Company: ANY
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001591956-25-000009
Chunk: 49

Company: Sphere 3D Corp.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 8
Chunk 49
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 mining site. The remaining amount in construction in progress relates to equipment open to be determined deployment.Impairment of Property and EquipmentFor the three and six months ended June 30, 2025, the Company did not incur any impairment charges for its property and equipment. For the three and six months ended June 30, 2024, the Company recorded an impairment to property and equipment related to idle mining equipment not expected to return to use. The Company compared the indicated fair value to the carrying value of the mining equipment, and as a result of the analysis, an impairment charge of $0.9 million was recorded for the three and six months ended June 30, 2024. The estimated fair value of the Company’s mining equipment is classified in Level 3 of the fair value hierarchy. The following table summarizes other non-current assets (in thousands):June 30,2025December 31,2024Prepaid mining hosting deposit$773 $308 Utilities deposit225 — Prepaid services102 68 Other4 3 Other non-current assets$1,104 $379 

7.    Intangible Assets

The following table summarizes intangible assets, net (in thousands):June 30,2025December 31,2024Supplier agreements$37,525 $37,525 Accumulated amortization(35,172)(34,430)Intangible assets, net$2,353 $3,095 Amortization expense for intangible assets was $0.4 million for both the three months ended June 30, 2025 and 2024. Amortization expense of intangible assets was $0.7 million for both the six months ended June 30, 2025 and 2024. Estimated amortization expense for intangible assets is approximately $0.7 million for the remainder of 2025 and $1.5 million and $0.1 million in fiscal year 2026 and 2027, respectively.

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8.Preferred Shares

Series H Preferred SharesOn October 1, 2021, the Company filed articles of amendment to create a series of preferred shares, being, an unlimited number of Series H Preferred Shares and to provide for the rights, privileges, restrictions and conditions attaching thereto. The Series H Preferred Shares are convertible provided (and only if and to the extent) that prior shareholder approval of the issuance of all Sphere 3D common shares issuable upon conversion of