Leases

9 Months Ended

Sep. 30, 2025

Note 9. Leases

The Company leases office space, warehouse and manufacturing space, and equipment. The Company’s lease agreements have remaining lease terms of one year to 12 years, and some of these leases have renewal and termination options exercisable at the Company’s election. Terms and conditions to extend or terminate such leases are recognized as part of the right-of-use assets and lease liabilities where reasonably certain to be exercised. All of the Company’s leases are operating leases.

The components of lease expense and other information related to leases were as follows (in thousands):


	For the Three Months Ended September 30,				For the Nine Months Ended September 30,
	2025		2024		2025		2024
Operating lease expense	$	685	$	745	$	2,053	$	2,236
Variable lease expense		113		109		340		326
Total lease expense	$	798	$	854	$	2,393	$	2,562

Cash paid for amounts included in the measurement of the lease liabilities was $0.6 million and $1.9 million for the three and nine months ended September 30, 2025, respectively, and cash paid for amounts included in the measurement of the lease liabilities was $0.7 million and $2.1 million for the three and nine months ended September 30, 2024, respectively. The weighted-average discount rate was 5.0% and the weighted-average remaining lease term was 7.4 years as of September 30, 2025.

Maturities of operating lease liabilities at September 30, 2025 were as follows (in thousands):


	Amount
Remainder of 2025	$	745
2026		2,649
2027		2,714
2028		2,770
2029		2,770
Thereafter		7,788
Total lease payments		19,436
Less: imputed interest		(3,533	)
Present value of lease liabilities		15,903
Less: current portion		(1,886	)
Lease liabilities less current portion	$	14,017