Leases

6 Months Ended

Jun. 30, 2023

Leases [Abstract]

Leases

Leases

The Company has operating leases for certain facilities, equipment and automobiles. The existing operating leases expire at various dates through 2027, some of which include options to extend the leases for up to five years. The Company measured the lease liability at the present value of the lease payments to be made over the lease term. The lease payments are discounted using the Company's incremental borrowing rate. The Company measured the ROU assets at the amount at which the lease liability is recognized plus initial direct costs incurred or prepayment amounts. The ROU assets are amortized on a straight-line basis over the lease term.

The following table provides a summary of leases included on the Condensed Consolidated Balance Sheets as of June 30, 2023 and 2022 and December 31, 2022, Condensed Consolidated Statements of Earnings and Comprehensive Income, and Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2023 and 2022:

	Condensed Consolidated Balance Sheets Line Item	June 30,				December 31,
(in thousands)		2023		2022		2022
Operating leases
Assets
Operating leases	Operating lease right-of-use assets	$	63,358	$	48,984	$	57,652
Liabilities
Operating - current	Accrued expenses and other current liabilities	$	12,809	$	9,831	$	11,544
Operating - noncurrent	Operating lease liabilities	51,560		39,654		46,882
Total operating lease liabilities		$	64,369	$	49,485	$	58,426
Finance leases
Assets
Property and equipment, gross	Property, plant and equipment, net	$	—	$	3,569	$	3,569
Accumulated amortization	Property, plant and equipment, net	—		(3,556)		(3,569)
Property and equipment, net	Property, plant and equipment, net	$	—	$	13	$	—

The components of lease expense were as follows:

	Condensed Consolidated Statements of Earnings and Comprehensive Income Line Item	Three Months Ended June 30,
(in thousands)		2023		2022
Operating lease cost	General administrative expenses and      cost of sales	$	4,192	$	3,364

Other Information

Supplemental cash flow information related to leases is as follows:

	Three Months Ended June 30,
(in thousands)	2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	3,932	$	3,296
Operating right-of-use assets obtained in exchange for lease      obligations during the current period	8,423		2,936

The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2023:

(in thousands)	Operating Leases
Remaining six months of 2023	$	7,986
2024	14,612
2025	12,843
2026	10,231
2027	8,198
Thereafter	20,107
Total lease payments	73,977
Less: Present value discount	(9,608)
Total lease liabilities	$	64,369

The following table summarizes the Company's lease terms and discount rates as of June 30, 2023 and 2022:

Weighted-average remaining lease terms (in years):	2023		2022
Operating leases	5.9		6.4
Weighted-average discount rate:
Operating leases	4.7	%	4.8	%

Leases

Leases

The Company has operating leases for certain facilities, equipment and automobiles. The existing operating leases expire at various dates through 2027, some of which include options to extend the leases for up to five years. The Company measured the lease liability at the present value of the lease payments to be made over the lease term. The lease payments are discounted using the Company's incremental borrowing rate. The Company measured the ROU assets at the amount at which the lease liability is recognized plus initial direct costs incurred or prepayment amounts. The ROU assets are amortized on a straight-line basis over the lease term.

The following table provides a summary of leases included on the Condensed Consolidated Balance Sheets as of June 30, 2023 and 2022 and December 31, 2022, Condensed Consolidated Statements of Earnings and Comprehensive Income, and Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2023 and 2022:

	Condensed Consolidated Balance Sheets Line Item	June 30,				December 31,
(in thousands)		2023		2022		2022
Operating leases
Assets
Operating leases	Operating lease right-of-use assets	$	63,358	$	48,984	$	57,652
Liabilities
Operating - current	Accrued expenses and other current liabilities	$	12,809	$	9,831	$	11,544
Operating - noncurrent	Operating lease liabilities	51,560		39,654		46,882
Total operating lease liabilities		$	64,369	$	49,485	$	58,426
Finance leases
Assets
Property and equipment, gross	Property, plant and equipment, net	$	—	$	3,569	$	3,569
Accumulated amortization	Property, plant and equipment, net	—		(3,556)		(3,569)
Property and equipment, net	Property, plant and equipment, net	$	—	$	13	$	—

The components of lease expense were as follows:

	Condensed Consolidated Statements of Earnings and Comprehensive Income Line Item	Three Months Ended June 30,
(in thousands)		2023		2022
Operating lease cost	General administrative expenses and      cost of sales	$	4,192	$	3,364

Other Information

Supplemental cash flow information related to leases is as follows:

	Three Months Ended June 30,
(in thousands)	2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases	$	3,932	$	3,296
Operating right-of-use assets obtained in exchange for lease      obligations during the current period	8,423		2,936

The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2023:

(in thousands)	Operating Leases
Remaining six months of 2023	$	7,986
2024	14,612
2025	12,843
2026	10,231
2027	8,198
Thereafter	20,107
Total lease payments	73,977
Less: Present value discount	(9,608)
Total lease liabilities	$	64,369

The following table summarizes the Company's lease terms and discount rates as of June 30, 2023 and 2022:

Weighted-average remaining lease terms (in years):	2023		2022
Operating leases	5.9		6.4
Weighted-average discount rate:
Operating leases	4.7	%	4.8	%