Astrana Health, Inc. Leases Disclosure
The Company has operating and finance leases for corporate offices, physicians’ offices, and certain equipment. These leases have remaining lease terms ranging from 1 month to 21 years, some of which may include options to extend the leases for up to ten years, and some of which may include options to terminate the leases within one year. These leases consist of payments that are fixed or variable. Variable lease payments are based on an index or a rate such as the Consumer Price Index. As of December 31, 2024 and 2023, assets recorded under finance leases were $1.3 million and $1.7 million, respectively, and accumulated depreciation associated with finance leases was $2.2 million and $1.6 million, respectively.
Leases with an initial term of 12 months or less are not recorded on the consolidated balance sheets.
The components of lease expense were as follows (in thousands):
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Years Ended December 31, |
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2024 |
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2023 |
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2022 |
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Operating lease cost |
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$ |
12,594 |
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$ |
7,771 |
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$ |
6,622 |
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Finance lease cost |
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Amortization of lease expense |
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670 |
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|
675 |
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|
564 |
|
Interest on lease liabilities |
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83 |
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103 |
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70 |
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Sublease income |
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(248 |
) |
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(1,025 |
) |
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(649 |
) |
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Total lease cost |
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$ |
13,099 |
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$ |
7,524 |
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$ |
6,607 |
|
Other information related to leases was as follows (dollars in thousands):
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Years Ended December 31 , |
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2024 |
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2023 |
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2022 |
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Supplemental Cash Flows Information |
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Cash paid for amounts included in the measurement of lease liabilities: |
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Operating cash flows from operating leases |
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$ |
11,574 |
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$ |
7,783 |
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$ |
6,781 |
|
Operating cash flows from finance leases |
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|
83 |
|
|
|
103 |
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|
70 |
|
Financing cash flows from finance leases |
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|
670 |
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|
675 |
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|
564 |
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Right-of-use assets obtained in exchange for lease liabilities: |
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Operating leases |
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14,117 |
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25,124 |
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— |
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Finance leases |
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152 |
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|
486 |
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971 |
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December 31, 2024 |
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December 31, 2023 |
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Weighted-Average Remaining Lease Term |
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Operating leases |
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7.07 years |
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8.73 years |
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Finance leases |
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2.50 years |
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3.00 years |
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Weighted-Average Discount Rate |
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Operating leases |
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6.71 |
% |
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|
6.02 |
% |
Finance leases |
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|
5.73 |
% |
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|
5.24 |
% |
Future minimum lease payments under non-cancellable leases as of December 31, 2024 were as follows (in thousands):
Years ending December 31, |
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Operating |
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Finance |
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2025 |
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$ |
7,611 |
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$ |
607 |
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2026 |
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|
7,302 |
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|
345 |
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2027 |
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|
6,797 |
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|
267 |
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2028 |
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6,543 |
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27 |
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2029 |
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5,412 |
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|
8 |
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Thereafter |
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12,832 |
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— |
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Total future minimum lease payments |
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46,497 |
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|
1,254 |
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Less: imputed interest |
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|
10,493 |
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|
|
93 |
|
Total lease obligations |
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|
36,004 |
|
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|
1,161 |
|
Less: current portion |
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|
5,350 |
|
|
|
554 |
|
Long-term lease obligations |
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$ |
30,654 |
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|
$ |
607 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2024 | Mar 14, 2025 | Showing above |
| 2023 | Feb 29, 2024 | |
| 2022 | Mar 1, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Mar 15, 2021 | |
| 2019 | Mar 16, 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.