Quarterly report pursuant to Section 13 or 15(d)

Leases

v3.21.2
Leases
9 Months Ended
Sep. 30, 2021
Leases [Abstract]  
Leases Leases
The Company has operating and finance leases for corporate offices, physicians’ offices, and certain equipment. These leases have remaining lease terms of one month to five years, some of which may include options to extend the leases for up to 10 years, and some of which may include options to terminate the leases within one year. As of September 30, 2021 and December 31, 2020, assets recorded under finance leases were $0.3 million and $0.4 million, respectively, and accumulated depreciation associated with finance leases were $0.5 million and $0.4 million, respectively.
Also, the Company rents or subleases certain real estate to third parties, which are accounted for as operating leases.
Leases with an initial term of 12 months or less are not recorded on the balance sheet.
The components of lease expense were as follows (in thousands):
Three Months Ended September 30,
2021 2020
Operating lease cost
$ 1,379  $ 1,784 
Finance lease cost
Amortization of lease expense
27  26 
Interest on lease liabilities
Sublease income (235) (206)
Total lease cost, net $ 1,174  $ 1,607 
Nine Months Ended
September 30,
2021 2020
Operating lease cost $ 3,893  $ 5,172 
Finance lease cost
Amortization of lease expense 81  78 
Interest on lease liabilities 11 
Sublease income (709) (567)
Total lease cost, net $ 3,273  $ 4,694 
Other information related to leases was as follows (in thousands):
Three Months Ended
September 30,
2021 2020
Supplemental Cash Flow Information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $ 1,414  $ 1,489 
Operating cash flows from finance leases
Financing cash flows from finance leases 27  26 
Right-of-use assets obtained in exchange for lease liabilities:
Operating leases $ —  — 
Nine Months Ended September 30,
2021 2020
 
Supplemental Cash Flow Information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $ 3,903  $ 4,369 
Operating cash flows from finance leases 11 
Financing cash flows from finance leases 81  78 
Right-of-use assets obtained in exchange for lease liabilities:
Operating leases $ —  $ 7,652 
Nine Months Ended September 30,
2021 2020
Weighted Average Remaining Lease Term
Operating leases 6.44 years 6.93 years
Finance leases 2.92 years 3.92 years
Weighted Average Discount Rate
Operating leases 6.10  % 6.10  %
Finance leases 3.00  % 3.00  %
Future minimum lease payments under non-cancellable leases as of September 30, 2021, is as follows (in thousands):
September 30, 2021
Operating Leases
Finance Leases
2021 (excluding the nine months ended September 30, 2021)
$ 950  $ 29 
2022 3,529  119 
2023 3,303  119 
2024 2,940  79 
2025 2,648  — 
Thereafter
6,811  — 
Total future minimum lease payments
20,181  346 
Less: imputed interest
3,667  15 
Total lease liabilities
16,514  331 
Less: current portion
2,658  110 
Long-term lease liabilities
$ 13,856  $ 221 
As of September 30, 2021, the Company does not have additional operating and finance leases that have not yet commenced.
Leases Leases
The Company has operating and finance leases for corporate offices, physicians’ offices, and certain equipment. These leases have remaining lease terms of one month to five years, some of which may include options to extend the leases for up to 10 years, and some of which may include options to terminate the leases within one year. As of September 30, 2021 and December 31, 2020, assets recorded under finance leases were $0.3 million and $0.4 million, respectively, and accumulated depreciation associated with finance leases were $0.5 million and $0.4 million, respectively.
Also, the Company rents or subleases certain real estate to third parties, which are accounted for as operating leases.
Leases with an initial term of 12 months or less are not recorded on the balance sheet.
The components of lease expense were as follows (in thousands):
Three Months Ended September 30,
2021 2020
Operating lease cost
$ 1,379  $ 1,784 
Finance lease cost
Amortization of lease expense
27  26 
Interest on lease liabilities
Sublease income (235) (206)
Total lease cost, net $ 1,174  $ 1,607 
Nine Months Ended
September 30,
2021 2020
Operating lease cost $ 3,893  $ 5,172 
Finance lease cost
Amortization of lease expense 81  78 
Interest on lease liabilities 11 
Sublease income (709) (567)
Total lease cost, net $ 3,273  $ 4,694 
Other information related to leases was as follows (in thousands):
Three Months Ended
September 30,
2021 2020
Supplemental Cash Flow Information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $ 1,414  $ 1,489 
Operating cash flows from finance leases
Financing cash flows from finance leases 27  26 
Right-of-use assets obtained in exchange for lease liabilities:
Operating leases $ —  — 
Nine Months Ended September 30,
2021 2020
 
Supplemental Cash Flow Information
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases $ 3,903  $ 4,369 
Operating cash flows from finance leases 11 
Financing cash flows from finance leases 81  78 
Right-of-use assets obtained in exchange for lease liabilities:
Operating leases $ —  $ 7,652 
Nine Months Ended September 30,
2021 2020
Weighted Average Remaining Lease Term
Operating leases 6.44 years 6.93 years
Finance leases 2.92 years 3.92 years
Weighted Average Discount Rate
Operating leases 6.10  % 6.10  %
Finance leases 3.00  % 3.00  %
Future minimum lease payments under non-cancellable leases as of September 30, 2021, is as follows (in thousands):
September 30, 2021
Operating Leases
Finance Leases
2021 (excluding the nine months ended September 30, 2021)
$ 950  $ 29 
2022 3,529  119 
2023 3,303  119 
2024 2,940  79 
2025 2,648  — 
Thereafter
6,811  — 
Total future minimum lease payments
20,181  346 
Less: imputed interest
3,667  15 
Total lease liabilities
16,514  331 
Less: current portion
2,658  110 
Long-term lease liabilities
$ 13,856  $ 221 
As of September 30, 2021, the Company does not have additional operating and finance leases that have not yet commenced.