Property and equipment consisted of the following as of the dates presented (in thousands):
June 30,
20252024
Software and equipment$21,815 $20,802 
Capitalized software129,520 81,582 
Furniture and fixtures15,510 13,361 
Leasehold improvements39,855 39,103 
Property and equipment, gross206,700 154,848 
Less: accumulated depreciation and amortization(90,089)(66,814)
Property and equipment, net$116,611 $88,034 
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About PP&E Disclosures

The PP&E disclosure details a company's physical asset base — land, buildings, machinery, and equipment — along with the depreciation methods and useful life assumptions that determine how these costs flow through the income statement. Capitalization policy thresholds reveal management's judgment on the boundary between expense and asset, directly affecting both reported earnings and asset values.

Key signals: changes in estimated useful lives or depreciation methods can materially shift reported earnings without any operational change. Compare capital expenditures against depreciation expense — when capex consistently trails depreciation, the asset base may be aging and underinvested. Watch for large asset impairments or write-downs that signal overvalued carrying amounts. Asset retirement obligations reveal future environmental or decommissioning costs that are often underappreciated. Compare PP&E intensity (PP&E-to-revenue) against industry peers to assess capital efficiency and competitive positioning.