v3.26.1
Segment Information
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Information

NOTE 11 - Segment Information

 

The Company has determined that it operates as a single operating segment. The Company offers a one AI-powered enterprise software and technology platform for the enterprise. The flagship product, the CXAI Platform (pronounced “Sky”), provides a comprehensive suite of tools designed to empower employees and enable organizations to create smarter workplaces. The Company’s Chief Executive Officer is the Chief Operating Decision Maker (“CODM”). The CODM allocates resources and makes operating decisions based on consolidated net income.

 

The Company derives revenue from subscription software, professional services, hardware and, following the acquisition of Virtus Digital Marketing Pty Ltd, doing business as EngineRoom, managed advertising and growth marketing advisory services. Although discrete financial information may be prepared for individual legal entities, revenue categories or geographic areas for accounting, consolidation or statutory-reporting purposes, the CODM does not regularly use separate measures of profit or loss for those components to assess performance or allocate resources. Accordingly, the Company’s components are managed and evaluated on a consolidated basis and constitute one operating and reportable segment.

 

EngineRoom’s results have been included in the Company’s consolidated operating results beginning June 3, 2026, the acquisition date. The acquisition did not change the Company’s identification of its CODM or its conclusion that it has one operating and reportable segment.

 

The CODM does not evaluate profitability below the level of the consolidated company. The Company uses net income (loss) as the primary measure of financial performance. However, in evaluating operating results on a budget versus actual basis, the Company focuses primarily on significant operating expense categories, including cost of revenue, professional services, sales and marketing, research and development, and general and administrative expenses, when evaluating period-over-period operating performance. In contrast, the Company places less emphasis on non-cash and non-operating items, such as stock-based compensation, amortization of intangible assets, changes in the fair value of warrant liabilities, loss on debt extinguishment, and other similar adjustments, in its internal analysis of operating results.

 

As the Company’s operations are comprised of a single reporting segment, the Company’s segment assets are reflected on the accompanying unaudited condensed consolidated interim balance sheet as “total assets” and its significant segment expenses and net loss are listed on the accompanying unaudited condensed consolidated interim statements of operations and comprehensive loss.

 

The Company’s operations are located primarily in the United States, Canada, the Philippines and Australia. The financial information by geographic area is presented below in (thousands).

 

                                               
    United States     Canada     Philippines     Australia     Eliminations     Total  
As of June 30, 2026:                                                
Identifiable assets by geographic area   $ 31,353     $ 78     $ 187       4,922     $ -     $ 36,540  
Long lived assets by geographic area   $ 11,742     $ 2     $ 64       3,499     $ -     $ 15,307  
Goodwill by geographic area   $ 6,589     $ -     $ -       1,092     $ -     $ 7,681  
                                                 
As of December 31, 2025:                                                
Identifiable assets by geographic area   $ 32,094     $ 125     $ 211       -     $ -     $ 32,430  
Long lived assets by geographic area   $ 12,775     $ 57     $ 103       -     $ -     $ 12,935  
Goodwill by geographic area   $ 6,589     $ -     $ -       -     $ -     $ 6,589