Leases

12 Months Ended

Dec. 31, 2023

The Company leases office, warehouse and manufacturing space and certain equipment under non-cancelable operating lease agreements that generally require us to pay maintenance, insurance, taxes and other expenses in addition to annual rental fees. Our leases have remaining lease terms of one year to nineteen years, some of which include options to extend the leases for up to five years, and some of which include options to terminate the leases within one year.

The components of lease expense are as follows:


	Twelve Months Ended December 31,
		2023		2022

Operating lease cost		$	10,390	$	10,283
Finance lease cost:
Amortization of right-of-use assets		151		194
Interest on lease liabilities		14		13
Finance lease cost		$	165	$	207
Short-term lease cost 1		6,860		5,406
Total lease expense		$	17,415	$	15,896

1.Includes variable lease costs, which are not significant.

Supplemental cash flow information related to leases is as follows:



	Twelve Months Ended December 31, 2023		Twelve Months Ended December 31, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	9,898	$	10,022

Financing cash flows from finance leases	$	155	$	205

Supplemental balance sheet information related to leases is as follows:


	Balance Sheet Location	December 31, 2023			December 31, 2022
Operating Leases
Right-of-use assets, net	Operating lease right-of-use asset, net	$	31,165		$	26,372

Current liabilities	Current operating lease liabilities	7,502			7,421
Non-current liabilities	Long-term operating lease liabilities	24,417			19,422
Total operating lease liabilities		$	31,919		$	26,843

Finance Leases


Right-of-use assets, net	Other assets	$	205		$	270

Current liabilities	Accrued liabilities and other	108			131
Non-current liabilities	Other long-term liabilities	107			139
Total finance lease liabilities		$	215		$	270

Weighted Average Remaining Lease Term
Operating leases		7.1 years			6.0 years
Finance leases		3.0 years			2.3 years
Weighted Average Discount Rate
Operating leases		11.3		%	8.4		%
Finance leases		6.6		%	3.9		%

As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at the lease commencement date in determining the present value of the lease payments. We utilize an incremental borrowing rate, which is reflective of the specific term of the leases and economic environment of each geographic region, and apply a portfolio approach for certain machinery and equipment that have consistent terms in a specific geographic region.

Anticipated future lease costs, which are based in part on certain assumptions to approximate minimum annual rental commitments under non-cancelable leases, are as follows:


Year Ending December 31,	Operating		Financing		Total
2024	$	10,400	$	117	$	10,517
2025	9,195		78		9,273
2026	7,091		30		7,121
2027	4,130		7		4,137
2028	2,624		—		2,624
Thereafter	14,599		—		14,599
Total lease payments	$	48,039	$	232	$	48,271
Less: Imputed interest	(16,120)		(17)		(16,137)
Present value of lease liabilities	$	31,919	$	215	$	32,134

Leases

The components of lease expense are as follows:


	Twelve Months Ended December 31,
		2023		2022

Operating lease cost		$	10,390	$	10,283
Finance lease cost:
Amortization of right-of-use assets		151		194
Interest on lease liabilities		14		13
Finance lease cost		$	165	$	207
Short-term lease cost 1		6,860		5,406
Total lease expense		$	17,415	$	15,896

1.Includes variable lease costs, which are not significant.

Supplemental cash flow information related to leases is as follows:



	Twelve Months Ended December 31, 2023		Twelve Months Ended December 31, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	9,898	$	10,022

Financing cash flows from finance leases	$	155	$	205

Supplemental balance sheet information related to leases is as follows:


	Balance Sheet Location	December 31, 2023			December 31, 2022
Operating Leases
Right-of-use assets, net	Operating lease right-of-use asset, net	$	31,165		$	26,372

Current liabilities	Current operating lease liabilities	7,502			7,421
Non-current liabilities	Long-term operating lease liabilities	24,417			19,422
Total operating lease liabilities		$	31,919		$	26,843

Finance Leases


Right-of-use assets, net	Other assets	$	205		$	270

Current liabilities	Accrued liabilities and other	108			131
Non-current liabilities	Other long-term liabilities	107			139
Total finance lease liabilities		$	215		$	270

Weighted Average Remaining Lease Term
Operating leases		7.1 years			6.0 years
Finance leases		3.0 years			2.3 years
Weighted Average Discount Rate
Operating leases		11.3		%	8.4		%
Finance leases		6.6		%	3.9		%

Anticipated future lease costs, which are based in part on certain assumptions to approximate minimum annual rental commitments under non-cancelable leases, are as follows:


Year Ending December 31,	Operating		Financing		Total
2024	$	10,400	$	117	$	10,517
2025	9,195		78		9,273
2026	7,091		30		7,121
2027	4,130		7		4,137
2028	2,624		—		2,624
Thereafter	14,599		—		14,599
Total lease payments	$	48,039	$	232	$	48,271
Less: Imputed interest	(16,120)		(17)		(16,137)
Present value of lease liabilities	$	31,919	$	215	$	32,134