Annual report [Section 13 and 15(d), not S-K Item 405]

SEGMENT REPORTING

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SEGMENT REPORTING
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
SEGMENT REPORTING

NOTE 12. SEGMENT REPORTING

 

We define our segments as those operations whose results are regularly reviewed by our CODM to analyze performance and allocate resources. Therefore, segment information is prepared on the same basis that management reviews financial information for operational decision-making purposes. Our CODM is a committee comprised of our CEO and our CFO.

 

We determined we had one operating segment as of December 31, 2024. This operating segment aligns with how we manage our business as of the fourth quarter of 2024. The accounting policies of the reportable segments are the same as those described in “Note 2 - Summary of Significant Accounting Policies.”

 

 

Our CODM assesses the performance of our one operating segment based on the operating segments’ net sales and gross profit. The following table sets forth information by reportable segment for the years ended December 31, 2024 and 2023

 

 

(in thousands)   2024     2023  
    For the year ended December 31,  
(in thousands)   2024     2023  
Net sales   $ 13,275     $ 65,373  
Cost of sales     6,993       47,547  
Gross profit   $ 6,282     $ 17,826  

 

The following table sets forth specific asset categories which are reviewed by our CODM in the evaluation of operating segments:

 

(in thousands)   2024     2023  
    For the year ended December 31,  
(in thousands)   2024     2023  
Accounts receivable, net   $ 4,262     $ 1,693  
Inventories   $ 14,215     $ 20,529  
Vendor deposits   $ 3,091     $ 3,765  

 

The following table sets forth net sales disaggregated by geography:

 

 

(in thousands)   2024     2023  
    For the year ended December 31,  
(in thousands)   2024     2023  
United States   $ 10,900     $ 58,539  
Canada     157       1,291  
Europe     2,218       5,543  
Total net sales   $ 13,275     $ 65,373  

 

The following table sets forth our long-lived assets by geographic area, which consist of property and equipment, net, and operating lease right-of-use assets:

 

 

(in thousands)   2024     2023  
    As of December 31,  
(in thousands)   2024     2023  
United States   $ 2,459     $ 4,255  
Canada     4       4  
Europe     -       153  
Total long-lived assets   $ 2,463     $ 4,412  

 

See “Note 8—Supplemental Financial Statement Information” for goodwill by reportable segment.