Desktop Metal, Inc. Quarterly report pursuant to Section 13 or 15(d)

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

9 Months Ended

Sep. 30, 2023

13. ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

The following table summarizes the Company’s components of accrued expenses and other current liabilities (in thousands):


	September 30,		December 31,
	2023		2022
Compensation and benefits related	$	7,532	$	8,058
Professional services		821		917
Warranty reserve		3,933		4,301
Franchise and royalty fees		2,154		1,448
Inventory purchases		1,159		925
Current portion of acquisition consideration		1,593		1,750
2027 Notes Interest		2,664		901
Income tax payable		1,220		761
Commissions		570		897
Sales and use and franchise taxes		558		286
Current portion of contingent consideration		—		2,587
License fee payable		928		—
Other		4,767		3,892
Total accrued expenses and other current liabilities	$	27,899	$	26,723

The Company recorded warranty reserve as of September 30, 2023 and December 31, 2022, respectively, as follows (in thousands).


	September 30,		December 31,
	2023		2022
Warranty reserve, at the beginning of the period	$	4,301	$	4,048
Additions to warranty reserve		1,489		4,484
Claims fulfilled		(1,857)		(4,231)
Warranty reserve, at the end of the period	$	3,933	$	4,301