Note 6 - Leases

9 Months Ended

Sep. 30, 2024

Notes to Financial Statements

Leases Disclosure [Text Block]

6. LEASES

Lessee

The Company has operating leases primarily for administrative, sales and marketing offices, manufacturing operations and R&D facilities, employee housing units and certain equipment. These leases have remaining lease terms from less than one year to 20 years. Some of these leases include options to renew the lease term for up to five 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 ROU assets and liabilities (in thousands):

		September 30,		December 31,
	Financial Statement Line Item	2024		2023
Operating lease ROU assets	Other long-term assets	$	17,522	$	8,355
Operating lease liabilities	Other accrued liabilities	$	2,814	$	2,303
	Other long-term liabilities	$	13,482	$	5,565

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

	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Lease costs:
Operating lease costs	$	948	$	852	$	2,859	$	2,327
Other		822		480		2,020		1,572
Total lease costs	$	1,770	$	1,332	$	4,879	$	3,899

	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	1,704	$	629	$	3,404	$	2,267
ROU assets obtained in exchange for new operating lease liabilities	$	2,339	$	2,086	$	11,610	$	6,921

	September 30,			December 31,
	2024			2023
Weighted-average remaining lease term (in years)		11.3			4.7
Weighted-average discount rate		5.4	%		4.3	%

As of September 30, 2024, the maturities of the lease liabilities were as follows (in thousands):

2024 (remaining three months)	$	958
2025		3,326
2026		2,787
2027		2,298
2028		1,550
Thereafter		12,639
Total remaining lease payments		23,558
Less: imputed interest		(7,262	)
Total lease liabilities	$	16,296

As of September 30, 2024, operating leases that have not yet commenced are not material.

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 five years. Some of these leases include a tenant option to renew the lease term for up to five years.

For the three months ended September 30, 2024 and 2023, income related to lease payments was $0.3 million and $0.4 million, respectively. For the nine months ended September 30, 2024 and 2023, income related to lease payments was $0.7 million and $1.2 million, respectively. As of September 30, 2024, future income related to lease payments was as follows (in thousands):

2024 (remaining three months)	$	264
2025		583
2026		403
2027		373
2028		384
Thereafter		129
Total	$	2,136