Useful lives by asset category are as follows:
Asset CategoryUseful Life
(in years)
Computer equipment and software3
Laboratory equipment5
Production equipment
2 - 7
Leasehold improvements
5 or remaining lease term
Property and equipment consisted of the following (in thousands):
May 3, 2025April 27, 2024
Production equipment$44,789 $27,608 
Computer equipment and software27,901 18,271 
Laboratory equipment21,944 19,840 
Leasehold improvements3,222 2,525 
Others291 534 
Construction in progress9,687 3,616 
107,834 72,394 
Less: accumulated depreciation and amortization(44,203)(28,729)
$63,631 $43,665 
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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.