Company: SLNH
Filing Date: 2025-01-15
Form Type: S-1/A
Source: 0001493152-25-002391
Chunk: 177

Company: Soluna Holdings, Inc
Filing Date: 2025-01-15
Form: S-1/A
Chunk 177
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 U.S. generally accepted accounting principles (“U.S. GAAP”), which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Property, Plant, and Equipment

Property, plant and equipment are stated at cost and depreciated using the straight-line method over their estimated useful lives as follows:

Schedule of Property Plant and Equipment Estimated Useful Lives

| Leasehold                         
 improvements                      |     | Lesser                                                         
 of the life of the lease or the useful life of the improvement |
| Computers                         
 and related software              |     | 3                                                              
 to 5 years                                                     |
| Cryptocurrency                    
 miners                            |     | 3                                                              
 years                                                          |
| Machinery                         
 and equipment                     |     | 8                                                              
 to 15 years                                                    |
| Office                            
 furniture, equipment and fixtures |     | 2                                                              
 to 10 years                                                    |
| Buildings                         |     | 30-40                                                          
 years                                                          |
| Purchased                         
 pre-fabricated buildings          |     | 15-20                                                          
 years                                                          |

Significant additions or improvements extending assets’ useful lives are capitalized; normal maintenance and repair costs are expensed as incurred. The costs of fully depreciated assets remaining in use are included in the respective asset and accumulated depreciation accounts. When items are sold or retired, related gains or losses are included in net (loss) income.

Intangible assets

Intangible assets include the Strategic Pipeline Contract with an estimated useful life of 5years, assembled workforce of individuals included as part of the asset acquisition with an estimated useful life of 5years and patents with an estimated useful life of 15- 25years. The Company amortizes the intangible assets over their estimated useful lives on a straight-line basis. The Company does not recognize internally developed patents as intangible assets, however legal costs associated with defending such patents are capitalized as long-lived assets.

Income Taxes

The Company is subject to income taxes in the U.S. (federal and state). As part of the process of preparing our consolidated financial statements, the Company calculates income taxes for each of the jurisdictions in which the Company operates. This involves estimating actual current taxes due together with assessing temporary differences resulting from differing treatment for tax and accounting purposes that are recorded as deferred tax assets and liabilities, loss carryforwards and tax credit carryforwards, for which income tax