
	December 31, 2025		May 25, 2025		May 26, 2024
Land and land improvements	$	3,491	$	3,739	$	3,739
Buildings and building improvements	82,021		63,732		62,874
Machinery and equipment	82,139		61,183		61,013
Computer equipment and software	7,852		8,373		8,290
Furniture and fixtures	1,422		1,635		1,631
Construction in process	4,545		42,231		39,151
Idle construction in process	4,994		5,525		22,801
Property, plant, and equipment, gross	186,464		186,418		199,499
Less: accumulated depreciation	(59,160)		(57,412)		(50,334)
Property, plant, and equipment, net	$	127,304	$	129,006	$	149,165

During the transition period ended December 31, 2025, the Company completed its capacity expansion project which is expected to more than double its overall aseptic capacity. As a result of the completion of the capacity expansion project, depreciation expense is expected to increase by approximately $1,600 per annum.

On January 7, 2025, the Company entered into an agreement for the sale of certain excess equipment. The aggregate purchase price was $17,000. Lifecore received $7,000 cash and paid fees of $752 at closing. Lifecore also accepted a note for the remainder of the proceeds (see note 4) and recorded current and noncurrent payables of $800 and $200, respectively, for selling fees due to a third-party broker. The note and the payables were each cash-settled in June 2025. The sale resulted in a $21,239 reduction in idle construction in process. The Company recorded a loss on the sale of the equipment of $6,400, which is included in loss on sale or disposal of assets, net of portion classified as cost of sales, within the statement of operations.

Depreciation expense for property, plant, and equipment for the transition period ended December 31, 2025 and the fiscal years ended May 25, 2025 and May 26, 2024 was $5,541, $8,027 and $7,954, respectively.