Company: PENG
Filing Date: 2025-01-08
Form Type: 10-Q
Source: 0001628280-25-000944
Chunk: 78

Company: Penguin Solutions, Inc.
Filing Date: 2025-01-08
Form: 10-Q
Item: Part II, Item 8
Chunk 78
---
$354,037 $— Level 1:Money market funds22,322 — 29,110 — U.S. Treasury securities4,214 23,430 — 6,337  $370,295 $23,430 $383,147 $6,337 

14

Non-marketable Equity InvestmentsAs of both November 29, 2024 and August 30, 2024, other noncurrent assets included $53.0 million of non-marketable equity investments, which are accounted for under the measurement alternative at cost less impairment, if any. In the event an observable price change occurs in an orderly transaction for an identical or a similar investment, the carrying value of investments would be remeasured to fair value as of the date that the observable transaction occurred, with any resulting gains or losses recorded in results of operations.

Accounts ReceivableIn the third quarter of 2023, we entered into a trade accounts receivable sale program with a third-party financial institution to sell certain of our trade accounts receivable on a non-recourse basis pursuant to a factoring arrangement. This program allows us to sell certain of our trade accounts receivables up to $60.0 million. As of November 29, 2024, there have been no trade accounts receivable sold under this program.

InventoriesAs ofNovember 29,2024August 30,2024Raw materials$87,041 $75,514 Work in process37,918 18,742 Finished goods121,993 56,957  $246,952 $151,213 As of November 29, 2024 and August 30, 2024, 12% and 14%, respectively, of total inventories were owned and held under our logistics services program.

Property and EquipmentAs ofNovember 29,2024August 30,2024Equipment$88,943 $89,848 Buildings and building improvements67,398 70,462 Furniture, fixtures and software48,120 48,027 Land15,064 16,126 219,525 224,463 Accumulated depreciation(119,286)(117,915) $100,239 $106,548 Depreciation expense for property and equipment was $5.0 million and $7.5 million in the first quarter of 2025 and 2024, respectively.

15