Leases

3 Months Ended

Mar. 31, 2023

5. Leases

The Company has operating leases for office space to support business operations. The Company's office leases expire at varying dates from 2023 through 2030. The Company's leases do not contain any material residual value guarantees or restrictive covenants. Operating leases are recognized on the condensed consolidated balance sheets as operating lease right-of-use assets, operating lease liabilities and long-term operating lease liabilities. Operating lease expense is recognized on a straight-line basis over the lease term within the Company’s condensed consolidated statements of operations and comprehensive income.

Lease Costs and Other Information

The following table summarizes the components of operating lease expense (in thousands):


	Three Months Ended		Three Months Ended
	March 31, 2023		March 31, 2022
Operating lease cost	$	1,185	$	1,181
Variable lease cost		94		91
Total	$	1,279	$	1,272

The weighted average remaining lease term (in years) and discount rate were as follows:


	March 31, 2023			December 31, 2022
Weighted-average remaining lease term		6.6			6.8
Weighted-average discount rate		2.26	%		2.26	%

Maturity of Lease Liabilities

The following table presents the future minimum lease payments under the Company's operating leases liabilities as of March 31, 2023 (in thousands):


Remainder of 2023	$	3,850
2024		5,750
2025		4,489
2026		4,079
2027		3,808
Thereafter		11,001
Total lease payments	$	32,977
Less: imputed interest		(2,458	)
Lease liabilities	$	30,519

The Company has subleased certain office space for which incoming sublease amounts will offset the future lease payments in the table above. Under the executed sublease agreement, the Company expects to receive future sublease payments of $0.8 million over the remainder of 2023 and $0.9 million thereafter. As of March 31, 2023, the Company has entered into one lease that has not yet commenced with future lease payments of $0.6 million in the aggregate and a term of approximately five years. The Company expects the lease to commence in the second quarter of 2023.