The Company leases certain facilities, office space, vehicles and equipment. As of December 31, 2025, operating leases under ASC Topic 842, Leases (“Topic 842”) were included in (i) operating lease right-of use assets, (ii) current portion of operating lease liabilities and (iii) operating lease liabilities, net of current portion on the Company’s Consolidated Balance Sheets in the amounts of $94.3 million, $24.9 million and $70.2 million, respectively. As of December 31, 2025, the Company did not have any lease contracts that had not yet commenced but had created significant rights and obligations.


	For the Three Months Ended December 31,
	2025		2024
Operating lease expense	$	6,854	$	3,192
Short-term lease expense	8,579		7,436
Total lease expense	$	15,433	$	10,628

Short-term leases (those with terms of 12 months or less) are not capitalized but are expensed on a straight-line basis over the lease term. The majority of the Company’s short-term leases relate to equipment used on construction projects. These leases are entered into at periodic rental rates for an unspecified duration and typically have a termination for convenience provision.

As of December 31, 2025, the weighted-average remaining term of the Company’s leases was 4.2 years, and the weighted-average discount rate was 6.10%. As of December 31, 2025, the lease liability was equal to the present value of the remaining lease payments, discounted using the incremental borrowing rate on the Company’s secured debt using a single maturity discount rate, as such rate is not materially different from the discount rate applied to each of the leases in the portfolio.

The following table summarizes the Company’s undiscounted lease liabilities outstanding as of December 31, 2025 (unaudited, in thousands):


Fiscal Year	Amount
Remainder of 2026	$	22,998
2027	28,912
2028	24,055
2029	17,416
2030	8,701
2031 and thereafter	4,768
Total future minimum lease payments	$	106,850
Less: imputed interest	11,726
Total	$	95,124