Polar Power, Inc. Quarterly report [Sections 13 or 15(d)]

OPERATING LEASES (Tables)

6 Months Ended

Jun. 30, 2026

The components of rent expense and supplemental cash flow information related to leases for the period are as follows:

	Six Months Ended June 30, 2026			Six Months Ended June 30, 2025
Lease Cost

Operating lease cost (of which $43 is included in general and administration and $173 is included in cost of sales in the Company’s statement of operations for the six months ended June 30, 2026, and $92 and $612 for the same period in 2025, respectively)	$	216		$	704

Other Information
Weighted average remaining lease term – operating leases (in years)		0.1			0.9
Average discount rate – operating leases		6.13	%		6.13	%

The supplemental balance sheet information related to leases for the period is as follows:

	At June 30, 2026		At December 31, 2025
Operating leases
Long-term operating right-of-use assets, net of accumulated amortization of $2,540 and $1,338, respectively	$	66	$	624
Impairment charge		—		(346	)

Net right-of-use asset	$	66	$	278

Current portion of operating lease liabilities	$	76	$	475