Note 11 - Leases

12 Months Ended

Dec. 31, 2022

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

12. Leases

Operating Lease Commitments: The Company leases its facilities under non-cancelable operating leases expiring on various dates through January 1, 2024. The Company has operating leases for the Company’s corporate office and manufacturing facilities, which expire at various dates through 2024. The Company’s primary operating lease commitments at December 31, 2022 related to the Company’s manufacturing facilities in Valdosta, Georgia, Nogales, Arizona and Salt Lake City, Utah, as well as the Company’s corporate headquarters in Markham, Ontario, Canada.

As of December 31, 2022, the Company had operating lease right-of-use assets of $1,725,000 and operating lease liabilities of $1,774,000. As of December 31, 2022, we did not have any finance leases recorded on the Company’s consolidated balance sheet. Operating lease expense was approximately $1,283,000 and $1,199,000 for the years ended December 31, 2022 and 2021, respectively.

The aggregate future minimum lease payments and reconciliation to lease liabilities as of December 31, 2022 were as follows:

	December 31,
	2022
2023	$	1,017,000
2024		484,000
2025		365,000
Total future minimum lease payments		1,866,000
Less imputed interest		(92,000	)
Total lease liabilities	$	1,774,000

As of December 31, 2022, the weighted average remaining lease term of the Company’s operating leases was 2.08 years. During the year ended December 31, 2022, the weighted average discount rate with respect to these leases was 4.17%.