The Company has operating leases for office and warehouse space and equipment under various arrangements which provide the right to use the underlying asset and require lease payments for the lease term. The Company’s lease portfolio consists of operating leases which expire at various dates through 2026.

Certain of the Company’s lease arrangements contain renewal provisions, exercisable at the Company's option. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The Company determines if an arrangement is an operating lease at inception. Leases with an initial term of 12 months or less are not recorded on the balance sheet. All other leases are recorded on the balance sheet with right-of-use (“ROU”) assets representing the right to use the underlying asset for the lease term and lease liabilities representing the obligation to make lease payments arising from the lease.

Operating lease cost was $0.3 million for the three months ended March 31, 2023 and 2022, of which $0.1 million was included in cost of goods sold and $0.2 million was included in selling, general and administrative expenses in the accompanying condensed consolidated statements of operations.

	Three Months Ended		Three Months Ended
Operating cash flow information:	March 31, 2023		March 31, 2022
Operating lease cost	$	334	$	311
Operating lease - cash flow	$	346	$	322

Non-cash activity:
ROU assets obtained in exchange for lease liabilities	$	341	$	211

	March 31, 2023			March 31, 2022
Weighted-average remaining lease term	3.0 years			3.0 years
Weighted-average discount rate		5	%		5	%

Future minimum lease payments under non-cancellable leases as of March 31, 2023:

2023 (remaining)	$	1,005
2024		1,041
2025		813
2026		165

Total future minimum lease payments	$	3,024
Less: imputed interest		(180	)
Present value of lease liabilities - current		1,216
Present value of lease liabilities - non-current	$	1,628