v3.26.1
Revenue
3 Months Ended
Mar. 31, 2026
Revenue [Abstract]  
Revenue

Note 2 — Revenue

 

Revenue

 

The Company generates revenue from continuing operations from Non-licensing Revenue and Licensing Revenue.

 

For the three months ended March 31, 2026, the Company generated revenue from continuing operations from hemp-derived product sales (Non-licensing Revenue) and sales-based Licensing Revenue. Hemp-derived product sales revenue is recognized at a point-in-time when control transfers to the customer. Licensing Revenue is recognized over time as the underlying sales occur in accordance with the terms of the related party license agreements. For the three months ended March 31, 2025, all of the Company’s revenue from continuing operations is transferred at a point-in-time and relates to hemp-derived beverages.

 

The following table provides the Company’s revenue from continuing operations disaggregated by revenue type:

 

   Three months ended
March 31,
 
(In thousands)  2026   2025 
Non-licensing Revenue  $3,311   $538 
Licensing Revenue   9,975    
 
Total revenue  $13,286   $538 

 

In accordance with ASC 606-10-50-13, the Company is required to include disclosure on its remaining performance obligations as of the end of the current reporting period. As of March 31, 2026, the aggregate amount of contractual Licensing Revenue allocated to remaining performance obligations is approximately $308.4 million. This represents fixed fees through August 27, 2030, reflecting the period prior to which neither party may terminate unilaterally; mutual termination remains available throughout the term. The Company expects to recognize this amount as revenue ratably over that period. The Company excluded variable consideration related to CPI-based fee escalators from the total remaining performance obligations.