Property and equipment consist of the following:


	As of
($ in thousands)	March 31, 2026			September 30, 2025
Land	$	127,550		$	39,299
Land improvements		10,681			9,937
Building and improvements		100,633			96,400
Leasehold improvements		2,941			2,941
Miners		1,404,966			1,422,011
Mining equipment		24,843			24,807
Infrastructure		339,800			295,837
Machinery and equipment		21,397			16,978
Furniture and fixtures		3,264			2,626
Construction in progress		44,008			12,788
Property and equipment, gross	$	2,080,083		$	1,923,624
Less: Accumulated depreciation		(746,466	)		(559,943	)
Property and equipment, net	$	1,333,617		$	1,363,681

Depreciation expense for the six months ended March 31, 2026 and 2025 was $220,633 and $143,058, respectively. Depreciation expense attributable to miners for the six months ended March 31, 2026 and 2025 was 199,452 and 125,978, respectively.

The Company had additions to property and equipment of $202,629 during the six months ended March 31, 2026, which included $27,402 in miners acquired. Assets acquired through acquisition transactions (see Note 3 - Acquisitions) resulted in an additional $91,962 in total assets placed in service.

During the six months ended March 31, 2026, the Company had disposals of property with a net book value of $7,128 for which the Company received proceeds of $3,361, recognizing a loss on disposal of assets of $3,767.

Construction in progress: The Company continues to expand its data center operations through investments in infrastructure, building, and land improvements.

Deposits on miners and mining equipment: As of March 31, 2026 and September 30, 2025, the Company has outstanding deposits for miners and mining equipment totaling $137,416 and $112,037, respectively. Such deposits are recorded in Other long-term assets on the Condensed Consolidated Balance Sheets.

In March 2026, the Company concluded that a $4,008 deposit towards the purchase of transformers was no longer expected to be utilized and recorded an impairment charge for the full carrying amount. In December 2025, the Company began disposing of certain aged mining equipment for less than its carrying value and recorded a related impairment on idle equipment totaling $1,398. The deposit and equipment impairment charges were recorded in the Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income under the captions Impairment expense - other and Impairment expense - fixed assets, respectively.