Note 8 - Leases

3 Months Ended

Mar. 31, 2022

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

8.         Leases

The Company determines if an arrangement is a lease at inception. Right-of-use (“ROU”) assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent the obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date of the lease based on the present value of lease payments over the lease term. The Company has lease arrangements for certain equipment and facilities that typically have original terms not exceeding five years and, in some cases, contain automatic renewal provisions that provide for multiple year renewal terms unless either party, prior to the then-expiring term, notifies the other party of the intention not to renew the lease. The Company’s lease terms  may also include options to terminate the lease when it is reasonably certain that the Company will exercise such options. When readily determinable, the Company uses the implicit rate in determining the present value of lease payments. The ROU asset also includes any lease payments made and excludes lease incentives. Lease expense for lease payments is recognized on a straight-line basis over the lease term.

Lease Liabilities.  Lease liabilities as of March 31, 2022, and December 31, 2021, respectively, consist of the following:

	March 31, 2022		December 31, 2021
Current portion of lease liabilities	$	729	$	781
Long-term lease liabilities, net of current portion		1,303		1,432
Total lease liabilities	$	2,032	$	2,213

The Company’s aggregate lease maturities as of March 31, 2022, are as follows:

Year
2022 (remaining nine months)	$	630
2023		831
2024		554
2025		204
Total minimum lease payments		2,219
Less imputed interest		(187	)
Total lease liabilities	$	2,032

Rent expense included in operating expenses and cost of revenue was $0.3 million for the three months ended March 31, 2022, with a weighted-average remaining lease term of 2.7 years and a weighted-average discount rate of 6.28%. Rent expense included in operating expenses and cost of revenue was $0.3 million for the three months ended March 31, 2021, with a weighted-average remaining lease term of 2.8 years and a weighted-average discount rate of 6.25%.