v3.26.1
Note 2 - Reportable Segments
6 Months Ended
Jun. 30, 2026
Notes to Financial Statements  
Segment Reporting [Text Block]

NOTE 2 REPORTABLE SEGMENTS

 

The Company currently operates in two reportable segments based upon its organizational structure and the way in which its operations are managed and evaluated. The Company’s largest segment is Land and Water Resources, which comprises all activities regarding its properties in the eastern Mojave Desert including pre-revenue development of the Mojave Groundwater Bank (supply, storage and conveyance), and agricultural operations. The Company’s second operating segment is its Water Treatment Technology business, consisting of ATEC Water Systems LLC (“ATEC”), which provides innovative water treatment solutions for impaired or contaminated groundwater sources. The Chief Operating Decision-Maker for our Land and Water Resources segment is the Chief Executive Officer of Cadiz Inc. and for the Water Treatment Technology segment is the Chief Executive Officer of ATEC.

 

We evaluate our performance based on segment operating (loss). Interest expense, income tax expense and losses related to equity method investments are excluded from the computation of operating (loss) for the segments. Segment net revenue, segment operating expenses and segment operating (loss)/income information consisted of the following for the three and six ended June 30, 2026 and 2025:

 

  

Three Months Ended June 30, 2026

 

(in thousands)

 

Land and Water Resources

  

Water

Treatment Technology

  

Total

 
             

Revenues

  219   760   979 
             

Costs and expenses:

            

Cost of sales

  423   580   1,003 

General and administrative

  7,380   1,044   8,424 

Depreciation

  372   15   387 
             

Total costs and expenses

  8,175   1,639   9,814 
             

Operating (loss) income

 $(7,956) $(879) $(8,835)

 

 

  

Three Months Ended June 30, 2025

 

(in thousands)

 

Land and Water Resources

  

Water

Treatment Technology

  

Total

 
             

Revenues

  431   3,695   4,126 
             

Costs and expenses:

            

Cost of sales

  614   2,051   2,665 

General and administrative

  5,750   1,185   6,935 

Depreciation

  294   9   303 
             

Total costs and expenses

  6,658   3,245   9,903 
             

Operating (loss) income

 $(6,227) $450  $(5,777)

 

 

  

Six Months Ended June 30, 2026

 

(in thousands)

 

Land and Water Resources

  

Water

Treatment Technology

  

Total

 
             

Revenues

  577   2,034   2,611 
             

Costs and expenses:

            

Cost of sales

  705   1,505   2,210 

General and administrative

  13,124   2,177   15,301 

Depreciation

  744   26   770 
             

Total costs and expenses

  14,573   3,708   18,281 
             

Operating (loss) income

 $(13,996) $(1,674) $(15,670)

 

 

  

Six Months Ended June 30, 2025

 

(in thousands)

 

Land and Water Resources

  

Water

Treatment Technology

  

Total

 
             

Revenues

  996   6,084   7,080 
             

Costs and expenses:

            

Cost of sales

  1,113   3,630   4,743 

General and administrative

  13,147   1,895   15,042 

Depreciation

  589   16   605 
             

Total costs and expenses

  14,849   5,541   20,390 
             

Operating (loss) income

 $(13,853) $543  $(13,310)

 

Assets by operating segment are as follows (dollars in thousands):

 

  

June 30,

2026

  

December 31,

2025

 

Operating Segment:

        

Water and Land Resources

 $126,887  $130,900 

Water Treatment Technology

  7,876   10,014 
  $134,763  $140,914 

 

 

Goodwill by operating segment is as follows (dollars in thousands):

 

  

June 30,

2026

  

December 31,

2025

 

Operating Segment:

        

Water and Land Resources

 $3,813  $3,813 

Water Treatment Technology

  1,901   1,901 
  $5,714  $5,714 

 

Property, plant, equipment and water programs consist of the following (dollars in thousands):

 

  

June 30, 2026

 
  

Water and Land

Resources

  

Water Treatment

Technology

  

Total

 
             

Land and land improvements

 $39,211  $-  $39,211 

Water programs

  32,457   -   32,457 

Pipeline

  22,109   -   22,109 

Buildings

  1,837   -   1,837 

Leasehold improvements, furniture and fixtures

  1,616   8   1,624 

Machinery and equipment

  4,076   513   4,589 

Construction in progress

  7,655   173   7,828 
   108,961   694   109,655 

Less accumulated depreciation

  (12,369)  (222)  (12,591)
  $96,592  $472  $97,064 

 

 

  

December 31, 2025

 
  

Water and Land

Resources

  

Water Treatment

Technology

  

Total

 
             

Land and land improvements

 $39,211  $-  $39,211 

Water programs

  32,023   -   32,023 

Pipeline

  22,106   -   22,106 

Buildings

  1,805   -   1,805 

Leasehold improvements, furniture and fixtures

  1,616   7   1,623 

Machinery and equipment

  4,032   395   4,427 

Construction in progress

  5,940   78   6,018 
   106,733   480   107,213 

Less accumulated depreciation

  (11,625)  (204)  (11,829)
  $95,108  $276  $95,384