XML 23 R13.htm IDEA: XBRL DOCUMENT
v3.22.1

Leases | 3 Months Ended
--- | ---
Mar. 31, 2022
Leases [Abstract] |
Leases | Leases In July 2021, the Company entered into a long-term rental agreement to lease its manufacturing facility in Waller, Texas, for $40 thousand per month for sixty-four months. Rental income recognized during the three months ended March 31, 2022 was $121 thousand and was included in other income in the consolidated statement of operations. As discussed in Note 1, “Organization and Nature of Operations” this facility was sold on April 18, 2022 and the lease agreement between the tenant and the Company terminated. In August 2021, the company entered into a five-year triple net operating lease agreement to lease its warehouse facility in Monahans, Texas, for $20 thousand per month, and the tenant occupied the warehouse facility in September 2021. Rental income recognized during the three months ended March 31, 2022 was $185 thousand and was included in other income in the consolidated statement of operations. In March 2022, the Company entered into an agreement with its landlord to terminate the lease on its facility in Calgary, Alberta for a one-time termination fee of $85 thousand. This lease was previously scheduled to continue until 2033, and due to its early termination, the Company recorded a gain on lease termination from the reduction of lease liabilities and ROU assets of $0.6 million that is included in the consolidated statements of operations during the three months ended March 31, 2022. The components of lease expense and supplemental cash flow information are as follows (in thousands):
|  |  | Three months ended March 31,
|  |  |  |  | 2022 |  | 2021
Operating lease expense |  |  |  |  | $ | 228 |  |  | $ | 238 |
Finance lease expense: |  |  |  |  |  |  |
Amortization of right-of-use assets |  |  |  |  | 4 |  | 4 |
Interest on lease liabilities |  |  |  |  | 3 |  | 3 |
Total finance lease expense |  |  |  |  | 7 |  | 7 |
Short-term lease expense |  |  |  |  | 124 |  |  | 69 |
Total lease expense |  |  |  |  | $ | 359 |  |  | $ | 314 |
Cash paid for amounts included in the measurement of lease liabilities: |  |  |  |  |  |  |
Operating cash flows used in operating leases |  |  |  |  | $ | (375) |  |  | $ | (372) |
Operating cash flows from finance leases |  |  |  |  | (10) |  |  | (3) |
Financing cash flows from finance leases |  |  |  |  | (3) |  |  | (14) |
Maturities of lease liabilities as of March 31,2022 are as follows (in thousands):
Years ending December 31, |  | Operating Leases |  | Finance Leases
2022 (excluding three months ended March 31, 2022) | $ | 775 |  |  | $ | 35 |
2023 |  | 1,221 |  |  | 39 |
2024 |  | 1,247 |  |  | 18 |
2025 |  | 1,274 |  |  | — |
2026 |  | 1,302 |  |  | — |
Thereafter |  | 4,783 |  |  | — |
Total lease payments |  | $ | 10,602 |  |  | $ | 92 |
Less: Interest |  | (3,177) |  |  | (12) |
Present value of lease liabilities |  | $ | 7,425 |  |  | $ | 80 |
Supplemental balance sheet information related to leases is as follows (in thousands):
| March 31, 2022 |  | December 31, 2021 |  |
Operating Leases |  |  |  |  |
Operating lease right-of-use assets | $ | 1,827 |  |  | $ | 2,041 |  |  |
Current portion of operating lease liabilities | 619 |  |  | 602 |  |  |
Long-term operating lease liabilities | 6,806 |  |  | 7,779 |  |  |
Total operating lease liabilities | $ | 7,425 |  |  | $ | 8,381 |  |  |
Finance Leases |  |  |  |  |
Property and equipment | $ | 147 |  |  | $ | 147 |  |  |
Accumulated depreciation | (37) |  |  | (33) |  |  |
Property and equipment, net | $ | 110 |  |  | $ | 114 |  |  |
Current portion of finance lease liabilities | $ | 33 |  |  | $ | 41 |  |  |
Long-term finance lease liabilities | 47 |  |  | 53 |  |  |
Total finance lease liabilities | $ | 80 |  |  | $ | 94 |  |  |
Weighted Average Remaining Lease Term |  |  |  |  |
Operating leases | 8.9 years |  | 9.1 years |  |
Finance leases | 2.7 years |  | 2.9 years |  |
Weighted Average Discount Rate |  |  |  |  |
Operating leases | 8.9 | % |  | 8.9 | % |  |
Finance leases | 8.9 | % |  | 8.9 | % |  |
Leases | Leases In July 2021, the Company entered into a long-term rental agreement to lease its manufacturing facility in Waller, Texas, for $40 thousand per month for sixty-four months. Rental income recognized during the three months ended March 31, 2022 was $121 thousand and was included in other income in the consolidated statement of operations. As discussed in Note 1, “Organization and Nature of Operations” this facility was sold on April 18, 2022 and the lease agreement between the tenant and the Company terminated. In August 2021, the company entered into a five-year triple net operating lease agreement to lease its warehouse facility in Monahans, Texas, for $20 thousand per month, and the tenant occupied the warehouse facility in September 2021. Rental income recognized during the three months ended March 31, 2022 was $185 thousand and was included in other income in the consolidated statement of operations. In March 2022, the Company entered into an agreement with its landlord to terminate the lease on its facility in Calgary, Alberta for a one-time termination fee of $85 thousand. This lease was previously scheduled to continue until 2033, and due to its early termination, the Company recorded a gain on lease termination from the reduction of lease liabilities and ROU assets of $0.6 million that is included in the consolidated statements of operations during the three months ended March 31, 2022. The components of lease expense and supplemental cash flow information are as follows (in thousands):
|  |  | Three months ended March 31,
|  |  |  |  | 2022 |  | 2021
Operating lease expense |  |  |  |  | $ | 228 |  |  | $ | 238 |
Finance lease expense: |  |  |  |  |  |  |
Amortization of right-of-use assets |  |  |  |  | 4 |  | 4 |
Interest on lease liabilities |  |  |  |  | 3 |  | 3 |
Total finance lease expense |  |  |  |  | 7 |  | 7 |
Short-term lease expense |  |  |  |  | 124 |  |  | 69 |
Total lease expense |  |  |  |  | $ | 359 |  |  | $ | 314 |
Cash paid for amounts included in the measurement of lease liabilities: |  |  |  |  |  |  |
Operating cash flows used in operating leases |  |  |  |  | $ | (375) |  |  | $ | (372) |
Operating cash flows from finance leases |  |  |  |  | (10) |  |  | (3) |
Financing cash flows from finance leases |  |  |  |  | (3) |  |  | (14) |
Maturities of lease liabilities as of March 31,2022 are as follows (in thousands):
Years ending December 31, |  | Operating Leases |  | Finance Leases
2022 (excluding three months ended March 31, 2022) | $ | 775 |  |  | $ | 35 |
2023 |  | 1,221 |  |  | 39 |
2024 |  | 1,247 |  |  | 18 |
2025 |  | 1,274 |  |  | — |
2026 |  | 1,302 |  |  | — |
Thereafter |  | 4,783 |  |  | — |
Total lease payments |  | $ | 10,602 |  |  | $ | 92 |
Less: Interest |  | (3,177) |  |  | (12) |
Present value of lease liabilities |  | $ | 7,425 |  |  | $ | 80 |
Supplemental balance sheet information related to leases is as follows (in thousands):
| March 31, 2022 |  | December 31, 2021 |  |
Operating Leases |  |  |  |  |
Operating lease right-of-use assets | $ | 1,827 |  |  | $ | 2,041 |  |  |
Current portion of operating lease liabilities | 619 |  |  | 602 |  |  |
Long-term operating lease liabilities | 6,806 |  |  | 7,779 |  |  |
Total operating lease liabilities | $ | 7,425 |  |  | $ | 8,381 |  |  |
Finance Leases |  |  |  |  |
Property and equipment | $ | 147 |  |  | $ | 147 |  |  |
Accumulated depreciation | (37) |  |  | (33) |  |  |
Property and equipment, net | $ | 110 |  |  | $ | 114 |  |  |
Current portion of finance lease liabilities | $ | 33 |  |  | $ | 41 |  |  |
Long-term finance lease liabilities | 47 |  |  | 53 |  |  |
Total finance lease liabilities | $ | 80 |  |  | $ | 94 |  |  |
Weighted Average Remaining Lease Term |  |  |  |  |
Operating leases | 8.9 years |  | 9.1 years |  |
Finance leases | 2.7 years |  | 2.9 years |  |
Weighted Average Discount Rate |  |  |  |  |
Operating leases | 8.9 | % |  | 8.9 | % |  |
Finance leases | 8.9 | % |  | 8.9 | % |  |

X
- References No definition available. + Details
Name: | us-gaap_LeasesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for finance leases of lessee. Includes, but is not limited to, description of lessee's finance lease and maturity analysis of finance lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeFinanceLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for operating leases of lessee. Includes, but is not limited to, description of operating lease and maturity analysis of operating lease liability. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 842 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=77888251 + Details
Name: | us-gaap_LesseeOperatingLeasesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration