v3.26.1
Segment Information
 12 Months Ended
Feb. 28, 2026
Segment Reporting [Abstract]  
Segment Information

NOTE 24 – Segment Information

 

ASC Topic 280, Segment Reporting, establishes standards for reporting information about operating segments. Operating segments are defined as components of a reporting entity, the operating results of which are reviewed regularly by the chief operating decision maker (“CODM”) to make decisions about resource allocation and to assess performance. Our CODM is our Chief Executive Officer.

 

 

In response to acquisitions and expanded business activities, during the third quarter of Fiscal 2026, our CODM requested changes in the information that he regularly reviews for purposes of allocating resources and assessing performance. As a result, we have updated our reporting and beginning in the third quarter of fiscal 2026, we report our financial performance based on our new segments: “Travel” and “Media”. Our Travel segment provides travelers with a full range of travel services through its NXT2.0 booking engine, which offers extensive inventory and a platform for curating personalized experiences and efficient trip planning and booking. In addition, Five Star Alliance provides luxury and cruise offerings, and TA Pipeline provides a group-travel agency platform for conferences, conventions, weddings, and affinity groups. Our Media segment consists of JOURNY.tv, a Connected TV Channel broadcast as Free Ad Supported Streaming TV (“FAST”) and Advertising Video on Demand (“AVOD”) that specializes in travel, adventure, and culture-focused content, and Travel Magazine, an online travel magazine that provides articles, tips, guides and inspiration for travelers. We leverage our media brands—TravelMagazine.com and JOURNY.tv—as strategic tools to generate travel bookings by integrating content, marketing, and booking technology as well as to generate advertising revenues for third-party content. Additional information regarding our operating segments can be found in the overview section of Item 7 of this Annual Report, entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations” Prior periods disclosed below have been recast to conform to these newly identified segments.

 

Our primary operating metric is Operating Income (Loss). Operating Income (Loss) for our Travel and Media segments includes direct expenses of the segments as well as allocations of certain expenses, primarily salaries and benefits, third party contractors, sales and marketing, and technology We base the allocations primarily on transaction volumes and other usage metrics. We do not allocate shared corporate expenses such as accounting, human resources, certain information technology and legal to our reportable segments. We include these expenses in Corporate. Our allocation methodology will be periodically evaluated and may change as the segments evolve.

 

The significant segment expense categories that are regularly provided to the CODM and that are included in the reported measure of segment Operating Income (Loss) are: cost of revenue; salaries and benefits; sales and marketing; professional service fees; technology; and other expenses. ‘Other expenses’ by segment consists primarily of merchant processing and bank fees, regulatory fees, and general operating costs not separately captured in the listed categories. Operating Income (Loss) is the only measure of segment profit or loss regularly provided to the CODM.

 

Our CODM currently uses Operating Income (Loss) to assess performance in the monthly financial review process. Because our segments have been newly formed, the financial reporting framework continues to be under development and in the future will be used to assess performance and allocate resources for the segments in the annual budget and quarterly forecasting processes. The CODM will consider budget-to-actual variances on a monthly basis using Operating Income (Loss) when making decisions about allocating capital and personnel to the segments. The CODM also anticipates using Operating Income (Loss) to assess the performance and compensation of certain employees.

 

Corporate includes unallocated corporate functions including finance and administration, technology, and corporate development. In addition, we record amortization of intangible assets and any related impairment, investor relations, stock-based compensation expense, legal and audit, directors’ compensation and other items excluded from segment operating performance in Corporate. Such amounts are detailed in our segment reconciliation below.

 

The following tables present our segment information for the twelve months ended February 28, 2026 and 2025. As a significant portion of our property and equipment is not allocated to our operating segments and depreciation and amortization is not included in our segment measure, we do not report the assets by segment as it would not be meaningful. We do not regularly provide such information to our chief operating decision maker.

 

All of our revenues are attributed to customers located in the United States; therefore, no revenues are reported from foreign geographic areas.

 

For the fiscal years ended February 28, 2026 and February 28, 2025, no individual customer represented 10% or more of the Company’s consolidated revenues.

 

  

   Media   Travel   Corporate   Total 
   Twelve Months Ended February 28, 2026 
   Media   Travel   Corporate   Total 
Revenue  $94,723   $3,620,805   $-   $3,715,528 
Cost of revenue (exclusive of depreciation and amortization, shown separately below)   -    (3,063,042

)

   -    

(3,063,042		)
Gross profit (loss)   94,723    557,763    -    652,486 
                     
Operating Expenses:                    
Salaries and benefits   231,797    1,080,668    1,491,653    2,804,118 
Stock based compensation   -    -    193,125    193,125 
General and administrative   32,482    87,087    83,205    202,774 
Sales and marketing   247,627    154,825    84,287    486,739 
Professional service fees   641,277    115,181    6,755,951    7,512,409 
Technology   375,542    369,345    303,073    1,047,960 
Organization costs   -    -    2,580,829    2,580,829 
Depreciation and amortization   -    -    1,097,804    1,097,804 
Asset impairment charge   -    -    463,860    463,860 
Provision for credit loss             315,495    315,495 
Other expenses   -    105,923    206,624    312,547 
Total Operating Expenses   1,528,725    1,913,029    13,575,906    17,017,660 
Operating Loss  $(1,434,002)  $(1,355,266)  $(13,575,906)  $(16,365,174)
                     
Other Income (Expense)                    
Other Income (Expense)                  1,616,935 
Loss on disposal of assets                  - 
Loss on promissory note receivable                  - 
Gain (Loss) on derivative liability                  50,000 
Gain (Loss) on extinguishment of liability                  (95,600)
Interest income (expense), net                  (1,106,788)
Total Other Income (Expense)                  464,547 
Net income (loss) from continuing operations before taxes                  (15,900,627)
Provision for income taxes                  - 
Net income (loss) from continuing operations before share of net income (loss) in equity method investee                  (15,900,627)
Share of net income (loss) of equity method investee                  (11,307)
Net gain (loss) from continuing operations                  (15,911,934)
Net gain (loss) from discontinued operations, net of taxes                  - 
Net income (loss)                  (15,911,934)
Preferred dividends                  (335,662)
Net Income (Loss) Applicable to Common Stockholders                 $(16,247,596)

 

 

   Media (1)   Travel   Corporate   Total 
   Twelve Months Ended February 28, 2025 
   Media (1)   Travel   Corporate   Total 
Revenue  $-   $501,423   $-   $501,423 
Cost of revenue (exclusive of depreciation and amortization, shown separately below)   -    (498,121)   -    (498,121)
Gross profit (loss)   -    3,302    -    3,302 
                     
Operating Expenses:                    
Salaries and benefits   -    991,771    1,638,892    2,630,663 
Stock based compensation   -    -    67,874    67,874 
General and administrative   -    39,679    55,662    95,341 
Sales and marketing   -    265,500    41,666    307,166 
Professional service fees   -    6,200    2,222,281    2,228,481 
Technology   -    619,594    223,702    843,296 
Organization costs   -    -    213,613    213,613 
Depreciation and amortization   -    -    713,236    713,236 
Other expenses   -    45,548    271,513    317,061 
Total Operating Expenses   -    1,968,292    5,448,439    7,416,731 
Operating Loss  $-   $(1,964,990)  $(5,448,439)  $(7,413,429)
                     
Other Income (Expense)                    
Other Income (Expense)                  16,099 
Loss on disposal of assets                  (90)
Gain (Loss) on extinguishment of liability                  (1,134,579)
Loss on promissory note receivable                  (1,000,000)
Interest income (expense), net                  (589,039)
Total Other Income (Expense)                  (2,707,609)
Net income (loss) from continuing operations before taxes                  (10,121,038)
Provision for income taxes                  - 
Net income (loss) from continuing operations before share of net income (loss) in equity method investee                  (10,121,038)
Share of net income (loss) of equity method investee                  (7,390)
Net gain (loss) from continuing operations                  (10,128,428)
Net gain (loss) from discontinued operations, net of taxes                  8,344 
Net income (loss)                  (10,120,084)
Preferred dividends                  (78,600)
Net Income (Loss) Applicable to Common Stockholders                 $(10,198,684)

 

  (1) There were no operations within the Media segment during the fiscal year ended February 28, 2025. The Company’s Media operations — JOURNY.tv, GoUSA TV, and Travel Magazine — were acquired or launched during fiscal year 2026. Accordingly, FY2025 Media-segment amounts are zero, and no recast adjustments to FY2025 Travel- or Corporate-segment results were required for items attributable to the Media segment.