v3.23.2
Leases
 6 Months Ended
Jun. 30, 2023
Leases [Abstract]  
Leases Leases
The Company conducts its operations using facilities leased under operating lease agreements that expire at various dates. The Company finances its use of certain motor vehicles and other equipment under various lease arrangements provided by financial institutions. The lease agreements do not contain any covenants to impose any restrictions except for market-standard practice for similar lease arrangements.

The Company had performed an evaluation of its contracts with suppliers in accordance with ASC Topic 842, Leases, and had determined that, except for leases for office facilities, motor vehicles and other equipment as described above, none of the Company’s contracts contain a lease. As part of the Company’s efforts to optimize its existing network of operations centers, the Company continued to evaluate its office facilities to determine where it can exit or consolidate its use of office space.

Supplemental balance sheet information
As of
June 30, 2023December 31, 2022
Operating Lease
Operating lease right-of-use assets$58,423 $55,347 
Operating lease liabilities - Current$14,482 $14,978 
Operating lease liabilities - Non-current50,575 48,155 
Total operating lease liabilities$65,057 $63,133 
Finance Lease
Property and equipment, gross$1,906 $2,499 
Accumulated depreciation(1,388)(1,999)
Property and equipment, net$518 $500 
Finance lease liabilities - Current$167 $164 
Finance lease liabilities - Non-current373 355 
Total finance lease liabilities$540 $519 

Finance lease liabilities are presented as a part of “Accrued expenses and other current liabilities” and “Other non-current liabilities,” as applicable, in the Company’s consolidated balance sheets.
The components of lease cost, which are included in the Company’s unaudited consolidated statements of income, are as follows:

Lease costThree months ended June 30,Six months ended June 30,
Finance lease:2023202220232022
Amortization of right-of-use assets$39 $50 $77 $88 
Interest on lease liabilities18 14 38 28 
57 64 115 116 
Operating lease(a)
5,449 5,962 10,332 12,005 
Variable lease costs1,157 1,408 2,164 2,529 
Total lease cost$6,663 $7,434 $12,611 $14,650 
(a) Includes short-term leases, which are immaterial.

Supplemental cash flow and other information related to leases are as follows:
Six months ended June 30,
20232022
Cash payments for amounts included in the measurement of lease liabilities :
Operating cash outflows for operating leases$10,829 $11,922 
Operating cash outflows for finance leases$38 $28 
Financing cash outflows for finance leases$80 $75 
Right-of-use assets obtained in exchange for new operating lease liabilities$10,929 $3,540 
Right-of-use assets obtained in exchange for new finance lease liabilities$91 $118 
Weighted average remaining lease term (in years)
Finance lease2.7 years2.5 years
Operating lease5.6 years5.5 years
Weighted average discount rate
Finance lease14.0 %14.5 %
Operating lease7.3 %7.0 %
The Company modified certain of its operating leases, resulting in a decrease of its lease liabilities by $2,466 and an increase of its lease liabilities by $263, during the six months ended June 30, 2023 and June 30, 2022, respectively, with a corresponding adjustment to ROU assets.

As of June 30, 2023 and December 31, 2022, the Company did not have any significant leases that have not yet commenced but that create significant rights and obligations for the Company.
Maturities of lease liabilities as of June 30, 2023 were as follows:
Operating LeasesFinance Leases
2023 (July 1 - December 31)$9,445 $133 
202417,314 187 
202512,908 125 
202611,926 113 
20279,151 112 
2028 and thereafter20,554 22 
Total lease payments81,298 692 
Less: Imputed interest16,241 152 
Present value of lease liabilities$65,057 $540 
Maturities of lease liabilities as of December 31, 2022 were as follows:
Operating LeasesFinance Leases
2023$18,711 $228 
202414,846 162 
202510,037 114 
20268,941 88 
20276,474 79 
2028 and thereafter19,624 — 
Total lease payments78,633 671 
Less: Imputed interest15,500 152 
Present value of lease liabilities$63,133 $519 
Leases Leases
The Company conducts its operations using facilities leased under operating lease agreements that expire at various dates. The Company finances its use of certain motor vehicles and other equipment under various lease arrangements provided by financial institutions. The lease agreements do not contain any covenants to impose any restrictions except for market-standard practice for similar lease arrangements.

The Company had performed an evaluation of its contracts with suppliers in accordance with ASC Topic 842, Leases, and had determined that, except for leases for office facilities, motor vehicles and other equipment as described above, none of the Company’s contracts contain a lease. As part of the Company’s efforts to optimize its existing network of operations centers, the Company continued to evaluate its office facilities to determine where it can exit or consolidate its use of office space.

Supplemental balance sheet information
As of
June 30, 2023December 31, 2022
Operating Lease
Operating lease right-of-use assets$58,423 $55,347 
Operating lease liabilities - Current$14,482 $14,978 
Operating lease liabilities - Non-current50,575 48,155 
Total operating lease liabilities$65,057 $63,133 
Finance Lease
Property and equipment, gross$1,906 $2,499 
Accumulated depreciation(1,388)(1,999)
Property and equipment, net$518 $500 
Finance lease liabilities - Current$167 $164 
Finance lease liabilities - Non-current373 355 
Total finance lease liabilities$540 $519 

Finance lease liabilities are presented as a part of “Accrued expenses and other current liabilities” and “Other non-current liabilities,” as applicable, in the Company’s consolidated balance sheets.
The components of lease cost, which are included in the Company’s unaudited consolidated statements of income, are as follows:

Lease costThree months ended June 30,Six months ended June 30,
Finance lease:2023202220232022
Amortization of right-of-use assets$39 $50 $77 $88 
Interest on lease liabilities18 14 38 28 
57 64 115 116 
Operating lease(a)
5,449 5,962 10,332 12,005 
Variable lease costs1,157 1,408 2,164 2,529 
Total lease cost$6,663 $7,434 $12,611 $14,650 
(a) Includes short-term leases, which are immaterial.

Supplemental cash flow and other information related to leases are as follows:
Six months ended June 30,
20232022
Cash payments for amounts included in the measurement of lease liabilities :
Operating cash outflows for operating leases$10,829 $11,922 
Operating cash outflows for finance leases$38 $28 
Financing cash outflows for finance leases$80 $75 
Right-of-use assets obtained in exchange for new operating lease liabilities$10,929 $3,540 
Right-of-use assets obtained in exchange for new finance lease liabilities$91 $118 
Weighted average remaining lease term (in years)
Finance lease2.7 years2.5 years
Operating lease5.6 years5.5 years
Weighted average discount rate
Finance lease14.0 %14.5 %
Operating lease7.3 %7.0 %
The Company modified certain of its operating leases, resulting in a decrease of its lease liabilities by $2,466 and an increase of its lease liabilities by $263, during the six months ended June 30, 2023 and June 30, 2022, respectively, with a corresponding adjustment to ROU assets.

As of June 30, 2023 and December 31, 2022, the Company did not have any significant leases that have not yet commenced but that create significant rights and obligations for the Company.
Maturities of lease liabilities as of June 30, 2023 were as follows:
Operating LeasesFinance Leases
2023 (July 1 - December 31)$9,445 $133 
202417,314 187 
202512,908 125 
202611,926 113 
20279,151 112 
2028 and thereafter20,554 22 
Total lease payments81,298 692 
Less: Imputed interest16,241 152 
Present value of lease liabilities$65,057 $540 
Maturities of lease liabilities as of December 31, 2022 were as follows:
Operating LeasesFinance Leases
2023$18,711 $228 
202414,846 162 
202510,037 114 
20268,941 88 
20276,474 79 
2028 and thereafter19,624 — 
Total lease payments78,633 671 
Less: Imputed interest15,500 152 
Present value of lease liabilities$63,133 $519