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Note 13 - Leases

12 Months Ended

Dec. 31, 2024

Lessee, Operating Leases and Finance Leases [Text Block]

NOTE 13: LEASES

The Company's lease portfolio is primarily comprised of operating leases for office space and finance leases for computer equipment. At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on whether the contract conveys the right to control the use of identified property or equipment for a period of time in exchange for consideration. Leases are classified as operating or finance leases at the commencement date of the lease. Leases may include one or more options to renew. We do not assume renewals in our determination of the lease term unless the renewals are deemed to be reasonably assured at lease commencement. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants.

The Company determines the discount rate used to measure lease liabilities based on the rate implicit in the lease, if readily determinable. If the implicit rate is not available, the Company an incremental borrowing rate, which is determined based on the rate at which the Company could borrow on a collateralized basis over a similar term and in a similar economic environment to the lease.

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

		*Year Ended*
		*December 31,*
		*2024*		*2023*
Assets
Operating lease assets	Operating lease right-of-use assets	$	787	$	1,041
Finance lease assets	Property and equipment, net		114		146
Total leased assets		$	901	$	1,187

Liabilities
Short-term:
Operating lease obligation	Current maturities of operating leases	$	466	$	505
Finance lease obligation	Accrued expenses and other current liabilities		46		42
Long-term
Operating lease obligation	Long-term obligations under operating leases		342		536
Finance lease obligation	Other non-current liabilities		68		104
Total lease obligations		$	922	$	1,187

The following table summarizes the classification of lease expense in the Company's Consolidated Statements of Operations for the years ended December 31, 2024 and 2023:

	*Year Ended*
	*December 31,*
	*2024*		*2023*

Operating lease expense:
Operating lease expense	$	584	$	753
Finance lease expense:
Amortization of right-of-use assets		44		23
Interest on lease obligations		8		5
Total lease expense	$	636	$	781

The following table provides lease term and discount rate information related to operating leases as of December 31, 2024:

	Year Ended			Year Ended
	December 31,			December 31,
	2024			2023
Weighted average remaining lease term (years)
Operating leases		2.1			2.6
Finance leases		2.3			3.4

Weighted average discount rate
Operating leases		9.6	%		10.0	%
Finance leases		5.5	%		5.7	%

The following table sets forth the scheduled maturities of lease obligations as of December 31, 2024:

	Operating			Finance			Total
	Leases			Leases			Leases
2025	$	516		$	51		$	567
2026		219			47			266
2027		150			23			173
2028		-			1			1
Total undiscounted cash flows		885			122			1,007
Less imputed interest		(77	)		(8	)		(85	)
Present value of lease liabilities	$	808		$	114		$	922

The following table provides supplemental information related to the Company's Consolidated Statements of Cash Flows for the years ended December 31, 2024 and 2023:

	*Year Ended*		*Year Ended*
	*December 31,*		*December 31,*
	*2024*		*2023*
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows paid for operating leases	$	575	$	753
Operating cash flows paid for finance leases	$	7	$	5
Financing cash flows paid for finance leases	$	44	$	23

Right-of-use assets obtained in exchange for new finance lease liabilities	$	13	$	169