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Leases
 9 Months Ended
Sep. 30, 2025
Leases [Abstract]  
Leases Leases
Most of the leases the Company enters into are for equipment, buildings and vehicles as part of its ongoing operations. The Company also leases certain equipment to third parties.
Lessee Accounting
The leases the Company has entered into as part of its ongoing operations are considered operating leases. The corresponding lease costs are included in Cost of sales and Selling, general and administrative expenses on the unaudited condensed consolidated statements of income.
Generally, operating leases for vehicles and equipment have a term of one to five years and buildings have a longer term of up to 10 years or more. For certain operating leases, lease terms may include the options to extend or terminate the lease. Similarly, building or property operating leases could include one or more options to renew, with renewal terms that could extend the lease term by one to five years or more.
The Company also has guaranteed the residual value under certain of its equipment operating leases, agreeing to pay any difference between the residual value and the fair market value of the underlying asset at the date of lease termination. Historically, the fair value of the asset at the time of lease termination generally has approximated or exceeded the residual value guarantee. To date, the Company does not have any residual value guarantee amounts probable of being owed to a lessor, financing leases or material agreements with related parties.
In addition, the Company has entered into short-term leases to help support its ongoing operations, consisting primarily of short-term equipment and vehicle leases, and generally have a lease term of less than one year.
The following table provides information on the Company's lease costs for operating leases:
Three months ended September 30, Nine months ended September 30,
2025202420252024
(In thousands)
Lease costs:
Operating lease cost
$10,337 $8,156 $28,334 $22,769 
Variable lease cost
438 319 1,179 917 
Short-term lease cost
28,436 27,965 76,966 75,703 
Total lease costs
$39,211 $36,440 $106,479 $99,389 
The following is summary information of lease terms and discount rates for operating leases as of:
September 30, 2025December 31, 2024
Weighted average remaining lease term (in years)
1.14 years
1.38 years
Weighted average discount rate (in percentages)
5.61 %5.50 %
The following is a summary of other information and supplemental cash flow information related to operating leases:
Nine months ended September 30,
20252024
(In thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used for operating lease liabilities
$27,343 $22,653 
Right-of-use assets obtained in exchange for new operating lease liabilities
$41,471 $38,454 
The reconciliation of future undiscounted cash flows to operating lease liabilities, including current portion of operating lease liabilities, presented on the unaudited condensed consolidated balance sheets was as follows:
September 30, 2025
(In thousands)
Remainder of 2025$9,551 
202631,919 
202721,206 
202812,000 
20297,170 
Thereafter12,197 
Total
94,043 
Less: discount
(9,534)
Total operating lease liabilities
$84,509 
As of September 30, 2025, the Company did not have any material leases that have not yet commenced.
Lessor Accounting
The Company leases certain equipment to third parties. These leases are considered short-term operating leases with terms of less than 12 months, with the majority being month-to-month leases currently. The Company recognizes revenue from operating leases in Operating revenues in the unaudited condensed consolidated statements of income on a straight-line basis over the respective operating lease terms.
The following table provides information on the Company's lease income for operating leases:
Three months ended September 30, Nine months ended September 30,
2025202420252024
(In thousands)
Lease income:
Operating lease income
$10,704 $10,142 $33,689 $29,979 
Total lease income
$10,704 $10,142 $33,689 $29,979 
The following table is a maturity analysis of undiscounted cash flows relating to lease payments expected to be received by the Company as a lessor of operating leases as of:
September 30, 2025
(In thousands)
Remainder of 2025$8,350 
Total lease payments
$8,350 
The majority of the total lease payments are currently from month-to-month leases as stated above and are included in Receivables, net on the unaudited condensed consolidated balance sheets as rent receivables due to the timing of billings compared to earned operating lease income.
Equipment under operating leases, which was included within Property, plant and equipment, net in the unaudited condensed consolidated balance sheets, was as follows as of:
September 30, 2025December 31, 2024
(In thousands)
Machinery and equipment$61,898 $59,549 
Less: accumulated depreciation
(31,539)(29,687)
Property, plant and equipment, net
$30,359 $29,862 
Leases Leases
Most of the leases the Company enters into are for equipment, buildings and vehicles as part of its ongoing operations. The Company also leases certain equipment to third parties.
Lessee Accounting
The leases the Company has entered into as part of its ongoing operations are considered operating leases. The corresponding lease costs are included in Cost of sales and Selling, general and administrative expenses on the unaudited condensed consolidated statements of income.
Generally, operating leases for vehicles and equipment have a term of one to five years and buildings have a longer term of up to 10 years or more. For certain operating leases, lease terms may include the options to extend or terminate the lease. Similarly, building or property operating leases could include one or more options to renew, with renewal terms that could extend the lease term by one to five years or more.
The Company also has guaranteed the residual value under certain of its equipment operating leases, agreeing to pay any difference between the residual value and the fair market value of the underlying asset at the date of lease termination. Historically, the fair value of the asset at the time of lease termination generally has approximated or exceeded the residual value guarantee. To date, the Company does not have any residual value guarantee amounts probable of being owed to a lessor, financing leases or material agreements with related parties.
In addition, the Company has entered into short-term leases to help support its ongoing operations, consisting primarily of short-term equipment and vehicle leases, and generally have a lease term of less than one year.
The following table provides information on the Company's lease costs for operating leases:
Three months ended September 30, Nine months ended September 30,
2025202420252024
(In thousands)
Lease costs:
Operating lease cost
$10,337 $8,156 $28,334 $22,769 
Variable lease cost
438 319 1,179 917 
Short-term lease cost
28,436 27,965 76,966 75,703 
Total lease costs
$39,211 $36,440 $106,479 $99,389 
The following is summary information of lease terms and discount rates for operating leases as of:
September 30, 2025December 31, 2024
Weighted average remaining lease term (in years)
1.14 years
1.38 years
Weighted average discount rate (in percentages)
5.61 %5.50 %
The following is a summary of other information and supplemental cash flow information related to operating leases:
Nine months ended September 30,
20252024
(In thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows used for operating lease liabilities
$27,343 $22,653 
Right-of-use assets obtained in exchange for new operating lease liabilities
$41,471 $38,454 
The reconciliation of future undiscounted cash flows to operating lease liabilities, including current portion of operating lease liabilities, presented on the unaudited condensed consolidated balance sheets was as follows:
September 30, 2025
(In thousands)
Remainder of 2025$9,551 
202631,919 
202721,206 
202812,000 
20297,170 
Thereafter12,197 
Total
94,043 
Less: discount
(9,534)
Total operating lease liabilities
$84,509 
As of September 30, 2025, the Company did not have any material leases that have not yet commenced.
Lessor Accounting
The Company leases certain equipment to third parties. These leases are considered short-term operating leases with terms of less than 12 months, with the majority being month-to-month leases currently. The Company recognizes revenue from operating leases in Operating revenues in the unaudited condensed consolidated statements of income on a straight-line basis over the respective operating lease terms.
The following table provides information on the Company's lease income for operating leases:
Three months ended September 30, Nine months ended September 30,
2025202420252024
(In thousands)
Lease income:
Operating lease income
$10,704 $10,142 $33,689 $29,979 
Total lease income
$10,704 $10,142 $33,689 $29,979 
The following table is a maturity analysis of undiscounted cash flows relating to lease payments expected to be received by the Company as a lessor of operating leases as of:
September 30, 2025
(In thousands)
Remainder of 2025$8,350 
Total lease payments
$8,350 
The majority of the total lease payments are currently from month-to-month leases as stated above and are included in Receivables, net on the unaudited condensed consolidated balance sheets as rent receivables due to the timing of billings compared to earned operating lease income.
Equipment under operating leases, which was included within Property, plant and equipment, net in the unaudited condensed consolidated balance sheets, was as follows as of:
September 30, 2025December 31, 2024
(In thousands)
Machinery and equipment$61,898 $59,549 
Less: accumulated depreciation
(31,539)(29,687)
Property, plant and equipment, net
$30,359 $29,862