| Segment Information |
16. Segment Information Operating segments are defined as components of an enterprise that engage in business activities that may recognize revenues and incur expenses for which discrete financial information is available and regularly reviewed by the chief operating decision maker (“CODM”) in deciding how to allocate resources and to assess performance. In accordance with ASC 280, Segment Reporting, the Company’s CODM has been identified as the Chief Executive Officer. The Company has two operating and reportable segments: (1) Specialty Finance and (2) Fleet Operations. The specialty finance segment is primarily comprised of owning and servicing loans to generate interest income and other revenues. The fleet operations segment is primarily comprised of operating a taxi fleet and leasing taxicab vehicles and medallions to drivers to generate fleet revenues. The Company also retains various other income and corporate expenses that are not allocated to the reportable segments, which are presented as “Other” in the reconciliation below. The CODM assesses financial conditions and segment operating results to allocate resources and assess segment profitability consistent with its significant accounting policies and results presented within these unaudited condensed consolidated financial statements, including revenues and net income (loss) on the condensed consolidated statements of operations and total assets on the condensed consolidated balance sheets. The CODM reviews these measures on a quarterly basis in connection with budget-to-actual variance analyses and uses this information to assess operating performance, identify trends, and make resource allocation decisions across the Company’s business activities. In addition, the CODM reviews significant segment expenses consisting of those reported on the condensed consolidated statements of operations. The CODM uses segment net income (loss) to evaluate segment operating performance, generate future operating plans, and make strategic decisions. The following tables provides information about our segments and a reconciliation to net income (loss) (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June 30, 2026 |
|
|
|
Specialty Finance |
|
|
Fleet Operations |
|
|
Total Reportable Segments |
|
|
Other |
|
|
Total |
|
Statement of Operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fleet revenue |
|
$ |
- |
|
|
$ |
19,172 |
|
|
$ |
19,172 |
|
|
$ |
- |
|
|
$ |
19,172 |
|
Interest income |
|
|
7,519 |
|
|
|
- |
|
|
|
7,519 |
|
|
|
58 |
|
|
|
7,577 |
|
Other revenue |
|
|
3,857 |
|
|
|
197 |
|
|
|
4,054 |
|
|
|
- |
|
|
|
4,054 |
|
Total revenue |
|
|
11,376 |
|
|
|
19,369 |
|
|
|
30,745 |
|
|
|
58 |
|
|
|
30,803 |
|
Cost of fleet revenue, net (exclusive of depreciation) |
|
|
- |
|
|
|
16,523 |
|
|
|
16,523 |
|
|
|
- |
|
|
|
16,523 |
|
Depreciation of rental vehicles |
|
|
- |
|
|
|
3,741 |
|
|
|
3,741 |
|
|
|
- |
|
|
|
3,741 |
|
Service fee expense |
|
|
2,636 |
|
|
|
- |
|
|
|
2,636 |
|
|
|
- |
|
|
|
2,636 |
|
Management fee expense - related party |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
4,442 |
|
|
|
4,442 |
|
Depreciation of property and equipment |
|
|
- |
|
|
|
111 |
|
|
|
111 |
|
|
|
- |
|
|
|
111 |
|
General and administrative |
|
|
- |
|
|
|
3,409 |
|
|
|
3,409 |
|
|
|
2,306 |
|
|
|
5,715 |
|
Professional fees |
|
|
1,641 |
|
|
|
620 |
|
|
|
2,261 |
|
|
|
3,151 |
|
|
|
5,412 |
|
Total operating expenses |
|
|
4,277 |
|
|
|
24,404 |
|
|
|
28,681 |
|
|
|
9,899 |
|
|
|
38,580 |
|
Other income (expense), net |
|
|
(921 |
) |
|
|
295 |
|
|
|
(626 |
) |
|
|
(1,348 |
) |
|
|
(1,974 |
) |
Income tax (expense) benefit |
|
|
(2,187 |
) |
|
|
1,679 |
|
|
|
(508 |
) |
|
|
3,990 |
|
|
|
3,482 |
|
Net income (loss) |
|
$ |
3,991 |
|
|
$ |
(3,061 |
) |
|
$ |
930 |
|
|
$ |
(7,199 |
) |
|
$ |
(6,269 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Six Months Ended June 30, 2025 |
|
|
|
Specialty Finance |
|
|
Fleet Operations |
|
|
Total Reportable Segments |
|
|
Other |
|
|
Total |
|
Statement of Operations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fleet revenue |
|
$ |
- |
|
|
$ |
13,228 |
|
|
$ |
13,228 |
|
|
$ |
- |
|
|
$ |
13,228 |
|
Interest income |
|
|
6,076 |
|
|
|
- |
|
|
|
6,076 |
|
|
|
238 |
|
|
|
6,314 |
|
Other revenue |
|
|
2,673 |
|
|
|
131 |
|
|
|
2,804 |
|
|
|
- |
|
|
|
2,804 |
|
Total revenue |
|
|
8,749 |
|
|
|
13,359 |
|
|
|
22,108 |
|
|
|
238 |
|
|
|
22,346 |
|
Cost of fleet revenue, net (exclusive of depreciation) |
|
|
- |
|
|
|
4,785 |
|
|
|
4,785 |
|
|
|
- |
|
|
|
4,785 |
|
Depreciation of rental vehicles |
|
|
- |
|
|
|
1,282 |
|
|
|
1,282 |
|
|
|
- |
|
|
|
1,282 |
|
Service fee expense |
|
|
2,250 |
|
|
|
- |
|
|
|
2,250 |
|
|
|
- |
|
|
|
2,250 |
|
Management fee expense - related party |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
1,683 |
|
|
|
1,683 |
|
Depreciation of property and equipment |
|
|
- |
|
|
|
28 |
|
|
|
28 |
|
|
|
- |
|
|
|
28 |
|
General and administrative |
|
|
- |
|
|
|
467 |
|
|
|
467 |
|
|
|
2,797 |
|
|
|
3,264 |
|
Professional fees |
|
|
464 |
|
|
|
1,038 |
|
|
|
1,502 |
|
|
|
4,886 |
|
|
|
6,388 |
|
Total operating expenses |
|
|
2,714 |
|
|
|
7,600 |
|
|
|
10,314 |
|
|
|
9,366 |
|
|
|
19,680 |
|
Other income (expense) |
|
|
(4,667 |
) |
|
|
220 |
|
|
|
(4,447 |
) |
|
|
41 |
|
|
|
(4,406 |
) |
Income tax (expense) benefit |
|
|
(32,832 |
) |
|
|
(19,346 |
) |
|
|
(52,178 |
) |
|
|
2,895 |
|
|
|
(49,283 |
) |
Net income (loss) |
|
$ |
(31,464 |
) |
|
$ |
(13,367 |
) |
|
$ |
(44,831 |
) |
|
$ |
(6,192 |
) |
|
$ |
(51,023 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30, 2026 |
|
|
|
Specialty Finance |
|
|
Fleet Operations |
|
|
Total Reportable Segments |
|
|
All Other |
|
|
Total |
|
Income statement |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fleet revenue |
|
$ |
- |
|
|
$ |
10,443 |
|
|
$ |
10,443 |
|
|
$ |
- |
|
|
$ |
10,443 |
|
Interest income |
|
|
3,983 |
|
|
|
- |
|
|
|
3,983 |
|
|
|
- |
|
|
|
3,983 |
|
Other revenue |
|
|
2,162 |
|
|
|
93 |
|
|
|
2,255 |
|
|
|
- |
|
|
|
2,255 |
|
Total revenue |
|
|
6,145 |
|
|
|
10,536 |
|
|
|
16,681 |
|
|
|
- |
|
|
|
16,681 |
|
Cost of fleet revenue, net (exclusive of depreciation) |
|
|
- |
|
|
|
8,892 |
|
|
|
8,892 |
|
|
|
- |
|
|
|
8,892 |
|
Depreciation of rental vehicles |
|
|
- |
|
|
|
2,222 |
|
|
|
2,222 |
|
|
|
- |
|
|
|
2,222 |
|
Service fee expense |
|
|
1,435 |
|
|
|
- |
|
|
|
1,435 |
|
|
|
- |
|
|
|
1,435 |
|
Management fee expense - related party |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
2,216 |
|
|
|
2,216 |
|
Depreciation of property and equipment |
|
|
- |
|
|
|
45 |
|
|
|
45 |
|
|
|
- |
|
|
|
45 |
|
General and administrative |
|
|
- |
|
|
|
1,882 |
|
|
|
1,882 |
|
|
|
1,006 |
|
|
|
2,888 |
|
Professional fees |
|
|
1,024 |
|
|
|
452 |
|
|
|
1,476 |
|
|
|
1,806 |
|
|
|
3,282 |
|
Total operating expenses |
|
|
2,459 |
|
|
|
13,493 |
|
|
|
15,952 |
|
|
|
5,028 |
|
|
|
20,980 |
|
Other (expense) income |
|
|
(547 |
) |
|
|
22 |
|
|
|
(525 |
) |
|
|
(524 |
) |
|
|
(1,049 |
) |
Income tax (expense) benefit |
|
|
(357 |
) |
|
|
197 |
|
|
|
(160 |
) |
|
|
719 |
|
|
|
559 |
|
Net income (loss) |
|
$ |
2,782 |
|
|
$ |
(2,738 |
) |
|
$ |
44 |
|
|
$ |
(4,833 |
) |
|
$ |
(4,789 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30, 2025 |
|
|
|
Specialty Finance |
|
|
Fleet Operations |
|
|
Total Reportable Segments |
|
|
All Other |
|
|
Total |
|
Income statement |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fleet revenue |
|
$ |
- |
|
|
$ |
13,228 |
|
|
$ |
13,228 |
|
|
$ |
- |
|
|
$ |
13,228 |
|
Interest income |
|
|
2,982 |
|
|
|
- |
|
|
|
2,982 |
|
|
|
46 |
|
|
|
3,028 |
|
Other revenue |
|
|
1,370 |
|
|
|
131 |
|
|
|
1,501 |
|
|
|
- |
|
|
|
1,501 |
|
Total revenue |
|
|
4,352 |
|
|
|
13,359 |
|
|
|
17,711 |
|
|
|
46 |
|
|
|
17,757 |
|
Cost of fleet revenue, net (exclusive of depreciation) |
|
|
- |
|
|
|
3,470 |
|
|
|
3,470 |
|
|
|
- |
|
|
|
3,470 |
|
Depreciation of rental vehicles |
|
|
- |
|
|
|
743 |
|
|
|
743 |
|
|
|
- |
|
|
|
743 |
|
Service fee expense |
|
|
1,125 |
|
|
|
- |
|
|
|
1,125 |
|
|
|
- |
|
|
|
1,125 |
|
Management fee expense - related party |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
1,683 |
|
|
|
1,683 |
|
Depreciation of property and equipment |
|
|
- |
|
|
|
28 |
|
|
|
28 |
|
|
|
- |
|
|
|
28 |
|
General and administrative |
|
|
- |
|
|
|
467 |
|
|
|
467 |
|
|
|
2,680 |
|
|
|
3,147 |
|
Professional fees |
|
|
370 |
|
|
|
287 |
|
|
|
657 |
|
|
|
3,348 |
|
|
|
4,005 |
|
Total operating expenses |
|
|
1,495 |
|
|
|
4,995 |
|
|
|
6,490 |
|
|
|
7,711 |
|
|
|
14,201 |
|
Other (expense) income |
|
|
(1,871 |
) |
|
|
220 |
|
|
|
(1,651 |
) |
|
|
41 |
|
|
|
(1,610 |
) |
Income tax (expense) benefit |
|
|
(32,832 |
) |
|
|
(19,346 |
) |
|
|
(52,178 |
) |
|
|
2,895 |
|
|
|
(49,283 |
) |
Net income (loss) |
|
$ |
(31,846 |
) |
|
$ |
(10,762 |
) |
|
$ |
(42,608 |
) |
|
$ |
(4,729 |
) |
|
$ |
(47,337 |
) |
The following tables reconcile segment assets to consolidated assets on the condensed consolidated balance sheets (in thousands):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30, 2026 |
|
|
|
Specialty Finance |
|
|
Fleet Operations |
|
|
Total Reportable Segments |
|
|
Other |
|
|
Total |
|
Balance sheet |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for investment, at fair value |
|
$ |
259,884 |
|
|
$ |
- |
|
|
$ |
259,884 |
|
|
$ |
- |
|
|
$ |
259,884 |
|
Intangible assets |
|
|
- |
|
|
|
376,072 |
|
|
|
376,072 |
|
|
|
- |
|
|
|
376,072 |
|
Other assets |
|
|
1,435 |
|
|
|
60,192 |
|
|
|
61,627 |
|
|
|
7,310 |
|
|
|
68,937 |
|
Total assets |
|
|
261,319 |
|
|
|
436,264 |
|
|
|
697,583 |
|
|
|
7,310 |
|
|
|
704,893 |
|
Total liabilities |
|
$ |
34,605 |
|
|
$ |
32,772 |
|
|
$ |
67,377 |
|
|
$ |
49,372 |
|
|
$ |
116,749 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2025 |
|
|
|
Specialty Finance |
|
|
Fleet Operations |
|
|
Total Reportable Segments |
|
|
Other |
|
|
Total |
|
Balance sheet |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for investment, at fair value |
|
$ |
281,671 |
|
|
$ |
- |
|
|
$ |
281,671 |
|
|
$ |
- |
|
|
$ |
281,671 |
|
Intangible assets |
|
|
- |
|
|
|
359,022 |
|
|
|
359,022 |
|
|
|
- |
|
|
|
359,022 |
|
Other assets |
|
|
1,143 |
|
|
|
48,663 |
|
|
|
49,806 |
|
|
|
22,533 |
|
|
|
72,339 |
|
Total assets |
|
|
282,814 |
|
|
|
407,685 |
|
|
|
690,499 |
|
|
|
22,533 |
|
|
|
713,032 |
|
Total liabilities |
|
$ |
34,301 |
|
|
$ |
32,943 |
|
|
$ |
67,244 |
|
|
$ |
49,518 |
|
|
$ |
116,762 |
|
|