v3.26.3
Segment Information
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Segment Information

13. Segment Information

 

The Company operates and manages its business as one reportable and operating segment concentrating on the sale of gift cards and discount certificates to our customers. The measure of segment assets is reported on the balance sheet as total consolidated assets. The Company derives revenue primarily in the United States of America and manages its business activities on a consolidated basis.

 

The Company’s chief operating decision maker (CODM), its Chief Executive Officer, reviews financial information presented on a consolidated basis and decides how to allocate resources based on net loss. Consolidated net loss is used for evaluating financial performance. The monitoring of budgeted versus actual results is used in assessing performance of the Company and in establishing management’s compensation.

 

Significant segment expenses include employee compensation, stock-based compensation, merchant fees, and consulting and outside provider costs. Other operating expenses include all remaining costs necessary to operate our business and primarily include advertising, corporate compliance, and overhead expenses.

 

The following table presents the significant segment expenses and other segment items regularly reviewed by our CODM:

 

Schedule of Segment Reporting Information

   2026   2025   2026   2025 
  

Three Months Ended

September 30,

  

Nine Months Ended

September 30,

 
   2026   2025   2026   2025 
                 
Net Sales  $22,323,212   $18,783,908   $65,427,640   $61,961,652 
Cost of sales   17,951,295    15,036,367    52,406,840    50,776,850 
Gross profit   4,371,917    3,747,541    13,020,800    11,184,802 
                     
Operating expenses                    
Employee compensation and benefits   1,557,870    1,624,149    5,199,679    4,813,631 
Stock-based compensation expense   849,030    1,473,065    2,745,256    4,879,170 
Merchant and bank fees   1,188,715    1,009,251    3,680,255    3,120,256 
Facility costs   128,307    144,827    387,871    454,706 
Consulting and outside provider costs   766,107    298,683    1,998,914    1,493,001 
Sales and marketing costs   616,141    556,914    1,727,712    1,560,971 
Amortization of capitalized software costs   78,170    160,745    367,907    483,832 
Amortization of intangible assets   563,847    585,349    1,692,037    1,686,328 
Other operating expenses   217,161    382,226    735,553    925,764 
Total operating expenses   5,965,348    6,235,209    18,535,184    19,417,659 
Loss from operations  $(1,593,431)  $(2,487,668)  $(5,514,384)  $(8,232,857)