v3.26.1
LEASES
 6 Months Ended
Jun. 30, 2026
Leases [Abstract]  
LEASES LEASES
Lessor
Deferred lease revenue represents payments received in advance of the Company’s performance obligation under the lease agreements in its Data Centers segment. Deferred lease revenue is recognized as income on a straight-line basis over the term of the lease agreement. The following table summarizes the Company’s deferred lease revenue activity for the periods ended June 30, 2026 and December 31, 2025:
(in thousands)
June 30, 2026December 31, 2025
Beginning balance
$150,000 $— 
Prepaid rent— 150,000 
Revenue recognized during the period
— — 
Ending Balance
$150,000 $150,000 
The following table represents future minimum lease income of the Company’s operating leases as of June 30, 2026:
(in thousands)
Lease Income
Year ending December 31,
2026126,875 
2027259,079 
2028266,851 
2029274,857 
Thereafter
3,820,130 
Total future minimum lease income
$4,747,792 
Lessee
The Company enters into leases primarily for real estate, substantially all of which are used in connection with its operations.
Operating lease costs were $1.7 million and $3.3 million for the three and six months ended June 30, 2026, respectively, and $1.5 million and $2.9 million for the three and six months ended June 30, 2025, respectively. Variable lease costs, which are included in operating lease costs, were not material for the three and six months ended June 30, 2026 and June 30, 2025.
Supplemental disclosures for the Company’s condensed consolidated interim statements of cash flows:
(in thousands)
Six Months Ended June 30, 2026
Six Months Ended June 30, 2025
Net cash provided by / (used in) operating activities
Cash paid in the measurement of operating lease liabilities
$
1,773 
$
2,874 
Supplemental statement of financial position and other disclosures related to operating lease right-of-use assets:
(in thousands, except lease term and discount rate)
June 30, 2026
December 31, 2025
Operating lease right-of-use assets
$
11,885
$
10,337
Operating lease liabilities
14,141
12,479
Weighted average remaining lease term (years)
2.53.0
Weighted average discount rate(1)
8 
%
9 
%
__________________
(1)The weighted average discount rate represents the Company’s incremental borrowing rate.
The following table represents future minimum lease payments of the Company’s operating lease liabilities as of June 30, 2026:
(in thousands)
Lease liability
Year ending December 31,
2026$2,709 
20276,416 
20285,770 
2029692 
Total future minimum lease payments
15,587 
Less: Interest
(1,446)
Total lease liability
$14,141 
Interest expense on the Company’s lease liabilities was $0.3 million and $0.6 million for the three and six months ended June 30, 2026, respectively, and $0.2 million and $0.5 million for the three and six months ended June 30, 2025.
LEASES LEASES
Lessor
Deferred lease revenue represents payments received in advance of the Company’s performance obligation under the lease agreements in its Data Centers segment. Deferred lease revenue is recognized as income on a straight-line basis over the term of the lease agreement. The following table summarizes the Company’s deferred lease revenue activity for the periods ended June 30, 2026 and December 31, 2025:
(in thousands)
June 30, 2026December 31, 2025
Beginning balance
$150,000 $— 
Prepaid rent— 150,000 
Revenue recognized during the period
— — 
Ending Balance
$150,000 $150,000 
The following table represents future minimum lease income of the Company’s operating leases as of June 30, 2026:
(in thousands)
Lease Income
Year ending December 31,
2026126,875 
2027259,079 
2028266,851 
2029274,857 
Thereafter
3,820,130 
Total future minimum lease income
$4,747,792 
Lessee
The Company enters into leases primarily for real estate, substantially all of which are used in connection with its operations.
Operating lease costs were $1.7 million and $3.3 million for the three and six months ended June 30, 2026, respectively, and $1.5 million and $2.9 million for the three and six months ended June 30, 2025, respectively. Variable lease costs, which are included in operating lease costs, were not material for the three and six months ended June 30, 2026 and June 30, 2025.
Supplemental disclosures for the Company’s condensed consolidated interim statements of cash flows:
(in thousands)
Six Months Ended June 30, 2026
Six Months Ended June 30, 2025
Net cash provided by / (used in) operating activities
Cash paid in the measurement of operating lease liabilities
$
1,773 
$
2,874 
Supplemental statement of financial position and other disclosures related to operating lease right-of-use assets:
(in thousands, except lease term and discount rate)
June 30, 2026
December 31, 2025
Operating lease right-of-use assets
$
11,885
$
10,337
Operating lease liabilities
14,141
12,479
Weighted average remaining lease term (years)
2.53.0
Weighted average discount rate(1)
8 
%
9 
%
__________________
(1)The weighted average discount rate represents the Company’s incremental borrowing rate.
The following table represents future minimum lease payments of the Company’s operating lease liabilities as of June 30, 2026:
(in thousands)
Lease liability
Year ending December 31,
2026$2,709 
20276,416 
20285,770 
2029692 
Total future minimum lease payments
15,587 
Less: Interest
(1,446)
Total lease liability
$14,141 
Interest expense on the Company’s lease liabilities was $0.3 million and $0.6 million for the three and six months ended June 30, 2026, respectively, and $0.2 million and $0.5 million for the three and six months ended June 30, 2025.