Leases
6 Months Ended
Jun. 30, 2020
Leases [Abstract]  
Leases Leases
The Company enters into various noncancelable operating lease agreements for certain of our offices, data centers, colocations and network equipment. The Company’s leases have original lease periods expiring between 2020 and 2025. Many leases include one or more options to renew. The Company does not assume renewals in its determination of the lease term unless the renewals are deemed to be reasonably assured at lease commencement. The Company’s variable lease payments are immaterial and its lease agreements do not contain any material residual value guarantees or material restrictive covenants. Operating lease costs are included in cost of revenue and general and administrative costs in the Company’s condensed consolidated statements of operations. Finance lease amortization costs are included in depreciation and amortization, and finance lease interest costs are included in interest expense in the Company’s condensed consolidated statements of operations.
The components of lease costs are as follows (in thousands):
Three Months Ended
June 30,
Six Months Ended
June 30,
2020201920202019
Finance lease cost
Amortization of right-of-use assets$969  $958  $1,981  $1,586  
Interest26  211  68  400  
Operating lease cost608  1,129  1,325  2,219  
Total lease cost$1,603  $2,298  $3,374  $4,205  
The lease term and discount rate are as follows :
June 30, 2020December 31, 2019
Weighted Average Remaining Lease Term
Operating leases1.8Years2.0Years
Finance leases2.1Years1.2Years
Weighted Average Discount Rate
Operating leases6.0  %6.0  %
Finance leases3.9  %5.0  %
The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2020 (in thousands):
Operating LeasesFinance Leases
The remainder of 2020$1,252  $703  
20211,996  704  
2022933  407  
2023436  67  
202435  29  
2025—   
Total undiscounted cash flows4,652  1,912  
Less imputed interest(322) (70) 
Present value of lease liabilities$4,330  $1,842  
Supplemental cash flow information related to leases are as follows (in thousands):
Six Months Ended
June 30,
20202019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$1,429  $2,324  
Operating cash flows from finance leases$68  $400  
Financing cash flows from finance leases$1,968  $1,586  
Lease liabilities arising from obtaining right-of-use-assets:
Operating leases$672  $64  
Finance leases$563  $1,925  
Leases Leases
The Company enters into various noncancelable operating lease agreements for certain of our offices, data centers, colocations and network equipment. The Company’s leases have original lease periods expiring between 2020 and 2025. Many leases include one or more options to renew. The Company does not assume renewals in its determination of the lease term unless the renewals are deemed to be reasonably assured at lease commencement. The Company’s variable lease payments are immaterial and its lease agreements do not contain any material residual value guarantees or material restrictive covenants. Operating lease costs are included in cost of revenue and general and administrative costs in the Company’s condensed consolidated statements of operations. Finance lease amortization costs are included in depreciation and amortization, and finance lease interest costs are included in interest expense in the Company’s condensed consolidated statements of operations.
The components of lease costs are as follows (in thousands):
Three Months Ended
June 30,
Six Months Ended
June 30,
2020201920202019
Finance lease cost
Amortization of right-of-use assets$969  $958  $1,981  $1,586  
Interest26  211  68  400  
Operating lease cost608  1,129  1,325  2,219  
Total lease cost$1,603  $2,298  $3,374  $4,205  
The lease term and discount rate are as follows :
June 30, 2020December 31, 2019
Weighted Average Remaining Lease Term
Operating leases1.8Years2.0Years
Finance leases2.1Years1.2Years
Weighted Average Discount Rate
Operating leases6.0  %6.0  %
Finance leases3.9  %5.0  %
The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2020 (in thousands):
Operating LeasesFinance Leases
The remainder of 2020$1,252  $703  
20211,996  704  
2022933  407  
2023436  67  
202435  29  
2025—   
Total undiscounted cash flows4,652  1,912  
Less imputed interest(322) (70) 
Present value of lease liabilities$4,330  $1,842  
Supplemental cash flow information related to leases are as follows (in thousands):
Six Months Ended
June 30,
20202019
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from operating leases$1,429  $2,324  
Operating cash flows from finance leases$68  $400  
Financing cash flows from finance leases$1,968  $1,586  
Lease liabilities arising from obtaining right-of-use-assets:
Operating leases$672  $64  
Finance leases$563  $1,925