LEASES

9 Months Ended

Sep. 30, 2024

LEASES

LEASES

3. LEASES

The Company leases identified assets consisting primarily of office and warehouse space, warehouse equipment and vehicles. Leases are classified as either finance leases or operating leases based on criteria in ASC 842, “Leases”. The Company’s leases have remaining lease terms of less than one year to 10 years, some of which include options to extend the leases for up to five years, and some of which include options to terminate the leases within one year.

The components of lease cost were as follows:

	Three-Months Ended September 30,				Nine-Months Ended September 30,
	2024		2023		2024		2023
Operating lease cost	$	4,086	$	2,968	$	11,776	$	8,051
Short-term lease cost		2,182		2,209		7,004		4,258
Variable lease cost		231		295		672		736
Finance leases:
Amortization of right-of-use assets		131		383		1,215		708
Interest on lease liabilities		27		88		175		146
Finance lease cost		158		471		1,390		854
Total lease cost	$	6,657	$	5,943	$	20,842	$	13,899

Supplemental cash flow information was as follows:

	Nine-Months Ended September 30,
	2024		2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash outflows from operating leases	$	11,163	$	7,600
Operating cash outflows from finance leases		175		146
Financing cash outflows from finance leases		6,718		3,660
Right-of-use assets obtained in exchange for lease obligations:
Finance leases		2,977		10,120
Operating leases		6,405		15,944

Supplemental balance sheet information was as follows:

		September 30,		December 31,
	Balance Sheet Location	2024		2023
Operating leases:
Right-of-use assets	Other assets	$	55,808	$	58,845
Current lease liabilities	Accrued liabilities	$	11,331	$	11,088
Noncurrent lease liabilities	Other liabilities		45,380		48,459
Total operating lease liabilities		$	56,711	$	59,547
Finance leases:
Right-of-use assets	Property and equipment, net	$	5,190	$	11,147
Current lease liabilities	Accrued liabilities	$	2,676	$	6,449
Noncurrent lease liabilities	Other liabilities		43		19
Total finance lease liabilities		$	2,719	$	6,468

Weighted-average remaining lease term and weighted-average discount rate for the Company’s leases were as follows:

	September 30,		December 31,
	2024		2023
Weighted-average remaining lease term in years:
Operating leases	5.8		6.3
Finance leases	0.9		0.7
Weighted-average discount rate:
Operating leases	4.8	%	4.7	%
Finance leases	6.1	%	6.3	%

The following table outlines maturities of the Company’s lease liabilities as of September 30, 2024:

	Undiscounted Future Lease Payments
	Operating Leases		Finance Leases
2024 (from October 1, 2024 to December 31, 2024)	$	3,329	$	1,117
2025		13,424		1,638
2026		11,080		14
2027		10,174		11
2028		8,606		11
2029 and thereafter		18,566		6
Total lease payments		65,179		2,797
Less imputed interest		(8,468)		(78)
Total	$	56,711	$	2,719

As of September 30, 2024, the Company did not have any significant leases that had not yet commenced.