Note 13 - Leases

9 Months Ended

Sep. 30, 2023

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

13. Leases

The Company has operating leases for the Company’s corporate office and manufacturing facilities, which expire at various dates through 2026. The Company’s primary operating lease commitments as of September 30, 2023 related to the Company’s corporate office in Aurora, Canada and its manufacturing facilities in Valdosta, Georgia; Nogales, Arizona; and Salt Lake City, Utah.

As of September 30, 2023, the Company had operating lease right-of-use assets of $1,210,000 and operating lease liabilities of $1,251,000. As of September 30, 2023, the Company did not have any finance leases recorded on the Company’s condensed consolidated balance sheet. Operating lease expense was approximately $922,000 during the nine months ended September 30, 2023.

The aggregate future minimum lease payments and reconciliation to lease liabilities as of September 30, 2023 were as follows:

	September 30,
	2023
Remaining three months of 2023	$	281,000
2024		551,000
2025		434,000
2026		47,000
Total future minimum lease payments		1,313,000
Less imputed interest		(62,000	)
Total Lease liabilities	$	1,251,000

As of September 30, 2023, the weighted average remaining lease term of the Company’s operating leases was 2.2 years. During the nine months ended September 30, 2023, the weighted average discount rate with respect to these leases was 4.55%.