Quarterly report pursuant to Section 13 or 15(d)

Intangible Assets

Intangible Assets

6 Months Ended

Sep. 30, 2018

7. Intangible Assets

Intangible assets consisted of the following as of September 30, 2018 and March 31, 2018 (in thousands):


	September 30, 2018
	Weighted
	Average	Intangible
	Amortization	Assets,		Accumulated		Intangible
	Period	Gross		Amortization		Assets, Net
Manufacturing license	17 years	$	3,700	$	3,700	$	—
Technology	10 years		2,240		1,941		299
Trade name & parts, service and TA100 customer relationships	1.2 to 5 years		1,766		1,766		—
Total		$	7,706	$	7,407	$	299


	March 31, 2018
	Weighted
	Average	Intangible
	Amortization	Assets,		Accumulated		Intangible
	Period	Gross		Amortization		Assets, Net
Manufacturing license	17 years	$	3,700	$	3,700	$	—
Technology	10 years		2,240		1,829		411
Trade name & parts, service and TA100 customer relationships	1.2 to 5 years		1,766		1,766		—
Total		$	7,706	$	7,295	$	411

Amortization expense for the intangible assets was $0.1 million for each of the three and six months ended September 30, 2018 and 2017, respectively.

Expected future amortization expense of intangible assets as of September 30, 2018 is as follows (in thousands):


	Amortization
Year Ending March 31,	Expense
2019 (remainder of fiscal year)		112
2020		187
Total expected future amortization	$	299

The manufacturing license provides the Company with the ability to manufacture recuperator cores previously purchased from Solar Turbines Incorporated (“Solar”). The Company is required to pay a per-unit royalty fee over a seventeen-year period for cores manufactured and sold by the Company using the technology. Royalties of approximately $10,000 and $7,200 were earned by Solar for the three months ended September 30, 2018 and 2017, respectively. Royalties of approximately $17,100 and $13,700 were earned by Solar for the six months ended September 30, 2018 and 2017, respectively. Earned royalties of approximately $10,000 and $8,000 were unpaid as of September 30, 2018 and March 31, 2018, respectively, and are included in accounts payable and accrued expenses in the accompanying condensed consolidated balance sheets.