Leases
The Company’s lease population of its right-of-use assets and lease liabilities is substantially related to the rental of office space. The Company enters into lease agreements as a lessee that may include options to extend or terminate early. Some of these real estate leases require variable payments of property taxes, insurance, and common area maintenance, in addition to base rent. Certain of the leases have provisions for free rent during the lease term and/or escalating rent payments and, particularly for the Company’s longer-term leases for its corporate offices, it has received incentives to enter into the leases, such as receiving up to a specified dollar amount to construct tenant improvements. These leases do not include residual value guarantees, covenants, or other restrictions. See Note 2 - Summary of Significant Accounting Policies.
During the third quarter of 2025, the Company entered into a lease agreement for its new corporate headquarters in Boca Raton, Florida, as the lease agreement for its previous corporate headquarters expired on December 31, 2025. The Company took possession of its new corporate headquarters on December 1, 2025.
The table below presents the lease-related assets and liabilities included on the consolidated balance sheets:
| | | | | | | | | | | |
| Classification on Consolidated Balance Sheets: | December 31, 2025 | | December 31, 2024 |
| (amounts in thousands) |
| Operating lease right-of-use assets | $ | 2,206 | | $ | 2,468 |
| Operating lease liabilities - current | $ | 1,163 | | $ | 2,089 |
| Operating lease liabilities - non-current | $ | 1,155 | | $ | 1,782 |
| | | |
| December 31, 2025 | | December 31, 2024 |
| Weighted average remaining lease term | 2.4 years | | 2.6 years |
| Weighted average discount rate | 7.02 | % | | 7.05 | % |
The table below reconciles the undiscounted cash flows for each of, and total of, the remaining years to the operating lease liabilities (which do not include short-term leases) recorded on the consolidated balance sheets as of December 31, 2025:
| | | | | |
| Years Ending December 31: | (amounts in thousands) |
| 2026 | $ | 1,286 | |
| 2027 | 588 | |
| 2028 | 533 | |
| 2029 | 130 | |
| 2030 | — | |
| |
| Total minimum lease payments | 2,537 | |
| Less: amount of lease payments representing interest | (219) | |
| Present value of future minimum lease payments | 2,318 | |
| Less: operating lease liabilities - current | (1,163) | |
| Operating lease liabilities - non-current | $ | 1,155 | |
Other Information
The table below provides information regarding supplemental cash flows:
| | | | | | | | | | | | | | | | | |
| Year Ended December 31, |
| 2025 | | 2024 | | 2023 |
| (amounts in thousands) |
| Supplemental Cash Flow Information: | | | | | |
| Cash paid for amounts included in the measurement of operating lease liabilities | $ | 2,481 | | | $ | 3,212 | | | $ | 4,859 | |
| Right-of-use assets acquired under operating lease | $ | 816 | | | $ | 1,433 | | | $ | 1,040 | |
The components of lease expense are as follows: | | | | | | | | | | | | | | | | | |
| Year Ended December 31, |
| 2025 | | 2024 | | 2023 |
| (amounts in thousands) |
| Amounts Included in Consolidated Statements of Operations and Comprehensive (Loss) Income: | | | | | |
| Operating lease expense | $ | 1,230 | | | $ | 1,317 | | | $ | 1,681 | |
| Short-term lease expense | $ | 1,179 | | | $ | 1,439 | | | $ | 3,209 | |
| Variable and other lease costs | $ | 255 | | | $ | 851 | | | $ | 724 | |
Operating lease expense, short-term lease expense, and variable and other lease costs are included in selling, general and administrative expenses, direct operating expenses, and restructuring costs in the consolidated statements of operations and comprehensive (loss) income, depending on the nature of the leased asset. Operating lease expense is reported net of sublease income, which is not material.
As of December 31, 2025, the Company did not have any material operating leases that had not yet commenced, and does not have any finance lease contracts.