v3.26.1
Inventory, Net
3 Months Ended
Mar. 31, 2026
Inventory Disclosure [Abstract]  
Inventory, Net
4.
INVENTORY, NET

The components of inventory, net were as follows:

 

 

March 31,

 

 

December 31,

 

(in thousands)

 

2026

 

 

2025

 

Product inventory – Pellets

 

$

6,568

 

 

$

6,694

 

Pellets in process

 

 

799

 

 

 

1,524

 

Raw materials

 

 

883

 

 

 

556

 

Less: Obsolete and expired pellet allowance

 

 

(2,096

)

 

 

(3,153

)

Pellet inventory, net

 

 

6,154

 

 

 

5,621

 

Product inventory – Dietary supplements

 

 

10,308

 

 

 

10,085

 

Raw materials

 

 

3,723

 

 

 

3,723

 

Less: Obsolete and expired dietary supplement allowance

 

 

(304

)

 

 

(365

)

Dietary supplement inventory, net

 

 

13,727

 

 

 

13,443

 

Inventory, net

 

$

19,881

 

 

$

19,064

 

On January 26, 2026, the Company announced its subsidiary, Asteria Health, issued a voluntary recall of specific lots of hormone pellets shipped by Asteria Health between May 20, 2025 and January 19, 2026 due to the potential presence of metal particulate matter (the “January 2026 Voluntary Recall”). The Company evaluated its pellet inventory on hand as of the date of the recall, and determined the pellet inventory lots impacted by the recall were impaired as of December 31, 2025. As a result, the Company recorded an impairment charge of $1.3 million to write-down the impacted pellet inventory to net realizable value, which is reflected in inventory, net on the unaudited condensed consolidated balance sheet for the year ended December 31, 2025. The Company did not record any additional recall-related impairment charges to its pellet inventory during the three months ended March 31, 2026.