SEGMENTS
The Company operates as one operating segment. The Company's chief operating decision maker ("CODM") is its Chief Executive Officer, who reviews financial information presented on a consolidated basis. The CODM uses consolidated gross margin and net income to assess financial performance and allocate resources. These financial metrics are used by the CODM to make key operating decisions, such as the determination of the rate at which the Company seeks to grow gross margin and the allocation of budget between cost of revenues, sales and marketing, research and development, and general and administrative expenses.
The following table presents selected financial information with respect to the Company’s single operating segment for the years ended December 31, 2025 and 2024:
For the years ended December 31,
20252024
Net sales$613,514 $602,224 
Cost of goods sold347,279 363,680 
Gross profit266,235 238,544 
Selling, general, and administrative146,132 132,149 
Research and development costs18,831 18,710 
Amortization of intangible assets13,778 13,884 
Impairment of indefinite-lived intangible assets— 7,695 
Impairment of goodwill— 40,906 
Restructuring costs2,903 1,566 
Loss on sale of assets— 9,234 
Other operating expense2,110 (268)
Total operating expense183,754 223,876 
Operating income82,481 14,668 
Change in fair value of warrant liability1,211 (7,570)
Change in fair value of earn-out liability897 (2,333)
Loss (gain) on early extinguishment of debt(93)141 
Interest expense, net51,833 50,690 
Total non-operating expense53,848 40,928 
Income (loss) before income taxes28,633 (26,260)
Income tax expense (benefit)9,458 (3,025)
Net income (loss)$19,175 $(23,235)

Historical Timeline

Fiscal YearFiled
2025Mar 16, 2026Showing above
2024Mar 14, 2025

About Segments Disclosures

Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.

Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.