The Company leases its operating locations and office facilities under noncancelable lease agreements which expire at various dates through May 2038. Some of these lease agreements include an option to renew at the end of the term. The Company also leases certain office facilities on a month-to-month basis. In some instances, the Company is also required to pay its pro rata share of real estate taxes and utility costs in connection with the premises. Some of the leases contain fixed annual increases of minimum rent.

The Company’s leases frequently allow for lease payments that could vary based on factors such as inflation and the incurrence of contractual charges such as those for common area maintenance or utilities.

Renewal and/or early termination options are common in the lease arrangements, particularly with respect to real estate leases. The Company’s right-of-use ("ROU") assets and lease liabilities generally include periods covered by renewal options and exclude periods covered by early termination options (based on the conclusion that it is reasonably certain that the Company will exercise such renewal options and not exercise such early termination options).

The Company is also party to certain sublease arrangements related to real estate leases, where the Company acts as the lessee and intermediate lessor.

The Company leases certain of its vehicles through finance leases. The finance lease obligations represent the present value of minimum lease payments under the respective agreement, payable monthly at various interest rates.

The following table presents information about lease costs and expenses and sublease income for the three months ended March 31, 2026 and 2025 (in thousands). The amounts below, with the exception of interest on lease liabilities, are included in cost of net revenue in the accompanying consolidated statements of operations for the periods presented. The interest on lease liabilities is included in interest expense, net in the accompanying consolidated statements of operations for the periods presented.


	Three Months Ended March 31,
	2026		2025
Operating lease costs	$	12,986	$	11,054
Finance lease costs:
Amortization of ROU assets	$	5,046	$	3,374
Interest on lease liabilities	$	801	$	647
Other lease costs and income:
Variable leases costs (1)	$	7,297	$	6,298
Sublease income	$	188	$	170

(1)Amounts represent variable costs incurred that were not included in the initial measurement of the lease liability such as common area maintenance and utilities costs associated with leased real estate.

The following table provides the weighted average remaining lease terms and weighted average discount rates for the Company’s leases as of March 31, 2026 and December 31, 2025:


	March 31, 2026		December 31, 2025
Weighted average remaining lease term, weighted based on lease liability balances:
Operating leases	4.7 years		4.8 years
Finance leases	2.9 years		3.1 years
Weighted average discount rate, weighted based on remaining balance of lease payments:
Operating leases	5.1	%	5.1	%
Finance leases	6.3	%	6.4	%

The following table provides the undiscounted amount of future cash flows related to the Company’s operating and finance leases, as well as a reconciliation of such undiscounted cash flows to the amounts included in the Company’s lease liabilities as of March 31, 2026 (in thousands):


	Operating Leases		Finance Leases
2026	$	30,436	$	17,185
2027	34,515		18,866
2028	28,420		11,541
2029	20,553		6,539
2030	15,682		352
Thereafter	15,979		—
Total future undiscounted lease payments	$	145,585	$	54,483
Less: amount representing interest	(18,022)		(4,616)
Present value of future lease payments (lease liability)	$	127,563	$	49,867

The following table provides certain cash flow and supplemental non-cash information related to the Company’s lease liabilities for the three months ended March 31, 2026 and 2025, respectively (in thousands):


	Three Months Ended March 31,
Cash paid for amounts included in the measurement of lease liabilities:	2026		2025
Operating cash payments for operating leases	$	11,929	$	9,366
Financing cash payments for finance leases	$	3,104	$	3,221
Lease liabilities arising from obtaining right-of-use assets:
Operating leases	$	19,441	$	3,483
Finance leases	$	3,157	$	7,388