Company: EVLVW
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001628280-25-026845
Chunk: 194

Company: Evolv Technologies Holdings, Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 1
Chunk 194
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 the transfer of control, the equipment cost was added back to finished goods inventory (for equipment sales) until the point in time that the Company transferred control of the equipment to the customer, corresponding to the revenue recognition start date. Amounts added back to finished goods inventory are included in Uninstalled inventory in the table above.

9. Property and Equipment, Net

Property and equipment, net consisted of the following (in thousands):March 31,2025December 31,2024Computers and telecom equipment$2,012 $2,064 Lab equipment5,474 5,564 Furniture and fixtures111 111 Leasehold improvements607 607 Leased equipment118,975 112,078 Capitalized software16,291 14,555 Sales demo equipment3,394 3,649 Vehicles604 604 Equipment held for lease119,800 17,347 Construction in progress802 477 168,070 157,056 Less: Accumulated depreciation and amortization(38,389)(33,395)$129,681 $123,661 1 Represents equipment that has not yet been deployed to a customer and, accordingly, is not being depreciated.As of March 31, 2025 and December 31, 2024, the net book value of capitalized software was $12.0 million and $11.1 million, respectively. These amounts include $1.9 million and $1.7 million of capitalized stock compensation costs, respectively. Depreciation and amortization expense related to property and equipment was $5.5 million and $3.5 million for the three months ended March 31, 2025 and 2024, respectively, which included amortization expense of capitalized software of $0.8 million and $0.3 million for the three months ended March 31, 2025 and 2024, respectively. Leased equipment and the related accumulated depreciation were as follows:March 31,2025December 31,2024Leased equipment$118,975 $112,078 Accumulated depreciation(29,554)(25,726)Leased equipment, net$89,421 $86,352 Depreciation expense related to leased units was $4.1 million and $2.8 million (as restated) during the three months ended March 31, 2025 and 2024, respectively. Depreciable lives are generally 7