v3.26.1
LEASES
3 Months Ended
Mar. 31, 2026
Leases  
LEASES

NOTE 11 – LEASES

 

The Company leases office spaces domestically under operating leases including: (1) the Company’s headquarters in New York, New York for which the lease expires in 2028, (2) a marketing and sales center in Huntington Beach, California for which the lease expires in 2027, (3) a patient care center in Greenville, South Carolina for which the lease expires in 2032, with an additional five year option to extend, for which the Company expects to utilize, and (4) a warehouse and pharmacy operations center in Lancaster, Pennsylvania for which the lease expires in 2029, with an additional five year option to extend, for which the Company expects to utilize.

 

The following is a summary of the Company’s operating right-of-use assets and operating lease liabilities as of March 31, 2026:

 

      
Right-of-use assets  $5,055,090 
Current operating lease liabilities  $670,825 
Noncurrent operating lease liabilities  $5,502,072 

 

The table below reconciles the undiscounted future minimum lease payments under the above noted operating leases to the total operating lease liabilities recognized on the unaudited consolidated balance sheet as of March 31, 2026:

 

     
Remaining portion of fiscal year 2026  $950,385 
Fiscal year 2027   1,225,154 
Fiscal year 2028   925,152 
Fiscal year 2029   765,837 
Fiscal year 2030   794,164 
Thereafter   5,064,559 
Less: imputed interest   (3,552,354)
Present value of operating lease liabilities  $6,172,897 

 

 

Operating lease expenses were approximately $372 thousand and $383 thousand for the three months ended March 31, 2026 and 2025, respectively, and were included in other operating expenses in our unaudited consolidated statement of operations.

 

Supplemental cash flow information related to operating lease liabilities consisted of the following:

 

   March 31, 
   2026   2025 
Cash paid for operating lease liabilities  $310,012   $188,818 

 

Supplemental balance sheet information related to operating lease liabilities consisted of the following:

 

  

March 31,

2026

  

December 31,

2025

 
Weighted average remaining lease term in years   10.14    10.26 
Weighted average discount rate   10.90%   10.93%