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Inventories
6 Months Ended
Jun. 30, 2019
Inventory Disclosure [Abstract]  
Inventories
Inventories

Inventories are stated at the lower of cost and net realizable value using the first-in first-out costing method. Inventories as of June 30, 2019 and December 31, 2018 include the costs of material, labor, and factory overhead. Components of inventories consist of the following:

 
June 30,
2019
 
December 31,
2018
Raw materials
$
9,146

 
$
13,698

Work in process
4,346

 
2,489

Finished goods
10,724

 
6,755

 
$
24,216

 
$
22,942



During the second quarter of 2019, the Company recorded an inventory reserve of $2.1 million relating to its TracPhone V-IP products as the Company decided to no longer promote sales of these products and instead to focus its efforts on migrating customers to its HTS network and products.