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Leases
 9 Months Ended
Sep. 30, 2023
Leases [Abstract]  
LEASES LEASESWe have operating and finance leases for manufacturing facilities, corporate offices, research and development facilities, sales and training facilities, vehicles, and certain equipment under which we assume the role of lessee. We do not lease assets as
a lessor. Our leases have remaining lease terms of less than one year to approximately ten years, some of which include options to extend the leases for up to fifteen years, and some of which include options to terminate the leases within three months. We do not participate in any material subleasing.
We determine if an arrangement is a lease at inception. Operating leases are included in Operating lease right-of-use (“ROU”) asset, Lease liability, and Lease liability - less current portion in our condensed consolidated balance sheets. Finance leases are included in Property and equipment, net, Lease liability, and Lease liability - less current portion in our condensed consolidated balance sheets.
ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and lease liabilities are recognized on the commencement date of the lease based on the present value of lease payments over the lease term. Variable lease payments that depend on an index or rate include the variable portion when calculating ROU assets and lease liabilities. Variable lease payments that do not depend on an index or rate are expensed as incurred. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available on the commencement date of the lease to determine the present value of lease payments. We use the implicit rate when readily determinable. The operating lease ROU assets also include any lease payments made and lease incentives. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option at the time the lease is commenced. Lease expense for lease payments is recognized on a straight-line basis over the lease term.
While we have lease agreements with lease and non-lease components, we account for the lease and non-lease components as a single lease component.
The components of lease expense were as follows:
 Three Months Ended September 30,Nine Months Ended September 30,
2023202220232022
Operating lease cost$1,598 $1,805 $5,169 $5,453 
Finance lease cost:
Amortization of ROU assets21 18 70 96 
Interest on lease liabilities3 4 12 15 
Total finance lease cost$24 $22 $82 $111 

We recognize lease payments made for short-term leases where terms are 12 months or less as the payments are incurred. Our short-term lease costs for the three months ended September 30, 2023 and September 30, 2022 were both less than $0.1 million. Our short-term lease costs for the nine months ended September 30, 2023 and September 30, 2022 were both less than $0.1 million.
Supplemental balance sheet information related to leases was as follows:
As ofAs of
September 30, 2023December 31, 2022
Operating leases:
Operating lease right-of-use assets$12,521 $18,989 
Current operating lease liabilities5,258 5,535 
Operating lease liabilities - less current portion11,495 14,532 
     Total operating lease liabilities16,753 20,067 
Finance leases:
Property and equipment, at cost1,589 1,523 
Accumulated amortization(1,442)(1,387)
     Property and equipment, net147 136 
Current finance lease liabilities120 174 
Finance lease liabilities - less current portion95 117 
     Total finance lease liabilities$215 $291 
Weighted Average Remaining Lease Term (in years):
     Operating leases4.674.97
     Finance leases2.162.24
Weighted Average Discount Rate:
     Operating leases5.68 %5.67 %
     Finance leases5.12 %5.31 %

Supplemental cash flow information related to leases was as follows:
Nine Months Ended September 30,
20232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$5,535 $5,686 
Operating cash flows from finance leases12 15 
Financing cash flows from finance leases154 172 
ROU assets obtained in exchange for lease obligations:
Operating leases$721 $808 
Maturities of lease liabilities are as follows:
Year Ending December 31,Operating leasesFinance leases
2023 (excluding the first 9 months)$1,695 $48 
20245,955 95 
20253,718 47 
20262,428 28 
20271,598 9 
Thereafter3,801 — 
Total lease payments19,195 227 
Less imputed interest(2,442)(12)
Total$16,753 $215 
LEASES LEASESWe have operating and finance leases for manufacturing facilities, corporate offices, research and development facilities, sales and training facilities, vehicles, and certain equipment under which we assume the role of lessee. We do not lease assets as
a lessor. Our leases have remaining lease terms of less than one year to approximately ten years, some of which include options to extend the leases for up to fifteen years, and some of which include options to terminate the leases within three months. We do not participate in any material subleasing.
We determine if an arrangement is a lease at inception. Operating leases are included in Operating lease right-of-use (“ROU”) asset, Lease liability, and Lease liability - less current portion in our condensed consolidated balance sheets. Finance leases are included in Property and equipment, net, Lease liability, and Lease liability - less current portion in our condensed consolidated balance sheets.
ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and lease liabilities are recognized on the commencement date of the lease based on the present value of lease payments over the lease term. Variable lease payments that depend on an index or rate include the variable portion when calculating ROU assets and lease liabilities. Variable lease payments that do not depend on an index or rate are expensed as incurred. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available on the commencement date of the lease to determine the present value of lease payments. We use the implicit rate when readily determinable. The operating lease ROU assets also include any lease payments made and lease incentives. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option at the time the lease is commenced. Lease expense for lease payments is recognized on a straight-line basis over the lease term.
While we have lease agreements with lease and non-lease components, we account for the lease and non-lease components as a single lease component.
The components of lease expense were as follows:
 Three Months Ended September 30,Nine Months Ended September 30,
2023202220232022
Operating lease cost$1,598 $1,805 $5,169 $5,453 
Finance lease cost:
Amortization of ROU assets21 18 70 96 
Interest on lease liabilities3 4 12 15 
Total finance lease cost$24 $22 $82 $111 

We recognize lease payments made for short-term leases where terms are 12 months or less as the payments are incurred. Our short-term lease costs for the three months ended September 30, 2023 and September 30, 2022 were both less than $0.1 million. Our short-term lease costs for the nine months ended September 30, 2023 and September 30, 2022 were both less than $0.1 million.
Supplemental balance sheet information related to leases was as follows:
As ofAs of
September 30, 2023December 31, 2022
Operating leases:
Operating lease right-of-use assets$12,521 $18,989 
Current operating lease liabilities5,258 5,535 
Operating lease liabilities - less current portion11,495 14,532 
     Total operating lease liabilities16,753 20,067 
Finance leases:
Property and equipment, at cost1,589 1,523 
Accumulated amortization(1,442)(1,387)
     Property and equipment, net147 136 
Current finance lease liabilities120 174 
Finance lease liabilities - less current portion95 117 
     Total finance lease liabilities$215 $291 
Weighted Average Remaining Lease Term (in years):
     Operating leases4.674.97
     Finance leases2.162.24
Weighted Average Discount Rate:
     Operating leases5.68 %5.67 %
     Finance leases5.12 %5.31 %

Supplemental cash flow information related to leases was as follows:
Nine Months Ended September 30,
20232022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$5,535 $5,686 
Operating cash flows from finance leases12 15 
Financing cash flows from finance leases154 172 
ROU assets obtained in exchange for lease obligations:
Operating leases$721 $808 
Maturities of lease liabilities are as follows:
Year Ending December 31,Operating leasesFinance leases
2023 (excluding the first 9 months)$1,695 $48 
20245,955 95 
20253,718 47 
20262,428 28 
20271,598 9 
Thereafter3,801 — 
Total lease payments19,195 227 
Less imputed interest(2,442)(12)
Total$16,753 $215