Depreciation is calculated using the straight-line method over the estimated useful lives of the related assets as follows:
Useful Life
(Years)
Purchased and internally developed internal-use software
3
Building and building improvements
5–30
Land improvements
7
Furniture and office equipment
5
Computer hardware
3
Leasehold improvements
Shorter of lease term
or useful life
Property and equipment, net, consisted of the following (in thousands):
As of December 31,
20252024
Internal-use software
$145,294 $124,628 
Purchased software
214 214 
Furniture and office equipment
629 1,654 
Computer hardware
5,742 6,541 
Leasehold improvements
1,598 1,258 
Total cost of property and equipment
153,477 134,295 
Less: accumulated depreciation and amortization
(95,432)(74,507)
Property and equipment, net
$58,045 $59,788 

Historical Timeline

Fiscal YearFiled
2025Feb 23, 2026Showing above
2024Feb 26, 2025
2023Feb 29, 2024
2022Mar 1, 2023
2021Mar 24, 2022

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.