XML 23 R12.htm IDEA: XBRL DOCUMENT v3.21.2
Leases
9 Months Ended
Sep. 30, 2021
Leases [Abstract]  
Leases

6.

Leases

The Company has operating and finance leases for corporate offices, research and development facilities, and certain vehicles. These leases have remaining lease terms of four to eight and a half years, some of which include options to extend the leases for five to eight years. The Company has determined that it is not reasonably certain to exercise the options under any leases. The lease of research and development facilities includes costs for utilities and common area maintenance, which have been included in the calculation of lease payments. Differences between lease payments as measured at lease inception and variations in monthly payments will be recognized as operating expenses in the period in which the obligation is incurred.

Leases with an initial term of 12 months or less are not recorded on the balance sheet, and the Company recognizes lease expense for these leases on a straight-line basis over the lease terms. Leases with terms greater than 12 months are included in operating lease ROU assets and operating lease liabilities in the Company’s condensed consolidated balance sheets as of September 30, 2021 and December 31, 2020. Lease expense for lease payments is recognized on a straight-line basis over the lease term.

Maturities of lease liabilities as of September 30, 2021 and are as follows:

 

 

 

Operating

Lease

 

 

Finance

Lease

 

Year ending December 31:

 

 

 

 

 

 

 

 

2021, remainder

 

$

704

 

 

$

19

 

2022

 

 

2,978

 

 

 

77

 

2023

 

 

2,824

 

 

 

41

 

2024

 

 

2,750

 

 

 

1

 

2025

 

 

2,843

 

 

 

-

 

Thereafter

 

 

3,693

 

 

 

-

 

Less: imputed interest

 

 

(3,505

)

 

 

(4

)

Present value of lease liabilities

 

 

12,287

 

 

 

134

 

Less: current portion

 

 

(2,701

)

 

 

(81

)

Lease liabilities net of current portion

 

$

9,586

 

 

$

53

 

 

The components of lease expense were as follows:

 

 

 

Three Months Ended

 

 

Nine Months Ended

 

 

 

September 30,

 

 

September 30,

 

 

 

2021

 

 

2020

 

 

2021

 

 

2020

 

Operating lease cost

 

$

505

 

 

$

464

 

 

$

1,497

 

 

$

1,397

 

Finance lease cost:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Amortization of right-of-use assets

 

$

18

 

 

$

19

 

 

$

55

 

 

$

48

 

Interest on lease liabilities

 

 

1

 

 

 

2

 

 

 

4

 

 

 

7

 

Total finance lease cost

 

$

19

 

 

$

21

 

 

$

59

 

 

$

55

 

 

The Company made payments of $686,000 and $2.0 million during the three and nine months ended September 30, 2021, respectively, and $637,000 and $1.9 million during the three and nine months ended September 30, 2020, respectively, which are included as cash flow from operations on the condensed consolidated statements of cash flows.

As of September 30, 2021 and December 31, 2020, $305,000 and $296,000, respectively, of finance lease ROU assets were presented as part of property and equipment on the condensed consolidated balance sheet with accumulated amortization of $176,000 and $107,000, respectively.

Additional information related to the Company’s leases was as follows as of September 30, 2021 and December 31, 2020:

 

 

 

September 30,

 

 

December 31,

 

 

 

2021

 

 

2020

 

Operating Lease:

 

 

 

 

 

 

 

 

Weighted-average remaining lease term (years)

 

 

5.29

 

 

 

5.97

 

Weighted-average discount rate

 

 

9.41

%

 

 

9.35

%

Finance Lease:

 

 

 

 

 

 

 

 

Weighted-average remaining lease term (years)

 

 

1.96

 

 

 

2.68

 

Weighted-average discount rate

 

 

3.11

%

 

 

3.15

%