Derivative Instruments and Hedging Activities (Tables)

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Summary of Company's Outstanding Derivatives

As of March 31, 2023, the Company had the following outstanding interest rate swap derivatives that were used to hedge its interest rate risks:

Product	Number of Instruments	Effective Date	Maturity Date	Notional
Interest Rate Swaps	4	February 28, 2023	November 29, 2027	$300.0 million USD

Summary of Fair Value of Derivative Financial Instruments

All financial derivative instruments are carried at their fair value on the balance sheet. The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the unaudited condensed consolidated balance sheets as of the dates presented:

	Asset Derivatives
(in thousands)	As of December 31, 2022			As of March 31, 2023
Derivatives designated as hedging instruments:
Interest rate swaps	Other current assets	$	—	Other current assets	$	1,049
Interest rate swaps	Other assets	—		Other assets	$	—
Total interest rate swaps		$	—		$	1,049

	Liability Derivatives
(in thousands)	As of December 31, 2022			As of March 31, 2023
Derivatives designated as hedging instruments:
Interest rate swaps	Other current liabilities	$	—	Other current liabilities	$	—
Interest rate swaps	Other liabilities	—		Other liabilities	8,024
Total interest rate swaps		$	—		$	8,024

Schedule of Derivative Instruments, Accumulated Other Comprehensive Income (Loss)

The tables below present the effect of cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss) for the periods presented:

	Three Months Ended March 31,					Three Months Ended March 31,
(in thousands)	2022		2023			2022		2023
Derivatives in Hedging Relationships	Amount of Loss Recognized in OCI on Derivative (Included Component)				Location of Gain Reclassified from Accumulated OCI into Income	Amount of Gain Reclassified from Accumulated OCI into Income (Included Component)
Interest rate swaps	$	—	$	(6,877)	Interest expense	$	—	$	97
Total	$	—	$	(6,877)		$	—	$	97

Summary of Cash Flow Hedge Accounting on Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)

The tables below present the effect of the Company’s cash flow hedge accounting on the unaudited condensed consolidated statements of operations and comprehensive income (loss) for the periods presented:

	Three Months Ended March 31,
(in thousands)	2022		2023
	Interest Expense		Interest Expense
Total amounts of income and expense line items in which the effects of fair value or cash flow hedges are recorded	$	6,336	$	8,608
Gain on cash flow hedging relationships
Interest rate swaps:
Amount of gain reclassified from accumulated other comprehensive income (loss) into income	$	—	$	97

Summary of Derivative Financial Instruments that are not Designated as Hedging Instruments

The table below presents the effect of the Company’s derivative financial instruments that are not designated as hedging instruments in the unaudited condensed consolidated statements of operations and comprehensive income (loss) for the periods presented:

		Three Months Ended March 31,
(in thousands)		2022		2023
Derivatives Not Designated as Hedging Instruments	Location of Loss (Gain) Recognized in Income on Derivatives	Amount of Loss (Gain) Recognized in Income on Derivatives
Interest rate swaps	Loss (gain) on interest rate swaps	$	(328)	$	—
Total		$	(328)	$	—