Leases

3 Months Ended

Mar. 31, 2024

Leases

Leases

Note 6: Leases

The Company leases office and lab facilities and other equipment under non-cancellable operating leases with initial terms typically ranging from 1 to 5 years, expiring at various dates during 2024 through 2027, and requiring monthly payments ranging from less than $1,000 to $17,000. Certain leases include additional renewal options ranging from 1 to 5 years. AIM has classified all of its leases as operating leases.

At March 31, 2024 and December 31, 2023, the balance of the right of use assets was $763,000 and $697,000, respectively, and the corresponding operating lease liability balance was $777,000 and $718,000, respectively. Right of use assets are recorded net of accumulated amortization of $296,000 and $363,000 as of March 31, 2024 and December 31, 2023, respectively.

AIM recognized rent expense associated with these leases are follows:

	(in thousands)
	March 31, 2024		March 31, 2023
Lease costs:
Operating lease costs	$	74	$	68
Short-term and variable lease costs		49		19
Total lease costs	$	123	$	87
Classification of lease costs
Research & development	$	101	$	19
General and administrative		22		68
Total lease costs	$	123	$	87

The Company’s leases have remaining lease terms between 11 and 40 months. As of March 31, 2024, the weighted-average remaining term was 39 months. At December 31, 2023, the weighted-average remaining term was 41 months. The Company’s weighted average incremental borrowing rate for its leases was 10% at March 31, 2024 and December 31, 2023.

Future minimum payments as of March 31, 2024, are as follows:

Year Ending December 31, (in thousands)
2024	$	229
2025		273
2026		244
2027		159
Thereafter		—
Less imputed interest		(128	)
Total	$	777