Aterian (ATER) 10-Q 1 Aug 19 2019 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2019	Aug. 01, 2019
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2019
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2
Trading Symbol	MWK
Entity Registrant Name	Mohawk Group Holdings, Inc.
Entity Central Index Key	0001757715
Entity Current Reporting Status	Yes
Current Fiscal Year End Date	--12-31
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Common Stock, Shares Outstanding		17,625,241
Entity File Number	001-38937
Entity Tax Identification Number	831739858
Entity Address, Address Line One	37 East 18th Street
Entity Address, Address Line Two	7th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10003
City Area Code	(347)
Local Phone Number	676-1681

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
CURRENT ASSETS:
Cash	$ 39,527	$ 20,029
Accounts receivable—net	4,355	1,403
Inventory	31,369	30,552
Prepaid and other current assets	5,751	5,418
Total current assets	81,002	57,402
PROPERTY AND EQUIPMENT—net	159	268
OTHER NON-CURRENT ASSETS	135	337
TOTAL ASSETS	81,296	58,007
CURRENT LIABILITIES:
Credit facility	18,707	14,451
Accounts payable	13,754	15,404
Accrued and other current liabilities	12,497	9,708
Total current liabilities	44,958	39,563
OTHER LIABILITIES	12	26
TERM LOANS	13,211	13,049
Total liabilities	58,181	52,638
COMMITMENTS AND CONTINGENCIES (Note 9)
STOCKHOLDERS’ EQUITY:
Common stock, par value $0.0001 per share—500,000,000 shares authorized and 11,534,190 shares outstanding at December 31, 2018; 500,000,000 shares authorized and 17,625,241 shares outstanding at June 30, 2019	2	1
Additional paid-in capital	110,094	76,348
Accumulated deficit	(87,034)	(71,020)
Accumulated other comprehensive income	53	40
Total stockholders’ equity	23,115	5,369
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 81,296	$ 58,007

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
Statement Of Financial Position [Abstract]
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares authorized	500,000,000	500,000,000
Common stock, shares outstanding	17,625,241	11,534,190

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Income Statement [Abstract]
NET REVENUE	$ 30,368	$ 14,588	$ 48,213	$ 28,904
COST OF GOODS SOLD	18,608	10,808	29,783	21,658
GROSS PROFIT	11,760	3,780	18,430	7,246
OPERATING EXPENSES:
Sales and distribution	11,828	8,163	21,101	16,956
Research and development	1,860	897	3,023	2,019
General and administrative	4,414	3,130	7,780	5,336
TOTAL OPERATING EXPENSES:	18,102	12,190	31,904	24,311
OPERATING LOSS	(6,342)	(8,410)	(13,474)	(17,065)
INTEREST EXPENSE—net	1,281	506	2,494	1,063
OTHER EXPENSE (INCOME)—net	(13)	16	31	(25)
LOSS BEFORE INCOME TAXES	(7,610)	(8,932)	(15,999)	(18,103)
PROVISION FOR INCOME TAXES	15	3	15	3
NET LOSS	$ (7,625)	$ (8,935)	$ (16,014)	$ (18,106)
Net loss per share, basic and diluted	$ (0.62)	$ (0.90)	$ (1.35)	$ (1.95)
Weighted-average number of shares outstanding, basic and diluted	12,206,747	9,963,851	11,872,326	9,273,735

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Statement Of Income And Comprehensive Income [Abstract]
NET LOSS	$ (7,625)	$ (8,935)	$ (16,014)	$ (18,106)
OTHER COMPREHENSIVE INCOME (LOSS):
Foreign currency translation adjustments	(12)	18	13	76
Other comprehensive income (loss)	(12)	18	13	76
COMPREHENSIVE LOSS	$ (7,637)	$ (8,917)	$ (16,001)	$ (18,030)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock	Common StockMarch 20, 2019	Common StockMay 17, 2019	Common StockJune 12, 2019	Additional Paid-in Capital	Accumulated Deficit	Accumulated Other Comprehensive Income/(Loss)
Beginning balance at Dec. 31, 2017	$ 8,154	$ 1				$ 47,393	$ (39,197)	$ (43)
Beginning balance, shares at Dec. 31, 2017		8,575,950
Net loss	(18,106)						(18,106)
Issuance of 5,992,750 shares of series C preferred stock in April 2018 which converted at 0.2564 per share into 1,536,602 shares of common stock as part of the Merger (see Note 1)	20,989					20,989
Issuance of common stock upon conversion of preferred stock		1,536,602,000
Stock-based compensation	341					341
Exercise of stock options	18					18
Exercise of stock options, shares		4,465
Other comprehensive income	76							76
Ending balance at Jun. 30, 2018	11,472	$ 1				68,741	(57,303)	33
Ending balance, shares at Jun. 30, 2018		10,117,017
Beginning balance at Mar. 31, 2018	(795)	$ 1				47,557	(48,368)	15
Beginning balance, shares at Mar. 31, 2018		8,575,950
Net loss	(8,935)						(8,935)
Issuance of 5,992,750 shares of series C preferred stock in April 2018 which converted at 0.2564 per share into 1,536,602 shares of common stock as part of the Merger (see Note 1)	20,989					20,989
Issuance of common stock upon conversion of preferred stock		1,536,602,000
Stock-based compensation	177					177
Exercise of stock options	18					18
Exercise of stock options, shares		4,465
Other comprehensive income	18							18
Ending balance at Jun. 30, 2018	11,472	$ 1				68,741	(57,303)	33
Ending balance, shares at Jun. 30, 2018		10,117,017
Beginning balance at Dec. 31, 2018	5,369	$ 1				76,348	(71,020)	40
Beginning balance, shares at Dec. 31, 2018		11,534,190
Net loss	(16,014)						(16,014)
Issuance of restricted common stock				$ 19,407
Issuance of restricted common stock, shares			2,406,618		64,982
Issuance of common stock	29,628	$ 1				29,627
Issuance of stock, shares		3,600,000
Stock-based compensation	$ 4,119					4,119
Exercise of stock options, shares	44	44
Other comprehensive income	$ 13							13
Ending balance at Jun. 30, 2019	23,115	$ 2				110,094	(87,034)	53
Ending balance, shares at Jun. 30, 2019		17,625,241
Beginning balance at Mar. 31, 2019	(1,495)	$ 1				77,848	(79,409)	65
Beginning balance, shares at Mar. 31, 2019		13,940,808
Net loss	(7,625)						(7,625)
Issuance of restricted common stock				$ 19,407
Issuance of restricted common stock, shares					64,982
Issuance of common stock	29,628	$ 1				29,627
Issuance of stock, shares		3,600,000
Stock-based compensation	2,619					2,619
Exercise of stock options, shares		44
Other comprehensive income	(12)							(12)
Ending balance at Jun. 30, 2019	$ 23,115	$ 2				$ 110,094	$ (87,034)	$ 53
Ending balance, shares at Jun. 30, 2019		17,625,241

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares	Jun. 14, 2019	May 17, 2019	Mar. 20, 2019	Apr. 30, 2018
Series C Preferred Stock
Issuance of stock, shares				5,992,750
Preferred stock conversion price, per share				$ 0.2564
Common Stock
Issuance of stock, shares	3,600,000
Issuance of common stock upon conversion of preferred stock				1,536,602
Issuance of restricted common stock	64,982	88,548	2,406,618
Restricted common stock, forfeitures		69,141

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
OPERATING ACTIVITIES:
Net loss	$ (16,014)	$ (18,106)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	95	128
Provision for sales returns	209	5
Amortization of deferred financing costs and debt discounts	609	217
Stock-based compensation	4,119	341
Other	66	81
Changes in assets and liabilities:
Accounts receivable	(2,972)	(879)
Inventory	(817)	2,076
Prepaid and other current assets	(1,320)	(1,374)
Accounts payable, accrued and other liabilities	(264)	(257)
Cash used in operating activities	(16,289)	(17,768)
INVESTING ACTIVITIES:
Purchase of fixed assets	(24)	(25)
Proceeds on sale of fixed assets	3	35
Cash provided by (used in) investing activities	(21)	10
FINANCING ACTIVITIES:
Proceeds from exercise of stock options		18
Proceeds from issuance of Series C preferred stock		23,969
Proceeds from Initial Public Offering	36,000
Borrowings from Mid Cap credit facility	39,131	14,065
Repayments from Mid Cap credit facility	(35,229)	(12,816)
Repayments from Mid Cap term loan		(672)
Insurance financing proceeds	3,026
Insurance obligation payments	(756)
Capital lease obligation payments	(28)	(25)
Cash provided by financing activities	35,564	21,354
EFFECT OF EXCHANGE RATE ON CASH	1	2
NET CHANGE IN CASH AND RESTRICTED CASH FOR PERIOD	19,255	3,598
CASH AND RESTRICTED CASH AT BEGINNING OF PERIOD	20,708	5,797	$ 5,797
CASH AND RESTRICTED CASH AT END OF PERIOD	39,963	9,395	20,708
RECONCILIATION OF CASH AND RESTRICTED CASH
CASH	39,527	8,966
RESTRICTED CASH—Prepaid and other assets	307	250
RESTRICTED CASH—Other non-current assets	129	179
CASH AND RESTRICTED CASH AT END OF PERIOD	39,963	9,395	20,708
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid for interest	1,743	791
Cash paid for taxes	15	3
NON-CASH INVESTING AND FINANCING ACTIVITIES:
Deferred equity fundraising cost not paid	328
Capital lease		25
Initial Public Offering
FINANCING ACTIVITIES:
Issuance costs of stock	(5,098)
Series C Preferred Stock
FINANCING ACTIVITIES:
Issuance costs of stock		(2,980)
Horizon Term Loan
FINANCING ACTIVITIES:
Repayments from Mid Cap term loan			$ (4,900)
Debt issuance costs	(901)
Mid Cap Credit Facility
FINANCING ACTIVITIES:
Debt issuance costs	$ (581)	$ (205)

Organization and Description of

Organization and Description of Business	6 Months Ended
	Jun. 30, 2019
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Organization and Description of Business	1. Mohawk Headquartered in New York, Mohawk’s offices can be found in China, Philippines, Israel, Poland, and the United States. Merger— On September 4, 2018, pursuant to an Agreement and Plan of Merger and Reorganization among the Company, MGH Merger Sub, Inc. and Mohawk Group, Inc. (“MGI”), as amended by Amendment No. 1 dated as of April 1, 2018 (the “Merger Agreement”), MGI merged with Merger Sub, Inc., with MGI remaining as the surviving entity and becoming a wholly-owned operating subsidiary of the Company (the “Merger”). The Merger was a reverse recapitalization for financial reporting purposes. The Merger is reflected in the financial statements and financial disclosures as if the merger was effective on January 1, 2017. Operations prior to the Merger are the historical operations of MGI. Under the Merger Agreement, all outstanding common shares, preferred shares and warrants, excluding MGI’s Series C preferred stock (“Series C”) and warrants for Series C, converted to new common shares of the Company at a ratio of 1 to 0.3131 (“the Conversion”). All outstanding Series C, including any warrants for Series C converted on a one to 0.2564 basis to new common shares of the Company. At the time of the merger, the Company had 0.9 million shares outstanding held by certain Series C holders. Initial Public Offering— On June 14, 2019, the Company completed its initial public offering (“IPO”), selling 3,600,000 shares of common stock at a public offering price of $10.00 per share. Net proceeds to the Company from the offering were approximately $29.6 million , after deducting legal, underwriting and other offering expenses. Liquidity, Going Concern and Initial Public Offering— The Company is an early-stage growth company. As a result, the Company is investing in launching new products, advancing its software, and its sales and distribution infrastructure to accelerate revenue growth and scale operations to support such growth. To fund this investment, the Company has incurred losses with the expectation that it will generate profitable revenue streams in the future. While management and the Company’s board of directors believes that the Company will eventually reach a scale where the growth of its product revenues will offset the continued investments required in launching new products, completing the development of its software, and managing its sales and distribution operations, they believe that the size and nascent stage of the Company’s target market justify continuing to invest in growth at the expense of short-term profitability. In pursuit of the foregoing growth strategy, the Company incurred operating losses of $22.6 million and $29.4 million for the years ended December 31, 2017 and 2018, respectively, primarily due to the impact from its continued investment in launching new products, advancing its AIMEE software platform and building out its sales and distribution infrastructure. In addition, at December 31, 2017 and 2018, the Company had an accumulated deficit of $39.2 million and $71.0 million , respectively, cash on hand amounted to $5.3 million and $20.0 million, respectively, total outstanding borrowings from lenders amounted to $10.3 million and $27.5 million, respectively, and total available capacity on borrowings amounted to $5.6 million and $1.4 million at December 31, 2017 and 2018, respectively. Moreover, the Company has not had a sufficient track record of improvement of its operating cash outflows. As such, in the event that the Company was unsuccessful in its ability to continue to reduce its cash outflows or obtain additional financing if such reduction in cash outflows was not achieved, the Company would have been unable to meet its obligations as they became due within one year from the date these condensed consolidated financial statements were issued. These negative financial conditions raised substantial doubt about the Company’s ability to continue as a going concern. Management plans to continue pursuing its growth strategy. In the past, the Company has successfully funded its losses to-date through equity financings, beginning in July 2014. As of December 31, 2018, the Company has raised over $72.6 million in equity financing to fund its operations since inception. Further, in October 2017, the Company improved its working capital flexibility by securing an up to $30.0 million credit facility and a $7.0 million term loan with MidCap Financial Trust (“MidCap”) and in November 2018, the Company exited the original credit facility with MidCap and entered into a new three-year, $25.0 million revolving credit facility with MidCap, which can be increased, subject to certain conditions, to $50.0 million. Furthermore, on December 31, 2018, the Company entered into a new term loan agreement with Horizon Technology Finance Corporation (“Horizon”) obtaining a five-year, $15.0 million term loan and repaying the outstanding amount of MidCap’s term loan of approximately $4.9 million. While there was no assurance that future investments in the Company’s equity or issuances of debt will occur, management believes its success in obtaining funding since inception will continue in the foreseeable future. During the Company’s December 31, 2018 audit of its consolidated financial statements, the Company’s financial forecast for the next 12 months included revenue growth, margin expansion, a reduction of certain fixed costs, an improvement in inventory management, and reduction in operating cash deficit. In addition, management anticipated that the Company would not breach its financial covenants associated with its existing credit facility or term loan for the next twelve months. However, there was no assurance that management’s forecast would be attained to maintain its liquidity to fund operations and/or maintain compliance with its covenants without future investments in the Company’s equity or issuance of debt from outside sources. In the event of a breach of the Company’s financial covenants under the credit facility and/or its term loan, outstanding borrowings would become due on demand absent a waiver from the lenders. These condensed consolidated financial statements have been prepared on the basis that the Company will continue to operate as a going concern and as such, include no adjustments that might be necessary in the event that the Company was unable to operate on this basis. For the three and six months ended June 30, 2019, the Company incurred operating losses of $6.3 million and On June 14, 2019, the Company completed its IPO, raising approximately $29.6 million after deducting legal, underwriting and other offering expenses. The Company believes that, based on its current sales and expense level projections, the credit facility with MidCap (see Note 6), and the proceeds from the IPO, the Company will satisfy its estimated liquidity needs for the twelve months from the condensed consolidated financial statements issuance date. As such, the substantial doubt raised by the Company’s historical operating results has been mitigated.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Basis of Presentation —The accompanying unaudited condensed consolidated financial statements have been prepared by the Company in accordance with generally accepted accounting principles in the United States (“GAAP”) for interim financial reporting and as required by Rule 10-01 of Regulation S-X. In the opinion of the Company’s management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting of items of a normal and recurring nature) necessary to present fairly the financial position as of June 30, 2019, the results of operations for the three and six months ended June 30, 2018 and 2019 and cash flows for the six months ended June 30, 2018 and 2019. The results of operations for the three and six months ended June 30, 2019 are not necessarily indicative of the results to be expected for the full year. The condensed consolidated balance sheet as of December 31, 2018 included herein was derived from the Company’s audited consolidated financial statements as of that date, but does not include all of the information and notes required by GAAP for complete financial statements. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. As such, the information included in this Quarterly Report on Form 10-Q should be read in conjunction with the audited consolidated financial statements and the related notes thereto as of and for the year ended December 31, 2018, included in the Company’s final prospectus filed with the Securities and Exchange Commission pursuant to Rule 424(b) under the Securities Act of 1933, as amended (the “Securities Act”), on June 13, 2019 (the “Prospectus”). Use of Estimates —Preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period covered by the financial statements and accompanying notes. The most significant estimates relate to the determination of fair value of the Company’s common stock and stock-based compensation, prior to the Company’s IPO. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment, and makes adjustments when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ from those estimates. Principles of Consolidation —The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All inter-company balances and transactions have been eliminated in consolidation. Revenue Recognition —The Company accounts for revenue in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) Topic 606, Revenue from Contracts with Customers . The Company derives its revenue from the sale of consumer products. The Company sells its products directly to consumers through online retail channels and through wholesale channels. For direct to consumer sales, the Company considers customer order confirmations to be a contract with the customer. Customer confirmations are executed at the time an order is placed through third party online channels. For wholesale sales, the Company considers the customer purchase order to be the contract. For all of the Company’s sales and distribution channels, revenue is recognized when control of the product is transferred to the customer (i.e., when the Company’s performance obligation is satisfied), which typically occurs at shipment date. As a result, the Company has a present and unconditional right to payment and record the amount due from the customer in accounts receivable. Revenue from consumer product sales is recorded at the net sales price (transaction price), which includes an estimate of future returns based on historical return rates. There is judgment in utilizing historical trends for estimating future returns. The Company’s refund liability for sales returns was $0.3 million and $0.5 million at December 31, 2018 and June 30, 2019, respectively, which is included in accrued liabilities and represents the expected value of the refunds that will be due to its customers. The Company evaluated principal versus agent considerations to determine whether it is appropriate to record platform fees paid to Amazon as an expense or as a reduction of revenue. Platform fees are recorded as sales and distribution expense and are not recorded as a reduction of revenue because the Company owns and controls all the goods before they are transferred to the customer. The Company can, at any time, direct Amazon and similarly with other third party logistics providers (“Logistics Providers”), to return the Company’s inventory to any location specified by the Company. Any returns made by customers directly to Logistics Providers are the responsibility of the Company to make customers whole and the Company retains the back-end inventory risk. Further, the Company is subject to credit risk (i.e., credit card chargebacks), establishes the prices of its products, can determine who fulfills the goods to the customer (Amazon (or any other Logistics Provider) or the Company) and can limit quantities or stop selling the goods at any time. Based on these considerations, the Company is the principal in this arrangement. Performance Obligations . A performance obligation is a promise in a contract to transfer a distinct good to the customer and is the unit of account in ASC Topic 606. A contract’s transaction price is recognized as revenue when the performance obligation is satisfied. Each of the Company’s contracts have a single distinct performance obligation, which is the promise to transfer individual goods. For consumer product sales, the Company has elected to treat shipping and handling as fulfillment activities, and not a separate performance obligation. Accordingly, the Company recognizes revenue for its single performance obligation related to product sales at the time control of the merchandise passes to the customer, which is generally at the time of shipment. The Company bills customers for charges for shipping and handling on certain sales and such charges are recorded as part of net revenue. Shipping and handling revenue for the three and six months ended June 30, 2018 and 2019 were less than $0.1 million and $0.1 million, respectively. For each contract, the Company considers the promise to transfer products to be the only identified performance obligation. In determining the transaction price, the Company evaluates whether the price is subject to refund or adjustment to determine the net consideration to which the Company expects to be entitled. All of the Company’s revenues as reflected on the condensed consolidated statements of operations for the three and six months ended June 30, 2018 and 2019 are recognized at a point in time. Sales taxes . Consistent with prior periods, sales taxes collected from customers are presented on a net basis and as such are excluded from net revenue. Net Revenue by Category . The following table sets forth the Company’s net revenue disaggregated by sales channel and geographic region based on the billing addresses of its customers: Three Months Ended June 30, 2018 (in thousands) Direct Wholesale Managed SaaS Total North America $ 13,130 $ 1,420 $ 38 $ 14,588 Other — — — $ — Total net revenue $ 13,130 $ 1,420 $ 38 $ 14,588 Three Months Ended June 30, 2019 (in thousands) Direct Wholesale Managed SaaS Total North America $ 29,276 $ 662 $ 397 $ 30,335 Other 33 — — 33 Total net revenue $ 29,309 $ 662 $ 397 $ 30,368 Six Months Ended June 30, 2018 (in thousands) Direct Wholesale Managed SaaS Total North America $ 25,241 $ 3,595 $ 68 $ 28,904 Other — — — — Total net revenue $ 25,241 $ 3,595 $ 68 $ 28,904 Six Months Ended June 30, 2019 (in thousands) Direct Wholesale Managed SaaS Total North America $ 46,292 $ 912 $ 930 $ 48,134 Other 79 — — 79 Total net revenue $ 46,371 $ 912 $ 930 $ 48,213 Net Revenue by Product Categories . The following table sets forth the Company’s net revenue disaggregated by product categories: Three Months Ended June 30, 2018 2019 (in thousands) Environmental appliances (i.e., dehumidifiers and air conditioners) $ 6,077 $ 19,111 Small home appliances 3,882 5,096 Cosmetics, skincare, and heath supplements 2 2,610 Cookware, kitchen tools and gadgets 2,787 1,920 Hair appliances and accessories 927 784 Portable projectors, speakers and headphones 189 54 All others 686 396 Total net product revenue 14,550 29,971 Managed SaaS 38 397 Total net revenue $ 14,588 $ 30,368 Six Months Ended June 30, 2018 2019 (in thousands) Environmental appliances (i.e., dehumidifiers and air conditioners) $ 11,272 $ 25,674 Small home appliances 7,107 9,326 Cosmetics, skincare, and heath supplements 4 5,777 Cookware, kitchen tools and gadgets 6,509 3,959 Hair appliances and accessories 2,056 1,858 Portable projectors, speakers and headphones 505 130 All others 1,383 559 Total net product revenue 28,836 47,283 Managed SaaS 68 930 Total net revenue $ 28,904 $ 48,213 Fair Value of Financial Instruments —The Company’s financial instruments, including net accounts receivable, accounts payable, and accrued and other current liabilities are carried at historical cost. At June 30, 2019, the carrying amounts of these instruments approximated their fair values because of their short-term nature. The credit facility is carried at amortized cost and at December 31, 2018 and June 30, 2019, respectively, the carrying amount approximates fair value as the stated interest rate approximates market rates currently available to the Company. The Company estimates the fair value of the borrowings under our Horizon Term Loan to be approximately $14.7 million and $14.7 million at December 31, 2018 and June 30, 2019, respectively. The Company considers the inputs utilized to determine the fair value of the borrowings to be Level 2 inputs. The Company’s financial instruments of cash and restricted cash consist of Level 1 assets at June 30, 2019. The Company’s cash and restricted cash was approximately $40.0 million and included savings deposits and overnight investments at June 30, 2019. Assets and liabilities recorded at fair value on a recurring basis in the condensed consolidated balance sheets are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the exchange price that would be received for an asset or an exit price that would be paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The authoritative guidance on fair value measurements establishes a three-tier fair value hierarchy for disclosure of fair value measurements as follows: Level 1 —Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date; Level 2 —Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities; and Level 3 —Unobservable inputs that are supported by little or no market data for the related assets or liabilities. The categorization of a financial instrument within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Recent Accounting Pronouncements The Jumpstart Our Business Startups Act of 2012 permits an emerging growth company to take advantage of an extended transition period to comply with new or revised accounting standards applicable to public companies. The Company has elected to use this extended transition period until it is no longer an emerging growth company or until it affirmatively and irrevocably opts out of the extended transition period. As a result, the Company’s financial statements may not be comparable to companies that comply with new or revised accounting pronouncements as of public company effective dates. Adopted Accounting Standards In November 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-18, Statement of Cash Flows: Restricted Cash (Topic 230) In May 2017, the FASB issued ASU No. 2017-09, Compensation—Stock Compensation (Topic 718) Scope of Modification Accounting Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In February 2018, the FASB issued ASU No. 2018-02, Income Statement—Reporting Comprehensive Income (Topic 220) On August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement In June 2018, the FASB issued ASU No. 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-based Payment Accounting

Inventory

Inventory	6 Months Ended
	Jun. 30, 2019
Inventory Disclosure [Abstract]
Inventory	3. Inventory consisted of the following as of December 31, 2018 and June 30, 2019: December 31, 2018 June 30, 2019 (in thousands) Inventory on-hand $ 24,595 $ 24,775 Inventory in-transit 5,957 6,594 Inventory $ 30,552 $ 31,369 All of the Company’s inventory on-hand is held either with Amazon or the Company’s other third-party warehouses. The Company does not have any contractual right of returns with its contract manufacturers. The Company’s inventory on-hand held by Amazon was approximately $6.1 million and $5.5 million as of December 31, 2018 and June 30, 2019, respectively.

Prepaid Expenses and Other Curr

Prepaid Expenses and Other Current Assets	6 Months Ended
	Jun. 30, 2019
Prepaid Expense And Other Assets Current [Abstract]
Prepaid Expenses and Other Current Assets	4. Prepaids and other current assets consisted of the following as of December 31, 2018 and June 30, 2019: December 31, 2018 June 30, 2019 (in thousands) Prepaid inventory $ 2,284 $ 1,577 Restricted cash 550 307 Prepaid Insurance 434 2,987 Deferred offering costs 1,218 — Other 932 880 Prepaid and other current assets $ 5,418 $ 5,751

Accrued and Other Current Liabi

Accrued and Other Current Liabilities	6 Months Ended
	Jun. 30, 2019
Accrued Liabilities And Other Liabilities [Abstract]
Accrued and Other Current Liabilities	5. Accrued expenses and other current liabilities consisted of the following as of December 31, 2018 and June 30, 2019: December 31, 2018 June 30, 2019 (in thousands) Accrued compensation costs $ 2,585 $ 2,838 Accrual for insurance financing — 2,270 Accrual for deferred financing fees 936 — Accrued professional fees and consultants 484 302 Accrued logistics costs 1,424 2,514 Product related accruals 1,042 1,376 Sales tax payable 707 753 Sales return reserve 322 531 Accrued recall liability 1,512 1,495 All other accruals 696 418 Accrued and other current liabilities $ 9,708 $ 12,497 The Company sponsors, through its professional employer organization provider, a 401(k) defined contribution plan covering all eligible US employees. Contributions to the 401(k) plan are discretionary. Currently, the Company does not match or make any contributions to the 401(k) plan.

Credit Facility and Term Loans

Credit Facility and Term Loans	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Credit Facility and Term Loans	6. Credit facility and term loans consisted of the following as of December 31, 2018 and June 30, 2019: December 31, 2018 June 30, 2019 (in thousands) Mid Cap Credit facility $ 16,455 $ 20,357 Less: deferred debt issuance costs (1,960 ) (1,614 ) Less discount associated with issuance of warrants (44 ) (36 ) Total Mid Cap credit facility $ 14,451 $ 18,707 Horizon Term loan $ 15,000 $ 15,000 Less: deferred debt issuance costs (1,022 ) (976 ) Less discount associated with issuance of warrants (929 ) (813 ) Total Horizon term loan 13,049 13,211 Less-current portion — — Term loan-non current portion $ 13,049 $ 13,211 MidCap Credit Facility and Term Loan On October 16, 2017, the Company entered into a three-year, $15.0 million revolving credit facility (the “Prior Credit Facility”) with MidCap pursuant to a credit and security agreement (the “Credit and Security Agreement”). As part of the Credit and Security Agreement, the Company also obtained a three-year, $7.0 million term loan with MidCap (the “Prior Term Loan”). On November 23, 2018, the Company exited the Prior Credit Facility with MidCap and entered into a new three-year $25.0 million revolving credit facility (the “Credit Facility”) with MidCap. The Credit Facility can be increased, subject to certain conditions, to $50.0 million. Loans under the Credit Facility are determined based on percentages of the Company’s eligible accounts receivable and eligible inventory. The Credit Facility bears interest at LIBOR plus 5.75% for outstanding borrowings. The Company is required to pay a facility availability fee of 0.5% on the average unused portion of the facility. The Credit Facility contains a minimum liquidity financial covenant that requires the Company to maintain a minimum of $5.0 million in cash on hand or availability in the Credit Facility. In 2018, the Company incurred approximately $1.3 million in debt issuance costs which has been offset against the debt and will be expensed over the three years. Unamortized debt issuance costs of $0.7 million, relating to the Prior Credit Facility, will be amortized in accordance with the terms of the Credit Facility. As of December 31, 2018, there was The Company recorded interest expense from the credit facilities of approximately $0.3 million and $0.8 million for the three months ended June 30, 2018 and 2019, respectively, which included $0.1 million and $0.2 million, respectively, relating to debt issuance costs. The Company recorded interest expense from the credit facilities of approximately $0.6 million and $1.5 million for the six months ended June 30, 2018 and 2019, respectively, which included $0.2 million and $0.4 million, respectively, relating to debt issuance costs. The Company recorded interest expense from the Prior Term Loan of $0.2 million and $0.5 million for the three and six months ended June 30, 2018, which included less than $0.1 million and less than $0.1 million relating to debt issuance costs, respectively. On December 31, 2018, the Company repaid the Prior Term Loan with MidCap for $4.9 million as part of the entry into a new term loan with Horizon, including $0.1 million of a prepayment penalty. Horizon Term Loan On December 31, 2018, the Company entered into a new term loan agreement with Horizon (the “Horizon Loan Agreement”). As part of the agreement, the Company obtained a five-year $15.0 million term loan (the “Term Loan”). The Term Loan bears interest at 9.90% plus the amount by which one-month LIBOR (or, if LIBOR is no longer widely used or available, a successor benchmark rate, which successor rate shall be applied in a manner consistent with market practice, or if there is no consistent market practice, such successor rate shall be applied in a manner reasonably determined by Horizon) exceeds 2.50% for outstanding borrowings and payments on principal are made on a monthly basis. The maturity date of the Term Loan is January 2023. The Term Loan contains minimum required EBITDA financial covenants that require the Company to achieve EBITDA of certain amounts based on the amount that the Company is permitted to borrow under the Credit Facility (the “Revolving Line Indebtedness Cap”). The Horizon Loan Agreement also contains a cash collateral covenant that requires the Company to maintain a cash collateral account with an amount based on the Revolving Line Indebtedness Cap. In connection with the Horizon Term Loan Agreement, the Company issued to Horizon warrants to purchase 76,923 shares of its common stock at an exercise price of $15.60 per share. The warrants are exercisable and expire ten years from the date of issuance. The Company utilized the Binomial option-pricing model to determine the fair value of the warrants. The fair value of the warrants on issuance was $0.9 million, which has been recorded as a debt discount against the Term Loan. The Company incurred approximately $1.0 million in debt issuance costs which has been offset against the debt and will expense over the five years. The Credit Facility and the Term Loan contain a minimum liquidity covenant that requires the Company to maintain at minimum $5.0 million in unrestricted cash at all times, subject to increases based on amounts drawn. Further, there are additional covenants that, among other things, restrict the ability of the Company and certain of its subsidiaries to (i) incur, assume or guarantee additional indebtedness; (ii) pay dividends or redeem or repurchase capital stock; (iii) make other restricted payments; (iv) incur liens; (v) redeem debt that is junior in right of payment to the notes; (vi) sell or otherwise dispose of assets, including capital stock of subsidiaries; (vii) enter into mergers or consolidations; and (viii) enter into transactions with affiliates. These covenants are subject to a number of important exceptions and qualifications. As of June 30, 2019, there was $15.0 million outstanding on the Term Loan and the Company was in compliance with the financial covenants contained within the loan. The Company recorded interest expense from the Term Loan of $0.5 million and $1.0 million for the three and six months ended June 30, 2019, respectively, which included $0.1 million and less than $0.3 million, respectively, relating to debt issuance costs. Interest Expense, Net Interest expense, net consisted of the following for the three and six months ended June 30, 2018 and 2019: Three Months Ended June 30, 2018 June 30, 2019 (in thousands) Interest expense $ 506 $ 1,288 Interest income — (7 ) Total Interest expense, net $ 506 $ 1,281 Six Months Ended June 30, 2018 June 30, 2019 (in thousands) Interest expense $ 1,063 $ 2,501 Interest income — (7 ) Total Interest expense, net $ 1,063 $ 2,494

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2019
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	7. The Company has three equity plans: 2014 Amended and Restated Equity Incentive Plan The board of directors of 2018 Equity Incentive Plan The Company’s board of directors adopted the Mohawk Group Holdings, Inc. 2018 Equity Incentive Plan (the “Mohawk 2018 Plan”) on October 11, 2018. The Mohawk 2018 Plan was approved by its stockholders on May 24, 2019. As of June 30, 2019, 64,982 shares subject to restricted stock awards and options to purchase 1,565,903 shares of the Company’s common stock were outstanding and 77,261 shares Options granted to date under the Mohawk 2014 Pan and the Mohawk 2018 plan generally vest either: (i) over a four-year period with 25% of the shares underlying the options vesting on the first anniversary of the vesting commencement date with the remaining 75% of the shares vesting on a pro-rata basis over the succeeding thirty-six months, subject to continued service with the Company through each vesting date, or (ii) over a three-year period with 33 1/3% of the shares underlying the options vesting on the first anniversary of the vesting commencement date with the remaining 66 2/3% of the shares vesting on a pro-rata basis over the succeeding twenty-four months, subject to continued service with the Company through each vesting date. Options granted are generally exercisable for up to 10 years subject to continued service with the Company. 2019 Equity Plan The Company’s board of directors adopted the Mohawk Group Holdings, Inc. 2019 Equity Plan (the “2019 Equity Plan”) on March 20, 2019. The 2019 Equity Plan was approved by its stockholders on May 24, 2019. As of June 30, 2019, an aggregate of 2,426,025 shares of restricted common stock were outstanding, with no shares reserved for future issuance. Restricted shares granted under the 2019 Equity Plan shall vest in substantially equal installments on the 6th, 12th, 18th and 24th monthly anniversary of the closing of the IPO. Awards granted under the 2019 Equity Plan and not previously forfeited upon termination of service carry dividend and voting rights applicable to the Company’s common stock, irrespective of any vesting requirement. Under ASC Topic 718, following the IPO, the Company records stock-based compensation expense related to grants made under the 2019 Equity Plan over the vesting period of the restricted shares. The following is a summary of stock options activity during the six months ended June 30, 2019: Options Outstanding Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (years) Aggregate Intrinsic Value Balance—January 1, 2019 1,867,747 $ 9.01 9.64 $ 19,573,295 Options granted 131,905 $ 10.00 Options exercised (44 ) $ 4.14 $ — Options cancelled (104,746 ) $ 8.23 Balance—June 30, 2019 1,894,862 $ 9.14 9.24 $ 596,194 Exercisable as of June 30, 2019 201,770 $ 6.21 7.56 $ 397,416 Vested and expected to vest as of June 30, 2019 1,894,862 $ 9.14 9.24 $ 596,194 During the six months ended June 30, 2019, the Company granted options to purchase 131,905 shares of the Company’s common stock, cancelled options to purchase 104,746 shares of the Company’s common stock and options to purchase 44 shares of the Company’s common stock were exercised. The weighted-average grant date fair value of options granted during the six months ended June 30, 2019 was $5.94 There were no grants during the six months ended June 30, 2018. As of June 30, 2019, the total unrecognized compensation expense related to unvested options was $15.3 million, which the Company expects to recognize over an estimated weighted average period of 2.25 years. The following are weighted average assumptions used in the Black-Scholes option-pricing model to determine grant fair value: June 30, 2018 June 30, 2019 Weighted- Average Weighted- Average Expected term (in years) 0.00 5.73 Volatility 0.00 % 66.04 % Risk-free interest rate 0.00 % 1.92 % Dividend Yield 0.000 5.94 A summary of restricted stock activity within the Company’s equity plans and changes for the six months ended June 30, 2019, is as follows: Restricted Stock Awards Shares Weighted Average Grant- Date Fair Value Nonvested at January 1, 2019 — $ — Granted 2,560,148 $ 19.26 Vested — $ — Forfeited (69,141 ) $ 19.50 Nonvested at June 30, 2019 2,491,007 $ 19.25 During the six months ended June 30, 2019, the Company granted 2,560,148 restricted shares and 69,141 restricted shares were forfeited. Stock-based compensation expense for restricted shares granted was $1.2 million for the six months ended June 30, 2019. No The weighted-average grant date fair value of restricted shares granted during the six months ended June 30, 2019 was $19.26. As of June 30, 2019, the total unrecognized compensation expense related to unvested restricted shares was $46.8 million, which the Company expects to recognize over an estimated weighted average period of 1.95 years. The table above includes 64,982 of restricted shares that have been granted under the 2018 Equity Incentive Plan and included in the shares outstanding under that plan and carry dividend or voting rights applicable to the Company’s common shares. Stock-based compensation expense is allocated based on the cost center to which the award holder belongs. The following table summarizes the total stock-based compensation expense by function for the three and six months ended June 30, 2018 and 2019: Three Months Ended June 30, Six Months Ended June 30, 2018 2019 2018 2019 (in thousands) (in thousands) Cost of goods sold $ — $ — $ — $ — Sales and distribution expenses 2 528 6 916 Research and development expenses 7 390 13 550 General and administrative expenses 168 1,701 322 2,653 Total stock-based compensation expense $ 177 $ 2,619 $ 341 $ 4,119

Net Loss per Share

Net Loss per Share	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Net Loss per Share	8 . Basic net loss per share is determined by dividing net loss by the weighted average shares of common stock outstanding during the period. Diluted net loss per share is determined by dividing net loss by diluted weighted average shares outstanding. Diluted weighted average shares reflects the dilutive effect, if any, of potentially dilutive common shares, such as common stock options calculated using the treasury stock method and convertible notes using the “if-converted” method. In periods with reported net operating losses, all common stock options are deemed anti-dilutive such that basic net loss per share and diluted net loss per share are equal. The Company’s restricted shares are entitled to receive dividends and hold voting rights applicable to the Company’s common stock, irrespective of any vesting requirement. Accordingly, although the vesting commences upon the elimination of the contingency, the restricted shares are considered a participating security and the Company is required to apply the two-class method to consider the impact of the restricted shares on the calculation of basic and diluted earnings per share. The Company is currently in a net loss position and is therefore not required to present the two-class method; however, in the event the Company is in a net income position, the two-class method must be applied by allocating all earnings during the period to common shares and restricted shares. The following table sets forth the computation of basic and diluted net loss per share (in thousands, except per share data): Three Months Ended June 30, 2018 2019 (in thousands) Net loss $ (8,935 ) $ (7,625 ) Weighted-average number of shares outstanding used in computing net loss per share, basic and diluted 9,963,851 12,206,747 Net loss per share, basic and diluted $ (0.90 ) $ (0.62 ) Six Months Ended June 30, 2018 2019 (in thousands) Net loss $ (18,106 ) $ (16,014 ) Weighted-average number of shares outstanding used in computing net loss per share, basic and diluted 9,273,735 11,872,326 Net loss per share, basic and diluted $ (1.95 ) $ (1.35 )

Commitment and Contingencies

Commitment and Contingencies	6 Months Ended
	Jun. 30, 2019
Commitments And Contingencies Disclosure [Abstract]
Commitment and Contingencies	9 . Legal Proceedings —The Company is party to various actions and claims arising in the normal course of business. The Company does not believe that the final outcome of these matters will have a material adverse effect on the Company’s condensed consolidated financial position or results of operations. In addition, the Company maintains what it believes is adequate insurance coverage to further mitigate risk. However, no assurance can be given that the final outcome of such proceedings will not materially impact the Company’s condensed consolidated financial condition or results of operations. Further, no assurance can be given that the amount or scope of existing insurance coverage will be sufficient to cover losses arising from such matters. Recall In April 2018, the Company retained outside counsel to assist it in evaluating a safety issue related to certain hair dryers that it imported and sold through its subsidiaries between 2014 and 2018 (the “Xtava Allure Hair Dryer”). The Company had received communications directly from consumers and identified online reviews of overheating or fires associated with these hair dryers. The Company sold approximately 170,000 net units from the introduction of the product in 2015 through its discontinuance in the first quarter of 2018 totaling approximately $6.2 million in net revenue. In May 2018 the Company’s board of directors approved a voluntary recall of the Xtava Allure Hair Dryer. In June 2018, the Company filed an application for a voluntary recall with the US Consumer Product Safety Commission (“CPSC”) pursuant to Section 15(b) of the Consumer Product Safety Act (“CPSA”). The Company has received approval from the CPSC to provide consumers with replacement units and publicly announced the recall on August 15, 2018. The Company estimates it will incur approximately $1.6 million in costs related to the recall for procurement, manufacturing, fulfillment and delivery to consumers who apply and qualify for the recall costs. The Company also estimates it will incur legal and other expenses of approximately $0.4 million related to the recall which will be expensed as incurred. The Company has also incurred and settled all but one consumer legal matter related to Xtava Allure Hair Dryer for insignificant amounts. The Company believes the remaining legal matter will be settled for an insignificant amount. As of June 30, 2019, the remaining recall liability is $1.5 million. Pursuant to the CPSC and the guidelines set forth by the CPSA, a company may be subject to a late reporting investigation when a recall is announced. If a company is deemed to be a late reporter upon investigation by the CPSC, it may be subject to penalties. The Company believes it is likely that the CPSC will launch a discovery process to understand if a late reporting penalty is warranted. The investigation would evaluate a number of statutory and regulatory factors in determining a penalty amount, such as the severity of the risk of injury, the occurrence or absence of injury, the appropriateness of such penalty in relation to the size of the business and other factors. As of the date of issuance of this report, the Company believes it has met all the appropriate reporting requirements. If the Company is determined to have violated the reporting guidelines a penalty may be material to the consolidated financial statements. If CPSC seeks significant civil penalties for late reporting, the Company intends to vigorously defend itself. As of the date of the issuance of these financial statements the Company cannot reasonably estimate what, if any, penalties for potential late reporting may be levied.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2019
Related Party Transactions [Abstract]
Related Party Transactions	10. Restated Voting Agreement On November 1, 2018, Dr. Larisa Storozhenko, Maximus Yaney and Asher Maximus I, LLC (the “Initial Designating Parties”) entered into a voting agreement with Mr. Asher Delug, one of the stockholders of the Company and a member of the Company’s board of directors, pursuant to which Mr. Delug will have the power to vote such number of shares of common stock as is equal to: (a) all of the shares of the Company’s common stock beneficially held by the Initial Designating Parties minus (b) such number of shares of common stock representing 19.9% of the total voting power of the Company’s capital stock outstanding with respect to the election of directors, the appointment of officers and any amendments of the Company’s amended and restated certificate of incorporation or amended and restated bylaws (the “Voting Agreement”). The Voting Agreement was amended and restated pursuant to a new Voting Agreement, dated March 13, 2019, by and among MV II, LLC, Dr. Larisa Storozhenko, Mr. Maximus Yaney, Mr. Delug and the Company (the “Restated Voting Agreement”). Under the Restated Voting Agreement, each of MV II, LLC, Dr. Larisa Storozhenko and Mr. Yaney (collectively, the “Designating Parties”) agreed to relinquish the right to vote their shares of the Company’s capital stock, and any of the Company’s other equity interests (collectively, the “Voting Interests”) by granting the Company’s board of directors the sole right to vote all of the Voting Interests as the Designating Parties’ proxyholder. The Voting Interests include all shares of the Company’s common stock currently held by the Designating Parties, as well as any of the Company’s securities or other equity interests acquired by the Designating Parties in the future. Pursuant to the proxy granted by the Designating Parties, the Company’s board of directors are required to vote all of the Voting Interests in direct proportion to the voting of the shares and equity interests voted by all holders other than the Designating Parties. The proxy granted by the Designating Parties under the Restated Voting Agreement is irrevocable. In addition, the Restated Voting Agreement proxyholder may not be changed unless the Company receives the prior approval of The Nasdaq Stock Market LLC. Under the Restated Voting Agreement, each of the Designating Parties further agreed not to purchase or otherwise acquire any shares of the Company’s capital stock or other equity securities, or any interest in any of the foregoing. The Restated Voting Agreement became effective on June 12, 2019 and will continue until the earlier to occur of (a) a Deemed Liquidation Event unless, immediately upon such Deemed Liquidation Event, the Company’s common stock is and remains listed on The Nasdaq Stock Market LLC, or (b) Mr. Yaney’s death. For purposes of the agreement, a “Deemed Liquidation Event” means (i) the acquisition of the Company by another entity by means of any transaction or series of related transactions to which the Company is party other than a transaction or series of transactions in which the holders of the Company’s voting securities outstanding immediately prior to such transaction or series of transactions retain, immediately after such transaction or series of transactions, as a result of the Company’s shares held by such holders prior to such transaction or series of transactions, a majority of the total voting power represented by the Company’s outstanding voting securities or such other surviving or resulting entity; (ii) a sale, lease or other disposition of all or substantially all of the Company’s or its subsidiaries’ assets taken as a whole by means of any transaction or series of related transactions, except where such sale, lease or other disposition is to a wholly-owned subsidiary of the Company; or (iii) any liquidation, dissolution or winding up of the Company, whether voluntary or involuntary; however, a Deemed Liquidation Event shall not include any transaction effected primarily to raise capital for the Company or a spin-off or similar divestiture of the Company’s product or SaaS business as part of reorganization of the Company approved by the Company’s board of directors. Voting Agreement with Asher Delug On April 12, 2019, the Company entered into a Voting Agreement with Asher Delug (the “Delug Voting Agreement”). The terms of the Delug Voting Agreement are substantially similar to the terms of the Restated Voting Agreement. Under the Delug Voting Agreement, Mr. Delug agreed to relinquish his right to vote his shares of the Company’s capital stock, and any of the Company’s other equity interests (collectively, the “Delug Voting Interests”) by granting the Company’s board of directors the sole right to vote all of the Delug Voting Interests as Mr. Delug’s proxyholder. The Delug Voting Interests include all shares of the Company’s common stock currently held by Mr. Delug, as well as any of the Company’s securities or other equity interests acquired by Mr. Delug in the future. Pursuant to the proxy granted by Mr. Delug, the Company’s board of directors are required to vote all of the Delug Voting Interests in direct proportion to the voting of the shares and equity interests voted by all holders other than Mr. Delug. The proxy granted by Mr. Delug under the Delug Voting Agreement is irrevocable. In addition, the Delug Voting Agreement proxyholder may not be changed unless the Company receives the prior approval of The Nasdaq Stock Market LLC. Under the Delug Voting Agreement, Mr. Delug further agreed not to purchase or otherwise acquire any shares of the Company’s capital stock or other equity securities, or any interest in any of the foregoing. The Delug Voting Agreement became effective on June 12, 2019 and will continue until the earlier to occur of (a) a Deemed Liquidation Event unless, immediately upon such Deemed Liquidation Event, the Company’s common stock is and remains listed on The Nasdaq Stock Market LLC, or (b) Mr. Delug’s death. For purposes of the agreement, a “Deemed Liquidation Event” has the same meaning as in the Restated Voting Agreement.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation —The accompanying unaudited condensed consolidated financial statements have been prepared by the Company in accordance with generally accepted accounting principles in the United States (“GAAP”) for interim financial reporting and as required by Rule 10-01 of Regulation S-X. In the opinion of the Company’s management, the accompanying unaudited condensed consolidated financial statements contain all adjustments (consisting of items of a normal and recurring nature) necessary to present fairly the financial position as of June 30, 2019, the results of operations for the three and six months ended June 30, 2018 and 2019 and cash flows for the six months ended June 30, 2018 and 2019. The results of operations for the three and six months ended June 30, 2019 are not necessarily indicative of the results to be expected for the full year. The condensed consolidated balance sheet as of December 31, 2018 included herein was derived from the Company’s audited consolidated financial statements as of that date, but does not include all of the information and notes required by GAAP for complete financial statements. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. As such, the information included in this Quarterly Report on Form 10-Q should be read in conjunction with the audited consolidated financial statements and the related notes thereto as of and for the year ended December 31, 2018, included in the Company’s final prospectus filed with the Securities and Exchange Commission pursuant to Rule 424(b) under the Securities Act of 1933, as amended (the “Securities Act”), on June 13, 2019 (the “Prospectus”).
Use of Estimates	Use of Estimates —Preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period covered by the financial statements and accompanying notes. The most significant estimates relate to the determination of fair value of the Company’s common stock and stock-based compensation, prior to the Company’s IPO. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment, and makes adjustments when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ from those estimates.
Principles of Consolidation	Principles of Consolidation —The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All inter-company balances and transactions have been eliminated in consolidation.
Revenue Recognition	Revenue Recognition —The Company accounts for revenue in accordance with Financial Accounting Standards Board (“FASB”) Accounting Standard Codification (“ASC”) Topic 606, Revenue from Contracts with Customers . The Company derives its revenue from the sale of consumer products. The Company sells its products directly to consumers through online retail channels and through wholesale channels. For direct to consumer sales, the Company considers customer order confirmations to be a contract with the customer. Customer confirmations are executed at the time an order is placed through third party online channels. For wholesale sales, the Company considers the customer purchase order to be the contract. For all of the Company’s sales and distribution channels, revenue is recognized when control of the product is transferred to the customer (i.e., when the Company’s performance obligation is satisfied), which typically occurs at shipment date. As a result, the Company has a present and unconditional right to payment and record the amount due from the customer in accounts receivable. Revenue from consumer product sales is recorded at the net sales price (transaction price), which includes an estimate of future returns based on historical return rates. There is judgment in utilizing historical trends for estimating future returns. The Company’s refund liability for sales returns was $0.3 million and $0.5 million at December 31, 2018 and June 30, 2019, respectively, which is included in accrued liabilities and represents the expected value of the refunds that will be due to its customers. The Company evaluated principal versus agent considerations to determine whether it is appropriate to record platform fees paid to Amazon as an expense or as a reduction of revenue. Platform fees are recorded as sales and distribution expense and are not recorded as a reduction of revenue because the Company owns and controls all the goods before they are transferred to the customer. The Company can, at any time, direct Amazon and similarly with other third party logistics providers (“Logistics Providers”), to return the Company’s inventory to any location specified by the Company. Any returns made by customers directly to Logistics Providers are the responsibility of the Company to make customers whole and the Company retains the back-end inventory risk. Further, the Company is subject to credit risk (i.e., credit card chargebacks), establishes the prices of its products, can determine who fulfills the goods to the customer (Amazon (or any other Logistics Provider) or the Company) and can limit quantities or stop selling the goods at any time. Based on these considerations, the Company is the principal in this arrangement. Performance Obligations . A performance obligation is a promise in a contract to transfer a distinct good to the customer and is the unit of account in ASC Topic 606. A contract’s transaction price is recognized as revenue when the performance obligation is satisfied. Each of the Company’s contracts have a single distinct performance obligation, which is the promise to transfer individual goods. For consumer product sales, the Company has elected to treat shipping and handling as fulfillment activities, and not a separate performance obligation. Accordingly, the Company recognizes revenue for its single performance obligation related to product sales at the time control of the merchandise passes to the customer, which is generally at the time of shipment. The Company bills customers for charges for shipping and handling on certain sales and such charges are recorded as part of net revenue. Shipping and handling revenue for the three and six months ended June 30, 2018 and 2019 were less than $0.1 million and $0.1 million, respectively. For each contract, the Company considers the promise to transfer products to be the only identified performance obligation. In determining the transaction price, the Company evaluates whether the price is subject to refund or adjustment to determine the net consideration to which the Company expects to be entitled. All of the Company’s revenues as reflected on the condensed consolidated statements of operations for the three and six months ended June 30, 2018 and 2019 are recognized at a point in time. Sales taxes . Consistent with prior periods, sales taxes collected from customers are presented on a net basis and as such are excluded from net revenue. Net Revenue by Category . The following table sets forth the Company’s net revenue disaggregated by sales channel and geographic region based on the billing addresses of its customers: Three Months Ended June 30, 2018 (in thousands) Direct Wholesale Managed SaaS Total North America $ 13,130 $ 1,420 $ 38 $ 14,588 Other — — — $ — Total net revenue $ 13,130 $ 1,420 $ 38 $ 14,588 Three Months Ended June 30, 2019 (in thousands) Direct Wholesale Managed SaaS Total North America $ 29,276 $ 662 $ 397 $ 30,335 Other 33 — — 33 Total net revenue $ 29,309 $ 662 $ 397 $ 30,368 Six Months Ended June 30, 2018 (in thousands) Direct Wholesale Managed SaaS Total North America $ 25,241 $ 3,595 $ 68 $ 28,904 Other — — — — Total net revenue $ 25,241 $ 3,595 $ 68 $ 28,904 Six Months Ended June 30, 2019 (in thousands) Direct Wholesale Managed SaaS Total North America $ 46,292 $ 912 $ 930 $ 48,134 Other 79 — — 79 Total net revenue $ 46,371 $ 912 $ 930 $ 48,213 Net Revenue by Product Categories . The following table sets forth the Company’s net revenue disaggregated by product categories: Three Months Ended June 30, 2018 2019 (in thousands) Environmental appliances (i.e., dehumidifiers and air conditioners) $ 6,077 $ 19,111 Small home appliances 3,882 5,096 Cosmetics, skincare, and heath supplements 2 2,610 Cookware, kitchen tools and gadgets 2,787 1,920 Hair appliances and accessories 927 784 Portable projectors, speakers and headphones 189 54 All others 686 396 Total net product revenue 14,550 29,971 Managed SaaS 38 397 Total net revenue $ 14,588 $ 30,368 Six Months Ended June 30, 2018 2019 (in thousands) Environmental appliances (i.e., dehumidifiers and air conditioners) $ 11,272 $ 25,674 Small home appliances 7,107 9,326 Cosmetics, skincare, and heath supplements 4 5,777 Cookware, kitchen tools and gadgets 6,509 3,959 Hair appliances and accessories 2,056 1,858 Portable projectors, speakers and headphones 505 130 All others 1,383 559 Total net product revenue 28,836 47,283 Managed SaaS 68 930 Total net revenue $ 28,904 $ 48,213
Fair Value of Financial Instruments	Fair Value of Financial Instruments —The Company’s financial instruments, including net accounts receivable, accounts payable, and accrued and other current liabilities are carried at historical cost. At June 30, 2019, the carrying amounts of these instruments approximated their fair values because of their short-term nature. The credit facility is carried at amortized cost and at December 31, 2018 and June 30, 2019, respectively, the carrying amount approximates fair value as the stated interest rate approximates market rates currently available to the Company. The Company estimates the fair value of the borrowings under our Horizon Term Loan to be approximately $14.7 million and $14.7 million at December 31, 2018 and June 30, 2019, respectively. The Company considers the inputs utilized to determine the fair value of the borrowings to be Level 2 inputs. The Company’s financial instruments of cash and restricted cash consist of Level 1 assets at June 30, 2019. The Company’s cash and restricted cash was approximately $40.0 million and included savings deposits and overnight investments at June 30, 2019. Assets and liabilities recorded at fair value on a recurring basis in the condensed consolidated balance sheets are categorized based upon the level of judgment associated with the inputs used to measure their fair values. Fair value is defined as the exchange price that would be received for an asset or an exit price that would be paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The authoritative guidance on fair value measurements establishes a three-tier fair value hierarchy for disclosure of fair value measurements as follows: Level 1 —Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date; Level 2 —Inputs are observable, unadjusted quoted prices in active markets for similar assets or liabilities, unadjusted quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities; and Level 3 —Unobservable inputs that are supported by little or no market data for the related assets or liabilities. The categorization of a financial instrument within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement.
Recently Adopted and Issued Accounting Pronouncements	Recent Accounting Pronouncements The Jumpstart Our Business Startups Act of 2012 permits an emerging growth company to take advantage of an extended transition period to comply with new or revised accounting standards applicable to public companies. The Company has elected to use this extended transition period until it is no longer an emerging growth company or until it affirmatively and irrevocably opts out of the extended transition period. As a result, the Company’s financial statements may not be comparable to companies that comply with new or revised accounting pronouncements as of public company effective dates. Adopted Accounting Standards In November 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-18, Statement of Cash Flows: Restricted Cash (Topic 230) In May 2017, the FASB issued ASU No. 2017-09, Compensation—Stock Compensation (Topic 718) Scope of Modification Accounting Recently Issued Accounting Pronouncements In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) In February 2018, the FASB issued ASU No. 2018-02, Income Statement—Reporting Comprehensive Income (Topic 220) On August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework—Changes to the Disclosure Requirements for Fair Value Measurement In June 2018, the FASB issued ASU No. 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-based Payment Accounting

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2019
Accounting Policies [Abstract]
Net Revenue Disaggregated by Sales Channel and Geographic Region	Net Revenue by Category . The following table sets forth the Company’s net revenue disaggregated by sales channel and geographic region based on the billing addresses of its customers: Three Months Ended June 30, 2018 (in thousands) Direct Wholesale Managed SaaS Total North America $ 13,130 $ 1,420 $ 38 $ 14,588 Other — — — $ — Total net revenue $ 13,130 $ 1,420 $ 38 $ 14,588 Three Months Ended June 30, 2019 (in thousands) Direct Wholesale Managed SaaS Total North America $ 29,276 $ 662 $ 397 $ 30,335 Other 33 — — 33 Total net revenue $ 29,309 $ 662 $ 397 $ 30,368 Six Months Ended June 30, 2018 (in thousands) Direct Wholesale Managed SaaS Total North America $ 25,241 $ 3,595 $ 68 $ 28,904 Other — — — — Total net revenue $ 25,241 $ 3,595 $ 68 $ 28,904 Six Months Ended June 30, 2019 (in thousands) Direct Wholesale Managed SaaS Total North America $ 46,292 $ 912 $ 930 $ 48,134 Other 79 — — 79 Total net revenue $ 46,371 $ 912 $ 930 $ 48,213
Net Revenue Disaggregated by Product Categories	Net Revenue by Product Categories . The following table sets forth the Company’s net revenue disaggregated by product categories: Three Months Ended June 30, 2018 2019 (in thousands) Environmental appliances (i.e., dehumidifiers and air conditioners) $ 6,077 $ 19,111 Small home appliances 3,882 5,096 Cosmetics, skincare, and heath supplements 2 2,610 Cookware, kitchen tools and gadgets 2,787 1,920 Hair appliances and accessories 927 784 Portable projectors, speakers and headphones 189 54 All others 686 396 Total net product revenue 14,550 29,971 Managed SaaS 38 397 Total net revenue $ 14,588 $ 30,368 Six Months Ended June 30, 2018 2019 (in thousands) Environmental appliances (i.e., dehumidifiers and air conditioners) $ 11,272 $ 25,674 Small home appliances 7,107 9,326 Cosmetics, skincare, and heath supplements 4 5,777 Cookware, kitchen tools and gadgets 6,509 3,959 Hair appliances and accessories 2,056 1,858 Portable projectors, speakers and headphones 505 130 All others 1,383 559 Total net product revenue 28,836 47,283 Managed SaaS 68 930 Total net revenue $ 28,904 $ 48,213

Inventory (Table)

Inventory (Table)	6 Months Ended
	Jun. 30, 2019
Inventory Disclosure [Abstract]
Schedule of Inventory	Inventory consisted of the following as of December 31, 2018 and June 30, 2019: December 31, 2018 June 30, 2019 (in thousands) Inventory on-hand $ 24,595 $ 24,775 Inventory in-transit 5,957 6,594 Inventory $ 30,552 $ 31,369

Prepaid Expenses and Other Cu_2

Prepaid Expenses and Other Current Assets (Tables)	6 Months Ended
	Jun. 30, 2019
Prepaid Expense And Other Assets Current [Abstract]
Summary of Prepaids and Other Current Assets	Prepaids and other current assets consisted of the following as of December 31, 2018 and June 30, 2019: December 31, 2018 June 30, 2019 (in thousands) Prepaid inventory $ 2,284 $ 1,577 Restricted cash 550 307 Prepaid Insurance 434 2,987 Deferred offering costs 1,218 — Other 932 880 Prepaid and other current assets $ 5,418 $ 5,751

Accrued and Other Current Lia_2

Accrued and Other Current Liabilities (Tables)	6 Months Ended
	Jun. 30, 2019
Accrued Liabilities And Other Liabilities [Abstract]
Schedule of Components of Accrued Expenses and Other Current Liabilities	Accrued expenses and other current liabilities consisted of the following as of December 31, 2018 and June 30, 2019: December 31, 2018 June 30, 2019 (in thousands) Accrued compensation costs $ 2,585 $ 2,838 Accrual for insurance financing — 2,270 Accrual for deferred financing fees 936 — Accrued professional fees and consultants 484 302 Accrued logistics costs 1,424 2,514 Product related accruals 1,042 1,376 Sales tax payable 707 753 Sales return reserve 322 531 Accrued recall liability 1,512 1,495 All other accruals 696 418 Accrued and other current liabilities $ 9,708 $ 12,497

Credit Facility and Term Loans

Credit Facility and Term Loans (Tables)	6 Months Ended
	Jun. 30, 2019
Debt Disclosure [Abstract]
Schedule of Credit Facility and Term Loans	Credit facility and term loans consisted of the following as of December 31, 2018 and June 30, 2019: December 31, 2018 June 30, 2019 (in thousands) Mid Cap Credit facility $ 16,455 $ 20,357 Less: deferred debt issuance costs (1,960 ) (1,614 ) Less discount associated with issuance of warrants (44 ) (36 ) Total Mid Cap credit facility $ 14,451 $ 18,707 Horizon Term loan $ 15,000 $ 15,000 Less: deferred debt issuance costs (1,022 ) (976 ) Less discount associated with issuance of warrants (929 ) (813 ) Total Horizon term loan 13,049 13,211 Less-current portion — — Term loan-non current portion $ 13,049 $ 13,211
Schedule of Interest Expense, Net	Interest expense, net consisted of the following for the three and six months ended June 30, 2018 and 2019: Three Months Ended June 30, 2018 June 30, 2019 (in thousands) Interest expense $ 506 $ 1,288 Interest income — (7 ) Total Interest expense, net $ 506 $ 1,281 Six Months Ended June 30, 2018 June 30, 2019 (in thousands) Interest expense $ 1,063 $ 2,501 Interest income — (7 ) Total Interest expense, net $ 1,063 $ 2,494

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2019
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Summary of Stock Options Activity	The following is a summary of stock options activity during the six months ended June 30, 2019: Options Outstanding Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (years) Aggregate Intrinsic Value Balance—January 1, 2019 1,867,747 $ 9.01 9.64 $ 19,573,295 Options granted 131,905 $ 10.00 Options exercised (44 ) $ 4.14 $ — Options cancelled (104,746 ) $ 8.23 Balance—June 30, 2019 1,894,862 $ 9.14 9.24 $ 596,194 Exercisable as of June 30, 2019 201,770 $ 6.21 7.56 $ 397,416 Vested and expected to vest as of June 30, 2019 1,894,862 $ 9.14 9.24 $ 596,194
Summary of Weighted Average Assumptions Used in Black-Scholes Option-Pricing Model to Determine Grant Fair Value	The following are weighted average assumptions used in the Black-Scholes option-pricing model to determine grant fair value: June 30, 2018 June 30, 2019 Weighted- Average Weighted- Average Expected term (in years) 0.00 5.73 Volatility 0.00 % 66.04 % Risk-free interest rate 0.00 % 1.92 % Dividend Yield 0.000 5.94
Summary of Restricted Stock Activity	A summary of restricted stock activity within the Company’s equity plans and changes for the six months ended June 30, 2019, is as follows: Restricted Stock Awards Shares Weighted Average Grant- Date Fair Value Nonvested at January 1, 2019 — $ — Granted 2,560,148 $ 19.26 Vested — $ — Forfeited (69,141 ) $ 19.50 Nonvested at June 30, 2019 2,491,007 $ 19.25
Summary of Total Stock-based Compensation Expense by Function	The following table summarizes the total stock-based compensation expense by function for the three and six months ended June 30, 2018 and 2019: Three Months Ended June 30, Six Months Ended June 30, 2018 2019 2018 2019 (in thousands) (in thousands) Cost of goods sold $ — $ — $ — $ — Sales and distribution expenses 2 528 6 916 Research and development expenses 7 390 13 550 General and administrative expenses 168 1,701 322 2,653 Total stock-based compensation expense $ 177 $ 2,619 $ 341 $ 4,119

Net Loss per Share (Tables)

Net Loss per Share (Tables)	6 Months Ended
	Jun. 30, 2019
Earnings Per Share [Abstract]
Schedule of Basic and Diluted Net Loss per Share	The following table sets forth the computation of basic and diluted net loss per share (in thousands, except per share data): Three Months Ended June 30, 2018 2019 (in thousands) Net loss $ (8,935 ) $ (7,625 ) Weighted-average number of shares outstanding used in computing net loss per share, basic and diluted 9,963,851 12,206,747 Net loss per share, basic and diluted $ (0.90 ) $ (0.62 ) Six Months Ended June 30, 2018 2019 (in thousands) Net loss $ (18,106 ) $ (16,014 ) Weighted-average number of shares outstanding used in computing net loss per share, basic and diluted 9,273,735 11,872,326 Net loss per share, basic and diluted $ (1.95 ) $ (1.35 )

Organization and Description _2

Organization and Description of Business - Additional Information (Details)	Jun. 14, 2019USD ($)$ / sharesshares	Apr. 01, 2018shares	Nov. 30, 2018USD ($)	Apr. 30, 2018shares	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Dec. 31, 2018USD ($)	Dec. 31, 2017USD ($)	Oct. 31, 2017USD ($)
Organization And Description Of Business [Line Items]
Operating losses					$ (6,342,000)	$ (8,410,000)	$ (13,474,000)	$ (17,065,000)	$ 29,400,000	$ 22,600,000
Accumulated deficit					(87,034,000)		(87,034,000)		(71,020,000)	(39,200,000)
Cash on hand					39,527,000		39,527,000		20,029,000	5,300,000
Outstanding borrowings from lenders					31,900,000		31,900,000		27,500,000	10,300,000
Available capacity on borrowings					1,100,000		1,100,000		1,400,000	$ 5,600,000
Equity financing					102,300,000		102,300,000		72,600,000
Repaying of term loan								$ 672,000
Term Loan
Organization And Description Of Business [Line Items]
Outstanding borrowings from lenders					$ 15,000,000		$ 15,000,000
Credit facility maximum borrowing amount									15,000,000
Term Loan | Midcap
Organization And Description Of Business [Line Items]
Credit facility maximum borrowing amount											$ 7,000,000
Horizon Term Loan
Organization And Description Of Business [Line Items]
Borrowings from term loan									15,000,000
Repaying of term loan									$ 4,900,000
Original Credit Facility | Midcap
Organization And Description Of Business [Line Items]
Credit facility maximum borrowing amount											$ 30,000,000
Revolving Credit Facility | Midcap
Organization And Description Of Business [Line Items]
Credit facility maximum borrowing amount			$ 25,000,000
Additional increase in borrowing amount			$ 50,000,000
Initial Public Offering
Organization And Description Of Business [Line Items]
Common stock, shares issued | shares	3,600,000
Shares issued, price per share | $ / shares	$ 10
Net proceeds from sale of common stock	$ 29,600,000
Series C Holders
Organization And Description Of Business [Line Items]
Shares outstanding | shares		0.9
All Stock And Warrants Other Than Series C Preferred Stock
Organization And Description Of Business [Line Items]
Common stock, warrants and preferred stock to common stock conversion ratio		3.1939
Series C Preferred Stock
Organization And Description Of Business [Line Items]
Preferred stock to common stock, conversion ratio		3.9002
Common stock, shares issued | shares				5,992,750

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Additional Information (Details) - USD ($)	3 Months Ended		6 Months Ended		39 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2018
Significant Accounting Policies [Line Items]
Revenues	$ 30,368,000	$ 14,588,000	$ 48,213,000	$ 28,904,000	$ 6,200,000
Level 2 | Horizon Term Loan
Significant Accounting Policies [Line Items]
Fair value of borrowings	14,700,000		14,700,000			$ 14,700,000
Level 1
Significant Accounting Policies [Line Items]
Cash and restricted cash	40,000,000		40,000,000
Shipping and Handling
Significant Accounting Policies [Line Items]
Revenues			100,000
Maximum | Shipping and Handling
Significant Accounting Policies [Line Items]
Revenues		$ 100,000
Accrued Liabilities
Significant Accounting Policies [Line Items]
Refund liabilities for sales returns	$ 500,000		$ 500,000			$ 300,000

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Net Revenue Disaggregated by Sales Channel and Geographic Region (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		39 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Mar. 31, 2018
Disaggregation Of Revenue [Line Items]
Total net revenue	$ 30,368	$ 14,588	$ 48,213	$ 28,904	$ 6,200
Direct
Disaggregation Of Revenue [Line Items]
Total net revenue	29,309	13,130	46,371	25,241
Wholesale
Disaggregation Of Revenue [Line Items]
Total net revenue	662	1,420	912	3,595
Managed SaaS
Disaggregation Of Revenue [Line Items]
Total net revenue	397	38	930	68
North America
Disaggregation Of Revenue [Line Items]
Total net revenue	30,335	14,588	48,134	28,904
North America | Direct
Disaggregation Of Revenue [Line Items]
Total net revenue	29,276	13,130	46,292	25,241
North America | Wholesale
Disaggregation Of Revenue [Line Items]
Total net revenue	662	1,420	912	3,595
North America | Managed SaaS
Disaggregation Of Revenue [Line Items]
Total net revenue	397	$ 38	930	$ 68
Other
Disaggregation Of Revenue [Line Items]
Total net revenue	33		79
Other | Direct
Disaggregation Of Revenue [Line Items]
Total net revenue	$ 33		$ 79

Summary of Significant Accoun_6

Summary of Significant Accounting Policies - Net Revenue Disaggregated by Product Categories (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		39 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Mar. 31, 2018
Disaggregation Of Revenue [Line Items]
Total net revenue	$ 30,368	$ 14,588	$ 48,213	$ 28,904	$ 6,200
Product Revenue
Disaggregation Of Revenue [Line Items]
Total net revenue	29,971	14,550	47,283	28,836
Product Revenue | Cookware, Kitchen Tools and Gadgets
Disaggregation Of Revenue [Line Items]
Total net revenue	1,920	2,787	3,959	6,509
Product Revenue | Environmental Appliances (i.e., Dehumidifiers and Air Conditioners)
Disaggregation Of Revenue [Line Items]
Total net revenue	19,111	6,077	25,674	11,272
Product Revenue | Hair Appliances and Accessories
Disaggregation Of Revenue [Line Items]
Total net revenue	784	927	1,858	2,056
Product Revenue | Small Home Appliances
Disaggregation Of Revenue [Line Items]
Total net revenue	5,096	3,882	9,326	7,107
Product Revenue | Portable Projectors, Speakers and Headphones
Disaggregation Of Revenue [Line Items]
Total net revenue	54	189	130	505
Product Revenue | Cosmetics, Skincare, and Heath Supplements
Disaggregation Of Revenue [Line Items]
Total net revenue	2,610	2	5,777	4
Product Revenue | All Others
Disaggregation Of Revenue [Line Items]
Total net revenue	396	686	559	1,383
Managed SaaS
Disaggregation Of Revenue [Line Items]
Total net revenue	$ 397	$ 38	$ 930	$ 68

Inventory - Schedule of Invento

Inventory - Schedule of Inventory (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Inventory Disclosure [Abstract]
Inventory on-hand	$ 24,775	$ 24,595
Inventory in-transit	6,594	5,957
Inventory	$ 31,369	$ 30,552

Inventory - Additional Informat

Inventory - Additional Information (Details) - USD ($) $ in Millions	Jun. 30, 2019	Dec. 31, 2018
Inventory Disclosure [Abstract]
Inventory on-hand held by Amazon	$ 5.5	$ 6.1

Prepaid Expenses and Other Cu_3

Prepaid Expenses and Other Current Assets - Summary of Prepaids and Other Current Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Prepaid Expense And Other Assets Current [Abstract]
Prepaid inventory	$ 1,577	$ 2,284
Restricted cash	307	550
Prepaid Insurance	2,987	434
Deferred offering costs		1,218
Other	880	932
Prepaid and other current assets	$ 5,751	$ 5,418

Accrued and Other Current Lia_3

Accrued and Other Current Liabilities - Schedule of Components of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Accrued Liabilities And Other Liabilities [Abstract]
Accrued compensation costs	$ 2,838	$ 2,585
Accrual for insurance financing	2,270
Accrual for deferred financing fees		936
Accrued professional fees and consultants	302	484
Accrued logistics costs	2,514	1,424
Product related accruals	1,376	1,042
Sales tax payable	753	707
Sales return reserve	531	322
Accrued recall liability	1,495	1,512
All other accruals	418	696
Accrued and other current liabilities	$ 12,497	$ 9,708

Credit Facility and Term Loan_2

Credit Facility and Term Loans - Schedule of Credit Facility and Term Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Debt Instrument [Line Items]
Total Mid Cap credit facility	$ 18,707	$ 14,451
Term loan-non current portion	13,211	13,049
Horizon Term Loan
Debt Instrument [Line Items]
Horizon Term loan	15,000	15,000
Less: deferred debt issuance costs	(976)	(1,022)
Less discount associated with issuance of warrants	(813)	(929)
Total Horizon term loan	13,211	13,049
Term loan-non current portion	13,211	13,049
Mid Cap Credit Facility
Debt Instrument [Line Items]
Mid Cap Credit facility	20,357	16,455
Less: deferred debt issuance costs	(1,614)	(1,960)
Less discount associated with issuance of warrants	(36)	(44)
Total Mid Cap credit facility	$ 18,707	$ 14,451

Credit Facility and Term Loan_3

Credit Facility and Term Loans - Additional Information (Details) - USD ($)	Nov. 23, 2018	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018	Dec. 31, 2017	Oct. 16, 2017
Debt Instrument [Line Items]
Available balance of credit facility		$ 1,100,000		$ 1,100,000		$ 1,400,000	$ 5,600,000
Interest expense		1,288,000	$ 506,000	2,501,000	$ 1,063,000
Repayments of lines of credit				35,229,000	12,816,000
Borrowings, outstanding		31,900,000		31,900,000		27,500,000	$ 10,300,000
Term Loan
Debt Instrument [Line Items]
Credit facility maximum borrowing amount						$ 15,000,000
Interest expense		500,000		1,000,000
Amortization of debt issuance costs		100,000
Debt instrument maturity month and year						2023-01
Borrowings, outstanding		15,000,000		15,000,000
Horizon Term Loan
Debt Instrument [Line Items]
Debt offset against and expense over the term						5 years
Warrants term						10 years
Fair value on issuance						$ 900,000
Debt discount						900,000
Deferred debt issuance costs		976,000		976,000		$ 1,022,000
Horizon Term Loan | Common Stock
Debt Instrument [Line Items]
Warrants to purchase shares						76,923
Warrants to purchase shares, exercise price						$ 15.60
Horizon Term Loan
Debt Instrument [Line Items]
Repayments of lines of credit						$ 4,900,000
Line of credit, prepayment penalty						$ 100,000
Maximum | Term Loan
Debt Instrument [Line Items]
Amortization of debt issuance costs				$ 300,000
Prior Term Loan
Debt Instrument [Line Items]
Interest expense			200,000		500,000
Prior Term Loan | Maximum
Debt Instrument [Line Items]
Amortization of debt issuance costs			100,000		100,000
London Interbank Offered Rate (LIBOR) | Term Loan
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate						9.90%
Description of variable rate basis				one-month LIBOR
London Interbank Offered Rate (LIBOR) | Minimum [Member] | Term Loan
Debt Instrument [Line Items]
Potential additional interest						2.50%
Mid Cap Prior Credit Facility
Debt Instrument [Line Items]
Credit facility maximum borrowing amount	$ 25,000,000							$ 15,000,000
Unamortized debt issuance costs						$ 700,000
Mid Cap Credit Facility
Debt Instrument [Line Items]
Additional increase in borrowing amount	$ 50,000,000
Line of credit facility, unused capacity, commitment fee percentage	0.50%
Line of credit facility, minimum liquidity financial covenant requirement in cash on hand	$ 5,000,000
Debt issuance costs						$ 1,300,000
Debt offset against and expense over the term						3 years
Line of credit, outstanding		20,400,000		$ 20,400,000		$ 16,500,000
Available balance of credit facility		1,100,000		1,100,000		1,400,000
Mid Cap Credit Facility | London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	5.75%
Mid Cap Prior Term Loan
Debt Instrument [Line Items]
Term loan, borrowing								$ 7,000,000
Revolving Credit Facility
Debt Instrument [Line Items]
Interest expense		800,000	300,000	1,500,000	600,000
Amortization of debt issuance costs		$ 200,000	$ 100,000	$ 400,000	$ 200,000
Credit Facility and Term Loan
Debt Instrument [Line Items]
Line of credit facility covenant minimum liquidity requirement in unrestricted cash						$ 5,000,000

Credit Facility and Term Loan_4

Credit Facility and Term Loans - Schedule of Interest Expense, Net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Debt Disclosure [Abstract]
Interest expense	$ 1,288	$ 506	$ 2,501	$ 1,063
Interest income	(7)		(7)
Total Interest expense, net	$ 1,281	$ 506	$ 2,494	$ 1,063

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options outstanding to purchase common stock	1,894,862		1,894,862		1,867,747
Options exercisable period			10 years
Options granted to purchase			131,905	0
Cancellation of options to purchase common stock			104,746
Options exercised			44
Weighted-average grant date fair value of options granted			$ 5.94
Total unrecognized compensation expense related to unvested options	$ 15,300		$ 15,300
Total unrecognized compensation expense related to unvested options, expects to recognize over estimated weighted average period			2 years 3 months
Share based compensation expense	$ 2,619	$ 177	$ 4,119	$ 341
Share-based Compensation Award, Tranche One
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting period			4 years
Share-based Compensation Award, Tranche One | Vesting on First Anniversary
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting percentage			25.00%
Share-based Compensation Award, Tranche One | Vesting Over Succeeding 36 Months
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting period			36 months
Options vesting percentage			75.00%
Share-based Compensation Award, Tranche Two
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting period			3 years
Share-based Compensation Award, Tranche Two | Vesting on First Anniversary
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting percentage			33.33%
Share-based Compensation Award, Tranche Two | Vesting Over Succeeding 24 Months
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting period			24 months
Options vesting percentage			66.66%
Restricted Stock
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Restricted stock awards outstanding to purchase common stock	2,491,007		2,491,007
Total unrecognized compensation expense related to unvested options, expects to recognize over estimated weighted average period			1 year 11 months 12 days
Shares, Granted			2,560,148
Shares, Forfeited			69,141
Share based compensation expense			$ 1,200
Total fair value of shares vested			$ 0
Shares, Vested			0
Weighted Average Grant-Date Fair Value, Granted			$ 19.26
Total unrecognized compensation expense related to unvested restricted shares	$ 46,800		$ 46,800
Mohawk 2014 Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options outstanding to purchase common stock	328,959		328,959
Shares reserved for future issuance	40,882		40,882
Mohawk 2018 Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares reserved for future issuance	77,261		77,261
Mohawk 2018 Plan | Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options outstanding to purchase common stock	1,565,903		1,565,903
Mohawk 2018 Plan | Restricted Stock
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Restricted stock awards outstanding to purchase common stock	64,982		64,982
2019 Equity Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares reserved for future issuance	0		0
2019 Equity Plan | Restricted Stock
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Aggregate shares of restricted stock outstanding	2,426,025		2,426,025
2018 Equity Incentive Plan | Restricted Stock
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares, Granted			64,982

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Stock Options Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended		12 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Dec. 31, 2018
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Options Outstanding, Number of Options, Shares, Beginning Balance	1,867,747
Options Outstanding, Number of Options, Granted, Shares	131,905	0
Options Outstanding, Number of Options, Exercised, Shares	(44)
Options Outstanding, Number of Options, Cancelled, Shares	(104,746)
Options Outstanding, Number of Options, Shares, Ending Balance	1,894,862		1,867,747
Options Outstanding, Number of Options Exercisable, Shares, as of June 30, 2019	201,770
Options Outstanding, Number of Options, Vested and expected to vest, Shares as of June 30, 2019	1,894,862
Options Outstanding, Weighted Average Exercise Price, Beginning Balance	$ 9.01
Options Outstanding, Weighted Average Exercise Price, Granted	10
Options Outstanding, Weighted Average Exercise Price, Exercised	4.14
Options Outstanding, Weighted Average Exercise Price, Cancelled	8.23
Options Outstanding, Weighted Average Exercise Price, Ending Balance	9.14		$ 9.01
Options Outstanding, Weighted Average Exercise Price, Exercisable as of June 30, 2019	6.21
Options Outstanding, Weighted Average Exercise Price, Vested and expected to vest as of June 30, 2019	$ 9.14
Options Outstanding, Weighted Average Remaining Contractual Life (Years)	9 years 2 months 27 days		9 years 7 months 21 days
Options Outstanding, Weighted Average Remaining Contractual Life (Years), Exercisable as of June 30, 2019	7 years 6 months 21 days
Options Outstanding, Weighted Average Remaining Contractual Life (Years), Vested and expected to vest as of June 30, 2019	9 years 2 months 27 days
Options Outstanding, Aggregate Intrinsic Value	$ 596,194		$ 19,573,295
Options Outstanding, Aggregate Intrinsic Value, Exercisable as of June 30, 2019	397,416
Options Outstanding, Aggregate Intrinsic Value, Vested and expected to vest as of June 30, 2019	$ 596,194

Stock-Based Compensation - Su_2

Stock-Based Compensation - Summary of Weighted Average Assumptions Used in Black-Scholes Option-Pricing Model to Determine Grant Fair Value (Details)	6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Weighted-Average, Expected term (in years)	5 years 8 months 23 days	0 years
Weighted-Average, Volatility	66.04%	0.00%
Weighted-Average, Risk-free interest rate	1.92%	0.00%
Weighted-Average, Dividend Yield	5.94%	0.00%

Stock-Based Compensation - Su_3

Stock-Based Compensation - Summary of Restricted Stock Activity (Details) - Restricted Stock	6 Months Ended
	Jun. 30, 2019$ / sharesshares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares, Granted	2,560,148
Shares, Vested	0
Shares, Forfeited	(69,141)
Shares, Nonvested at June 30, 2019	2,491,007
Weighted Average Grant-Date Fair Value, Granted | $ / shares	$ 19.26
Weighted Average Grant-Date Fair Value, Forfeited | $ / shares	19.50
Weighted Average Grant-Date Fair Value, Nonvested at June 30, 2019 | $ / shares	$ 19.25

Stock-Based Compensation - Su_4

Stock-Based Compensation - Summary of Total Stock-based Compensation Expense by Function (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share based compensation expense	$ 2,619	$ 177	$ 4,119	$ 341
Sales and Distribution Expenses
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share based compensation expense	528	2	916	6
Research and Development Expense
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share based compensation expense	390	7	550	13
General and Administrative Expense
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Share based compensation expense	$ 1,701	$ 168	$ 2,653	$ 322

Net Loss Per Share - Schedule o

Net Loss Per Share - Schedule of Basic and Diluted Net Loss per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Earnings Per Share [Abstract]
Net loss	$ (7,625)	$ (8,935)	$ (16,014)	$ (18,106)
Weighted-average number of shares outstanding used in computing net loss per share, basic and diluted	12,206,747	9,963,851	11,872,326	9,273,735
Net loss per share, basic and diluted	$ (0.62)	$ (0.90)	$ (1.35)	$ (1.95)

Commitment and Contingencies -

Commitment and Contingencies - Additional Information (Details) $ in Thousands	Aug. 15, 2018USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Jun. 30, 2019USD ($)	Jun. 30, 2018USD ($)	Mar. 31, 2018USD ($)HairDryer	Dec. 31, 2018USD ($)	May 31, 2018Consumer
Commitment And Contingencies [Line Items]
NET REVENUE		$ 30,368	$ 14,588	$ 48,213	$ 28,904	$ 6,200
Type of Revenue [Extensible List]						mwk:XtavaAllureHairDryerMember
Remaining recall liability		1,495		1,495			$ 1,512
Xtava Allure Hair Dryer
Commitment And Contingencies [Line Items]
Number of Product sold | HairDryer						170,000
Recall costs	$ 1,600
Legal and other expenses	$ 400
Legal matter yet to settle, remaining number of consumers | Consumer								1
Remaining recall liability		$ 1,500		$ 1,500

Related Party Transactions - Ad

Related Party Transactions - Additional Information (Details)	Nov. 02, 2018
Voting Agreement
Related Party Transaction [Line Items]
Percentage of voting power of capital stock outstanding	19.90%