| Schedule of finance lease |
Finance lease balances consist of the following: | | | | | | | | | | | | | September 30, 2026 | | December 31, 2025 | | Finance lease balances: | | | | Finance right-of-use assets(a) | $ | 7,619 | | | $ | 6,586 | | Finance lease liabilities—current(b) | $ | 6,436 | | | $ | 818 | | Long-term finance lease liabilities—less current portion(c) | $ | 1,342 | | | $ | 5,845 | |
| | | | | | | | | | (a) | | Finance right-of-use assets are included in Restricted and other assets on our Condensed Consolidated Balance Sheets. | | (b) | | Finance lease liabilities—current are included in Other accrued liabilities on our Condensed Consolidated Balance Sheets. | | (c) | | Long-term finance lease liabilities—less current portion are included in Other long-term liabilities on our Condensed Consolidated Balance Sheets. |
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| Schedule of operating lease cost |
The components of total lease cost, net are as follows:
| | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended September 30, | | Nine Months Ended September 30, | | 2026 | | 2025 | | 2026 | | 2025 | | Operating lease costs: | | | | | | | | | Community Rent—cost of services | $ | 10,500 | | | $ | 9,785 | | | $ | 30,582 | | | $ | 29,058 | | | Office Rent—cost of services | 3,296 | | | 2,278 | | | 9,740 | | | 6,645 | | | | | | | | | | Rent—cost of services(a) | $ | 13,796 | | | $ | 12,063 | | | $ | 40,322 | | | $ | 35,703 | | | General and administrative expense | $ | 240 | | | $ | 181 | | | $ | 751 | | | $ | 487 | | Variable lease cost(b) | $ | 2,844 | | | $ | 2,554 | | | $ | 8,450 | | | $ | 7,382 | | | Finance lease costs: | | | | | | | | Amortization of lease assets(c) | $ | 401 | | | $ | 118 | | | $ | 1,059 | | | $ | 332 | | Interest on lease liabilities(d) | $ | 127 | | | $ | 95 | | | $ | 328 | | | $ | 262 | |
| | | | | | | | | | (a) | | Includes short-term lease cost, which is immaterial. | | (b) | | Represents variable lease cost for operating leases, which costs include property taxes, insurance, common area maintenance, and consumer price index increases, incurred as part of the Company’s triple net leases, and which is included in cost of services for our home health and hospice and senior living leases, and general and administrative expense for our Service Center leases for the three and nine months ended September 30, 2026 and 2025. | | (c) | | Amortization of lease assets is included in Depreciation and amortization on our Condensed Consolidated Statements of Income. | | (d) | | Interest on lease liabilities is included in Interest expense, net on our Condensed Consolidated Statements of Income. |
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| Schedule of future minimum lease payments |
The following table shows the lease maturity analysis for all leases as of September 30, 2026:
| | | | | | | | | | Year | Operating Lease Amounts | Finance Lease Amounts | | 2026 (Remainder) | $ | 12,108 | | $ | 468 | | | 2027 | 47,160 | | 6,439 | | | 2028 | 44,276 | | 874 | | | 2029 | 41,682 | | 244 | | | 2030 | 39,803 | | 28 | | | Thereafter | 229,945 | | — | | | Total lease payments | 414,974 | | 8,053 | | | Less: present value adjustments | (132,150) | | (275) | | | Present value of total lease liabilities | 282,824 | | 7,778 | | | Less: current lease liabilities | (26,863) | | (6,436) | | | Long-term lease liabilities | $ | 255,961 | | $ | 1,342 | |
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