v3.26.1
SEGMENT INFORMATION
6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
SEGMENT INFORMATION SEGMENT INFORMATION
The Company's chief operating decision maker (“CODM”) is its Chief Executive Officer. The CODM reviews geographically segmented data as well as consolidated results on a monthly basis to evaluate performance and make resource allocation decisions. Each geographical segment exhibits similar economic characteristics, shares common products and services, has similar customer types, and uses similar distribution methods. As a result, these segments have been aggregated into a single reportable segment in accordance with the aggregation criteria under ASC 280, Segment Reporting.
The CODM reviews balance sheet information on a consolidated basis which is reflected in the Company's Condensed Consolidated Balance Sheets as of June 30, 2026 and December 31, 2025. The CODM uses gross margin and income from operations to evaluate return on total assets in deciding whether to invest in the development and expansion of our condensed consolidated operations or into strategic transactions, such as acquisitions. Both metrics are also used to monitor budget versus actual results, perform competitive benchmarking analyses, and are considered in evaluating our executives’ compensation.
The following table presents our significant expense categories included in our reported measure of segment profitability for the periods set forth below (in thousands):
Three Months Ended
June 30,
Six Months Ended
June 30,
2026202520262025
Total revenue$143,053 $124,713 $260,407 $228,518 
Less:
Direct product costs65,462 58,190 117,828 106,630 
Direct non-product costs14,451 13,006 28,209 24,475 
Gross margin
63,140 53,517 114,370 97,413 
Less:
Personnel costs17,976 15,129 34,952 29,374 
Sales and marketing costs4,850 3,074 10,333 6,758 
Facility expenses3,174 2,782 6,578 5,454 
Depreciation and amortization3,382 2,544 6,451 5,054 
Travel and entertainment2,452 1,767 4,754 4,517 
Information technology2,120 1,610 4,026 3,158 
Professional fees2,032 2,022 4,354 3,678 
Shipping1,069 1,529 2,098 2,678 
Other2,870 3,762 4,598 6,324 
Income from operations23,215 19,298 36,226 30,418 
Interest expense262 266 83 
Income tax expense5,053 4,122 7,836 6,816 
Foreign currency exchange gain
(403)(1,039)(683)(1,275)
Net income$18,303 $16,208 $28,807 $24,794