Quarterly report pursuant to Section 13 or 15(d)

Leases

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Leases
3 Months Ended
Dec. 31, 2023
Leases [Abstract]  
Leases Leases
The Company leases certain facilities, office space, vehicles and equipment. As of December 31, 2023, operating leases under ASC Topic 842, Leases (“Topic 842”) were included in (i) operating lease right-of use assets, (ii) current portion of operating lease liabilities and (iii) operating lease liabilities, net of current portion on the Company’s Consolidated Balance Sheets in the amounts of $18.4 million, $3.5 million and $15.5 million, respectively. As of December 31, 2023, the Company did not have any lease contracts that had not yet commenced but had created significant rights and obligations.

The components of lease expense were as follows (unaudited, in thousands):

For the Three Months Ended December 31,
2023 2022
Operating lease expense $ 903  $ 726 
Short-term lease expense 5,376  6,035 
Total lease expense $ 6,279  $ 6,761 

Short-term leases (those with terms of 12 months or less) are not capitalized but are expensed on a straight-line basis over the lease term. The majority of the Company's short-term leases relate to equipment used on construction projects. These leases are entered into at periodic rental rates for an unspecified duration and typically have a termination for convenience provision.

As of December 31, 2023, the weighted-average remaining term of the Company’s leases was 7.2 years, and the weighted-average discount rate was 3.62%. As of December 31, 2023, the lease liability was equal to the present value of the remaining lease payments, discounted using the incremental borrowing rate on the Company’s secured debt using a single maturity discount rate, as such rate is not materially different from the discount rate applied to each of the leases in the portfolio.

The following table summarizes the Company’s undiscounted lease liabilities outstanding as of December 31, 2023 (unaudited, in thousands):
Fiscal Year Amount
Remainder of 2024 $ 3,031 
2025 3,545 
2026 3,353 
2027 2,984 
2028 2,492 
2029 and thereafter 6,272 
Total future minimum lease payments $ 21,677 
Less: imputed interest 2,705 
Total $ 18,972