| SCHEDULE OF SEGMENT NET REVENUES |
Segment net revenues, segment operating expenses and segment contribution information consisted of the following: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, 2026 | | Three Months Ended June 30, 2025 | | Branded | | Compounding | | Consolidated | | Branded | | Compounding | | Consolidated | | Product sales, net | $ | 56,015,000 | | | $ | 14,556,000 | | | $ | 70,571,000 | | | $ | 42,189,000 | | | $ | 21,468,000 | | | $ | 63,657,000 | | | Other revenues | 90,000 | | | — | | | 90,000 | | | 85,000 | | | — | | | 85,000 | | | Total revenues | 56,105,000 | | | 14,556,000 | | | 70,661,000 | | | 42,274,000 | | | 21,468,000 | | | 63,742,000 | | | Cost of sales | 13,434,000 | | | 6,864,000 | | | 20,298,000 | | | 8,734,000 | | | 7,496,000 | | | 16,230,000 | | | Gross profit | 42,671,000 | | | 7,692,000 | | | 50,363,000 | | | 33,540,000 | | | 13,972,000 | | | 47,512,000 | | | Operating expenses | | | | | | | | | | | | | Selling, general and administrative | 36,177,000 | | | 7,009,000 | | | 43,186,000 | | | 20,330,000 | | | 7,098,000 | | | 27,428,000 | | | Research and development | 7,674,000 | | | 339,000 | | | 8,013,000 | | | 2,390,000 | | | 442,000 | | | 2,832,000 | | | Segment contribution | $ | (1,180,000) | | | $ | 344,000 | | | (836,000) | | | $ | 10,820,000 | | | $ | 6,432,000 | | | 17,252,000 | | | | | | | | | | | | | | | Corporate | | | | | 10,112,000 | | | | | | | 5,807,000 | | | Research and development | | | | | 59,000 | | | | | | | 36,000 | | | Loss from operations | | | | | $ | (11,007,000) | | | | | | | $ | 11,409,000 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Six Months Ended June 30, 2026 | | Six Months Ended June 30, 2025 | | Branded | | Compounding | | Consolidated | | Branded | | Compounding | | Consolidated | | Product sales, net | $ | 86,646,000 | | | $ | 28,055,000 | | | $ | 114,701,000 | | | $ | 69,883,000 | | | $ | 41,519,000 | | | $ | 111,402,000 | | | Other revenues | 163,000 | | | — | | | 163,000 | | | 171,000 | | | — | | | 171,000 | | | Total revenues | 86,809,000 | | | 28,055,000 | | | 114,864,000 | | | 70,054,000 | | | 41,519,000 | | | 111,573,000 | | | Cost of sales | 24,389,000 | | | 13,067,000 | | | 37,456,000 | | | 16,915,000 | | | 14,839,000 | | | 31,754,000 | | | Gross profit | 62,420,000 | | | 14,988,000 | | | 77,408,000 | | | 53,139,000 | | | 26,680,000 | | | 79,819,000 | | | Operating expenses | | | | | | | | | | | | | Selling, general and administrative | 62,075,000 | | | 14,050,000 | | | 76,125,000 | | | 41,012,000 | | | 14,620,000 | | | 55,632,000 | | | Research and development | 13,295,000 | | | 549,000 | | | 13,844,000 | | | 4,383,000 | | | 666,000 | | | 5,049,000 | | | Segment contribution | $ | (12,950,000) | | | $ | 389,000 | | | (12,561,000) | | | $ | 7,744,000 | | | $ | 11,394,000 | | | 19,138,000 | | | | | | | | | | | | | | | Corporate | | | | | 20,403,000 | | | | | | | 18,116,000 | | | Research and development | | | | | 123,000 | | | | | | | 845,000 | | | Loss from operations | | | | | $ | (33,087,000) | | | | | | | $ | 177,000 | |
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| SCHEDULE OF REVENUES BY SEGMENT |
Revenues by segment are further described as follows: | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended June 30, | | Six Months Ended June 30, | | 2026 | | 2025 | | 2026 | | 2025 | | IHEEZO | $ | 15,619,000 | | | $ | 18,336,000 | | | $ | 17,535,000 | | | $ | 23,558,000 | | | VEVYE | 29,387,000 | | | 18,641,000 | | | 50,335,000 | | | 40,156,000 | | | Other branded products | 11,009,000 | | | 5,212,000 | | | 18,776,000 | | | 6,169,000 | | | Other revenues | 90,000 | | | 85,000 | | | 163,000 | | | 171,000 | | | Branded revenue, net | 56,105,000 | | | 42,274,000 | | | 86,809,000 | | | 70,054,000 | | | Compounding revenue, net | 14,556,000 | | | 21,468,000 | | | 28,055,000 | | | 41,519,000 | | | Total revenues, net | $ | 70,661,000 | | | $ | 63,742,000 | | | $ | 114,864,000 | | | $ | 111,573,000 | |
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