Quarterly report pursuant to Section 13 or 15(d)

Property and Equipment

v3.22.2.2
Property and Equipment
 9 Months Ended
Oct. 02, 2022
Property, Plant and Equipment [Abstract]  
Property and Equipment Property and Equipment
Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is computed on a straight-line basis over the estimated useful lives of the assets. Property and equipment as of October 2, 2022 and January 2, 2022, consisted of the following (in thousands):
October 2,
2022		 January 2,
2022
Machinery and equipment $ 47,884  $ 6,636 
Office equipment and software 1,236  918 
Furniture and fixtures 721  639 
Leasehold improvements 23,297  1,878 
Construction in process 39,832  71,133 
Total property and equipment 112,970  81,204 
Less: accumulated depreciation (8,979) (4,591)
Property and equipment, net $ 103,991  $ 76,613 
In the second quarter of 2022, the Company placed its leasehold improvement and machinery and equipment into service for the Company's first production line and transferred the amount that was previously capitalized as construction in process into the machinery and equipment category. The Company began its depreciation using the straight-line method on the date that machinery and equipment and leasehold improvement were placed into service. As of October 2, 2022, the Company’s second production line was not yet placed into service as it remains under construction.
The following table summarizes the depreciation and amortization expenses related to property and equipment, which are recorded within cost of revenue, research and development expense and selling, general and administrative expense in the Condensed Consolidated Statements of Operations (in thousands).
Quarters Ended Fiscal Years-to-Date Ended
October 2, 2022 October 3, 2021 October 2, 2022 October 3, 2021
Depreciation expense $ 2,857  $ 299  $ 4,388  $ 674