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

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

3 Months Ended

Mar. 31, 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):


	March 31,		December 31,
	2023		2022
Compensation and benefits related	$	8,396	$	8,058
Warranty reserve		4,385		4,301
Current portion of contingent consideration		1,754		2,587
Current portion of acquisition consideration		1,603		1,750
Franchise and royalty fees		1,946		1,448
Inventory purchases		1,296		925
Professional services		804		917
2027 Notes Interest		3,267		901
Commissions		485		897
Income tax payable		679		761
Sales and use and franchise taxes		449		286
Other		2,962		3,892
Total accrued expenses and other current liabilities	$	28,026	$	26,723

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


	March 31,		December 31,
	2023		2022
Warranty reserve, at the beginning of the period	$	4,301	$	4,048
Warranty reserve assumed in acquisition		4		—
Additions to warranty reserve		252		4,484
Claims fulfilled		(172)		(4,231)
Warranty reserve, at the end of the period	$	4,385	$	4,301