Quarterly report [Sections 13 or 15(d)]

LEASES

v3.26.1
LEASES
 6 Months Ended
Jun. 30, 2026
Leases [Abstract]  
LEASES LEASES
The table below sets forth supplemental condensed consolidated balance sheet information related to our leases:
June 30, 2026
December 31, 2025
Operating Leases:
Right-of-use (“ROU”) assets
$
74,512 
$
76,165 
Current portions of operating lease liabilities
$
9,405 
$
7,959 
Long-term portions of operating lease liabilities
53,080 
55,938 
Total operating lease liabilities
$
62,485 
$
63,897 
Weighted-average remaining lease term
16 years
17 years
Weighted-average discount rate
6.6 
%
6.6 
%
Financing Leases:
Energy assets
$
22,003 
$
23,055 
Current portions of financing lease liabilities
$
686 
$
546 
Long-term financing lease liabilities, net of current portion, unamortized discount and debt issuance costs
11,212 
11,536 
Total financing lease liabilities
$
11,898 
$
12,082 
Weighted-average remaining lease term
11 years
11 years
Weighted-average discount rate
12.65 
%
11.95 
%
The costs related to our leases were as follows:
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
Operating Leases:
Operating lease costs
$
3,646 
$
3,189 
$
6,744 
$
6,512 
Financing Leases:
Amortization expense
526 
526 
1,052 
1,052 
Interest on lease liabilities
238 
405 
663 
777 
Total lease costs
$
4,410 
$
4,120 
$
8,459 
$
8,341 
Supplemental cash flow information related to our leases was as follows:
Six Months Ended June 30,
2026
2025
Cash paid for amounts included in the measurement of operating lease liabilities
$
6,329 
$
8,665 
ROU assets obtained in exchange for new operating lease liabilities
$
8,617 
$
1,563 
The table below sets forth our future lease obligations under our leases:
Operating Leases Financing Leases
Year ended December 31,
2026
$
6,298 
$
1,007 
2027
12,413 
1,927 
2028
9,566 
1,942 
2029
6,845 
1,903 
2030
4,701 
1,723 
Thereafter
64,486 
12,317 
Total lease payments
104,309 
20,819 
Less: interest
41,824 
8,921 
Present value of lease liabilities
$
62,485 
$
11,898 
We have a future lease commitment for a project lease with the United States Navy (“Navy”) which has not yet met the criteria for recording a right-of-use (“ROU”) asset or lease liability. The estimated net present value of this commitment totals $40,335 as of June 30, 2026. We will provide IKCPs over a thirty-six-year period, which the Navy will credit as consideration towards our lease obligation upon the Navy’s final acceptance of the IKCPs. Once the lease commences, the ROU asset and lease liability will be recorded, which we estimate to be later in 2026.
We have a future lease commitment for a project lease in Illiopolis, IL. The estimated net present value of this commitment totals $4,509. This new lease agreement was executed and the lease will commence July 1, 2026 and will continue for 20 years upon commercial operation, which we estimate to be in mid 2027.
Non-monetary Lease Transactions
We have six lease liabilities consisting of obligations that will be settled with non-monetary consideration. The lease liabilities relating to non-monetary consideration are based on the fair market value of the project services or back up power expected to be provided, which approximate the cash payments.
Financing Leases
Net gains from amortization expense recognized in cost of revenues relating to deferred gains and losses in connection with our sale-leaseback agreements were $54 and $57 for the three months ended June 30, 2026 and 2025, respectively. Net gains from amortization expense recognized in cost of revenues relating to deferred gains and losses in connection with our sale-leaseback agreements were $111 and $114 for the six months ended June 30, 2026 and 2025, respectively.
LEASES LEASES
The table below sets forth supplemental condensed consolidated balance sheet information related to our leases:
June 30, 2026
December 31, 2025
Operating Leases:
Right-of-use (“ROU”) assets
$
74,512 
$
76,165 
Current portions of operating lease liabilities
$
9,405 
$
7,959 
Long-term portions of operating lease liabilities
53,080 
55,938 
Total operating lease liabilities
$
62,485 
$
63,897 
Weighted-average remaining lease term
16 years
17 years
Weighted-average discount rate
6.6 
%
6.6 
%
Financing Leases:
Energy assets
$
22,003 
$
23,055 
Current portions of financing lease liabilities
$
686 
$
546 
Long-term financing lease liabilities, net of current portion, unamortized discount and debt issuance costs
11,212 
11,536 
Total financing lease liabilities
$
11,898 
$
12,082 
Weighted-average remaining lease term
11 years
11 years
Weighted-average discount rate
12.65 
%
11.95 
%
The costs related to our leases were as follows:
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
Operating Leases:
Operating lease costs
$
3,646 
$
3,189 
$
6,744 
$
6,512 
Financing Leases:
Amortization expense
526 
526 
1,052 
1,052 
Interest on lease liabilities
238 
405 
663 
777 
Total lease costs
$
4,410 
$
4,120 
$
8,459 
$
8,341 
Supplemental cash flow information related to our leases was as follows:
Six Months Ended June 30,
2026
2025
Cash paid for amounts included in the measurement of operating lease liabilities
$
6,329 
$
8,665 
ROU assets obtained in exchange for new operating lease liabilities
$
8,617 
$
1,563 
The table below sets forth our future lease obligations under our leases:
Operating Leases Financing Leases
Year ended December 31,
2026
$
6,298 
$
1,007 
2027
12,413 
1,927 
2028
9,566 
1,942 
2029
6,845 
1,903 
2030
4,701 
1,723 
Thereafter
64,486 
12,317 
Total lease payments
104,309 
20,819 
Less: interest
41,824 
8,921 
Present value of lease liabilities
$
62,485 
$
11,898 
We have a future lease commitment for a project lease with the United States Navy (“Navy”) which has not yet met the criteria for recording a right-of-use (“ROU”) asset or lease liability. The estimated net present value of this commitment totals $40,335 as of June 30, 2026. We will provide IKCPs over a thirty-six-year period, which the Navy will credit as consideration towards our lease obligation upon the Navy’s final acceptance of the IKCPs. Once the lease commences, the ROU asset and lease liability will be recorded, which we estimate to be later in 2026.
We have a future lease commitment for a project lease in Illiopolis, IL. The estimated net present value of this commitment totals $4,509. This new lease agreement was executed and the lease will commence July 1, 2026 and will continue for 20 years upon commercial operation, which we estimate to be in mid 2027.
Non-monetary Lease Transactions
We have six lease liabilities consisting of obligations that will be settled with non-monetary consideration. The lease liabilities relating to non-monetary consideration are based on the fair market value of the project services or back up power expected to be provided, which approximate the cash payments.
Financing Leases
Net gains from amortization expense recognized in cost of revenues relating to deferred gains and losses in connection with our sale-leaseback agreements were $54 and $57 for the three months ended June 30, 2026 and 2025, respectively. Net gains from amortization expense recognized in cost of revenues relating to deferred gains and losses in connection with our sale-leaseback agreements were $111 and $114 for the six months ended June 30, 2026 and 2025, respectively.
LEASES LEASES
The table below sets forth supplemental condensed consolidated balance sheet information related to our leases:
June 30, 2026
December 31, 2025
Operating Leases:
Right-of-use (“ROU”) assets
$
74,512 
$
76,165 
Current portions of operating lease liabilities
$
9,405 
$
7,959 
Long-term portions of operating lease liabilities
53,080 
55,938 
Total operating lease liabilities
$
62,485 
$
63,897 
Weighted-average remaining lease term
16 years
17 years
Weighted-average discount rate
6.6 
%
6.6 
%
Financing Leases:
Energy assets
$
22,003 
$
23,055 
Current portions of financing lease liabilities
$
686 
$
546 
Long-term financing lease liabilities, net of current portion, unamortized discount and debt issuance costs
11,212 
11,536 
Total financing lease liabilities
$
11,898 
$
12,082 
Weighted-average remaining lease term
11 years
11 years
Weighted-average discount rate
12.65 
%
11.95 
%
The costs related to our leases were as follows:
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
Operating Leases:
Operating lease costs
$
3,646 
$
3,189 
$
6,744 
$
6,512 
Financing Leases:
Amortization expense
526 
526 
1,052 
1,052 
Interest on lease liabilities
238 
405 
663 
777 
Total lease costs
$
4,410 
$
4,120 
$
8,459 
$
8,341 
Supplemental cash flow information related to our leases was as follows:
Six Months Ended June 30,
2026
2025
Cash paid for amounts included in the measurement of operating lease liabilities
$
6,329 
$
8,665 
ROU assets obtained in exchange for new operating lease liabilities
$
8,617 
$
1,563 
The table below sets forth our future lease obligations under our leases:
Operating Leases Financing Leases
Year ended December 31,
2026
$
6,298 
$
1,007 
2027
12,413 
1,927 
2028
9,566 
1,942 
2029
6,845 
1,903 
2030
4,701 
1,723 
Thereafter
64,486 
12,317 
Total lease payments
104,309 
20,819 
Less: interest
41,824 
8,921 
Present value of lease liabilities
$
62,485 
$
11,898 
We have a future lease commitment for a project lease with the United States Navy (“Navy”) which has not yet met the criteria for recording a right-of-use (“ROU”) asset or lease liability. The estimated net present value of this commitment totals $40,335 as of June 30, 2026. We will provide IKCPs over a thirty-six-year period, which the Navy will credit as consideration towards our lease obligation upon the Navy’s final acceptance of the IKCPs. Once the lease commences, the ROU asset and lease liability will be recorded, which we estimate to be later in 2026.
We have a future lease commitment for a project lease in Illiopolis, IL. The estimated net present value of this commitment totals $4,509. This new lease agreement was executed and the lease will commence July 1, 2026 and will continue for 20 years upon commercial operation, which we estimate to be in mid 2027.
Non-monetary Lease Transactions
We have six lease liabilities consisting of obligations that will be settled with non-monetary consideration. The lease liabilities relating to non-monetary consideration are based on the fair market value of the project services or back up power expected to be provided, which approximate the cash payments.
Financing Leases
Net gains from amortization expense recognized in cost of revenues relating to deferred gains and losses in connection with our sale-leaseback agreements were $54 and $57 for the three months ended June 30, 2026 and 2025, respectively. Net gains from amortization expense recognized in cost of revenues relating to deferred gains and losses in connection with our sale-leaseback agreements were $111 and $114 for the six months ended June 30, 2026 and 2025, respectively.