FINANCIAL STATEMENT COMPONENTS

6 Months Ended

Jun. 30, 2026

Organization, Consolidation and Presentation of Financial Statements [Abstract]

FINANCIAL STATEMENT COMPONENTS

9. FINANCIAL STATEMENT COMPONENTS

Inventory

Inventory consists of the following (in thousands):

SCHEDULE OF COMPONENTS OF INVENTORY

		June 30,				December 31,
		2026				2025
Raw materials		$	29			$	-
Finished goods			3,631				745
Total inventory		$	3,660			$	745

Inventory is computed using the first-in, first-out (FIFO) method and is stated at the lower of cost and net realizable value. Management periodically assesses the need to account for obsolescence of inventory and adjusts the carrying value of inventory to its net realizable value when required.

Inventory includes assets acquired from Luminar, the fair value of which is based on preliminary valuations and assumptions and is subject to change within the measurement period, pending final asset valuations.

Property and Equipment

Property and equipment consists of the following (in thousands):

		June 30,				December 31,
		2026				2025
Production equipment		$	6,140			$	6,140
Leasehold improvements			5,930				4,067
Computer hardware and software/lab equipment			21,827				10,364
Office furniture and equipment			6,233				5,575
Property and equipment, gross			40,130				26,146
Less: Accumulated depreciation			(24,343	)			(21,866	)
Property and equipment, net		$	15,787			$	4,280

Property and equipment, as well as related depreciation expense, includes assets acquired from Luminar, the fair value of which is based on preliminary valuations and assumptions and is subject to change within the measurement period, pending final asset valuations.

Depreciation expense was $1.4 million and $0.3 million for the three months ended June 30, 2026 and 2025, respectively, and $2.6 million and $0.7 million for the six months ended June 30, 2026 and 2025, respectively.

Intangible Assets

The components of intangible assets were as follows as of June 30, 2026 and December 31, 2025:

		Gross												Net				Weighted
		Carrying				Accumulated				Impairment				Carrying				Average Remaining
As of June 30, 2026		Amount				Amortization				Expense				Amount				Period (Years)
Acquired technology		$	16,378			$	2,694			$	-			$	13,684				9
		$	16,378			$	2,694			$	-			$	13,684

		Gross												Net				Weighted
		Carrying				Accumulated				Impairment				Carrying				Average Remaining
As of December 31, 2025		Amount				Amortization				Expense				Amount				Period (Years)
Acquired technology		$	16,027			$	5,938			$	10,057			$	32				1
		$	16,027			$	5,938			$	10,057			$	32

Intangible assets, as well as related amortization expense, includes assets acquired from Luminar, the fair value of which is based on preliminary valuations and assumptions and is subject to change within the measurement period, pending final asset valuations.

Amortization expense was $0.3 million and $0.3 million for the three months ended June 30, 2026 and 2025, and $0.5 million and $0.5 million for the six months ended June 30, 2026 and 2025, respectively.

The following table outlines estimated future amortization expense related to intangible assets held as of June 30, 2026 by line item on the condensed consolidated statement of operations (in thousands):

		Research and
		Development
Years Ended December 31,		Expense
2026 (remainder of the year)		$	756
2027			1,493
2028			1,492
2029			1,492
2030			1,492
Thereafter			6,959
Total		$	13,684

Accounts Payable

Accounts payable consists of the following (in thousands):

SCHEDULE OF ACCOUNTS PAYABLE

		June 30,				December 31,
		2026				2025
Software licenses		$	1,889			$	58
Legal fees			1,417				74
Other			2,570				1,496
Total accounts payable		$	5,876			$	1,628

Accrued Liabilities

Accrued liabilities consists of the following (in thousands):

SCHEDULE OF ACCRUED LIABILITIES

		June 30,				December 31,
		2026				2025
Payroll and payroll taxes		$	2,186				1,124
Restructuring charges			586				-
Other			4,739				4,302
Total accrued liabilities		$	7,511			$	5,426