| SEGMENTS |
SEGMENTS The Company operates as one operating segment. The Company's chief operating decision maker ("CODM") is its Chief Executive Officer, who reviews financial information presented on a consolidated basis. The CODM uses consolidated gross margin and net income to assess financial performance and allocate resources. These financial metrics are used by the CODM to make key operating decisions, such as the determination of the rate at which the Company seeks to grow gross margin and the allocation of budget between cost of revenues, sales and marketing, research and development, and general and administrative expenses. The following table presents selected financial information with respect to the Company’s single operating segment for the 13-week and 26-week periods ended June 28, 2026 and June 29, 2025: | | | | | | | | | | | | | | | | | | | | | | | | | For the thirteen weeks ended | | For the twenty-six weeks ended | | June 28, 2026 | | June 29, 2025 | | June 28, 2026 | | June 29, 2025 | | Net sales | $ | 172,007 | | | $ | 166,661 | | | $ | 319,337 | | | $ | 319,705 | | | Cost of goods sold | 101,463 | | | 97,103 | | | 188,057 | | | 186,059 | | | Gross profit | 70,544 | | | 69,558 | | | 131,280 | | | 133,646 | | | Selling, general, and administrative | 40,427 | | | 32,954 | | | 75,829 | | | 69,653 | | | Research and development costs | 3,740 | | | 5,086 | | | 7,736 | | | 9,179 | | | Amortization of intangible assets | 3,416 | | | 3,350 | | | 6,844 | | | 6,882 | | | Loss on sale of assets | 28,259 | | | — | | | 28,224 | | | — | | | Restructuring costs | 840 | | | 355 | | | 1,715 | | | 818 | | | Other operating (income) expense | (8,903) | | | 299 | | | (9,341) | | | 257 | | | Total operating expense | 67,779 | | | 42,044 | | | 111,007 | | | 86,789 | | | Operating income | 2,765 | | | 27,514 | | | 20,273 | | | 46,857 | | | Change in fair value of warrant liability | (548) | | | (7) | | | (1,579) | | | (80) | | | Change in fair value of earn-out liability | (1,258) | | | (219) | | | (1,772) | | | (404) | | | | | | | | | | | Interest expense, net | 8,201 | | | 13,374 | | | 18,119 | | | 29,082 | | | Total non-operating expense | 6,395 | | | 13,148 | | | 14,768 | | | 28,598 | | | Income (loss) before income taxes | (3,630) | | | 14,366 | | | 5,505 | | | 18,259 | | | Income tax (benefit) expense | (1,200) | | | 3,503 | | | 679 | | | 4,579 | | | Net income (loss) | $ | (2,430) | | | $ | 10,863 | | | $ | 4,826 | | | $ | 13,680 | |
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