9. Leases

The Company recognizes operating lease cost on a straight-line basis over the lease term, taking into account future rent escalations and rent holiday periods.

Rent expense for three and six months ended June 30, 2026 and 2025 was as follows:

	Three months ended June 30,					Six months ended June 30,
	2026		2025		2026		2025
Rent expense
Continuing operations	$	—	$	—	$	—	$	—
Discontinued operations		292		101		402		213
Total rent expense	$	292	$	101	$	402	$	213

As of December 31, 2025, the Company had three operating leases: the Edgewater Corporate Park facility at 5225 Wiley Post Way, Salt Lake City, Utah (approximately 9,402 square feet), which supported administrative, sales, marketing, customer support, and warranty operations and was scheduled to expire in February 2028; a facility in Gainesville, Florida; and a warehouse at 363 West 2720 South, Salt Lake City, Utah. The Gainesville and warehouse leases were terminated during the three months ended March 31, 2026.

On April 7, 2026, the Company entered into a lease termination agreement with Edgewater Corporate Park, LLC terminating the Edgewater lease in exchange for a termination fee of $300. Upon termination, the Company derecognized the remaining operating lease right-of-use asset of $321 and the related operating lease liability of $337 and recognized a net gain of $16, which is included in the condensed consolidated statements of operations for the three and six months ended June 30, 2026.

Following these terminations, the Company had no operating leases, no operating lease right-of-use assets, and no operating lease liabilities as of June 30, 2026.

Supplemental cash flow information related to leases 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	$	(176	)	$	(167	)
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	$	—		$	—

Supplemental balance sheet information related to leases was as follows:

	June 30, 2026			December 31, 2025
Operating lease right-of-use assets	$	—		$	494

Current portion of operating lease liabilities, included in accrued liabilities	$	—		$	223
Operating lease liabilities, net of current portion		—			290
Total operating lease liabilities	$	—		$	513

Weighted average remaining lease term for operating leases (in years)		—			2.17
Weighted average discount rate for operating leases		—	%		6.76	%

The Company had no remaining operating lease payment obligations as of June 30, 2026.