Company: COHU
Filing Date: 2025-02-20
Form Type: 10-K
Source: 0001437749-25-004612
Chunk: 142

Company: COHU INC
Filing Date: 2025-02-20
Form: 10-K
Item: Item 1
Chunk 142
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.4
			%

			6.4
			%

			Finance leases

			2.8
			%

			4.0
			%

			(1)

			Finance lease assets are recorded net of accumulated amortization of $0.4 million and $0.3 million in fiscal 2024 and 2023, respectively. During the first quarter of fiscal 2024, we executed an agreement to purchase our leased facility in Malaysia for MYR 41.8 million, with the expectation that the title would transfer during fiscal 2024. We treated this transaction as a lease modification, and changed the classification to a finance lease, reducing our operating lease assets and liabilities by $0.4 million and increasing our finance lease assets and current lease liabilities by $8.8 million and $7.9 million, respectively. Due to a seller-imposed delay during the third quarter of fiscal 2024, the purchase date was delayed until fiscal 2025, triggering a modification of the finance lease resulting in the asset increasing to $9.5 million. At December 28, 2024, the finance lease liability decreased to $8.4 million, as a result of fluctuations in foreign currency exchange rates. On December 30, 2024, we completed the purchase of our leased facility in Melaka Malaysia.

The components of lease expense were as follows:

			December 28,

			December 30,

			December 31,

			(in thousands)

			2024

			2023

			2022

			Operating leases

			$
			6,247

			$
			6,691

			$
			6,698

			Variable lease expense

			2,542

			2,389

			2,220

			Short-term operating leases

			4

			16

			4

			Finance leases:

			Amortization of leased assets

			66

			90

			88

			Interest on lease liabilities

			269

			1

			1

			Sublease income

			(4
			)

			(29
			)

			(69
			)

			Net lease cost

			$
			9,124

			$
			9,158

			$
			8,942

86