Property and Equipment, Net

9 Months Ended

Sep. 30, 2023

Property, Plant and Equipment [Abstract]

Property and Equipment, Net

Property and Equipment, NetThe Company’s property and equipment, net, consisted of the following as of September 30, 2023 and December 31, 2022 (in thousands):

	September 30, 2023		December 31, 2022
	(unaudited)
Medical diagnostic equipment	$	14,995	$	14,826
Furniture and fixtures	452		432
Office equipment	1,561		1,556
Laboratory equipment and software	5,226		5,148
Leasehold improvements	974		580
Construction in process	1,675		2,166
Total property and equipment	24,883		24,708
Less: accumulated depreciation	(18,272)		(15,487)
Property and equipment, net	$	6,611	$	9,221

Property and equipment includes certain medical diagnostic equipment and AcQMap Systems located at customer premises. The Company retains ownership of the equipment and has the right to remove the equipment if it is not being used according to expectations. The Company records the cost of equipment to cost of sales on the condensed consolidated statements of operations and comprehensive loss when it is subsequently sold or the Company enters into a sales-type lease agreement. See Note 6 - Lessor Sales-Type Leases for additional details.

Depreciation expense was $1.0 million and $1.5 million for the three months ended September 30, 2023 and 2022, respectively, and $3.5 million and $4.7 million for the nine months ended September 30, 2023 and 2022, respectively