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| Leases [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Leases |
Note 5: Leases
The following table details the Company's right of use assets and lease liabilities as of September 30, 2025 and 2024, respectively (in $000’s):
As discussed in Note 3, on May 15, 2024, Precision Marshall acquired Central Steel Fabricators (“Central Steel”), a Chicago-based manufacturer of specialized fabricated metal products primarily for data centers and the communications industry. As of the date of execution, Central Steel sold the acquired real property in exchange for which Central Steel entered into a 20-year lease, with two options to renew for an additional five years each, which the Company is reasonably certain to exercise. This transaction is being treated as a failed sales and leaseback for accounting purposes, as described in ASC 842 “Leases”.
The weighted average remaining lease term for operating leases is 9.7 years. The Company’s weighted average discount rate for operating leases is 9.71%. Total cash payments for operating leases for the year ended September 30, 2025 were approximately $18.5 million.
Total present value of future lease payments of operating leases as of September 30, 2025 (in 000’s):
The weighted average remaining lease term for finance leases is 26.2 years. The Company’s weighted average discount rate for finance leases is 11.33%. Total cash payments for finance leases for the year ended September 30, 2025 were approximately $4.2 million.
The Company records finance lease right-of-use assets as property and equipment. The balance, as of September 30, 2025 and 2024 is as follows (in $000’s):
Total present value of future lease payments of finance leases as of September 30, 2025 (in 000’s):
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| Leases |
Note 5: Leases
The following table details the Company's right of use assets and lease liabilities as of September 30, 2025 and 2024, respectively (in $000’s):
As discussed in Note 3, on May 15, 2024, Precision Marshall acquired Central Steel Fabricators (“Central Steel”), a Chicago-based manufacturer of specialized fabricated metal products primarily for data centers and the communications industry. As of the date of execution, Central Steel sold the acquired real property in exchange for which Central Steel entered into a 20-year lease, with two options to renew for an additional five years each, which the Company is reasonably certain to exercise. This transaction is being treated as a failed sales and leaseback for accounting purposes, as described in ASC 842 “Leases”.
The weighted average remaining lease term for operating leases is 9.7 years. The Company’s weighted average discount rate for operating leases is 9.71%. Total cash payments for operating leases for the year ended September 30, 2025 were approximately $18.5 million.
Total present value of future lease payments of operating leases as of September 30, 2025 (in 000’s):
The weighted average remaining lease term for finance leases is 26.2 years. The Company’s weighted average discount rate for finance leases is 11.33%. Total cash payments for finance leases for the year ended September 30, 2025 were approximately $4.2 million.
The Company records finance lease right-of-use assets as property and equipment. The balance, as of September 30, 2025 and 2024 is as follows (in $000’s):
Total present value of future lease payments of finance leases as of September 30, 2025 (in 000’s):
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