To conduct certain of our operations, the Company is a party to leases for office space, warehouses, Company-operated store locations and vehicles.

The presentation of right-of-use assets and lease liabilities in the consolidated balance sheets is as follows (in thousands):


Leases	Classification	December 31, 2025		December 31, 2024
Assets
Right-of-use assets	Other assets(1)	$	15,878	$	18,511
Total leased assets		$	15,878	$	18,511

Liabilities
Current
Operating	Accrued and other liabilities	$	6,207	$	6,468
Noncurrent
Operating	Lease liabilities	15,483		18,582
Total Lease liabilities		$	21,690	$	25,050

(1) Operating right of-use assets are recorded net of accumulated amortization of $16.9 million and $14.5 million as of December 31, 2025 and 2024, respectively.

Operating lease cost for the years ended December 31, 2025, 2024 and 2023, respectively, was as follows (in thousands):


	Year Ended
Lease Cost	December 31, 2025		December 31, 2024		December 31, 2023
Operating lease cost(1)	$	7,019	$	7,028	$	7,848

(1) Operating lease cost is included in other selling, general and administrative expenses in the consolidated statements of income and comprehensive income for the years ended December 31, 2025, 2024 and 2023.

As of December 31, 2025 and 2024, the Company’s weighted-average remaining lease terms on its operating leases is 6.2 and 6.6 years, and the Company’s weighted-average discount rate is 6.48% and 6.31%, respectively, which is the Company's incremental borrowing rate. The Company used its incremental borrowing rate for all leases, as none of the Company’s lease agreements provide a readily determinable implicit rate.

Future minimum lease payments for assets under non-cancelable operating lease agreements with original terms of more than one year for the next five years and thereafter are as follows (in thousands):


2026	$	6,220
2027	4,550
2028	3,094
2029	2,301
2030	2,231
Thereafter	7,575
Total lease payments	25,971
Less: Imputed interest	(4,281)
Present value of lease liabilities	$	21,690