v3.25.2
Leases
 6 Months Ended
Jun. 30, 2025
Leases [Abstract]  
Leases Leases
The components of lease expense and supplemental cash flow information are as follows (in thousands):
Three months ended June 30,Six months ended June 30,
2025202420252024
Operating lease expense$413 $753 $904 $1,536 
Finance lease expense:
Amortization of assets29 4 29 7 
Interest on lease liabilities8 — 8 — 
Total finance lease expense 37 4 37 7 
Short-term lease expense392 312 877 571 
Total lease expense$842 $1,069 $1,818 $2,114 
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$1,094 $1,334 $2,175 $2,988 
Operating cash flows from finance leases40 10 40 23 
Financing cash flows from finance leases8 — 8 — 
Maturities of lease liabilities as of June 30, 2025 are as follows (in thousands):
Years ending December 31,Operating LeasesFinance Leases
2025 (excluding first six months)$841 $90 
20261,693 180 
20271,741 180 
20281,602 58 
20291,641 — 
Thereafter1,407 — 
Total lease payments$8,925 $508 
Less: Interest(1,860)(60)
Present value of lease liabilities$7,065 $448 
Supplemental balance sheet information related to leases is as follows (in thousands):
June 30, 2025December 31, 2024
Operating Leases
Operating lease right-of-use assets$2,730 $3,326 
Current portion of operating lease liabilities1,186 1,486 
Long-term operating lease liabilities5,879 6,514 
Total operating lease liabilities$7,065 $8,000 
Finance Leases
Finance lease right-of-use assets$444 $— 
Current portion of finance lease liabilities$146 $— 
Long-term finance lease liabilities302 — 
Total finance lease liabilities$448 $— 
Weighted Average Remaining Lease Term
Operating leases5.2 years5.4 years
Finance leases2.9 years— 
Weighted Average Discount Rate
Operating leases9.4 %9.4 %
Finance leases9.5 %— %
Lease Agreement Income
The Company recorded income from the Lease Agreement (see Note 3, “Asset Acquisition”) of $3.2 million for both the three and six months ended June 30, 2025. At June 30, 2025, the minimum future lease income related to the Lease Agreement is as follows (in thousands):
Years ending December 31,Lease Agreement Income
2025 (excluding first six months) (1)
$10,218 
202627,375 
202727,375 
202827,375 
202927,375 
Thereafter (2)
9,125 
Total rental income (through April 2030)
$128,843 
(1)Excludes income from assets not placed in service at June 30, 2025.
(2)Excludes rental income for the sixth year of the Lease Agreement as rental rates in year six will be determined based on prevailing market rates.
Sublease Income
On April 1, 2023, the Company entered into an agreement to sublease its office and lab space in Houston, Texas beginning September 1, 2023 and continuing through October 30, 2030. The Company recorded rental income from the sublease of $0.2 million and $0.2 million for the three months ended June 30, 2025 and 2024, respectively and $0.4 million and $0.4 million for the six months ended June 30, 2025 and 2024, respectively, which is included in the Company’s statement of operations in Other income (expense), net. Rental income from the sublease offsets the monthly rental expense from the Company’s lease of the facility. Sublease rental income for future years is as follows (in thousands):
Years ending December 31,Sublease Income
2025 (excluding first six months)
$383 
2026767 
2027767 
2028767 
2029767 
Thereafter640 
Total rental income$4,091 
Leases Leases
The components of lease expense and supplemental cash flow information are as follows (in thousands):
Three months ended June 30,Six months ended June 30,
2025202420252024
Operating lease expense$413 $753 $904 $1,536 
Finance lease expense:
Amortization of assets29 4 29 7 
Interest on lease liabilities8 — 8 — 
Total finance lease expense 37 4 37 7 
Short-term lease expense392 312 877 571 
Total lease expense$842 $1,069 $1,818 $2,114 
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$1,094 $1,334 $2,175 $2,988 
Operating cash flows from finance leases40 10 40 23 
Financing cash flows from finance leases8 — 8 — 
Maturities of lease liabilities as of June 30, 2025 are as follows (in thousands):
Years ending December 31,Operating LeasesFinance Leases
2025 (excluding first six months)$841 $90 
20261,693 180 
20271,741 180 
20281,602 58 
20291,641 — 
Thereafter1,407 — 
Total lease payments$8,925 $508 
Less: Interest(1,860)(60)
Present value of lease liabilities$7,065 $448 
Supplemental balance sheet information related to leases is as follows (in thousands):
June 30, 2025December 31, 2024
Operating Leases
Operating lease right-of-use assets$2,730 $3,326 
Current portion of operating lease liabilities1,186 1,486 
Long-term operating lease liabilities5,879 6,514 
Total operating lease liabilities$7,065 $8,000 
Finance Leases
Finance lease right-of-use assets$444 $— 
Current portion of finance lease liabilities$146 $— 
Long-term finance lease liabilities302 — 
Total finance lease liabilities$448 $— 
Weighted Average Remaining Lease Term
Operating leases5.2 years5.4 years
Finance leases2.9 years— 
Weighted Average Discount Rate
Operating leases9.4 %9.4 %
Finance leases9.5 %— %
Lease Agreement Income
The Company recorded income from the Lease Agreement (see Note 3, “Asset Acquisition”) of $3.2 million for both the three and six months ended June 30, 2025. At June 30, 2025, the minimum future lease income related to the Lease Agreement is as follows (in thousands):
Years ending December 31,Lease Agreement Income
2025 (excluding first six months) (1)
$10,218 
202627,375 
202727,375 
202827,375 
202927,375 
Thereafter (2)
9,125 
Total rental income (through April 2030)
$128,843 
(1)Excludes income from assets not placed in service at June 30, 2025.
(2)Excludes rental income for the sixth year of the Lease Agreement as rental rates in year six will be determined based on prevailing market rates.
Sublease Income
On April 1, 2023, the Company entered into an agreement to sublease its office and lab space in Houston, Texas beginning September 1, 2023 and continuing through October 30, 2030. The Company recorded rental income from the sublease of $0.2 million and $0.2 million for the three months ended June 30, 2025 and 2024, respectively and $0.4 million and $0.4 million for the six months ended June 30, 2025 and 2024, respectively, which is included in the Company’s statement of operations in Other income (expense), net. Rental income from the sublease offsets the monthly rental expense from the Company’s lease of the facility. Sublease rental income for future years is as follows (in thousands):
Years ending December 31,Sublease Income
2025 (excluding first six months)
$383 
2026767 
2027767 
2028767 
2029767 
Thereafter640 
Total rental income$4,091