Depreciation expense is calculated using the straight-line method over the estimated useful lives of the assets, and in the case of leasehold improvements, the lease term, if shorter, as follows:
Estimated Useful Lives
Computer equipment
3 years
Furniture and fixtures
5 years
Leasehold improvements
5 to 10 years
Property and equipment, net, consist of the following:
December 31,
20252024
Computer equipment$1,053 $1,606 
Furniture and fixtures938 565 
Leasehold improvements2,781 2,693 
4,772 4,864 
Less: Accumulated depreciation(3,620)(3,197)
$1,152 $1,667 

Historical Timeline

Fiscal YearFiled
2025Mar 2, 2026Showing above
2024Mar 7, 2025
2023Mar 11, 2024
2022Mar 17, 2023

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.