| Revenue from Contract with Customer [Text Block] |
15. Revenue Recognition
As reflected in the table below, in accordance with ASC Topic 606, Revenue from Contracts with Customers, the Company disaggregates net sales from contracts with customers based on the characteristics of the products sold:
| |
|
Three Months Ended June 30, |
|
| |
|
2026 |
|
|
2025 |
|
| |
|
$ |
|
|
% of Total |
|
|
$ |
|
|
% of Total |
|
| Coffee solutions |
|
$ |
12,913,036 |
|
|
|
31 |
% |
|
$ |
10,378,014 |
|
|
|
87 |
% |
| Functional foods |
|
|
13,818,958 |
|
|
|
33 |
% |
|
|
3,238,903 |
|
|
|
27 |
% |
| Superfood ingredients |
|
|
20,249,242 |
|
|
|
49 |
% |
|
|
61,681 |
|
|
|
1 |
% |
| Gross sales |
|
|
46,981,236 |
|
|
|
113 |
% |
|
|
13,678,598 |
|
|
|
115 |
% |
| Shipping income |
|
|
130,551 |
|
|
|
0 |
% |
|
|
138,073 |
|
|
|
1 |
% |
| Discounts and promotional activity |
|
|
(5,817,603 |
) |
|
|
(13 |
)% |
|
|
(1,825,829 |
) |
|
|
(16 |
)% |
| Sales, net |
|
$ |
41,294,184 |
|
|
|
100 |
% |
|
$ |
11,990,842 |
|
|
|
100 |
% |
| |
|
Six Months Ended June 30, |
|
| |
|
2026 |
|
|
2025 |
|
| |
|
$ |
|
|
% of Total |
|
|
$ |
|
|
% of Total |
|
| Coffee solutions |
|
$ |
24,606,365 |
|
|
|
45 |
% |
|
$ |
20,313,914 |
|
|
|
86 |
% |
| Functional foods |
|
|
16,732,575 |
|
|
|
30 |
% |
|
|
6,786,649 |
|
|
|
29 |
% |
| Superfood ingredients |
|
|
22,125,508 |
|
|
|
40 |
% |
|
|
120,168 |
|
|
|
1 |
% |
| Gross sales |
|
|
63,464,448 |
|
|
|
115 |
% |
|
|
27,220,731 |
|
|
|
116 |
% |
| Shipping income |
|
|
245,630 |
|
|
|
0 |
% |
|
|
260,347 |
|
|
|
1 |
% |
| Discounts and promotional activity |
|
|
(8,474,342 |
) |
|
|
(15 |
)% |
|
|
(3,836,077 |
) |
|
|
(17 |
)% |
| Sales, net |
|
$ |
55,235,736 |
|
|
|
100 |
% |
|
$ |
23,645,001 |
|
|
|
100 |
% |
The Company generates revenue through two channels: e-commerce and wholesale, which is summarized below for the periods presented:
| |
|
Three Months Ended June 30, |
|
| |
|
2026 |
|
|
2025 |
|
| |
|
$ |
|
|
% of Total |
|
|
$ |
|
|
% of Total |
|
| E-commerce |
|
$ |
20,036,590 |
|
|
|
49 |
% |
|
$ |
6,237,344 |
|
|
|
52 |
% |
| Wholesale |
|
|
21,257,594 |
|
|
|
51 |
% |
|
|
5,753,498 |
|
|
|
48 |
% |
| Sales, net |
|
$ |
41,294,184 |
|
|
|
100 |
% |
|
$ |
11,990,842 |
|
|
|
100 |
% |
| |
|
Six Months Ended June 30, |
|
| |
|
2026 |
|
|
2025 |
|
| |
|
$ |
|
|
% of Total |
|
|
$ |
|
|
% of Total |
|
| E-commerce |
|
$ |
26,587,499 |
|
|
|
48 |
% |
|
$ |
12,450,460 |
|
|
|
53 |
% |
| Wholesale |
|
|
28,648,237 |
|
|
|
52 |
% |
|
|
11,194,541 |
|
|
|
47 |
% |
| Sales, net |
|
$ |
55,235,736 |
|
|
|
100 |
% |
|
$ |
23,645,001 |
|
|
|
100 |
% |
Receivables from contracts with customers, net of estimated allowances for credit losses from non-payment as well as for trade promotional contracts with wholesale customers, are included in accounts receivable. Contract liabilities include deferred revenue, customer deposits, rewards programs, and refund liabilities, and are included in accrued expenses. All contract liabilities as of December 31, 2025, were recognized in net sales during the six months ended June 30, 2026. For the periods presented below, the balances of receivables from contracts with customers and contract liabilities were as follows:
| |
|
January 1, |
|
|
December 31, |
|
|
June 30, |
|
| |
|
2025 |
|
|
2025 |
|
|
2026 |
|
| Accounts receivable, net |
|
$ |
1,762,911 |
|
|
$ |
3,899,205 |
|
|
$ |
10,783,385 |
|
| Contract liabilities |
|
$ |
(348,869 |
) |
|
$ |
(309,953 |
) |
|
$ |
(404,973 |
) |
|