| LEASES |
LEASES
Lease cost for the three and six months ended June 30, 2023 and 2022, respectively, are as follow (in thousands):
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Three Months Ended
June 30, 2023 |
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Three Months Ended
June 30, 2022 |
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Six Months Ended
June 30, 2023 |
|
Six Months Ended
June 30, 2022 |
Operating lease cost(1)
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|
$ |
1,117 |
|
|
$ |
1,333 |
|
|
$ |
2,271 |
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|
$ |
2,642 |
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| Finance lease cost: |
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|
|
|
|
| Amortization of right-of-use assets |
|
118 |
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|
— |
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|
118 |
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|
— |
|
| Interest on lease liabilities |
|
75 |
|
|
— |
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|
75 |
|
|
— |
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| Total lease cost |
|
$ |
1,310 |
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|
$ |
1,333 |
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|
$ |
2,464 |
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|
$ |
2,642 |
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| Reported in: |
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| Cost of goods sold |
|
$ |
1,171 |
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$ |
1,228 |
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$ |
2,264 |
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|
$ |
2,432 |
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| Selling, general and administrative |
|
139 |
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|
105 |
|
|
200 |
|
|
210 |
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| Total lease cost |
|
$ |
1,310 |
|
|
$ |
1,333 |
|
|
$ |
2,464 |
|
|
$ |
2,642 |
|
(1) Operating lease cost does not include short-term leases or variable costs, all of which are immaterial.
As of June 30, 2023 the weighted-average remaining lease term of operating leases and finance leases were approximately 7.4 years and 9.2 years, respectively and the weighted-average discount rates applied were 5.8% and 7.9%, respectively.
Supplemental cash flow information related to leases for the six months ended June 30, 2023 and June 30, 2022 are as follows (in thousands):
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Six Months Ended
June 30, 2023 |
|
Six Months Ended
June 30, 2022 |
| Cash paid for amounts included in the measurement of lease liabilities: |
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|
|
| Operating cash flows for operating leases |
$ |
2,263 |
|
|
$ |
2,511 |
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| Operating cash flows for finance leases |
67 |
|
|
— |
|
| Financing cash flows for finance leases |
103 |
|
|
— |
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| Right-of-use assets obtained in exchange for new lease obligations: |
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|
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| Operating leases |
$ |
— |
|
|
$ |
912 |
|
| Finance leases |
4,688 |
|
|
— |
|
| Net change in operating lease right-of-use assets due to lease modifications resulting in reclassification of leases from operating to finance |
$ |
(1,514) |
|
|
— |
|
As of June 30, 2023, the estimated future minimum payment obligations for non-cancelable operating leases are as follows (in thousands):
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|
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|
|
|
|
Operating Leases |
|
Finance Leases |
| Remainder of 2023 |
|
$ |
1,983 |
|
|
$ |
383 |
|
| 2024 |
|
3,100 |
|
|
723 |
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| 2025 |
|
2,948 |
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|
703 |
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| 2026 |
|
2,585 |
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|
617 |
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| 2027 |
|
1,955 |
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|
580 |
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| Thereafter |
|
6,742 |
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|
4,231 |
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| Total Lease payments |
|
19,313 |
|
|
7,237 |
|
| Less: imputed interest |
|
3,859 |
|
|
2,500 |
|
| Present value of lease liabilities |
|
$ |
15,454 |
|
|
$ |
4,737 |
|
|
| LEASES |
LEASES
Lease cost for the three and six months ended June 30, 2023 and 2022, respectively, are as follow (in thousands):
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|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
Three Months Ended
June 30, 2023 |
|
Three Months Ended
June 30, 2022 |
|
Six Months Ended
June 30, 2023 |
|
Six Months Ended
June 30, 2022 |
Operating lease cost(1)
|
|
$ |
1,117 |
|
|
$ |
1,333 |
|
|
$ |
2,271 |
|
|
$ |
2,642 |
|
| Finance lease cost: |
|
|
|
|
|
|
|
|
| Amortization of right-of-use assets |
|
118 |
|
|
— |
|
|
118 |
|
|
— |
|
| Interest on lease liabilities |
|
75 |
|
|
— |
|
|
75 |
|
|
— |
|
| Total lease cost |
|
$ |
1,310 |
|
|
$ |
1,333 |
|
|
$ |
2,464 |
|
|
$ |
2,642 |
|
|
|
|
|
|
|
|
|
|
| Reported in: |
|
|
|
|
|
|
|
|
| Cost of goods sold |
|
$ |
1,171 |
|
|
$ |
1,228 |
|
|
$ |
2,264 |
|
|
$ |
2,432 |
|
| Selling, general and administrative |
|
139 |
|
|
105 |
|
|
200 |
|
|
210 |
|
| Total lease cost |
|
$ |
1,310 |
|
|
$ |
1,333 |
|
|
$ |
2,464 |
|
|
$ |
2,642 |
|
(1) Operating lease cost does not include short-term leases or variable costs, all of which are immaterial.
As of June 30, 2023 the weighted-average remaining lease term of operating leases and finance leases were approximately 7.4 years and 9.2 years, respectively and the weighted-average discount rates applied were 5.8% and 7.9%, respectively.
Supplemental cash flow information related to leases for the six months ended June 30, 2023 and June 30, 2022 are as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended
June 30, 2023 |
|
Six Months Ended
June 30, 2022 |
| Cash paid for amounts included in the measurement of lease liabilities: |
|
|
|
| Operating cash flows for operating leases |
$ |
2,263 |
|
|
$ |
2,511 |
|
| Operating cash flows for finance leases |
67 |
|
|
— |
|
| Financing cash flows for finance leases |
103 |
|
|
— |
|
| Right-of-use assets obtained in exchange for new lease obligations: |
|
|
|
| Operating leases |
$ |
— |
|
|
$ |
912 |
|
| Finance leases |
4,688 |
|
|
— |
|
| Net change in operating lease right-of-use assets due to lease modifications resulting in reclassification of leases from operating to finance |
$ |
(1,514) |
|
|
— |
|
As of June 30, 2023, the estimated future minimum payment obligations for non-cancelable operating leases are as follows (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Leases |
|
Finance Leases |
| Remainder of 2023 |
|
$ |
1,983 |
|
|
$ |
383 |
|
| 2024 |
|
3,100 |
|
|
723 |
|
| 2025 |
|
2,948 |
|
|
703 |
|
| 2026 |
|
2,585 |
|
|
617 |
|
| 2027 |
|
1,955 |
|
|
580 |
|
| Thereafter |
|
6,742 |
|
|
4,231 |
|
| Total Lease payments |
|
19,313 |
|
|
7,237 |
|
| Less: imputed interest |
|
3,859 |
|
|
2,500 |
|
| Present value of lease liabilities |
|
$ |
15,454 |
|
|
$ |
4,737 |
|
|