Company: DMRC
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001437749-25-005471
Chunk: 133

Company: Digimarc CORP
Filing Date: 2025-02-27
Form: 10-K
Item: Item 1
Chunk 133
---
 operating leases. The following table provides additional details of leases presented in the Consolidated Balance Sheets:

       December 31,    December 31,  
   2024    2023  
 Lease right of use assets  $3,659  $4,017 
 Lease liabilities, current  $781  $582 
 Lease liabilities, long-term  $5,213  $5,994 
         
 Weighted-average remaining life (in years)   5.7   6.5 
 Weighted-average discount rate   9%  9%

   The current lease liabilities are included in “accounts payable and other accrued liabilities” in the Consolidated Balance Sheets.
    
   The carrying value of the lease right of use assets is evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset  may not be recoverable. No impairment was recorded for the twelve months ended  December 31, 2024. An “impairment of lease right of use assets and leasehold improvements” of $250 was recorded in the Consolidated Statements of Operations for the twelve months ended  December 31, 2023, related to the Company’s former corporate headquarters. The impairment charge was determined by comparing the carrying value of the assets to the net present value of estimated cash flows from the future sublease of the office space over the remaining lease term. 
    
   Operating lease expense is included in “operating expenses” in the Consolidated Statements of Operations and in “cash flows from operating activities” in the Consolidated Statements of Cash Flows. The operating leases include variable lease payments, which are included in operating lease expense. Additional details of the Company’s operating leases are presented in the following table:

       Year Ended December 31,  
   2024    2023  
 Operating lease expense  $1,482  $1,556 
 Cash paid for operating leases  $1,663  $1,151 

        F-
       20

        DIGIMARC CORPORATION

        NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)

        (In thousands, except per share data)

   The table below reconciles the aggregate cash payment obligations for the next five years and total of the remaining years for the operating lease liability recorded in the Consolidated Balance Sheet as of  December 31, 2024: