Selected Balance Sheet Data

6 Months Ended

Jun. 30, 2025

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets as of June 30, 2025 and December 31, 2024 consisted of the following (in thousands):


	June 30, 2025		December 31, 2024
Prepaid inventories	$	1,776	$	725
Prepaid expenses and other(1)	3,156		2,814
Lease receivable	888		1,264
Contract assets	1,010		1,099
Financed insurance premiums	1,267		1,315
Assets held for sale(2)	651		651
Total prepaid expenses and other current assets	$	8,748	$	7,868

____________

(1) Primarily relates to security deposits for outstanding equipment leases, other receivables, prepaid insurance, and prepaid licenses and subscriptions.

(2) Assets held for sale are comprised of manufacturing equipment no longer used in production and intended to be sold.

Other Non-Current Assets

Other non-current assets as of June 30, 2025 and December 31, 2024 consisted of the following (in thousands):


	June 30, 2025		December 31, 2024
Security deposits	$	1,754	$	1,873
Duty drawback receivable(1)	2,709		2,709
Lease receivable, non-current	314		545
Other non-current assets	1,651		1,601
Total other non-current assets	$	6,428	$	6,728

___________
(1) Represents the estimated amount that can be recovered from previously paid tariffs relating to crushed SOLO vehicles that were acquired in connection with the ElectraMeccanica acquisition.

Other Current Liabilities

Other current liabilities as of June 30, 2025 and December 31, 2024 consisted of the following (in thousands):


	June 30, 2025		December 31, 2024
Accrued expenses and other (1)	$	3,366	$	2,886
Accrued interest⁽²⁾	5,781		4,789
Accrued payroll⁽³⁾	2,425		2,079
Contract liabilities	224		260
Customer deposits	1,334		1,275
Warranty liability	1,030		740
Equipment notes payable, current	295		377
Short-term insurance financing notes	1,056		1,280
Operating lease liabilities, current	3,181		3,028
Finance lease liabilities, current	1,950		1,054
Total other current liabilities	$	20,642	$	17,768

____________

(1) Primarily relates to the liabilities assumed in connection with the ElectraMeccanica acquisition, accrued inventory purchases, accrued professional fees, and other accrued expenses.

(2) Represents accrued interest on Convertible Promissory Note, which interest is convertible into shares of our common stock at maturity. See Note 9 — Convertible Notes.

(3) Primarily relates to payroll liabilities such as accrued payroll, accrued vacation, accrued bonuses and other payroll liabilities.

Revenue recognized from the customer deposits balance for the six months ended June 30, 2025 and 2024 was $0.4 million and $0.6 million, respectively. Revenue recognized for the year ended December 31, 2024 from the customer deposits balance as of December 31, 2023 was $0.7 million.

Other Non-Current Liabilities

Other non-current liabilities as of June 30, 2025 and December 31, 2024 consisted of the following (in thousands):


	June 30, 2025		December 31, 2024
Accrued interest expense and other	$	708	$	635
Equipment notes payable, non-current	162		224
Operating lease liabilities, non-current	15,135		16,656
Finance lease liabilities, non-current	267		418
Total other non-current liabilities	$	16,272	$	17,933

Xos, Inc. 10-Q