Composition of Certain Financial Statement Items

12 Months Ended

Dec. 31, 2022

Condensed Consolidated Balance Sheet Components [Abstract]

Composition of Certain Financial Statement Items

Note 5. Composition of Certain Financial Statement Items

Inventories

Inventories consist of the following:


	December 31, 2022		December 31, 2021
	(in thousands)
Finished goods	$	70,407	$	101,446
Raw materials		845		487
Total inventories	$	71,252	$	101,933

The Company recorded $3.2 million and $5.2 million of inventory impairment related charges for the three and twelve months ended December 31, 2022, respectively, primarily due to the buildup of excess inventory in the distribution channels.

Property and Equipment, net

Property and equipment, net consists of the following:


	December 31, 2022			December 31, 2021
	(in thousands)
Machinery and equipment	$	2,373		$	2,255
Software and software development		2,396			2,404
Furniture and fixtures		1,713			1,257
Tooling		9,901			7,855
Leasehold improvements		2,050			1,794
Demonstration units and convention booths		15,379			14,493
Total property and equipment, gross		33,812			30,058
Less: accumulated depreciation and amortization		(27,450	)		(23,103	)
Total property and equipment, net	$	6,362		$	6,955

Depreciation and amortization expense on property and equipment for the years ended December 31, 2022, 2021 and 2020 was $4.6 million, $4.1 million and $4.4 million, respectively.

Other Current Liabilities

Other current liabilities consist of the following:


	December 31, 2022		December 31, 2021
	(in thousands)
Accrued employee expenses	$	4,171	$	4,114
Accrued marketing		4,147		3,723
Accrued royalty		2,527		11,582
Accrued tax-related payables		4,159		3,459
Accrued freight		1,746		6,251
Accrued expenses		8,683		8,564
Total other current liabilities	$	25,433	$	37,693

Other non-operating expense (income), net

Other non-operating expense (income), net consists of the following:


	Year Ended
	December 31,
	2022		2021			2020
	(in thousands)
Acquisition-related settlement	$	—	$	—		$	(1,702	)
Change in fair value of contingent consideration		—		(1,928	)		(1,121	)
Other non-operating expense (income)		1,753		1,827			(934	)
Total other non-operating expense (income),net	$	1,753	$	(101	)	$	(3,757	)