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LEASES
 6 Months Ended
Jun. 30, 2025
Leases [Abstract]  
LEASES LEASES
The Company has operating leases for corporate offices, distribution facilities, a manufacturing plant, and certain vehicles.
The components of lease expense for the three and six months ended June 30, 2025 and 2024 were as follows (in thousands):
Three Months Ended
June 30,
Six Months Ended
June 30,
2025202420252024
Operating lease expenses(1):
Fixed lease expense$4,318 $4,265 $8,576 $8,528 
Variable lease expense1,812 1,650 3,565 3,018 
Total$6,130 $5,915 $12,141 $11,546 
(1) Expenses are recorded within distribution expenses and selling, general and administrative expenses on the unaudited condensed consolidated statement of operations.
Supplemental cash flow information for lease related liabilities and assets for the six months ended June 30, 2025 and 2024 were as follows (in thousands):
Six Months Ended
June 30,
2025
2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows for operating leases$9,710 $9,493 
Six Months Ended
June 30,
2025
2024
Right-of-use assets obtained in exchange for lease obligations:
Operating leases$754 $423 
The aggregate future lease payments for operating leases as of June 30, 2025 were as follows (in thousands):
 Operating
2025 (excluding the six months ended June 30, 2025)
$9,847 
202619,361 
202715,125 
202813,115 
20296,879 
20305,058 
Thereafter9,385 
Total lease payments78,770 
Less: Interest(12,139)
Present value of lease payments$66,631 
Average lease terms and discount rates were as follows:
 June 30, 2025
Operating leases:
Weighted-average remaining lease term (years)5.0
Weighted-average discount rate6.6 %
On January 23, 2025, the Company entered into a lease agreement for a new distribution center in Hagerstown, Maryland
(“Hagerstown Facility”). The term of the lease is 180 months following the rent commencement date, which will occur in the first quarter of 2026. Base rent for the first year of the lease is $7.3 million, escalating by 3% annually. A portion of the base rent will be abated for the first 36 months at the annual prevailing rate for a total rent abatement of $7.2 million. The lease agreement also includes a total tenant improvement allowance of $5.1 million.