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SEGMENT AND GEOGRAPHIC INFORMATION
 3 Months Ended
Mar. 31, 2025
SEGMENT AND GEOGRAPHIC INFORMATION  
SEGMENT AND GEOGRAPHIC INFORMATION

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NOTE 13. SEGMENT AND GEOGRAPHIC INFORMATION

The Company has organized its business as a single reportable segment (“Reporting Segment”), tobacco, as it operates and derives all revenues from its tobacco operations and products. This segment structure reflects the financial information and reports used by the Company’s management, specifically its Chief Operating Decision Maker (“CODM”), to make decisions regarding the Company’s business, including resource allocations and performance assessments. The Company’s Chief Executive Officer serves as the CODM. The accounting policies of the Reporting Segment are the same as those described in the summary of significant accounting policies. See Note 1 for additional information about the Company's business and significant accounting policies.

Consolidated net income (loss) from continuing operations, as presented on the Company's Consolidated Statements of Operations and Comprehensive Loss is a metric utilized by the CODM to assess the Reporting Segment's performance and allocate resources. Total consolidated assets, excluding assets held for sale, as presented on the Company's Consolidated Balance Sheets is used to measure the Reporting Segment's assets.

The CODM uses Consolidated net income (loss) from continuing operations to evaluate profitability generated from segment assets in determining the strategic decisions of the Company with respect to utilizing its assets. Consolidated net income (loss) from continuing operations is also used to monitor budget versus actual results.

The following table presents revenues and significant segment expenses from continuing operations for the three months ended March 31, 2025 and 2024:

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Three Months Ended

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March 31, 

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2025

    

2024

Consolidated net revenue

$

5,956

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$

6,469

Less:

 

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​

 

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Cost of goods sold

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2,761

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​

4,069

Excise taxes

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3,681

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​

3,385

Selling, general and administration

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1,799

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​

2,885

Research and development

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61

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​

324

Depreciation and amortization (1)

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224

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​

267

Other segment items (2)

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146

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(27)

Interest expense

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558

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​

1,016

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​

​

​

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Segment net loss from continuing operations

$

(3,274)

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$

(5,450)

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​

​

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(1) For the three months ended March 31, 2025, depreciation and amortization was recognized as cost of goods sold of $123 and research and development of $101. For the three months ended March 31, 2024, depreciation and amortization was recognized as cost of goods sold of $145, sales, general and administrative of $21 and research and development of $101.

(2) Other segment items include: other operating expenses, other (income) expense, interest income, and provision for income taxes.

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Geographic Area Information

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For the three months ended March 31, 2025 and 2024, substantially all third-party sales of product are shipped to customers in the United States. Additionally, as of March 31, 2025 and December 31, 2024, all long-lived assets are physically located or domiciled in the United States.