Company: QLYS
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001107843-25-000031
Chunk: 152

Company: QUALYS, INC.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 1
Chunk 152
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 leases, the Company has not included renewal options in determining the lease terms for calculating its lease liabilities, as these options are not reasonably certain of being exercised. Lease expense was $4.5 million and $3.8 million for the three months ended June 30, 2025 and 2024, respectively, and $8.7 million and $7.6 million for the six months ended June 30, 2025 and 2024, respectively.On May 1, 2025, the Company entered into a second amendment (the "Amendment") to early renew the lease of its headquarters in Foster City, California, which was scheduled to expire in April 2028. The Amendment, effective May 1, 2025, modifies the Company's existing lease payments and extends the lease terms through April 30, 2034 with an aggregate base rent of $30.4 million, payable in monthly installments with escalating rent payments over the term of the lease.Supplemental cash flow information related to operating leases was as follows:Six Months EndedJune 30,20252024(in thousands)Cash payments included in the measurement of lease liabilities$6,393 $7,073 Lease liabilities arising from obtaining right-of-use assets$13,334 $27,822 The weighted average remaining lease term and the weighted average discount rate of the Company's operating leases were as follows:June 30,2025December 31,2024Weighted average remaining lease term (years)6.14.2Weighted average discount rate8.0%7.4%

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Maturities of the Company's operating lease liabilities as of June 30, 2025 are as follows:(in thousands)2025 (remaining six months)$4,912 202612,711 202712,456 202812,255 202910,320 2030 and thereafter18,021 Total minimum lease payments70,675 Less: interest(15,328)Present value of net minimum lease payments$55,347 

NOTE 8.                              Commitments and Contingencies

IndemnificationsThe Company from time to time enters into certain types of contracts that contingently require it to indemnify various parties against claims from third parties. These contracts primarily relate to (i) the Company's bylaws, under which it must indemnify directors and executive officers, and may indemnify other officers and employees, for liabilities arising out of