon knowledge of the products and/or services, the solution provided and the structure of the sales contract. In SaaS agreements, we provide a service to the customer that combines the software functionality, maintenance and hosting into a single performance obligation. In product-related contracts, a purchase order may cover different products, each constituting a separate performance obligation. The Company's typical performance obligations include the following: Performance Obligation When Performance When Payment is How Standalone Product Revenues Standard purchase orders for delivery of a tangible product Upon shipment (point in time) Within 30 days of delivery Observable transactions Engineering services where the deliverable is considered a product As work is performed (over time) Within 30 days of services being invoiced Estimated using a cost-plus margin approach Service Revenues Engineering, managed services, and consulting services As work is performed (over time) Within 30 days of services being invoiced Estimated using a cost-plus margin approach SaaS Over the course of the SaaS service once the system is available for use (over time) At the beginning of the contract period Estimated using a cost-plus margin approach Extended warranty service Over the course of the extended warranty period (over time) At the beginning of the contract period Estimated using a cost-plus margin approach Disaggregation of Revenue The Company disaggregates revenue from contracts with customers into product revenues and services revenues. Trade Accounts Receivable and Contract Balances We classify our right to consideration in exchange for goods and services as either a receivable or a contract asset. A receivable is a right to consideration that is unconditional (i.e., only the passage of time is required before payment is due). We present such receivables in trade accounts receivable, net in the accompanying balance sheet at their net estimated realizable value. The Company maintains an allowance for doubtful accounts to provide for the estimated amount of receivables that will not be collected. If warranted, the allowance is increased by the Company's provision for doubtful accounts, which is charged against income. All recoveries on receivables previously charged off are included in income, while direct charge-offs of receivables are deducted from the allowance. A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract assets are presented as unbilled accounts receivable in the accompanying balance sheet. For example, we would record a contract asset if we record revenue on a professional services engagement, but are not entitled to bill until we achieve specified milestones. Our contract assets and refund liabilities are reported in a net position on a contract basis at the end of each reporting period. Refund liabilities are consideration received in advance of the satisfaction of performance obligations. Contract Fulfillment Costs The Company evaluates whether or not we should capitalize the costs of fulfilling a contract. Such costs would be capitalized when they are not within the scope of other standards and: (1) are directly related to a contract; (2) generate or enhance resources that will be used to satisfy performance obligations; and (3) are expected to be recovered. As of March 31, 2023 and 2022, there was approximately $0.5 million and $0.6 million, respectively, of contract fulfillment costs which are presented in the accompanying balance sheets as prepaid and other current assets. These costs primarily relate to the satisfaction of performance obligations related to the set-up of SaaS platforms. These costs are amortized on a straight-line basis over the estimated useful life of the SaaS platform. A contract loss is recorded if the expected costs of fulfilling the contract exceeds the expected consideration from the customer. During the twelve months ended March 31, 2022, due to delays in the completion of a software development contract with a customer, the Company recorded an estimated loss on the contract of approximately $3.4 million, charged to cost of sales, of which approximately $0.9 million related to previously capitalized software development costs and the remainder reduced the balance of the related contract fulfillment costs. The terms of the contract have since been amended to a time and materials structure, and no further additional contract losses are expected for this contract. During the twelve months ended March 31, 2023, no amounts were recorded for contract losses. The estimates and assumptions used in these assessments were based upon management's judgment and may be subject to change as new events occur and additional information is obtained. If the future estimated costs to fulfill a contract exceed the expected consideration from the customer, the Company's financial condition, cash flows, and results of operations may be materially impacted. Transaction Price Allocated to the Remaining Performance Obligations As of March 31, 2023 and 2022, the aggregate amount of transaction price allocated to remaining performance obligations was immaterial, primarily as a result of termination provisions within our contracts, which make the duration of the accounting term of the contract one year or less. Practical Expedients and Exemptions T&M and CPFF contracts are considered variable consideration. However, performance obligations with an underlying fee type of T&M or CPFF qualify for the "Right to Invoice" Practical Expedient under ASC 606-10-55-18. Under this practical expedient, the Company is not required to estimate such variable consideration upon inception of the contract or reassess the estimate each reporting period. The Company utilizes the practical expedient under ASC 606-10-50-14 of not disclosing information about its remaining performance obligations for contracts with an original expected duration (i.e., contract term, determined based on the analysis of termination provisions described above) of 12 months or less. The Company pays sales commissions on certain sales contracts. These costs are accrued in the same period that the revenues are recorded. Using the practical expedient under ASC 340-40-25-4, the Company recognizes the incremental costs of obtaining a contract as an expense when incurred since the amortization period of the asset that the Company otherwise would have recognized is one year or less. The Company utilizes the practical expedient under ASC 606-10-25-18B to account for shipping and handling as fulfillment costs, and not a promised service (a revenue element). Shipping and handling costs are included as cost of revenues in the period during which the products ship. The Company excludes from the transaction price all sales taxes that are assessed by a governmental authority and that are imposed on and concurrent with a specific revenue-producing transaction and collected from a customer (for example, sales, use, value added, and some excise taxes). This employs the practical expedient under ASC 606-10-32-2A. Sales taxes are presented on a net basis (excluded from revenues) in the accompanying statements of operations. Deferred Revenue Deferred revenue in the accompanying balance sheets is comprised of billings and consideration received in advance of the satisfaction of performance obligations. Concentration of Credit Risk Financial instruments that potentially subject us to a concentration of credit risk consist principally of cash and cash equivalents and trade accounts receivable. Cash and cash equivalents consist primarily of demand deposits and money market funds maintained with several financial institutions. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with high quality financial institutions, and therefore are believed to have minimal credit risk. Accounts at each institution are insured by the Federal Deposit Insurance Corporation ("FDIC") up to $250,000. As of March 31, 2023, the Company had approximately $16.2 million of deposits at financial institutions in excess of the FDIC insured limit. Our accounts receivable are primarily derived from billings with customers located throughout North America, as well as in Europe, South America and Asia. We generally do not require collateral or other security from our domestic customers. We maintain an allowance for doubtful accounts for potential credit losses, which losses have historically been within management's expectations. We currently have, and historically have had, a diverse customer base. For Fiscal 2023 and the fiscal year ended March 31, 2022 ("Fiscal 2022"), no individual customer represented greater than 10% of our total revenues. As of March 31, 2023 and 2022, no individual customer represented greater than 10% of our total accounts receivable. Fair Values of Financial Instruments The accounting guidance provided in ASC 820, Fair Value Measurements ("ASC 820") for fair value provides a framework for measuring fair value, clarifies the definition of fair value, and expands disclosures regarding fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. The accounting guidance establishes a three-tiered hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value as follows: Level 1—Unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date. Level 2—Observable inputs other than quoted prices in active markets for identical assets or liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3—Inputs that are generally unobservable and typically reflect management's estimate of assumptions that market participants would use in pricing the assets or liabilities. The Company applies fair value accounting for all financial instruments on a recurring basis. The Company's financial instruments, which include cash, cash equivalents, accounts receivable and accounts payable are recorded at their carrying amounts, which approximate their fair values due to their short-term nature. All marketable securities are considered to be available-for-sale and recorded at their estimated fair values. In valuing these items, the Company uses inputs and assumptions that market participants would use to determine their fair value, utilizing valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. Cash, Cash Equivalents and Restricted Cash Cash and cash equivalents consist of cash and short-term investments with initial maturities of 90 days or less. As of March 31, 2023 and 2022 restricted cash was $0.1 million and $0.1 million, respectively, related to cash restricted for shares purchased under the Employee Stock Purchase Plan ("ESPP") (see Note 9, Employee Benefit Plans , to the Financial Statements for more information). Cash, cash equivalents and restricted cash presented in the accompanying statements of cash flows consist of the following (in thousands): March 31, 2023 2022 Cash and cash equivalents $ 16,587 $ 23,689 Restricted cash 140 120 $ 16,727 $ 23,809 Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are recorded net of the allowance for doubtful accounts. The allowance for doubtful accounts is estimated based on the Company's assessment of its ability to collect on customer accounts receivable. The collectability of our accounts receivable is evaluated through review of outstanding invoices and ongoing credit evaluations of our customers' financial condition. In cases where we are aware of circumstances that may impair a specific customer's ability to meet its financial obligations subsequent to the original sale, we will record an allowance against amounts due, and thereby reduce the net recognized accounts receivable to the amount we reasonably believe will be collected. The Company writes-off accounts receivable against the allowance when a determination is made that the balance is uncollectible and collection of the receivable is no longer being actively pursued. The allowance for doubtful accounts was approximately $0.4 million and $0.9 million as of March 31, 2023 and 2022, respectively. Inventories Inventories consist of raw materials, work-in-process and finished goods and are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out method. Property and Equipment Property and equipment are recorded at cost and are depreciated using the straight-line method over the estimated useful life of the related assets ranging from three Intangible Assets Intangible assets with determinable economic lives are carried at cost, less accumulated amortization. Amortization is computed over the estimated useful life of each asset on a straight-line basis. The Company determines the useful lives of identifiable intangible assets after considering the specific facts and circumstances related to each intangible asset. When determining useful life, the Company considers the contractual term of any agreement related to the asset, the historical performance of the asset, the Company's long-term strategy for using the asset, any laws or other local regulations which could impact the useful life of the asset and other economic factors, including competition and specific market conditions. Intangible assets without determinable economic lives are carried at cost, not amortized and reviewed for impairment at least annually. Goodwill Goodwill represents the excess of the aggregate purchase price over the fair value of net identifiable assets acquired in a business combination. Goodwill is not amortized and is tested for impairment at least annually or whenever events or changes in circumstances indicate that the carrying value may not be recoverable. In the valuation of goodwill, management must make assumptions regarding estimated future cash flows to be derived from the Company's business. If these estimates or their related assumptions change in the future, the Company may be required to record impairment for these assets. The Company has the option to first perform a qualitative assessment to determine if it is more likely than not that the fair value of a reporting unit is less than its carrying value. However, the Company may elect to bypass the qualitative assessment and proceed directly to the quantitative impairment tests. The first step of the impairment test involves comparing the fair value of the reporting unit to its net book value, including goodwill. If the net book value exceeds its fair value, the Company would perform the second step of the goodwill impairment test to determine the amount of the impairment loss. We perform an annual quantitative assessment of our goodwill during the fourth fiscal quarter, or more frequently, to determine if any events or circumstances exist, such as an adverse change in business climate or a decline in overall industry demand, that would indicate that it would more likely than not reduce the fair value of a reporting unit below its carrying amount, including goodwill. If events or circumstances do not indicate that the fair value of a reporting unit is below its carrying amount, then goodwill is not considered to be impaired and no further testing is required. If the carrying amount of a reporting unit exceeds the reporting unit's fair value, the amount by which the carrying value of the goodwill exceeds its implied fair value, if any, is recognized as an impairment loss. We monitor the indicators for goodwill impairment testing between annual tests. In prior years the Company had two operating and reportable segments, Roadway Sensors ("RWS") and Transportation Systems ("SYS"), which also represented the reporting units for purposes of goodwill impairment testing. In Fiscal 2021, the Company underwent a reorganization after which the Company also reassessed the reporting unit conclusion and determined that there are three reporting units and a single operating and reportable segment . As of March 31, 2023, there were no indicators of goodwill impairment. Impairment of Long-Lived Assets The Company evaluates its long-lived assets, including property, equipment and intangible assets (other than goodwill) for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. We determine whether the carrying value of an asset or asset group is recoverable, based on comparisons to undiscounted expected future cash flows the asset or asset group is expected to generate. If an asset is not recoverable, we record an impairment loss equal to the amount by which the carrying value of the asset exceeds its fair value. During the twelve months ended March 31, 2022, approximately $0.9 million of previously capitalized software development costs was charged to cost of sales Income Taxes We utilize the asset and liability method of accounting for income taxes, under which deferred taxes are determined based on the temporary differences between the financial statement and tax basis of assets and liabilities using tax rates expected to be in effect during the years in which the basis differences reverse. A valuation allowance is recorded when it is more-likely-than-not that some or all of the deferred tax assets will not be realized, which increases our income tax expense in the period such determination is made. As such, we determined it was appropriate to maintain a full valuatio

Supplementary Financial Informa

Supplementary Financial Information	12 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Supplementary Financial Information	Supplementary Financial Information Inventories, net The following table presents details regarding our inventories, net: March 31, 2023 2022 (In thousands) Raw materials $ 7,840 $ 5,680 Work in process 315 200 Finished goods 2,686 2,100 $ 10,841 $ 7,980 Property and Equipment, net The following table presents details of our property and equipment, net: March 31, 2023 2022 (In thousands) Equipment $ 6,359 $ 6,825 Leasehold improvements 824 3,117 Accumulated depreciation (5,886) (8,550) $ 1,297 $ 1,392 Depreciation expense was approximately $0.6 million and $0.8 million in Fiscal 2023 and Fiscal 2022, respectively. Approximately $0.2 million and $0.2 million of the depreciation expense was recorded to cost of revenues, and approximately $0.4 million and $0.6 million was recorded to operating expenses in Fiscal 2023 and Fiscal 2022, respectively, in the accompanying statements of operations. Intangible Assets, net The following table presents details regarding our intangible assets, net: March 31, 2023 March 31, 2022 Gross Accumulated Net Gross Accumulated Net (In thousands) Technology $ 4,986 $ (3,444) $ 1,542 $ 4,986 $ (2,519) $ 2,467 Customer contracts / relationships 9,550 (4,371) 5,179 9,550 (2,959) 6,591 Trade names and non-compete agreements 782 (770) 12 782 (753) 29 Capitalized software development costs 7,489 (4,032) 3,457 5,900 (3,207) 2,693 Total $ 22,807 $ (12,617) $ 10,190 $ 21,218 $ (9,438) $ 11,780 Amortization expense for intangible assets subject to amortization was approximately $3.2 million and $3.2 million for Fiscal 2023 and Fiscal 2022, respectively. Approximately $0.5 million and $0.6 million of the intangible asset amortization was recorded to cost of revenues, and approximately $2.6 million and $2.7 million was recorded to amortization expense for Fiscal 2023 and Fiscal 2022, respectively, in the statements of operations. The weighted average remaining useful lives of the intangible assets as of March 31, 2023 is 3.4 years. We have one indefinite useful life intangible asset, with de minimis carrying value, which was included in trade names and non-compete agreements. Our net customer contracts/relationships have a useful life of 6 years. Our net trade names and non-compete agreements have a useful life of 3 years. Our net capitalized software development costs of approximately $3.5 million and $2.7 million primarily consisted of our Oracle Enterprise Resource Planning system design and implementation of approximately $1.1 million and $1.4 million as of March 31, 2023 and 2022, respectively, which has a useful life of 10 years. As of March 31, 2023, the future estimated amortization expense is as follows: Year Ending March 31, (In thousands) 2024 3,550 2025 3,070 2026 1,845 2027 1,095 2028 618 Thereafter — $ 10,178 The future estimated amortization expense does not include the indefinite useful life intangible asset described above. Goodwill The following table presents the carrying value of our goodwill for Fiscal 2023 and Fiscal 2022: Total Balance—March 31, 2023 Goodwill $ 36,310 Acquired goodwill — Accumulated impairment losses (7,970) $ 28,340 Balance—March 31, 2022 Goodwill $ 36,310 Acquired goodwill — Accumulated impairment losses (7,970) $ 28,340 Warranty Reserve Activity The following table presents activity with respect to the warranty reserve: Year Ended March 31, 2023 2022 (In thousands) Balance at beginning of fiscal year $ 616 $ 569 Additions charged to cost of revenues 343 238 Warranty claims (201) (191) Balance at end of fiscal year $ 758 $ 616 Earnings Per Share The following table sets forth the computation of basic and diluted income (loss) from continuing operations per share: Year Ended March 31, 2023 2022 (In thousands, except per Numerator: Net income (loss) from continuing operations $ (14,855) $ (6,900) Net income (loss) from discontinued operations, net of tax — (180) Net income (loss) $ (14,855) $ (7,080) Denominator: Weighted average common shares used in basic computation 42,374 42,222 Dilutive stock options — — Weighted average common shares used in diluted computation 42,374 42,222 Basic: Net income (loss) per share from continuing operations: $ (0.35) $ (0.16) Net income (loss) per share from discontinued operations: $ — $ — Net income (loss) per basic share $ (0.35) $ (0.16) Diluted: Net income (loss) per share from continuing operations: $ (0.35) $ (0.16) Net income (loss) per share from discontinued operations: $ — $ — Net income (loss) per diluted share $ (0.35) $ (0.16) The following instruments were excluded for purposes of calculating weighted average common share equivalents in the computation of diluted income (loss) per share from continuing operations as their effect would have been anti-dilutive for the years ended March 31, 2023 and 2022: Year Ended March 31, 2023 2022 (In thousands) Stock options 5,886 3,857 Restricted stock units 457 386

Restructuring Activities

Restructuring Activities	12 Months Ended
	Mar. 31, 2023
Restructuring and Related Activities [Abstract]
Restructuring Activities	Restructuring Activities On May 12, 2022, the Board of Directors of Iteris, Inc. approved restructuring activities to better position the Company for increased profitability and growth. During the twelve months ended March 31, 2023, the Company incurred approximately $0.7 million related to employee separation costs in relation to these activities which were included in restructuring charges on the unaudited condensed statement of operations. As of March 31, 2023, we had accrued approximately $0.2 million for severance and benefits related to the restructuring activities in accrued payroll and related expenses in the accompanying balance sheet. Our restructuring activities during Fiscal 2023 were as follows (in thousands): Balance at March 31, 2022 $ — Charged to expenses 707 Cash payments (465) Balance at March 31, 2023 $ 242

Fair Value Measurements

Fair Value Measurements	12 Months Ended
	Mar. 31, 2023
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements We measure fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Fair value measurements are based on a three tier hierarchy that prioritizes the inputs used to measure fair value. These tiers include: Level 1, defined as observable inputs such as quoted prices in active markets for identical assets and liabilities; Level 2, defined as observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities or prices quoted in inactive markets; and Level 3, defined as unobservable inputs that are significant to the fair value of the asset or liability, and for which little or no market data exists, therefore requiring management to utilize its own assumptions to provide its best estimate of what market participants would use in valuing the asset or liability. We did not have any material financial assets or liabilities measured at fair value on a recurring basis using Level 3 inputs as of March 31, 2023 or 2022. Our non-financial assets, such as goodwill, intangible assets, property and equipment, securities held in the deferred compensation plan and the liabilities associated with the deferred compensation plan, and acquired assets and liabilities assumed are measured at fair value on a non-recurring basis, generally when there is a transaction involving those assets. In Fiscal 2023 and Fiscal 2022, Level 3 inputs were used to evaluate the goodwill of the Company. In Fiscal 2022, Level 3 inputs were used to evaluate the fair value of the contingent consideration related to the acquisition of TrafficCast. As of March 31, 2023, the inputs related to determination of the balance of the earnout were resolved and the final balance due of $0.6 million was accrued in accordance with the terms of the agreement. Accordingly, as of March 31, 2023, there were no items measured at fair value with Level 3 inputs. No other non-financial assets were measured at fair value as of March 31, 2023 and March 31, 2022. The following tables present the Company's financial assets and liabilities that are recorded at fair value on a recurring basis, segregated among the appropriate levels within the fair value hierarchy: As of March 31, 2023 Amortized Gross Gross Estimated Assets: (In thousands) Level 1: Securities held in deferred compensation plan (1) $ 1,426 $ (437) $ 321 $ 1,310 Total $ 1,426 $ (437) $ 321 $ 1,310 Liabilities: Level 1: Deferred compensation plan liabilities (2) $ 1,201 $ (296) $ 563 $ 1,468 Level 3: Contingent Consideration (3) $ 600 $ — $ — $ 600 Transfers out (3) (600) — — (600) Subtotal — — — — Total $ 1,201 $ (296) $ 563 $ 1,468 As of March 31, 2022 Amortized Gross Gross Estimated (In thousands) Level 1: Money market funds $ 71 $ — $ — $ 71 Securities held in deferred compensation plan (1) 998 (106) 73 965 Subtotal 1,069 (106) 73 1,036 Level 2: Commercial paper 7,499 — — 7,499 Corporate notes and bonds — — — — US treasuries 7,798 — — 7,798 Subtotal 15,297 — — 15,297 Total $ 16,366 $ (106) $ 73 $ 16,333 Liabilities: Level 1: Deferred compensation plan liabilities (2) $ 1,013 $ (106) $ 72 $ 979 Level 3: Contingent consideration (3) $ 600 $ — $ — $ 600 Total $ 1,613 $ (106) $ 72 $ 1,579 (1) Included in prepaid expenses and other current assets on the Company’s balance sheet. (2) Included in accrued payroll and related expenses on the Company’s balance sheet. (3) As of March 31, 2022, the short-term portion of the balance of contingent consideration was included in accrued liabilities and the long-term portion was included in other long-term liabilities on the Company’s balance sheet. As of March 31, 2023, the inputs related to determination of the balance of the earnout were resolved and the final balance due was all short-term and included in accrued liabilities on the Company's balance sheet. Unrealized losses related to these investments are due to interest rate fluctuations as opposed to credit quality. In addition, we do not intend to sell, and it is not more likely than not that we would be required to sell, these investments before recovery of their cost basis. As a result, there is no other-than-temporary impairment for these investments as of March 31, 2023.

Income Taxes

Income Taxes	12 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The components of current and deferred federal and state income tax (benefit) provision are as follows: Year Ended March 31, 2023 2022 (In thousands) Income (loss) from continuing operations before income taxes $ (14,720) $ (6,726) Current income tax provision: Federal — — State 50 75 Total current tax provision 50 75 Deferred income tax provision: Federal 34 33 State 51 66 Total deferred tax provision 85 99 Provision for income taxes on continuing operations 135 174 Income (loss) from continuing operations, net of taxes $ (14,855) $ (6,900) The reconciliation of our income tax (benefit) provision to taxes computed at U.S. federal statutory rates is as follows: Year Ended March 31, 2023 2022 (In thousands) Provision (benefit) for income taxes at statutory rates $ (3,091) $ (1,422) State income taxes net of federal benefit (423) (559) Tax credits (434) (141) Compensation charges 156 34 Change in valuation allowance 3,849 2,169 Other 78 93 Provision for income taxes $ 135 $ 174 The components of deferred tax assets and liabilities are as follows: March 31, 2023 2022 (In thousands) Deferred tax assets: Net operating losses $ 5,962 $ 4,320 Capitalized R&D 2,866 1,808 Credit carry-forwards 4,868 4,530 Deferred compensation and payroll 3,290 2,902 Bad debt allowance and other reserves 914 1,299 Property and equipment 729 297 Acquired intangibles 294 129 Other, net 518 171 Total deferred tax assets 19,441 15,456 Valuation allowance (18,741) (14,892) Total deferred tax assets, net of valuation allowance 700 564 Deferred tax liabilities: Goodwill (1,122) (901) Total deferred tax liabilities (1,122) (901) Net deferred tax liabilities $ (422) $ (337) The impact to our fiscal year 2022 deferred tax assets as a result of the corrections described in Note 1, Description of Business and Summary of Significant Accounting Policies, to the Financial Statements, was an increase of $0.3 million to the net operating losses from $4.0 million to $4.3 million, and an equal increase to our valuation allowance from $14.6 million to $14.9 million. At March 31, 2023, we had $3.7 million in federal research credits that begin to expire in 2031 and $1.4 million in state tax credits that begin to expire in 2023. We had $23.5 million of federal net operating loss carryforwards at March 31, 2023 that do not expire as a result of recent tax law changes. We also had $16.4 million of state net operating loss carryforwards at March 31, 2023 that begin to expire in 2031. In assessing the realizability of our deferred tax assets, we review all available positive and negative evidence, including reversal of deferred tax liabilities, potential carrybacks, projected future taxable income, tax planning strategies and recent financial performance. As the Company has sustained a cumulative pre-tax loss over the trailing three years, we considered it appropriate to maintain valuation allowances of $18.7 million and $14.9 million against our deferred tax assets at March 31, 2023 and 2022, respectively. We intend to continue maintaining a full valuation allowance on our deferred tax assets until there is sufficient evidence to support the reversal of all or some portion of these allowances. Due to the magnitude of the impact of supply chain issues occurring during Fiscal 2023 and the addition to cumulative pre-tax loss, we currently cannot estimate when sufficient positive evidence may become available to allow us to reach a conclusion that any portion of the valuation allowance will no longer be needed. Release of the valuation allowance would result in the recognition of certain deferred tax assets and a decrease to income tax expense for the period the release is recorded. However, the exact timing and amount of the valuation allowance release are subject to the level of profitability that we are able to actually achieve. On March 27, 2020, the CARES Act was enacted in response to the Pandemic. The CARES Act contains numerous income tax provisions, such as relaxing limitations on the deductibility of interest and the use of net operating losses arising in taxable years beginning after December 31, 2017. The income tax provisions of the CARES Act had an immaterial impact on our current taxes, deferred taxes, and uncertain tax positions of the Company in the year ended March 31, 2023. The CARES Act also allows for the deferral of payroll taxes, as well as the immediate refund of federal Alternative Minimum Tax credits, which had previously been made refundable over a period of four years by the Tax Cuts and Jobs Act of 2017. As of March 31, 2023, the Company had repaid all amounts deferred under the CARES Act. Unrecognized Tax Benefits As of March 31, 2023 and 2022, our gross unrecognized tax benefits were approximately $1.3 million and $1.2 million, respectively, of which approximately $1.2 million and $1.1 million, respectively, are netted against certain noncurrent deferred tax assets. The amounts that would affect our effective tax rate if recognized are approximately $1.2 million and $1.1 million, respectively. A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits is as follows: Year Ended March 31, 2023 2022 (In thousands) Gross unrecognized tax benefits at beginning of year $ 1,198 $ 1,079 Increases for tax positions taken in prior years 22 — Decreases for tax positions taken in prior years (36) (29) Increases for tax positions taken in the current year 116 159 Lapse in statute of limitations (16) (11) Gross unrecognized tax benefits at March 31 $ 1,284 $ 1,198 We do not anticipate a significant change in gross unrecognized tax benefits within the next twelve months. We are subject to taxation in the U.S. and various state tax jurisdictions. We are subject to U.S. federal tax examination for fiscal tax years ended March 31, 2020 or later, and state and local income tax examination for fiscal tax years ended March 31, 2019 or later. However, if net operating loss carryforwards that originated in earlier tax years are utilized in the future, the amount of such NOLs from such earlier years remain subject to review by tax authorities.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Mar. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Litigation and Other Contingencies As a provider of traffic engineering services, hardware products, software and other various solutions for the traffic industry, the Company is, and may in the future from time to time, be involved in litigation relating to claims arising out of its operations in the normal course of business. While the Company cannot accurately predict the outcome of any such litigation, the Company is not a party to any legal proceedings, the outcome of which, in management's opinion, individually or in the aggregate, would have a material effect on the Company's results of operations, financial position or cash flows.

Right-of-Use Assets and Lease L

Right-of-Use Assets and Lease Liabilities	12 Months Ended
	Mar. 31, 2023
Lessee Disclosure [Abstract]
Right-of-Use Assets and Lease Liabilities	Right-of-Use Assets and Lease Liabilities We have various operating leases for our offices, office equipment and vehicles in the United States. These leases expire at various times through 2029. Certain lease agreements contain renewal options from 1 year to 5 years, rent abatement, and escalation clauses that are factored into our determination of lease payments when appropriate. The table below presents lease-related assets and liabilities recorded on the balance sheet as follows: Classification March 31, 2023 (In thousands) Assets Operating lease right-of-use-assets Right-of-use assets $ 8,345 Total operating lease right-of-use-assets $ 8,345 Liabilities Operating lease liabilities (short-term) Accrued liabilities $ 2,339 Operating lease liabilities (long-term) Lease liabilities 7,641 Total operating lease liabilities $ 9,980 Lease Costs For Fiscal 2023 and Fiscal 2022, lease costs totaled approximately $2.6 million and $2.9 million, respectively. The Company currently has no variable lease costs. Supplemental Information The table below presents supplemental information related to operating leases during the fiscal year ended March 31, 2023 (in thousands, except weighted average information): Cash paid for amounts included in the measurement of operating lease liabilities $ 1,755 Right-of-use assets obtained in exchange for new operating lease liabilities 313 Weighted average remaining lease term 3.9 Weighted average discount rate 4.8 % Undiscounted Cash Flows The table below reconciles the undiscounted cash flows for each of the first five years and the total of the remaining years to the operating lease liabilities recorded on the balance sheet as of March 31, 2023: Fiscal Year Ending March 31, Operating Leases (In thousands) 2024 $ 2,739 2025 2,479 2026 2,149 2027 2,178 2028 1,286 Thereafter 204 Total lease payments 11,035 Less imputed interest (1,055) Present value of future lease payments 9,980 Less current obligations under leases (2,339) Long-term lease obligations $ 7,641

Stockholders' Equity

Stockholders' Equity	12 Months Ended
	Mar. 31, 2023
Stockholders' Equity Note [Abstract]
Stockholders' Equity	Stockholders' Equity Preferred Stock Our certificate of incorporation provides for the issuance of up to 2,000,000 shares of preferred stock. Our Board of Directors is authorized to issue from time to time such authorized but unissued shares of preferred stock in one or more series and to fix or alter the designations, preferences, rights and any qualifications, limitations or restrictions of the shares of each such series, including the dividend, conversion, voting, redemption and liquidation rights. As of March 31, 2023 and 2022, there were no outstanding shares of preferred stock, and we do not currently have plans to issue any shares of preferred stock. Common Stock Reserved for Future Issuance The following summarizes common stock reserved for future issuance at March 31, 2023: Number of Shares (In thousands) Stock options outstanding 6,287 Restricted stock units outstanding 497 Performance stock units outstanding 83 Authorized for future issuance under stock incentive plans 2,398 Total common stock reserved for future issuance at March 31, 2023 9,265

Employee Benefit Plans

Employee Benefit Plans	12 Months Ended
	Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]
Employee Benefit Plans	Employee Benefit Plans Stock Incentive Plans In September 2007, our stockholders approved the 2007 Omnibus Incentive Plan (the "2007 Plan"), which provides that options to purchase shares of our unissued common stock may be granted to our employees, officers, consultants and directors at exercise prices which are equal to or greater than the market value of our common stock on the date of grant. The 2007 Plan also allows for the issuance of stock appreciation rights, restricted stock, restricted stock units ("RSUs") and other stock-based awards based on the value of our common stock. New shares are issued to satisfy stock option exercises and share issuances under the 2007 Plan. In September 2009, our stockholders approved an amendment to increase the number of shares of our common stock authorized and reserved for issuance under the 2007 Plan by 800,000 shares to a total of 1,650,000 shares. In September 2012, our stockholders approved an amendment to increase the number of shares of our common stock authorized and reserved for issuance under the 2007 Plan by 800,000 shares to a total of 2,450,000 shares. In October 2014, our stockholders approved an amendment of the 2007 Plan to increase the number of shares of common stock authorized for issuance under the 2007 Plan by an additional 1,500,000 shares to a total of 3,950,000 shares. In September 2015, our stockholders approved an amendment of the 2007 Plan to increase the number of shares of common stock authorized for issuance under the 2007 Plan by an additional 1,000,000 shares to a total of 4,950,000 shares. In December 2016, our stockholders approved the 2016 Omnibus Incentive Plan (the "2016 Plan") which allows for the issuance of stock options, stock appreciation rights, restricted stock, RSUs, cash incentive awards and other stock-based awards to our employees, officers, consultants and directors at exercise prices which are equal to or greater than the market value of our common stock on the date of grant. Options expire no more than ten years after the date of grant and generally vest at the rate of 25% on each of the first 4 years anniversaries of the grant date. Stock appreciation rights, restricted stock, RSUs and other stock-based awards are based on the value of our common stock. New shares are issued to satisfy stock option exercises and share issuances under the 2016 Plan. In September 2021, our stockholders approved an amendment of the 2016 Plan to increase the number of shares of common stock authorized for issuance under the 2016 Plan by an additional 3,360,000 shares. We currently maintain two stock incentive plans, the 2007 Omnibus Incentive Plan (the "2007 Plan") and the 2016 Omnibus Incentive Plan (the "2016 Plan"). Of these plans, we may only grant future awards from the 2016 Plan. The 2016 Plan allows for the issuance of stock options, stock appreciation rights, restricted stock, restricted stock units ("RSUs"), cash incentive awards and other stock-based awards. At March 31, 2023, there were approximately 2.4 million shares of common stock available for grant or issuance under the 2016 Plan. Total stock options vested and expected to vest were approximately 6.3 million as of March 31, 2023. Stock Options A summary of activity in the Omnibus Incentive Plans with respect to our stock options for Fiscal 2023 is as follows: Options Weighted Weighted Aggregate (In thousands) (Years) (In thousands) Options outstanding at March 31, 2022 5,943 $ 4.32 6.5 974 Granted 943 3.20 Exercised (61) 2.93 Forfeited (241) 4.90 Expired (297) 5.02 Options outstanding at March 31, 2023 6,287 4.11 6.2 4,976 As of March 31, 2023, approximately 4,082,662 stock options were exercisable. Restricted Stock Units RSU awards are stock-based awards that entitle the holder to receive one share of our common stock for each RSU upon vesting. RSUs granted under the 2007 Plan vest at the rate of 25% on each of the first four A summary of activity with respect to our RSUs for Fiscal 2023 is as follows: # of Shares Weighted Weighted Aggregate (In thousands) (Years) (In thousands) RSUs outstanding at March 31, 2022 451 $ 4.12 7.5 1,271 Granted 290 3.29 Vested and released (202) 5.33 Forfeited (42) 5.23 RSUs outstanding at March 31, 2023 497 3.05 1.3 2,326 Performance Stock Units The Company has approved a total "target" number of 212,216 PSUs to our executive officers. Between 0% and 160% of the PSUs will be eligible to vest based on average annual performance during the three-year performance period relative to the revenues per share and cash flow from operations objectives to be established by the Compensation Committee at the beginning of each year. In addition, the final PSU vesting based on the revenues per share and cash flow from operations performance will be subject to a modifier between .75x-1.25x based on the Company's total shareholder return relative to the Russell 2000 during the performance period, for a maximum achievement percentage of 200% of the "target" number of PSUs. The PSUs are amortized over a service period of 3 years. The value and the derived service period of the PSUs were estimated using the Monte-Carlo simulation model. The following table summarizes the details of the performance stock units: # of Shares Weighted Weighted Aggregate (In thousands) PSUs outstanding at March 31, 2022 115 $ 6.33 1.2 343 Granted 87 3.09 Vested (119) 5.27 Forfeited — — PSUs outstanding at March 31, 2023 83 4.45 1.5 389 Stock-Based Compensation The following table presents stock-based compensation expense that is included in each functional line item in our statements of operations: Year Ended March 31, 2023 2022 (In thousands) Cost of revenues $ 352 $ 242 General and administrative 1,626 2,574 Sales and marketing 477 340 Research and development expense 435 245 Restructuring activities — — Loss from discontinued operations — — Total stock-based compensation $ 2,890 $ 3,401 At March 31, 2023, there was approximately $3.9 million, $1.1 million and $0.1 million of unrecognized compensation expense related to unvested stock options, RSUs, and PSUs respectively. This expense is currently expected to be recognized over a weighted average period of approximately 2.7 years for stock options, 1.7 years for RSUs and 1.3 years for PSUs. If there are any modifications or cancellations of the underlying unvested awards, we may be required to accelerate, increase or cancel any remaining unearned stock-based compensation expense. Future stock-based compensation expense and unearned stock-based compensation will increase to the extent that we grant additional stock options, RSUs or other stock-based awards. The grant date fair value of stock options granted was estimated using the following weighted-average assumptions: Year Ended March 31, 2023 2022 Expected life—years 7.5 7.2 Risk-free interest rate 3.6 % 1.5 % Expected volatility of common stock 51 % 49 % Dividend yield 0 % 0 % Expected Life: The Company's expected life represents the weighted-average period that the Company's stock options are expected to be outstanding. The expected life is based on expected time to post-vesting exercise of options by employees. The Company uses historical exercise patterns of previously granted options to derive employee behavioral patterns used to forecast expected exercise patterns. Risk-Free Interest Rate: The risk-free interest rate is based on the U.S. Treasury zero coupon yield curve in effect at the time of grant for the expected term of the option. Expected Volatility: The Company uses historical volatility as it provides a reasonable estimate of the expected volatility. Historical volatility is based on the most recent volatility of the stock price over a period of time equivalent to the expected term of the option. A summary of certain fair value and intrinsic value information pertaining to our stock options is as follows: Year Ended March 31, 2023 2022 (In thousands, except Weighted average grant date fair value per share of options granted $ 1.67 $ 2.58 Intrinsic value of options exercised $ 141 $ 1,966 Employee Incentive Programs Under the terms of a Profit Sharing Plan, we may contribute to a trust fund such amounts as determined annually by the Board of Directors. No contributions were made during the fiscal years ended March 31, 2023 and 2022. We sponsor a defined contribution 401(k) plan (the "401(k) Plan"), adopted in 1990, under which eligible employees voluntarily contribute to the plan, up to IRS maximums, through payroll deductions. We match up to 50% of contributions, up to a stated limit, with all matching contributions being fully vested after one month of service. Our matching contributions under the 401(k) Plan were approximately $1.8 million, and $1.8 million for Fiscal 2023 and Fiscal 2022, respectively. Other Stock-Based Compensation Plans Beginning January 1, 2018, the Company adopted an ESPP which allows employees to withhold a percentage of their base compensation to purchase the Company's common stock at 95% of the lower of the fair market at the beginning of the offering period and on the last trading day of the offering period. There are two offering periods during a calendar year, which consist of the six months beginning each January 1 and July 1. Employees may elect to contribute 1-15% of their eligible gross pay up to a $0.03 million annual stock value limit. During Fiscal 2023 and Fiscal 2022, 180,000 and 95,000 shares, respectively, were purchased. As of March 31, 2023, approximately $0.1 million of cash was restricted for the purchase of shares under the ESPP and is recorded as restricted cash in the accompanying balance sheets. Deferred Compensation Plan Effective October 1, 2020, the Company adopted the Iteris, Inc. Non-Qualified Deferred Compensation Plan (the "DC Plan"). The DC Plan consists of two plans, one that is intended to be an unfunded arrangement for eligible key employees who are part of a select group of management or highly compensated employees of the Company within the meaning of Sections 201(2), 301(a)(3) and 401(a)(1) of ERISA, and one for the benefit of non-employee members of our Board of Directors. Key employees, including our executive officers and our non-employee directors who are notified regarding their eligibility to participate and delivered the DC Plan enrollment materials, are eligible to participate in the DC Plan. Under the DC Plan, we will provide participants with the opportunity to make annual elections to defer a percentage of their eligible cash compensation and equity awards. A participant is always 100% vested in his or her own elective cash deferrals and any earnings thereon. Elective deferrals of equity awards are credited to a bookkeeping account established in the name of the participant with respect to an equivalent number of shares of our common stock, and such credited shares are subject to the same vesting conditions as are applicable to the equity award subject to the election. The Company established a rabbi trust to finance our obligations under the DC Plan with corporate-owned life insurance policies on participants regardless of employment status, and the assets held within this trust are subject to the claims of the Company's creditors. As of March 31, 2023, the amount invested under the DC Plan totaled approximately $1.3 million and are classified as trading securities, which are recorded at fair market value with changes recorded as adjustments to other income. This amount is included in prepaid expenses and other current assets on the balance sheets. As of March 31, 2023, the vested amounts under the DC Plan totaled $1.5 million and are included in accrued payroll and related expenses on the balance sheets. Changes in the deferred compensation plan liabilities are recorded as an adjustment to compensation expense. As of March 31, 2023, 68,627 equity awards were deferred and held in the rabbi trust. The shares deferred and held in the rabbi trust are classified as treasury stock, and the liability to participating employees are classified as deferred compensation obligations in the stockholders' equity section of the balance sheets. The number of shares needed to settle the liability for deferred compensation obligations will be included in the denominator in both the basic and diluted earnings per share calculations. Employment Inducement Incentive Plan On December 4, 2020, the Board of Directors approved the Iteris, Inc. 2020 Employment Inducement Incentive Award Plan (the “Inducement Plan”) in conjunction with the TrafficCast acquisition. The terms of the Inducement Plan are substantially similar to the terms of the Company’s 2016 Omnibus Incentive Plan with the exception that incentive stock options may not be granted under the Inducement Plan. The Inducement Plan was adopted by the Board of Directors without stockholder approval pursuant to Rule 5635(c)(4) of the Nasdaq Listing Rules. The Board of Directors initially reserved 300,000 shares of the Company’s common stock for issuance pursuant to awards granted under the Inducement Plan. In accordance with Rule 5635(c)(4) of the Nasdaq Listing Rules, awards under the Inducement Plan may only be made to an employee who has not previously been an employee or member of the Board of Directors of the Company or any parent or subsidiary, or following a bona fide period of non-employment by the Company or a parent or subsidiary, and only if he or she is granted such award in connection with his or her commencement of employment with the Company or a subsidiary and such grant is an inducement material to his or her entering into employment with the Company or such subsidiary.

Stock Repurchase Program

Stock Repurchase Program	12 Months Ended
	Mar. 31, 2023
Equity [Abstract]
Stock Repurchase Program	Stock Repurchase Program On August 9, 2012, the Board approved a stock repurchase program pursuant to which we could acquire up to $3.0 million of our outstanding common stock for an unspecified length of time. Under the program, we could repurchase shares from time to time in the open market and privately negotiated transactions and block trades, and could also repurchase shares pursuant to a 10b5-1 trading plan during our closed trading windows. There was no guarantee as to the exact number of shares that would be repurchased. We reserved the right to modify or terminate the repurchase program at any time without prior notice. On November 6, 2014, the Board approved a $3.0 million increase to the Company’s 2012 stock repurchase program, pursuant to which the Company could continue to acquire shares of its outstanding common stock from time to time for an unspecified length of time. From the inception of the 2012 stock repurchase program on through its termination on May 12, 2022, we repurchased approximately 2,458,000 shares of our common stock for an aggregate price of approximately $4.3 million, at an average price per share of $1.73. As of March 31, 2023, these repurchased shares had been retired and resumed their status as authorized and unissued shares of our common stock. On May 12, 2022 the Board of Directors terminated the 2012 stock repurchase program and approved a new plan for the company to acquire up to $10.0 million of our outstanding common stock for an unspecified length of time. Under the program, we may repurchase shares from time to time in the open market and privately negotiated transactions and block trades, and may also repurchase shares pursuant to a 10b5-1 trading plan during our closed trading windows. There is no guarantee as to the

Business Segments, Significant

Business Segments, Significant Customer and Geographic Information	12 Months Ended
	Mar. 31, 2023
Segment Reporting [Abstract]
Business Segments, Significant Customer and Geographic Information	Business Segments, Significant Customer and Geographic Information Business Segments The Company's Chief Operating Decision Maker ("CODM"), who is our Chief Executive Officer, reviews the Company's results on a consolidated basis and our financial results are presented under a single reporting segment in order to provide the most accurate representation of Company's performance. Significant Customer and Geographic Information No individual customer or government agency had a receivable balance greater than 10% of our total trade accounts receivable balances as of March 31, 2023 and 2022. The Company had no long-lived assets located outside the U.S. as of March 31, 2023 and 2022.

Long-Term Debt

Long-Term Debt	12 Months Ended
	Mar. 31, 2023
Debt Disclosure [Abstract]
Long-Term Debt	Long-Term Debt On January 25, 2022, Iteris, Inc., entered into a Credit Agreement (the “Credit Agreement”) with Capital One, National Association, as agent. The Credit Agreement provided for a $20 million revolving credit facility with a maturity date of January 24, 2026. In addition, the Company had the ability from time to time to increase the revolving commitments up to an additional aggregate amount not to exceed $40 million, subject to receipt of lender commitments and certain conditions precedent. The Credit Agreement that evidenced the facility contained customary representations, warranties, covenants, and events of default. The Credit Agreement was collateralized by substantially all of our property and assets, including intellectual property. The Credit Agreement also contained certain restrictions and covenants that required the Company to maintain, on an ongoing basis, (i) a leverage ratio of no greater than 3.00 to 1.00 and (ii) a fixed charge coverage ratio of not less than 1.25 to 1.00. The leverage ratio also determined the applicable interest rate under the Credit Agreement. Borrowings under the revolving credit facility accrued interest at a rate equal to either Secured Overnight Financing Rate ("SOFR") or a specified base rate, at the Company’s option, plus an applicable margin. The applicable margins ranged from 2.00% to 2.80% per annum for SOFR loans and 1.00% to 1.80% per annum for base rate loans. The revolving credit facility was subject to a commitment fee payable on the unused revolving credit facility commitments ranging from 0.25% to 0.35%, that was dependent on the Company’s leverage ratio. On September 12, 2022, the Company voluntarily terminated the Credit Agreement and expensed the remaining capitalized deferred financing costs. The Company had not borrowed against the Credit Agreement since its inception, but the Company continued to incur customary fees thereunder prior to this termination. In connection with the termination of the Credit Agreement, all liens securing such obligations and guarantees of such obligations were released. Amortization of the deferred financing costs and commitment fees on the unused revolving credit facility commitments of $0.3 million are included in Interest Income (Expense), net on the statement of operations. As of March 31, 2023, no amounts of capitalized deferred financing costs remained.

Description of Business and S_2

Description of Business and Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of PresentationOur financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America ("GAAP").
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires our management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the
Revenue Recognition	Revenue Recognition Revenues are recognized when control of the promised goods or services are transferred to our customers, in an amount that reflects the consideration that we expect to be entitled to in exchange for those goods or services. We generate all of our revenue from contracts with customers, ranging from multi-year agreements to purchase orders. Product revenue related contracts with customers begin when we acknowledge a purchase order for a specific customer order of product to be delivered in the near term. These purchase orders are generally short-term in nature. Product revenue is recognized at a point in time upon shipment or upon customer receipt of the product, depending on shipping terms. The Company determined that this method best represents the transfer of goods as transfer of control typically occurs upon shipment or upon customer receipt of the product. Service revenues sometimes consist of revenues derived from maintenance support and the use of the Company’s service platforms and Application Programming Interfaces ("APIs") on a subscription basis. We generate this revenue from fees for maintenance and support, monthly active user fees, SaaS fees, and hosting and storage fees. In most cases, the subscription or transaction arrangement is a single performance obligation comprised of a series of distinct services that are substantially the same and that have the same pattern of transfer (i.e., distinct days of service). The Company applies a time-based measure of progress to the total transaction price, which results in ratable recognition over the term of the contract. The Company determined that this method best represents the transfer of services in these situations as the customer obtains equal benefit from the service throughout the service period. Service revenues are also derived from long-term engineering and consulting service contracts with governmental agencies. These contracts generally include performance obligations in which control is transferred over time. For fixed fee contracts, we recognize revenue over time using the proportion of actual costs incurred to the total costs expected to complete the contract performance obligation. The Company determined that this method best represents the transfer of services as the proportional cost incurred closely depicts the efforts or inputs completed towards the satisfaction of a fixed fee contract performance obligation. Other contracts can be based on a Time & Materials (“T&M”) and Cost Plus Fixed Fee (“CPFF”) structure, where such contracts are considered to involve variable consideration. However, contractual performance obligations with these fee types qualify for the “Right to Invoice” practical expedient. Under this practical expedient, the Company is allowed to recognize revenue, over time, in the amount to which the Company has a right to invoice. In addition, the Company is not required to estimate such variable consideration upon inception of the contract or reassess the estimate each reporting period. The Company determined that this method best represents the transfer of services as, upon billing, the Company has a right to consideration from a customer in an amount that directly corresponds with the value to the customer of the Company’s performance completed to date. The Company accounts for individual goods and services separately if they are distinct performance obligations, which often requires significant judgment based upon knowledge of the products and/or services, the solution provided and the structure of the sales contract. In SaaS agreements, we provide a service to the customer that combines the software functionality, maintenance and hosting into a single performance obligation. In product-related contracts, a purchase order may cover different products, each constituting a separate performance obligation. The Company's typical performance obligations include the following: Performance Obligation When Performance When Payment is How Standalone Product Revenues Standard purchase orders for delivery of a tangible product Upon shipment (point in time) Within 30 days of delivery Observable transactions Engineering services where the deliverable is considered a product As work is performed (over time) Within 30 days of services being invoiced Estimated using a cost-plus margin approach Service Revenues Engineering, managed services, and consulting services As work is performed (over time) Within 30 days of services being invoiced Estimated using a cost-plus margin approach SaaS Over the course of the SaaS service once the system is available for use (over time) At the beginning of the contract period Estimated using a cost-plus margin approach Extended warranty service Over the course of the extended warranty period (over time) At the beginning of the contract period Estimated using a cost-plus margin approach Disaggregation of Revenue The Company disaggregates revenue from contracts with customers into product revenues and services revenues. Trade Accounts Receivable and Contract Balances We classify our right to consideration in exchange for goods and services as either a receivable or a contract asset. A receivable is a right to consideration that is unconditional (i.e., only the passage of time is required before payment is due). We present such receivables in trade accounts receivable, net in the accompanying balance sheet at their net estimated realizable value. The Company maintains an allowance for doubtful accounts to provide for the estimated amount of receivables that will not be collected. If warranted, the allowance is increased by the Company's provision for doubtful accounts, which is charged against income. All recoveries on receivables previously charged off are included in income, while direct charge-offs of receivables are deducted from the allowance. A contract asset is a right to consideration that is conditional upon factors other than the passage of time. Contract assets are presented as unbilled accounts receivable in the accompanying balance sheet. For example, we would record a contract asset if we record revenue on a professional services engagement, but are not entitled to bill until we achieve specified milestones. Our contract assets and refund liabilities are reported in a net position on a contract basis at the end of each reporting period. Refund liabilities are consideration received in advance of the satisfaction of performance obligations. Contract Fulfillment Costs The Company evaluates whether or not we should capitalize the costs of fulfilling a contract. Such costs would be capitalized when they are not within the scope of other standards and: (1) are directly related to a contract; (2) generate or enhance resources that will be used to satisfy performance obligations; and (3) are expected to be recovered. As of March 31, 2023 and 2022, there was approximately $0.5 million and $0.6 million, respectively, of contract fulfillment costs which are presented in the accompanying balance sheets as prepaid and other current assets. These costs primarily relate to the satisfaction of performance obligations related to the set-up of SaaS platforms. These costs are amortized on a straight-line basis over the estimated useful life of the SaaS platform. A contract loss is recorded if the expected costs of fulfilling the contract exceeds the expected consideration from the customer. During the twelve months ended March 31, 2022, due to delays in the completion of a software development contract with a customer, the Company recorded an estimated loss on the contract of approximately $3.4 million, charged to cost of sales, of which approximately $0.9 million related to previously capitalized software development costs and the remainder reduced the balance of the related contract fulfillment costs. The terms of the contract have since been amended to a time and materials structure, and no further additional contract losses are expected for this contract. During the twelve months ended March 31, 2023, no amounts were recorded for contract losses. The estimates and assumptions used in these assessments were based upon management's judgment and may be subject to change as new events occur and additional information is obtained. If the future estimated costs to fulfill a contract exceed the expected consideration from the customer, the Company's financial condition, cash flows, and results of operations may be materially impacted. Transaction Price Allocated to the Remaining Performance Obligations As of March 31, 2023 and 2022, the aggregate amount of transaction price allocated to remaining performance obligations was immaterial, primarily as a result of termination provisions within our contracts, which make the duration of the accounting term of the contract one year or less. Practical Expedients and Exemptions T&M and CPFF contracts are considered variable consideration. However, performance obligations with an underlying fee type of T&M or CPFF qualify for the "Right to Invoice" Practical Expedient under ASC 606-10-55-18. Under this practical expedient, the Company is not required to estimate such variable consideration upon inception of the contract or reassess the estimate each reporting period. The Company utilizes the practical expedient under ASC 606-10-50-14 of not disclosing information about its remaining performance obligations for contracts with an original expected duration (i.e., contract term, determined based on the analysis of termination provisions described above) of 12 months or less. The Company pays sales commissions on certain sales contracts. These costs are accrued in the same period that the revenues are recorded. Using the practical expedient under ASC 340-40-25-4, the Company recognizes the incremental costs of obtaining a contract as an expense when incurred since the amortization period of the asset that the Company otherwise would have recognized is one year or less. The Company utilizes the practical expedient under ASC 606-10-25-18B to account for shipping and handling as fulfillment costs, and not a promised service (a revenue element). Shipping and handling costs are included as cost of revenues in the period during which the products ship. The Company excludes from the transaction price all sales taxes that are assessed by a governmental authority and that are imposed on and concurrent with a specific revenue-producing transaction and collected from a customer (for example, sales, use, value added, and some excise taxes). This employs the practical expedient under ASC 606-10-32-2A. Sales taxes are presented on a net basis (excluded from revenues) in the accompanying statements of operations.
Deferred Revenue	Deferred Revenue Deferred revenue in the accompanying balance sheets is comprised of billings and consideration received in advance of the satisfaction of performance obligations.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments that potentially subject us to a concentration of credit risk consist principally of cash and cash equivalents and trade accounts receivable. Cash and cash equivalents consist primarily of demand deposits and money market funds maintained with several financial institutions. Deposits held with banks may exceed the amount of insurance provided on such deposits. Generally, these deposits may be redeemed upon demand and are maintained with high quality financial institutions, and therefore are believed to have minimal credit risk. Accounts at each institution are insured by the Federal Deposit Insurance Corporation ("FDIC") up to $250,000. As of March 31, 2023, the Company had approximately $16.2 million of deposits at financial institutions in excess of the FDIC insured limit. Our accounts receivable are primarily derived from billings with customers located throughout North America, as well as in Europe, South America and Asia. We generally do not require collateral or other security from our domestic customers. We maintain an allowance for doubtful accounts for potential credit losses, which losses have historically been within management's expectations. We currently have, and historically have had, a diverse customer base. For Fiscal 2023 and the fiscal year ended March 31, 2022 ("Fiscal 2022"), no individual customer represented greater than 10% of our total revenues. As of March 31, 2023 and 2022, no individual customer represented greater than 10% of our total accounts receivable.
Fair Values of Financial Instruments	Fair Values of Financial Instruments The accounting guidance provided in ASC 820, Fair Value Measurements ("ASC 820") for fair value provides a framework for measuring fair value, clarifies the definition of fair value, and expands disclosures regarding fair value measurements. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the reporting date. The accounting guidance establishes a three-tiered hierarchy, which prioritizes the inputs used in the valuation methodologies in measuring fair value as follows: Level 1—Unadjusted quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date. Level 2—Observable inputs other than quoted prices in active markets for identical assets or liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3—Inputs that are generally unobservable and typically reflect management's estimate of assumptions that market participants would use in pricing the assets or liabilities. The Company applies fair value accounting for all financial instruments on a recurring basis. The Company's financial instruments, which include cash, cash equivalents, accounts receivable and accounts payable are recorded at their carrying amounts, which approximate their fair values due to their short-term nature. All marketable securities are considered to be available-for-sale and recorded at their estimated fair values. In valuing these items, the Company uses inputs and assumptions that market participants would use to determine their fair value, utilizing valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs.
Cash, Cash Equivalents and Restricted Cash	Cash, Cash Equivalents and Restricted Cash Cash and cash equivalents consist of cash and short-term investments with initial maturities of 90 days or less. As of March 31, 2023 and 2022 restricted cash was $0.1 million and $0.1 million, respectively, related to cash restricted for shares purchased under the Employee Stock Purchase Plan ("ESPP") (see Note 9, Employee Benefit Plans , to the Financial Statements for more information).
Accounts Receivable and Allowance for Doubtful Accounts	Accounts Receivable and Allowance for Doubtful Accounts Accounts receivable are recorded net of the allowance for doubtful accounts. The allowance for doubtful accounts is estimated based on the Company's assessment of its ability to collect on customer accounts receivable. The collectability of our accounts receivable is evaluated through review of outstanding invoices and ongoing credit evaluations of our customers' financial condition. In cases where we are aware of circumstances that may impair a specific customer's ability to meet its financial obligations subsequent to the original sale, we will record an allowance against amounts due, and thereby reduce the net recognized accounts receivable to the amount we reasonably believe will be collected. The Company writes-off accounts receivable against the allowance when a determination is made that the balance is uncollectible and collection of the receivable is no longer being actively pursued. The allowance for doubtful accounts was approximately $0.4 million and $0.9 million as of March 31, 2023 and 2022, respectively.
Inventories	InventoriesInventories consist of raw materials, work-in-process and finished goods and are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out method.
Property and Equipment	Property and Equipment Property and equipment are recorded at cost and are depreciated using the straight-line method over the estimated useful life of the related assets ranging from three
Intangible Assets	Intangible Assets Intangible assets with determinable economic lives are carried at cost, less accumulated amortization. Amortization is computed over the estimated useful life of each asset on a straight-line basis. The Company determines the useful lives of identifiable intangible assets after considering the specific facts and circumstances related to each intangible asset. When determining useful life, the Company considers the contractual term of any agreement related to the asset, the historical performance of the asset, the Company's long-term strategy for using the asset, any laws or other local regulations which could impact the useful life of the asset and other economic factors, including competition and specific market conditions. Intangible assets without determinable economic lives are carried at cost, not amortized and reviewed for impairment at least annually.
Goodwill and Impairment of Long-Lived Assets	Goodwill Goodwill represents the excess of the aggregate purchase price over the fair value of net identifiable assets acquired in a business combination. Goodwill is not amortized and is tested for impairment at least annually or whenever events or changes in circumstances indicate that the carrying value may not be recoverable. In the valuation of goodwill, management must make assumptions regarding estimated future cash flows to be derived from the Company's business. If these estimates or their related assumptions change in the future, the Company may be required to record impairment for these assets. The Company has the option to first perform a qualitative assessment to determine if it is more likely than not that the fair value of a reporting unit is less than its carrying value. However, the Company may elect to bypass the qualitative assessment and proceed directly to the quantitative impairment tests. The first step of the impairment test involves comparing the fair value of the reporting unit to its net book value, including goodwill. If the net book value exceeds its fair value, the Company would perform the second step of the goodwill impairment test to determine the amount of the impairment loss. We perform an annual quantitative assessment of our goodwill during the fourth fiscal quarter, or more frequently, to determine if any events or circumstances exist, such as an adverse change in business climate or a decline in overall industry demand, that would indicate that it would more likely than not reduce the fair value of a reporting unit below its carrying amount, including goodwill. If events or circumstances do not indicate that the fair value of a reporting unit is below its carrying amount, then goodwill is not considered to be impaired and no further testing is required. If the carrying amount of a reporting unit exceeds the reporting unit's fair value, the amount by which the carrying value of the goodwill exceeds its implied fair value, if any, is recognized as an impairment loss. We monitor the indicators for goodwill impairment testing between annual tests. In prior years the Company had two operating and reportable segments, Roadway Sensors ("RWS") and Transportation Systems ("SYS"), which also represented the reporting units for purposes of goodwill impairment testing. In Fiscal 2021, the Company underwent a reorganization after which the Company also reassessed the reporting unit conclusion and determined that there are three reporting units and a single operating and reportable segment . As of March 31, 2023, there were no indicators of goodwill impairment. Impairment of Long-Lived Assets The Company evaluates its long-lived assets, including property, equipment and intangible assets (other than goodwill) for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. We determine whether the carrying value of an asset or asset group is recoverable, based on comparisons to undiscounted expected future cash flows the asset or asset group is expected to generate. If an asset is not recoverable, we record an impairment loss equal to the amount by which the carrying value of the asset exceeds its fair value. During the twelve months ended March 31, 2022, approximately $0.9 million of previously capitalized software development costs was charged to cost of sales
Income Taxes	Income Taxes We utilize the asset and liability method of accounting for income taxes, under which deferred taxes are determined based on the temporary differences between the financial statement and tax basis of assets and liabilities using tax rates expected to be in effect during the years in which the basis differences reverse. A valuation allowance is recorded when it is more-likely-than-not that some or all of the deferred tax assets will not be realized, which increases our income tax expense in the period such determination is made. As such, we determined it was appropriate to maintain a full valuation allowance against our deferred tax assets for the fiscal years ended March 31, 2023 and 2022. We will continuously reassess the appropriateness of our valuation allowance. Income tax positions must meet a more-likely-than-not recognition threshold to be recognized. Income tax positions that previously failed to meet the more-likely-than-not threshold are recognized in the first subsequent financial reporting period in
Stock-Based Compensation	Stock-Based Compensation We record stock-based compensation in our statements of operations as an expense, based on the estimated grant date fair value of our stock-based awards, whereby such fair values are amortized over the requisite service period. Our stock-based awards are currently comprised of common stock options, restricted stock units and performance stock units. The fair value of our common stock option awards is estimated on the grant date using the Black-Scholes-Merton option-pricing formula. The fair value of our performance stock unit awards is estimated on the grant date using a Monte Carlo simulation model. While the use of these models meets established requirements, the estimated fair values generated by the models may not be indicative of the actual fair values of our awards as it does not consider certain factors important to those awards to employees, such as continued employment and periodic vesting requirements, as well as limited transferability. The fair value of our restricted stock units is based on the closing market price of our common stock on the grant date. If there are any modifications or cancellations of the underlying unvested stock-based awards, we may be required to accelerate, increase or cancel any remaining unearned stock-based compensation expense.
Research and Development Expenditures	Research and Development Expenditures Research and development expenditures are charged to expense in the period incurred.
Shipping and Handling Costs	Shipping and Handling Costs Shipping and handling costs are included as cost of revenues in the period during which the products ship.
Sales Taxes	Sales Taxes Sales taxes are presented on a net basis (excluded from revenues) in the statements of operations.
Right-of-Use Assets and Lease Liabilities	Right-of-Use Assets and Lease Liabilities We determine if an arrangement contains a lease at inception and determine the classification of the lease, as either operating or finance, at commencement. Right-of-use assets and lease liabilities are recorded based on the present value of future lease payments which factors in certain qualifying initial direct costs incurred as well as any lease incentives received. If an implicit rate is not readily determinable, we utilize inputs from third-party lenders to determine the appropriate discount rate. Lease expense for operating lease payments are recognized on a straight-line basis over the lease term. Finance leases incur interest expense using the effective interest method in addition to amortization of the leased asset on straight-line basis, both over the applicable lease term. Lease terms may factor in options to extend or terminate the lease. We adhere to the short-term lease recognition exemption for all classes of assets (i.e., facilities and equipment). As a result, leases with an initial term of twelve months or less are not recorded on the balance sheet and are recognized on a straight-line basis over the lease term. In addition, for certain equipment leases, we account for lease and non-lease components, such as services, as a single lease component as permitted.
Warranty	Warranty We generally provide a one
Repair and Maintenance Costs	Repair and Maintenance Costs We incur repair and maintenance costs in the normal course of business. Should the repair or maintenance result in a permanent improvement to one of our leased facilities, the cost is capitalized as a leasehold improvement and amortized over its useful life or the remainder of the lease period, whichever is shorter. Non-permanent repair and maintenance costs are charged to expense as incurred.
Comprehensive Loss	Comprehensive Income (Loss) The difference between net income (loss) and comprehensive income (loss) was de minimis for Fiscal 2023 and Fiscal 2022.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, Financial Instruments—Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments. This update requires that certain financial assets be measured at amortized cost net of an allowance for estimated credit losses such that the net receivable represents the present value of expected cash collection. In addition, this standard update requires that certain financial assets be measured at amortized cost reflecting an allowance for estimated credit losses expected to occur over the life of the assets. The estimate of credit losses must be based on all relevant information including historical information, current conditions and reasonable and supportable forecasts that affect the collectability of the amounts. In November 2019, the FASB issued ASU 2019-10, Financial Instruments—Credit Losses (Topic 326), Derivatives and Hedging (Topic 815) and Leases (Topic 842): Effective Dates, which defers the effective date of ASU 2016-13 to fiscal years beginning after December 15, 2022 for all entities except SEC reporting companies that are not smaller reporting companies. As a smaller reporting company, ASU 2016-13 will now be effective for our fiscal year 2024 beginning April 1, 2023; however, early adoption is permitted. We are currently evaluating the timing and impact of adopting ASU 2016-13 on our financial statements.

Description of Business and S_3

Description of Business and Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of typical performance obligations	The Company's typical performance obligations include the following: Performance Obligation When Performance When Payment is How Standalone Product Revenues Standard purchase orders for delivery of a tangible product Upon shipment (point in time) Within 30 days of delivery Observable transactions Engineering services where the deliverable is considered a product As work is performed (over time) Within 30 days of services being invoiced Estimated using a cost-plus margin approach Service Revenues Engineering, managed services, and consulting services As work is performed (over time) Within 30 days of services being invoiced Estimated using a cost-plus margin approach SaaS Over the course of the SaaS service once the system is available for use (over time) At the beginning of the contract period Estimated using a cost-plus margin approach Extended warranty service Over the course of the extended warranty period (over time) At the beginning of the contract period Estimated using a cost-plus margin approach
Schedule of cash, cash equivalents and restricted cash	Cash, cash equivalents and restricted cash presented in the accompanying statements of cash flows consist of the following (in thousands): March 31, 2023 2022 Cash and cash equivalents $ 16,587 $ 23,689 Restricted cash 140 120 $ 16,727 $ 23,809
Schedule of error corrections	The cumulative impact of the corrections is shown in the tables below. Because these corrections occurred at a time preceding the periods presented herein, all corrections are limited to the balance sheet as shown below. Balance Sheet (in thousands): March 31, 2022 As Previously Reported Correction As Corrected Assets Current assets: Unbilled accounts receivable $ 10,870 $ (2,400) $ 8,470 Total current assets $ 72,363 $ (2,400) $ 69,963 Total assets $ 126,383 $ (2,400) $ 123,983 Liabilities and stockholders' equity Current liabilities: Deferred revenue $ 6,566 $ (787) $ 5,779 Total current liabilities $ 35,687 $ (787) $ 34,900 Total liabilities $ 49,520 $ (787) $ 48,733 Stockholders' equity: Accumulated deficit $ (114,099) $ (1,613) $ (115,712) Total stockholders' equity $ 76,863 $ (1,613) $ 75,250 Total liabilities and stockholders' equity $ 126,383 $ (2,400) $ 123,983

Supplementary Financial Infor_2

Supplementary Financial Information (Tables)	12 Months Ended
	Mar. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Schedule of inventories	The following table presents details regarding our inventories, net: March 31, 2023 2022 (In thousands) Raw materials $ 7,840 $ 5,680 Work in process 315 200 Finished goods 2,686 2,100 $ 10,841 $ 7,980
Schedule of property and equipment, net	The following table presents details of our property and equipment, net: March 31, 2023 2022 (In thousands) Equipment $ 6,359 $ 6,825 Leasehold improvements 824 3,117 Accumulated depreciation (5,886) (8,550) $ 1,297 $ 1,392
Schedule of net intangible assets	The following table presents details regarding our intangible assets, net: March 31, 2023 March 31, 2022 Gross Accumulated Net Gross Accumulated Net (In thousands) Technology $ 4,986 $ (3,444) $ 1,542 $ 4,986 $ (2,519) $ 2,467 Customer contracts / relationships 9,550 (4,371) 5,179 9,550 (2,959) 6,591 Trade names and non-compete agreements 782 (770) 12 782 (753) 29 Capitalized software development costs 7,489 (4,032) 3,457 5,900 (3,207) 2,693 Total $ 22,807 $ (12,617) $ 10,190 $ 21,218 $ (9,438) $ 11,780
Schedule of future estimated amortization expense	As of March 31, 2023, the future estimated amortization expense is as follows: Year Ending March 31, (In thousands) 2024 3,550 2025 3,070 2026 1,845 2027 1,095 2028 618 Thereafter — $ 10,178
Schedule of activity related to the carrying value of goodwill by reportable segment	The following table presents the carrying value of our goodwill for Fiscal 2023 and Fiscal 2022: Total Balance—March 31, 2023 Goodwill $ 36,310 Acquired goodwill — Accumulated impairment losses (7,970) $ 28,340 Balance—March 31, 2022 Goodwill $ 36,310 Acquired goodwill — Accumulated impairment losses (7,970) $ 28,340
Schedule of warranty reserve activity	The following table presents activity with respect to the warranty reserve: Year Ended March 31, 2023 2022 (In thousands) Balance at beginning of fiscal year $ 616 $ 569 Additions charged to cost of revenues 343 238 Warranty claims (201) (191) Balance at end of fiscal year $ 758 $ 616
Schedule of computation of basic and diluted net loss per share	The following table sets forth the computation of basic and diluted income (loss) from continuing operations per share: Year Ended March 31, 2023 2022 (In thousands, except per Numerator: Net income (loss) from continuing operations $ (14,855) $ (6,900) Net income (loss) from discontinued operations, net of tax — (180) Net income (loss) $ (14,855) $ (7,080) Denominator: Weighted average common shares used in basic computation 42,374 42,222 Dilutive stock options — — Weighted average common shares used in diluted computation 42,374 42,222 Basic: Net income (loss) per share from continuing operations: $ (0.35) $ (0.16) Net income (loss) per share from discontinued operations: $ — $ — Net income (loss) per basic share $ (0.35) $ (0.16) Diluted: Net income (loss) per share from continuing operations: $ (0.35) $ (0.16) Net income (loss) per share from discontinued operations: $ — $ — Net income (loss) per diluted share $ (0.35) $ (0.16)
Schedule of instruments excluded in the computation of diluted net loss per share	The following instruments were excluded for purposes of calculating weighted average common share equivalents in the computation of diluted income (loss) per share from continuing operations as their effect would have been anti-dilutive for the years ended March 31, 2023 and 2022: Year Ended March 31, 2023 2022 (In thousands) Stock options 5,886 3,857 Restricted stock units 457 386

Restructuring Activities (Table

Restructuring Activities (Tables)	12 Months Ended
	Mar. 31, 2023
Restructuring and Related Activities [Abstract]
Summary of restructuring activities	Our restructuring activities during Fiscal 2023 were as follows (in thousands): Balance at March 31, 2022 $ — Charged to expenses 707 Cash payments (465) Balance at March 31, 2023 $ 242

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	12 Months Ended
	Mar. 31, 2023
Fair Value Disclosures [Abstract]
Schedule of financial assets that are recorded at fair value on a recurring basis	The following tables present the Company's financial assets and liabilities that are recorded at fair value on a recurring basis, segregated among the appropriate levels within the fair value hierarchy: As of March 31, 2023 Amortized Gross Gross Estimated Assets: (In thousands) Level 1: Securities held in deferred compensation plan (1) $ 1,426 $ (437) $ 321 $ 1,310 Total $ 1,426 $ (437) $ 321 $ 1,310 Liabilities: Level 1: Deferred compensation plan liabilities (2) $ 1,201 $ (296) $ 563 $ 1,468 Level 3: Contingent Consideration (3) $ 600 $ — $ — $ 600 Transfers out (3) (600) — — (600) Subtotal — — — — Total $ 1,201 $ (296) $ 563 $ 1,468 As of March 31, 2022 Amortized Gross Gross Estimated (In thousands) Level 1: Money market funds $ 71 $ — $ — $ 71 Securities held in deferred compensation plan (1) 998 (106) 73 965 Subtotal 1,069 (106) 73 1,036 Level 2: Commercial paper 7,499 — — 7,499 Corporate notes and bonds — — — — US treasuries 7,798 — — 7,798 Subtotal 15,297 — — 15,297 Total $ 16,366 $ (106) $ 73 $ 16,333 Liabilities: Level 1: Deferred compensation plan liabilities (2) $ 1,013 $ (106) $ 72 $ 979 Level 3: Contingent consideration (3) $ 600 $ — $ — $ 600 Total $ 1,613 $ (106) $ 72 $ 1,579 (1) Included in prepaid expenses and other current assets on the Company’s balance sheet. (2) Included in accrued payroll and related expenses on the Company’s balance sheet. (3) As of March 31, 2022, the short-term portion of the balance of contingent consideration was included in accrued liabilities and the long-term portion was included in other long-term liabilities on the Company’s balance sheet. As of March 31, 2023, the inputs related to determination of the balance of the earnout were resolved and the final balance due was all short-term and included in accrued liabilities on the Company's balance sheet.

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Schedule of components of current and deferred federal and state income tax (benefits) provision	The components of current and deferred federal and state income tax (benefit) provision are as follows: Year Ended March 31, 2023 2022 (In thousands) Income (loss) from continuing operations before income taxes $ (14,720) $ (6,726) Current income tax provision: Federal — — State 50 75 Total current tax provision 50 75 Deferred income tax provision: Federal 34 33 State 51 66 Total deferred tax provision 85 99 Provision for income taxes on continuing operations 135 174 Income (loss) from continuing operations, net of taxes $ (14,855) $ (6,900)
Schedule of reconciliation of income tax (benefit) provision to taxes computed at U.S. federal statutory rates	The reconciliation of our income tax (benefit) provision to taxes computed at U.S. federal statutory rates is as follows: Year Ended March 31, 2023 2022 (In thousands) Provision (benefit) for income taxes at statutory rates $ (3,091) $ (1,422) State income taxes net of federal benefit (423) (559) Tax credits (434) (141) Compensation charges 156 34 Change in valuation allowance 3,849 2,169 Other 78 93 Provision for income taxes $ 135 $ 174
Schedule of components of deferred tax assets and liabilities	The components of deferred tax assets and liabilities are as follows: March 31, 2023 2022 (In thousands) Deferred tax assets: Net operating losses $ 5,962 $ 4,320 Capitalized R&D 2,866 1,808 Credit carry-forwards 4,868 4,530 Deferred compensation and payroll 3,290 2,902 Bad debt allowance and other reserves 914 1,299 Property and equipment 729 297 Acquired intangibles 294 129 Other, net 518 171 Total deferred tax assets 19,441 15,456 Valuation allowance (18,741) (14,892) Total deferred tax assets, net of valuation allowance 700 564 Deferred tax liabilities: Goodwill (1,122) (901) Total deferred tax liabilities (1,122) (901) Net deferred tax liabilities $ (422) $ (337)
Schedule of reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits	A reconciliation of the beginning and ending balances of the total amounts of gross unrecognized tax benefits is as follows: Year Ended March 31, 2023 2022 (In thousands) Gross unrecognized tax benefits at beginning of year $ 1,198 $ 1,079 Increases for tax positions taken in prior years 22 — Decreases for tax positions taken in prior years (36) (29) Increases for tax positions taken in the current year 116 159 Lapse in statute of limitations (16) (11) Gross unrecognized tax benefits at March 31 $ 1,284 $ 1,198

Right-of-Use Assets and Lease_2

Right-of-Use Assets and Lease Liabilities (Tables)	12 Months Ended
	Mar. 31, 2023
Lessee Disclosure [Abstract]
Lease related assets and liabilities	The table below presents lease-related assets and liabilities recorded on the balance sheet as follows: Classification March 31, 2023 (In thousands) Assets Operating lease right-of-use-assets Right-of-use assets $ 8,345 Total operating lease right-of-use-assets $ 8,345 Liabilities Operating lease liabilities (short-term) Accrued liabilities $ 2,339 Operating lease liabilities (long-term) Lease liabilities 7,641 Total operating lease liabilities $ 9,980
Schedule of supplemental information related to operating leases	The table below presents supplemental information related to operating leases during the fiscal year ended March 31, 2023 (in thousands, except weighted average information): Cash paid for amounts included in the measurement of operating lease liabilities $ 1,755 Right-of-use assets obtained in exchange for new operating lease liabilities 313 Weighted average remaining lease term 3.9 Weighted average discount rate 4.8 %
Schedule of undiscounted cash flows	The table below reconciles the undiscounted cash flows for each of the first five years and the total of the remaining years to the operating lease liabilities recorded on the balance sheet as of March 31, 2023: Fiscal Year Ending March 31, Operating Leases (In thousands) 2024 $ 2,739 2025 2,479 2026 2,149 2027 2,178 2028 1,286 Thereafter 204 Total lease payments 11,035 Less imputed interest (1,055) Present value of future lease payments 9,980 Less current obligations under leases (2,339) Long-term lease obligations $ 7,641

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	12 Months Ended
	Mar. 31, 2023
Stockholders' Equity Note [Abstract]
Schedule of common stock reserved for future issuance	The following summarizes common stock reserved for future issuance at March 31, 2023: Number of Shares (In thousands) Stock options outstanding 6,287 Restricted stock units outstanding 497 Performance stock units outstanding 83 Authorized for future issuance under stock incentive plans 2,398 Total common stock reserved for future issuance at March 31, 2023 9,265

Employee Benefit Plans (Tables)

Employee Benefit Plans (Tables)	12 Months Ended
	Mar. 31, 2023
Share-Based Payment Arrangement [Abstract]
Summary of activity with respect to stock options	A summary of activity in the Omnibus Incentive Plans with respect to our stock options for Fiscal 2023 is as follows: Options Weighted Weighted Aggregate (In thousands) (Years) (In thousands) Options outstanding at March 31, 2022 5,943 $ 4.32 6.5 974 Granted 943 3.20 Exercised (61) 2.93 Forfeited (241) 4.90 Expired (297) 5.02 Options outstanding at March 31, 2023 6,287 4.11 6.2 4,976
Summary of activity with respect to RSUs	A summary of activity with respect to our RSUs for Fiscal 2023 is as follows: # of Shares Weighted Weighted Aggregate (In thousands) (Years) (In thousands) RSUs outstanding at March 31, 2022 451 $ 4.12 7.5 1,271 Granted 290 3.29 Vested and released (202) 5.33 Forfeited (42) 5.23 RSUs outstanding at March 31, 2023 497 3.05 1.3 2,326
Summary of the details of performance stock units	The following table summarizes the details of the performance stock units: # of Shares Weighted Weighted Aggregate (In thousands) PSUs outstanding at March 31, 2022 115 $ 6.33 1.2 343 Granted 87 3.09 Vested (119) 5.27 Forfeited — — PSUs outstanding at March 31, 2023 83 4.45 1.5 389
Schedule of stock-based compensation expense	The following table presents stock-based compensation expense that is included in each functional line item in our statements of operations: Year Ended March 31, 2023 2022 (In thousands) Cost of revenues $ 352 $ 242 General and administrative 1,626 2,574 Sales and marketing 477 340 Research and development expense 435 245 Restructuring activities — — Loss from discontinued operations — — Total stock-based compensation $ 2,890 $ 3,401
Schedule of weighted-average assumptions used in estimating the grant date fair value of stock options granted	The grant date fair value of stock options granted was estimated using the following weighted-average assumptions: Year Ended March 31, 2023 2022 Expected life—years 7.5 7.2 Risk-free interest rate 3.6 % 1.5 % Expected volatility of common stock 51 % 49 % Dividend yield 0 % 0 %
Summary of certain fair value and intrinsic value information pertaining to stock options	A summary of certain fair value and intrinsic value information pertaining to our stock options is as follows: Year Ended March 31, 2023 2022 (In thousands, except Weighted average grant date fair value per share of options granted $ 1.67 $ 2.58 Intrinsic value of options exercised $ 141 $ 1,966

Description of Business and S_4

Description of Business and Summary of Significant Accounting Policies - Acquisitions and Divestitures (Details) - USD ($) $ in Thousands		12 Months Ended
	May 06, 2022	Mar. 31, 2023	Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Increase in inventories		$ 2,861	$ 2,914
Net cash provided by (used in) operating activities - continuing operations		(4,507)	$ (5,593)
Amount held as security	$ 900
Post-closing adjustment	$ 100
Consideration transferred, earn out value		$ 600

Description of Business and S_5

Description of Business and Summary of Significant Accounting Policies - Revenue Recognition (Details) - USD ($) $ in Millions	12 Months Ended
	Mar. 31, 2022	Mar. 31, 2023
Property, Plant and Equipment [Line Items]
Capitalized contract fulfillment costs	$ 0.6	$ 0.5
Estimated loss on contract	3.4
Software Development
Property, Plant and Equipment [Line Items]
Estimated loss on contract	$ 0.9

Description of Business and S_6

Description of Business and Summary of Significant Accounting Policies - Concentration of Credit Risk (Details) $ in Thousands	12 Months Ended
	Mar. 31, 2023 USD ($) customer	Mar. 31, 2022 USD ($) customer	Mar. 31, 2021 customer
Significant accounting policies
Deposits and FDIC insurance limit | $	$ 16,200
Restricted cash | $	$ 140	$ 120
No individual customer
Significant accounting policies
Number of customers | customer	0	0
No individual customer | Sales Revenue, Net | Customer
Significant accounting policies
Number of customers | customer	0	0	0
Percentage of total net sales and contract revenues	10%	10%	10%
No individual customer | Total accounts receivable | Customer | Minimum
Significant accounting policies
Percentage of total net sales and contract revenues	10%	10%

Description of Business and S_7

Description of Business and Summary of Significant Accounting Policies - Cash, Cash Equivalents and Restricted Cash Presented (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Cash and cash equivalents	$ 16,587	$ 23,689
Restricted cash	140	120
Cash, cash equivalents, restricted cash and restricted cash equivalents	$ 16,727	$ 23,809	$ 25,468

Description of Business and S_8

Description of Business and Summary of Significant Accounting Policies - Accounts Receivable and Allowance for Doubtful Accounts (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Trade accounts receivable, allowance for doubtful accounts	$ 357	$ 903

Description of Business and S_9

Description of Business and Summary of Significant Accounting Policies - Property and Equipment (Details) - Property and equipment	12 Months Ended
	Mar. 31, 2023
Minimum
Significant accounting policies
Useful life	3 years
Maximum
Significant accounting policies
Useful life	8 years

Description of Business and _10

Description of Business and Summary of Significant Accounting Policies - Goodwill and Impairment of Long-Lived Assets (Details) $ in Millions	12 Months Ended
	Mar. 31, 2023 segment reporting_unit	Mar. 31, 2022 USD ($)
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Number of operating segments	2
Number of reportable segments	2
Number of reporting units | reporting_unit	3
Impairment of assets | $		$ 0.9
Impairment, Long-Lived Asset, Held-for-Use, Statement of Income or Comprehensive Income [Extensible Enumeration]		Cost of revenues

Description of Business and _11

Description of Business and Summary of Significant Accounting Policies - Warranty (Details)	12 Months Ended
	Mar. 31, 2023
Minimum
Significant accounting policies
Warranty period	1 year
Maximum
Significant accounting policies
Warranty period	3 years

Description of Business and _12

Description of Business and Summary of Significant Accounting Policies - Error Correction (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2021
Assets
Unbilled accounts receivable	$ 8,349	$ 8,470
Total current assets	62,854	69,963
Total assets	111,794	123,983
Current liabilities:
Deferred revenue	6,720	5,779
Total current liabilities	38,039	34,900
Total liabilities	48,888	48,733
Stockholders' equity:
Accumulated deficit	(130,567)	(115,712)
Total stockholders' equity	62,906	75,250	$ 77,366
Total liabilities and stockholders' equity	$ 111,794	123,983
As Previously Reported
Assets
Unbilled accounts receivable		10,870
Total current assets		72,363
Total assets		126,383
Current liabilities:
Deferred revenue		6,566
Total current liabilities		35,687
Total liabilities		49,520
Stockholders' equity:
Accumulated deficit		(114,099)
Total stockholders' equity		76,863	$ 78,979
Total liabilities and stockholders' equity		126,383
Correction
Assets
Unbilled accounts receivable		(2,400)
Total current assets		(2,400)
Total assets		(2,400)
Current liabilities:
Deferred revenue		(787)
Total current liabilities		(787)
Total liabilities		(787)
Stockholders' equity:
Accumulated deficit		(1,613)
Total stockholders' equity		(1,613)
Total liabilities and stockholders' equity		$ (2,400)

Supplementary Financial Infor_3

Supplementary Financial Information - Inventories, Property and Equipment (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Inventories
Raw materials	$ 7,840	$ 5,680
Work in process	315	200
Finished goods	2,686	2,100
Total inventories	10,841	7,980
Property and Equipment, net
Accumulated depreciation	(5,886)	(8,550)
Property and Equipment, net	1,297	1,392
Equipment
Property and Equipment, net
Property, plant and equipment, gross	6,359	6,825
Leasehold improvements
Property and Equipment, net
Property, plant and equipment, gross	$ 824	$ 3,117

Supplementary Financial Infor_4

Supplementary Financial Information - Narrative (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Property, Plant and Equipment [Line Items]
Depreciation of property and equipment	$ 615	$ 820
Amortization of intangible assets	3,179	3,240
Amortization recorded to cost of revenues	500	600
Amortization of intangible assets	$ 2,620	2,673
Useful life (in years)	3 years 4 months 24 days
Net capitalized software development costs	$ 3,500	2,700
Customer contracts / relationships
Property, Plant and Equipment [Line Items]
Useful life (in years)	6 years
Trade names and non-compete agreements
Property, Plant and Equipment [Line Items]
Useful life (in years)	3 years
Oracle ERP system design and implementation
Property, Plant and Equipment [Line Items]
Useful life (in years)	10 years
Net capitalized software development costs	$ 1,100	1,400
Cost of revenues
Property, Plant and Equipment [Line Items]
Depreciation of property and equipment	200	200
Operating expenses
Property, Plant and Equipment [Line Items]
Depreciation of property and equipment	$ 400	$ 600

Supplementary Financial Infor_5

Supplementary Financial Information - Intangible Assets (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Intangible Assets
Gross Carrying Amount	$ 22,807	$ 21,218
Accumulated Amortization	(12,617)	(9,438)
Net Book Value	10,190	11,780
Technology
Intangible Assets
Gross Carrying Amount	4,986	4,986
Accumulated Amortization	(3,444)	(2,519)
Net Book Value	1,542	2,467
Customer contracts / relationships
Intangible Assets
Gross Carrying Amount	9,550	9,550
Accumulated Amortization	(4,371)	(2,959)
Net Book Value	5,179	6,591
Trade names and non-compete agreements
Intangible Assets
Gross Carrying Amount	782	782
Accumulated Amortization	(770)	(753)
Net Book Value	12	29
Capitalized software development costs
Intangible Assets
Gross Carrying Amount	7,489	5,900
Accumulated Amortization	(4,032)	(3,207)
Net Book Value	$ 3,457	$ 2,693

Supplementary Financial Infor_6

Supplementary Financial Information - Future Estimated Amortization Expense (Details) $ in Thousands	Mar. 31, 2023 USD ($)
Future estimated amortization expense
2024	$ 3,550
2025	3,070
2026	1,845
2027	1,095
2028	618
Thereafter	0
Net Book Value	$ 10,178

Supplementary Financial Infor_7

Supplementary Financial Information - Goodwill (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Goodwill	$ 36,310	$ 36,310
Acquired goodwill	0	0
Accumulated impairment losses	(7,970)	(7,970)
Goodwill	$ 28,340	$ 28,340

Supplementary Financial Infor_8

Supplementary Financial Information - Warranty Reserve Activity (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Activity related to warranty reserve
Balance at beginning of fiscal year	$ 616	$ 569
Additions charged to cost of revenues	343	238
Warranty claims	(201)	(191)
Balance at end of fiscal year	$ 758	$ 616

Supplementary Financial Infor_9

Supplementary Financial Information - Earnings (loss) per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Numerator:
Net income (loss) from continuing operations	$ (14,855)	$ (6,900)
Net income (loss) from discontinued operations, net of tax	0	(180)
Net income (loss)	$ (14,855)	$ (7,080)
Denominator:
Weighted average common shares used in basic computation (in shares)	42,374,000	42,222,000
Dilutive stock options (in shares)	0	0
Weighted average common shares used in diluted computation (in shares)	42,374,000	42,222,000
Basic:
Net income (loss) per share from continuing operations (in dollars per share)	$ (0.35)	$ (0.16)
Net income (loss) per share from discontinued operations (in dollars per share)	0	0
Net income (loss) per basic share (in dollars per share)	(0.35)	(0.16)
Diluted:
Net income (loss) per share from continuing operations (in dollars per share)	(0.35)	(0.16)
Net income (loss) per share from discontinued operations (in dollars per share)	0	0
Net income (loss) per diluted share (in dollars per share)	$ (0.35)	$ (0.16)

Supplementary Financial Info_10

Supplementary Financial Information - Earnings (loss) per Share Excluded Weighted Average (Details) - shares shares in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Stock options
Shares excluded in the computation of loss from continuing operations per share
Shares excluded in the computation of loss from continuing operations per share	5,886	3,857
Restricted stock units
Shares excluded in the computation of loss from continuing operations per share
Shares excluded in the computation of loss from continuing operations per share	457	386

Restructuring Activities - Narr

Restructuring Activities - Narrative (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Restructuring and Related Activities [Abstract]
Total restructuring charges	$ 707	$ 0
Restructuring reserve	$ 242	$ 0

Restructuring Activities - Rest

Restructuring Activities - Restructuring Activities (Details) $ in Thousands	12 Months Ended
	Mar. 31, 2023 USD ($)
Restructuring Reserve [Roll Forward]
Restructuring reserve, beginning balance	$ 0
Charged to expenses	707
Cash payments	(465)
Restructuring reserve, ending balance	$ 242

Fair Value Measurements - Narra

Fair Value Measurements - Narrative (Details) - USD ($)	Mar. 31, 2023	Mar. 31, 2022
Fair Value Disclosures [Abstract]
Consideration transferred, earn out value	$ 600,000
Assets, fair value disclosure	$ 0	$ 0

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Assets:
Amortized Cost		$ 16,366
Gross Unrealized Loss		(106)
Gross Unrealized Gain		73
Estimated Fair Value		16,333
Liabilities:
Amortized Cost	$ 1,201	1,613
Gross Unrealized Loss	(296)	(106)
Gross Unrealized Gain	563	72
Estimated Fair Value	1,468	1,579
Level 1
Assets:
Amortized Cost	1,426	1,069
Gross Unrealized Loss	(437)	(106)
Gross Unrealized Gain	321	73
Estimated Fair Value	1,310	1,036
Level 1 | Money market funds
Assets:
Amortized Cost		71
Gross Unrealized Loss		0
Gross Unrealized Gain		0
Estimated Fair Value		71
Level 1 | Securities held in deferred compensation plan
Assets:
Amortized Cost	1,426	998
Gross Unrealized Loss	(437)	(106)
Gross Unrealized Gain	321	73
Estimated Fair Value	1,310	965
Level 1 | Deferred compensation plan liabilities
Liabilities:
Amortized Cost	1,201	1,013
Gross Unrealized Loss	(296)	(106)
Gross Unrealized Gain	563	72
Estimated Fair Value	1,468	979
Level 2
Assets:
Amortized Cost		15,297
Gross Unrealized Loss		0
Gross Unrealized Gain		0
Estimated Fair Value		15,297
Level 2 | Commercial paper
Assets:
Amortized Cost		7,499
Gross Unrealized Loss		0
Gross Unrealized Gain		0
Estimated Fair Value		7,499
Level 2 | Corporate notes and bonds
Assets:
Amortized Cost		0
Gross Unrealized Loss		0
Gross Unrealized Gain		0
Estimated Fair Value		0
Level 2 | US treasuries
Assets:
Amortized Cost		7,798
Gross Unrealized Loss		0
Gross Unrealized Gain		0
Estimated Fair Value		7,798
Level 3
Liabilities:
Amortized Cost	0
Gross Unrealized Loss	0
Gross Unrealized Gain	0
Estimated Fair Value	0
Level 3 | Contingent consideration
Liabilities:
Amortized Cost	600	600
Transfers out	(600)
Gross Unrealized Loss	0	0
Gross Unrealized Gain	0	0
Estimated Fair Value	$ 600	$ 600

Income Taxes - Components of Cu

Income Taxes - Components of Current and Deferred Federal and State Income Tax (Benefit) Provision (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Components of income tax (benefit) expense
Income (loss) from continuing operations before income taxes	$ (14,720)	$ (6,726)
Current income tax provision:
Federal	0	0
State	50	75
Total current tax provision	50	75
Deferred income tax provision:
Federal	34	33
State	51	66
Total deferred tax provision	85	99
Provision for income taxes	135	174
Net income (loss) from continuing operations	$ (14,855)	$ (6,900)

Income Taxes - Reconciliation a

Income Taxes - Reconciliation and Components (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Reconciliation of income tax (benefit) provision to taxes computed at U.S. federal statutory rates
Provision (benefit) for income taxes at statutory rates	$ (3,091)	$ (1,422)
State income taxes net of federal benefit	(423)	(559)
Tax credits	(434)	(141)
Compensation charges	156	34
Change in valuation allowance	3,849	2,169
Other	78	93
Provision for income taxes	135	174
Deferred tax assets:
Net operating losses	5,962	4,320
Capitalized R&D	2,866	1,808
Credit carry-forwards	4,868	4,530
Deferred compensation and payroll	3,290	2,902
Bad debt allowance and other reserves	914	1,299
Property and equipment	729	297
Acquired intangibles	294	129
Other, net	518	171
Total deferred tax assets	19,441	15,456
Valuation allowance	(18,741)	(14,892)
Total deferred tax assets, net of valuation allowance	700	564
Deferred tax liabilities:
Goodwill	(1,122)	(901)
Total deferred tax liabilities	(1,122)	(901)
Net deferred tax liabilities	$ (422)	$ (337)

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2021
Operating loss carryforwards
Net operating losses	$ 5,962	$ 4,320
Valuation allowance on deferred tax assets	18,741	14,892
Federal research credits	2,866	1,808
Unrecognized tax benefits	1,284	1,198	$ 1,079
Unrecognized tax benefits netted against certain noncurrent deferred tax assets	1,200	1,100
Unrecognized tax benefits that, if recognized, would affect effective tax rate	1,200	1,100
2031
Operating loss carryforwards
Net operating loss carryforwards	16,400
Federal
Operating loss carryforwards
Federal research credits	3,700
Net operating loss carryforwards	23,500
State
Operating loss carryforwards
Tax credit carryforwards	$ 1,400
Correction
Operating loss carryforwards
Net operating losses		300
As Previously Reported
Operating loss carryforwards
Net operating losses		4,000
Valuation allowance on deferred tax assets		$ 14,600

Income Taxes - Unrecognized Tax

Income Taxes - Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Gross unrecognized tax benefits
Gross unrecognized tax benefits at beginning of year	$ 1,198	$ 1,079
Increases for tax positions taken in prior years	22	0
Decreases for tax positions taken in prior years	(36)	(29)
Increases for tax positions taken in the current year	116	159
Lapse in statute of limitations	(16)	(11)
Gross unrecognized tax benefits at end of year	$ 1,284	$ 1,198

Right-of-Use Assets and Lease_3

Right-of-Use Assets and Lease Liabilities - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Lessee, Lease, Description [Line Items]
Lease costs	$ 2.6	$ 2.9
Minimum
Lessee, Lease, Description [Line Items]
Renewal option term	1 year
Maximum
Lessee, Lease, Description [Line Items]
Renewal option term	5 years

Right-of-Use Assets and Lease_4

Right-of-Use Assets and Lease Liabilities - Related Assets and Liabilities on the Balance Sheet (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Mar. 31, 2022
Assets
Total operating lease right-of-use-assets	$ 8,345	$ 11,382
Liabilities
Operating lease liabilities (short-term)	$ 2,339
Operating lease, liability, current, statement of financial position	Accrued liabilities
Operating lease liabilities (long-term)	$ 7,641
Operating lease, liability, noncurrent, statement of financial position	Lease liabilities
Total operating lease liabilities	$ 9,980

Right-of-Use Assets and Lease_5

Right-of-Use Assets and Lease Liabilities - Supplemental Information (Details) $ in Thousands	12 Months Ended
	Mar. 31, 2023 USD ($)
Supplemental Information
Cash paid for amounts included in the measurement of operating lease liabilities	$ 1,755
Right-of-use assets obtained in exchange for new operating lease liabilities	$ 313
Weighted average remaining lease term	3 years 10 months 24 days
Weighted average discount rate	4.80%

Right-of-Use Assets and Lease_6

Right-of-Use Assets and Lease Liabilities - Undiscounted Cash Flows (Details) $ in Thousands	Mar. 31, 2023 USD ($)
Operating Leases
2024	$ 2,739
2025	2,479
2026	2,149
2027	2,178
2028	1,286
Thereafter	204
Total lease payments	11,035
Less imputed interest	(1,055)
Total operating lease liabilities	9,980
Less current obligations under leases	(2,339)
Lease liabilities	$ 7,641

Stockholders' Equity - Narrativ

Stockholders' Equity - Narrative (Details) - shares	Mar. 31, 2023	Mar. 31, 2022
Stockholders' Equity Note [Abstract]
Preferred stock, authorized (in shares)	2,000,000	2,000,000
Preferred stock, outstanding (in shares)	0	0

Stockholders' Equity (Details)

Stockholders' Equity (Details) - shares shares in Thousands	Mar. 31, 2023	Mar. 31, 2022
Common Stock Warrants
Stock options outstanding (in shares)	6,287
Authorized for future issuance under stock incentive plans (in shares)	2,398
Common stock reserved for future issuance (in shares)	9,265
Restricted stock units
Common Stock Warrants
Equity instruments other than options outstanding (in shares)	497	451
Performance Shares
Common Stock Warrants
Equity instruments other than options outstanding (in shares)	83	115

Employee Benefit Plans - Stock

Employee Benefit Plans - Stock Incentive Plan, Stock Options and RSUs (Details) $ in Millions	1 Months Ended					12 Months Ended
	Sep. 30, 2021 shares	Sep. 30, 2015 shares	Oct. 31, 2014 shares	Sep. 30, 2012 shares	Sep. 30, 2009 shares	Mar. 31, 2023 USD ($) plan shares
Employee Benefit Plans
Number of stock incentive plans | plan						2
Options vested and expected to vest, outstanding, aggregate intrinsic value | $						$ 6.3
Stock options
Employee Benefit Plans
Options, exercisable, number (in shares)						4,082,662
2007 Plan
Employee Benefit Plans
Increase in number of shares of common stock authorized and reserved for issuance under the plan		1,000,000	1,500,000	800,000	800,000
Stock options authorized under the plan (in shares)		4,950,000	3,950,000	2,450,000	1,650,000
2007 Plan | Restricted stock units
Employee Benefit Plans
Vesting percentage						25%
Vesting period						4 years
Number of shares of common stock receivable upon vesting of each RSU						1
2016 Plan
Employee Benefit Plans
Increase in number of shares of common stock authorized and reserved for issuance under the plan	3,360,000
2016 Plan | Stock options
Employee Benefit Plans
Vesting percentage						25%
Vesting period						4 years
Options or other stock-based awards granted (in shares)						2,400,000
2016 Plan | Minimum | Restricted stock units
Employee Benefit Plans
Vesting period						1 year
2016 Plan | Maximum | Stock options
Employee Benefit Plans
Expiration term						10 years
2016 Plan | Maximum | Restricted stock units
Employee Benefit Plans
Vesting period						3 years

Employee Benefit Plans - Summar

Employee Benefit Plans - Summary of Activity in the Omnibus Incentive Plans (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Options
Expired (in shares)	(297)
Options outstanding at the end of the period (in shares)	6,287
Weighted Average Exercise Price Per Share
Expired (in dollars per share)	$ 5.02
Stock options
Options
Options outstanding at the beginning of the period (in shares)	5,943
Granted (in shares)	943
Exercised (in shares)	(61)
Forfeited (in shares)	(241)
Options outstanding at the end of the period (in shares)	6,287	5,943
Weighted Average Exercise Price Per Share
Options outstanding at the beginning of the period (in dollars per share)	$ 4.32
Granted (in dollars per share)	3.20
Exercised (in dollars per share)	2.93
Forfeited (in dollars per share)	4.90
Options outstanding at the end of the period (in dollars per share)	$ 4.11	$ 4.32
Weighted Average Remaining Contractual Life
Options outstanding at the end of the period	6 years 2 months 12 days	6 years 6 months
Aggregate Intrinsic Value
Options outstanding at the end of the period	$ 4,976	$ 974

Employee Benefit Plans - Summ_2

Employee Benefit Plans - Summary of Activity of RSUs (Details) - Restricted stock units - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
# of Shares
Options outstanding at the beginning of the period (in shares)	451
Granted (in shares)	290
Vested and released (in shares)	(202)
Forfeited (in shares)	(42)
Options outstanding at the end of the period (in shares)	497	451
Weighted Average Price Per Share
Options outstanding at the beginning of the period (in dollars per share)	$ 4.12
Granted (in dollars per share)	3.29
Vested (in dollars per share)	5.33
Forfeited (in dollars per share)	5.23
Options outstanding at the end of the period (in dollars per share)	$ 3.05	$ 4.12
Weighted Average Remaining Life
RSUs outstanding at the end of the period	1 year 3 months 18 days	7 years 6 months
Aggregate Intrinsic Value
RSUs outstanding at the end of the period (in dollars)	$ 2,326	$ 1,271

Employee Benefit Plans - Summ_3

Employee Benefit Plans - Summary of the Details of Performance Stock Units (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Maximum achievement percentage	2
Performance Shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Performance period	3 years
Service period	3 years
# of Shares
Options outstanding at the beginning of the period (in shares)	115,000
Granted (in shares)	87,000
Vested (in shares)	(119,000)
Forfeited (in shares)	0
Options outstanding at the end of the period (in shares)	83,000	115,000
Weighted Average Price Per Share
Options outstanding at the beginning of the period (in dollars per share)	$ 6.33
Granted (in dollars per share)	3.09
Vested (in dollars per share)	5.27
Forfeited (in dollars per share)	0
Options outstanding at the end of the period (in dollars per share)	$ 4.45	$ 6.33
Weighted Average Remaining Life
PSUs outstanding at the end of the period	1 year 6 months	1 year 2 months 12 days
Aggregate Intrinsic Value
RSUs outstanding at the end of the period (in dollars)	$ 389	$ 343
Performance Shares | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	0%
Performance Shares | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	160%
Performance Shares | Share-based Payment Arrangement, Nonemployee
# of Shares
Granted (in shares)	212,216

Employee Benefit Plans - Stoc_2

Employee Benefit Plans - Stock Based Compensation Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Stock-Based Compensation
Total stock-based compensation	$ 2,890	$ 3,401
Stock options
Stock-Based Compensation
Unrecognized compensation expense	$ 3,900
Weighted average period over which compensation expense is expected to be recognized	2 years 8 months 12 days
Restricted stock units
Stock-Based Compensation
Unrecognized compensation expense	$ 1,100
Weighted average period over which compensation expense is expected to be recognized	1 year 8 months 12 days
Phantom Share Units (PSUs)
Stock-Based Compensation
Unrecognized compensation expense	$ 100
Weighted average period over which compensation expense is expected to be recognized	1 year 3 months 18 days
Cost of revenues
Stock-Based Compensation
Total stock-based compensation	$ 352	242
General and administrative
Stock-Based Compensation
Total stock-based compensation	1,626	2,574
Sales and marketing
Stock-Based Compensation
Total stock-based compensation	477	340
Research and development expense
Stock-Based Compensation
Total stock-based compensation	435	245
Restructuring activities
Stock-Based Compensation
Total stock-based compensation	0	0
Loss from discontinued operations
Stock-Based Compensation
Total stock-based compensation	$ 0	$ 0

Employee Benefit Plans - Stoc_3

Employee Benefit Plans - Stock Options Granted (Details) - Stock options - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Weighted average assumptions used in estimating the grant date fair value of stock options granted
Expected life—years	7 years 6 months	7 years 2 months 12 days
Risk-free interest rate	3.60%	1.50%
Expected volatility of common stock	51%	49%
Dividend yield	0%	0%
Fair value and intrinsic value information
Weighted average grant date fair value per share of options granted (in dollars per share)	$ 1.67	$ 2.58
Intrinsic value of options exercised	$ 141	$ 1,966

Employee Benefit Plans - Employ

Employee Benefit Plans - Employee Incentive Programs (Details) - USD ($)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2021
Profit Sharing Plan
Employee incentive programs
Employer contribution under plan	$ 0	$ 0	$ 0
401 (k) Plan
Employee incentive programs
Employer contribution under plan	$ 1,800,000	$ 1,800,000
Employer matching contribution (as a percent)	50%
Vesting period of employer matching contributions	1 month

Employee Benefit Plans - Other

Employee Benefit Plans - Other Stock-Based Compensation Plans (Details) $ in Thousands		12 Months Ended
	Jan. 01, 2018 USD ($) offeringPeriod	Mar. 31, 2023 USD ($) shares	Mar. 31, 2022 shares
Other Stock-Based Compensation Plans
Deferred compensation plans, amount invested | $		$ 1,300
Deferred compensation plans, amount vested | $		$ 1,500
Deferred shares held within rabbi trust (in shares)		68,627
Restricted stock units
Other Stock-Based Compensation Plans
Granted (in shares)		290,000
Inducement Plan
Other Stock-Based Compensation Plans
Stock options authorized under the plan (in shares)		300,000
Granted (in shares)		0
Inducement Plan | Restricted stock units
Other Stock-Based Compensation Plans
Granted (in shares)		0
ESPP
Other Stock-Based Compensation Plans
Purchase price of common stock (as a percent)	95%
Number of offering periods | offeringPeriod	2
Duration of offering period	6 months
Annual stock value | $	$ 30
Number of share repurchases (in shares)		180,000	95,000
Restricted cash | $		$ 100
ESPP | Minimum
Other Stock-Based Compensation Plans
Employer matching contribution (as a percent)	1%
ESPP | Maximum
Other Stock-Based Compensation Plans
Employer matching contribution (as a percent)	15%

Stock Repurchase Program (Detai

Stock Repurchase Program (Details) - USD ($)		12 Months Ended	119 Months Ended
	Nov. 06, 2014	Mar. 31, 2023	Jun. 30, 2022	May 12, 2022	Aug. 09, 2012
August 2012 Program
Stock Repurchase Program
Increase in the authorized amount for repurchase of common stock	$ 3,000,000
Number of shares acquired			2,458,000
Value of common stock repurchased			$ 4,300,000
Average price per share of common stock repurchased (in dollars per share)			$ 1.73
August 2012 Program | Maximum
Stock Repurchase Program
Value of common stock approved under stock repurchase program					$ 3,000,000
Stock Repurchase Program May 2022
Stock Repurchase Program
Number of shares acquired		300,000
Value of common stock repurchased		$ 900,000
Average price per share of common stock repurchased (in dollars per share)		$ 2.90
Value of common stock available for repurchase under current program		$ 9,100,000
Stock Repurchase Program May 2022 | Maximum
Stock Repurchase Program
Value of common stock approved under stock repurchase program				$ 10,000,000

Business Segments, Significan_2

Business Segments, Significant Customer and Geographic Information - Narrative (Details)	12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Sales Revenue, Net | Customer | External Customers
Business Segments
Percentage of total net sales and contract revenues	0%	0%

Long-Term Debt (Details)

Long-Term Debt (Details) - Revolving Credit Facility - Line of Credit - USD ($)	Jan. 25, 2022	Mar. 31, 2023
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 20,000,000
Increase limit in revolving commitments	$ 40,000,000
Leverage ratio, maximum	300%
Leverage ratio, minimum	100%
Fixed charge coverage ratio, maximum	125%
Fixed charge coverage ratio, minimum	100%
Capitalized deferred financing costs		$ 300,000
Minimum
Line of Credit Facility [Line Items]
Unused commitment fee percentage	0.25%
Minimum | SOFR
Line of Credit Facility [Line Items]
Basis spread on variable rate	2%
Minimum | Base Rate
Line of Credit Facility [Line Items]
Basis spread on variable rate	1%
Maximum
Line of Credit Facility [Line Items]
Unused commitment fee percentage	0.35%
Maximum | SOFR
Line of Credit Facility [Line Items]
Basis spread on variable rate	2.80%
Maximum | Base Rate
Line of Credit Facility [Line Items]
Basis spread on variable rate	1.80%