LEMAITRE VASCULAR INC Commitments Disclosure
8. Commitments
Leases
The Company determines if an arrangement is a lease at inception of the contract. The Company has operating leases for buildings, primarily for office space, manufacturing and distribution, as well as automobiles and printing equipment. As of December 31, 2025, the Company had the following building and facility leases capitalized on the balance sheet:
Location (leases) |
|
Purpose |
|
Expiration |
Americas |
|
|
|
|
Burlington, MA (4) |
|
Corporate headquarters and manufacturing |
|
December 2034 |
North Brunswick, NJ |
|
Artegraft biologic business |
|
October 2029 |
Fox River Grove, IL (2) |
|
RestoreFlow allografts business |
|
December 2026 |
Burlington, MA |
|
US distribution |
|
December 2030 |
Vaughan, Canada |
|
Canada sales office and distribution |
|
February 2026 |
|
|
|
|
|
Europe, Middle East and Africa |
|
|
|
|
Sulzbach, Germany |
|
European headquarters and distribution |
|
June 2031 |
Milan, Italy |
|
Italy sales office and distribution |
|
September 2027 |
Hereford, England |
|
United Kingdom sales office and distribution |
|
October 2029 |
Maisons-Alfort, France |
|
France sales office |
|
February 2030 |
Glattbrugg, Switzerland |
|
Switzerland sales office and distribution |
|
February 2030 |
Dublin, Ireland |
|
Ireland sales office and distribution |
|
September 2030 |
Madrid, Spain |
|
Spain sales office and distribution |
|
June 2029 |
|
|
|
|
|
Asia Pacific |
|
|
|
|
Tokyo, Japan |
|
Japan sales office and distribution |
|
July 2027 |
Shanghai, China |
|
China sales office and distribution |
|
October 2027 |
Docklands, Australia |
|
Australia sales office and distribution |
|
April 2030 |
Bangkok, Thailand |
|
Thailand sales office and distribution |
|
August 2026 |
Seoul, Korea |
|
Korea sales office and distribution |
|
April 2027 |
Singapore |
|
Asia Pacific headquarters and distribution |
|
June 2026 |
Ballarat, Australia |
|
Supply facility |
|
December 2030 |
Operating lease right-of-use ("ROU") assets and operating lease liabilities are recognized based on the present value of the future lease minimum payments over the lease term at commencement date. Many of the lease agreements contain renewal or termination clauses that are factored into the determination of the lease term if it is reasonably certain that these options would be exercised. The Company recognizes lease expense for these leases on a straight-line basis over the lease term.
None of the Company’s noncancelable lease payments include non-lease components such as maintenance contracts. The Company generally reimburses the landlord for direct operating costs associated with the leased space. The Company has no subleases, and there are no residual value guarantees associated with, or restrictive covenants imposed by, any of its leases. The Company held no assets under finance leases as of December 31, 2025. The Company elected the package of practical expedients
that allow it to omit leases with initial terms of 12 months or less from its balance sheet, which the Company expenses on a straight-line basis over the life of the lease.
The interest rate implicit in lease agreements is typically not readily determinable, and as such the Company used the incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The incremental borrowing rate is defined as the interest the Company would pay to borrow on a collateralized basis.
Additional information with respect to the Company’s leases is as follows:
|
|
Year ended |
|
|
Year ended |
|
||
|
|
December 31, |
|
|
December 31, |
|
||
|
|
2025 |
|
|
2024 |
|
||
|
|
(in thousands) |
|
|
(in thousands) |
|
||
Lease cost |
|
|
|
|
|
|
||
Operating lease cost |
|
$ |
3,652 |
|
|
$ |
2,895 |
|
Short-term lease cost |
|
|
89 |
|
|
|
80 |
|
Total lease cost |
|
$ |
3,741 |
|
|
$ |
2,975 |
|
Other information |
|
|
|
|
|
|
||
Cash paid for amounts included in the measurement of |
|
$ |
3,611 |
|
|
$ |
3,991 |
|
Right-of-use assets obtained in exchange for new |
|
$ |
1,534 |
|
|
$ |
1,637 |
|
Weighted average remaining lease term - operating |
|
|
5.8 |
|
|
|
6.5 |
|
Weighted average discount rate - operating leases |
|
|
6.65 |
% |
|
|
6.63 |
% |
As of December 31, 2025, the minimum noncancelable operating lease rental commitments with initial or remaining terms of more than one year are as follows:
Year ending December 31, |
|
|
|
|
2026 |
|
$ |
3,972 |
|
2027 |
|
|
3,193 |
|
2028 |
|
|
2,895 |
|
2029 |
|
|
2,769 |
|
2030 |
|
|
2,248 |
|
Thereafter |
|
|
6,432 |
|
Adjustment to net present value as of December 31, 2025 |
|
|
(4,562 |
) |
Minimum noncancelable lease liability |
|
$ |
16,947 |
|
In June 2025, the Company executed a new building lease agreement in Billerica, Massachusetts for U.S. distribution. The 34,400 square foot building lease commenced on January 1, 2026, with a primary term through December 31, 2032. The Company has the option to renew the primary term of the lease for one additional 24-month period.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Feb 28, 2025 | |
| 2023 | Feb 29, 2024 | |
| 2022 | Mar 1, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Mar 12, 2021 | |
| 2019 | Mar 12, 2020 | |
| 2018 | Mar 11, 2019 | |
| 2017 | Mar 9, 2018 | |
| 2016 | Mar 9, 2017 | |
| 2015 | Mar 10, 2016 | |
About Commitments Disclosures
Commitments and contingencies disclosures catalog a company's off-balance-sheet obligations and legal exposures — purchase commitments, guarantee arrangements, pending litigation, and regulatory proceedings. These items represent potential future cash outflows that may not appear as liabilities on the balance sheet until they become probable and estimable.
Key signals: litigation reserves and disclosed loss ranges quantify management's estimate of legal exposure, but unquantified "reasonably possible" losses often represent the larger risk. Watch for changes in language around pending cases — shifts from "remote" to "reasonably possible" or increases in estimated loss ranges signal deteriorating outcomes. Unconditional purchase obligations and take-or-pay contracts create fixed cost structures that reduce operational flexibility. Guarantee arrangements for subsidiaries or joint ventures can create cascading obligations. Compare the total commitment schedule against projected free cash flow to assess whether the company can meet its obligations without additional financing.