Discontinued Operations

12 Months Ended

Dec. 31, 2018

Discontinued Operations And Disposal Groups [Abstract]

NOTE 4—DISCONTINUED OPERATIONS

During the fourth quarter of 2018, the Company completed the closure of the verykool business segment that had been the legacy business of InfoSonics prior to the Merger. By December 31, 2018, the verykool product inventory was substantially liquidated, the trade name was sold, remaining assets consisted primarily of accounts receivable, and remaining liabilities consisted primarily of estimated warranty obligations and a $250,000 note payable to a vendor that was repaid in March 2019. The historical results of the verykool segment, including the impairment of goodwill assigned to the segment at the time of the Merger, are reported as discontinued operations in our consolidated financial statements for all periods from the merger through December 31, 2018. The results of discontinued operations for 2018 are as follows (in thousands):

	2018
Net sales	$	6,486
Cost of sales		6,876
Gross profit (loss)		(390	)
Selling, general and administrative expenses		1,457
Goodwill impairment		3,343
Operating loss		(5,190	)
Other income, net		39
Loss from discontinued operations before income taxes		(5,151	)
Provision for income taxes		(2	)
Net loss from discontinued operations	$	(5,153	)