Note 5 - Leases

3 Months Ended

Mar. 31, 2024

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 March 31, 2024, we do not have material lease commitments that have not commenced.

The components of lease expense were as follows:

	March 31,		March 31,
Lease Cost	2024		2023
Operating lease cost	$	596	$	567
Finance lease interest cost		7		12
Finance lease amortization expense		131		182
Total lease cost	$	734	$	761

Supplemental condensed consolidated balance sheet information related to leases was as follows:

	Balance Sheet Location	March 31, 2024		December 31, 2023
Assets
Finance lease assets	Property and equipment, net	$	504	$	636
Operating lease assets	Operating lease assets, net		7,339		6,917
Total leased assets		$	7,843	$	7,553
Liabilities
Current
Current finance lease liabilities	Current portion of finance lease obligations	$	296	$	356
Current operating lease liabilities	Current portion of operating lease obligations		1,235		1,033
Noncurrent
Long-term finance lease liabilities	Long-term finance lease liabilities, net of current portion		168		209
Long-term operating lease liabilities	Long-term operating lease obligations, net of current portion		6,977		6,763
Total lease liabilities		$	8,676	$	8,361

Supplemental condensed consolidated statement of cash flows information related to leases was as follows:

	March 31,		March 31,
	2024		2023
Operating Leases
Cash paid for amounts included in the measurement of lease liabilities	$	459	$	493
Property acquired under operating lease	$	719	$	-

Future payments of lease liabilities as of March 31, 2024 were as follows:

	Operating Leases			Finance Leases			Total
2024	$	1,397		$	271		$	1,668
2025		1,635			106			1,741
2026		1,581			108			1,689
2027		1,286			-			1,286
2028		1,279			-			1,279
Thereafter		4,539			-			4,539
Total lease payments	$	11,717		$	485		$	12,202
Less: imputed interest		(3,505	)		(21	)		(3,526	)
Present value of lease liabilities	$	8,212		$	464		$	8,676

The lease term and discount rate as of March 31, 2024 were as follows:

Weighted-average remaining lease term (years)
Operating leases	7.9
Finance leases	1.7
Weighted-average discount rate
Operating leases	8.1	%
Finance leases	5.3	%