Right-of-Use Assets and Liabilities

12 Months Ended

Dec. 31, 2024

Right-of-use Assets And Liabilities

Right-of-Use Assets and Liabilities

Note 7 – Right-of-Use Assets and Liabilities

The Company leases its facility in Irvine, California under an operating lease which it amended in November 2021 to extend the lease term an additional 60 months through September 30, 2027. The lease rate at the date of the amendment was $30,206 per month with escalating payments adjusting annually. In connection with the lease, the Company is obligated to pay $7,254 monthly for operating expenses for building repairs and maintenance. The Company has no other operating or financing leases with terms greater than 12 months.

Lease liabilities were determined using the Company’s estimated incremental borrowing rate of 3.95% to estimate the present value of the remaining monthly lease payments.

Our operating lease cost is as follows (in thousands):

	For the Year Ended December 31, 2024
Operating lease cost	$	389

Supplemental cash flow information related to our operating lease is as follows:

(Dollars in thousands)	For the Year Ended December 31, 2024
Operating cash flow information:
Cash paid for amounts included in the measurement of lease liabilities	$	387

Remaining lease term and discount rate for our operating lease is as follows:

	December 31, 2024
Remaining lease term		2.7 years
Discount rate		3.95	%

Maturity of our lease liabilities by fiscal year for our operating lease is as follows:

(In thousands)
Year ended December 31, 2025		399
Year ended December 31, 2026		411
Year ended December 31, 2027		315
Total	$	1,125
Less: Imputed interest		(61	)
Present value of our lease liability	$	1,064

ENVVENO MEDICAL CORPORATION

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS