Leases

3 Months Ended

Mar. 31, 2023

Note 5. Leases

The Company leases real estate property under operating leases. The Company leases office space in California, Michigan, Malaysia, Japan, Taiwan, the Netherlands, Finland, and Ukraine all under non-cancellable operating leases with various expiration dates through May 2029.

The remaining lease terms vary from a few months to 6 years. For certain of its leases the Company has options to extend the lease term for periods varying from one to five years. These renewal options are not considered in the remaining lease term unless it is reasonably certain that the Company will exercise such options. The Company also has variable lease payments that are primarily comprised of common area maintenance and utility charges.

The table below presents the lease-related assets and liabilities recorded on the consolidated balance sheet as of March 31, 2023:


	As of
	March 31, 2023			December 31, 2022
	(in thousands)
Right-of-use assets	$	10,227		$	10,848
Lease liabilities included in accrued expenses and other current liabilities		2,574			2,485
Lease liabilities - non-current		7,471			8,149
Total operating lease liabilities	$	10,045		$	10,634
Weighted-average remaining lease term (years)		3.8			4.0
Weighted-average discount rate		4.6	%		4.6	%

The table below presents certain information related to the lease costs for operating leases for the three months ended March 31, 2023 and 2022:


	Three Months Ended March 31,
	2023		2022
	(in thousands)
Operating lease cost	$	759	$	558
Short-term lease cost		177		534
Variable lease cost		264		94
Total lease cost	$	1,200	$	1,186

Cash paid for operating lease liabilities was $0.7 million and $0.5 million for the three months ended March 31, 2023 and 2022, respectively.

Operating Lease Cash Flows

The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years to the operating lease liabilities recorded on the condensed consolidated balance sheet as of March 31, 2023:


	(in thousands)
Remainder of 2023	$	2,197
2024		3,060
2025		2,702
2026		2,177
2027		629
2028 and beyond		190
Total minimum lease payments		10,955
Less: amount of lease payments representing interest		(910	)
Present value of future minimum lease payments		10,045
Less: current obligations under leases		(2,574	)
Long-term lease liabilities	$	7,471