Leases

9 Months Ended

Sep. 30, 2024

We have operating leases for offices, which have remaining lease terms of up to nine years.

Components of lease expense were as follows (in thousands):


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Operating lease expense	$	10,695	$	10,524	$	31,527	$	30,292

Variable lease expense	1,395		1,408		4,613		3,850
Sublease income	(671)		(493)		(1,467)		(1,317)
Total lease expense	$	11,419	$	11,439	$	34,673	$	32,825

Supplemental balance sheet information related to leases was as follows (in thousands, except weighted-average figures):


		As of
	Classification	September 30, 2024		December 31, 2023
Operating lease assets	Other assets	$	82,378	$	113,256

Current operating lease liabilities	Accrued expenses and other	$	34,452	$	39,132
Long-term operating lease liabilities	Other long-term liabilities	84,973		111,669
Total operating lease liabilities		$	119,425	$	150,801

As of September 30, 2024 and December 31, 2023, our operating leases had a weighted-average remaining lease term of 4.6 years and 5.1 years, respectively, and a weighted-average discount rate of 5.4% and 5.2%, respectively.

In November 2023, we committed to a plan to reassess our real estate footprint, focusing on optimizing efficiency and reducing costs. In connection with this plan, during the nine months ended September 30, 2024, we recorded $12.2 million of impairment charges on operating lease assets. No impairment charges were recorded during the three months ended September 30, 2024.

As of September 30, 2024, our lease liabilities were as follows (in thousands):


	Operating Leases
Gross lease liabilities	$	134,635
Less: imputed interest	15,210
Present value of lease liabilities	$	119,425

As of September 30, 2024, we had entered into a lease that has not yet commenced with future minimum lease payments of $4.9 million which are not yet reflected on our consolidated balance sheet. This operating lease will commence in 2024 with a lease term of 5 years.