Note 5 - Leases

12 Months Ended

Dec. 31, 2023

Notes to Financial Statements

Lease Disclosure [Text Block]

NOTE 5. LEASES

We have operating leases for certain manufacturing sites, office space, and equipment. Most leases include the option to renew, with renewal terms that can extend the lease term from one to five years or more. Right-of-use lease assets and lease liabilities are recognized at the commencement date based on the present value of the remaining lease payments over the lease term which includes renewal periods we are reasonably certain to exercise. Our leases do not contain any material residual value guarantees or material restrictive covenants. As of December 31, 2023, we do not have material lease commitments that have not commenced. We have financing leases for certain property and equipment used in the normal course of business.

The components of lease expense were as follows:

	December 31,		December 31,
Lease Cost	2023		2022
Operating Lease Cost	$	2,290	$	2,309
Finance Lease Interest Cost		39		63
Finance Lease Amortization Expense		727		730
Total Lease Cost	$	3,056	$	3,102

Supplemental balance sheet information related to leases was as follows:

	Balance Sheet Location	December 31, 2023		December 31, 2022
Assets
Operating Lease Assets	Operating Lease Assets	$	6,917	$	7,850
Finance Lease Assets	Property, Plant and Equipment		636		1,363
Total Leased Assets		$	7,553	$	9,213
Liabilities
Current
Current Operating Lease Liabilities	Current Portion of Operating Lease Obligations	$	1,033	$	1,155
Current Finance Lease Liabilities	Current Portion of Finance Lease Obligations		356		390
Noncurrent
Long-Term Operating Lease Liabilities	Long Term Operating Lease Liabilities, Net		6,763		7,549
Long Term Finance Lease Liabilities	Long Term Finance Lease Obligations, Net		209		565
Total Lease Liabilities		$	8,361	$	9,659

Supplemental cash flow information related to leases was as follows as of December 31, 2023:

	December 31,		December 31,
	2023		2022
Operating Leases
Cash Paid for Amounts Included in the Measurement of Lease Liabilities	$	1,792	$	1,721
Operating Lease Assets Obtained in Exchange for Lease Obligations	$	261	$	44

The operating lease assets obtained in exchange in for lease obligations in the years ended December 31, 2023 and 2022 was largely due to leasing of additional space in our Suzhou, China facility.

Maturities of lease liabilities were as follows:

	Operating Leases			Finance Leases			Total
2024	$	1,611		$	378		$	1,989
2025		1,361			108			1,469
2026		1,307			109			1,416
2027		1,256			-			1,256
2028		1,279			-			1,279
Thereafter		4,539			-			4,539
Total Lease Payments	$	11,353		$	595		$	11,948
Less: Interest		(3,557	)		(30	)		(3,587	)
Present Value of Lease Liabilities	$	7,796		$	565		$	8,361

The lease term and discount rate as of December 31, 2023 were as follows:

Weighted-average remaining lease term (years)
Operating leases	8.5	%
Finance leases	1.8	%
Weighted-average discount rate
Operating leases	7.9	%
Finance leases	5.3	%