Quarterly report [Sections 13 or 15(d)]

Business Segments

v3.26.1
Business Segments
 6 Months Ended
Jun. 30, 2026
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. The Company has identified its Chief Executive Officer as the CODM. 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 each of the quarters ended June 30, 2026 and 2025 is presented below.

 

Three Months Ended June 30, 2026 ($ in thousands)

 

    NexGel     CGN JV     Total  
Revenues, net   $ 2,881     $ 805     $ 3,686  
                         
Cost of revenues     1,997       580       2,577  
                         
Advertising, marketing and amazon fees     627       -       627  
General and administrative     2,808       159       2,967  
Total Selling, general and administrative     3,435       159       3,594  
                         
Research and development     20       -       20  
                         
Operating expenses     3,455       159       3,614  
Income (loss) from operations   $ (2,571 )   $ 66     $ (2,505 )

 

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

 

    NexGel     CGN JV     Total  
Revenues, net   $ 2,333     $ 551     $ 2,884  
                         
Cost of revenues     1,283       343       1,626  
                         
Advertising, marketing and amazon fees     622       -       622  
General and administrative     1,139       133       1,272  
Total Selling, general and administrative     1,761       133       1,894  
                         
Research and development     -       -       -  
                         
Operating expenses     1,761       133       1,894  
Income (loss) from operations   $ (711 )   $ 75     $ (636 )

 

 

Six Months Ended June 30, 2026 ($ in thousands)

 

    NexGel     CGN JV     Total  
Revenues, net   $ 4,826     $ 1,510     $ 6,336  
                         
Cost of revenues     3,152       1,014       4,166  
                         
Advertising, marketing and amazon fees     1,263       -       1,263  
General and administrative     4,046       304       4,350  
Total Selling, general and administrative     5,309       304       5,613  
                         
Research and development     20       -       20  
                         
Operating expenses     5,329       304       5,633  
Income (loss) from operations   $ (3,655 )   $ 192     $ (3,463 )

 

Six Months Ended June 30, 2025 ($ in thousands)

 

    NexGel     CGN JV     Total  
Revenues, net   $ 4,331     $ 1,359     $ 5,690  
                         
Cost of revenues     2,326       918       3,244  
                         
Advertising, marketing and amazon fees     1,263       -       1,263  
General and administrative     2,324       271       2,595  
Total Selling, general and administrative     3,587       271       3,858  
                         
Research and development     1       -       1  
                         
Operating expenses     3,588       271       3,859  
Income (loss) from operations   $ (1,583 )   $ 170     $ (1,413 )

 

Summarized total assets for the Company’s reportable segments as of June 30, 2026 and December 31, 2025 are presented below:

 

As of June 30, 2026 ($ in thousands)

 

    NexGel     CGN JV     Total  
Total Assets   $ 22,897     $ 3,550     $ 26,447  

 

As of December 31, 2025 ($ in thousands)

 

    NexGel     CGN JV     Total  
Total Assets   $ 6,777     $ 3,684     $ 10,461