Balance Sheet Components

6 Months Ended

Jun. 30, 2021

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Balance Sheet Components

Balance Sheet Components

Inventories

The components of inventory consist of the following (in thousands):

	June 30,		December 31,
	2021		2020
Raw materials	$	77,871	$	79,090
Work-in-progress	45,140		29,063
Finished goods	40,306		33,906
	$	163,317	$	142,059

The inventory reserves were $14.4 million and $14.0 million as of June 30, 2021 and December 31, 2020, respectively.

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consist of the following (in thousands):

	June 30,		December 31,
	2021		2020
Prepaid hardware and software maintenance	3,390		5,227
Receivables from employees	5,584		5,160
Other prepaid expenses and other current assets	14,087		20,331
	$	23,061	$	30,718

Property, Plant and Equipment, Net

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

	June 30,		December 31,
	2021		2020
Energy Servers	$	674,247	$	669,422
Computers, software and hardware	20,640		20,432
Machinery and equipment	110,463		106,644
Furniture and fixtures	8,508		8,455
Leasehold improvements	38,109		37,497
Building	46,730		46,730
Construction-in-progress	49,033		21,118
	947,730		910,298
Less: accumulated depreciation	(336,359)		(309,670)
	$	611,371	$	600,628

Depreciation expense related to property, plant and equipment was $13.4 million and $12.8 million for the three months ended June 30, 2021 and 2020, respectively. Depreciation expense related to property, plant and equipment was $26.8 million and $25.9 million for the six months ended June 30, 2021 and 2020, respectively.

Property, plant and equipment under operating leases by the PPA Entities was $368.0 million and $368.0 million and accumulated depreciation for these assets was $127.6 million and $115.9 million as of June 30, 2021 and December 31, 2020, respectively. Depreciation expense for these assets was $5.9 million and $5.9 million for the three months ended June 30, 2021 and 2020, respectively. Depreciation expense for these assets was $11.7 million and $12.1 million for the six months ended June 30, 2021 and 2020, respectively.

Other Long-Term Assets

Other long-term assets consist of the following (in thousands):

	June 30,		December 31,
	2021		2020
Prepaid insurance	$	10,657	$	11,792
Prepaid and other long-term assets	10,725		8,992
Long-term lease receivable	7,517		6,995
Deferred commissions	7,022		6,732
	$	35,921	$	34,511

Accrued Warranty

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

	June 30,		December 31,
	2021		2020
Product warranty	$	1,127	$	1,549
Product performance	6,492		8,605
Maintenance services contracts	78		109
	$	7,697	$	10,263

Changes in the product warranty and product performance liabilities were as follows (in thousands):

Balances at December 31, 2020	10,154
Accrued warranty, net	3,990
Warranty expenditures during the year-to-date period	(6,525)
Balances at June 30, 2021	$	7,619

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities consist of the following (in thousands):

	June 30,		December 31,
	2021		2020
Compensation and benefits	$	30,461	$	28,343
Current portion of derivative liabilities	13,344		19,116
Sales-related liabilities	5,635		14,479
Accrued installation	10,202		16,468
Sales tax liabilities	2,596		2,732
Interest payable	2,156		2,224
Other	31,657		28,642
	$	96,051	$	112,004

Other Long-Term Liabilities

Other long-term liabilities consist of the following (in thousands):

	June 30,		December 31,
	2021		2020
Delaware grant	$	9,431	$	9,212
Other	11,473		8,056
	$	20,904	$	17,268

We have recorded a long-term liability for the potential future repayment of the incentive grant received from the Delaware Economic Development Authority of $9.4 million and $9.2 million as of June 30, 2021 and December 31, 2020, respectively. See Note 13 - Commitments and Contingencies for a full description of the grant.