We determine if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, accrued liabilities and current portion of long-term liabilities, and operating lease liabilities in our condensed consolidated balance sheets.

ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. Operating lease ROU assets also exclude lease incentives received. For purposes of calculating operating lease liabilities, lease terms may be deemed to include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option.

We have operating leases primarily for office buildings. Our leases have remaining lease terms of one year to two years. Supplemental information related to lease expense and valuation of the ROU assets and lease liabilities was as follows:


	Six Months Ended
	June 30,
	2026			2025
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases	$	281		$	236
Supplemental non-cash information related to lease liabilities arising from obtaining right-of-use assets	—			—
Weighted average remaining lease term (in years)	1.45			2.16
Weighted average discount rate	8.74		%	8.67		%


Operating Lease Payments
Six months ending December 31, 2026	$	170
Years ending December 31:
2027	265
2028	49





Total operating lease payments	484
Less imputed interest	(34)
Total operating lease liabilities	$	450