Inventories, net

6 Months Ended

Jun. 30, 2024

Inventories, net

Inventories, net

Note 10.  Inventories, net

The components of inventories are as follows:

	June 30,		December 31,
	2024		2023
	(in thousands)
Raw materials	$	220,910	$	231,200
Work in process		40,481		45,373
Finished goods (completed systems)		21,699		29,909
Inventories, net	$	283,090	$	306,482

When recorded, inventory reserves reduce the carrying value of inventories to their net realizable value. We establish inventory reserves when conditions exist that indicate inventory may be in excess of anticipated demand or is obsolete based upon assumptions about future demand for our products or market conditions. We regularly evaluate the ability to realize the value of inventories based on a combination of factors including the following: forecasted sales or usage, estimated product end of life dates, estimated current and future market value and new product introductions. Purchasing and usage alternatives are also explored to mitigate inventory exposure.