Quarterly report [Sections 13 or 15(d)]

Note 2 - Segment Reporting

v3.26.1
Note 2 - Segment Reporting
 3 Months Ended
Jun. 28, 2026
Notes to Financial Statements  
Segment Reporting [Text Block]

Note 2 – Segment Reporting

 

The Company’s operations are managed and reported to its Chief Executive Officer, the Company’s chief operating decision maker (“CODM”), on a consolidated basis. The Company operates in one principal segment, infant, toddler and juvenile products. These products consist of infant and toddler bedding, diaper bags, bibs, plush, dolls, disposables, toys and feeding products. The CODM assesses performance and allocates resources based on the Company’s consolidated statements of operations, which requires the CODM to manage and evaluate the results of the Company in a consolidated manner to drive efficiencies and develop uniform strategies. Segment asset information is not used by the CODM to allocate resources.

 

As a single reportable segment entity, the Company’s segment performance measure is net income. The following table presents information about the Company’s reportable segment (in thousands):

 

   

Three-Month Periods Ended

  
   

June 28, 2026

    

June 29, 2025

  

Net sales

   $ 16,766     $ 15,478  

Less:

                

Cost of products sold

     8,735       11,960  

Marketing and administrative expenses

     5,232       4,717  

Interest expense, net and other

     25       184  

Income tax expense

     714       (279 )

Segment net income

   $ 2,060     $ (1,104 )

 

Included in the profit or loss measure above are the following: depreciation expense and amortization expense were $185 thousand and $187 thousand, respectively, for the three-month period ended June 28, 2026 while for the three-month period ended June 29, 2025, depreciation and amortization expenses were $198 thousand and $214 thousand, respectively.