Annual report pursuant to Section 13 and 15(d)

Property and Equipment, Net

Property and Equipment, Net

12 Months Ended

Dec. 31, 2022

Property, Plant and Equipment [Abstract]

Property and equipment consisted of the following at December 31, 2022 and 2021 (in thousands):


	2022		2021		Estimated Useful Lives in Years
Equipment	$	91,759	$	86,410	1 - 13

Leasehold improvements	44,418		43,251		1-17
Furniture and fixtures	12,274		11,141		1-8
Computer hardware and office equipment	32,843		30,394		1-9
Computer software	44,151		35,826		1-10

Construction in progress	8,984		12,395		—
Subtotal	234,429		219,417
Less: accumulated depreciation	(131,930)		(109,952)
Property and equipment, net	$	102,499	$	109,465

In 2021, the Company committed to selling the Carlsbad facility and the associated land and concluded that these assets met the held for sale criteria. At December 31, 2021, these assets were classified as assets held for sale within current assets on the Consolidated Balance Sheets with a carrying value of $3.2 million and $6.9 million, respectively. The Company sold this property and associated land for proceeds of $12.1 million, net of closing costs, in 2022. For the year ended December 31, 2022, a net gain on the sale of this property and associated land of $2.0 million is included in general and administrative expenses on the Consolidated Statements of Operations.

Depreciation expense for the years ended December 31, 2022, 2021 and 2020, was as follows (in thousands):


	2022		2021		2020
Cost of revenue	$	15,406	$	14,200	$	15,287
General and administrative	18,125		15,299		10,359
Research and development	1,841		693		258
Total depreciation	$	35,372	$	30,192	$	25,904