Axe Compute Inc. Leases Disclosure
NOTE 8 – LEASES
The Company’s corporate offices and other offices are located in Pittsburgh, Pennsylvania. The leases are effective through February 29, 2028.
Lease expense under operating lease arrangements, recorded within general and administrative expenses of continuing operations, was $784,674 and $784,873 for the years ended December 31, 2025, and 2024, respectively.
The following table summarizes other information related to the Company’s operating leases used in continuing operations:
| December 31, 2025 |
December 31, 2024 |
|||||||
|
Weighted average remaining lease term – operating leases in years |
2.16 | 3.16 | ||||||
|
Weighted average discount rate – operating leases |
13 |
% |
13 | % | ||||
The Company’s operating lease obligations as of December 31, 2025, which include expected lease extensions that are reasonably certain of renewal, were as follows:
|
2026 |
803,724 | |||
|
2027 |
827,909 | |||
|
2028 |
139,022 | |||
|
Total lease payments |
1,770,655 | |||
|
Less: interest |
(212,417 |
) |
||
|
Present value of lease liabilities |
$ | 1,558,238 |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 31, 2026 | Showing above |
| 2024 | Mar 31, 2025 | |
| 2023 | Mar 28, 2024 | |
| 2022 | Mar 21, 2023 | |
| 2021 | Mar 31, 2022 | |
| 2020 | Mar 15, 2021 | |
| 2019 | Apr 1, 2020 | |
About Leases Disclosures
Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.
Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.