v3.26.1
Revenue
 6 Months Ended
Jun. 30, 2026
Revenue [Abstract]  
Revenue

Note 2 — Revenue

 

Revenue

 

The Company generates revenue from continuing operations from Non-licensing Revenue and Licensing Revenue.

 

For the three and six months ended June 30, 2026, the Company generated revenue from continuing operations from hemp-derived product sales (Non-licensing Revenue) and Licensing Revenue. Hemp-derived product sales revenue is recognized at a point-in-time when control transfers to the customer.

 

Licensing Revenue prior to April 1, 2026 was sales-based and recognized over time as the underlying sales occurred in accordance with the terms of the related party license agreements, which commenced in May 2025. Effective April 1, 2026, the licensing arrangements were amended to provide for a fixed annual fee and Licensing Revenue is recognized on a ratable basis over the license term. For the three and six months ended June 30, 2025, Non-Licensing Revenue from continuing operations is transferred at a point-in-time and relates to hemp-derived beverages.

 

The following table provides the Company’s revenue from continuing operations disaggregated by revenue type:

 

    Three months ended June 30,     Six months ended June 30,  
(In thousands)   2026     2025     2026     2025  
Non-licensing Revenue   $ 5,521     $ 1,794     $ 8,832     $ 2,332  
Licensing Revenue     17,500       248       27,475       248  
Total revenue   $ 23,021     $ 2,042     $ 36,307     $ 2,580  

 

As of June 30, 2026, the aggregate amount of contractual Licensing Revenue allocated to remaining performance obligations is approximately $290.9 million. This represents fixed fees through August 27, 2030, reflecting the period prior to which neither party may terminate unilaterally; mutual termination remains available throughout the term. The Company expects to recognize this amount as revenue ratably over that period. The Company excluded variable consideration related to CPI-based fee escalators from the total remaining performance obligations.