v3.26.1
Leases
 6 Months Ended
Jun. 30, 2026
Leases [Abstract]  
Leases Leases
The Company leases datacenters, corporate offices, warehouses and fiber-optic cables under operating leases. The Company does not have any leases classified as finance leases.
The Company's leases have remaining lease terms of 1 year to 20 years, some of which may include options to extend the leases for up to 5 years, and some of which may include options to terminate the leases within 1 year .
The components of lease expense were as follows (Dollar amounts in thousands of U.S. dollars):
For the Three Months Ended June 30,For the Six Months Ended June 30,
2026202520262025
Operating lease expense (leases with a total term greater than 12 months)$4,229 $2,212 $7,767 $4,466 
Short-term lease expense (leases with a total term of 12 months or less)20 6 40 12 
Variable lease expense523 182 1,065 294 
Total lease expense$4,772 $2,400 $8,872 $4,772 
Lease expense is presented in general and administrative expenses and network expenses within our Condensed Consolidated Statements of Operations and Comprehensive Loss.
Variable lease payments are determined based on specific terms and conditions outlined in the lease agreements. These may include payments for utilities, which are based on actual usage, and maintenance costs, which are determined based on expenses incurred.
Information related to leases was as follows (Dollar amounts in thousands of U.S. dollars):
For the Three Months Ended June 30,For the Six Months Ended June 30,
Supplemental cash flow information:2026202520262025
Operating lease - operating cash flows (fixed payments)$3,550 $2,070 $6,581 $4,182 
Operating lease - operating cash flows (liability reduction)1,876 1,405 3,504 2,956 
New right of use assets - operating leases12,067 6,271 26,433 11,355 
Supplemental balance sheet information related to leases:June 30, 2026December 31, 2025
Weighted average discount rate8.93 %8.79 %
Weighted average remaining lease term16.01 years15.32 years
Maturity of lease liability as of June 30, 2026 (Dollar amounts in thousands of U.S. dollars):
June 30, 2026
Remaining of 2026$6,934 
202713,020 
202812,490 
202912,983 
20307,405 
Thereafter104,115 
Total future lease payments156,947 
Less imputed interest75,570 
Total$81,377 
Operating lease payments include payments under the non-cancellable term, without any additional amounts related to options to extend lease terms that are reasonably certain of being exercised.
The Company has agreements with several third-party network partners who construct and operate fiber networks used to deliver our internet services. Under these arrangements, the partners build and activate new serviceable addresses each month. The financial terms of these arrangements may include fixed fees, variable fees, or a combination of both. The partners control and manage the construction. The Company does not control the construction process and are therefore not considered the owner during buildout. The leases for these addresses will commence once the lessor makes the underlying assets available for the Company's use, to deliver services to its customers.
The Company has elected to use the single exchange rate approach when accounting for lease modifications. Under the single exchange rate approach, the entire right of use asset is revalued at the date of modification in the Company’s functional currency provided the re-measurement is not considered a separate contract or if the re-measurement is related to change the lease term or assessment of a lessee option to purchase the underlying asset being exercised.