Leases
The Company has leases for corporate offices under non-cancelable operating leases with various expiration dates. The Company did not have any finance leases during the years ended January 31, 2026 and 2025.
On August 2, 2023, the Company entered into a 10-year operating lease agreement for a new corporate headquarters located in New York, New York. The Company has the option to extend the term for 60 months, which is not included in its operating lease ROU assets and lease liabilities, as the lease renewal is not reasonably certain to be exercised. The lease commenced on April 29, 2024, and payments began in December 2024.
The components of lease expense were as follows:
| | | | | | | | | | | | | | | | | |
| Year Ended January 31, |
| (in thousands) | 2026 | | 2025 | | 2024 |
| Operating lease cost | $ | 12,186 | | | $ | 12,396 | | | $ | 11,086 | |
| Variable lease cost | 1,385 | | | 1,307 | | | 1,270 | |
| Short-term lease cost | 380 | | | 493 | | | 714 | |
| Total lease cost | $ | 13,951 | | | $ | 14,196 | | | $ | 13,070 | |
The weighted-average remaining lease terms and discount rates were as follows:
| | | | | | | | | | | |
| January 31, |
| 2026 | | 2025 |
| Weighted-average remaining lease term (in years) | 6.46 | | 7.16 |
| Weighted-average discount rate | 8.41 | % | | 8.70 | % |
The maturities of lease liabilities under non-cancelable operating leases, net of lease incentives were as follows:
| | | | | | | | |
| (in thousands) | | |
| Fiscal year ended January 31, | | |
| 2027 | | $ | 11,976 | |
| 2028 | | 10,081 | |
| 2029 | | 8,298 | |
| 2030 | | 6,880 | |
| 2031 | | 6,345 | |
| Thereafter | | 17,829 | |
Total minimum lease payments | | 61,409 | |
| Less: imputed interest | | (14,677) | |
| Total | | $ | 46,732 | |
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.