Leases

9 Months Ended

Sep. 30, 2022

Leases [Abstract]

Leases

5. Leases

As of September 30, 2022, the weighted average remaining lease term was 8.4 and 3.0 years for operating and finance leases, respectively. As of September 30, 2022, the weighted average discount rate was 3.5% and 3.8% for operating and finance leases, respectively.

The components of lease expense were as follows (U.S. dollars in thousands):

	Three Months Ended September 30,					Nine Months Ended September 30,
	2022		2021			2022		2021
Operating lease expense
Operating lease cost	$	9,479	$	12,193		$	30,179	$	37,408
Variable lease cost		1,572		1,121			4,223		4,145
Short-term lease cost		84		13			181		590
Sublease income		—		(1,352	)		—		(5,164	)
Finance lease expense
Amortization of right-of-use assets		530		594			1,632		1,811
Interest on lease liabilities		53		77			178		248
Total lease expense	$	11,718	$	12,646		$	36,393	$	39,038

Supplemental cash flow information related to leases was as follows (U.S. dollars in thousands):

	Nine Months Ended September 30,
	2022		2021
Operating cash outflow from operating leases	$	28,880	$	40,072
Operating cash outflow from finance leases	$	170	$	250
Financing cash outflow from finance leases	$	1,401	$	1,409
Right-of-use assets obtained in exchange for operating lease obligations	$	28,785	$	19,120
Right-of-use assets obtained in exchange for finance lease obligations	$	203	$	59

Maturities of lease liabilities were as follows (U.S. dollars in thousands):

Year Ending December 31	Operating Leases		Finance Leases
2022	$	9,453	$	505
2023		26,680		1,884
2024		19,671		1,688
2025		13,775		1,209
2026		8,127		264
Thereafter		46,139		4
Total		123,845		5,554
Less: Finance charges		16,736		319
Total principal liability	$	107,109	$	5,235

The Company has additional lease liabilities of $0.1 million which have not yet commenced as of September 30, 2022, and as such, have not been recognized on the consolidated balance sheets.