Galaxy Gaming, Inc. Annual report pursuant to Section 13 and 15(d)

LEASES (Tables)

12 Months Ended

Dec. 31, 2019

Supplemental balance sheet information related to leases is as follows:

	As of December 31, 2019
	Amount			Classification
Operating leases:
Operating lease right-of-use lease assets	$	37,689

Operating lease current liabilities	$	19,140		Current portion of operating lease liabilities

Operating lease long-term liabilities		18,978		Long-term operating lease liabilities

Total operating lease liabilities	$	38,118

Weighted-average remaining lease term:
Operating leases	2.1 years

Weighted-average discount rate:
Operating leases		5.4	%

The components of lease expense are as follows:

	Twelve Months Ended December 31, 2019
	Amount		Classification
Finance lease cost:
Amortization of right-of-use assets	$	14,286	Depreciation and amortization
Interest on lease liabilities		195	Interest expense
Total finance lease cost	$	14,481

Operating lease cost	$	260,613	Selling, general and administrative expense

Supplemental cash flow information related to leases is as follows:

	Twelve Months Ended December 31, 2019
	Amount		Classification
Cash paid for amounts included in the measure of lease liabilities:
Operating cash flows from finance leases	$	195	Net income
Financing cash flows from finance leases	$	14,198	Principal payments on finance lease obligations
Operating cash flows from operating leases	$	260,613	Net income

Right-of-use assets obtained in exchange for lease liabilities:
Finance leases	$	14,286	Supplemental cash flow information
Operating leases	$	290,877	Supplemental cash flow information

As of December 31, 2019, future maturities of our operating lease liabilities are as follows:

Twelve Months Ending December 31,	Amount
2020	$	19,140
2021		14,235
2022		4,743
Total lease liabilities	$	38,118