Core Laboratories Inc. /DE/ Leases Disclosure
6. LEASES
Our operating leases primarily consist of offices and lab space, machinery, equipment, and vehicles.
We abandoned certain leases in the U.S. and Canada during the years ended December 31, 2024 and 2023. We entered into a sublease agreement that commenced on July 1, 2023 and was terminated at the beginning of 2025, for a portion of the existing office and lab space in Calgary, Alberta, Canada. See Note 18 - Other (Income) Expense, net for additional information regarding the write-down of right of use assets.
The components of lease expense and other information are as follows (in thousands):
|
|
For the Years Ended December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
Consolidated Statements of Operations: |
|
|
|
|
|
|
|
|
|
|||
Operating lease expense |
|
$ |
17,056 |
|
|
$ |
16,998 |
|
|
$ |
17,454 |
|
Short-term lease expense |
|
|
1,596 |
|
|
|
1,720 |
|
|
|
1,768 |
|
Variable lease expense |
|
|
1,740 |
|
|
|
1,719 |
|
|
|
1,758 |
|
Sublease income |
|
|
— |
|
|
|
(227 |
) |
|
|
(113 |
) |
Total lease expense |
|
$ |
20,392 |
|
|
$ |
20,210 |
|
|
$ |
20,867 |
|
Consolidated Statements of Cash Flows: |
|
|
|
|
|
|
|
|
|
|||
Operating cash flows - operating leases payments |
|
$ |
17,008 |
|
|
$ |
16,708 |
|
|
$ |
16,541 |
|
Right of use assets obtained in exchange for operating lease liabilities |
|
$ |
10,988 |
|
|
$ |
14,237 |
|
|
$ |
17,005 |
|
Other information: |
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|
|
|
|
|
|
|
|
|||
Weighted-average remaining lease term - operating leases |
|
7.98 years |
|
|
8.70 years |
|
|
9.24 years |
|
|||
Weighted-average discount rate - operating leases |
|
|
5.47 |
% |
|
|
5.45 |
% |
|
|
5.32 |
% |
Scheduled undiscounted lease payments for non-cancellable operating leases consist of the following (in thousands):
|
|
December 31, 2025 |
|
|
|
|
Operating Leases |
|
|
2026 |
|
$ |
14,013 |
|
2027 |
|
|
11,142 |
|
2028 |
|
|
8,810 |
|
2029 |
|
|
6,058 |
|
2030 |
|
|
4,192 |
|
Thereafter |
|
|
22,531 |
|
Total undiscounted lease payments |
|
|
66,746 |
|
Less: Imputed interest |
|
|
(12,981 |
) |
Total operating lease liabilities |
|
$ |
53,765 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 23, 2026 | Showing above |
| 2024 | Feb 13, 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.