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BUSINESS SEGMENTS
9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
BUSINESS SEGMENTS BUSINESS SEGMENTS
Segment information
The Company operates in two reportable segments: U.S. and International. The U.S. segment is the Company’s domestic business that designs, markets and distributes its products to retailers and distributors, as well as directly to consumers through third parties and its own internet websites primarily in the U.S.. The International segment is the Company’s international business that sells and distributes products to consumers primarily in the U.K., the European Union and the Asia Pacific region.
The Company’s chief operation decision maker (“CODM”) is the Company’s Chief Executive Officer. The Company has segmented its operations to reflect the manner in which the CODM reviews and evaluates the results of its operations. The CODM allocates operating and capital resources and evaluates the performance of the Company’s segments based on segment net sales, segment gross margin, and segment income (loss) from operations. Such measures give recognition to specifically identifiable operating costs. Significant segment expenses that are included in segment operating income consist of cost of sales, distribution expenses (which include freight-out expenses and warehouse expenses) and selling, general and administrative expenses.
Certain general and administrative expenses are not allocated to the Company’s segments as these represent corporate level activities and are reflected below as unallocated corporate expenses. These costs primarily include senior executive salaries and benefits, stock compensation, director fees and accounting, legal fees and consulting fees.
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Segment Performance Measures:(in thousands)
Net sales:
U.S.$158,121 $170,222 $405,946 $431,205 
International13,791 13,615 37,913 36,540 
Total net sales$171,912 $183,837 $443,859 $467,745 
Gross Margin:
U.S.$55,560 $62,721 $148,893 $166,483 
International4,864 4,696 13,007 13,031 
Total gross margin$60,424 $67,417 $161,900 $179,514 
Income (loss) from operations
U.S.$12,941 $16,191 $(14,781)$34,822 
International(2,561)(3,292)(8,841)(9,313)
Unallocated corporate expenses(1)
(3,687)(4,286)(5,793)(13,899)
Income (loss) from operations
$6,693 $8,613 $(29,415)$11,610 
(1) Unallocated corporate expenses for the nine months ended September 30, 2025 included a net legal settlement gain of $6.4 million. Details see NOTE 12 — CONTINGENCIES
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
Supplemental information for significant segment expenses:(in thousands)
Cost of sales:
U.S.$102,561 $107,501 $257,053 $264,722 
International8,927 8,919 24,906 23,509 
Total cost of sales$111,488 $116,420 $281,959 $288,231 
Freight-out expenses:
U.S.$3,624 $3,377 $10,025 $8,733 
International651 691 1,913 2,151 
Total freight-out expenses$4,275 $4,068 $11,938 $10,884 
Warehouse expenses:
U.S.$10,583 $13,205 $32,543 $32,722 
International3,081 2,761 8,842 7,661 
Total warehouse expenses$13,664 $15,966 $41,385 $40,383 
Selling, general and administrative expenses:
U.S.$28,412 $29,948 $87,869 $90,206 
International3,389 4,536 10,789 12,532 
Unallocated corporate expenses(1)
3,687 4,286 5,793 13,899 
Total selling, general and administrative expenses$35,488 $38,770 $104,451 $116,637 
Goodwill impairment:
U.S.$— $— $33,237 $— 
Restructuring expenses:
International$304 $— $304 $— 
(1) Unallocated corporate expenses for the nine months ended September 30, 2025 included a net legal settlement gain of $6.4 million. Details see NOTE 12 — CONTINGENCIES
Three Months Ended
September 30,
Nine Months Ended
September 30,
2025202420252024
(in thousands)
Depreciation and amortization:
U.S.$5,063 $6,113 $15,545 $15,381 
International335 295 988 860 
Total depreciation and amortization$5,398 $6,408 $16,533 $16,241 
Capital expenditures:
U.S.$440 $450 $3,128 $1,388 
International35 56 93 216 
Total capital expenditures$475 $506 $3,221 $1,604 
September 30,
2025
December 31,
2024
(in thousands)
Assets
U.S.$482,482 $542,420 
International84,302 88,961 
Unallocated corporate14,340 2,929 
Total Assets$581,124 $634,310