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| LEASES | 11. LEASES In June 2018, the Company entered into an operating lease for three office suites of approximately fifteen thousand square feet, seven thousand square feet and thirteen thousand square feet in Plymouth Meeting, PA, which was set to expire in November 2025. In November 2025, the Company entered into an operating lease amendment (the “PM Lease Amendment”) extending the lease through March 31, 2031. The terms of the PM Lease Amendment provide for fixed rental payments on a monthly basis and on a graduated scale. Additionally, the terms of the PM Lease Amendment provide the Company with an option to extend the lease for two additional five-year periods and an option to early terminate the lease effective on the forty-first month, which options were not considered in the determination of the operating lease right-of-use asset (“ROU asset”) or operating lease liability as neither option is reasonably certain to be exercised by the Company. The Company also leases a fleet of automobiles that are primarily used by its sales force and are classified as operating leases. Operating lease right-of-use assets and operating lease liabilities are recognized based on the present value of the future lease payments using our incremental borrowing rate. Leases with an initial term of 12 months or less are not recorded on the balance sheet. Our leases have remaining lease terms of less than 1 year to approximately 5 years, some of which may include the option to extend or terminate the leases. The Company recorded operating lease costs of $535 and $598 for the three months ended June 30, 2026, and 2025, respectively, and $1,034 and $1,065 for the six months ended June 30, 2026, and 2025 respectively. As of June 30, 2026, the weighted-average remaining lease term for operating leases was 4.0 years and the weighted-average discount rate for operating leases was 7.59%. Supplemental balance sheet information related to operating leases was as follows:
Supplemental cash flow information related to operating leases was as follows:
Future payments under non-cancelable operating leases with initial terms of one year or more as of June 30, 2026, consisted of the following:
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