v3.26.1
Property and Equipment
 6 Months Ended
Jun. 30, 2026
Property, Plant, and Equipment [Abstract]  
Property and Equipment
Note 7—Property and Equipment

Property and equipment are recorded at cost. Depreciation is recorded over the estimated useful life of each class of depreciable asset and is computed using the straight-line method. Leasehold improvements are amortized over the shorter of the estimated asset life or term of the lease. Repairs and maintenance costs are charged to expense as incurred.

The following table sets forth the amounts of property and equipment by each class of depreciable asset as of June 30, 2026 and December 31, 2025:
June 30, 2026December 31, 2025
(in thousands)
EVS and Dietary equipment$19,287 $18,571 
Computer hardware and software8,958 9,185 
Operating lease — right-of-use assets
32,623 30,933 
Other1
469 1,145 
Total property and equipment, at cost61,337 59,834 
Less accumulated depreciation2
31,415 32,248 
Total property and equipment, net$29,922 $27,586 
1.Includes furniture and fixtures, leasehold improvements, automobiles and trucks.
2.Includes $16.3 million and $16.7 million related to accumulated depreciation on Operating lease – right-of-use assets as of June 30, 2026 and December 31, 2025, respectively.

Depreciation expense was $2.7 million and $5.9 million for the three and six months ended June 30, 2026, respectively. Depreciation expense was $3.2 million and $6.4 million for the three and six months ended June 30, 2025. Of the depreciation expense recorded for the three and six months ended June 30, 2026, $1.6 million and $3.3 million was related to the depreciation of the Company’s operating lease - right-of-use assets (“ROU Assets”) respectively. Of the depreciation expense recorded for the three and six months ended June 30, 2025, $2.1 million and $4.2 million was related to the depreciation of the Company’s ROU Assets.

At June 30, 2026 and 2025, accrued purchases of property and equipment were $0.4 million and $0.5 million, respectively.