As of June 30, 2026, inventory consisted of finished goods of $33.8 million and work-in-progress and components of $4.6 million. As of December 31, 2025, inventory consisted of finished goods of $29.9 million and work-in-progress and components of $4.0 million.


	June 30, 2026		December 31, 2025
	(in thousands)
Instrument trays	$	27,093	$	25,733
Machinery and equipment	3,244		3,242
Construction in progress	7,337		5,901
Computer and office equipment	5,435		4,710
Leasehold improvements	3,873		3,873
Furniture and fixtures	386		386
	47,368		43,845
Less: Accumulated depreciation and amortization	(25,649)		(22,547)
	$	21,719	$	21,298

As of June 30, 2026, construction in progress pertains to the cost of individual components of an instrument tray used for surgical placement of the Company's products that have not yet been placed into service of $5.7 million and leasehold improvement and office equipment of $1.6 million. As of December 31, 2025, construction in progress pertains to cost of individual components of an instrument tray used for surgical placement of the Company's products that have not yet been placed into service of $5.8 million and software costs of $0.1 million. Depreciation expense was $1.7 million and $1.4 million for the three months ended June 30, 2026 and 2025, respectively. Depreciation expense was $3.3 million and $2.6 million for the six months ended June 30, 2026 and 2025, respectively.


	June 30, 2026		December 31, 2025
	(in thousands)
Accrued compensation and related expenses	$	9,631	$	13,902

Accrued royalty	2,466		2,448
Accrued rebates	1,044		1,279
Accrued professional services	1,049		1,196

Others	889		879
	$	15,079	$	19,704


	June 30, 2026		December 31, 2025
	(in thousands)
Balance at beginning of period	$	1,013	$	588
Provision	181		570
Write-offs	(557)		(145)
Balance at end of period	$	637	$	1,013