Note 3 - Inventories, net

Inventories are written down for any obsolescence or when the net realizable value considering future events and conditions is less than the carrying value. For the three and six months ended June 30, 2023, the Company recorded $Nil and $0.9 million, respectively (June 30, 2022 – $0.2 million and $0.5 million, respectively), related to spoiled inventory in costs and expenses applicable to revenues on the unaudited interim condensed consolidated statements of operations.

For the three and six months ended June 30, 2023, the Company recorded $Nil and $0.3 million, respectively (June 30, 2022 - $Nil and $Nil, respectively) in costs and expenses applicable to revenues on the unaudited interim condensed consolidated statements of operations for inventory reserves.