Quarterly report pursuant to Section 13 or 15(d)

Inventories (Notes)

Inventories (Notes)

6 Months Ended

Sep. 30, 2019

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



(in thousands)	September 30, 2019		March 31, 2019
Raw materials	$	2,466	$	3,445
Finished goods	5,852		6,356
Total inventories	$	8,318	$	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 provisions for excess and obsolete inventory with charges of $1.3 million and $2.0 million in the three and six months ended September 30, 2019, compared to negligible excess and obsolete inventory charges in the three and six months ended September 30, 2018. 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.