v3.25.2
Balance Sheet Information
 6 Months Ended
Jun. 29, 2025
Balance Sheet Information [Abstract]  
Balance Sheet Information Balance Sheet Information
Certain significant amounts included in the Company’s interim condensed consolidated balance sheets are summarized in the following tables:
Three-Month Period Ended
Six-Month Period Ended
Allowance for credit losses - Accounts ReceivableJune 29, 2025June 30, 2024June 29, 2025June 30, 2024
Balance at beginning of period$597 $96 $398 $180 
Provision for credit losses(9)337 346 253 
Accounts written-off(491)— (619)— 
Less recoveries of accounts charged-off28 — — — 
Balance at end of period$125 $433 $125 $433 

InventoryJune 29, 2025December 29, 2024
Raw materials$2,483 $3,218 
Work-in-process1,244 981 
Supplies and spare parts9,658 10,222 
Finished goods— 114 
Total inventory, current13,385 14,535 
Inventory, non current (1)4,901 4,747 
Total inventory $18,286 $19,282 
__________________
(1)Inventory, non-current consists of spare parts that will not be used within twelve months.
Prepaid expenses and other current assets
June 29, 2025December 29, 2024
Prepaid expenses$3,803 $3,984 
Tools purchased for customers (1)34,423 16,923 
Deferred contract costs2,060 1,253 
Investment tax credit receivable -current1,628 1,316 
Total prepaid assets and other current assets$41,914 $23,476 
__________________
(1)The Company acquires tools for its customers that consist of manufacturing equipment its customers will own but will be installed and qualified in a SkyWater facility. Prior to the customer obtaining ownership and control of the equipment, the Company records the costs associated with the acquisition, installation, and qualification of the equipment within prepaid expenses and other current assets. These deferred costs are recognized as cost of revenue when control of the equipment transfers to the customer and the related tools revenue is recognized.
Property and equipment, net
June 29, 2025December 29, 2024
Land$5,396 $5,396 
Buildings and improvements89,443 89,443 
Machinery and equipment203,870 202,667 
Property and equipment placed in service, at cost (1)298,709 297,506 
Less: accumulated depreciation (1)(158,671)(150,657)
Property and equipment placed in service, net (1)140,038 146,849 
Property and equipment not yet in service21,544 18,582 
Total property and equipment, net$161,582 $165,431 
__________________
(1)Includes $10,469 and $10,805 of cost and $2,466 and $2,398 of accumulated depreciation associated with capital assets subject to financing leases at June 29, 2025 and December 29, 2024, respectively.
For the three-month periods ended June 29, 2025 and June 30, 2024, depreciation expense was $3,973 and $3,704, respectively, and $8,002 and $8,394 for the six-month periods ended June 29, 2025 and June 30, 2024, respectively, substantially all of which was classified as cost of revenue.

Intangible Assets, net
June 29, 2025December 29, 2024
Software and licensed technology$14,140 $13,742 
Less: accumulated amortization(8,607)(7,950)
Intangible assets placed in service, net5,533 5,792 
Intangible assets not yet in service2,908 1,987 
Total intangible assets, net$8,441 $7,779 
    
Intangible assets consist primarily of payments made under software and technology licensing arrangements with third parties, in addition to internally developed software costs. For the three-month periods ended June 29, 2025 and June 30, 2024, amortization of software and licenses was $328 and $360, respectively, and $657 and $735 for the six-month periods ended June 29, 2025 and June 30, 2024, respectively.
Remaining estimated aggregate annual amortization expense for intangible assets placed in service is as follows for future fiscal years:
Amortization
Expense
Remainder of 2025$695 
20261,089 
2027712 
2028712 
2029712 
Thereafter1,613 
Total$5,533 

Other AssetsJune 29, 2025December 29, 2024
Inventory, non-current (1)$4,901 $4,747 
Operating lease right-of-use assets25 49 
Investment tax credit receivable - non current3,211 3,200 
Other assets595 492 
Total other assets$8,732 $8,488 
__________________
(1)Inventory, non-current consists of spare parts that will not be used within twelve months.
Accrued ExpensesJune 29, 2025December 29, 2024
Accrued compensation$7,936 $6,392 
Accrued commissions269 473 
Accrued royalties533 447 
Current portion of operating lease liabilities26 52 
Current portion of finance lease liabilities634 608 
Accrued inventory2,072 623 
Accrued warranty (1)2,139 3,752 
Accrued vendor purchase commitments (2)9,067 13,718 
Accrued accounts payable6,687 818 
Accrued accounts payable - customer1,560 2,175 
Accrued utilities1,074 1,934 
Other accrued expenses8,630 5,837 
Total accrued expenses$40,627 $36,829 
__________________
(1)The Company accrued provisions for warranties of $2,139 and $3,752 as of June 29, 2025 and December 29, 2024, respectively. For the three-month periods ended June 29, 2025 and June 30, 2024, warranty expense was $582 and $2,350, respectively, and $821 and $2,776 for the six-month periods ended June 29, 2025 and June 30, 2024 respectively. For the three-month periods ended June 29, 2025 and June 30, 2024, warranty credits was $1,130 and $726, respectively, and $2,434 and $1,650 for the six-month periods ended June 29, 2025 and June 30, 2024, respectively.
(2)The Company accrues outstanding obligations on vendor purchase orders for goods or services provided to the Company for which invoices have not yet been received.

Other long-term liabilitiesJune 29, 2025December 29, 2024
Finance lease obligations$8,255 $8,652 
Liability for uncertain tax positions69 69 
Total other long-term liabilities$8,324 $8,721