Leases

12 Months Ended

Dec. 31, 2025

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, 2025, 2024 and 2023:


		Year Ended December 31,
Lease cost:	Classification	2025		2024		2023
		(In thousands)
Operating lease cost - office space	Occupancy	$	11,325	$	11,034	$	12,861
Operating lease cost - equipment	Technology and communications		390		390		98
Variable lease costs	Occupancy		3,379		3,327		237
Total operating lease cost		$	15,094	$	14,751	$	13,196

Finance lease expense was $0.1 million for each of the years ended December 31, 2025 and 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, 2025			December 31, 2024
Weighted average remaining lease term (in years) - operating leases		8.1			8.8
Weighted average discount rate - operating leases		6.1	%		6.1	%
Weighted average remaining lease term (in years) - finance leases		—			0.8
Weighted average discount rate - finance leases		—			7.2	%

The following table presents the maturity of lease liabilities as of December 31, 2025:


	Operating Leases
	(In thousands)
2026	$	12,671
2027		9,555
2028		8,732
2029		9,006
2030		9,039
2031 and thereafter		33,186
Total lease payments		82,189
Less: imputed interest		17,251
Present value of lease liabilities	$	64,938