Successor
December 31, 2025December 31, 2024
(in thousands)
Leasehold improvements$960 $548 
Machinery & equipment1,922 664 
Computers & office equipment28 14 
Construction in progress— 266 
Property, Plant and Equipment, Gross
2,910 1,492 
Less: Accumulated depreciation(969)(78)
Property, Plant and Equipment, Net
$1,941 $1,414 
Total depreciation expense on property, plant and equipment was as follows (in thousands):
SuccessorPredecessor
Year Ended December 31, 2025Period from October 2, 2024 through December 31, 2024Period from January 1 2024 through October 1, 2024
Depreciation Expense$891 $78 $148 

Historical Timeline

Fiscal YearFiled
2025Mar 30, 2026Showing above
2024Apr 14, 2025

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.