Leases

9 Months Ended

Sep. 30, 2023

LeasesThe Company leases certain office space, construction and office equipment, vehicles and temporary housing generally under non-cancelable operating leases. Leases with an initial term of one year or less are not recorded on the balance sheet, and the Company generally recognizes lease expense for these leases on a straight-line basis over the lease term. As of September 30, 2023, the Company’s operating leases have remaining lease terms ranging from less than one year to 15 years, some of which include options to renew the leases. The exercise of lease renewal options is generally at the Company’s sole discretion. The Company’s leases do not contain any material residual value guarantees or material restrictive covenants.

The following table presents components of lease expense for the three and nine months ended September 30, 2023 and 2022:


	Three Months Ended September 30,				Nine Months Ended September 30,
(in thousands)	2023		2022		2023		2022
Operating lease expense	$	4,701	$	3,685	$	11,562	$	11,754
Short-term lease expense(a)	12,881		15,393		39,492		42,828
	17,582		19,078		51,054		54,582
Less: Sublease income	198		193		590		573
Total lease expense	$	17,384	$	18,885	$	50,464	$	54,009

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(a)Short-term lease expense includes all leases with lease terms of up to one year. Short-term leases include, among other things, construction equipment rented on an as-needed basis as well as temporary housing.

The following table presents supplemental balance sheet information related to operating leases:


(dollars in thousands)	Balance Sheet Line Item	As of September 30, 2023			As of December 31, 2022
Assets
Right-of-use assets	Other assets	$	47,728		$	50,825
Total lease assets		$	47,728		$	50,825
Liabilities
Current lease liabilities	Accrued expenses and other current liabilities	$	5,996		$	6,709
Long-term lease liabilities	Other long-term liabilities	46,929			49,176
Total lease liabilities		$	52,925		$	55,885
Weighted-average remaining lease term		10.7 years			11.0 years
Weighted-average discount rate		12.02		%	11.77		%

The following table presents supplemental cash flow information and non-cash activity related to operating leases:


	Nine Months Ended September 30,
(in thousands)	2023		2022
Operating cash flow information:
Cash paid for amounts included in the measurement of lease liabilities	$	(11,484)	$	(11,007)
Non-cash activity:
Right-of-use assets obtained in exchange for lease liabilities	$	3,629	$	16,305

The following table presents maturities of operating lease liabilities on an undiscounted basis as of September 30, 2023:


Year (in thousands)	Operating Leases
2023 (excluding the nine months ended September 30, 2023)	$	3,138
2024	10,985
2025	9,623
2026	7,831
2027	7,053
Thereafter	58,165
Total lease payments	96,795
Less: Imputed interest	43,870
Total	$	52,925