PROPERTY AND EQUIPMENT

6 Months Ended

Jun. 30, 2025

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT

NOTE 6—PROPERTY AND EQUIPMENT

Property and equipment are stated at cost less accumulated depreciation. Depreciation (and amortization of finance lease assets) is calculated on a straight-line basis over the estimated useful life of each asset. Property and equipment consists of the following as of June 30, 2025 and December 31, 2024:



		June 30, 2025			December 31, 2024

		(in thousands)
Machinery and equipment		$	534,786		$	581,566
Gathering and disposal infrastructure			342,640			309,854
Pipelines			156,086			103,425
Recycling facilities			147,251			115,227
Buildings and leasehold improvements			99,940			109,520
Land			40,769			39,960
Vehicles and equipment			9,609			13,870
Computer equipment and software			8,899			7,864
Machinery and equipment - finance lease			3,079			533
Computer equipment and software - finance lease			863			904
Office furniture and equipment			610			453
Construction in progress			122,910			122,310
			1,467,442			1,405,486
Less accumulated depreciation⁽¹⁾			(672,698)			(679,832)
Property and equipment held-for-sale, net			5,663			—
Total property and equipment, net		$	800,407		$	725,654

(1)

Includes $1.2 million and $0.9 million of accumulated depreciation related to finance leases as of June 30, 2025 and December 31, 2024, respectively.

During the Current Quarter, the Company recognized $1.5 million in impairments and abandonments, consisting of $1.3 million in Other related to abandonment of back-office software development costs previously classified as Other long-term assets and $0.2 million in the Water Infrastructure segment related to the abandonment of property and equipment. Prior Quarter impairments and abandonments were less than $0.1 million.

During the Current Period, the Company recognized $2.6 million in impairments and abandonments, consisting of $1.3 million in Other related to abandonment of back-office software development costs previously classified as Other long-term assets, $0.6 million in the Water Services segment related to the relocation of operations from a leased facility and $0.7 million in the Water Infrastructure segment primarily associated with the termination of a disposal lease. Prior Period impairments and abandonments were less than $0.1 million.

Total depreciation, amortization and accretion expense related to property and equipment and finance leases presented in the table above, as well as amortization of intangible assets presented in “Note 7— Other Intangible Assets” is as follows:


		Three months ended June 30,						Six months ended June 30,
		2025			2024			2025			2024

		(in thousands)
Category
Depreciation expense from property and equipment		$	37,376		$	33,760		$	71,420		$	67,524
Amortization expense from finance leases			182			51			351			113
Amortization expense from intangible assets			4,378			4,129			8,756			8,199
Accretion expense from asset retirement obligations			1,036			253			2,045			507
Total depreciation, amortization and accretion		$	42,972		$	38,193		$	82,572		$	76,343