7. Leases (Notes)

9 Months Ended

Sep. 30, 2026

7. Leases

Our lease arrangements include our corporate and administrative offices, certain warehouses, and certain land, equipment, and facilities used by our manufacturing plants. Such leases primarily relate to assets located in the United States, Malaysia, India, and Vietnam.

The following table presents certain quantitative information related to our lease arrangements for the three and nine months ended September 30, 2026 and 2025, and as of September 30, 2026 and December 31, 2025 (in thousands):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2026		2025		2026		2025
Finance lease cost:
Amortization of right-of-use assets	$	580	$	437	$	1,757	$	1,238
Interest on lease liabilities	616		552		1,878		1,620
Operating lease cost	6,773		5,653		17,606		13,966
Variable lease cost	1,086		1,007		3,304		2,724
Short-term lease cost	533		205		1,381		640
Total lease cost	$	9,588	$	7,854	$	25,926	$	20,188

Cash paid for amounts included in the measurement of:
Operating lease liabilities					$	17,188	$	12,441
Finance lease liabilities					2,734		1,481
Lease assets obtained in exchange for:
Operating lease liabilities					$	74,443	$	49,509
Finance lease liabilities					379		4,583


	September 30, 2026						December 31, 2025
	Operating Leases			Finance Leases			Operating Leases			Finance Leases
Lease assets	$	223,268		$	32,089		$	161,756		$	34,302
Lease liabilities – current	14,504			2,992			15,183			2,907
Lease liabilities – noncurrent	166,400			33,410			103,753			34,920

Weighted-average remaining lease term	11 years			24 years			12 years			24 years
Weighted-average discount rate	5.2		%	6.5		%	5.7		%	6.6		%

As of September 30, 2026, the future payments associated with our lease liabilities were as follows (in thousands):


	Operating Leases		Finance Leases
Remainder of 2026	$	5,617	$	922
2027	22,707		3,704
2028	22,542		3,767
2029	21,072		3,855
2030	19,690		3,901
2031	19,586		3,930
Thereafter	129,325		51,636
Total future payments	240,539		71,715
Less: interest	(59,635)		(35,313)
Total lease liabilities	$	180,904	$	36,402

Lessee, Finance Leases

7. Leases


	Three Months Ended September 30,				Nine Months Ended September 30,
	2026		2025		2026		2025
Finance lease cost:
Amortization of right-of-use assets	$	580	$	437	$	1,757	$	1,238
Interest on lease liabilities	616		552		1,878		1,620
Operating lease cost	6,773		5,653		17,606		13,966
Variable lease cost	1,086		1,007		3,304		2,724
Short-term lease cost	533		205		1,381		640
Total lease cost	$	9,588	$	7,854	$	25,926	$	20,188

Cash paid for amounts included in the measurement of:
Operating lease liabilities					$	17,188	$	12,441
Finance lease liabilities					2,734		1,481
Lease assets obtained in exchange for:
Operating lease liabilities					$	74,443	$	49,509
Finance lease liabilities					379		4,583


	September 30, 2026						December 31, 2025
	Operating Leases			Finance Leases			Operating Leases			Finance Leases
Lease assets	$	223,268		$	32,089		$	161,756		$	34,302
Lease liabilities – current	14,504			2,992			15,183			2,907
Lease liabilities – noncurrent	166,400			33,410			103,753			34,920

Weighted-average remaining lease term	11 years			24 years			12 years			24 years
Weighted-average discount rate	5.2		%	6.5		%	5.7		%	6.6		%

As of September 30, 2026, the future payments associated with our lease liabilities were as follows (in thousands):


	Operating Leases		Finance Leases
Remainder of 2026	$	5,617	$	922
2027	22,707		3,704
2028	22,542		3,767
2029	21,072		3,855
2030	19,690		3,901
2031	19,586		3,930
Thereafter	129,325		51,636
Total future payments	240,539		71,715
Less: interest	(59,635)		(35,313)
Total lease liabilities	$	180,904	$	36,402