| BALANCE SHEET COMPONENTS |
| 3. | BALANCE SHEET COMPONENTS |
Cash, cash equivalents, and restricted cash The following table provides a reconciliation of cash, cash equivalents, and restricted cash shown in the condensed consolidated statements of cash flows: | | | | | | | | | June 30, 2026 | | June 30, 2025 | | | | (amounts, in thousands) | Cash and cash equivalents | | $ | 4,413 | | $ | 10,204 | Restricted cash | | | 1,522 | | | 1,522 | Total cash, cash equivalents, and restricted cash | | $ | 5,935 | | $ | 11,726 |
Inventories - net The Company had the following major classes of inventories: | | | | | | | | | June 30, 2026 | | December 31, 2025 | | | | (amounts, in thousands) | Raw materials | | $ | 658 | | $ | 751 | Work in process | | | 985 | | | 1,014 | Finished goods | | | 2,043 | | | 3,528 | Inventories | | | 3,686 | | | 5,293 | Less reserve | | | — | | | (12) | Inventories - net | | $ | 3,686 | | $ | 5,281 |
Property and equipment - net The Company’s property and equipment consist of the following: | | | | | | | | | | | | | | | | | Depreciation/ | | | | | | | | | Amortization | | | June 30, 2026 | | December 31, 2025 | | Period | | | | (amounts, in thousands) | | | Furniture and fixtures | | $ | 1,536 | | $ | 1,532 | | 7 years | Equipment and computers | | | 5,064 | | | 5,129 | | 3 to 7 years | Leasehold improvements | | | 6,304 | | | 6,308 | | Lesser of term of lease or estimated useful life | | | | 12,904 | | | 12,969 | | | Less accumulated depreciation and amortization | | | (5,732) | | | (5,146) | | | Property and equipment - net | | $ | 7,172 | | $ | 7,823 | | |
Depreciation expense for each of the three months ended June 30, 2026 and 2025 amounted to $0.3 million and $0.3 million, respectively. Depreciation expense for each of the six months ended June 30, 2026 and 2025 amounted to $0.6 million and $0.6 million, respectively. Patents - net Patents consist of the following: | | | | | | | | | June 30, 2026 | | December 31, 2025 | | | | (amounts, in thousands) | Patent applications pending | | $ | 1,117 | | $ | 1,356 | Patents issued | | | 3,298 | | | 3,298 | Less accumulated amortization of patents issued | | | (1,551) | | | (1,428) | Patents - net | | $ | 2,864 | | $ | 3,226 |
Patent amortization expenses amounted to $0.1 million and less than $0.1 million for the six months ended June 30, 2026 and 2025, respectively. Patent amortization expenses amounted to $0.06 million for each of the three months ended June 30, 2026 and 2025. Patent amortization expense related to “patents issued” for the next five years and thereafter is scheduled as follows: | | | | | | (amounts, in thousands) | Remainder of 2026 | | $ | 122 | 2027 | | | 240 | 2028 | | | 227 | 2029 | | | 227 | 2030 | | | 227 | Thereafter | | | 704 | Scheduled amortization of patents issued | | $ | 1,747 |
Accrued expenses and other current liabilities Accrued expenses and other current liabilities consist of the following: | | | | | | | | | June 30, 2026 | | December 31, 2025 | | | | (amounts, in thousands) | Accrued salaries and commissions | | $ | 3,381 | | $ | 3,413 | Clinical studies | | | 651 | | | 522 | Deferred revenue and contract liabilities | | | 1,139 | | | 182 | Professional fees | | | 472 | | | 856 | Royalties | | | 558 | | | 271 | Goods received not invoiced | | | 95 | | | 150 | Other | | | 987 | | | 905 | Accrued expenses and other current liabilities | | $ | 7,283 | | $ | 6,299 |
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