v3.26.3
REPORTABLE SEGMENTS (Tables)
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
SCHEDULE OF REPORTABLE SEGMENTS INFORMATION

The following table presents the reportable segments information for the nine months ended September 30, 2026:

  

   DTC   OEM   Other   Total 
                 
Net Sales  $12,981   $21,306   $750(1)  $35,037 
                     
Reconciliation of Net Sales                    
Reconciling items                  - 
Consolidated Net Sales                 $35,037 
                     
Direct material   8,447    12,857    -    21,304 
Direct labor   1,021    1,183    -    2,204 
Direct overhead and depreciation   1,016    1,175    -    2,191 
                     
Total Cost of Goods Sold   10,484    15,215    -    25,699 
                     
Gross profit   2,497    6,091    750    9,338 
                     
Operating Expenses                    
Research & development   -    -    2,261(2)   2,261 
Sales tax adjustment   5    -    -    5 
Credit card & amazon transaction fees   235    -    -    235 
Other general & administrative   -    -    13,971(3)   13,971 
Shipping   970    539    -    1,509 
Sales and marketing stock compensation   28    147    -    175 
Sales and marketing wages   483    764    -    1,247 
Marketing spend   1,471    155    -    1,626 
Rent   42    13    -    55 
Unallocated sales and marketing stock compensation   -    -    69(4)   69 
Unallocated sales and marketing wages   -    -    556(4)   556 
Other sales & marketing   -    -    308(4)   308 
                     
Total Operating Expenses   3,234    1,618    17,165    22,017 
                     
Income (Loss) from operations   (737)   4,473    (16,415)   (12,679)
                     
Other income   -    -    534    534 
Interest expense, net   -    -    (4,775)   (4,775)
Change in FMV of warrant liability   -    -    370    370 
                     
Total Other Income (Expense)   -    -    (3,871)(5)   (3,871)
                     
Net Income (Loss) Before Taxes   (737)   4,473    (20,286)   (16,550)
                     
Income Tax Benefit   -    -    -    - 
                     
Net Income (Loss)  $(737)  $4,473   $(20,286)  $(16,550)
                     
Reconciliation of net loss                    
Reconciling items                  - 
Consolidated net loss                 $(16,550)

 

(1)Licensing Revenue which is not considered a segment as it is currently immaterial
(2)Research and Development expenses including employee costs related to new products
(3)Administrative and Engineering employee costs along with legal, insurance, professional fees related to administration and other general office expenses
(4)General sales and marketing employee cost and other marketing expenses
(5)Other income, primarily consisting of grant income, interest expense related to debt and change in fair market value of warrant liability
 

 

The following table presents the reportable segments information for the nine months ended September 30, 2025:

 

   DTC   OEM   Other   Total 
                 
Net Sales  $16,001   $28,820   $750(1)  $45,571 
                     
Reconciliation of Net Sales                    
Reconciling items                  - 
Consolidated Net Sales                 $45,571 
                     
Direct material   9,340    17,070    -    26,410 
Direct labor   1,104    1,497    -    2,601 
Direct overhead and depreciation   1,395    1,896    -    3,291 
                     
Total Cost of Goods Sold   11,839    20,463    -    32,302 
                     
Gross profit   4,162    8,357    750    13,269 
                     
Operating Expenses                    
Research & development   -    -    2,277(2)   2,277 
Sales tax adjustment   2    -    -    2 
Credit card & amazon transaction fees   383    -    -    383 
Other general & administrative   -    -    15,890(3)   15,890 
Shipping   1,439    821    -    2,260 
Sales and marketing stock compensation   29    104    -    133 
Sales and marketing wages   550    943    -    1,493 
Marketing spend   1,892    175    -    2,067 
Rent   42    13    -    55 
Unallocated sales and marketing stock compensation   -    -    46(4)   46 
Unallocated sales and marketing wages   -    -    1,033(4)   1,033 
Other sales & marketing   -    -    603(4)   603 
                     
Total Operating Expenses   4,337    2,056    19,849    26,242 
                     
Income (Loss) from operations   (175)   6,301    (19,099)   (12,973)
                     
Interest expense, net   -    -    (16,552)   (16,552)
Change in FMV of warrant liability   -    -    4,624    4,624 
                     
Total Other Income (Expense)   -    -    (11,928)(5)   (11,928)
                     
Net Income (Loss) Before Taxes   (175)   6,301    (31,027)   (24,901)
                     
Income Tax Benefit   -    -    -    - 
                     
Net Income (Loss)  $(175)  $6,301   $(31,027)  $(24,901)
                     
Reconciliation of net loss                    
Reconciling items                  - 
Consolidated net loss                 $(24,901)
 

 

(1)Licensing Revenue which is not considered a segment as it is currently immaterial
(2)Research and Development expenses including employee costs related to new products
(3)Administrative and Engineering employee costs along with legal, insurance, professional fees related to administration and other general office expenses
(4)General sales and marketing employee cost and other marketing expenses
(5)Interest expense related to debt and change in fair market value of warrant liability
 

 

The following table presents the reportable segments information for the three months ended September 30, 2026:

 

   DTC   OEM   Other   Total 
                 
Net Sales  $4,802   $7,122   $250(1)  $12,174 
                     
Reconciliation of Net Sales                    
Reconciling items                  - 
Consolidated Net Sales                 $12,174 
                     
Direct material   3,214    4,453    -    7,667 
Direct labor   314    374    -    688 
Direct overhead and depreciation   243    291    -    534 
                     
Total Cost of Goods Sold   3,771    5,118    -    8,889 
                     
Gross profit   1,031    2,004    250    3,285 
                     
Operating Expenses                    
Research & development   -    -    633(2)   633 
Sales tax adjustment   2    -    -    2 
Credit card & amazon transaction fees   69    -    -    69 
Other general & administrative   -    -    5,041(3)   5,041 
Shipping   272    207    -    479 
Sales and marketing stock compensation   13    36    -    49 
Sales and marketing wages   136    209    -    345 
Marketing spend   385    36    -    421 
Rent   13    4    -    17 
Unallocated sales and marketing stock compensation   -    -    19(4)   19 
Unallocated sales and marketing wages   -    -    176(4)   176 
Other sales & marketing   -    -    87(4)   87 
                     
Total Operating Expenses   890    492    5,956    7,338 
                     
Income (Loss) from operations   141    1,512    (5,706)   (4,053)
                     
Other income   -    -    411    411 
Interest expense, net   -    -    (1,774)   (1,774)
Change in FMV of warrant liability   -    -    (123)   (123)
                     
Total Other Income (Expense)   -    -    (1,486)(5)   (1,486)
                     
Net Income (Loss) Before Taxes   141    1,512    (7,192)   (5,539)
                     
Income Tax Benefit   -    -    -    - 
                     
Net Income (Loss)  $141   $1,512   $(7,192)  $(5,539)
                     
Reconciliation of net loss                    
Reconciling items                  - 
Consolidated net loss                 $(5,539)

 

 

(1)Licensing Revenue which is not considered a segment as it is currently immaterial
(2)Research and Development expenses including employee costs related to new products
(3)Administrative and Engineering employee costs along with legal, insurance, professional fees related to administration and other general office expenses
(4)General sales and marketing employee cost and other marketing expenses
(5)Other income, primarily consisting of grant income, interest expense related to debt, and change in fair market value of warrant liability
 

 

The following table presents the reportable segments information for the three months ended September 30, 2025:

 

   DTC   OEM   Other   Total 
                 
Net Sales  $5,038   $10,679   $250(1)  $15,967 
                     
Reconciliation of Net Sales                    
Reconciling items                  - 
Consolidated Net Sales                 $15,967 
                     
Direct material   2,852    6,317    -    9,169 
Direct labor   412    510    -    922 
Direct overhead and depreciation   510    630    -    1,140 
                     
Total Cost of Goods Sold   3,774    7,457    -    11,231 
                     
Gross profit   1,264    3,222    250    4,736 
                     
Operating Expenses                    
Research & development   -    -    585(2)   585 
Sales tax adjustment   50    -    -    50 
Credit card & amazon transaction fees   125    -    -    125 
Other general & administrative   -    -    5,124(3)   5,124 
Shipping   628    242    -    870 
Sales and marketing stock compensation   11    29    -    40 
Sales and marketing wages   176    277    -    453 
Marketing spend   569    56    -    625 
Rent   14    4    -    18 
Unallocated sales and marketing stock compensation   -    -    15(4)   15 
Unallocated sales and marketing wages   -    -    409(4)   409 
Other sales & marketing   -    -    200(4)   200 
                     
Total Operating Expenses   1,573    608    6,333    8,514 
                     
Income (Loss) from Operations   (309)   2,614    (6,083)   (3,778)
                     
Other income (expense)   -    -    -    - 
Interest expense, net   -    -    (6,409)(5)   (6,409)
Change in FMV of warrant liability   -    -    (883)(5)   (883)
                     
Total Other Income (Expense)   -    -    (7,292)   (7,292)
                     
Net Income (Loss) before taxes   (309)   2,614    (13,375)   (11,070)
                     
Income Tax Benefit   -    -    -    - 
                     
Net Income (Loss)  $(309)  $2,614   $(13,375)  $(11,070)
                     
Reconciliation of net loss                    
Reconciling items                  - 
Consolidated net loss                 $(11,070)

 

 

(1)Licensing Revenue which is not considered a segment as it is currently immaterial
(2)Research and Development expenses including employee costs related to new products
(3)Administrative and Engineering employee costs along with legal, insurance, professional fees related to administration and other general office expenses
(4)General sales and marketing employee cost and other marketing expenses
(5)Interest expense related to debt and change in fair market value of warrant liability