Quarterly report pursuant to Section 13 or 15(d)

Leases

v3.22.2.2
Leases
3 Months Ended
Sep. 30, 2022
Leases [Abstract]  
Leases
8. Leases
The Company has entered into an operating lease for office space under an agreement that expires in 2025. 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.
The tables below show the changes during the three months ended September 30, 2022:
 
(US$’000)    Operating
lease right-
of-

use assets
 
Balance at July 1, 2022
   $ 771  
Amortization of right of use asset
     (60
    
 
 
 
Operating lease
right-of-use
asset at September 30, 2022
   $ 711  
    
 
 
 
 
(US$’000)    Operating
lease
liabilities
 
Balance at July 1, 2022
   $ 811  
Principal payments on operating lease liabilities
     (62
Operating lease liabilities at September 30, 2022
     749  
    
 
 
 
Less:
non-current
portion
     (491 )
    
 
 
 
Current portion at September 30, 2022
   $ 258  
    
 
 
 
As of September 30, 2022, the Company’s operating lease has a remaining lease term of 2.71 years and a discount rate of 4.67%. The maturities of the operating lease liabilities are as follows:
 
(US$’000)    September 30,
2022
 
2023
     214  
2024
     295  
2025
     291  
    
 
 
 
Total operating lease payments
     800  
Less imputed interest
     (51
    
 
 
 
Present value of operating lease liabilities
   $ 749  
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 and $0.1 million for the three months ended September 30, 2022 and September 30, 2021, respectively.