LEASES

6 Months Ended

Jun. 30, 2026

6. LEASES

The table below presents the lease-related assets and liabilities recorded in the Condensed Consolidated Balance Sheet:

	Classification on the Balance Sheet	June 30, 2026		December 31, 2025

Assets
Operating lease assets	Operating lease right of use assets		1,001		1,217
Total lease assets		$	1,001	$	1,217

Liabilities
Current
Operating lease liabilities	Other accrued expenses		458		431
Total current lease liabilities		$	458	$	431
Noncurrent
Operating lease liabilities	Operating lease liabilities, net of current portion		516		752
Total long-term lease liabilities			516		752
Total lease liabilities		$	974	$	1,183

The weighted average remaining lease term for the Company’s operating lease was 2.0 years as of June 30, 2026 and the weighted average discount rate for that lease was 12.0%. Total operating lease expense from continuing operations under these agreements for the three months ended June 30, 2026 and 2025 was approximately $0.1 million, respectively, and for both the six months ended June 30, 2026 and 2025 was approximately $0.3 million, respectively. Total cash paid under these agreements for the six months ended June 30, 2026 and 2025 was approximately $0.3 million, respectively. The Company’s operating lease expenses are recorded within “Cost of revenue” and “General and administrative expenses.”

The table below reconciles the cash flows to the lease liabilities recorded on the Company’s Condensed Consolidated Balance Sheet as of June 30, 2026:

	Operating Leases
2026 - remaining six months		275
2027		550
2028		275
Total minimum lease payments		1,100
Less: amount of lease payments representing effects of discounting		126
Present value of future minimum lease payments		974
Less: current obligations under leases		458
Long-term lease obligations	$	516