Property and Equipment, Net

9 Months Ended

Sep. 30, 2025

Property, Plant and Equipment [Abstract]

NOTE 4 - PROPERTY AND EQUIPMENT, NET

As of September 30, 2025 and December 31, 2024, property and equipment, net consisted of the following (in thousands):


	September 30, 2025		December 31, 2024
Leasehold improvements	$	240	$	208
Vehicles and trailers	138		129
Computers and software	6,966		4,146
Furniture and fixtures	1,901		1,913
Machinery and equipment	7,192		4,361
Construction in progress	39,518		17,117
Property and equipment, gross	55,955		27,874
Less: accumulated depreciation and amortization	(6,485)		(4,510)
Property and equipment, net	$	49,470	$	23,364

Total depreciation expense related to property and equipment for the three and nine months ended September 30, 2025 was $0.8 million and $2.2 million, respectively, and $0.5 million and $1.3 million, respectively, for the three and nine months ended September 30, 2024.

As of September 30, 2025, construction in progress includes $32.7 million in capitalized costs associated with the fabrication and development of communications satellites and ground network assets, primarily in support of the NSNS contract within our Data Transmission Services business. During the third quarter of 2024, management determined that certain assets under development by a third party subcontractor were not in compliance according to the specifications under contract. Management concluded that carrying cost of these assets was not recoverable and recorded an impairment charge of approximately $5.0 million, including capitalized interest of $0.5 million, in our condensed consolidated statements of operations for the three and nine months ended September 30, 2024.