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

10. SEGMENT REPORTING

 

The Company’s Chief Operating Decision Maker (CODM) as defined under GAAP, who is the Company’s Chief Financial Officer, has determined that the Company’s operations are currently organized into four reportable segments: Construction, Software-as-a-Service (“SaaS”), Oil and Gas and Crypto Mining. During 2026, the Company revised its reportable segment presentation to reflect changes in the manner in which the CODM evaluates the Company’s operations. Prior-period segment information has been recast to conform to the current-period presentation. These changes had no impact on the Company’s previously reported consolidated results.

 

The Company allocates to segment results certain operating expenses, including payroll and related expenses, general and administrative expenses, marketing and business development expenses, and pre-project costs, based on usage, which is generally reflected in the segment in which the costs are incurred. These segments reflect the way the CODM evaluates the Company’s business performance and manages its operations.

 

The Construction segment includes the Company’s manufacturing unit and other modular projects. The SaaS segment consists primarily of Machfu and its related industrial IoT products and services. The Oil and Gas segment reflects the operations of Olenox Corp. The Crypto Mining segment consists of the digital infrastructure and cryptocurrency mining operations of CS Digital Ventures, LLC, acquired on May 26, 2026 (see Note 4), and its results are included from the acquisition date.

 

Corporate consists of general corporate expenses such as the Company’s executive office; corporate finance, accounting, tax, human resources, risk management, information technology, marketing and legal functions; corporate overhead; and other items not allocated to any of the Company’s segments. From time to time, the Company revises the measurement of each segment’s cost of revenue and operating expenses, including any corporate overhead allocations, based on the information regularly reviewed by the CODM. The CODM regularly reviews a monthly statement of operations separated by segment, along with an analysis of the significant segment expenses described below. Information for the Company’s segments, as well as Corporate, is provided in the following table:

 

    Construction     SaaS     Oil and Gas     Crypto Mining     Consolidated  
Three Months Ended June 30, 2026
Revenue   $ 488,039     $ 64,803     $ 112,761     $ 1,452,752     $ 2,118,355  
                                         
Significant segment expenses:                                        
Costs of revenue:                                        
Materials and labor     (93,025 )     4,972       —       —       (88,053 )
Crypto-mining costs, excluding depreciation     —       —       —       680,705       680,705  
Oil and gas direct operating costs     —       —       27,202       —       27,202  
Depreciation and amortization     —       1,846       23,101       1,226,031       1,250,978  
Total costs of revenue     (93,025 )     6,818       50,303       1,906,736       1,870,832  
                                         
Gross margin   $ 581,064     $ 57,985     $ 62,458     $ (453,984 )   $ 247,523  
                                         

 

 

    Construction     SaaS     Oil and Gas     Crypto Mining     Consolidated  
Three Months Ended June 30, 2025
Revenue   $ 523,558     $ —     $ 197,793     $ —     $ 721,351  
                                         
Significant segment expenses:                                        
Costs of revenue:                                        
Materials and labor     1,410,828       —       —       —       1,410,828  
Crypto-mining costs, excluding depreciation     —       —       —       —       —  
Oil and gas direct operating costs     —       —       305,931       —       305,931  
Depreciation and amortization     —       —       —       —       —  
Total costs of revenue     1,410,428       —       305,931       —       1,715,819  
                                         
Gross margin   $ (886,870 )   $ —     $ (108,138 )   $ —     $ (994,468 )

 

    Construction     SaaS     Oil and Gas     Crypto Mining     Consolidated  
Six Months Ended June 30, 2026
Revenue   $ 588,511     $ 90,351     $ 272,054     $ 1,452,752     $ 2,403,668  
                                         
Significant segment expenses:                                        
Costs of revenue:                                        
Materials and labor     47,297       15,130       —       —       62,427  
Crypto-mining costs, excluding depreciation     —       —       —       680,705       680,705  
Oil and gas direct operating costs     —       —       243,927       —       243,927  
Depreciation and amortization     —       3,692       46,202       1,226,031       1,275,925  
Total costs of revenue     47,297       18,822       290,129       1,906,736       2,262,984  
                                         
Gross margin   $ 541,214     $ 71,529     $ (18,075 )   $ (453,984 )   $ 140,684  

 

    Construction     SaaS     Oil and Gas     Crypto Mining     Consolidated  
Six Months Ended June 30, 2025
Revenue   $ 1,019,637     $ —     $ 268,068     $ —     $ 1,287,705  
                                         
Significant segment expenses:                                        
Costs of revenue:                                        
Materials and labor     2,264,873       —       —       —       2,605,928  
Crypto-mining costs, excluding depreciation     —       —       —       —       —  
Oil and gas direct operating costs     —       —       341,035       —       —  
Depreciation and amortization     —       —       —       —       —  
Total costs of revenue     2,264,873       —       341,035       —       2,605,928  
                                         
Gross margin   $ (1,245,236 )   $ -     $ (72,967 )   $ -     $ (1,318,223 )