Inventories, net

3 Months Ended

Mar. 31, 2025

Inventories, net

Inventories, net

Note 10.  Inventories, net

The components of inventories are as follows:

	March 31,		December 31,
	2025		2024
	(in thousands)
Raw materials	$	224,943	$	227,141
Work in process		45,692		34,490
Finished goods (completed systems)		25,215		20,594
Inventories, net	$	295,850	$	282,225

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We establish inventory reserves when conditions exist that indicate inventory may be in excess of anticipated demand or is obsolete based upon assumptions about future demand for our products or market conditions.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.