Balance Sheet Components

6 Months Ended

Jun. 30, 2024

Supplemental Balance Sheet Disclosures [Abstract]

Inventory

Inventory consisted of the following as of June 30, 2024 and December 31, 2023:


(in thousands)	June 30, 2024		December 31, 2023
Finished goods	$	57,559	$	64,281
Reserve to reduce inventories to net realizable value	(3,892)		(6,518)
Total inventory	$	53,667	$	57,763

Property and Equipment - Net

Property and equipment consisted of the following as of June 30, 2024 and December 31, 2023:


(in thousands)	June 30, 2024		December 31, 2023
Leasehold improvements	$	32,410	$	40,008
Furniture and fixtures	20,449		23,756
Internal-use software	31,661		29,367
Machinery and equipment	975		975
Computers and equipment	2,651		2,836
Total property and equipment - gross	88,146		96,942
Less: accumulated depreciation and amortization	(67,065)		(70,857)
Total property and equipment - net	$	21,081	$	26,085

Depreciation and amortization expense for the three and six months ended June 30, 2024 was $2.6 million and $7.4 million, respectively, and was $5.0 million and $10.1 million for the three and six months ended June 30, 2023, respectively, recognized as selling, general, and administrative expense in the condensed consolidated statements of operations and comprehensive loss.

Prepaid Expenses and Other Current Assets

Prepaid expenses and other current assets consisted of the following as of June 30, 2024 and December 31, 2023:


(in thousands)	June 30, 2024		December 31, 2023
Prepaid expenses	$	5,194	$	5,248
Inventory returns receivable	719		927
Security deposits	859		458
Taxes receivable	4,738		6,865
Other receivables	1,371		2,284
Restricted cash	845		641
Total prepaid expenses and other current assets	$	13,726	$	16,423

Other Assets

Other assets consisted of the following as of June 30, 2024 and December 31, 2023:


(in thousands)	June 30, 2024		December 31, 2023
Investment in equity securities	$	2,000	$	2,000
Security deposits	1,907		3,564
Intangible assets	56		82
Debt issuance costs	—		8
Deferred tax assets	1,082		1,475
Total other assets	$	5,045	$	7,129

Investment in Equity Securities

On November 20, 2020, we entered into an agreement to make a minority equity investment of $2.0 million in Natural Fiber Welding, Inc. (“NFW”) in exchange for 201,207 shares of Series A-3 Preferred Stock. Our investment is carried at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. Throughout the year, we assess whether impairment indicators exist to trigger the performance of an impairment analysis. There were no impairment charges or observable price changes for the three and six months ended June 30, 2024.

On November 22, 2021, we made a $0.3 million investment in NoHo ESG, Inc. (“NoHo ESG”) via a simple agreement for future equity (“SAFE”). Our investment was carried at cost, less any impairment, plus or minus changes resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. There were no impairment charges or observable price changes for the three months ended March 31, 2023. In April 2023, Noho ESG was dissolved. In accordance with the provisions of the SAFE, we were entitled to receive the entire amount of our investment. However, as a result of a shortfall of assets, we received a pro rata share of Noho ESG’s remaining assets, which included approximately $0.2 million in cash and rights to its intellectual property. Therefore, we recorded a realized loss on our investment of $0.1 million for the three and six months ended June 30, 2023.

Accrued Expenses and Other Current Liabilities

Accrued expenses consisted of the following as of June 30, 2024 and December 31, 2023:


(in thousands)	June 30, 2024		December 31, 2023
Sales-refund reserve	$	2,468	$	3,370
Taxes payable	926		1,996
Employee-related liabilities	3,771		4,174
Accrued expenses	8,111		13,447
Total accrued expenses and other current liabilities	$	15,276	$	22,987