Property and equipment consisted of the following as of June 30, 2025 and December 31, 2024:


	June 30, 2025			December 31, 2024
	(in thousands)
Land and buildings	$	6,611		$	—
Machinery and equipment (7-10 year assets)		74,568			59,669
Vehicles (5 year assets)		162			48
Office furniture and equipment (5-7 year assets)		1,316			1,253
Computer systems (3 year assets)		2,766			2,532
Leasehold improvements (life tied to lease duration)		17,402			14,201
Construction in process		9,200			10,129
Total property and equipment		112,025			87,832
Less accumulated depreciation		(32,753	)		(26,952	)
Property and equipment, net	$	79,272		$	60,880

Depreciation expense for the three months ended June 30, 2025 and 2024 was $3.0 million and $2.3 million, respectively, of which, $2.8 million and $2.0 million was recorded in cost of goods sold, respectively, and the remainder in operating expenses in the accompanying unaudited condensed consolidated statements of operations.

Depreciation expense for the six months ended June 30, 2025 and 2024 was $5.8 million and $4.4 million, respectively, of which, $5.5 million and $3.9 million was recorded in cost of goods sold, respectively, and the remainder in operating expenses in the accompanying unaudited condensed consolidated statements of operations.