Definitive Healthcare Corp. Leases Disclosure
The Company leases real estate in the form of office space facilities. Generally, the term for real estate leases ranges from 1 to 9 years at inception of the contract. Some real estate leases include options to renew that can extend the original term by 5 to 10 years.
Operating lease costs are allocated according to headcount to cost of revenue, sales and marketing, product development, and general and administrative expenses in the consolidated statements of operations. As of December 31, 2025, the Company does not have any .
During the third quarter of 2025, the Company executed a new one-year lease agreement for its office space in India. Accordingly, the Company recorded an initial right-of-use asset (“ROU asset”) and corresponding operating lease liability of $0.2 million, which represented the present value of the expected future minimum lease payments.
During the second quarter of 2024, the Company executed a plan to exit part of its office headquarters, which was accounted for as a lease modification under ASC 842, and plans to sublease the vacant space. The Company ceased use of the office facility during the second quarter of 2024 and recorded impairment charges of $1.2 million, comprised of $0.9 million related to the ROU asset and $0.3 million related to the remaining unamortized balance of leasehold improvements associated with the exited space. During the year ended December 31, 2025, the Company recorded additional impairment charges of $0.6 million related to the ROU asset. The impairment charges were based on estimates of future income that may be collected from a sublease tenant. These impairment charges were recognized within transaction, integration, and restructuring expenses in the Company’s consolidated statements of operations.
During the third quarter of 2024, the Company executed a new five-year lease agreement for an office in India. Accordingly, the Company recorded an initial ROU asset and corresponding operating lease liability of $0.8 million, which represented the present value of the expected future minimum lease payments.
During the first quarter of 2023, the Company executed a plan to exit one of its office facilities by exercising an early termination clause, which was accounted for as a lease modification under ASC 842. The Company ceased use of the office facility during the period and accordingly recorded a $0.2 million impairment charge, which represented the remaining carrying value of the ROU asset as of March 31, 2023.
During the third quarter of 2023, the Company executed a new four-year lease agreement for its office in Sweden. Accordingly, the Company recorded an initial ROU asset and corresponding operating lease liability of $1.6 million, which represented the present value of the expected future minimum lease payments.
The Company recorded the following lease costs for the years ended December 31, 2025, 2024, and 2023:
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Year Ended December 31, |
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(in thousands) |
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2025 |
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2024 |
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2023 |
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Amortization of capitalized operating lease cost |
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$ |
2,111 |
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$ |
2,073 |
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$ |
2,202 |
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Total lease cost |
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$ |
2,111 |
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$ |
2,073 |
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$ |
2,202 |
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Supplemental cash flow and other information for the years ended December 31, 2025, 2024, and 2023:
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Year Ended December 31, |
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(in thousands) |
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2025 |
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2024 |
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2023 |
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Cash paid for amounts included in measurement of lease liabilities and capitalized operating leases: |
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Operating cash flows |
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$ |
2,981 |
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$ |
2,710 |
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$ |
2,052 |
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Right-of-use assets obtained in exchange for lease liabilities: |
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Capitalized operating leases |
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$ |
209 |
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$ |
787 |
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$ |
1,563 |
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Lease term and discount rate consisted of the following as of:
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December 31, 2025 |
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December 31, 2024 |
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Weighted-average remaining lease term (in years): |
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Capitalized operating leases |
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2.94 |
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3.92 |
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Weighted-average discount rate: |
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Capitalized operating leases |
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4.6 |
% |
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4.6 |
% |
The table below reconciles the undiscounted future minimum lease payments (displayed by year and in the aggregate) under noncancelable operating leases with terms of more than one year to the total operating lease liabilities recognized on the consolidated balance sheets as of December 31, 2025.
(in thousands) |
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Capitalized Operating Lease |
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2026 |
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$ |
3,019 |
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2027 |
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|
2,660 |
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2028 |
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2,357 |
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2029 |
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|
305 |
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$ |
8,341 |
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Imputed interest |
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|
510 |
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Total operating lease liability balance at December 31, 2025 |
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$ |
7,831 |
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Total rent expense, which was allocated according to headcount to cost of revenue, sales and marketing, product development and general and administrative expenses in the consolidated statements of operations, was $2.1 million, $2.0 million, and $2.0 million for the years ended December 31, 2025, 2024, and 2023, respectively.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 27, 2025 | |
| 2023 | Feb 28, 2024 | |
| 2022 | Feb 27, 2023 | |
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.