Balance Sheet Components

6 Months Ended

Jun. 30, 2026

Condensed Consolidated Balance Sheet Components [Abstract]

Note 4. Balance Sheet Components

Inventories

Inventories consist of the following (in thousands):


	June 30, 2026		December 31, 2025

Finished goods	$	53,441	$	64,006
Raw materials		3,103		5,216
Total inventories	$	56,544	$	69,222

During the three months ended June 30, 2026, the Company received tariff refunds totaling $8.2 million from the U.S. Customs and Border Protection related to previously paid import duties, all of which were recorded as an increase to cash. Of the total amount received, $4.3 million related to tariffs recognized in cost of revenue during the prior fiscal year. Because the Company's right to the refund was established and the refund was received during the current quarter, the amount was recognized as a reduction of cost of goods revenue during the three months ended June 30, 2026. An additional $3.6 million related to tariffs previously capitalized as a component of inventory and was recognized as a reduction to inventory. The remaining amount, representing statutory interest on the refunded duties of $0.3 million, was recognized in Other expense (income), net in the accompanying condensed consolidated statements of operations.

Property and Equipment, net

Property and equipment, net, consists of the following (in thousands):


	June 30, 2026			December 31, 2025

Machinery and equipment	$	1,079		$	1,079
Software and software development		2,137			2,138
Furniture and fixtures		1,241			1,251
Tooling		11,160			10,150
Leasehold improvements		1,179			1,159
Demonstration units and convention booths		2,353			2,356
Total property and equipment, gross		19,149			18,133
Less: accumulated depreciation and amortization		(16,777	)		(15,138	)
Total property and equipment, net	$	2,372		$	2,995

Depreciation and amortization expense on property and equipment was $0.8 million and $1.1 million for the three months ended June 30, 2026 and 2025, respectively. Depreciation and amortization expense on property and equipment was $1.7 million and $2.2 million for the six months ended June 30, 2026 and 2025.

Other Current Liabilities

Other current liabilities consist of the following (in thousands):


	June 30, 2026		December 31, 2025

Accrued royalty	$	3,775	$	8,088
Accrued employee expenses		2,013		2,487
Accrued tax-related payables		1,537		3,919
Accrued freight		2,885		1,839
Accrued marketing		1,594		2,164
Accrued expenses		8,631		6,292
Total other current liabilities	$	20,435	$	24,789