GEE Group Inc. Leases Disclosure
7. Leases
The Company occasionally acquires equipment under finance leases including hardware and software used by our IT department to improve security and capacity, and certain furniture for our offices. Terms for these leases generally range from two to six years. The assets obtained under finance leases are included in property and equipment, net, on the consolidated balance sheets.
Finance lease expenses such as amortization of the lease assets and interest expense on the lease liabilities are included on the consolidated statements of operations in depreciation expense and interest expense, respectively. Supplemental information related to these expenses consisted of the following:
|
| Fiscal 2025 |
|
| Fiscal 2024 |
| ||
| Amortization of finance lease assets |
| $ | 89 |
|
| $ | 95 |
|
| Interest on finance lease liabilities |
|
| 7 |
|
|
| 18 |
|
Supplemental balance sheet information related to finance leases consisted of the following:
|
| September 30, 2025 |
|
| September 30, 2024 |
| ||
| Net book value of finance lease assets |
| $ | 113 |
|
| $ | 202 |
|
| Weighted average remaining lease term for finance leases |
| 1.2 years |
|
| 2.2 years |
| ||
| Weighted average discount rate for finance leases |
|
| 5.3% |
|
| 5.3% | ||
The table below reconciles the undiscounted future minimum lease payments under non-cancelable finance lease agreements to the total finance lease liabilities recognized on the consolidated balance sheets, included in other current liabilities and other long-term liabilities, as of September 30, 2025:
Fiscal 2026 |
| $ | 73 |
|
Fiscal 2027 |
|
| 12 |
|
Less: Imputed interest |
|
| (3 | ) |
Present value of finance lease liabilities (a) |
| $ | 82 |
|
| (a) | Includes current portion of $70 for finance leases. |
The Company leases space for all its branch offices, which are generally located either in downtown or suburban business centers, and for its corporate headquarters. Branch offices are generally leased over periods ranging from three to five years. The corporate office lease expires in 2026. The Company’s leases generally provide for payment of basic rent plus a share of building real estate taxes, maintenance costs and utilities.
Operating lease expenses included in selling, general, and administrative expenses on the consolidated statements of operations were $1,748 and $2,029 for fiscal 2025 and 2024, respectively.
Supplemental cash flow information related to operating leases consisted of the following:
|
| Fiscal 2025 |
|
| Fiscal 2024 |
| ||
| Cash paid for operating lease liabilities |
| $ | 1,252 |
|
| $ | 1,557 |
|
| Right-of-use assets obtained in exchange for new operating lease liabilities |
|
| 488 |
|
|
| 906 |
|
Supplemental balance sheet information related to operating leases consisted of the following:
|
| September 30, 2025 |
|
| September 30, 2024 |
| ||
| Weighted average remaining lease term for operating leases |
| 2.6 years |
|
| 2.6 years |
| ||
| Weighted average discount rate for operating leases |
|
| 5.5% |
|
| 5.6% | ||
The table below reconciles the undiscounted future minimum lease payments under non-cancelable operating lease agreements having initial terms in excess of one year to the total operating lease liabilities recognized on the consolidated balance sheet as of September 30, 2025, including certain closed offices are as follows:
Fiscal 2026 |
| $ | 1,048 |
|
Fiscal 2027 |
|
| 893 |
|
Fiscal 2028 |
|
| 620 |
|
Fiscal 2029 |
|
| 316 |
|
Fiscal 2030 |
|
| 123 |
|
Less: Imputed interest |
|
| (185 | ) |
Present value of operating lease liabilities (a) |
| $ | 2,815 |
|
| (a) | Includes current portion of $986 for operating leases. |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Dec 17, 2025 | Showing above |
| 2023 | Dec 18, 2023 | |
| 2022 | Dec 20, 2022 | |
| 2021 | Dec 23, 2021 | |
| 2020 | Dec 29, 2020 | |
| 2016 | Dec 22, 2016 | |
| 2015 | Dec 29, 2015 | |
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.