v3.26.1
Note 6 - Leases
12 Months Ended
Dec. 31, 2025
Notes to Financial Statements  
Lessee, Operating Leases [Text Block]

Note 6 Leases

 

The Company is the lessee under operating lease agreements primarily for office space in domestic and foreign locations where it has operations and for solar development projects with lease periods expiring between 2026 and 2052. The Company has no finance leases. 

 

The Company determines if a contract is a lease at inception. Right-of-Use ("ROU") assets are included under other assets in the consolidated balance sheet. The current portion of the operating lease liabilities are included in other current liabilities and the noncurrent portion is included in other liabilities in the consolidated balance sheet.

 

ROU assets and operating lease liabilities are recognized at the present value of the future lease payments at the lease commencement date. The interest rate used to determine the present value of the future lease payments is the incremental borrowing rate, because the interest rate implicit in most of our leases is not readily determinable. The incremental borrowing rate is estimated to approximate the interest rate on a collateralized borrowing rate based on information available at the lease commencement date. ROU assets also include any prepaid lease payments and lease incentives. The lease terms include periods under options to extend or terminate the lease when it is reasonably certain that we will exercise that option. The Company uses the base, non-cancelable, lease term when determining the lease assets and liabilities. Operating lease expense is recognized on a straight-line basis over the lease term.  

 

  

December 31,

 
  

2025

  

2024

 
  

(in thousands)

 

ROU assets

 $873  $1,819 
         

Current portion of operating lease liabilities

 $88  $223 

Noncurrent portion of operating lease liabilities

  854   1,732 

Total

 $942  $1,955 

 

At December 31, 2025, the weighted average remaining lease term is 22.6 years and the weighted average discount rate is 9.0%.

 

Supplemental cash flow information for ROU assets and operating lease liabilities for the years ended December 31, 2025, 2024 and 2023 are as follows:

 

  

For the Year Ended December 31,

 
  

2025

  

2024

  

2023

 
  

(in thousands)

 

Cash paid for amounts included in the measurement of lease liabilities:

            

Operating cash flows from operating activities

 $505  $562  $638 
             

ROU assets obtained in the exchange for lease liabilities

            

Operating leases

 $154  $111  $237 

 

Future lease payments under operating leases as of  December 31, 2025 were as follows:  

 

(in thousands)

    

2026

 $163 

2027

  122 

2028

  84 

2029

  65 

2030

  66 

Thereafter

  1,770 

Total future lease payments

  2,270 

Less imputed interest

  1,328 

Total operating lease liabilities

 $942 

 

Rental expenses under operating leases were $0.6 million for each of the years ended December 31, 2025, 2024 and 2023, respectively.