Quarterly report pursuant to Section 13 or 15(d)

Inventories (Notes)

Inventories (Notes)

9 Months Ended

Dec. 31, 2019

Inventories are stated at the lower of cost, on a first-in, first-out basis, or net realizable value. The components of net inventories are as follows:



(in thousands)	December 31, 2019		March 31, 2019
Raw materials	$	2,263	$	3,445
Finished goods	5,359		6,356
Total inventories	$	7,622	$	9,801

The Company records provisions against inventory for excess and obsolete inventory, which are determined based on the Company's best estimates of future demand, product lifecycle status and product development plans. These provisions reduce the inventory cost basis. The Company recorded provision for excess and obsolete inventory with a charge of $2.0 million in the nine months ended December 31, 2019. The charges for the provision for excess and obsolete inventory for the three months ended December 31, 2019, and three and nine months ended December 31, 2018, were negligible. These costs are presented in Cost of revenue on the Condensed Consolidated Statements of Operations. The Company believes the estimates and assumptions underlying its provisions are reasonable. However, there is risk that additional charges may be necessary if future demand is less than current forecasts due to rapid technological changes, uncertain customer requirements, or other factors.