Inventories consist principally of raw materials, packaging, non-food finished goods and packaged meal replacements, protein powder, and supplements held in the Company’s warehouses and outsourced distribution centers. Inventories are stated at the lower of cost or net realizable value, utilizing the first-in, first-out method. The cost of finished goods includes the cost of raw materials, packaging supplies, direct and indirect labor, and other indirect manufacturing costs. On a quarterly basis, management reviews inventories for unsalable or obsolete inventories.


	June 30, 2025		December 31, 2024

Raw materials	$	7,700	$	6,704
Packaging	1,150		1,429
Non-food finished goods	1,459		2,031
Finished goods	22,199		33,702
Allowance for obsolete inventory	(2,307)		(1,445)
Total	$	30,201	$	42,421