Leases

3 Months Ended

Mar. 31, 2024

LEASES

Lease cost is recognized in both the Cost of Sales and Operating Expenses sections of the Condensed Consolidated Statements of Income.


(In thousands)	Three Months Ended March 31,
	2024		2023
Lease Cost
Operating lease cost	$	4,493	$	4,349
Short-term lease cost		2,687		2,779
Variable lease cost		443		557
Total lease cost	$	7,623	$	7,685
Other Information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flow from operating leases	$	4,488	$	4,332
Right-of-use assets obtained in exchange for new operating lease liabilities		989		6,545

The following table outlines the maturities of lease liabilities as of March 31, 2024.


(In thousands)
Undiscounted Cash Flows:
2024 (excluding the three months ended March 31, 2024)	$	12,541
2025		12,911
2026		10,104
2027		7,771
2028		6,827
Subsequent to 2028		35,527
Total Undiscounted Cash Flows	$	85,681
Less: Imputed interest		(13,080	)
Present value	$	72,601
Current operating lease liabilities (1)		13,538
Non-current operating lease liabilities		59,063
Total lease liabilities	$	72,601

(1)

This item is included in the Accrued liabilities line on the Company’s Condensed Consolidated Balance Sheet.


Weighted-average remaining lease term-operating leases	9 Years
Weighted-average discount rate-operating leases		3.9	%

As of March 31, 2024, the Company had office equipment and automobile leases, valued at approximately $922,000, that had not commenced. These leases will commence during the second and third quarters of 2024 with lease terms ranging from three years to five years.