Quarterly report pursuant to Section 13 or 15(d)

Leases

v3.22.1
Leases
3 Months Ended
Mar. 31, 2022
Leases [Abstract]  
Leases

Note 8. Leases

The Company has an operating lease for office and manufacturing space which requires it to pay base rent and certain utilities. Monthly rent expense is recognized on a straight-line basis over the term of the lease which expires in 2027. At March 31, 2022, the remaining lease term was 5.75 years. The operating lease is included in the condensed balance sheets at the present value of the lease payments at a 7% discount rate which approximates the rate of interest that the Company would have to pay to borrow on a collateralized basis over a similar term and amount equal to the lease payments in a similar economic environment, as the lease does not provide an implicit rate. For each of the three months ended March 31, 2022 and 2021, operating lease expense and cash paid for leases was $0.1 million. Amortization of operating lease right-of-use assets was also $0.1 million for each of the three months ended March 31, 2022 and 2021. Variable costs were de minimis.

Maturities of operating lease liabilities as of March 31, 2022 (in thousands):

 

Years Ending December 31,

 

 

 

 

2022 (remaining nine months)

 

$

324

 

2023

 

 

445

 

2024

 

 

459

 

2025

 

 

472

 

2026

 

 

486

 

Thereafter

 

 

501

 

Total operating lease payments

 

 

2,687

 

Less: imputed interest

 

 

(492

)

Total operating lease liabilities

 

$

2,195