Quantum (QMCO) 10-Q 5 Nov 19 2020 Q2 Quarterly report Financial data

DOCUMENT AND ENTITY INFORMATION

DOCUMENT AND ENTITY INFORMATION - shares	6 Months Ended
	Sep. 30, 2019	Oct. 31, 2019
Document and Entity Information [Abstract]
Entity Registrant Name	QUANTUM CORP /DE/
Entity Central Index Key	0000709283
Current Fiscal Year End Date	--03-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Document Type	10-Q
Document Period End Date	Sep. 30, 2019
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2
Amendment Flag	false
Entity Common Stock, Shares Outstanding		36,941,906

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Current assets:
Cash and cash equivalents	$ 6,000	$ 10,790
Restricted cash	936	1,065
Accounts receivable, net of allowance for doubtful accounts of $275 and $68 as of September 30, 2019 and March 31, 2019, respectively	71,390	86,828
Manufacturing inventories	22,032	18,440
Service parts inventories	18,845	19,070
Other current assets	9,840	18,095
Total current assets	129,043	154,288
Property and equipment, net	8,606	8,437
Restricted cash	5,000	5,000
Right-of-use assets, net	11,933	0
Other long-term assets	3,678	5,146
Total assets	158,260	172,871
Current liabilities:
Accounts payable	39,354	37,395
Deferred revenue	76,578	90,407
Accrued restructuring charges	299	2,876
Long-term debt	1,650	1,650
Accrued compensation	15,006	17,117
Other accrued liabilities	18,821	29,025
Total current liabilities	151,708	178,470
Deferred revenue	34,981	36,733
Long-term debt, net of current portion	153,600	145,621
Operating lease liabilities	9,848
Other long-term liabilities	11,233	11,827
Total liabilities	361,370	372,651
Stockholders' deficit
Common stock, $0.01 par value; 1,000,000 shares authorized; 36,717, and 36,040 shares issued and outstanding at September 30, 2019 and March 31, 2019, respectively	368	360
Additional paid-in capital	502,398	499,224
Accumulated deficit	(704,076)	(697,954)
Accumulated other comprehensive loss	(1,800)	(1,410)
Total stockholders’ deficit	(203,110)	(199,780)
Total liabilities and stockholders’ deficit	$ 158,260	$ 172,871

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 275	$ 68
Common stock, par value (usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized	1,000,000,000	1,000,000,000
Common stock, shares issued	36,717,000	36,040,000
Common stock, shares outstanding	36,717,000	36,040,000

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Revenue:	$ 105,789	$ 89,912	$ 211,419	$ 197,424
Cost of revenue:	62,266	54,385	122,070	115,558
Gross profit	43,523	35,527	89,349	81,866
Operating expenses:
Research and development	9,350	7,862	17,733	16,123
Sales and marketing	14,824	16,682	30,680	35,807
General and administrative	14,329	14,072	32,905	33,461
Restructuring charges	821	294	1,084	4,201
Total operating expenses	39,324	38,910	82,402	89,592
Income (loss) from operations	4,199	(3,383)	6,947	(7,726)
Other income (expense), net	76	(196)	165	24
Interest expense	(6,347)	(4,636)	(12,653)	(8,571)
Loss on debt extinguishment, net	0	(12,425)	0	(12,425)
Net loss before income taxes	(2,072)	(20,640)	(5,541)	(28,698)
Income tax provision	243	977	581	402
Net loss	$ (2,315)	$ (21,617)	$ (6,122)	$ (29,100)
Loss per share - basic and diluted (in usd per share)	$ (0.06)	$ (0.61)	$ (0.17)	$ (0.82)
Weighted average shares - basic and diluted	36,297	35,502	36,172	35,473
Foreign currency translation adjustments, net	$ (474)	$ (86)	$ (390)	$ (969)
Total comprehensive loss	(2,789)	(21,703)	(6,512)	(30,069)
Product
Revenue:	68,130	51,622	133,926	118,491
Cost of revenue:	49,467	41,319	96,666	86,756
Service
Revenue:	32,401	33,352	65,781	66,916
Cost of revenue:	12,799	13,066	25,404	28,802
Royalty
Revenue:	$ 5,258	$ 4,938	$ 11,712	$ 12,017

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Operating activities
Net loss	$ (6,122)	$ (29,100)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities
Depreciation and amortization	2,034	2,181
Amortization of debt issuance costs	2,008	842
Provision for product and service inventories	3,442	5,859
Stock based compensation	3,352	1,718
Non-cash loss on debt extinguishment	0	12,425
Bad debt expense	199	(383)
Unrealized foreign exchange (gain) loss	(99)	(286)
Changes in assets and liabilities:
Accounts receivable	15,239	19,434
Manufacturing inventories	(5,799)	11,677
Service parts inventories	(1,180)	(1,122)
Accounts payable	1,478	(17,520)
Accrued restructuring charges	(2,576)	(1,382)
Accrued compensation	(2,111)	(4,415)
Deferred revenue	(15,582)	(11,426)
Other assets and liabilities	(3,939)	14,209
Net cash provided by (used in) operating activities	(9,656)	2,711
Investing activities
Purchases of property and equipment	(1,315)	(1,331)
Net cash used in investing activities	(1,315)	(1,331)
Financing activities
Borrowings of long-term debt and credit facility	172,119	164,968
Repayments of long-term debt and credit facility	(165,968)	(171,584)
Payment of taxes due upon vesting of restricted stock	(171)	(6)
Net cash provided by (used in) financing activities	5,980	(6,622)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	72	(137)
Net change in cash, cash equivalents and restricted cash	(4,919)	(5,379)
Cash, cash equivalents, and restricted cash at beginning of period	16,855	17,207
Cash and cash equivalents at end of period	11,936	11,828
Supplemental disclosure of cash flow information
Cash paid for interest	10,567	9,938
Cash paid for income taxes, net of refunds	(51)	(45)
Non-cash transactions
Purchases of property and equipment included in accounts payable	249	104
Transfer of inventory to property and equipment	169	176
Payment of litigation settlements with insurance proceeds	8,950	0
The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the statement of cash flows:
Total cash, cash equivalents and restricted cash at the end of period	$ 16,855	$ 17,207

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIT) - USD ($) shares in Thousands, $ in Thousands	Total	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Loss
Beginning balance (in shares) at Mar. 31, 2018		35,443
Beginning balance at Mar. 31, 2018	$ (173,467)	$ 354	$ 481,610	$ (655,157)	$ (274)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(29,100)
Foreign currency translation adjustments	(969)
Shares issued under employee incentive plans, net (in shares)		38
Shares issued under employee incentive plans, net	(6)	$ 1	(7)
Warrants issued related to long-term debt (in shares)		75
Warrants exercised related to long-term debt	176	$ 1	175
Stock-based compensation	1,718		1,718
Ending balance (in shares) at Sep. 30, 2018		35,556
Ending balance at Sep. 30, 2018	(201,648)	$ 356	483,496	(684,257)	(1,243)
Beginning balance (in shares) at Jun. 30, 2018		35,443
Beginning balance at Jun. 30, 2018	(181,415)	$ 356	482,028	(662,642)	(1,157)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(21,617)
Foreign currency translation adjustments	(86)
Shares issued under employee incentive plans, net (in shares)		38
Shares issued under employee incentive plans, net	2		2
Warrants issued related to long-term debt (in shares)		75
Warrants exercised related to long-term debt	176		175
Stock-based compensation	1,291		1,291
Ending balance (in shares) at Sep. 30, 2018		35,556
Ending balance at Sep. 30, 2018	$ (201,648)	$ 356	483,496	(684,257)	(1,243)
Beginning balance (in shares) at Mar. 31, 2019	36,040	36,040
Beginning balance at Mar. 31, 2019	$ (199,780)	$ 360	499,224	(697,954)	(1,410)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(6,122)
Foreign currency translation adjustments	(390)				(390)
Shares issued under employee incentive plans, net (in shares)		677
Shares issued under employee incentive plans, net	(170)	$ 8	(178)
Stock-based compensation	$ 3,352		3,352
Ending balance (in shares) at Sep. 30, 2019	36,717	36,717
Ending balance at Sep. 30, 2019	$ (203,110)	$ 368	502,398	(704,076)	(1,800)
Beginning balance (in shares) at Jun. 30, 2019		36,046
Beginning balance at Jun. 30, 2019	(202,516)	$ 360	500,211	(701,761)	(1,326)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss	(2,315)			(2,315)
Foreign currency translation adjustments	(474)				(474)
Shares issued under employee incentive plans, net (in shares)		671
Shares issued under employee incentive plans, net	(170)	$ 8	(178)
Stock-based compensation	$ 2,365		2,365
Ending balance (in shares) at Sep. 30, 2019	36,717	36,717
Ending balance at Sep. 30, 2019	$ (203,110)	$ 368	$ 502,398	$ (704,076)	$ (1,800)

DESCRIPTION OF BUSINESS AND SUM

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Quantum Corporation, together with its consolidated subsidiaries (“Quantum” or the “Company”), founded in 1980 and reincorporated in Delaware in 1987, is an industry leader in storing and managing video and video-like data delivering the industry’s top streaming performance for video and rich media applications, along with low cost, high density massive-scale data protection and archive systems. The Company helps customers capture, create and share digital data and preserve and protect it for decades. The Company’s end-to-end, software-defined, hyperconverged storage solutions span from non-violate memory express (“NVMe”), to solid state drives, (“SSD”), hard disk drive, (“HDD”), tape and the cloud and are tied together leveraging a single namespace view of the entire data environment. The Company works closely with a broad network of distributors, value-added resellers (“VARs”), direct marketing resellers (“DMRs”), original equipment manufacturers (“OEMs”) and other suppliers to meet customers’ evolving needs. Basis of Presentation The accompanying interim unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information. All intercompany balances and transactions have been eliminated. Certain information and footnote disclosures normally included in annual financial statements have been condensed or omitted. The Company believes the disclosures made are adequate to prevent the information presented from being misleading. However, the accompanying unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included within the Company’s most recent Annual Report on Form 10-K filed with SEC on August 6, 2019, which includes the audited and consolidated financial statements for the Company’s fiscal years ended March 31, 2019, March 31, 2018 and March 31, 2017 (restated). The accompanying unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal and recurring items) necessary to present fairly the Company’s financial position as of September 30, 2019 and the results of operations, cash flows and changes in stockholders’ deficit for the three and six months ended September 30, 2019 and 2018. Interim results are not necessarily indicative of full year performance because of the impact of seasonal and short-term variations. Use of Estimates The preparation of these condensed consolidated financial statements, in conformity with GAAP, requires management to make estimates and assumptions. Certain accounting estimates involve significant judgments, assumptions and estimates by management that have a material impact on the carrying value of certain assets and liabilities, disclosures of contingent assets and liabilities and the reported amounts of revenues and expenses during the reporting period, which management considers to be critical accounting estimates. The judgments, assumptions and estimates used by management are based on historical experience, management’s experience and other factors, which are believed to be reasonable under the circumstances. Because of the nature of the judgments and assumptions made by management, actual results could differ materially from these judgments and estimates, which could have a material impact on the carrying values of the Company’s assets and liabilities and the results of operations. Fair Value Measurements The fair value of financial instruments is based on estimates using quoted market prices, discounted cash flows or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and the estimated timing and amount of future cash flows. Therefore, the estimates of fair value may differ substantially from amounts that ultimately may be realized or paid at settlement or maturity of the financial instruments, and those differences may be material. Accordingly, the aggregate fair value amounts presented may not represent the value as reported by the institution holding the instrument. The Company uses the three-tier hierarchy established by U.S. GAAP, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value to determine the fair value of its financial instruments. This hierarchy indicates to what extent the inputs used in the Company’s calculations are observable in the market. The different levels of the hierarchy are defined as follows: Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2: Other than quoted prices that are observable in the market for the asset or liability, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or model-derived valuations 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 are unobservable and reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. Recently Adopted Accounting Pronouncements In February 2018, the FASB issued ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). ASU 2018-20 allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. The Company did not elect to reclassify the income tax effects of the Tax Cuts and Jobs Act from accumulated other comprehensive income to accumulated deficit. In June 2018, the FASB issued ASU No. 2018-07, Share-based Payments to Non-Employees (“ASU 2018-07”), to simplify the accounting for share- based payments to non-employees by aligning it with the accounting for share-based payments to employees, with certain exceptions. For public business entities, this ASU is effective for annual reporting periods beginning after December 15, 2018, including interim periods within that fiscal year. The adoption of ASU 2018-07 did not impact the Company’s condensed consolidated financial statements and related disclosures. Recently Issued Accounting Pronouncements Not Yet Adopted In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework — Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). ASU 2018-13 eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of the FASB’s disclosure framework project. For all entities, this ASU is effective for annual and interim reporting periods beginning after December 15, 2019. Certain amendments must be applied prospectively while others are to be applied on a retrospective basis to all periods presented. The adoption of this ASU will not have an effect on the condensed consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-15, Implementation Costs Incurred in Cloud Computing Arrangements (“ASU 2018-15”), which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). For public entities, ASU 2018-15 is effective for annual reporting periods beginning after December 15, 2019, and interim periods within that fiscal year. The amendments should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company is evaluating the impact this ASU will have on its consolidated financial statements and related disclosures. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU-2016-13”). ASU 2016-13 will change how entities account for credit impairment for trade and other receivables, as well as for certain financial assets and other instruments. ASU 2016-13 will replace the current “incurred loss” model with an “expected loss” model. Under the “incurred loss” model, a loss (or allowance) is recognized only when an event has occurred (such as a payment delinquency) that causes the entity to believe that it is probable that a loss has occurred (i.e., that it has been “incurred”). Under the “expected loss” model, a loss (or allowance) is recognized upon initial recognition of the asset that reflects all future events that leads to a loss being realized, regardless of whether it is probable that the future event will occur. The “incurred loss” model considers past events and current conditions, while the “expected loss” model includes expectations for the future which have yet to occur. ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses , was issued in November 2018 and excludes operating leases from the new guidance. The standard will require entities to record a cumulative-effect adjustment to the balance sheet as of the beginning of the first reporting period in which the guidance is effective. For public entities, ASU 2016-13 is effective for fiscal years beginning after December 15, 2019. The Company is currently evaluating the potential impact that ASU 2016-13 may have on the timing of recognition and measurement of future provisions for expected losses on its accounts receivable.

REVENUE

REVENUE	6 Months Ended
	Sep. 30, 2019
Revenue from Contract with Customer [Abstract]
REVENUE	REVENUE Based on how the Company manages its business, the Company has determined that it currently operates in one reportable segment. The Company operates in three geographic regions: (a) Americas; (b) Europe, Middle East and Africa (“EMEA”); and (c) Asia Pacific (“APAC”). Revenue by geography is based on the location of the customer from which the revenue is earned. In the following table, revenue is disaggregated by major product offering and geographies (in thousands): Three Months Ended Six Months Ended September 30, 2019 September 30, 2018 September 30, 2019 September 30, 2018 Americas Primary storage systems $ 17,327 $ 9,710 $ 27,340 $ 18,889 Secondary storage systems 15,029 9,731 38,726 28,743 Device and media 9,348 7,629 18,019 17,912 Service 20,366 21,552 41,936 43,241 Total revenue 62,070 48,622 126,021 108,785 EMEA Primary storage systems 3,388 5,628 7,468 10,943 Secondary storage systems 8,079 5,640 17,734 16,648 Device and media 6,640 4,422 10,173 10,376 Service 9,828 9,215 19,051 18,489 Total revenue 27,935 24,905 54,426 56,456 APAC Primary storage systems 3,203 3,179 4,655 4,638 Secondary storage systems 3,078 3,185 6,515 6,209 Device and media 2,038 2,498 3,296 4,133 Service 2,207 2,585 4,794 5,186 Total revenue 10,526 11,447 19,260 20,166 Consolidated Primary storage systems 23,918 18,517 39,463 34,470 Secondary storage systems 26,186 18,556 62,975 51,600 Device and media 18,026 14,549 31,488 32,421 Service 32,401 33,352 65,781 66,916 Royalty* 5,258 4,938 11,712 12,017 Total revenue $ 105,789 $ 89,912 $ 211,419 $ 197,424 * Royalty revenue is not allocable to geographic regions. Revenue for Americas geographic region outside of the United States is not significant. Contract Balances The following table presents the Company’s contract liabilities and certain information related to this balance as of and for the six months ended September 30, 2019 (in thousands): September 30, 2019 Contract liabilities (deferred revenue) $ 111,559 Revenue recognized in the period from amounts included in contract liabilities at the beginning of the period $ 51,850 Remaining Performance Obligations Transaction price allocated to the remaining performance obligations represents contracted revenue that has not yet been recognized, which includes deferred revenue and contractually agreed upon amounts, yet to be invoiced, that will be recognized as revenue in future periods. Remaining performance obligations are subject to change and are affected by several factors, including terminations, changes in the scope of contracts, adjustments for revenue that have not materialized and foreign exchange adjustments. The Company applied the practical expedient in accordance within ASC 606, Revenue from Contracts with Customers (“ASC 606”), to exclude amounts for variable consideration constituting a sale- or usage-based royalty promised in exchange for a license of intellectual property from remaining performance obligations. Remaining performance obligation consisted of the following (in thousands): Current Non-Current Total As of September 30, 2019 $ 92,610 $ 45,896 $ 138,506 The Company expects to recognize approximately 70% of the remaining performance obligations within the next 12 months. The majority of the Company’s noncurrent remaining performance obligations is expected to be recognized in the next 13 to 60 months.

FAIR VALUE OF FINANCIAL INSTRUM

FAIR VALUE OF FINANCIAL INSTRUMENTS	6 Months Ended
	Sep. 30, 2019
Fair Value Disclosures [Abstract]
FAIR VALUE OF FINANCIAL INSTRUMENTS	FAIR VALUE OF FINANCIAL INSTRUMENTS The Company’s assets, measured and recorded at fair value on a recurring basis, may consist of money market funds which are included in cash and cash equivalents in the Condensed Consolidated Balance Sheets and are valued using quoted market prices (level 1 fair value measurements) at the respective balance sheet dates. No impairments charges were recognized for non-financial assets in the three and six months ended September 30, 2019 and 2018 . We have no non-financial liabilities measured and recorded at fair value on a non-recurring basis. Warrants and Warrant Liability The Company uses the Black-Scholes-Merton option valuation model for estimating fair value of common stock warrants. The expected life of warrants granted represent the period of time that they are expected to be outstanding. The Company determines the expected life based on historical experience with similar awards, giving consideration to the contractual terms, exercise patterns, and post-vesting forfeitures. The Company estimates volatility based on the historical volatility of the common stock over the most recent period corresponding with the estimated expected life of the award. The Company bases the risk-free interest rate used in the Black-Scholes-Merton stock option valuation model on the implied yield currently available on U.S. Treasury zero-coupon issues with an equivalent term equal to the expected life of the award. The Company has not paid any cash dividends on the common stock and does not anticipate paying any cash dividends in the foreseeable future. During fiscal year 2018, the Company began issuing common stock warrants in connection with the TCW Term Loan agreement. The warrants were initially accounted for as a liability and recorded at estimated fair value on a recurring basis due to exercise price reset provisions contained with the warrant agreements. As such, the Company estimated the fair value of the warrants at the end of each reporting period using a Black-Scholes-Merton valuation model. At the end of each reporting period, the Company recorded the changes in the estimated fair value during the period in other (income) expense in the condensed consolidated statements of operations and comprehensive loss. During the three months ended March 31, 2019, the exercise price for these warrants reset and became fixed, at which time they were considered to be indexed to the Company’s own stock and would meet the scope requirements for equity classification. The fair value of the warrants upon the exercise price reset was reclassified to stockholders’ deficit. The Company classified the warrants liability subject to recurring fair value measurement as Level 3 prior to the reclassification to stockholders’ deficit. A portion of these warrants were based on significant inputs that were not observable in the market. As the outstanding warrants were reclassified to stockholders’ deficit in the fourth quarter of fiscal year 2019, there was no warrant liability as of September 30, 2019 and March 31, 2019 . The table presented below is a summary of changes in the fair value of the Company’s Level 3 valuations for the warrant liability for the six months ended September 30, 2018 (in thousands): Warrant liability As of March 31, 2018 $ 272 Issuances 2,784 Settlements (176 ) Changes in fair value 164 As of September 30, 2018 $ 3,044 Long-term Debt The total estimated fair value of long-term debt as of September 30, 2019 and March 31, 2019 was approximately $170.8 million and $160.3 million , respectively, based on outstanding borrowings and market interest rates for the period. The fair value has been classified as Level 2 within the fair value hierarchy.

INVENTORIES

INVENTORIES	6 Months Ended
	Sep. 30, 2019
Balance Sheet Related Disclosures [Abstract]
INVENTORIES	INVENTORIES Manufacturing and service inventories consist of the following (in thousands): Manufacturing inventories September 30, 2019 March 31, 2019 Finished goods: Manufactured finished goods $ 10,015 $ 8,160 Distributor inventory 1,445 3,345 Total finished goods 11,460 11,505 Work in progress 1,084 107 Raw materials 9,488 6,828 Total manufacturing inventories $ 22,032 $ 18,440 Service parts inventories September 30, 2019 March 31, 2019 Finished goods $ 14,146 $ 13,437 Component parts 4,699 5,633 Total service inventories $ 18,845 $ 19,070

LEASES

LEASES	6 Months Ended
	Sep. 30, 2019
Leases [Abstract]
LEASES	LEASES The Company adopted Accounting Standard Update (“ASU”) No. 2016-02, Leases (“Topic 842”) effective April 1, 2019 using the optional transition method in ASU 2018-11, Targeted Improvements . Therefore, the reported results as of September 30, 2019 and for the three and six months ended September 30, 2019 reflect the application of Topic 842, while the reported results for the three months ended September 30, 2018 and as of March 31, 2019 were not adjusted and continue to be reported under Accounting Standard Codification (“ASC”) 840, Leases , the accounting guidance in effect for the prior periods. Under Topic 842, the Company determines if an arrangement is a lease at inception. The lease term begins on the commencement date, which is the date the Company takes possession of the property and may include options to extend or terminate the lease when it is reasonably certain that the option will be exercised. The lease terms are used to determine lease classification as an operating or finance lease and is used to calculate straight-line lease expense for operating leases. The Company elected the package of practical expedients permitted under the transition guidance within Topic 842 to not reassess prior conclusions related to contracts containing leases, lease classification and initial direct costs. Right-of-use (“ROU”) assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and lease liabilities are recognized at commencement date based on the present value of lease payments over the lease term. ROU assets also include prepaid lease payments and exclude lease incentives received. As the Company’s leases typically do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date for its leases. The determination of the incremental borrowing rate requires judgment. The Company determines the incremental borrowing rate using the Company’s current unsecured borrowing rate, adjusted for various factors such as collateralization and term to align with the terms of the lease. The Company elected the short-term lease recognition exemption for all leases that qualify. Therefore, leases with an initial term of 12 months or less are not recorded on the balance sheet; instead, lease payments are recognized as lease expense on a straight-line basis over the lease term. The Company has operating leases for facilities, vehicles, computers, and other office equipment with various expiration dates. The leases have remaining terms of 1 to 8 years. Certain leases contain renewal options for varying periods, which are at the Company’s sole discretion. The Company did not use hindsight when determining lease term, therefore, the Company carried forward the lease term as determined prior to the adoption of Topic 842. For new leases with renewal or termination options, such option periods will be included in the determination of the Company’s ROU assets and lease liabilities if the Company is reasonably certain to exercise the option. Certain leases require the Company to pay taxes, insurance, maintenance, and other operating expenses associated with the leased asset. Such amounts are not included in the measurement of the lease liability to the extent they are variable in nature. These variable lease costs are recognized as a variable lease expense when incurred. Components of lease cost were as follows (in thousands): Lease Cost Three Months Ended September 30, 2019 Six Months Ended September 30, 2019 Operating lease cost $ 1,304 $ 2,576 Variable lease cost 147 212 Short-term lease cost 29 31 Total lease cost $ 1,480 $ 2,819 Maturity of Lease Liabilities Operating Leases Six months ended March 31, 2020 $ 2,286 For the fiscal year ended March 31, 2021 4,233 2022 3,388 2023 2,366 2024 2,127 Thereafter 3,870 Total lease payments $ 18,270 Less: Imputed interest (5,218 ) Present value of lease liabilities $ 13,052 Lease Term and Discount Rate September 30, 2019 Weighted average remaining operating lease term (years) 4.85 Weighted average discount rate for operating leases 14.03 % The Company’s right-of-use asset was $11.9 million as of September 30, 2019 , and $0 as of March 31, 2019. Operating cash outflows related to operating leases totaled $1.3 million for the six months ended September 30, 2019 .

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Sep. 30, 2019
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Commitments to Purchase Inventory The Company uses contract manufacturers for its manufacturing operations. Under these arrangements, the contract manufacturer procures inventory to manufacture products based upon management forecast of customer demand. The Company has similar arrangements with certain other suppliers. The Company is responsible for the financial impact on the supplier or contract manufacturer of any reduction or product mix shift in the forecast relative to materials that the third party had already purchased under a prior forecast. Such a variance in forecasted demand could require a cash payment for inventory in excess of current customer demand or for costs of excess or obsolete inventory. As of September 30, 2019 , the Company had issued non-cancelable commitments for $21.5 million to purchase inventory from its contract manufacturers and suppliers. Legal Proceedings On July 22 2016, Realtime Data LLC d/b/a IXO (“Realtime Data”) filed a patent infringement lawsuit against Quantum in the U.S. District Court for the Eastern District of Texas, alleging infringement of U.S. Patents Nos. 7,161,506, 7,378,992, 7,415,530, 8,643,513, 9,054,728, and 9,116,908. The lawsuit has been transferred to the U.S. District Court for the Northern District of California for further proceedings. Realtime Data asserts that we have incorporated Realtime Data’s patented technology into our compression products and services. Realtime Data seeks unspecified monetary damages and other relief that the Court deems appropriate. On July 31, 2017, the District Court stayed proceedings in this litigation pending decision in Inter Partes Review proceedings currently before the Patent Trial and Appeal Board relating to the Realtime patents. That stay remains in effect. We believe the probability that this lawsuit will have a material adverse effect on our business, operating results or financial condition is remote. In February 2018, two putative class action lawsuits were filed in the U.S. District Court for the Northern District of California against the Company and two former executive officers (the “Class Action”). The lawsuits were consolidated on May 16, 2018. The Class Action plaintiffs sought unspecified damages for certain alleged material misrepresentations and omissions made by the Company in connection with its financial statements for fiscal year 2017. On September 25, 2018, the Court granted permission to plaintiffs in the action to file an Amended Consolidated Complaint. Before the plaintiffs filed their amended consolidated complaint, the parties met with a mediator to discuss a potential settlement of the case. On February 20, 2019, the parties reached a settlement in principal; under the terms of the settlement, the Company agreed to pay $8.2 million to plaintiffs. The amount includes all of plaintiffs’ attorneys’ fees, and the full amount was paid by our directors and officers liability insurance carriers. A Stipulation of Settlement was signed by the Parties on June 28, 2019, and the Court entered preliminary approval of the settlement on July 26, 2019. In its order granting preliminary approval, the Court set November 14, 2019 as the date for consideration of a motion for final approval of the settlement. In May 2018, two shareholders filed litigation in California Superior Court for Santa Clara County on behalf of Quantum against several current and former officers and directors of the Company. A third action brought by a shareholder on behalf of Quantum was filed on March 4, 2019. These three lawsuits (the “Derivative Litigation”), which were consolidated by the Court, alleged, inter alia , that the board members and certain of the senior officers breached their fiduciary duties to the Company and its shareholders by causing the Company to make materially false and misleading statements concerning the Company’s financial health, business operations, and growth prospects in its public filings and communications with investors, including misrepresentations regarding the Company’s disclosure controls and procedures, revenue recognition, and internal controls over financial reporting. After extensive negotiations, the parties reached a definitive agreement to settle the Derivative Litigation in February 2019. The settlement requires the Company to adopt a number of corporate governance reforms and to pay plaintiffs’ attorneys’ fees of $0.8 million, which was paid by our directors and officers liability insurance carriers. On September 6, 2019, the Court entered final approval of the Derivative Litigation settlement. In January 2018, the Company received a document subpoena from the SEC requesting information pertaining to its financial statements for the period April 1, 2017 through the date of the subpoena. The Company responded to that subpoena. In August 2018, the Company received a second subpoena requesting similar documents for the period April 1, 2015 through the date of the subpoena. The Company understands that the SEC’s investigation relates to the facts and circumstances regarding the restatement of the Company’s financial statements which is described in the Explanatory Note and Note 2, Restatement , in the Company’s most recently filed Annual Report on Form 10-K. The Company has produced a substantial volume of documents to the SEC and is cooperating with the SEC staff. The investigation is ongoing. Other Matters Additionally, from time to time, the Company is a party to various legal proceedings and claims arising from the normal course of business activities. Based on current available information, the Company does not expect that the ultimate outcome of any currently pending unresolved matters, individually or in the aggregate, will have a material adverse effect on the Company’s results of operations, cash flows or financial position.

RESTRUCTURING CHARGES

RESTRUCTURING CHARGES	6 Months Ended
	Sep. 30, 2019
Restructuring and Related Activities [Abstract]
RESTRUCTURING CHARGES	RESTRUCTURING CHARGES There were no new restructuring plans initiated during the six months ended September 30, 2019 . In the six months ended September 30, 2018 , management approved two plans to eliminate 66 positions in the U.S. and internationally. The purpose of these plans was to improve operational efficiencies and align with management’s strategic vision for the Company. Severance and benefits costs of approximately $3.6 million were incurred as a result. The following table summarizes the restructuring activities for the six months ended September 30, 2019 and 2018 (in thousands): Severance and Benefits Facilities Total Balance as of March 31, 2019 $ — $ 2,876 $ 2,876 Restructuring costs — 826 826 Adjustments to prior estimates — 258 258 Cash payments — (3,661 ) (3,661 ) Balance as of September 30, 2019 $ — $ 299 299 Balance as of March 31, 2018 $ 1,430 $ 4,389 $ 5,819 Restructuring costs 3,607 48 3,655 Adjustments to prior estimates — 546 546 Cash payments (4,592 ) (991 ) (5,583 ) Balance as of September 30, 2018 $ 445 $ 3,992 $ 4,437 Facility restructuring accruals will be paid by the end of the fiscal year ending March 31, 2020.

NET LOSS PER SHARE

NET LOSS PER SHARE	6 Months Ended
	Sep. 30, 2019
Earnings Per Share [Abstract]
NET LOSS PER SHARE	NET LOSS PER SHARE The following outstanding stock-based instruments which are comprised of performance share units, restricted stock units, stock options and warrants were excluded from the calculation of diluted net loss per share because their effect would have been anti-dilutive (in thousands): Three Months Ended Six Months Ended September 30, 2019 September 30, 2018 September 30, 2019 September 30, 2018 8,625 2,121 6,860 1,694 The dilutive impact related to common shares from restricted stock units, stock options and warrants is determined by applying the treasury stock method of determining value to the assumed vesting of outstanding restricted stock units and the exercise of outstanding options and warrants. The dilutive impact related to common shares from contingently issuable performance share units is determined by applying a two-step approach using both the contingently issuable share guidance and the treasury stock method.

INCOME TAXES

INCOME TAXES	6 Months Ended
	Sep. 30, 2019
Income Tax Disclosure [Abstract]
INCOME TAXES	INCOME TAXES The effective tax rate for the three and six months ended September 30, 2019 was -11.7% and -10.5% , respectively, as compared to -4.7% and -1.4% for the three and six months ended September 30, 2018, respectively. Income tax provisions for each of these periods reflect expenses for foreign income taxes and state taxes and differed from the federal statutory rate of 21% due primarily to unbenefited losses experienced in jurisdictions with valuation allowances on deferred tax assets as well as the forecasted mix of earnings in domestic and international jurisdictions. As of September 30, 2019 , including interest and penalties, the Company had $118.0 million of unrecognized tax benefits, $99.8 million of which, if recognized, would favorably affect the effective tax rate without consideration of the valuation allowance. As of September 30, 2019 , the Company had accrued interest and penalties related to these unrecognized tax benefits of $1.1 million. The Company recognizes interest and penalties related to income tax matters in the income tax provision in the condensed consolidated statements of operations. As of September 30, 2019 , $112.0 million of unrecognized tax benefits were recorded as a contra deferred tax asset in other long-term assets in the condensed consolidated balance sheets and $6.0 million (including interest and penalties) were recorded in other long-term liabilities in the condensed consolidated balance sheets. During the next 12 months, it is reasonably possible that approximately $11.2 million of tax benefits, inclusive of interest and penalties, that are currently unrecognized could be recognized as a result of the expiration of applicable statutes of limitations.

DEBT

DEBT	6 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
DEBT	DEBT The Company’s long-term debt consisted of the following (in thousands): As of September 30, 2019 March 31, 2019 Senior Secured Term Loan $ 163,763 $ 164,588 Amended PNC Credit Facility 6,976 — Less: current portion (1,650 ) (1,650 ) Less: unamortized debt issuance costs (1) (15,489 ) (17,317 ) Long-term debt, net $ 153,600 $ 145,621 (1) The unamortized debt issuance costs related to the Senior Secured Term Loan are presented as a reduction of the carrying amount of the corresponding debt balance on the accompanying condensed consolidated balance sheets. Unamortized debt issuance costs related to the Amended PNC Credit Facility are presented within other assets on the accompanying condensed consolidated balance sheets. As of September 30, 2019 , the interest rates on the Senior Secured Term Loan and the Amended PNC Credit Facility were 12.1% and 8.0% , respectively. As of September 30, 2019 , after drawing down $7.0 million , the Amended PNC Credit Facility had a remaining borrowing availability of $14.8 million. As of September 30, 2019 , the Company was required to maintain a $5.0 million restricted cash reserve as part of the Amended PNC Credit Facility. This balance is presented as long-term restricted cash within the accompanying condensed consolidated balance sheet as of September 30, 2019 .

DESCRIPTION OF BUSINESS AND S_2

DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Sep. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying interim unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information. All intercompany balances and transactions have been eliminated. Certain information and footnote disclosures normally included in annual financial statements have been condensed or omitted. The Company believes the disclosures made are adequate to prevent the information presented from being misleading. However, the accompanying unaudited condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included within the Company’s most recent Annual Report on Form 10-K filed with SEC on August 6, 2019, which includes the audited and consolidated financial statements for the Company’s fiscal years ended March 31, 2019, March 31, 2018 and March 31, 2017 (restated). The accompanying unaudited condensed consolidated financial statements reflect all adjustments (consisting only of normal and recurring items) necessary to present fairly the Company’s financial position as of September 30, 2019 and the results of operations, cash flows and changes in stockholders’ deficit for the three and six months ended September 30, 2019 and 2018. Interim results are not necessarily indicative of full year performance because of the impact of seasonal and short-term variations.
Use of Estimates	Use of Estimates The preparation of these condensed consolidated financial statements, in conformity with GAAP, requires management to make estimates and assumptions. Certain accounting estimates involve significant judgments, assumptions and estimates by management that have a material impact on the carrying value of certain assets and liabilities, disclosures of contingent assets and liabilities and the reported amounts of revenues and expenses during the reporting period, which management considers to be critical accounting estimates. The judgments, assumptions and estimates used by management are based on historical experience, management’s experience and other factors, which are believed to be reasonable under the circumstances. Because of the nature of the judgments and assumptions made by management, actual results could differ materially from these judgments and estimates, which could have a material impact on the carrying values of the Company’s assets and liabilities and the results of operations.
Fair Value Measurements	Fair Value Measurements The fair value of financial instruments is based on estimates using quoted market prices, discounted cash flows or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and the estimated timing and amount of future cash flows. Therefore, the estimates of fair value may differ substantially from amounts that ultimately may be realized or paid at settlement or maturity of the financial instruments, and those differences may be material. Accordingly, the aggregate fair value amounts presented may not represent the value as reported by the institution holding the instrument. The Company uses the three-tier hierarchy established by U.S. GAAP, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value to determine the fair value of its financial instruments. This hierarchy indicates to what extent the inputs used in the Company’s calculations are observable in the market. The different levels of the hierarchy are defined as follows: Level 1: Unadjusted quoted prices in active markets for identical assets or liabilities. Level 2: Other than quoted prices that are observable in the market for the asset or liability, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or model-derived valuations 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 are unobservable and reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In February 2018, the FASB issued ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”). ASU 2018-20 allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. The Company did not elect to reclassify the income tax effects of the Tax Cuts and Jobs Act from accumulated other comprehensive income to accumulated deficit. In June 2018, the FASB issued ASU No. 2018-07, Share-based Payments to Non-Employees (“ASU 2018-07”), to simplify the accounting for share- based payments to non-employees by aligning it with the accounting for share-based payments to employees, with certain exceptions. For public business entities, this ASU is effective for annual reporting periods beginning after December 15, 2018, including interim periods within that fiscal year. The adoption of ASU 2018-07 did not impact the Company’s condensed consolidated financial statements and related disclosures. Recently Issued Accounting Pronouncements Not Yet Adopted In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework — Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). ASU 2018-13 eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of the FASB’s disclosure framework project. For all entities, this ASU is effective for annual and interim reporting periods beginning after December 15, 2019. Certain amendments must be applied prospectively while others are to be applied on a retrospective basis to all periods presented. The adoption of this ASU will not have an effect on the condensed consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-15, Implementation Costs Incurred in Cloud Computing Arrangements (“ASU 2018-15”), which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal-use software license). For public entities, ASU 2018-15 is effective for annual reporting periods beginning after December 15, 2019, and interim periods within that fiscal year. The amendments should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company is evaluating the impact this ASU will have on its consolidated financial statements and related disclosures. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU-2016-13”). ASU 2016-13 will change how entities account for credit impairment for trade and other receivables, as well as for certain financial assets and other instruments. ASU 2016-13 will replace the current “incurred loss” model with an “expected loss” model. Under the “incurred loss” model, a loss (or allowance) is recognized only when an event has occurred (such as a payment delinquency) that causes the entity to believe that it is probable that a loss has occurred (i.e., that it has been “incurred”). Under the “expected loss” model, a loss (or allowance) is recognized upon initial recognition of the asset that reflects all future events that leads to a loss being realized, regardless of whether it is probable that the future event will occur. The “incurred loss” model considers past events and current conditions, while the “expected loss” model includes expectations for the future which have yet to occur. ASU 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses , was issued in November 2018 and excludes operating leases from the new guidance. The standard will require entities to record a cumulative-effect adjustment to the balance sheet as of the beginning of the first reporting period in which the guidance is effective. For public entities, ASU 2016-13 is effective for fiscal years beginning after December 15, 2019. The Company is currently evaluating the potential impact that ASU 2016-13 may have on the timing of recognition and measurement of future provisions for expected losses on its accounts receivable.

REVENUE (Tables)

REVENUE (Tables)	6 Months Ended
	Sep. 30, 2019
Revenue from Contract with Customer [Abstract]
Schedule of Revenue from External Customers by Geographic Areas	In the following table, revenue is disaggregated by major product offering and geographies (in thousands): Three Months Ended Six Months Ended September 30, 2019 September 30, 2018 September 30, 2019 September 30, 2018 Americas Primary storage systems $ 17,327 $ 9,710 $ 27,340 $ 18,889 Secondary storage systems 15,029 9,731 38,726 28,743 Device and media 9,348 7,629 18,019 17,912 Service 20,366 21,552 41,936 43,241 Total revenue 62,070 48,622 126,021 108,785 EMEA Primary storage systems 3,388 5,628 7,468 10,943 Secondary storage systems 8,079 5,640 17,734 16,648 Device and media 6,640 4,422 10,173 10,376 Service 9,828 9,215 19,051 18,489 Total revenue 27,935 24,905 54,426 56,456 APAC Primary storage systems 3,203 3,179 4,655 4,638 Secondary storage systems 3,078 3,185 6,515 6,209 Device and media 2,038 2,498 3,296 4,133 Service 2,207 2,585 4,794 5,186 Total revenue 10,526 11,447 19,260 20,166 Consolidated Primary storage systems 23,918 18,517 39,463 34,470 Secondary storage systems 26,186 18,556 62,975 51,600 Device and media 18,026 14,549 31,488 32,421 Service 32,401 33,352 65,781 66,916 Royalty* 5,258 4,938 11,712 12,017 Total revenue $ 105,789 $ 89,912 $ 211,419 $ 197,424 * Royalty revenue is not allocable to geographic regions.
Schedule of Deferred Revenue, by Arrangement	The following table presents the Company’s contract liabilities and certain information related to this balance as of and for the six months ended September 30, 2019 (in thousands): September 30, 2019 Contract liabilities (deferred revenue) $ 111,559 Revenue recognized in the period from amounts included in contract liabilities at the beginning of the period $ 51,850
Schedule of Remaining Performance Obligation	Remaining performance obligation consisted of the following (in thousands): Current Non-Current Total As of September 30, 2019 $ 92,610 $ 45,896 $ 138,506

FAIR VALUE OF FINANCIAL INSTR_2

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	6 Months Ended
	Sep. 30, 2019
Fair Value Disclosures [Abstract]
Schedule Of Changes In The Fair Value Of Level 3 Valuation For Warrant Liability	The table presented below is a summary of changes in the fair value of the Company’s Level 3 valuations for the warrant liability for the six months ended September 30, 2018 (in thousands): Warrant liability As of March 31, 2018 $ 272 Issuances 2,784 Settlements (176 ) Changes in fair value 164 As of September 30, 2018 $ 3,044

INVENTORIES (Tables)

INVENTORIES (Tables)	6 Months Ended
	Sep. 30, 2019
Balance Sheet Related Disclosures [Abstract]
Schedule of Manufacturing Inventories	: Manufacturing inventories September 30, 2019 March 31, 2019 Finished goods: Manufactured finished goods $ 10,015 $ 8,160 Distributor inventory 1,445 3,345 Total finished goods 11,460 11,505 Work in progress 1,084 107 Raw materials 9,488 6,828 Total manufacturing inventories $ 22,032 $ 18,440
Schedule of Service Part Inventories	Service parts inventories September 30, 2019 March 31, 2019 Finished goods $ 14,146 $ 13,437 Component parts 4,699 5,633 Total service inventories $ 18,845 $ 19,070

LEASES (Tables)

LEASES (Tables)	6 Months Ended
	Sep. 30, 2019
Leases [Abstract]
Lease, Cost	These variable lease costs are recognized as a variable lease expense when incurred. Components of lease cost were as follows (in thousands): Lease Cost Three Months Ended September 30, 2019 Six Months Ended September 30, 2019 Operating lease cost $ 1,304 $ 2,576 Variable lease cost 147 212 Short-term lease cost 29 31 Total lease cost $ 1,480 $ 2,819
Lessee, Operating Lease, Liability, Maturity	Maturity of Lease Liabilities Operating Leases Six months ended March 31, 2020 $ 2,286 For the fiscal year ended March 31, 2021 4,233 2022 3,388 2023 2,366 2024 2,127 Thereafter 3,870 Total lease payments $ 18,270 Less: Imputed interest (5,218 ) Present value of lease liabilities $ 13,052
Assets and Liabilities, Lessee	Lease Term and Discount Rate September 30, 2019 Weighted average remaining operating lease term (years) 4.85 Weighted average discount rate for operating leases 14.03 %

RESTRUCTURING CHARGES (Tables)

RESTRUCTURING CHARGES (Tables)	6 Months Ended
	Sep. 30, 2019
Restructuring and Related Activities [Abstract]
Activity for accrued restructuring charges	The following table summarizes the restructuring activities for the six months ended September 30, 2019 and 2018 (in thousands): Severance and Benefits Facilities Total Balance as of March 31, 2019 $ — $ 2,876 $ 2,876 Restructuring costs — 826 826 Adjustments to prior estimates — 258 258 Cash payments — (3,661 ) (3,661 ) Balance as of September 30, 2019 $ — $ 299 299 Balance as of March 31, 2018 $ 1,430 $ 4,389 $ 5,819 Restructuring costs 3,607 48 3,655 Adjustments to prior estimates — 546 546 Cash payments (4,592 ) (991 ) (5,583 ) Balance as of September 30, 2018 $ 445 $ 3,992 $ 4,437

NET LOSS PER SHARE (Tables)

NET LOSS PER SHARE (Tables)	6 Months Ended
	Sep. 30, 2019
Earnings Per Share [Abstract]
Schedule of antidilutive securities excluded from computation of diluted net income (loss) per share	The following outstanding stock-based instruments which are comprised of performance share units, restricted stock units, stock options and warrants were excluded from the calculation of diluted net loss per share because their effect would have been anti-dilutive (in thousands): Three Months Ended Six Months Ended September 30, 2019 September 30, 2018 September 30, 2019 September 30, 2018 8,625 2,121 6,860 1,694

DEBT (Tables)

DEBT (Tables)	6 Months Ended
	Sep. 30, 2019
Debt Disclosure [Abstract]
Schedule of debt	The Company’s long-term debt consisted of the following (in thousands): As of September 30, 2019 March 31, 2019 Senior Secured Term Loan $ 163,763 $ 164,588 Amended PNC Credit Facility 6,976 — Less: current portion (1,650 ) (1,650 ) Less: unamortized debt issuance costs (1) (15,489 ) (17,317 ) Long-term debt, net $ 153,600 $ 145,621 (1) The unamortized debt issuance costs related to the Senior Secured Term Loan are presented as a reduction of the carrying amount of the corresponding debt balance on the accompanying condensed consolidated balance sheets. Unamortized debt issuance costs related to the Amended PNC Credit Facility are presented within other assets on the accompanying condensed consolidated balance sheets.

REVENUE Narrative (Details)

REVENUE Narrative (Details)	3 Months Ended	6 Months Ended
	Sep. 30, 2019	Sep. 30, 2019segment
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Number of reportable segments		1
Percentage of revenue for which commitments are to be honored	70.00%	70.00%
Minimum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, timing of satisfaction	13 months
Maximum
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Remaining performance obligation, timing of satisfaction	60 months

REVENUE Disaggregation of Reven

REVENUE Disaggregation of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Disaggregation of Revenue [Line Items]
Revenue:	$ 105,789	$ 89,912	$ 211,419	$ 197,424
Americas
Disaggregation of Revenue [Line Items]
Revenue:	62,070	48,622	126,021	108,785
EMEA
Disaggregation of Revenue [Line Items]
Revenue:	27,935	24,905	54,426	56,456
APAC
Disaggregation of Revenue [Line Items]
Revenue:	10,526	11,447	19,260	20,166
Primary storage systems
Disaggregation of Revenue [Line Items]
Revenue:	23,918	18,517	39,463	34,470
Primary storage systems | Americas
Disaggregation of Revenue [Line Items]
Revenue:	17,327	9,710	27,340	18,889
Primary storage systems | EMEA
Disaggregation of Revenue [Line Items]
Revenue:	3,388	5,628	7,468	10,943
Primary storage systems | APAC
Disaggregation of Revenue [Line Items]
Revenue:	3,203	3,179	4,655	4,638
Secondary storage systems
Disaggregation of Revenue [Line Items]
Revenue:	26,186	18,556	62,975	51,600
Secondary storage systems | Americas
Disaggregation of Revenue [Line Items]
Revenue:	15,029	9,731	38,726	28,743
Secondary storage systems | EMEA
Disaggregation of Revenue [Line Items]
Revenue:	8,079	5,640	17,734	16,648
Secondary storage systems | APAC
Disaggregation of Revenue [Line Items]
Revenue:	3,078	3,185	6,515	6,209
Device and media
Disaggregation of Revenue [Line Items]
Revenue:	18,026	14,549	31,488	32,421
Device and media | Americas
Disaggregation of Revenue [Line Items]
Revenue:	9,348	7,629	18,019	17,912
Device and media | EMEA
Disaggregation of Revenue [Line Items]
Revenue:	6,640	4,422	10,173	10,376
Device and media | APAC
Disaggregation of Revenue [Line Items]
Revenue:	2,038	2,498	3,296	4,133
Service
Disaggregation of Revenue [Line Items]
Revenue:	32,401	33,352	65,781	66,916
Service | Americas
Disaggregation of Revenue [Line Items]
Revenue:	20,366	21,552	41,936	43,241
Service | EMEA
Disaggregation of Revenue [Line Items]
Revenue:	9,828	9,215	19,051	18,489
Service | APAC
Disaggregation of Revenue [Line Items]
Revenue:	2,207	2,585	4,794	5,186
Royalty
Disaggregation of Revenue [Line Items]
Revenue:	$ 5,258	$ 4,938	$ 11,712	$ 12,017

REVENUE Certain Information Rel

REVENUE Certain Information Related to Contract Liabilities (Details) $ in Thousands	6 Months Ended
	Sep. 30, 2019USD ($)
Revenue from Contract with Customer [Abstract]
Contract liabilities (deferred revenue)	$ 111,559
Revenue recognized in the period from amounts included in contract liabilities at the beginning of the period	$ 51,850

REVENUE Remaining Performance O

REVENUE Remaining Performance Obligation (Details) $ in Thousands	Sep. 30, 2019USD ($)
Revenue from Contract with Customer [Abstract]
Remaining Performance Obligation, Current	$ 92,610
Remaining Performance Obligation, Noncurrent	45,896
Revenue, Remaining Performance Obligation, Amount	$ 138,506

FAIR VALUE OF FINANCIAL INSTR_3

FAIR VALUE OF FINANCIAL INSTRUMENTS Schedule of Valuations for the Warrant Liability (Details) $ in Thousands	6 Months Ended
	Sep. 30, 2018USD ($)
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	$ 272
Issuances	2,784
Settlements	(176)
Changes in fair value	164
Ending balance	$ 3,044

FAIR VALUE OF FINANCIAL INSTR_4

FAIR VALUE OF FINANCIAL INSTRUMENTS Narrative (Details) - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Sep. 30, 2019	Mar. 31, 2019
Level 2 fair value measurements
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Estimated fair value of debt	$ 170.8	$ 160.3

INVENTORIES Schedule of Manufac

INVENTORIES Schedule of Manufacturing Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Inventories
Finished goods	$ 11,460	$ 11,505
Work in progress	1,084	107
Raw materials	9,488	6,828
Total manufacturing inventories	22,032	18,440
Manufactured finished goods
Inventories
Finished goods	10,015	8,160
Distributor inventory
Inventories
Finished goods	$ 1,445	$ 3,345

INVENTORIES Schedule of Service

INVENTORIES Schedule of Service Parts Inventories (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Balance Sheet Related Disclosures [Abstract]
Finished goods	$ 14,146	$ 13,437
Component parts	4,699	5,633
Total service inventories	$ 18,845	$ 19,070

LEASES (Details)

LEASES (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2019	Mar. 31, 2019
Lessee, Lease, Description [Line Items]
Weighted average remaining operating lease term (years)	4 years 10 months 6 days
Right-of-use assets, net	$ 11,933	$ 0
Operating cash flows from operating leases	$ 1,300
Minimum
Lessee, Lease, Description [Line Items]
Weighted average remaining operating lease term (years)	1 year
Maximum
Lessee, Lease, Description [Line Items]
Weighted average remaining operating lease term (years)	8 years

LEASES Lease Cost (Details)

LEASES Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Sep. 30, 2019	Sep. 30, 2019
Lessee, Lease, Description [Line Items]
Total lease cost	$ 1,480	$ 2,819
Cost of revenue
Lessee, Lease, Description [Line Items]
Operating lease cost	1,304	2,576
Operating expenses
Lessee, Lease, Description [Line Items]
Variable lease cost	147	212
Variable lease cost	$ 29	$ 31

LEASES Schedule of Lessee Opera

LEASES Schedule of Lessee Operating Lease Liability Maturity (Details) $ in Thousands	Sep. 30, 2019USD ($)
Leases [Abstract]
Six months ended March 31, 2020	$ 2,286
2021	4,233
2022	3,388
2023	2,366
2024	2,127
Thereafter	3,870
Total lease payments	18,270
Less: Imputed interest	(5,218)
Operating lease liabilities	$ 13,052

LEASES Supplemental Balance She

LEASES Supplemental Balance Sheet Information (Details)	Sep. 30, 2019
Leases [Abstract]
Weighted average remaining operating lease term (years)	4 years 10 months 6 days
Weighted average discount rate for operating leases	14.03%

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) $ in Millions	Feb. 20, 2019USD ($)	May 31, 2018USD ($)shareholderlawsuit	Sep. 30, 2019USD ($)
Loss Contingencies [Line Items]
Remaining purchase commitments			$ 21.5
Number of shareholders | shareholder		2
Number of lawsuits | lawsuit		3
Settled Litigation
Loss Contingencies [Line Items]
Loss contingency, value of damages paid	$ 8.2	$ 0.8

RESTRUCTURING CHARGES - Narrati

RESTRUCTURING CHARGES - Narrative (Details) $ in Thousands	3 Months Ended	6 Months Ended
	Sep. 30, 2018USD ($)position	Sep. 30, 2018USD ($)position
Restructuring and Related Activities [Abstract]
Number of positions eliminated | position	66	66
Severance costs | $	$ 3,600	$ 3,607

RESTRUCTURING CHARGES - Summary

RESTRUCTURING CHARGES - Summary of Restructuring Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Restructuring Reserve [Roll Forward]
Beginning balance			$ 2,876	$ 5,819
Restructuring charges	$ 821	$ 294	1,084	4,201
Cash payments			(3,661)	(5,583)
Ending balance	299	4,437	299	4,437
Severance and Benefits
Restructuring Reserve [Roll Forward]
Beginning balance			0	1,430
Cash payments			0	(4,592)
Ending balance	0	445	0	445
Facilities
Restructuring Reserve [Roll Forward]
Beginning balance			2,876	4,389
Cash payments			(3,661)	(991)
Ending balance	$ 299	$ 3,992	299	3,992
Restructuring Costs
Restructuring Reserve [Roll Forward]
Restructuring charges			826	3,655
Restructuring Costs | Severance and Benefits
Restructuring Reserve [Roll Forward]
Restructuring charges			0	3,607
Restructuring Costs | Facilities
Restructuring Reserve [Roll Forward]
Restructuring charges			826	48
Adjustments to Prior Estimates
Restructuring Reserve [Roll Forward]
Restructuring charges			258	546
Adjustments to Prior Estimates | Severance and Benefits
Restructuring Reserve [Roll Forward]
Restructuring charges			0	0
Adjustments to Prior Estimates | Facilities
Restructuring Reserve [Roll Forward]
Restructuring charges			$ 258	$ 546

NET LOSS PER SHARE - Anti-dilut

NET LOSS PER SHARE - Anti-dilutive shares excluded from the computations of diluted net income (loss) (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Earnings Per Share [Abstract]
Antidilutive shares excluded	8,625	2,121	6,860	1,694

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Income Tax Contingency [Line Items]
Effective income tax rate percentage	(11.70%)	(4.70%)	(10.50%)	(1.40%)
Unrecognized tax benefits	$ 118		$ 118
Unrecognized tax benefits that would impact effective tax rate	99.8		99.8
Accrued interest and penalties related to unrecognized tax benefits	1.1		1.1
Increase in unrecognized tax benefits, reasonably possible	11.2		11.2
Deferred Tax Asset
Income Tax Contingency [Line Items]
Unrecognized tax benefits	112		112
Other Noncurrent Liabilities
Income Tax Contingency [Line Items]
Unrecognized tax benefits	$ 6		$ 6

DEBT - Schedule of Debt (Detail

DEBT - Schedule of Debt (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Mar. 31, 2019
Debt Instrument [Line Items]
Less: current portion	$ (1,650)	$ (1,650)
Less: unamortized debt issuance costs	(15,489)	(17,317)
Long-term debt, net	153,600	145,621
Senior Secured Term Loan
Debt Instrument [Line Items]
Long-term debt, gross	163,763	164,588
Amended PNC Credit Facility
Debt Instrument [Line Items]
Long-term debt, gross	$ 6,976	$ 0

DEBT - Narrative (Details)

DEBT - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 30, 2019	Mar. 31, 2019	Sep. 30, 2018
Debt Instrument [Line Items]
Amount of draw down on credit facility	$ 7,000
Restricted cash, long-term	$ 5,000	$ 5,000	$ 0
Senior Secured Term Loan
Debt Instrument [Line Items]
Stated interest rate	12.10%
Amended PNC Credit Facility
Debt Instrument [Line Items]
Stated interest rate	8.00%
Excess availability under revolving credit agreement	$ 14,800