2 unchanged sentences
Current market events have not required us to materially modify our financial risk management strategies with respect to our exposures to foreign currency exchange risk or interest rate risk.
−Removed: Foreign Currency Transaction Risk
+Added: Foreign Currency
+Added: Transaction Risk
As we operate globally, we are exposed to the risk that our financial condition, results of operations and cash flows could be impacted by changes in foreign currency exchange rates.
−Removed: During fiscal 2025 and 2024, we maintained a series of foreign currency forward contracts to hedge a portion of our projected operating expenses in these primary currency exposures, namely the British Pound Sterling, Euro, Indian Rupee and Philippine Peso.
+Added: During fiscal 2026, we maintained a series of foreign currency forward contracts to hedge a portion of our projected operating expenses in these primary currency exposures, namely the British Pound Sterling, Euro, Indian Rupee and Philippine Peso.
As of August 31, 2026, the hedge maturity periods of our outstanding foreign currency forward contracts range from the first quarter of fiscal 2027 through the fourth quarter of fiscal 2027.
−Removed: Based on the operating income for fiscal 2025, comparing the average quarterly foreign currency exchange rates for fiscal 2025 to the respective rates for fiscal 2024, net of hedge activity, resulted in an increase in operating income of $0.3 million.
+Added: Based on the operating income for fiscal 2026, comparing the average foreign currency exchange rates for fiscal 2026 to the respective rates for fiscal 2025 and the impact of the change in hedge activity, resulted in a decrease in operating income of $2.1 million.
We utilize cash flow hedges to manage risk and not for speculative or trading purposes.
5 unchanged sentences
dollar over time and does not account for our forward contracts that we utilize to mitigate fluctuations in exchange rates.
−Removed: Foreign Currency Translation Risk
+Added: Translation Risk
We are exposed to foreign currency risk due to the translation of our results from certain international operations into U.S.
5 unchanged sentences
Foreign currency translation adjustment gains (losses)
−Removed: Interest Rate Risk
+Added: $ (5,958) $ 15,565
Cash and Cash Equivalents and Investments
+Added: Interest Rate Risk
As of August 31, 2026, we had Cash and cash equivalents of $233.3 million and Investments of $32.0 million.
−Removed: Our Cash and cash equivalents consist of cash and highly liquid investments including demand deposits and money market funds and our Investments consist of mutual funds.
−Removed: We are exposed to interest rate risk through fluctuations of interest rates on these investments.
+Added: Our cash equivalents primarily consist of money market funds and our Investments consist of mutual funds.
+Added: We are exposed to interest rate risk through fluctuations in interest rates on our money market funds and mutual funds.
As we have a restrictive investment policy, our financial exposure to fluctuations in interest rates is expected to remain low.
1 unchanged sentence
Note 2, Summary of Significant Accounting Policies in the Notes to the Consolidated Financial Statements included in this Annual Report on Form 10-K for more information on our Cash and cash equivalents.
−Removed: 2025 Credit Agreement
−Removed: As of August 31, 2025, our outstanding floating rate debt included $375.0 million under the 2025 Credit Agreement.
−Removed: As of August 31, 2025, the outstanding borrowings under the 2025 Credit Agreement bore interest at a rate equal to the applicable
−Removed: one-month Term SOFR plus a 0.975% spread (comprised of a 0.875% interest rate margin based on a debt leverage pricing grid plus a 0.1% credit spread adjustment).
−Removed: To mitigate our exposure to interest rate volatility due to changes in SOFR, we entered into the 2025 Swap Agreement on April 24, 2025, to hedge a portion of our outstanding floating SOFR debt with a fixed interest rate of 4.086%.
−Removed: As of August 31, 2025, the 2025 Swap Agreement has a notional amount of $100.0 million and matures on February 28, 2026.
+Added: We are exposed to credit risk for our cash, cash equivalents and restricted cash held in financial institutions in the event of a default, to the extent that such amounts are in excess of applicable insurance limits;
+Added: however, we do not believe our concentration of cash, cash equivalents and restricted cash presents a significant credit risk as the counterparties to the instruments consist of multiple high-quality, credit-worthy financial institutions.
+Added: Interest Rate Risk
Our Senior Notes have a fixed interest rate and are not subject to interest rate change.
−Removed: As such, our interest rate exposure as of August 31, 2025 is limited to the outstanding principal balance of our floating rate debt under our 2025 Credit Facilities in excess of the 2025 Swap Agreement.
−Removed: As of August 31, 2025, our interest rate exposure equals the Term SOFR applied to $275.0 million, our outstanding floating rate debt, net of our 2025 Swap Agreement.
−Removed: Assuming the principal balance of our outstanding floating rate debt, net of the 2025 Swap Agreement, remained at $275.0 million, a hypothetical 25 basis point change (up or down) in the one-month SOFR would result in an approximate $1 million change to our annual interest expense as of August 31, 2025.
+Added: As such, our interest rate exposure is limited to the outstanding balance of our floating rate debt under our 2025 Credit Facilities.
+Added: As of August 31, 2026, this outstanding balance was $375.0 million, which bore interest at a rate equal to the applicable one-month Term SOFR plus a 0.875% interest rate margin, based on a debt leverage pricing grid.
+Added: Assuming the principal balance of our outstanding floating rate debt remained at $375.0 million, a hypothetical 25 basis point change (up or down) in the one-month SOFR would result in an approximate $1 million change to our annual interest expense.
Refer to Part II, Item 8.
−Removed: Note 11, Debt in the Notes to the Consolidated Financial Statements included in this Annual Report on Form 10-K for more information on our swap agreements and outstanding borrowings.
+Added: Note 10, Debt in the Notes to the Consolidated Financial Statements included in this Annual Report on Form 10-K for more information on our outstanding borrowings.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.