SEACOR Marine Holdings Inc. Leases Disclosure
The Company assesses at contract inception whether a contract is, or contains, a lease, defined as a contract that conveys the right to control the use of an identified asset for a period of time in exchange for consideration. In calculating the present value of lease payments, the Company uses its incremental borrowing rate at the lease commencement date when the interest rate implicit in the lease is not readily determinable and includes the Company’s assessment and impact of any extensions, escalations or special terms. The Company applies the short-term lease recognition exemption to its short-term leases of machinery and equipment (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to leases of office equipment that are considered to be low value. As of December 31, 2024, the Company leased-in certain facilities and other equipment. The leases typically contain purchase and renewal options or rights of first refusal with respect to the sale or lease of the equipment. As of December 31, 2024, the lease terms of certain facilities and other equipment range in duration from to 264 months.
As of December 31, 2024, future minimum payments for leases for the years ended December 31 were as follows (in thousands):
|
|
Operating Leases |
|
|
Finance Leases |
|
||
2025 |
|
$ |
806 |
|
|
$ |
20 |
|
2026 |
|
|
474 |
|
|
|
13 |
|
2027 |
|
|
400 |
|
|
|
9 |
|
2028 |
|
|
341 |
|
|
|
— |
|
2029 |
|
|
341 |
|
|
|
— |
|
Years subsequent to 2029 |
|
|
2,531 |
|
|
|
— |
|
|
|
|
4,893 |
|
|
|
42 |
|
Interest component |
|
|
(1,305 |
) |
|
|
(5 |
) |
|
|
|
3,588 |
|
|
|
37 |
|
Current portion of long-term lease liabilities |
|
|
606 |
|
|
|
17 |
|
Long-term lease liabilities |
|
$ |
2,982 |
|
|
$ |
20 |
|
For the years ended December 31, the components of lease expense were as follows (in thousands):
|
|
2024 |
|
|
2023 |
|
||
Operating lease costs |
|
$ |
1,216 |
|
|
$ |
2,222 |
|
Finance lease costs: |
|
|
|
|
|
|
||
Amortization of finance lease assets (1) |
|
|
44 |
|
|
|
468 |
|
Interest on finance lease liabilities (2) |
|
|
3 |
|
|
|
202 |
|
Short-term lease costs |
|
|
462 |
|
|
|
526 |
|
|
|
$ |
1,725 |
|
|
$ |
3,418 |
|
For the year ended December 31, 2024, supplemental cashflow information related to leases were as follows (in thousands):
|
|
2024 |
|
|
Operating cash flows from operating leases |
|
$ |
1,841 |
|
Financing cash outflows from finance leases |
|
|
41 |
|
Right-of-use assets obtained for operating lease liabilities |
|
|
— |
|
Right-of-use assets obtained for finance lease liabilities |
|
|
34 |
|
For the year ended December 31, 2024, other information related to leases were as follows:
|
|
2024 |
|
|
Weighted average remaining lease term, in years - operating leases |
|
|
11.7 |
|
Weighted average remaining lease term, in years - finance leases |
|
|
2.3 |
|
Weighted average discount rate - operating leases |
|
|
6.2 |
% |
Weighted average discount - finance leases |
|
|
10.0 |
% |
The Company recognized no impairment charges in the year ended December 31, 2024, $0.7 million for one such lease in the year ended December 31, 2023 and $0.7 million for one such lease in the year ended December 31, 2022.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2024 | Feb 26, 2025 | Showing above |
| 2023 | Feb 29, 2024 | |
| 2022 | Mar 6, 2023 | |
| 2021 | Mar 10, 2022 | |
| 2020 | Mar 12, 2021 | |
| 2019 | Mar 4, 2020 | |
| 2018 | Mar 12, 2019 | |
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.