Leases

12 Months Ended

Dec. 31, 2024

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.

Supplemental balance sheet information


	As of
	December 31, 2024		December 31, 2023
Operating Lease
Operating lease ROU assets	$	68,784	$	64,856

Operating lease liabilities - Current	$	16,491	$	12,780
Operating lease liabilities - Non-current	59,851		58,175
Total operating lease liabilities	$	76,342	$	70,955

Finance Lease
Property and equipment, gross	$	3,268	$	2,109
Accumulated depreciation	(1,556)		(1,332)
Property and equipment, net	$	1,712	$	777

Finance lease liabilities - Current	$	435	$	191
Finance lease liabilities - Non-current	1,349		613
Total finance lease liabilities	$	1,784	$	804

The components of lease cost, which are included in the Company’s consolidated statements of income, are as follows:


	Year ended December 31,
	2024		2023		2022
Finance lease:
Depreciation on underlying ROU assets	$	382	$	181	$	151
Interest on lease liabilities	196		90		59
	578		271		210
Operating lease(1)	21,764		20,188		21,783
Variable lease costs	4,490		4,374		5,033
Sublease income	(122)		—		—
Total lease cost	$	26,710	$	24,833	$	27,026

(1) Includes short-term leases, which are immaterial.

Supplemental cash flow and other information related to leases are as follows:


	Year ended December 31,
	2024		2023		2022
Cash payments for amounts included in the measurement of lease liabilities :
Operating cash outflows for operating leases	$	20,489	$	20,181	$	23,227
Operating cash outflows for finance leases	$	196	$	90	$	59
Financing cash outflows for finance leases	$	326	$	169	$	142
ROU assets obtained in exchange for new operating lease liabilities	$	20,518	$	24,880	$	734
ROU assets obtained in exchange for new finance lease liabilities	$	1,325	$	461	$	312
Weighted average remaining lease term (in years)
Finance lease	3.3 years		3.1 years		2.8 years
Operating lease	4.9 years		5.5 years		5.9 years
Weighted average discount rate
Finance lease	15.1%		14.6%		14.3%
Operating lease	8.0%		7.7%		6.8%

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. The Company modified certain of its operating leases, resulting in an increase of its lease liabilities by $3,372 and $8,805, during the year ended December 31, 2024 and 2023, respectively, with a corresponding adjustment to ROU assets.

As of December 31, 2024 and 2023, the Company did not have any significant leases that have not yet commenced but that create significant rights and obligations for the Company.

There was no impairment of ROU assets as of December 31, 2024 and 2023.

Maturities of lease liabilities as of December 31, 2024 were as follows:


	Operating Leases		Finance Leases
2025	$	22,028	$	671
2026	20,434		631
2027	17,918		527
2028	15,191		353
2029	6,370		175
2030 and thereafter	11,931		—
Total lease payments	93,872		2,357
Less: Imputed interest	17,530		573
Present value of lease liabilities	$	76,342	$	1,784

Maturities of lease liabilities as of December 31, 2023 were as follows:


	Operating Leases		Finance Leases
2024	$	17,806	$	297
2025	16,878		256
2026	16,220		222
2027	13,712		191
2028	10,132		98
2029 and thereafter	14,018		—
Total lease payments	88,766		1,064
Less: Imputed interest	17,811		260
Present value of lease liabilities	$	70,955	$	804

Leases