The Company’s operating leases consist primarily of corporate office space, warehouses, and equipment used in its operations; the Company’s finance leases are not material. The Company’s lease agreements do not contain material residual value guarantees or restrictive covenants. No right-of-use asset impairment charges were recorded during the three and six months ended June 30, 2026 and 2025.

In July 2025, the Company entered into a magnet offtake agreement with the DoW (the “DoW Offtake Agreement”), which contains an embedded lease. Under this agreement, certain costs related to the development and commissioning of the 10X Facility incurred prior to the date at which the 10X Facility begins operations and is capable of producing any quantity of magnets are reimbursable by the DoW. Reimbursable amounts will be initially deferred as a contract liability and subsequently recognized into revenue as the Company fulfills its obligations under the contract.

As of June 30, 2026, and December 31, 2025, the contract liability for reimbursable amounts, which is included within the unaudited Condensed Consolidated Balance Sheets in non-current “Deferred revenue,” totaled $6.0 million and $2.3 million, respectively. Furthermore, certain of these development and commissioning costs of the 10X Facility subject to reimbursement

qualify for capitalization as costs to fulfill a contract with a customer. As of June 30, 2026 and December 31, 2025, the Company capitalized $6.0 million and $2.3 million, respectively, of these contract fulfillment costs, which are included within the unaudited Condensed Consolidated Balance Sheets in “Other non-current assets.” These costs will be expensed following the pattern of revenue recognized from the reimbursements under the contract.

Supplemental disclosure for the unaudited Condensed Consolidated Balance Sheets related to the Company’s operating leases is as follows:


	Location on Unaudited Condensed Consolidated Balance Sheets	June 30, 2026		December 31, 2025
(in thousands)
Operating leases:
Right-of-use assets	Other non-current assets	$	19,080	$	13,214

Operating lease liability, current	Other current liabilities	$	3,733	$	3,216
Operating lease liability, non-current	Other non-current liabilities	14,201		8,429
Total operating lease liabilities		$	17,934	$	11,645