
	September 30,		December 31,
	2023		2022

Raw materials	$	238,716	$	165,446
Finished goods	183,078		58,288
Work-in-progress	53,855		44,660
	$	475,649	$	268,394

As of September 30, 2023, the inventory balance was reduced by $2.2 million primarily due to the release of a portion of the grant liability, which was recorded as capitalized payroll expenses in the closing inventory balance. For additional information, please see Part I, Item 1, Note 13 - Commitments and Contingencies, Delaware Economic Development Authority section.


	September 30,		December 31,
	2023		2022

Receivables from employees	$	10,314	$	6,553
Deferred expenses (Note 16)	9,909		—
Prepaid managed services	5,868		4,405
Prepaid hardware and software maintenance	5,243		4,290
Tax receivables	4,428		3,676
Prepaid workers compensation	3,993		5,536
Advance income tax provision	2,349		783
Prepaid rent	2,060		965
Interest receivable	1,854		556
Deposits made	1,683		1,409
Prepaid deferred commissions	911		1,002
Other prepaid expenses and other current assets	17,631		14,468
	$	66,243	$	43,643


	September 30,		December 31,
	2023		2022

Energy Servers	$	313,866	$	538,912
Machinery and equipment	165,814		145,555
Leasehold improvements	107,209		104,528
Construction-in-progress	105,787		72,174
Buildings	49,424		49,240
Computers, software and hardware	26,455		24,608
Furniture and fixtures	9,842		9,581
	778,397		944,598
Less: accumulated depreciation	(287,862)		(344,184)
	$	490,535	$	600,414

Depreciation expense related to property, plant and equipment for the three and nine months ended September 30, 2023 was $14.6 million and $50.3 million, respectively. Depreciation expense related to property, plant and equipment for the three and nine months ended September 30, 2022 was $15.5 million and $46.2 million, respectively.

Property, plant and equipment under operating leases by PPA V was $226.0 million and accumulated depreciation for these assets was $92.7 million as of December 31, 2022. There was no property, plant and equipment under operating leases by PPA V as of September 30, 2023. Depreciation expense for property, plant and equipment under operating leases by PPA V (sold in August 2023) and PPA IV (sold in November 2022) was $3.7 million and $10.9 million for the three and nine months ended September 30, 2023, respectively. Depreciation expense for these assets was $5.8 million and $17.3 million for the three and nine months ended September 30, 2022, respectively.

In August 2023, we started a project (the “PPA V Upgrade”, the “PPA V Repowering”) to replace 37.1 megawatts of Energy Servers (the “old Energy Servers”) at PPA V with current generation Energy Servers (the “new Energy Servers”). The replacement was ongoing as of September 30, 2023. See Note 10 - Portfolio Financings for additional information.


	September 30,		December 31,
	2023		2022

Deferred commissions	$	8,901	$	8,320
Long-term lease receivable	7,604		8,076
Deposits made	2,926		2,672
Deferred expenses (Note 16)	1,980		—
Prepaid managed services	1,896		2,373
Deferred tax asset	1,384		1,151
Prepaid insurance	—		4,047

Prepaid and other long-term assets	8,517		13,566
	$	33,208	$	40,205

Accrued warranty liabilities consisted of the following (in thousands):


	September 30,		December 31,
	2023		2022

Product performance	$	15,622	$	16,901
Product warranty	915		431

	$	16,537	$	17,332





Balances at December 31, 2022	$	17,332
Accrued warranty, net	23,565
Warranty expenditures during the nine-month period	(24,360)
Balances at September 30, 2023	$	16,537


	September 30,		December 31,
	2023		2022

Compensation and benefits	$	43,590	$	48,156
General invoice and purchase order accruals	34,452		44,010
Interest payable	7,919		3,128
Sales-related liabilities	7,666		7,147
Accrued installation	6,094		7,905
Accrued legal expenses	3,666		4,403
Provision for income tax	2,600		1,140
Sales tax liabilities	2,517		6,172
VAT interim liability	2,194		418
Accrued consulting expenses	1,869		1,390
Accrued restructuring costs (Note 12)	1,172		—
Finance lease liabilities	1,142		1,024
PPA IV upgrade financing obligations	276		6,076
Delaware grant (Note 13)	—		9,495
Current portion of derivative liabilities	—		2,596
Other	1,323		1,123
	$	116,480	$	144,183

As of September 30, 2023, we had 20,000,000 shares of preferred stock authorized. 13,491,701 of these shares were designated as Series B RCPS and were converted to Class A common stock as of September 23, 2023, as a result of the SK ecoplant Second Tranche Closing. As of December 31, 2022, we had 20,000,000 shares of preferred stock authorized. 10,000,000 of these shares were designated as Series A redeemable convertible preferred stock and were converted to Class A common stock as of November 8, 2022, as a result of the SK ecoplant Initial Investment. For additional information, please see Part I, Item 1, Note 16 - SK ecoplant Strategic Investment.

The preferred stock had $0.0001 par value. There were no shares of preferred stock issued and outstanding as of September 30, 2023 and December 31, 2022.

On July 27, 2023, in accordance with our Restated Certificate of Incorporation, each share of our Class B common stock entitled to ten votes per share automatically converted into one share of our Class A common stock entitled to one vote per share.