In August 2025, the Company announced its plan to monetize the Brands segment through the sale of EveryLife and its Marketplace segment through a sale or by strategically repurposing its intellectual property to enhance its Financial Technology offerings. During the third quarter of 2025, the Company evaluated each divestiture individually and determined each represented a strategic shift and met held-for-sale and discontinued operations accounting criteria. Accordingly, the Company began to separately report the results of these segments as discontinued operations in its Condensed Consolidated Statements of Operations and presented the related assets and liabilities as held for sale in its Condensed Consolidated Balance Sheets.

Subsequent to September 30, 2025, the Company reassessed its plan to sell the Marketplace segment based on updated market conditions and expected transaction economics. As of December 31, 2025, the Company determined that the Marketplace disposal group no longer met the criteria for classification as held for sale. Accordingly, the Marketplace assets were reclassified as held for use in accordance with ASC 360-10 and evaluated for recoverability. As a result of this evaluation, the Company recorded an impairment loss of $3.6 million during the fourth quarter of 2025 to write off the remaining carrying value of the Marketplace capitalized software asset. The Marketplace assets are no longer presented as held for sale in the Consolidated Balance Sheets as of December 31, 2025. The exit of the Marketplace segment continues to be presented as discontinued operations, as it represents a strategic shift that has a major effect on the Company’s operations and financial results.

As of June 30, 2026, the Brands segment continues to meet the held-for-sale and discontinued operations accounting criteria. On July 28, 2026, the Company entered into a definitive agreement for the sale of EveryLife's assets to FreeHold Brands, LLC, at a purchase price of $5.5 million in cash, before transaction fees and customary adjustments. The transaction is expected to close by September 30, 2026, subject to customary closing conditions.

The assets and liabilities of the Brands segment continue to be presented as held for sale in the Condensed Consolidated Balance Sheets. The results of both the Marketplace and Brands segments are reported in the “Loss from discontinued operations, net of tax” line in the Condensed Consolidated Statements of Operations.

The following table summarizes the key components of the operating results of the discontinued operations within the Condensed Consolidated Statements of Operations for the three months ended June 30, 2026 and 2025:


	For the three months ended June 30, 2026				For the three months ended June 30, 2025
	Marketplace		Brands		Marketplace		Brands
Revenues, net	$	4,716	$	3,757,868	$	318,997	$	3,331,995
Cost of revenues (exclusive of depreciation and amortization shown below)	145		—		97,199		(1,399)
Cost of goods sold (exclusive of depreciation and amortization shown below)	—		2,894,153		11,541		2,219,749
Operating costs	2,371		1,202,557		1,502,925		2,360,515
Depreciation and amortization	—		—		279,915		35,025
Operating income/(loss)	2,200		(338,842)		(1,572,583)		(1,281,895)
Other expense, net	—		(41,144)		—		—
Income tax expense	—		—		(1,497)		(1,497)
Income/(Loss) from discontinued operations, net of tax	$	2,200	$	(379,986)	$	(1,574,080)	$	(1,283,392)

The following table summarizes the key components of the operating results of the discontinued operations within the Condensed Consolidated Statements of Operations for the six months ended June 30, 2026 and 2025:


	For the six months ended June 30, 2026				For the six months ended June 30, 2025
	Marketplace		Brands		Marketplace		Brands
Revenues, net	$	90,284	$	7,339,425	$	747,646	$	6,602,182
Cost of revenues (exclusive of depreciation and amortization shown below)	743		—		201,508		527
Cost of goods sold (exclusive of depreciation and amortization shown below)	1,344		5,139,427		11,953		4,292,611
Operating costs	44,653		2,460,614		2,993,714		4,458,628
Depreciation and amortization	—		—		549,176		70,050
Operating income/(loss)	43,544		(260,616)		(3,008,705)		(2,219,634)
Other expense, net	(15,000)		(119,004)		(22,629)		—
Income tax expense	—		—		(1,496)		(1,497)
Income/(Loss) from discontinued operations, net of tax	$	28,544	$	(379,620)	$	(3,032,830)	$	(2,221,131)


	June 30, 2026		December 31, 2025
Assets
Current assets:
Cash and cash equivalents	$	44,509	$	353,355
Accounts receivable, net	65,579		72,372
Inventory	2,059,371		2,665,203
Prepaid expenses and other current assets	386,837		215,986
Intangible assets, net	1,072,762		1,072,762
Deposits	—		28,243




Total assets held for sale	$	3,629,058	$	4,407,921

Liabilities
Current liabilities:
Accounts payable	$	931,968	$	854,889
Accrued expenses	750,485		357,183
Deferred revenue	673,550		1,399,969
Total liabilities held for sale	$	2,356,003	$	2,612,041