Quarterly report pursuant to Section 13 or 15(d)

Leases

v3.22.0.1
Leases
6 Months Ended
Dec. 31, 2021
Leases [Abstract]  
Leases
7. Leases
The Company has entered into an operating lease for office space under an agreement that expires in 2022. The lease requires the Company to pay utilities, insurance, taxes and other operating expenses. The Company’s lease does not contain any residual value guarantees or material restrictive covenants. During August 2021, the Company extended the lease through June 2025.
The tables below show the changes during the three months ended December 31, 2021:
 
(US$’000)
  
Operating
lease
right-of-

use assets
 
Balance at July 1, 2021
   $ 202  
Re-measurement
during the period
     794  
Amortization of right of use asset
     (108
    
 
 
 
Operating lease
right-of-use
asset at December 31, 2021
   $ 888  
    
 
 
 
(US$’000)
  
Operating
lease
liabilities
 
Balance at July 1, 2021
   $ 213  
Re-measurement
during the period
     794  
Principal payments on operating lease liabilities
     (96
    
 
 
 
Operating lease liabilities at December 31, 2021
     911  
Less:
non-current
portion
     (698
    
 
 
 
Current portion at December 31, 2021
   $ 213  
    
 
 
 
As of December 31, 2021, th
e
 Company’s operating lease has a remaining lease term of 3.45 years and a discount rate of 4.67%. The maturities of the operating lease liabilities are as follows:
 
(US$’000)
   December
31,
2021
 
2022
     251  
2023
     290  
2024
     300  
2025
     152  
    
 
 
 
Total operating lease payments
     993  
Less imputed interest
     (82
    
 
 
 
Present value of operating lease liabilities
   $ 911  
    
 
 
 
The Company recorded lease liabilities and
right-of-use
lease assets for the lease based on the present value of lease payments over the expected lease term, discounted using the Company’s incremental borrowing rate. Rent expense was $0.1 million for the three and six months ended December 31, 2021 and 2020, respectively, and $0.1 million, respectively, for the same periods in 2020.