Leases

12 Months Ended

Dec. 31, 2024

14. Leases

The Company has operating leases for corporate offices with initial lease terms ranging from one-year to 15 years. Certain leases contain options to extend the initial term at the Company’s discretion. The Company accounts for the option to extend when it is reasonably certain of being exercised. The Company’s lease agreements do not contain any material residual value guarantees, restrictions or covenants. The Company also has operating and finance leases for equipment with initial lease terms ranging from one-year to 5 years.

The following table presents the components of operating lease expense for the years ended December 31, 2024, 2023 and 2022:


		Year Ended December 31,
Lease cost:	Classification	2024		2023		2022
		(In thousands)
Operating lease cost - office space	Occupancy	$	11,034	$	12,861	$	13,015
Operating lease cost for subleased/assigned properties	Other, net		—		—		469
Operating lease cost - equipment	Technology and communications		390		98		—
Variable lease costs	Occupancy		3,327		237		96
Sublease income	Other, net		—		—		(405	)
Total operating lease cost		$	14,751	$	13,196	$	13,175

Finance lease expense was $0.1 million for the year ended December 31, 2024.

The Company determines whether an arrangement is, or includes, a lease at contract inception. Lease right-of-use assets and liabilities are recognized at commencement date and are initially measured based on the present value of lease payments over the defined lease term. As the Company’s leases do not provide an implicit rate, the Company used its incremental borrowing rate based on the information available at the adoption date in determining the present value of lease payments.

The weighted average remaining lease term and weighted average discount rate are as follows:


	As of
Lease Term and Discount Rate	December 31, 2024			December 31, 2023
Weighted average remaining lease term (in years) - operating leases		8.8			9.6
Weighted average discount rate - operating leases		6.1	%		6.0	%
Weighted average remaining lease term (in years) - finance leases		0.8			1.8
Weighted average discount rate - finance leases		7.2	%		7.2	%

The following table presents the maturity of lease liabilities as of December 31, 2024:


	Operating Leases		Finance Leases
	(In thousands)
2025	$	12,699		88
2026		12,115		—
2027		9,286		—
2028		8,675		—
2029		8,992		—
2030 and thereafter		42,186		—
Total lease payments		93,953		88
Less: imputed interest		21,299		3
Present value of lease liabilities	$	72,654	$	85