LEASES

12 Months Ended

Dec. 31, 2024

Leases [Abstract]

LEASES

NOTE 9. LEASES

The following presents supplemental information related to leases in which the Company is the lessee for the years ended December 31 (in thousands):

	2024		2023
Cash paid for amounts included in lease liabilities
Operating cash flows from operating leases	$	930	$	913
Operating cash flows from finance leases	723		1,250
ROU assets obtained in exchange for lease obligations
Operating leases	$	3,036	$	—
Finance leases	—		200
Lease cost
Operating leases	$	996	$	1,041
Finance leases	1,164		1,104
Short-term leases	71		77

For the Company’s operating leases, the weighted average remaining lease term is 4.7 years with a weighted average discount rate of 6.6%. For the Company’s finance leases, the weighted average remaining lease term is 0.9 years with a weighted average discount rate of 4.9%.

ROU assets obtained in exchange for lease obligations for the year ended December 31, 2024 represent a 5-year extension of the lease on the Company’s headquarters in Tucson, Arizona.

The following presents maturities of operating lease liabilities in which the Company is the lessee as of December 31, 2024 (in thousands):

2025	$	724
2026	746
2027	768
2028	791
2029	606
Thereafter	—
Total operating lease payments	3,635
Less imputed interest	(532)
	$	3,103

The following presents maturities of finance lease liabilities in which the Company is the lessee as of December 31, 2024 (in thousands):

2025	$	96
2026	30
2027	—
2028	—
2029	—
Thereafter	—
Total finance lease payments	126
Less imputed interest	(4)
	$	122

The net investment in sales-type leases, where the Company is the lessor, is a component of other current assets and other non-current assets in the consolidated balance sheets. As of December 31, 2024, the total net investment in these leases is $1.8 million. Lease income is a component of net sales in the consolidated statements of operations and comprehensive loss. The following presents maturities of lease receivables under sales-type leases as of December 31, 2024 (in thousands):

2025	$	1,056
2026	643
2027	80
2028	—
2029	—
Thereafter	—
Net investment in sales-type leases	1,779
Allowances	(682)
Net investment in sales-type leases, net of allowances	$	1,097

For more information on leases, see Note 2, Summary of Significant Accounting Policies.

LEASES

NOTE 9. LEASES

The following presents supplemental information related to leases in which the Company is the lessee for the years ended December 31 (in thousands):

	2024		2023
Cash paid for amounts included in lease liabilities
Operating cash flows from operating leases	$	930	$	913
Operating cash flows from finance leases	723		1,250
ROU assets obtained in exchange for lease obligations
Operating leases	$	3,036	$	—
Finance leases	—		200
Lease cost
Operating leases	$	996	$	1,041
Finance leases	1,164		1,104
Short-term leases	71		77

For the Company’s operating leases, the weighted average remaining lease term is 4.7 years with a weighted average discount rate of 6.6%. For the Company’s finance leases, the weighted average remaining lease term is 0.9 years with a weighted average discount rate of 4.9%.

ROU assets obtained in exchange for lease obligations for the year ended December 31, 2024 represent a 5-year extension of the lease on the Company’s headquarters in Tucson, Arizona.

The following presents maturities of operating lease liabilities in which the Company is the lessee as of December 31, 2024 (in thousands):

2025	$	724
2026	746
2027	768
2028	791
2029	606
Thereafter	—
Total operating lease payments	3,635
Less imputed interest	(532)
	$	3,103

The following presents maturities of finance lease liabilities in which the Company is the lessee as of December 31, 2024 (in thousands):

2025	$	96
2026	30
2027	—
2028	—
2029	—
Thereafter	—
Total finance lease payments	126
Less imputed interest	(4)
	$	122

The net investment in sales-type leases, where the Company is the lessor, is a component of other current assets and other non-current assets in the consolidated balance sheets. As of December 31, 2024, the total net investment in these leases is $1.8 million. Lease income is a component of net sales in the consolidated statements of operations and comprehensive loss. The following presents maturities of lease receivables under sales-type leases as of December 31, 2024 (in thousands):

2025	$	1,056
2026	643
2027	80
2028	—
2029	—
Thereafter	—
Net investment in sales-type leases	1,779
Allowances	(682)
Net investment in sales-type leases, net of allowances	$	1,097

For more information on leases, see Note 2, Summary of Significant Accounting Policies.

LEASES

NOTE 9. LEASES

The following presents supplemental information related to leases in which the Company is the lessee for the years ended December 31 (in thousands):

	2024		2023
Cash paid for amounts included in lease liabilities
Operating cash flows from operating leases	$	930	$	913
Operating cash flows from finance leases	723		1,250
ROU assets obtained in exchange for lease obligations
Operating leases	$	3,036	$	—
Finance leases	—		200
Lease cost
Operating leases	$	996	$	1,041
Finance leases	1,164		1,104
Short-term leases	71		77

For the Company’s operating leases, the weighted average remaining lease term is 4.7 years with a weighted average discount rate of 6.6%. For the Company’s finance leases, the weighted average remaining lease term is 0.9 years with a weighted average discount rate of 4.9%.

ROU assets obtained in exchange for lease obligations for the year ended December 31, 2024 represent a 5-year extension of the lease on the Company’s headquarters in Tucson, Arizona.

The following presents maturities of operating lease liabilities in which the Company is the lessee as of December 31, 2024 (in thousands):

2025	$	724
2026	746
2027	768
2028	791
2029	606
Thereafter	—
Total operating lease payments	3,635
Less imputed interest	(532)
	$	3,103

The following presents maturities of finance lease liabilities in which the Company is the lessee as of December 31, 2024 (in thousands):

2025	$	96
2026	30
2027	—
2028	—
2029	—
Thereafter	—
Total finance lease payments	126
Less imputed interest	(4)
	$	122

The net investment in sales-type leases, where the Company is the lessor, is a component of other current assets and other non-current assets in the consolidated balance sheets. As of December 31, 2024, the total net investment in these leases is $1.8 million. Lease income is a component of net sales in the consolidated statements of operations and comprehensive loss. The following presents maturities of lease receivables under sales-type leases as of December 31, 2024 (in thousands):

2025	$	1,056
2026	643
2027	80
2028	—
2029	—
Thereafter	—
Net investment in sales-type leases	1,779
Allowances	(682)
Net investment in sales-type leases, net of allowances	$	1,097

For more information on leases, see Note 2, Summary of Significant Accounting Policies.