Segment Reporting

3 Months Ended

Mar. 30, 2025

Segment Reporting

Segment Reporting

13.Segment Reporting

All long-lived assets are located in the United States and substantially all revenue is attributable to customers based in the United States. International sales are not significant.

The accounting policies of the one reportable segment are the same as those described in the summary of significant accounting policies. The measurement of segment assets is reported on the condensed consolidated balance sheet as total condensed consolidated assets. All assets, liabilities, cash flows, revenue and expenses are reported in the

Company’s one reportable segment. When evaluating the Company’s financial performance and making strategic decisions, the Chief Operating Decision Maker (“CODM”) focuses their review of expenses incurred by the nature of those expenses.

The table below is a summary of the segment profit or loss, including significant segment expenses (in thousands):

	Thirteen Weeks Ended
	March 30,		March 31,
	2025		2024
Net revenue	$	64,155	$	77,259
Less:
Cost of revenue		38,314		44,613
Employee expenses (excluding equity-based compensation expense)		11,794		13,695
Equity-based compensation expense		1,474		1,934
Advertising expenses		12,009		13,044
Other net costs (1)		7,395		9,234
Depreciation and amortization (2)		664		673
Interest expense		577		383
Income tax benefit		(74)		(581)
Segment net loss	$	(7,998)	$	(5,736)

(1) Other net costs include professional services fees, other selling costs, other general and administrative costs, technology and software costs, facilities costs, interest income, non-operating income and expenses, and other immaterial expenses that do not align with the separately presented expense categories.

(2) Excludes depreciation expense related to distribution facilities recorded in cost of revenue.