v3.26.3
Leases
 9 Months Ended
Sep. 30, 2026
Leases [Abstract]  
Leases Leases
The Company leases administrative, manufacturing, research, and distribution facilities through operating leases. Several leases include fixed payments, including rent and non-lease components such as common area or other maintenance costs.
The components of total operating lease expense and sublease income are as follows for the periods presented:
Three Months Ended Nine Months Ended
(in thousands)September 30, 2026September 30, 2025September 30, 2026September 30, 2025
Operating lease costs$950 $919 $2,841 $2,749 
Short-term lease costs30 158 90 420 
Variable lease costs375 65 1,084 113 
Total operating lease expense$1,355 $1,142 $4,015 $3,282 
Sublease income$270 $269 $811 $810 
Supplemental balance sheet information related to the operating and financing leases is as follows as of the periods presented:
(in thousands, except lease term and discount rate)September 30, 2026December 31, 2025
Operating Leases
Right-of-use operating assets$13,394 $12,732 
Current maturities of long-term lease obligations$1,810 $2,354 
Long-term lease obligations$17,622 $16,838 
Financing Leases
Right-of-use financing assets, net of accumulated amortization (1)
$31 $44 
Current maturities of long-term lease obligations $20 $18 
Long-term lease obligations $17 $32 
Weighted average operating lease term7.5 years8.1 years
Weighted average financing lease term2.0 years1.8 years
Weighted average discount rate - operating leases
10.23%10.87%
Weighted average discount rate - financing leases
13.59%8.01%
__________
(1)Financing leases are included in Property and equipment, net on the Condensed Consolidated Balance Sheets.
Future minimum lease payments under operating and financing leases as of September 30, 2026 are as follows:
(in thousands)
2026 (excluding the nine months ended September 30, 2026)$1,014 
20273,569 
20283,587 
20293,665 
20303,594 
Thereafter12,793 
Total28,222 
Less: imputed interest(8,753)
Total lease obligations19,469 
Less: current maturities of long-term lease obligations(1,830)
Long-term lease obligations$17,639 
Lease Modifications
The Company accounts for lease revisions as a lease modification in accordance with FASB ASC 842, Leases, when the modification effectively terminates the existing lease and creates a new lease.
The Company and Progress Park Buildings Alachua, LLC, a Florida limited liability company (as successor in interest to Alachua Copeland Park Investments, LLC, a Florida limited liability company, who was successor in interest to Ology Bioservices Holdings, LLC, a Delaware limited liability company, who was successor in interest to SNH Medical Office Properties Trust), are parties to a lease dated February 6, 2007, as amended (the “Primary Lease”). Pursuant to the Primary Lease, the Company leases an approximately 19,000 square foot corporate headquarters facility in Alachua, Florida. On February 24, 2026, the Company entered into a seventh amendment to the Primary Lease to extend the term of the Primary Lease to December 31, 2031. The Company recorded a right-of-use asset and lease liability of $1,967 and $2,053, respectively, related to this extension.
Leases Leases
The Company leases administrative, manufacturing, research, and distribution facilities through operating leases. Several leases include fixed payments, including rent and non-lease components such as common area or other maintenance costs.
The components of total operating lease expense and sublease income are as follows for the periods presented:
Three Months Ended Nine Months Ended
(in thousands)September 30, 2026September 30, 2025September 30, 2026September 30, 2025
Operating lease costs$950 $919 $2,841 $2,749 
Short-term lease costs30 158 90 420 
Variable lease costs375 65 1,084 113 
Total operating lease expense$1,355 $1,142 $4,015 $3,282 
Sublease income$270 $269 $811 $810 
Supplemental balance sheet information related to the operating and financing leases is as follows as of the periods presented:
(in thousands, except lease term and discount rate)September 30, 2026December 31, 2025
Operating Leases
Right-of-use operating assets$13,394 $12,732 
Current maturities of long-term lease obligations$1,810 $2,354 
Long-term lease obligations$17,622 $16,838 
Financing Leases
Right-of-use financing assets, net of accumulated amortization (1)
$31 $44 
Current maturities of long-term lease obligations $20 $18 
Long-term lease obligations $17 $32 
Weighted average operating lease term7.5 years8.1 years
Weighted average financing lease term2.0 years1.8 years
Weighted average discount rate - operating leases
10.23%10.87%
Weighted average discount rate - financing leases
13.59%8.01%
__________
(1)Financing leases are included in Property and equipment, net on the Condensed Consolidated Balance Sheets.
Future minimum lease payments under operating and financing leases as of September 30, 2026 are as follows:
(in thousands)
2026 (excluding the nine months ended September 30, 2026)$1,014 
20273,569 
20283,587 
20293,665 
20303,594 
Thereafter12,793 
Total28,222 
Less: imputed interest(8,753)
Total lease obligations19,469 
Less: current maturities of long-term lease obligations(1,830)
Long-term lease obligations$17,639 
Lease Modifications
The Company accounts for lease revisions as a lease modification in accordance with FASB ASC 842, Leases, when the modification effectively terminates the existing lease and creates a new lease.
The Company and Progress Park Buildings Alachua, LLC, a Florida limited liability company (as successor in interest to Alachua Copeland Park Investments, LLC, a Florida limited liability company, who was successor in interest to Ology Bioservices Holdings, LLC, a Delaware limited liability company, who was successor in interest to SNH Medical Office Properties Trust), are parties to a lease dated February 6, 2007, as amended (the “Primary Lease”). Pursuant to the Primary Lease, the Company leases an approximately 19,000 square foot corporate headquarters facility in Alachua, Florida. On February 24, 2026, the Company entered into a seventh amendment to the Primary Lease to extend the term of the Primary Lease to December 31, 2031. The Company recorded a right-of-use asset and lease liability of $1,967 and $2,053, respectively, related to this extension.