v3.26.1
SEGMENT AND ENTITY-WIDE INFORMATION
 6 Months Ended
Jun. 30, 2026
SEGMENT AND ENTITY-WIDE INFORMATION  
SEGMENT AND ENTITY-WIDE INFORMATION

NOTE 14 — SEGMENT AND ENTITY-WIDE INFORMATION

 

The Company operates as a single operating segment and a single reportable segment. The Company’s chief operating decision maker (the “CODM”) is the Chief Executive Officer. The CODM uses consolidated net loss to evaluate performance and to decide how to allocate the Company’s operating and capital resources, including in budgeting and in monitoring results against prior periods. The measure of segment assets reported to the CODM is total consolidated assets, which were $4,680,235 at June 30, 2026.

 

The significant segment expenses regularly provided to the CODM and included in the measure of segment profit or loss are cost of revenue, general and administrative expenses and research and development expenses. Other segment items consist of the $135,000 impairment charge in respect of software the Company is no longer pursuing, other income, interest expense on convertible debentures and loans payable, foreign exchange gains and losses, and income taxes.

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30,

 

 

June 30,

 

 

 

2026

 

 

2025

 

 

2026

 

 

2025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$1,110,112

 

 

$-

 

 

$1,110,112

 

 

$-

 

Cost of revenue

 

 

(672,899 )

 

 

-

 

 

 

(672,899 )

 

 

-

 

General and administrative

 

 

(659,287 )

 

 

(88,402 )

 

 

(767,756 )

 

 

(189,496 )

Research and development

 

 

(23,000 )

 

 

(10,500 )

 

 

(30,000 )

 

 

(17,500 )

Other segment items

 

 

(185,382 )

 

 

(8,564 )

 

 

(197,144 )

 

 

(35,321 )

Segment net loss

 

$(430,456 )

 

$(107,466 )

 

$(557,687 )

 

$(242,317 )

 

Revenue is derived from a single line of business, the provision of outsourced digital content production and related creative services under master services agreements with customers. All revenue is recognized over time as the services are performed.

 

Revenues are attributed to the country in which the customer is located. For both the three and six months ended June 30, 2026, revenues were $556,286 in the United States, $167,561 in Finland, $166,474 in Sweden, $106,588 in the United Kingdom, $96,421 in Belgium and $16,782 in other countries. Revenues from customers located in Europe were $553,826 in the aggregate. The Company had no revenue in the three and six months ended June 30, 2025.

 

Long-lived assets, which comprise property and equipment and right of use assets and exclude goodwill and intangible assets, were located in the Philippines in the amount of $392,392 and in the United States in the amount of $27,726 at June 30, 2026.

 

Four customers each accounted for 10% or more of consolidated revenue for the three and six months ended June 30, 2026, representing 24.0%, 22.1%, 15.1% and 15.0% of revenue and 76.2% in the aggregate. All revenue is attributable to the Company’s single reportable segment. The Company had no customers and no revenue in the comparable 2025 periods.