|
8. LEASES
The
table below presents the lease-related assets and liabilities recorded in the Condensed Consolidated Balance Sheet:
SCHEDULE
OF LEASE RELATED ASSETS AND LIABILITIES
| |
|
Classification on the Balance Sheet |
|
March 31, 2023 |
|
|
December 31, 2022 |
|
| |
|
|
|
|
|
|
|
|
| Assets |
|
|
|
|
|
|
|
|
|
|
| Operating lease assets |
|
Operating lease right of use assets |
|
|
2,298 |
|
|
|
2,439 |
|
| Total lease assets |
|
|
|
$ |
2,298 |
|
|
$ |
2,439 |
|
| |
|
|
|
|
|
|
|
|
|
|
| Liabilities |
|
|
|
|
|
|
|
|
|
|
| Current |
|
|
|
|
|
|
|
|
|
|
| Operating lease liabilities |
|
Other accrued expenses |
|
|
542 |
|
|
|
578 |
|
| Operating lease liabilities |
|
Other accrued expenses |
|
|
542 |
|
|
|
578 |
|
| Total current lease liabilities |
|
|
|
$ |
542 |
|
|
$ |
578 |
|
| Noncurrent |
|
|
|
|
|
|
|
|
|
|
| Operating lease liabilities |
|
Operating lease liabilities, net of current portion |
|
|
1,748 |
|
|
|
1,848 |
|
| Total long-term lease liabilities |
|
|
|
|
1,748 |
|
|
|
1,848 |
|
| Total lease liabilities |
|
|
|
$ |
2,290 |
|
|
$ |
2,426 |
|
The
weighted average remaining lease term for the Company’s operating leases was 4.8 years as of March 31, 2023 and the weighted average
discount rate for those leases was 11.8%. The Company’s operating lease expenses are recorded within “Cost of revenue”
and “General and administrative expenses.”
The
table below reconciles the cash flows to the lease liabilities recorded on the Company’s Condensed Consolidated Balance Sheet as
of March 31, 2023:
SCHEDULE
OF MATURITIES OF OPERATING LEASE LIABILITIES
| |
|
Operating Leases |
|
| 2023 - remaining nine months |
|
$ |
627 |
|
| 2024 |
|
|
575 |
|
| 2025 |
|
|
450 |
|
| 2026 |
|
|
550 |
|
| 2027-2028 |
|
|
825 |
|
| Total minimum lease payments |
|
|
3,027 |
|
| Less: amount of lease payments representing effects of discounting |
|
|
737 |
|
| Present value of future minimum lease payments |
|
|
2,290 |
|
| Less: current obligations under leases |
|
|
542 |
|
| Long-term lease obligations |
|
$ |
1,748 |
|
In
April 2023, the Company entered into a lease termination agreement with its Parsippany landlord. See Note 19, Subsequent Events,
for more detail.
|