Leases

6 Months Ended

Jun. 30, 2024

We have operating and finance lease obligations resulting from the lease of land and buildings that comprise our corporate headquarters and various manufacturing facilities; leases related to additional manufacturing, office, and warehouse space; leases on company vehicles; and leases on a variety of office and other equipment.

Information related to leases included in the Condensed Consolidated Balance Sheets was as follows (in thousands, except lease term and discount rate):


Operating leases:	June 30, 2024		December 31, 2023
Operating lease right-of-use assets, net	$	41,655	$	43,822

Current maturities of operating leases	$	3,283	$	3,395
Non-current maturities of operating leases	41,967		43,977
Total operating lease liabilities	$	45,250	$	47,372

Finance leases:
Property and equipment, at cost	$	6,913	$	6,862
Accumulated amortization	(3,338)		(3,136)
Property and equipment, net	$	3,575	$	3,726

Current maturities of finance leases	$	621	$	582
Non-current maturities of finance leases	3,202		3,405
Total finance lease liabilities	$	3,823	$	3,987

Weighted average remaining lease term (in years):
Operating leases	10.0		10.4
Finance leases	6.2		6.8

Weighted average discount rate:
Operating leases	6.3%		6.3%
Finance leases	2.4%		2.2%

Current maturities of finance leases are included as a component of Other current liabilities on our Condensed Consolidated Balance Sheets. A summary of lease expenses for our finance and operating leases included in General, administrative, and marketing expenses on our Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income was as follows (in thousands):


	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Amortization of property and equipment	$	162	$	133	$	309	$	264
Interest expense on finance leases	23		21		45		42
Total finance lease expense	185		154		354		306
Operating lease expense	1,977		1,829		3,897		3,631
Sublease income	(70)		—		(199)		—
Total lease expense	$	2,092	$	1,983	$	4,052	$	3,937

A summary of our cash flow information related to leases was as follows (in thousands):


	Six Months Ended June 30,
Cash paid for amounts included in the measurement of lease liabilities:	2024		2023
Operating cash flows for operating leases	$	3,852	$	3,627
Financing cash flows for finance leases	308		264
Operating cash flows for finance leases	45		42

Future minimum lease payments and sublease rental income are as follows (in thousands):


	Finance Leases		Operating Leases
Remainder of 2024	$	338	$	2,312
2025	692		7,322
2026	671		6,797
2027	660		6,149
2028	625		5,836
Thereafter	1,104		33,757
Total minimum lease payments	4,090		62,173
Less amount representing interest	(267)		(16,923)
Present value of net minimum lease payments	3,823		45,250
Less current maturities	(621)		(3,283)
Lease liabilities, less current maturities	$	3,202	$	41,967