v3.26.1
Segment and Geographic Information
 9 Months Ended
Apr. 30, 2026
Segment and Geographic Information [Abstract]  
Segment and Geographic Information

Note 11—Segment and Geographic Information

 

Segment Information

 

The Company determines its operating segments based on how its chief operating decision maker (“CODM”) manages the business, allocates resources, makes operating decisions and evaluates operating performance. The Company’s CODM was its Chief Executive Officer as of April 30, 2026.

 

The CODM evaluates the performance of each operating segment using segment income (loss) from operations. The Company defines segment income (loss) from operations as revenue less costs and expenses. Expenses include indirect costs that are allocated to operating segments based on a reasonable allocation methodology, which are generally related to sales and marketing activities and general and administrative overhead. Revenue and expenses exclude transactions between the Company’s operating segments.

 

The CODM uses segment income (loss) from operations to allocate resources during the annual budgeting and forecasting process. The CODM considers segment income (loss) from operations when making decisions on operating and capital resource allocation. Additionally, the CODM uses segment income (loss) from operations to evaluate operating strategy and assess segment performance by comparing the results of each segment.

 

The Company has two reportable segments - Zedge Marketplace and GuruShots. The following table provides information about these two reportable segments (in thousands): 

 

    Three Months Ended
April 30,		     Nine Months Ended
April 30,		  
    2026     2025     2026     2025  
                         
Zedge Marketplace:                        
Revenues   $ 7,484     $ 7,282     $ 22,336     $ 20,195  
Less:                                
Personnel related expenses     2,243       1,907       6,455       6,357  
Users acquisition costs     1,689       1,927       4,817       5,010  
Data center and SaaS costs     550       488       1,715       1,428  
Acquisition and restructuring related charges     -       270       3,715       695  
Other expenses 1     1,256       1,426       4,438       4,465  
Zedge Marketplace segment income from operations     1,746       1,264       1,196       2,240  
GuruShots:                                
Revenues   $ 508     $ 475     $ 1,520     $ 1,735  
Less:                                
Personnel related expenses     620       592       1,785       2,665  
Users acquisition costs     73       115       281       807  
Platform fees     62       85       216       293  
Data center and SaaS costs (including data production costs)     256       223       770       707  
Acquisition and restructuring related charges     -       307       -       1,190  
Other expenses 2     169       257       558       830  
GuruShots segment loss from operations     (672 )     (1,104 )     (2,090 )     (4,757 )
Total segment income (loss) from operations   $ 1,074     $ 160     $ (894 )   $ (2,517 )

 

1. Other expenses for the Zedge Marketplace reportable segment include professional services costs, platform fee, depreciation and amortization, facilities costs, public company related expenses and other individually insignificant costs.

 

2. Other expenses for the GuruShots reportable segment include professional services costs, depreciation and amortization, facilities costs, and other individually insignificant costs.

 

The CODM does not evaluate operating segments using asset information and, accordingly, the Company does not report asset information by segment.

 

Geographic Information

 

Net long-lived assets and total assets held outside of the United States, which are located primarily in Israel and Lithuania, were as follows (in thousands):

 

    United States     Foreign     Total  
Long-lived assets, net:                  
April 30, 2026   $ 2,190     $ 536     $ 2,726  
July 31, 2025   $ 6,120     $ 335     $ 6,455  
                         
Total assets:                        
April 30, 2026   $ 29,238     $ 5,066     $ 34,304  
July 31, 2025   $ 30,504     $ 5,150     $ 35,654