Note 5 - Leases

6 Months Ended

Jun. 30, 2023

Notes to Financial Statements

Leases Disclosure [Text Block]

5. LEASES

Lessee

The Company has operating leases primarily for administrative, sales and marketing offices, manufacturing operations and research and development facilities, employee housing units and certain equipment. These leases have remaining lease terms from less than one year to eight years. Some of these leases include options to renew the lease term for up to two years or on a month-to-month basis. The Company does not have finance lease arrangements.

The following table summarizes the balances of operating lease right-of-use (“ROU”) assets and liabilities (in thousands):

		June 30,		December 31,
	Financial Statement Line Item	2023		2022
Operating lease ROU assets	Other long-term assets	$	7,167	$	4,288
Operating lease liabilities	Other accrued liabilities	$	1,947	$	2,133
	Other long-term liabilities	$	4,634	$	1,664

The following tables summarize certain information related to the leases (in thousands, except percentages):

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Lease costs:
Operating lease costs	$	759	$	676	$	1,475	$	1,405
Other		554		438		1,092		805
Total lease costs	$	1,313	$	1,114	$	2,567	$	2,210

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	774	$	533	$	1,638	$	1,466
ROU assets obtained in exchange for new operating lease liabilities	$	290	$	48	$	4,835	$	1,058

	June 30,			December 31,
	2023			2022
Weighted-average remaining lease term (in years)		5.1			2.1
Weighted-average discount rate		3.6	%		2.1	%

As of June 30, 2023, the maturities of the lease liabilities were as follows (in thousands):

2023 (remaining six months)	$	1,098
2024		1,746
2025		1,157
2026		863
2027		871
Thereafter		1,432
Total remaining lease payments		7,167
Less: imputed interest		(586	)
Total lease liabilities	$	6,581

As of June 30, 2023, the Company had no operating leases that had not yet commenced.

Lessor

The Company owns certain office buildings and leases a portion of these properties to third parties under arrangements that are classified as operating leases. These leases have remaining lease terms ranging from less than one year to three years. Some of these leases include options to renew the lease term for up to five years.

For the three months ended June 30, 2023 and 2022, income related to lease payments was $0.3 million and $0.5 million, respectively. For the six months ended June 30, 2023 and 2022, income related to lease payments was $0.8 million and $1.1 million, respectively. As of June 30, 2023, future income related to lease payments was as follows (in thousands):

2023 (remaining six months)	$	679
2024		612
2025		107
2026		20
Total	$	1,418