Leases

12 Months Ended

Dec. 31, 2024

The Company leases real estate for office space under operating leases.

The Company has an option to extend the lease term for a period of 0.6 years to 4.8 years. Renewal options are not considered in the remaining lease term because it is not reasonably certain that the Company will exercise such option.

Operating lease expense, included in rent and occupancy in the consolidated statements of operations, was as follows (in thousands):


	Year Ended December 31,
	2024		2023
Operating lease expense	$	3,497	$	3,651
Variable lease expense	391		924
Total operating lease expenses	$	3,888	$	4,575

Sublease income(1)	$	382	$	784

(1) Sublease income is included in other income (expenses), net in the consolidated statements of operations.

The table below presents additional information related to the Company’s operating leases (in thousands):


	As of December 31,
	2024			2023
Operating lease right-of-use assets	$	5,107		$	4,308
Operating lease liabilities, current	$	3,463		$	2,516
Operating lease liabilities, noncurrent	$	3,694		$	2,707
Weighted-average remaining lease term (in years)	4.3			1.9
Weighted-average discount rate	7.2		%	7.0		%

The Company entered into a new office lease which commenced on March 8, 2024, and recorded a right-of-use asset and liability of $4.5 million. During the year-ended December 31, 2024, the Company recorded impairment of $1.1 million after determining that the office space under existing leases would no longer be used, which was recognized in rent and

occupancy expense in the consolidated statements of operations. There were no right-of-use impairments recognized during the year ended December 31, 2023.

Future undiscounted lease payments under operating leases as of December 31, 2024 were as follows (in thousands):


	Lease Payment Obligation		Sublease Income		Net Lease Obligation
2025	$	3,864	$	(210)	$	3,654
2026	1,084		—		1,084
2027	1,117		—		1,117
2028	1,150		—		1,150
2029	887		—		887
Total undiscounted lease payments	$	8,102	$	(210)	$	7,892
Less: imputed interest	(945)
Present value of future lease payments	7,157
Less: operating lease liabilities, current	3,463
Operating lease liabilities, noncurrent	$	3,694