LEASES

6 Months Ended

Jun. 30, 2025

The Company leases office space, corporate apartments, office equipment, and vehicles. Many of the Company’s leases contain variable payments including changes in base rent and charges for common area maintenance or other miscellaneous expenses. Due to this variability, the cash flows associated with these variable payments are not included in the minimum lease payments used in determining the right-of-use assets and associated lease liabilities and are recognized in the period in which the obligation for such payments is incurred. The Company’s leases have remaining lease terms ranging from 0.1 to 6.6 years. Certain lease agreements, mainly for office space, include options to extend or terminate the lease before the expiration date. The Company considers such options when determining the lease term when it is reasonably certain that the Company will exercise that option. The Company leases and subleases a portion of its office space to third parties. Lease income and sublease income were not material for the three and six months ended June 30, 2025 and 2024.

During the three and six months ended June 30, 2025 and 2024, the components of lease cost were as follows:


		Three Months Ended June 30,				Six Months Ended June 30,
	Income Statement Classification	2025		2024		2025		2024
Operating lease cost	Selling, general and administrative expenses	$	12,158	$	10,833	$	23,484	$	21,686
Variable lease cost	Selling, general and administrative expenses	2,938		2,439		6,175		5,068
Short-term lease cost	Selling, general and administrative expenses	1,170		947		2,208		1,906
Total lease cost		$	16,266	$	14,219	$	31,867	$	28,660

Supplemental cash flow information related to leases for the three and six months ended June 30, 2025 and 2024 was as follows:


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used for operating leases	$	12,881	$	10,922	$	24,646	$	22,625
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	5,824	$	3,333	$	8,370	$	10,986
Non-cash net increase due to lease modifications:
Operating lease right-of-use assets	$	3,839	$	940	$	3,991	$	6,239
Operating lease liabilities	$	3,835	$	941	$	3,970	$	6,131

Weighted average remaining lease term and discount rate as of June 30, 2025 and 2024 were as follows:


	As of June 30, 2025		As of June 30, 2024
Weighted average remaining lease term, in years:
Operating leases	4.1		4.7
Weighted average discount rate:
Operating leases	4.7	%	4.3	%

As of June 30, 2025, operating lease liabilities will mature as follows:


Year ending December 31,	Lease Payments
2025 (excluding six months ended June 30, 2025)	$	24,223
2026	41,167
2027	31,446
2028	25,006
2029	15,064
Thereafter	13,282
Total lease payments	150,188
Less: imputed interest	(12,535)
Total	$	137,653

The Company had committed to payments of $5.7 million related to operating lease agreements that had not yet commenced as of June 30, 2025. These operating leases will commence on various dates during 2025 and 2026 with lease terms ranging from 0.4 to 7.0 years. The Company did not have any material finance lease agreements that had not yet commenced.