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Leases | 12 Months Ended
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Dec. 31, 2022
Lessee Disclosure [Abstract] |
Leases | Note 17. Leases Operating Leases As of December 31, 2022, the Company leases office space in Dallas, Texas and Davis, California, as well as additional buildings, land and equipment. Leases with an initial term of 12 months or less are not recorded on the balance sheet; the Company recognizes lease expense for these short-term leases on a straight-line basis. The Company subleases a portion of the Davis office lease to third parties. In May 2022, the Company terminated its lease for office space in Chesterfield, MO effective September 30, 2022. The original lease term was scheduled to expire in May 2024. As a result, the Company paid $47,000 in early termination fees to exit the lease. In addition, the Company subleased the facility in Chatsworth, CA to Radiance Beauty as part of the licensing agreement beginning November 1, 2022 for the remainder of the lease term. During the year ended December 31, 2022, the Company entered into an agreement to lease office space in Dallas, Texas. The new lease commenced in July 2022. Some leases (the Davis and Dallas offices, a warehouse, and a copy machine) include one or more options to renew, with renewal terms that can extend the lease term from one to six years. The exercise of lease renewal options is at the Company’s sole discretion. During 2020, the Company entered into a lease amendment that provided for additional office space in Davis, CA, and extended the term through April 2025, with one option to renew for an additional five-year term. The Company initially expected to exercise its options to renew, and in accordance with ASC 842, Leases, accounted for the amendment and expected renewal as a lease modification and remeasured the operating lease liability. During the year ended December 31, 2021, the Company re-assessed its long-term strategy regarding office spaces, and determined that the expectation to exercise its option to renew for an additional five-year term after April 2025 is no longer reasonable. In accordance with ASC 842, the Company accounted for the change that resulted in a decrease of $2.8 million for the operating lease liability and of $2.6 million for the right of use asset. The Company’s lease agreements do not contain any material variable lease payments, material residual value guarantees or material restrictive covenants. Leases consisted of the following (in thousands):
Leases |  | Classification |  | December 31, 2022 |  |  | December 31, 2021 |
Assets |  |  |  |  |  |  |  |
Operating lease assets |  | Right of use asset |  | $ | 1,848 |  |  | $ | 3,081 |
Total leased assets |  |  |  | $ | 1,848 |  |  | $ | 3,081 |
Liabilities |  |  |  |  |  |  |  |
Current - Operating |  | Operating lease liability - current |  | $ | 1,010 |  |  | $ | 1,074 |
Noncurrent - Operating |  | Operating lease liability - noncurrent |  |  | 1,007 |  |  |  | 2,220 |
Total leased liabilities |  |  |  | $ | 2,017 |  |  | $ | 3,294 |
Lease Cost |  | Classification |  | For the Year Ended December 31, 2022 |  |  | For the Year Ended December 31, 2021 |
Operating lease cost |  | SG&A and R&D Expenses |  | $ | 1,028 |  |  | $ | 1,352 |
Short term lease cost (1) |  | SG&A and R&D Expenses |  |  | 6 |  |  |  | 133 |
Sublease income (2) |  | SG&A and R&D Expenses |  |  | (384 | ) |  |  | (63 | )
Net lease cost |  |  |  | $ | 650 |  |  | $ | 1,422 |
(1) Sh ort term lease cost consists of field trial lease agreements with a lease term of 12 months or less. (2) Sublease income is recorded as a reduction to lease expense.
Lease Term and Discount Rate |  | December 31, 2022 |  |  | December 31, 2021 |
Weighted-average remaining lease term (years) |  |  | 2.4 |  |  |  | 2.7 |
Weighted-average discount rate |  |  | 6 | % |  |  | 6 | %
The maturities of the operating lease liabilities as of December 31, 2022 are as follows (in thousands):
Years Ending December 31, |  | Amounts |
2023 |  | $ | 1,104 |
2024 |  |  | 886 |
2025 |  |  | 156 |
2026 and thereafter |  |  | — |
Total operating lease payments |  | $ | 2,146 |
Less: imputed interest |  |  | 129 |
Total current and noncurrent operating lease liabilities |  | $ | 2,017 |

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- 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 https://asc.fasb.org/subtopic&trid=77888251 + Details
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