Leases

6 Months Ended

Jun. 30, 2024

Lessee Disclosure [Abstract]

Leases

Note 8 – Leases

Operating Leases

For the three and six months ended June 30, 2024 and 2023, operating lease expense payments were $265,051 and $510,101, respectively and $264,430 and $528,343, respectively. Operating lease expense payments are included in general and administrative expenses on the condensed consolidated statements of operations and comprehensive loss.

AGEAGLE AERIAL SYSTEMS INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE SIX MONTHS ENDED JUNE 30, 2024 AND 2023

(UNAUDITED)

Note 8 – Leases-Continued

As of June 30, 2024 and December 31, 2023, balance sheet information related to the Company’s operating leases is as follows:

Balance Sheet Location	June 30, 2024		December 31, 2023
Right-of-use-assets	$	2,916,300	$	3,525,406
Current portion of lease liabilities	$	892,172	$	901,925
Long-term portion lease liabilities	$	2,119,690	$	2,721,743

As of Jun 30, 2024, scheduled future maturities of the Company’s lease liabilities are as follows:

Year Ending December 31,
2024 (rest of year)	$	522,487
2025		1,050,495
2026		828,672
2027		743,048
2028		185,762
Total future minimum lease payments, undiscounted		3,330,464
Less: Amount representing interest		(318,602	)
Present value of future minimum lease payments	$	3,011,862
Present value of future minimum lease payments – current	$	892,172
Present value of future minimum lease payments – long-term	$	2,119,690

As of June 30, 2024 and December 31, 2023, the weighted-average lease-term and discount rate of the Company’s leases are as follows:

Other Information	June 30, 2024			December 31, 2023
Weighted-average remaining lease terms (in years)		3.4			3.9
Weighted-average discount rate		6.1	%		6.1	%

For the three months ended June 30, 2024 and 2023, supplemental cash flow information related to leases is as follows:

	For the Three Months Ended June 30,				For the Six Months Ended June 30,
Other Information	2024		2023		2024		2023
Cash paid for amounts included in the measurement of liabilities: Operating cash flows for operating leases	$	265,051	$	264,430	$	510,101	$	528,343

AGEAGLE AERIAL SYSTEMS INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE SIX MONTHS ENDED JUNE 30, 2024 AND 2023

(UNAUDITED)