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

Lessee Accounting

We enter into non-cancelable operating and finance leases for, among other things, communication towers, satellites, satellite-related ground infrastructure, data centers, office space, dark fiber and transport equipment, warehouses and distribution centers, vehicles and other equipment. Substantially all of our leases have remaining lease terms from one to 12 years, with a weighted average remaining lease term of 0.6 to 9.3 years, some of which include renewal options, and some of which include options to terminate the leases within one year. For certain arrangements, the lease term includes the non-cancelable period plus the renewal period that we are reasonably certain to exercise.

Our Eutelsat 65 West A, Telesat T19V and EchoStar 105/SES-11 satellites are accounted for as finance leases within our Broadband and Satellite Services segment. Through the first quarter of 2025, our Anik F3 satellite was accounted for as an operating lease within our Pay-TV segment and as of April 2025 we no longer leased this satellite. Substantially all of our remaining leases are accounted for as operating leases.

The components of lease expense were as follows:

For the Three Months Ended 

March 31,

  ​ ​ ​

2026

  ​ ​ ​

2025

(In thousands)

Operating lease cost

$

127,991

$

167,357

Short-term lease cost (1)

3,131

5,290

Finance lease cost:

Amortization of right-of-use assets

3,107

13,231

Interest on lease liabilities

828

1,502

Total finance lease cost

3,935

14,733

Total lease costs

$

135,057

$

187,380

(1)Leases that have terms of 12 months or less.

Supplemental cash flow information related to leases was as follows:

For the Three Months Ended 

March 31,

  ​ ​ ​

2026

  ​ ​ ​

2025

(In thousands)

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

Operating cash flows from operating leases

$

28,564

$

143,546

Operating cash flows from finance leases

$

$

1,018

Financing cash flows from finance leases

$

$

4,676

Right-of-use assets obtained in exchange for lease obligations:

Operating leases

$

19,350

$

59,980

Finance leases

$

$

Supplemental balance sheet information related to leases was as follows:

As of

March 31,

December 31,

  ​ ​ ​

2026

  ​ ​ ​

2025

(In thousands)

Operating Leases:

Operating lease assets

$

217,635

$

214,549

Other current liabilities

$

1,003,840

$

845,326

Operating lease liabilities

3,985,604

4,137,269

Total operating lease liabilities

$

4,989,444

$

4,982,595

Finance Leases:

Property and equipment, gross

$

84,058

$

83,141

Accumulated depreciation

(8,206)

(5,124)

Property and equipment, net

$

75,852

$

78,017

Other current liabilities

$

44,048

$

41,520

Other long-term liabilities

2,528

Total finance lease liabilities

$

44,048

$

44,048

Weighted Average Remaining Lease Term:

Operating leases

9.3 years

9.5 years

Finance leases

0.6 years

0.8 years

Weighted Average Discount Rate:

Operating leases

9.9%

9.9%

Finance leases

10.7%

10.0%

Maturities of lease liabilities as of March 31, 2026 were as follows:

Maturities of Lease Liabilities

Operating

Finance

For the Years Ending December 31,

  ​ ​ ​

Leases

  ​ ​ ​

Leases

  ​ ​ ​

Total

(In thousands)

2026 (remaining nine months)

$

847,129

$

44,522

$

891,651

2027

800,004

2,574

802,578

2028

739,012

739,012

2029

702,492

702,492

2030

681,567

681,567

Thereafter

3,854,030

3,854,030

Total lease payments

7,624,234

47,096

7,671,330

Less: Imputed interest

(2,634,790)

(3,048)

(2,637,838)

Total

4,989,444

44,048

5,033,492

Less: Current portion

(1,003,840)

(44,048)

(1,047,888)

Long-term portion of lease obligations

$

3,985,604

$

$

3,985,604

Lessor Accounting

We lease satellite capacity, communications equipment and real estate to certain of our customers.

The following table presents our lease revenue by type of lease:

For the Three Months Ended 

March 31,

  ​ ​ ​

2026

  ​ ​ ​

2025

(In thousands)

Lease revenue:

Sales-type lease revenue

$

761

$

2,197

Operating lease revenue

3,804

2,401

Total lease revenue

$

4,565

$

4,598

Substantially all of our net investment in sales-type leases consisted of lease receivables totaling $18 million and $20 million as of March 31, 2026 and December 31, 2025, respectively.

The following table presents future operating lease payments to be received as of March 31, 2026:

For the Years Ending December 31,

  ​ ​ ​

Total

(In thousands)

2026 (remaining nine months)

$

11,347

2027

7,456

2028

4,238

2029

3,262

2030

2,033

Thereafter

355

Total lease payments to be received

$

28,691