Lease Obligations

6 Months Ended

Jun. 30, 2025

The Company has operating leases for office facilities and data centers. The lease terms of the Company’s operating leases generally range from 1.0 year to 10.0 years. The Company's lease terms include periods under options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The weighted average remaining lease term of leases included in lease liabilities is 4.3 years and 4.6 years as of June 30, 2025 and December 31, 2024, respectively. As of June 30, 2025 and December 31, 2024, a weighted average discount rate of 6.12% has been applied to the remaining lease payments to calculate the lease liabilities included within the condensed consolidated balance sheet.

Operating lease expense was $5.6 million and $5.9 million for the three months ended June 30, 2025 and 2024, respectively, and $10.7 million and $11.6 million for the six months ended June 30, 2025 and 2024, respectively. The Company recognized variable lease expense of $0.9 million and $0.6 million for the three months ended June 30, 2025 and 2024, respectively, and $1.8 million and $1.5 million for the six months ended June 30, 2025 and 2024, respectively.

Cash paid for amounts included in lease liabilities was $5.4 million and $6.5 million for the three months ended June 30, 2025 and 2024, respectively, and $10.3 million and $12.8 million for the six months ended June 30, 2025 and 2024, respectively.

The maturity of the Company's lease liabilities associated with leases included in the lease liabilities and right-of-use ("ROU") assets were as follows as of June 30, 2025 (in thousands):


Fiscal Year
Remaining 2025	$	11,832
2026	19,465
2027	13,064
2028	9,449
2029	9,347
Thereafter	8,017
Total lease payments (undiscounted)	71,174
Less: imputed interest	(8,385)
Lease liabilities—total (discounted)	$	62,789

The Company also received rental income of an immaterial amount and $1.3 million for real estate leases for which it subleased the property to a third party during the three months ended June 30, 2025 and 2024, respectively and $0.6 million and $2.6 million for the six months ended June 30, 2025 and 2024, respectively. Rental income is included in other income in the condensed consolidated statements of operations.

In addition to the lease liabilities included in these consolidated financial statements, the Company entered into agreements for data centers that had not commenced as of June 30, 2025; therefore, the leases were not included in the lease liabilities and ROU assets balance as of June 30, 2025. The Company has future commitments totaling $11.8 million over a term of 4.5 years related to these agreements.

The Company's operating lease right-of-use assets by geographical region were as follows:


	June 30, 2025		December 31, 2024
	(in thousands)
United States	$	49,877	$	45,178
International	8,552		5,151
Total	$	58,429	$	50,329