Company: UFPT
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001171843-25-003049
Chunk: 91

Company: UFP TECHNOLOGIES INC
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 1
Chunk 91
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 assets and operating and finance lease liabilities are stated separately in the condensed consolidated balance sheet. 

ROU assets represent the Company's right to use an underlying asset during the lease term and lease liabilities represent the Company's obligation to make lease payments pursuant to the lease.  ROU assets and lease liabilities are recognized at commencement date based on the net present value of fixed lease payments over the lease term.  The Company's assumed lease term includes options to extend or terminate the lease when it is reasonably certain that it will exercise that option.  ROU assets are also adjusted for any deferred or accrued rent. As the Company's leases do not typically provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments.

18

ROU assets and lease liabilities consist of the following (in thousands):

			March 31,

			December 31,

			2025

			2024

			Operating lease ROU assets

			$
			15,182

			$
			16,056

			Finance lease ROU assets

			77

			92

			Total ROU assets

			$
			15,259

			$
			16,148

			Operating lease liabilities - current

			$
			4,063

			$
			4,165

			Finance lease liabilities - current

			62

			61

			Total lease liabilities - current

			$
			4,125

			$
			4,226

			Operating lease liabilities - long-term

			$
			11,651

			$
			12,398

			Finance lease liabilities - long-term

			17

			34

			Total lease liabilities - long-term

			$
			11,668

			$
			12,432

The components of lease costs for the three-month periods ended March 31, 2025 and 2024 consist of the following (in thousands):

			Three Months Ended March 31,

			2025

			2024

			Lease Cost:

			Finance lease cost:

			Amortization of right of use assets

			$
			15

			$
			24

			Interest on lease liabilities

			-

			2

			Operating