v3.26.1
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting

14. Segment Reporting

The Company has one operating and reportable segment, which derives revenue primarily from the sale of Zola coconut water. The Company's Chief Executive Officer is the Company’s chief operating decision maker ("CODM"). The CODM uses net (loss) income for purposes of evaluating performance, forecasting future period financial results, allocating resources and setting incentive targets. The CODM evaluates segment business performance based primarily on consolidated net (loss) income (from continuing operations) as reported on the consolidated statements of operations and comprehensive loss. The CODM considers budget-to-actual variances on a monthly basis for net (loss) income when making decisions. Segment assets provided to the CODM are consistent with those reported on the condensed consolidated balance sheets.

Information about the Company’s segment operations is as follows (in thousands):

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Total revenues

 

$

1,443

 

 

$

1,455

 

 

$

2,543

 

 

$

2,655

 

Product COGS

 

 

(797

)

 

 

(806

)

 

 

(1,497

)

 

 

(1,375

)

Other Adjustments

 

 

(15

)

 

 

(18

)

 

 

(15

)

 

 

(131

)

Human capital and technology

 

 

(261

)

 

 

(552

)

 

 

(672

)

 

 

(1,016

)

Corporate expenses

 

 

(353

)

 

 

(404

)

 

 

(597

)

 

 

(806

)

Advertising and marketing

 

 

(5

)

 

 

(14

)

 

 

(9

)

 

 

(25

)

Outside services

 

 

(225

)

 

 

(906

)

 

 

(440

)

 

 

(1,495

)

Depreciation

 

 

—

 

 

 

(15

)

 

 

(8

)

 

 

(28

)

Other SG&A

 

 

(283

)

 

 

(232

)

 

 

(580

)

 

 

(491

)

Interest income

 

 

2

 

 

 

9

 

 

 

7

 

 

 

216

 

Credit loss

 

 

—

 

 

 

(4,489

)

 

 

—

 

 

 

(4,489

)

Loss on January 2026 Inducement Offer

 

 

—

 

 

 

—

 

 

 

(2,877

)

 

 

—

 

Valuation loss on June 2026 PIPE

 

 

(5,423

)

 

 

—

 

 

 

(5,423

)

 

 

—

 

Change in fair value of common stock warrant and option liabilities

 

 

3,083

 

 

 

(548

)

 

 

4,274

 

 

 

1,314

 

Issuance and offering costs

 

 

(651

)

 

 

—

 

 

 

(1,072

)

 

 

—

 

Other segment items

 

 

(2,781

)

 

 

2,062

 

 

 

(4,285

)

 

 

3,812

 

Net (loss) income from continuing operations

 

$

(6,266

)

 

$

(4,458

)

 

$

(10,651

)

 

$

(1,859

)

Other segment items during the three and six months ended June 30, 2026 consist primarily of other (loss) income, net. Other segment items during the three and six months ended June 30, 2025 consist of research and development expenses, gain on sale of intangible assets, change in fair value of contingent consideration, and other (loss) income, net.