Company: KVHI
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001007587-25-000012
Chunk: 51

Company: KVH INDUSTRIES INC \DE\
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 51
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 of inventories consist of the following:June 30,2025December 31,2024Raw materials$13,651 $15,379 Work in process2,176 2,469 Finished goods4,431 5,105 $20,258 $22,953 

(8)     Prepaid Expenses and Other Current Assets

June 30,2025December 31,2024Prepaid Starlink pooled data$8,331 $14,137 Other prepaid expenses and other current assets5,296 1,879 $13,627 $16,016 During the second quarter of 2024, KVH expanded its relationship with Starlink through a bulk data distribution agreement. Under the agreement, KVH prepaid for access to a large block of Starlink Global Priority data at favorable rates. The new agreement offers KVH increased flexibility in the development and sales of custom, cost-effective airtime plans using Starlink’s Global Priority service. KVH began drawing from this prepaid pooled data in the third quarter of 2024.

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(9)     Property and Equipment

Property and equipment, net, as of June 30, 2025 and December 31, 2024 consist of the following:June 30,2025December 31,2024Leasehold improvements342 336 Machinery and equipment5,842 6,021 Revenue-generating assets60,110 61,380 Office and computer equipment6,870 10,561 Motor vehicles— 31 73,164 78,329 Less accumulated depreciation(49,093)(51,315)$24,071 $27,014 Depreciation expense was $2,500 and $3,637 for the three months ended June 30, 2025 and 2024, respectively, and $5,284 and $6,784 for the six months ended June 30, 2025 and 2024, respectively.Certain revenue-generating hardware assets are utilized by the Company in the delivery of the Company's airtime services, media and other content.As of June 30, 2025 and December 31, 2024, the long-lived tangible assets related to the Company’s international subsidiaries were less than 10% of the Company’s long-lived tangible assets.In the third quarter of 2024, the Company commenced its plan to sell the warehouse building and surface parking lot