Vyome Holdings, Inc Leases Disclosure

13.

Leases

 

The Company leases offices and laboratory space in India, which were automatically extended for two one-year periods ending December 2026, with payments ranging from $2,500 to $2,900 per month. The Company intends to renew the leases through December 2026 as allowed under the lease agreement. In the U.S., the Company has month-to-month shared space arrangements, and therefore, there is no requirement to record a right of use asset and related liability.

 

Operating leases are presented in the Company’s Consolidated Balance Sheets as right-of-use assets, net, operating lease liability– current portion, and operating lease liability, net of current portion. The assets and liabilities from our leases are recognized at the lease commencement date based on the present value of remaining lease payments over the lease term using the Company’s incremental borrowing rates. Short-term leases, which have an initial term of 12 months or less, are not recorded on the balance sheet. As the Company’s operating leases do not provide implicit rates, the Company has utilized its incremental borrowing rate, determined based on the long-term borrowing costs of companies with similar credit profiles, to record its lease obligations. For operating leases, the Company recognizes the minimum rental expense on a straight-line basis based on the fixed components of a lease arrangement. The Company will amortize this expense over the term of the lease beginning with the lease commencement date.

 

If the Company renews the lease for the entire three-year period, as expected, the annual lease payments will be approximately $33,000 in the year ending December 31, 2026. The following table presents information about the amount and timing of liabilities arising from the Company’s operating leases as of December 31, 2025:

 

Lease payments – 2026		$	32,820
Total undiscounted operating lease payments			32,820
Less: Imputed interest			(1,562	)
Present value of operating lease liabilities		$	31,258
Current portion of lease liability		$	31,258
Long-term portion of lease liability			-
Total lease liability		$	31,258

 

		As of				As of
		December 31,				December 31,
		2025				2024
Weighted average remaining lease term in years			1.0				2.0
Weighted average discount rate			8.0	%			8.0	%

The Right of Use Asset on December 31, 2025 of $29,428 will be amortized over the 1 year remaining under the lease term. The Right of Use Asset balance on December 31, 2024, was $59,387. Rent expense was approximately $37,000 and $36,000 for the years ended December 31, 2025 and 2024 respectively.