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SEGMENT REPORTING
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
SEGMENT REPORTING SEGMENT REPORTING
The Company has one reportable segment: OPTAVIA. Subsequent to the quarter ended June 30, 2026, the Company rebranded its OPTAVIA business to Trilivy. This segment will be shown as “Trilivy” in subsequent quarterly and annual filings. The segment derives revenues from clients through the sale of products which are shipped directly to clients. Our coaches help clients adopt healthy habits and learn the benefits of our products. The accounting policies of the Company's single segment are the same as those described in the Company's Significant Accounting Policies.

The Company’s chief operating decision maker (“CODM”) is the Chief Executive Officer. The CODM assesses performance for the segment and decides how to allocate resources based on net income (loss) that also is reported on the accompanying Unaudited Condensed Consolidated Statements of Operations as net income (loss). The measure of segment assets is reported on the Consolidated Balance Sheets as total assets. The CODM uses net income (loss) to evaluate the income (loss) generated from segment assets in deciding whether to reinvest profits into the segment or into other parts of the entity, such as for share buybacks. Net income (loss) is used to monitor budget versus actual results. The CODM also uses net income (loss) in competitive analysis by benchmarking to the Company’s competitors. The competitive analysis along with the monitoring of budgeted versus actual results are used in assessing performance of the segment and in establishing management’s compensation. The Company does not have significant intra-entity sales or transfers.

The OPTAVIA segment recognizes revenue when control of the products is transferred to the client. The segment pays commissions on the sale of products to coaches. The Company derives all of its revenue from sales within the United States and manages the business activities on a consolidated basis.

The following table presents the OPTAVIA segment's revenue, significant segment expenses, and segment net income (loss) for the three months ended June 30, 2026 and 2025, respectively:

June 30, 2026June 30, 2025
Revenue$76,384$105,555
Less:
Cost of sales22,988 28,911 
Selling, marketing, and after sales support34,739 50,485 
Distribution4,496 5,305 
Technology8,574 10,566 
Administrative and corporate support functions8,096 8,685 
Equity compensation1,818 2,669 
Other income (1)
(1,336)(3,941)
Provision for income taxes109 395 
Segment net income (loss)$(3,100)$2,480 
Reconciliation of profit or loss
Adjustments and reconciling items— — 
Consolidated net income (loss)$(3,100)$2,480 
(1) Other loss income included within Segment net income (loss) includes interest income, interest expense, and gains and losses on LifeMD common stock.
Segment depreciation expense of property, plant, and equipment for the three months ended June 30, 2026 and 2025 was $2.6 million and $3.1 million, respectively. Segment additions of property, plant, and equipment for the three months ended June 30, 2026, and 2025 were $1.0 million and $1.4 million, respectively.
The following table presents the OPTAVIA segment's revenue, significant segment expenses, and segment net income for the six months ended June 30, 2026 and 2025, respectively:
June 30, 2026June 30, 2025
Revenue$152,428$221,283
Less:
Cost of sales47,27660,395
Selling, marketing, and after sales support69,420110,340
Distribution7,9499,831
Technology17,88621,608
Administrative and corporate support functions13,80516,667
Equity compensation3,7144,771
Other income (1)
(2,690)(5,730)
Provision for income taxes2901,693
Segment net income (loss)$(5,222)$1,708
Reconciliation of profit or loss
Adjustments and reconciling items— — 
Consolidated net income (loss)
$(5,222)$1,708
(1) Other income included within Segment net income includes interest income, interest expense, and gains and losses on LifeMD common stock.
Segment depreciation expense of property, plant, and equipment for the six months ended June 30, 2026 and 2025 was $5.3 million and $5.4 million, respectively. Segment additions of property, plant, and equipment for the six months ended June 30, 2026 and 2025 were $2.1 million and $2.9 million, respectively.