| Schedule of Segment Information |
The following tables provide summarized information about the Company’s operations by reportable segment and a reconciliation of Adjusted EBITDA to loss before income taxes for the three and six months ended June 30, 2026 and 2025: | | | | | | | | | | | | | Three Months Ended June 30, | | 2026 | | 2025 | | Revenue | | | | | Skillz | $ | 20,771 | | | $ | 19,365 | | | RZR | 10,349 | | | 5,916 | | Eliminations(1) | (128) | | | (67) | | | Total Revenue | $ | 30,992 | | | $ | 25,214 | | | | | | | Adjusted EBITDA | | | | | Skillz | $ | 583 | | | $ | (2,665) | | | RZR | 1,930 | | | (62) | | Corporate(2) | (16,066) | | | (8,700) | | | Total Adjusted EBITDA | $ | (13,553) | | | $ | (11,427) | | | | | | | Items to reconcile Adjusted EBITDA to net loss before income taxes: | | | | | Interest expense, net of interest income | $ | (2,424) | | | $ | (1,321) | | | Stock-based compensation | (7,019) | | | (4,362) | | | Depreciation and amortization | (995) | | | (194) | | | Other (expense) income, net | (388) | | | (637) | | | Net loss before income taxes | $ | (24,379) | | | $ | (17,941) | |
1.Amounts represent the RZR revenue earned from Skillz. 2.Amounts represent certain corporate executive, legal, finance and accounting, and litigation costs. | | | | | | | | | | | | | Six Months Ended June 30, | | 2026 | | 2025 | | Revenue | | | | | Skillz | $ | 40,398 | | | $ | 36,958 | | | RZR | 20,105 | | | 10,355 | | Eliminations(1) | (406) | | | (202) | | | Total Revenue | $ | 60,097 | | | $ | 47,111 | | | | | | | Adjusted EBITDA | | | | | Skillz | $ | (3,440) | | | $ | (7,670) | | | RZR | 3,794 | | | (1,036) | | Corporate(2) | (26,684) | | | (19,977) | | | Total Adjusted EBITDA | $ | (26,330) | | | $ | (28,683) | | | | | | | Items to reconcile Adjusted EBITDA to net loss before income taxes: | | | | | Interest expense, net of interest income | $ | (4,704) | | | $ | (2,392) | | | Stock-based compensation | (9,776) | | | (9,912) | | | Depreciation and amortization | (1,711) | | | (361) | | Gain from litigation settlement(3) | 7,500 | | | 7,500 | | | Other (expense) income, net | (229) | | | (1,196) | | | Net loss before income taxes | $ | (35,250) | | | $ | (35,044) | |
1.Amounts represent the RZR revenue earned from Skillz. 2.Amounts represent certain corporate executive, legal, finance and accounting, and litigation costs. 3.Amounts represent a gain on a legal settlement recorded in connection with proceeds under terms of a settlement agreement entered into with AviaGames. The following tables provide summarized information about the Company’s operations by reportable segment for the three and six months ended June 30, 2026 and 2025, respectively: | | | | | | | | | | | | | Three Months Ended June 30, 2026 | | Skillz | | RZR | | Revenue | $ | 20,771 | | | $ | 10,349 | | | Less: | | | | | Cost of revenue | 2,445 | | | 1,235 | | | End-user engagement marketing | 6,885 | | | | | Paid acquisition spend | 1,139 | | | | | Headcount expenses | 5,265 | | | 5,409 | | | Consulting fees | 740 | | | 188 | | | Vendor and software expenses | 1,980 | | | 306 | | | Legal fees (non-litigation) | | | 81 | | | Litigation expense | 1,387 | | | | | Office and operations expense | 278 | | | 668 | | Other segment items(1) | 69 | | | 532 | | | Adjusted EBITDA | $ | 583 | | | $ | 1,930 | |
1.Other segment items for each segment are comprised of creative and live event marketing costs, employee event expenses and various miscellaneous expenses. | | | | | | | | | | | | | Three Months Ended June 30, 2025 | | Skillz | | RZR | | Revenue | $ | 19,365 | | | $ | 5,916 | | | Less: | | | | | Cost of revenue | 2,098 | | | 1,052 | | | End-user engagement marketing | 8,100 | | | | | Paid acquisition spend | 3,347 | | | | | Headcount expenses | 5,371 | | | 3,980 | | | Consulting fees | 403 | | | 110 | | | Vendor and software expenses | 2,035 | | | 175 | | | Legal fees (non-litigation) | | | 97 | | | Office and operations expense | 660 | | | 215 | | Other segment items(1) | 16 | | | 349 | | | Adjusted EBITDA | $ | (2,665) | | | $ | (62) | |
1.Other segment items for each segment are comprised of creative and live event marketing costs, tax and license expenses, employee event expenses and various miscellaneous expenses. | | | | | | | | | | | | | Six Months Ended June 30, 2026 | | Skillz | | RZR | | Revenue | $ | 40,398 | | | $ | 20,105 | | | Less: | | | | | Cost of revenue | 4,856 | | | 2,281 | | | End-user engagement marketing | 14,805 | | | | | Paid acquisition spend | 4,047 | | | | | Headcount expenses | 10,974 | | | 10,865 | | | Consulting fees | 2,166 | | | 322 | | | Vendor and software expenses | 3,111 | | | 546 | | | Legal fees (non-litigation) | — | | | 221 | | | Litigation expense | 1,815 | | | | | Office and operations expense | 1,205 | | | 1,002 | | Other segment items(1) | 859 | | | 1,074 | | | Adjusted EBITDA | $ | (3,440) | | | $ | 3,794 | |
1.Other segment items for each segment are comprised of creative and live event marketing costs, employee event expenses and various miscellaneous expenses. | | | | | | | | | | | | | Six Months Ended June 30, 2025 | | Skillz | | RZR | | Revenue | $ | 36,958 | | | $ | 10,355 | | | Less: | | | | | Cost of revenue | 4,076 | | | 2,028 | | | End-user engagement marketing | 16,381 | | | | | Paid acquisition spend | 7,078 | | | | | Headcount expenses | 10,435 | | | 7,533 | | | Consulting fees | 586 | | | 216 | | | Vendor and software expenses | 4,175 | | | 262 | | | Legal fees (non-litigation) | | | 178 | | | Office and operations expense | 1,250 | | | 429 | | Other segment items(1) | 647 | | | 745 | | | Adjusted EBITDA | $ | (7,670) | | | $ | (1,036) | |
1.Other segment items for each segment are comprised of creative and live event marketing costs, tax and license expenses, employee event expenses and various miscellaneous expenses.
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