Property and Equipment

9 Months Ended

May 26, 2023

Property, Plant and Equipment [Abstract]

Property and Equipment

Property and Equipment

As of	May 26, 2023		August 26, 2022
Equipment	$	233,930	$	204,805
Buildings and building improvements	72,361		59,047
Furniture, fixtures and software	47,855		38,715
Land	16,126		16,126
	370,272		318,693
Accumulated depreciation	(192,521)		(164,758)
	$	177,751	$	153,935

Depreciation expense for property and equipment was $9.5 million and $27.4 million in the third quarter and first nine months of 2023, respectively, and $10.6 million and $30.3 million in the third quarter and first nine months of 2022, respectively.

Change in Accounting Estimate: During the first quarter of 2023, we completed an assessment of the estimated useful lives of our manufacturing equipment. Based on that assessment, we revised the estimated useful lives from five years to eight years as of the beginning of the first quarter of 2023. The change reduced our non-cash depreciation expense for the first nine months of 2023 by approximately $7.9 million, which resulted in aggregate reductions of $7.6 million in cost of sales and research and development expense and a reduction of $0.2 million in the cost of our inventories as of the end of the third quarter of 2023. These reductions benefited net income for the first nine months of 2023 by $6.3 million, or $0.13 per share.