Pyxis Oncology, Inc. Leases Disclosure
12. Operating Leases
Leases classified as operating leases are included in operating lease ROU, operating lease liabilities, current portion and operating lease liabilities, net of current portion, in the Company's consolidated balance sheets.
The Company leases its office and facilities in Boston, Massachusetts under a non-cancellable operating lease agreement that continues through December 31, 2032. Under the terms of the lease agreement, the Company is responsible for certain insurance, property taxes and maintenance expenses, which represents the Company’s proportionate share of the actual expenses incurred by the landlord. The operating lease agreement contains scheduled annual rent increases over the lease term.
The Company subleases approximately 17,729 square feet of office and laboratory space in the building located at 321 Harrison Avenue, Boston, Massachusetts. The Company remains jointly and severally liable under the head lease and accounts for the sublease as an operating lease. The lease term commenced on March 24, 2023, and is expected to end in May 2026. The Company recognized sublease income of $2.6 million and $2.9 million for the years ended December 31, 2025 and 2024, respectively.
The components of lease expense were as follows (in thousands):
|
Year Ended December 31, |
|
|||||
|
2025 |
|
|
2024 |
|
||
Lease cost |
|
|
|
|
|
||
Operating lease cost |
$ |
2,653 |
|
|
$ |
2,653 |
|
Variable lease cost |
|
1,047 |
|
|
|
1,737 |
|
Short-term lease cost |
|
21 |
|
|
|
27 |
|
Total operating lease cost |
$ |
3,721 |
|
|
$ |
4,417 |
|
Other information |
|
|
|
|
|
||
Cash paid for amounts included in the measurement of lease liabilities, included in operating cash flows |
$ |
3,359 |
|
|
$ |
3,295 |
|
Weighted-average remaining lease term (in years) |
|
7.0 |
|
|
|
8.0 |
|
Weighted-average discount rate |
|
9.4 |
% |
|
|
9.4 |
% |
Variable lease costs primarily relate to common area costs and other operating costs, which are assessed based on the Company’s proportionate share of such costs for the leased premises. Total lease costs are included as operating expenses in the Company’s consolidated statements of operations and comprehensive loss.
Maturities of lease liabilities for the next five years, as of December 31, 2025, are as follows (in thousands):
Years Ending December 31, |
Operating Lease Payments |
|
|
Sublease Receipts |
|
|
Net Operating Lease Payments |
|
|||
2026 |
$ |
3,375 |
|
|
$ |
738 |
|
|
$ |
2,637 |
|
2027 |
|
3,473 |
|
|
|
— |
|
|
|
3,473 |
|
2028 |
|
3,575 |
|
|
|
— |
|
|
|
3,575 |
|
2029 |
|
3,680 |
|
|
|
— |
|
|
|
3,680 |
|
2030 |
|
3,788 |
|
|
|
— |
|
|
|
3,788 |
|
Thereafter |
|
7,916 |
|
|
|
— |
|
|
|
7,916 |
|
Total undiscounted payments |
|
25,807 |
|
|
$ |
738 |
|
|
$ |
25,069 |
|
Less: present value adjustment |
|
(7,157 |
) |
|
|
|
|
|
|
||
Present value of future payments |
|
18,650 |
|
|
|
|
|
|
|
||
Less: current portion of operating lease liabilities |
|
(1,692 |
) |
|
|
|
|
|
|
||
Operating lease liabilities, net of current portion |
$ |
16,958 |
|
|
|
|
|
|
|
||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 23, 2026 | Showing above |
| 2024 | Mar 18, 2025 | |
| 2023 | Mar 21, 2024 | |
| 2022 | Mar 22, 2023 | |
| 2021 | Mar 29, 2022 | |
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.