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Segment Reporting
 3 Months Ended
Mar. 31, 2024
Segment Reporting [Abstract]  
Segment Reporting
NOTE 17 — Segment Reporting
Segment information is prepared on the same basis that the Company’s CEO, who is the chief operating decision maker (the CODM), manages the segments, evaluates financial results and makes key operating decisions. The Company’s CEO evaluates the financial performance of the Company based on two operating segments: Company-operated shops and Franchising and other. The Company-operated shops segment includes coffee shop sales to customers. The Franchising and other segment includes bean and product sales to franchise partners and includes the initial franchise fees, royalties, and marketing fees.
The CODM reviews segment performance and allocates resources based upon segment contribution, which is defined as segment gross profit before depreciation and amortization.
All segment revenue is earned in the United States, and there are no intersegment revenues. The CODM does not evaluate operating segments using discrete asset information, and we do not identify or allocate assets by operating segments.
Selling, general and administrative expenses primarily consist of the Company’s unallocated corporate expenses. Unallocated corporate expenses include corporate administrative functions that support the segments but are not directly attributable to or managed by any segment and are not included in the reported financial results of the segments.
No changes have been made to the Company’s segments during the three months ended March 31, 2024. In addition, no customer represented 10% or more of total revenue for the three months ended March 31, 2024 and 2023.
Financial information for the Company’s reportable segments was as follows for the periods presented:
 Three Months Ended March 31,
(in thousands)20242023
Revenues:
Company-operated shops$248,085 $173,164 
Franchising and other27,014 24,103 
Total revenues275,099 197,267 
Cost of sales:
Company-operated shops193,780 144,292 
Franchising and other9,546 7,231 
Total cost of sales203,326 151,523 
Segment contribution:
Company-operated shops73,999 41,873 
Franchising and other18,763 18,233 
Total segment contribution$92,762 $60,106 
Depreciation and amortization:
Company-operated shops19,694 13,001 
Franchising and other1,295 1,361 
Total depreciation and amortization20,989 14,362 
Selling, general and administrative(46,194)(45,976)
Interest expense, net(6,393)(7,886)
Other income, net
5,801 1,307 
Income (loss) before income taxes$24,987 $(6,811)