Leases Operating Leases
Company as a lessee
The Company enters into operating leases in the normal course of business, primarily for office space. As of December 31, 2025, the Company has five operating leases with remaining lease terms of less than one year to four years.
In conjunction with one of the operating leases, the Company secured a letter of credit which has a balance of $605 as of December 31, 2025, and 2024, respectively, recorded as “Restricted cash” on the consolidated balance sheets.
Components of lease cost included in “Selling, general and administrative expenses” on the consolidated statements of operations are as follows:
| | | | | | | | | | | | | | | | | |
| Year Ended December 31, |
| 2025 | | 2024 | | 2023 |
| Operating lease cost | $ | 3,274 | | | $ | 2,134 | | | $ | 1,652 | |
| Short-term lease cost | 349 | | | 1,167 | | | 460 | |
| Sublease income | (675) | | | (830) | | | (690) | |
| Total lease cost | $ | 2,948 | | | $ | 2,471 | | | $ | 1,422 | |
Supplemental cash flow information related to leases is as follows:
| | | | | | | | | | | | | | | | | |
| Year Ended December 31, |
| 2025 | | 2024 | | 2023 |
| Cash paid for amounts included in the measurement of lease liabilities | $ | 3,476 | | | $ | 2,163 | | | $ | 1,696 | |
| Right-of-use assets obtained in exchange for lease liabilities: | | | | | |
| New leases entered into during the year | $ | 1,708 | | | $ | 1,471 | | | $ | — | |
| Operating lease modifications | $ | 2,955 | | | $ | — | | | $ | — | |
Supplemental balance sheet information related to leases is as follows:
| | | | | | | | | | | |
| December 31, |
| 2025 | | 2024 |
| Assets: | | | |
| Right-of-use assets | $ | 4,723 | | $ | 3,053 |
| Liabilities: | | | |
| Accrued expenses and other current liabilities | 2,155 | | 2,370 |
| Lease liability, long-term portion | 2,574 | | 963 |
| Total operating lease liabilities | $ | 4,729 | | $ | 3,333 |
| Weighted average remaining operating lease term (years) | 2.5 | | 1.6 |
| Weighted average operating lease discount rate | 7.1% | | 9.1% |
The Company’s leases do not provide readily determinable implicit discount rates. The Company estimates its incremental borrowing rates as the discount rate based on the information available at lease commencement. Future maturities on lease liabilities are as follows:
| | | | | |
| December 31,
2025 |
| 2026 | $ | 2,199 | |
| 2027 | 1,386 | |
| 2028 | 1,001 | |
| 2029 | 585 | |
| |
| Thereafter | — | |
| Total lease payments | $ | 5,171 | |
| Less: imputed interest | (442) | |
| Total lease liabilities | $ | 4,729 | |
There were no leases with residual value guarantees or executed leases that had not yet commenced as of December 31, 2025.
Company as a lessor
The Company is a sublessor on one operating lease that expires in April 2026.
Future non-cancelable rent payments from the Company’s sublease tenant are as follows:
| | | | | |
| December 31,
2025 |
| 2026 | $ | 225 | |
| Thereafter | — | |
| $ | 225 | |