Cricut, Inc.CRCT

Cricut, Inc. Leases Disclosure

10-KFiled Mar 4, 20262 min read
Leases
The Company leases office space with original lease terms ranging from 1 to 6 years. These leases require monthly lease payments that may be subject to annual increases throughout the lease term. Certain of these leases also include renewal options at the election of the Company to renew or extend the lease.
In December 2024, the Company amended its operating lease for its corporate headquarters in South Jordan, Utah to extend the term through May 2029 and to reduce the annual rent rate for future periods. As a result of this amendment, the Company remeasured the associated operating lease liability and right-of-use asset for this lease.
The Company has determined its leases should be classified as operating leases. Variable lease costs are comprised primarily of the Company's proportionate share of operating expenses, property taxes, and insurance and are classified as lease cost due to the Company's election to not separate lease and non-lease components. For the years ended December 31, 2025, 2024 and 2023, the Company incurred operating lease costs of $4.1
million, $5.0 million and $5.4 million, respectively, and variable lease costs of $0.4 million, $0.4 million and $0.4 million, respectively.
Cash paid for amounts included in the measurement of operating lease liabilities for the years ended December 31, 2025, 2024 and 2023 was $4.6 million, $5.6 million and $5.9 million, respectively, and was included in net cash used in operating activities in the Company's consolidated statements of cash flows.
As of December 31, 2025, the maturities of the Company's operating lease liabilities were as follows: 
Operating Leases
(in thousands)
2026$4,131 
20272,869 
20284,023 
20291,694 
Total lease payments$12,717 
Less: imputed interest$(1,093)
Present value of operating lease liabilities$11,624 
Operating lease liabilities, current$3,606 
Operating lease liabilities, non-current$8,018 
The weighted average remaining operating lease term and the weighted average discount rate used to determine the operating lease liability were as follows:
As of December 31, 2025As of December 31, 2024
Weighted-average remaining lease term of operating leases3.3 years4.2 years
Weighted-average discount rate of operating leases5.4 %5.3 %

Historical Timeline

Fiscal YearFiled
2025Mar 4, 2026Showing above
2024Mar 5, 2025
2023Mar 6, 2024
2022Mar 13, 2023
2021Mar 9, 2022

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.

Other Available Disclosures

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