Company: HFFG
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001680873-25-000036
Chunk: 45

Company: HF Foods Group Inc.
Filing Date: 2025-05-12
Form: 10-Q
Item: Item 1
Chunk 45
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 depreciation(63,339)(60,660)Property and equipment, net$160,412 $149,572 _________________(1)    The cost and accumulated depreciation of property and equipment related to finance leases was $46.1 million and $15.6 million, respectively, at March 31, 2025 and $36.1 million and $14.3 million, respectively, at December 31, 2024. The total future minimum lease payments under all finance leases as of March 31, 2025 is $47.9 million.   Depreciation expense was $2.9 million and $2.6 million for the three months ended March 31, 2025 and 2024, respectively.Long-term investments consisted of the following:(In thousands)Ownership as of  March 31,2025March 31, 2025December 31, 2024Asahi Food, Inc. (“Asahi”)49%$527 $550 Pt. Tamron Akuatik Produk Industri (“Tamron”)12%1,800 1,800 Total long-term investments$2,327 $2,350 The investment in Tamron is accounted for using the measurement alternative under Accounting Standards Codification (“ASC”) Topic 321 Investments—Equity Securities, which is measured at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for identical or similar investments, if any. The investment in Asahi is accounted for under the equity method due to the fact that the Company has significant influence but does not exercise control over this investee. The Company determined there was no impairment for the three months ended March 31, 2025 and 2024 for these investments.Accrued expenses and other liabilities consisted of the following:(In thousands)March 31, 2025December 31, 2024Accrued compensation$8,684 $7,497 Accrued professional fees452 553 Accrued interest and fees916 938 Self-insurance liability1,500 1,671 Advance from customers1,912 3,081 Other2,419 4,261 Total accrued expenses and other liabilities$15,883 $18,001 

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Note 5 - Fair Value MeasurementsThe following table presents the Company’s hierarchy for its assets and liabilities measured at fair value on a recurring basis as of the dates