v3.25.2
Segment Information
 3 Months Ended 12 Months Ended
Mar. 31, 2025
Dec. 31, 2024
Segment Information [Abstract]    
Segment Information
16. Segment Information

 

Management evaluates the Company’s veterinary clinics as a single reportable segment as a result of aggregating multiple operating segments, because all of the Company’s veterinary clinics have similar economic characteristics and provide similar services to similar types of customers. Our single reportable segment comprises the structure used by our Chief Executive Officer, who collectively have been determined to be our Chief Operating Decision Maker (“CODM”), to make key operating decisions and assess performance. Our CODM evaluates our single reportable segment’s operating performance based on individual veterinary clinic net income (loss) before interest expense, income tax expense, depreciation and amortization, corporate general and administrative expense, loss on debt modification, gain of sale, interest and other income, and gains or losses on sales of clinic (“Adjusted Clinic EBITDA”). Our single reportable segment’s assets are consistent with total assets included in the Company’s consolidated balance sheets.

  

The following table includes revenue, significant veterinary clinic and hospital operating expenses, and Adjusted Clinic EBITDA for the Company’s clinics, reconciled to the consolidated amounts included in the Company’s consolidated statements of operations:

 

   For the Three Months Ended
March 31,		 
   2025   2024 
Revenue        
Service revenue  $2,741,029   $3,545,599 
Product revenue   898,180    1,285,968 
Total Clinics level revenue   3,639,209    4,831,567 
           
Operating expenses          
Cost of service revenue (exclusive of depreciation and amortization, shown separately below)   2,139,278    2,709,147 
Cost of product revenue (exclusive of depreciation and amortization, shown separately below)   785,409    1,016,107 
General and administrative expenses   709,376    1,089,578 
Total Clinics level expenses   3,634,063    4,814,832 
           
Adjusted Clinics EBITDA  $5,146   $16,735 
           
Reconciliation of Adjusted Clinics EBITDA to net income          
Depreciation and amortization   275,392    367,197 
Interest expense   407,728    559,289 
Other income (expenses)   
-
    (2)
Corporate general and administrative   1,737,062    1,783,765 
Debt extinguishment loss   
-
    728,278 
           
Net Income  $(2,415,036)  $(3,421,792)
16. Segment Information

 

Management evaluates the Company’s veterinary clinics as a single reportable segment as a result of aggregating multiple operating segments, because all of the Company’s veterinary clinics have similar economic characteristics and provide similar services to similar types of customers. Our single reportable segment comprises the structure used by our Chief Executive Officer, who collectively have been determined to be our Chief Operating Decision Maker (“CODM”), to make key operating decisions and assess performance. Our CODM evaluates our single reportable segment’s operating performance based on individual veterinary clinic net income (loss) before interest expense, income tax expense, depreciation and amortization, corporate general and administrative expense, loss on debt modification, gain of sale, interest and other income, and gains or losses on sales of clinic (“Adjusted Clinic EBITDA”). Our single reportable segment’s assets are consistent with total assets included in the Company’s consolidated balance sheets.

The following table includes revenue, significant veterinary clinic and hospital operating expenses, and Adjusted Clinic EBITDA for the Company’s clinics, reconciled to the consolidated amounts included in the Company’s consolidated statements of operations:

 

   For the year ended
December 31,		 
   2024   2023 
Revenue        
Service revenue  $12,188,526   $11,879,934 
Product revenue   4,403,583    4,795,459 
Total Clinics level revenue   16,592,109    16,675,393 
           
Operating expenses          
Cost of service revenue (exclusive of depreciation and amortization, shown separately below)   9,736,282    9,700,963 
Cost of product revenue (exclusive of depreciation and amortization, shown separately below)   3,563,279    3,420,515 
General and administrative expenses   2,688,157    3,056,702 
Total Clinics level expenses   15,987,718    16,178,180 
Adjusted Clinics EBITDA  $604,391   $497,213 
           
Reconciliation of Adjusted Clinics EBITDA to net loss          
Depreciation and amortization   1,308,619    1,252,539 
Gain on sale of business   (467,049)   
-
 
Loss on debt extinguishment   
-
    16,105 
Interest expense   3,098,237    2,538,710 
Loss on debt modification   2,134,218    927,054 
Beneficial conversion feature   
-
    4,137,261 
Other income (expenses)   4,768    (1,134)
Corporate general and administrative   8,733,195    6,419,585 
Impairment expense   56,664    
-
 
Net Loss  $(14,264,261)  $(14,792,907)