Crocs, Inc.CROX

Crocs, Inc. Leases Disclosure

10-KFiled Feb 12, 20261 min read
LEASES
Right-of-Use Assets and Operating Lease Liabilities

Amounts reported in the consolidated balance sheets were:
December 31,
20252024
(in thousands)
Assets:
Right-of-use assets$338,669 $307,228 
Liabilities:
Current operating lease liabilities$85,772 $68,551 
Long-term operating lease liabilities297,192 283,406 
Total operating lease liabilities$382,964 $351,957 

Lease Costs and Other Information

Lease-related costs reported within ‘Cost of sales’ and ‘Selling, general and administrative expenses’ were:
Year Ended December 31,
20252024
(in thousands)
Operating lease cost$104,313 $85,130 
Short-term lease cost11,455 12,051 
Variable lease cost45,405 48,402 
Total lease costs$161,173 $145,583 

The weighted average remaining lease term and discount rate related to our lease liabilities as of December 31, 2025, were 5.5 years and 6.6%, respectively. As of December 31, 2024, the weighted average remaining lease term and discount rate related to our lease liabilities were 6.2 years and 6.5%, respectively.

During the years ended December 31, 2024, and 2023, we also impaired certain right-of-use assets as described in Note 7 — Fair Value Measurements.
Maturities

The maturities of our operating lease liabilities were:
As of
December 31, 2025
(in thousands)
2026$98,450 
202791,560 
202873,371 
202958,487 
203043,158 
Thereafter95,745 
Total future minimum lease payments460,771 
Less: imputed interest(77,807)
Total operating lease liabilities$382,964 

Historical Timeline

Fiscal YearFiled
2025Feb 12, 2026Showing above
2024Feb 13, 2025
2023Feb 15, 2024
2022Feb 16, 2023
2021Feb 16, 2022
2020Feb 23, 2021
2019Feb 27, 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.

Other Available Disclosures

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