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

9. Leases

 

Rent expense is recognized on a straight-line basis over the period of the lease taking into account future rent escalation and holiday periods. 

 

Rent expense for three months ended March 31, 2026 and 2025 was as follows: 

 

 

 

Three months ended March 31,


 

 

2026

 

 

2025


Rent expense







Continuing operations
$

$
Discontinued operations

110


112

Total rent expense

 

$

110

 

 

$

112


As of March 31, 2026, the Company had one remaining operating lease — the Edgewater Corporate Park facility at 5225 Wiley Post Way, Salt Lake City, Utah (approximately 9,402 square feet), which supported administrative, sales, marketing, customer support, and warranty operations. The lease was scheduled to expire in February 2028.

 

Subsequent to March 31, 2026, on April 7, 2026, the Company terminated the Edgewater lease for a $300 termination fee (see Note 15 — Subsequent Events). The other two leases (Gainesville, FL and the Salt Lake City warehouse at 363 West 2720 South) had already been terminated prior to March 31, 2026.


Supplemental cash flow information related to leases was as follows: 

 

 

 

Three months ended March 31,

 

 

 

2026

 

 

2025

 

Cash paid for amounts included in the measurement of lease liabilities

 



 

 



 

Operating cash flows from operating leases
$ (176 )
$ (92 )
Right-of-use assets obtained in exchange for lease obligations:







Operating leases
$

$


Supplemental balance sheet information related to leases was as follows: 


 

 

March 31, 2026

 

 

December 31, 2025

 

Operating lease right-of-use assets

 

$

 321

 

 

$

 494

 


 








Current portion of operating lease liabilities, included in accrued liabilities
$ 168

$ 223

Operating lease liabilities, net of current portion

 

 

169

 

 

 

290

 

Total operating lease liabilities

 

$

337

 

 

$

513

 

 

 

 

 

 

 

 

 

 

Weighted average remaining lease term for operating leases (in years) 

1.92


2.17
Weighted average discount rate for operating leases

6.80 %

6.76 %


The following represents maturities of operating lease liabilities as of March 31, 2026:


Years ending December 31,

 

 

 

 

2026 (Remainder)

 

$

139

 

2027

 

 

190

 

2028

 

 

31

 

2029

 

 

 

2030

 

 

 

Total lease payments

 

 

360

 

Less: Imputed interest

 

 

(23

)

Total

 

$

337