Inventory as of June 30, 2026 and December 31, 2025 was comprised of raw materials, work in progress related to the production of vehicles for sale and SKD units for final assembly in Saudi Arabia, and finished goods inventory including new vehicles available for sale, vehicles in transit to fulfill customer orders, and used vehicles which the Company intends to sell. The Company recorded write-downs of $299.7 million and $537.6 million for the three and six months ended June 30, 2026, respectively, and $184.7 million and $336.3 million for the same periods in the prior year, respectively, to reduce its inventories to its net realizable values and for any excess or obsolete inventories, as well as losses from firm purchase commitments (“LCNRV”). While the final scope and application of recently announced changes in trade policy remain uncertain at this time, higher tariffs on imports and subsequent retaliatory tariffs could adversely impact the Company’s financial results.


	June 30, 2026		December 31, 2025
Land and land improvements	$	70,967	$	70,967
Building and improvements(1)	1,102,446		1,099,186
Machinery, tooling and vehicles(2)(3)	2,393,770		2,363,263
Computer equipment and software	159,288		140,419
Leasehold improvements	306,925		304,609
Furniture and fixtures	60,309		57,921
Finance leases	113,647		193,137
Construction in progress	1,449,228		970,960
Total Property, plant and equipment	5,656,580		5,200,462
Less accumulated depreciation and amortization	(1,433,739)		(1,222,330)
Property, plant and equipment, net	$	4,222,841	$	3,978,132

(1) As of June 30, 2026 and December 31, 2025, $127.5 million of capital expenditure support received from Ministry of Investment of Saudi Arabia (“MISA”) was primarily recorded as a deduction to the AMP-2 building balance. See Note 15 “Related Party Transactions” for more information.

Construction in progress represents the costs incurred in connection with the construction of buildings or new additions to the Company’s plant facilities, including tooling with outside vendors. Costs classified as construction in progress include all costs of obtaining the asset, installation of the asset, and bringing it to the location and the condition necessary for its intended use. No depreciation is provided for construction in progress until such time as the asset is completed and is ready for its intended use. Construction in progress consisted of the following (in thousands):


	June 30, 2026		December 31, 2025
Machinery and tooling	$	635,554	$	418,426
Construction of AMP-1 and AMP-2(1)	749,325		512,502
Leasehold improvements and other	64,349		40,032
Total construction in progress	$	1,449,228	$	970,960

(1) As of June 30, 2026 and December 31, 2025, $67.3 million of capital expenditure support received from MISA was recorded primarily as a deduction to the AMP-2 facility construction in progress balance. See Note 15 “Related Party Transactions” for more information.

Depreciation and amortization expense was $122.2 million and $238.6 million for the three and six months ended June 30, 2026, respectively, and $111.1 million and $209.0 million for the same periods in the prior year, respectively. The amount of interest capitalized on construction in progress related to significant capital asset constructions was not material for the three and six months ended June 30, 2026 and 2025.


	June 30, 2026		December 31, 2025
Engineering, design, and testing accrual	$	67,502	$	56,237
Capital expenditures accrual	257,076		234,313
Accrued compensation	191,828		155,906
Accrued purchases(1)	120,767		183,330
Retail leasehold improvements accrual	5,375		5,804
Third-party services accrual	46,228		72,083
Tooling liability	59,978		35,138
Operating lease liabilities, current portion	67,198		64,171
Reserve for loss on firm inventory purchase commitments	63,538		131,904
Accrued warranty	74,908		58,765
Accrued interest	45,559		29,841
Deferred revenue(2)	29,450		29,950
Sales incentive accrual	21,911		34,626
RVG liabilities	60,201		55,448
Other current liabilities	247,582		245,125
Total other current liabilities	$	1,359,101	$	1,392,641

Other long-term liabilities as of June 30, 2026 and December 31, 2025 were as follows (in thousands):


	June 30, 2026		December 31, 2025
Operating lease liabilities, net of current portion	$	228,041	$	225,434
Other long-term liabilities(1)(2)	371,400		357,305
Total other long-term liabilities	$	599,441	$	582,739

(1) As of June 30, 2026 and December 31, 2025, $114.8 million of deferred revenue was recorded within other long-term liabilities in the condensed consolidated balance sheets, respectively, in connection with the strategic technology and supply arrangement, and integration and supply arrangements with Aston Martin Lagonda Global Holdings plc (together with its subsidiaries, “Aston Martin”). See Note 15 “Related Party Transactions” for more information.


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Accrued warranty - beginning of period(2)	$	164,314	$	116,876	$	152,201	$	112,478
Warranty costs incurred	(9,076)		(7,445)		(16,074)		(15,359)
Provision for warranty(1)	18,172		14,960		37,283		27,272
Accrued warranty - end of period(2)	$	173,410	$	124,391	$	173,410	$	124,391

(1) Provision for warranty for the three and six months ended June 30, 2026 and 2025 included estimated costs related to the recalls identified and/or special campaigns to repair or replace items under warranties.

(2) Accrued warranty balance of $74.9 million and $58.8 million was recorded within other current liabilities, and $98.5 million and $93.4 million was recorded within other long-term liabilities, in the condensed consolidated balance sheets as of June 30, 2026 and December 31, 2025, respectively.