CarParts.com, Inc. Annual report [Section 13 and 15(d), not S-K Item 405]

Annual report [Section 13 and 15(d), not S-K Item 405]

Property and Equipment, Net

Property and Equipment, Net

12 Months Ended

Dec. 28, 2024

Note 3 – Property and Equipment, Net

The Company’s property and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization expense for fiscal years 2024 and 2023 was $18,975 and $16,690, respectively. The cost and related accumulated depreciation of assets retired or otherwise disposed of are removed from the accounts and the resultant gain or loss is reflected in earnings. Repairs and maintenance are expensed as incurred.

Property and equipment consisted of the following as of December 28, 2024 and December 30, 2023:


	December 28, 2024		December 30, 2023
Machinery and equipment	$	18,101	$	10,150
Computer software (purchased and developed) and equipment		40,768		24,523
Vehicles		154		180
Leasehold improvements		3,958		2,751
Furniture and fixtures		594		540
Construction in process		5,297		12,006
		68,872		50,150
Less accumulated depreciation and amortization		(36,666)		(23,761)
Property and equipment, net	$	32,206	$	26,389

Construction in process primarily relates to the Company’s internally developed software.

Depreciation and amortization of property and equipment is calculated by using the straight-line method for financial reporting purposes, at rates based on the following estimated useful lives:


	Years
Machinery and equipment	2	-	5
Computer software (purchased and developed)	2	-	5
Computer equipment	2	-	5
Vehicles	3	-	5
Leasehold improvements*	3	-	5
Furniture and fixtures	3	-	7

*	The estimated useful life is the lesser of 3-5 years or the lease term, whichever is shorter.