Leases

3 Months Ended

Mar. 31, 2025

Leases [Abstract]

Leases

LEASES

We lease various assets in the ordinary course of business as follows: warehouses to store our materials and perform staging activities for certain products we install, various office spaces for selling and administrative activities to support our business, and certain vehicles and equipment to facilitate our operations, including, but not limited to, trucks, forklifts and office equipment.

The table below presents the lease-related assets and liabilities recorded on the Condensed Consolidated Balance Sheets (in millions):

		As of March 31,			As of December 31,
	Classification	2025			2024
Assets
Non-Current
Operating	Operating lease right-of-use assets	$	96.9		$	95.6
Finance	Property and equipment, net	7.4			7.9
Total lease assets		$	104.3		$	103.5
Liabilities
Current
Operating	Current maturities of operating lease obligations	$	34.7		$	34.3
Financing	Current maturities of finance lease obligations	2.8			2.8
Non-Current
Operating	Operating lease obligations	61.8			61.0
Financing	Finance lease obligations	4.8			5.4
Total lease liabilities		$	104.1		$	103.5
Weighted-average remaining lease term:
Operating leases		3.6 years			3.6 years
Finance leases		3.1 years			3.0 years
Weighted-average discount rate:
Operating leases		5.70		%	5.68		%
Finance leases		7.85		%	7.74		%

Lease Costs

The table below presents certain information related to the lease costs for finance and operating leases (in millions):

		Three months ended March 31,
	Classification	2025		2024
Operating lease cost(1)	Administrative	$	12.3	$	10.3
Finance lease cost:
Amortization of leased assets(2)	Cost of sales	1.0		1.0
Interest on finance lease obligations	Interest expense, net	0.2		0.2
Total lease costs		$	13.5	$	11.5

(1)Includes variable lease costs of $1.7 million and $1.3 million for the three months ended March 31, 2025 and 2024, respectively, and short-term lease costs of $0.5 million and $0.7 million for the three months ended March 31, 2025 and 2024, respectively.

(2)Includes variable lease costs of $0.2 million for each of the three months ended March 31, 2025 and 2024, respectively.

Other Information

The table below presents supplemental cash flow information related to leases (in millions):

	Three months ended March 31,
	2025		2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	10.2	$	8.4
Operating cash flows for finance leases	0.2		0.2
Financing cash flows for finance leases	0.7		0.8

Undiscounted Cash Flows

The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years for the finance lease obligations and operating lease obligations recorded on the Condensed Consolidated Balance Sheet as of March 31, 2025 (in millions):

	Finance Leases		Operating Leases
			Related Party		Other		Total Operating
Remainder of 2025	$	2.5	$	0.8	$	29.4	$	30.2
2026	3.0		0.5		31.3		31.8
2027	2.1		0.1		20.2		20.3
2028	0.8		—		11.8		11.8
2029	0.2		—		6.7		6.7
Thereafter	—		—		5.9		5.9
Total minimum lease payments	8.6		$	1.4	$	105.3	106.7
Less: Amounts representing interest	(1.0)						(10.2)
Present value of future minimum lease payments	7.6						96.5
Less: Current obligation under leases	(2.8)						(34.7)
Long-term lease obligations	$	4.8					$	61.8

Leases

LEASES

We lease various assets in the ordinary course of business as follows: warehouses to store our materials and perform staging activities for certain products we install, various office spaces for selling and administrative activities to support our business, and certain vehicles and equipment to facilitate our operations, including, but not limited to, trucks, forklifts and office equipment.

The table below presents the lease-related assets and liabilities recorded on the Condensed Consolidated Balance Sheets (in millions):

		As of March 31,			As of December 31,
	Classification	2025			2024
Assets
Non-Current
Operating	Operating lease right-of-use assets	$	96.9		$	95.6
Finance	Property and equipment, net	7.4			7.9
Total lease assets		$	104.3		$	103.5
Liabilities
Current
Operating	Current maturities of operating lease obligations	$	34.7		$	34.3
Financing	Current maturities of finance lease obligations	2.8			2.8
Non-Current
Operating	Operating lease obligations	61.8			61.0
Financing	Finance lease obligations	4.8			5.4
Total lease liabilities		$	104.1		$	103.5
Weighted-average remaining lease term:
Operating leases		3.6 years			3.6 years
Finance leases		3.1 years			3.0 years
Weighted-average discount rate:
Operating leases		5.70		%	5.68		%
Finance leases		7.85		%	7.74		%

Lease Costs

The table below presents certain information related to the lease costs for finance and operating leases (in millions):

		Three months ended March 31,
	Classification	2025		2024
Operating lease cost(1)	Administrative	$	12.3	$	10.3
Finance lease cost:
Amortization of leased assets(2)	Cost of sales	1.0		1.0
Interest on finance lease obligations	Interest expense, net	0.2		0.2
Total lease costs		$	13.5	$	11.5

(1)Includes variable lease costs of $1.7 million and $1.3 million for the three months ended March 31, 2025 and 2024, respectively, and short-term lease costs of $0.5 million and $0.7 million for the three months ended March 31, 2025 and 2024, respectively.

(2)Includes variable lease costs of $0.2 million for each of the three months ended March 31, 2025 and 2024, respectively.

Other Information

The table below presents supplemental cash flow information related to leases (in millions):

	Three months ended March 31,
	2025		2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	10.2	$	8.4
Operating cash flows for finance leases	0.2		0.2
Financing cash flows for finance leases	0.7		0.8

Undiscounted Cash Flows

The table below reconciles the undiscounted cash flows for each of the first five years and total of the remaining years for the finance lease obligations and operating lease obligations recorded on the Condensed Consolidated Balance Sheet as of March 31, 2025 (in millions):

	Finance Leases		Operating Leases
			Related Party		Other		Total Operating
Remainder of 2025	$	2.5	$	0.8	$	29.4	$	30.2
2026	3.0		0.5		31.3		31.8
2027	2.1		0.1		20.2		20.3
2028	0.8		—		11.8		11.8
2029	0.2		—		6.7		6.7
Thereafter	—		—		5.9		5.9
Total minimum lease payments	8.6		$	1.4	$	105.3	106.7
Less: Amounts representing interest	(1.0)						(10.2)
Present value of future minimum lease payments	7.6						96.5
Less: Current obligation under leases	(2.8)						(34.7)
Long-term lease obligations	$	4.8					$	61.8