Hillman Solutions Corp. HLMN Robotics and Digital Solutions — Property and equipment, gross

Property and equipment are carried at cost and include expenditures for new facilities and major renewals. For financial accounting purposes, depreciation is computed on the straight-line method over the estimated useful lives of the assets, generally 3 to 10 years. Assets acquired under finance leases are depreciated over the terms of the related leases. Maintenance and repairs are charged to expense as incurred. The Company capitalizes certain costs that are directly associated with the development of internally developed software related to our key and engraving machines, representing the historical cost of these assets. Once the software is completed and placed into service, such costs are amortized over the estimated useful lives. The Company includes components used in the assembly of key and engraving kiosks as machinery and equipment due to the shorter term nature of these builds, and such totaled $24,890 as of December 27, 2025. The Company’s construction in process includes projects that are typically longer term in nature. When assets are sold or otherwise disposed of, the cost and related accumulated depreciation are removed from their respective accounts, and the resulting gain or loss is reflected in income from operations.