v3.26.1
Leases
 6 Months Ended
Jun. 30, 2026
Leases [Abstract]  
Leases Leases
The Company has leases for offices, data centers and computer and networking equipment that expire at various dates through 2031. The Company’s leases have remaining terms of one to five years, some of the leases include a Company option to extend the leases for up to one to five years, and some of the leases include the option to terminate the leases upon 30-days' notice. The Company does not separate lease and non-lease components for real estate operating leases.
As the Company’s leases do not provide an implicit rate, the net present value of future minimum lease payments is determined using the Company’s incremental borrowing rate. Operating leases with a duration of 12 months or less are excluded from right-of-use assets and operating lease liabilities, and related lease payments are generally recognized on a straight-line basis over the lease term and variable lease payments are recognized as incurred.
The Company entered into additional three-year equipment finance lease agreements and recognized $1.6 million right of use assets during the three months ended June 30, 2026, which were reported within Finance lease right-of-use assets and are being depreciated on a straight-line basis over the lease term. As a result, the Company also recognized short-term lease liabilities of $0.5 million within Finance lease liabilities and long-term lease liabilities of $1.1 million within Finance lease liabilities - less current portion during these periods.
The components of lease expenses were as follows (in thousands):
Three Months EndedSix Months Ended
June 30, 2026June 30, 2025June 30, 2026June 30, 2025
Operating lease cost$3,789 $3,123 $7,416 $6,295 
Finance lease cost:
Amortization of right-of-use assets$2,225 $2,311 $4,507 $4,319 
Interest on finance lease liabilities158 289 345 548 
Total finance lease cost$2,383 $2,600 $4,852 $4,867 
Supplemental cash flow information related to leases was as follows (in thousands):
Three Months EndedSix Months Ended
June 30, 2026June 30, 2025June 30, 2026June 30, 2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash used in operating leases$(3,595)$(3,519)$(6,774)$(6,893)
Financing cash used in finance leases(2,443)(2,506)(4,924)(4,671)
Right of use assets obtained in exchange for lease obligations:
Operating leases8,192 3,767 8,192 4,570 
Finance leases1,599 — 1,599 3,853 
Supplemental balance sheet information related to leases was as follows (in thousands):
June 30, 2026December 31, 2025
Operating leases
Operating lease right-of-use assets$40,889 $46,375 
Operating lease liabilities$14,519 $12,922 
Operating lease liabilities — less current portion41,650 42,116 
Total operating lease liabilities$56,169 $55,038 
Finance leases
Finance lease right-of-use assets$11,315 $14,216 
Property and equipment, gross$14,175 $14,354 
Less: accumulated depreciation and amortization(14,175)(14,354)
Property and equipment, net$— $— 
Finance lease liabilities$8,329 $8,480 
Finance lease liabilities — less current portion3,255 6,090 
Total finance lease liabilities$11,584 $14,570 
Weighted average remaining terms were as follows (in years):
June 30, 2026December 31, 2025
Weighted average remaining lease term
Operating leases4.14.6
Finance leases1.51.7
Weighted average discount rates were as follows:
June 30, 2026December 31, 2025
Weighted average discount rate
Operating leases4.8 %4.7 %
Finance leases5.8 %5.8 %
Maturities of lease liabilities were as follows (in thousands):
Year Ending December 31,Operating LeasesFinance Leases
Remaining 2026$8,601 $4,431 
202715,153 6,483 
202813,374 896 
202912,676 271 
203010,229 — 
Thereafter1,664 — 
Total future minimum lease payments61,697 12,081 
Less: imputed interest(5,528)(497)
Total$56,169 $11,584 
As of June 30, 2026, the Company had entered into additional operating leases to commence in August and October 2026, representing a total commitment over its term of approximately $0.8 million.
Leases Leases
The Company has leases for offices, data centers and computer and networking equipment that expire at various dates through 2031. The Company’s leases have remaining terms of one to five years, some of the leases include a Company option to extend the leases for up to one to five years, and some of the leases include the option to terminate the leases upon 30-days' notice. The Company does not separate lease and non-lease components for real estate operating leases.
As the Company’s leases do not provide an implicit rate, the net present value of future minimum lease payments is determined using the Company’s incremental borrowing rate. Operating leases with a duration of 12 months or less are excluded from right-of-use assets and operating lease liabilities, and related lease payments are generally recognized on a straight-line basis over the lease term and variable lease payments are recognized as incurred.
The Company entered into additional three-year equipment finance lease agreements and recognized $1.6 million right of use assets during the three months ended June 30, 2026, which were reported within Finance lease right-of-use assets and are being depreciated on a straight-line basis over the lease term. As a result, the Company also recognized short-term lease liabilities of $0.5 million within Finance lease liabilities and long-term lease liabilities of $1.1 million within Finance lease liabilities - less current portion during these periods.
The components of lease expenses were as follows (in thousands):
Three Months EndedSix Months Ended
June 30, 2026June 30, 2025June 30, 2026June 30, 2025
Operating lease cost$3,789 $3,123 $7,416 $6,295 
Finance lease cost:
Amortization of right-of-use assets$2,225 $2,311 $4,507 $4,319 
Interest on finance lease liabilities158 289 345 548 
Total finance lease cost$2,383 $2,600 $4,852 $4,867 
Supplemental cash flow information related to leases was as follows (in thousands):
Three Months EndedSix Months Ended
June 30, 2026June 30, 2025June 30, 2026June 30, 2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash used in operating leases$(3,595)$(3,519)$(6,774)$(6,893)
Financing cash used in finance leases(2,443)(2,506)(4,924)(4,671)
Right of use assets obtained in exchange for lease obligations:
Operating leases8,192 3,767 8,192 4,570 
Finance leases1,599 — 1,599 3,853 
Supplemental balance sheet information related to leases was as follows (in thousands):
June 30, 2026December 31, 2025
Operating leases
Operating lease right-of-use assets$40,889 $46,375 
Operating lease liabilities$14,519 $12,922 
Operating lease liabilities — less current portion41,650 42,116 
Total operating lease liabilities$56,169 $55,038 
Finance leases
Finance lease right-of-use assets$11,315 $14,216 
Property and equipment, gross$14,175 $14,354 
Less: accumulated depreciation and amortization(14,175)(14,354)
Property and equipment, net$— $— 
Finance lease liabilities$8,329 $8,480 
Finance lease liabilities — less current portion3,255 6,090 
Total finance lease liabilities$11,584 $14,570 
Weighted average remaining terms were as follows (in years):
June 30, 2026December 31, 2025
Weighted average remaining lease term
Operating leases4.14.6
Finance leases1.51.7
Weighted average discount rates were as follows:
June 30, 2026December 31, 2025
Weighted average discount rate
Operating leases4.8 %4.7 %
Finance leases5.8 %5.8 %
Maturities of lease liabilities were as follows (in thousands):
Year Ending December 31,Operating LeasesFinance Leases
Remaining 2026$8,601 $4,431 
202715,153 6,483 
202813,374 896 
202912,676 271 
203010,229 — 
Thereafter1,664 — 
Total future minimum lease payments61,697 12,081 
Less: imputed interest(5,528)(497)
Total$56,169 $11,584 
As of June 30, 2026, the Company had entered into additional operating leases to commence in August and October 2026, representing a total commitment over its term of approximately $0.8 million.