Quarterly report [Sections 13 or 15(d)]

Business Segments

v3.25.3
Business Segments
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Business Segments

4. Business Segments

 

The Company’s CODM evaluates the financial performance of the Company’s segments based upon segment operating income or (loss) as the profitability measure. Items outside of operating income or (loss) are not reported by segment, since they are excluded from the single measure of segment profitability reviewed by the CODM.

 

Summarized financial information concerning the Company’s reportable segments for the three and nine months ended September 30, 2025 and 2024 and the balances of assets and liabilities for each segment at September 30, 2025 and December 31, 2024 is presented below.

 

Three Months Ended September 30, 2025 ($ in thousands)

 

    NexGel     CGN JV     Total  
Revenue:                        
Contract manufacturing   $ 230     $ 677     $ 907  
Custom and white label finished goods     -       -       -  
Branded consumer products     1,918       -       1,918  
Other income     80       29       109  
Total revenue     2,228       706       2,934  
                         
Cost of revenues     1,127       564       1,691  
Operating expenses     1,833       135       1,968  
Income (loss) from operations   $ (732 )   $ 7     $ (725 )

 

Three Months Ended September 30, 2024 ($ in thousands)

 

    NexGel     CGN JV     Total  
Revenue:                        
Contract manufacturing   $ 396     $ 468     $ 864  
Custom and white label finished goods     -       -       -  
Branded consumer products     1,930       -       1,930  
Other income     109       37       146  
Total revenue     2,435       505       2,940  
                         
Cost of revenues     1,282       503       1,785  
Operating expenses     1,746       197       1,943  
Loss from operations   $ (593 )   $ (195 )   $ (788 )

 

Nine Months Ended September 30, 2025 ($ in thousands)

 

    NexGel     CGN JV     Total  
Revenue                        
Contract manufacturing   $ 747     $ 1,971     $ 2,718  
Custom and white label finished goods     27       -       27  
Branded consumer products     5,584       -       5,584  
Other income     202       94       296  
Total revenue     6,560       2,065       8,625  
                         
Cost of revenues     3,453       1,482       4,935  
Operating expenses     5,422       406       5,828  
Income (loss) from operations   $ (2,315 )   $ 177     $ (2,138 )

 

Nine Months Ended September 30, 2024 ($ in thousands)

 

    NexGel     CGN JV     Total  
Revenue                        
Contract manufacturing   $ 665     $ 1,225     $ 1,890  
Custom and white label finished goods     42       -       42  
Branded consumer products     3,515       -       3,515  
Other income     156       44       200  
Total revenue     4,378       1,269       5,647  
                         
Cost of revenues     2,799       1,174       3,973  
Operating expenses     3,887       500       4,387  
Loss from operations   $ (2,308 )   $ (405 )   $ (2,713 )