5. Leases

The Company’s operating lease consists of a lease for office and laboratory space in the United States, which expires in April 2030. The lease provides for increases in future minimum annual rental payments as defined in the lease agreement and has no further renewal option.

Short-term leases are leases having a term of twelve months or less. The Company recognizes short-term leases on a straight-line basis and does not record a related lease asset or liability for such leases.

Rent expense under the Company’s operating leases during the years ended December 31, 2025 and 2024 was $0.6 million and $0.5 million, respectively. Rent expense includes short-term leases and variable lease costs that are not included in the lease obligation.

The cash paid for operating lease liabilities for the years ended December 31, 2025 and 2024 was $0.4 million and $0.5 million, respectively.

Supplemental balance sheet information related to the operating leases is as follows (in thousands):

2025

2024

 

Balance Sheet Classification

Operating lease obligations, current (see Note 6)

  ​ ​ ​

$

256

  ​ ​ ​

$

279

Accrued expenses and other current liabilities

Operating lease obligations, noncurrent (see Note 8)

1,145

1,402

Other noncurrent liabilities

Operating lease right-of-use assets

$

1,425

$

1,639

Other assets

Weighted-average remaining lease term (years)

 

4.3

 

5.3

Weighted-average discount rate

 

9.5

%  

 

9.5

%

Maturities of operating lease liabilities are as follows (in thousands):

2026

$

376

2027

 

387

2028

 

398

2029

410

2030

138

Total operating lease payments

 

1,709

Less: imputed interest

 

(308)

Total operating lease liabilities

$

1,401

Historical Timeline

Fiscal YearFiled
2025Mar 6, 2026Showing above
2024Feb 27, 2025
2023Mar 27, 2024
2022Feb 28, 2023
2021Mar 15, 2022
2020Feb 25, 2021
2019Mar 27, 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.