Quarterly report pursuant to Section 13 or 15(d)

Supplemental Financial Statement Information

v3.21.2
Supplemental Financial Statement Information
 6 Months Ended
Jun. 30, 2021
Payables and Accruals [Abstract]  
Supplemental Financial Statement Information SUPPLEMENTAL FINANCIAL STATEMENT INFORMATION
Assets Held for Sale
An asset group classified as held for sale is reflected at the lower of its carrying amount or estimated fair value less cost to sell. If the carrying amount of the assets exceeds its estimated fair value, a loss is recognized. We recorded approximately $0.2 million and $0.9 million of machinery held for sale within "Assets Held for Sale" as of June 30, 2021 and December 31, 2020, respectively. We completed the sale of approximately $0.7 million of machinery during the second quarter, and are actively seeking a buyer and expect to complete the sale of the remaining machinery held for sale by the end of 2021. We recognized no impairment charges during the three and six months ended June 30, 2021 or 2020.
Other Current Assets
The following table summarizes the composition of other current assets as of the dates indicated:
(in thousands) June 30, 2021 December 31, 2020
Other current assets:
VAT refund receivable $ 150  $ 4,391 
Prepaid expenses 1,433  1,542 
Indemnification receivable, net —  921 
Other 3,231  4,038 
$ 4,814  $ 10,892 
Accrued Expenses and Other Current Liabilities
The following table summarizes the composition of accrued expenses and other current liabilities as of the dates indicated:
(in thousands) June 30, 2021 December 31, 2020
Accrued expenses and other current liabilities:
VAT payable $ 3,287  $ 9,882 
Contingent consideration 1,169  — 
Payroll related including bonus 1,294  2,361 
Accrued professional fees 3,509  1,750 
Accrued third-party logistics fees 47  1,295 
Refund liability 742  785 
Current portion of long-term debt 1,407  182 
Other 3,604  3,317 
$ 15,059  $ 19,572 
Customer Deposits
For certain product offerings such as premium, patented, child-resistant packaging, closed-system vaporization solutions and custom-branded retail products. We generally receive a deposit from the customer (generally 50% of the total order cost, but the amount can vary by customer contract), when an order is placed by a customer. We typically complete orders related to customer deposits within one to three months from the date of order, depending on the complexity of the customization and the size of the order. Changes in our customer deposits liability balance during the six months ended June 30, 2021 were as follows:
(in thousands) Customer Deposits
Balance as of December 31, 2020 $ 2,729 
Increases due to deposits received, net of other adjustments 2,718 
Revenue recognized (2,765)
Balance as of June 30, 2021 $ 2,682 

Accumulated Other Comprehensive Income (Loss)
The components of accumulated other comprehensive income (loss) for the periods presented were as follows:
(in thousands) Foreign Currency Translation Unrealized Loss on Derivative Instrument Total
Balance at December 31, 2020 $ 183  $ (154) $ 29 
Other comprehensive income (loss) 88  204  $ 292 
Less: Other comprehensive (income) loss attributable to non-controlling interest (48) (130) $ (178)
Balance at June 30, 2021 $ 223  $ (80) $ 143 
(in thousands) Foreign Currency Translation Unrealized Loss on
Derivative Instrument		 Total
Balance at December 31, 2019 $ (22) $ (50) $ (72)
Other comprehensive loss (156) (559) (715)
Less: Other comprehensive loss attributable to non-controlling interest 122  425  547 
Balance at June 30, 2020 $ (56) $ (184) $ (240)

Supplier Concentration
Our 4 largest vendors accounted for an aggregate of approximately 38.3% and 37.5% of our total net sales and 46.8% and 44.6% of our total purchases for the three and six months ended June 30, 2021, respectively, and an aggregate of approximately 28.0% and 27.9% of our total net sales and 39.1% and 31.1% of our total purchases for the three and six months ended June 30, 2020, respectively. We expect to maintain our existing relationships with these vendors.