v3.26.1
Note 15 - Segment and Geographic Information
6 Months Ended
Jun. 30, 2026
Notes to Financial Statements  
Segment Reporting [Text Block]

15. Segment and Geographic Information

 

The Company has two reportable segments that consist of operations segmented by geographical region, United States Operations and European Operations. The Chief Operating Decision-Maker (CODM) is the CEO.

 

In evaluating financial performance, the CODM uses Adjusted EBITDA to assess segment performance and decide how to allocate resources. Adjusted EBITDA is defined as earnings before interest expense, income tax expense, depreciation and amortization, and any one time non-operational costs or costs related to financing or capital transactions. The Company uses Adjusted EBITDA because management believes that it can be a useful financial metric in understanding the Company’s earnings from operations. Adjusted EBITDA is not a measure of the Company’s financial performance under GAAP and should not be considered as an alternative to net income or any other performance measure derived in accordance with GAAP. The Company evaluates many of our capital expenditure decisions at a regional level. Accordingly, expenditures on property, plant and equipment and associated debt by segment are presented.

 

The following tables present information related to the Company’s reportable segments. The data has been presented to show the effect of discontinued operations for subsidiaries sold or deconsolidated.

 

  

Three Months Ended

  

Six Months Ended

 
  

June 30,

  

June 30,

 

Net Income/(loss) by Segment

 

2026

  

2025

  

2026

  

2025

 
  

(in thousands)

  

(in thousands)

 

Europe

 $(217) $11,553  $(461) $14,361 

United States

 $(2,370) $(6,319)  (3,018)  (9,307)

Total for the period

 $(2,587) $5,234  $(3,479) $5,054 

 

 

  

As of

  

Year Ended

 
  

June 30,

  

December 31,

 

Assets by Segment

 

2026

  

2025

 
  

(in thousands)

 

Europe

        

Other Assets

 $13  $12 

Total for Europe

 $13  $12 
         

United States

        

Intangible assets

 $36,572  $37,518 

Goodwill

  18,964   18,964 

Other assets

  1,590   550 

Total for United States

 $57,126  $57,032 

 

  

As of

  

Year Ended

 
  

June 30,

  

December 31,

 

Liabilities by Segment

 

2026

  

2025

 
  

(in thousands)

 

Europe – Continuing Operations

        

Debt

 $1,519  $1,176 

Other Liabilities

 $845   1,076 

Total for Europe – Continuing Operations

 $2,364  $2,252 
         

United States – Continuing Operations

        

Debt

 $9,153  $14,885 

Other Liabilities

 $17,072   16,886 

Total for United States – Continuing Operations

 $26,226  $31,771 

 

  

Three Months Ended

  

Six Months Ended

 
  

June 30,

  

June 30,

 

Adjusted EBITDA by Segment

 

2026

  

2025

  

2026

  

2025

 
  

(in thousands)

  

(in thousands)

 

Europe

 $(197) $(198) $(409) $(626)

US

  (1,343)  (3,492)  (2,453)  (4,553)

Total for the period

 $(1,540) $(3,690) $(2,861) $(5,177)

 

Below is a reconciliation of net income to Adjusted EBITDA for the periods presented:

 

  

Three Months Ended

  

Six Months Ended

 
  

June 30,

  

June 30,

 

Adjusted EBITDA Reconciliation to Net Loss

 

2026

  

2025

  

2026

  

2025

 
  

(in thousands)

  

(in thousands)

 

Europe

                

Adjusted EBITDA

 $(197) $(198) $(409) $(626)

Depreciation, amortization, and accretion

  -   -   -   - 

Interest expense

  (19)  (172)  (53)  (526)

Gain on sale of subsidiaries

  -  $11,924   -   15,513 

Net Income /(Loss)

 $(217) $11,554  $(461) $14,361 
                 

US

                

Adjusted EBITDA

 $(1,343) $(3,492) $(2,453) $(4,553)

Depreciation, amortization, and accretion

  (469)  (23)  (946)  (130)

Interest expense

  (364)  (1,065)  (606)  (2,914)

Fair value movement of convertible notes

  (139)  (882)  (2,502)  (887)

Fair value movement of warrants

  -   162   -   162 

Warrant issuance costs

  -   (753)  -   (753)

Stock issued for debt settleent costs

  -   (172)  -   (172)

Issuance cost put option liability (Series D)

  -     

(6

)   

Gain on settlement of debt

  -   -   5,257   - 

Loss on extinguishment of debt

  (25)  -   (1,731)  - 

Other Expense

  (31)  (94)  (31)  (60)

Net Loss

 $(2,370) $(6,319) $(3,018) $(9,307)

Income Taxes

  -   -   -   - 

Consolidated Net Income / (Loss)

 $(2,587) $5,234  $(3,479) $5,054