PROPERTY AND EQUIPMENT

9 Months Ended

Sep. 30, 2019

Property, Plant and Equipment [Abstract]

Property and Equipment

PROPERTY AND EQUIPMENT

Property and equipment was as follows as of September 30, 2019 and December 31, 2018 (in thousands):

	September 30, 2019		December 31, 2018
Infusion pumps	$	24,786	$	20,339
Equipment, furniture, and other	60,569		34,433
Leasehold improvements	84,675		61,302
Computer software, purchased and internally developed	34,500		29,668
Assets under development	4,585		5,447
	209,115		151,189
Less accumulated depreciation	77,133		58,047
Property and equipment, net	$	131,982	$	93,142

Depreciation expense is recorded within cost of revenue and operating expenses within the condensed consolidated statements of comprehensive income (loss), depending on the nature of the underlying fixed assets. The depreciation expense included in cost of revenue relates to revenue-generating assets, such as infusion pumps. The depreciation expense included in operating expenses is related to infrastructure items, such as furniture, computer and office equipment, and leasehold improvements. The following table presents the amount of depreciation expense recorded in cost of revenue and operating expenses for the three and nine months ended September 30, 2019 and 2018 (in thousands):

	Three months ended September 30,				Nine months ended September 30,
	2019		2018		2019		2018
Depreciation expense in cost of revenue	$	1,384	$	747	$	2,855	$	2,265
Depreciation expense in operating expenses	8,522		4,680		18,849		13,522
Total depreciation expense	$	9,906	$	5,427	$	21,704	$	15,787