SailPoint, Inc.SAIL

SailPoint, Inc. Leases Disclosure

10-KFiled Mar 19, 20262 min read
Leases
As of January 31, 2026, the Company’s leases, primarily relating to office leases, have remaining lease terms of less than 1 year to 4 years. Certain leases include early termination and/or extension options; however, exercises of these options are at the Company’s sole discretion. As of January 31, 2026, the Company determined it is not reasonably certain it will exercise the options to extend its leases or terminate them early. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. As of January 31, 2026 and 2025, the Company had no financing leases.
The Company measures its lease liabilities at the net present value of the remaining lease payments. The Company’s incremental borrowing rate is estimated to approximate the interest rate on similar terms and payments and in economic environments where the leased asset is located.
As of January 31, 2026 and 2025, the Company’s weighted-average discount rate was 9.15%, and 9.26%, respectively.
As of January 31, 2026 and 2025, the Company’s weighted-average remaining lease term was 3.2 years and 4.1 years, respectively.
Operating lease costs for the periods presented were as follows (in thousands):
January 31,
202620252024
Lease cost
Operating lease cost$6,266 $6,383 $6,492 
Variable lease cost1,824 2,003 2,514 
Short-term lease cost1,362 1,161 932 
Total lease cost$9,452 $9,547 $9,938 
The undiscounted annual future minimum lease payments are summarized by year in the table below (in thousands):
Year Ending January 31,
2027$6,712 
20286,020 
20296,219 
20301,766 
Total minimum lease payments20,717 
Less: interest(2,636)
Total present value of operating lease liabilities$18,081 

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.

Other Available Disclosures

Income TaxesRevenueFair ValueGoodwill & IntangiblesSegmentsDebtCommitmentsNew StandardsPay vs Performance