The Company has operating leases for real estate (primarily office space) and certain equipment with various expiration dates. The Company also has finance leases for certain equipment which are not considered material. During the year ended December 31, 2024, the Company purchased two multi-tenant buildings in Winston-Salem, North Carolina, which it had previously occupied under the terms of a real estate lease. In connection with this purchase, the Company assumed the existing lease agreements held with certain third parties which leased space in these buildings.

For the years ended December 31, 2024, 2023 and 2022, the Company’s operating lease cost was $1,976,000, $1,062,000, and $551,000, respectively. During the year ended December 31, 2024, cash paid for operating leases was $1,392,000.

The following table summarizes the classification of operating and finance lease assets and obligations in the Company's Consolidated Balance Sheets as of December 31, 2024 and December 31, 2023 (in thousands):


	December 31, 2024		December 31, 2023
Operating leases:
Right of use assets	$	2,869	$	4,116

Operating lease liabilities, current	$	740	$	751
Operating lease liabilities, noncurrent		2,393		3,506
Total operating lease liabilities	$	3,133	$	4,257

Finance leases:
Right of use assets	$	97	$	147

Finance lease liabilities, current	$	25	$	52
Finance lease liabilities, noncurrent		78		104
Total finance lease liabilities	$	103	$	156

Maturities of lease liabilities for the Company’s operating and finance leases are as follows as of December 31, 2024 (in thousands):


	Operating Leases			Finance Leases			Total
2025	$	1,012		$	32		$	1,044
2026		1,145			22			1,167
2027		1,002			22			1,024
2028		608			22			630
2029		49			22			71
Thereafter		—			—			—
Total lease payments		3,816			120			3,936
Less: imputed interest		(683	)		(17	)		(700	)
Present value of lease liabilities	$	3,133		$	103		$	3,236

The weighted average remaining lease term for operating leases is 3.5 years, and 4.6 years for the finance lease. The weighted average discount rate is 10.6% and 6.5% for operating and finance leases, respectively.

The Company leases a portion of its facilities in Winston-Salem, North Carolina under agreements that are classified as operating leases. In addition to the rental payments, tenants pay a fixed rate for their pro rata share of real estate taxes, insurance and other facility operating expenses these amounts are recognized as revenues on a straight-line basis over the term of the related leases. For leasing revenues where collectability is not considered probable, lease income is recognized on a cash basis and all previously recognized tenant accounts receivables, including straight-line rent, are fully reserved in the period in which the lease income is determined not to be probable of collection. These lease agreements terminate between 2026 and 2029.

The leasing revenue for the year ended December 31, 2024 was $76,000 and there was no such revenue for the years ended December 31, 2023 and 2022. Future minimum lease payments under non-cancelable operating leases as of December 31, 2024 excluding the effect of straight-line rent and variable rental payments are as follows (in thousands):


	Total
2025	$	548
2026		522
2027		495
2028		289
2029		13
Thereafter		—
Total	$	1,867