| LEASES |
LEASES
Lease cost for the three months ended March 31, 2024 and 2023 are as follows (in thousands):
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Three Months Ended March 31, |
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2024 |
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2023 |
Operating lease cost (1)
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$ |
913 |
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$ |
1,153 |
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| Finance lease cost: |
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| Amortization of right-of-use assets |
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341 |
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— |
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| Interest on lease liabilities |
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138 |
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— |
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| Total lease cost |
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$ |
1,392 |
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$ |
1,153 |
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| Reported in: |
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| Cost of goods sold |
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$ |
1,233 |
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$ |
1,092 |
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| Selling, general and administrative expense |
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159 |
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|
61 |
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| Total lease cost |
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$ |
1,392 |
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$ |
1,153 |
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(1)Operating lease cost does not include short-term leases or variable costs, all of which are immaterial.
As of March 31, 2024, the weighted-average remaining lease terms of the Company’s operating leases and finance leases were approximately 8.2 years and 7.0 years, respectively, and the weighted-average discount rates applied were 6.7% and 7.6%, respectively.
Supplemental cash flow information related to leases for the three months ended March 31, 2024 and 2023 are as follows (in thousands):
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Three Months Ended March 31, |
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2024 |
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2023 |
| Cash paid for amounts included in the measurement of operating lease liabilities: |
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| Operating cash flows for operating leases |
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$ |
838 |
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$ |
1,169 |
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| Operating cash flows for finance leases |
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130 |
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— |
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| Financing cash flows for finance leases |
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172 |
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— |
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| Right-of-use assets obtained in exchange for new lease obligations: |
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| Operating leases |
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$ |
97 |
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$ |
10 |
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| Financing leases |
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686 |
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— |
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As of March 31, 2024, the estimated future minimum payment obligations for non-cancelable operating and finance leases are as follows (in thousands):
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Operating Leases |
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Finance Leases |
| Remainder of 2024 |
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$ |
2,371 |
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$ |
949 |
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| 2025 |
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3,142 |
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1,177 |
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| 2026 |
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2,811 |
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|
1,049 |
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| 2027 |
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2,667 |
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|
889 |
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| 2028 |
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1,995 |
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|
1,632 |
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| Thereafter |
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9,065 |
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4,063 |
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| Total lease payments |
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22,051 |
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9,759 |
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| Less: imputed interest |
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(5,385) |
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(2,798) |
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| Present value of lease liabilities |
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$ |
16,666 |
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$ |
6,961 |
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