Beta Bionics, Inc. Leases Disclosure
In May and November 2023, the Company entered into two separate lease agreements for a total of approximately 8,500 square feet of office space in San Diego, California. These leases expire in January 2026 and February 2027, respectively, with the February 2027 lease including an option to extend the lease term for an additional five years. The option to extend the lease term was not included in the right-of-use asset and lease liability, as the Company determined at lease commencement that the option was not reasonably certain to be exercised.
In September 2024, the Company amended its lease for office space and a manufacturing facility in Irvine, California to include two renewal options. The Company is reasonably certain it will exercise one of these options, extending the lease term from May 2027 to June 2032, which has been factored into the lease
liability. As the amendment only resulted in the extension of the lease term, it did not meet the criteria to be accounted for as a separate contract. Accordingly, the right-of-use asset and lease liability were remeasured as of the effective date of the amendment, resulting in the recording of an additional right-of-use asset and lease liability of $3.8 million.
In October 2024, the Company entered into a lease agreement for an additional office suite to expand its office space in San Diego, California, which expires in March 2027. As a result, the Company recognized operating lease right-of-use asset and associated operating lease liability of $0.2 million.
In September 2025, the Company entered into a sublease agreement for an additional office building in San Diego, California, which expires in August 2028. As a result, the Company recognized operating lease right-of-use asset and associated operating lease liability of $1.3 million.
The components of lease expense were as follows:
|
|
Year Ended December 31, |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
|
|
(in thousands) |
|
|||||
Operating lease cost–fixed |
|
$ |
1,803 |
|
|
$ |
1,375 |
|
Operating lease cost–variable |
|
|
195 |
|
|
|
209 |
|
Short-term lease expense |
|
|
42 |
|
|
|
17 |
|
Total lease expense |
|
$ |
2,040 |
|
|
$ |
1,601 |
|
Cash paid for amounts included in the measurement of operating lease liabilities was $1.7 million and $1.3 million, respectively, for the years ended December 31, 2025 and 2024.
The weighted-average remaining lease term and discount rate were as follows:
|
|
December 31, 2025 |
|
|
Weighted-average remaining lease term |
|
|
5.26 |
|
Weighted-average discount rate |
|
|
6.80 |
% |
Future lease payments under non-cancellable leases as of December 31, 2025 were as follows:
(in thousands) |
|
|
|
|
Year Ending December 31, |
|
|
|
|
2026 |
|
|
2,006 |
|
2027 |
|
|
1,418 |
|
2028 |
|
|
1,384 |
|
2029 |
|
|
1,092 |
|
2030 |
|
|
1,136 |
|
Thereafter |
|
|
1,782 |
|
Total future lease payments |
|
$ |
8,818 |
|
Less: imputed interest |
|
|
(1,515 |
) |
Total lease liabilities |
|
$ |
7,303 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 24, 2026 | Showing above |
| 2024 | Mar 25, 2025 | |
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.