Banzai International, Inc. Segments Disclosure
18. Segment Reporting
The Company has three reportable operating segments, Banzai Operating Co, Inc., OpenReel, and Vidello. The Company’s segments deliver SaaS tools that leverage data, analytics, and AI to provide marketing and sales solutions, including video production and editing, for businesses of all sizes.
Our , who serves as the Company's chief operating decision maker ("CODM"), primarily uses segment revenue, gross profit, and adjusted EBITDA to allocate resources and assess performance. Segment revenue and gross profit are determined on the same basis as consolidated revenue and consolidated gross profit as shown in the Company’s consolidated statements of operations. Segment adjusted EBITDA is defined as revenue less the following expenses associated with each segment: cost of revenue, people, marketing and advertising, technology, and other segment expenses. Segment adjusted EBITDA excludes certain non-cash items or items that management does not consider reflective of ongoing core operations. Currently, the CODM does not review assets in evaluating the results of the operating segments, and therefore, such information is not presented.
The table below presents information about segments for the year ended December 31, 2025:
Year ended December 31, 2025 |
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Banzai Operating |
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OpenReel |
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Vidello |
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Total Consolidated |
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Revenue |
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$ |
4,426,868 |
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|
$ |
5,473,389 |
|
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$ |
2,261,162 |
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$ |
12,161,419 |
|
Cost of revenue |
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|
1,476,701 |
|
|
|
310,362 |
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|
|
401,520 |
|
|
|
2,188,583 |
|
Gross profit |
|
|
2,950,167 |
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|
|
5,163,027 |
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|
|
1,859,642 |
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|
9,972,836 |
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Expenses |
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People |
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6,254,527 |
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4,545,813 |
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|
393,025 |
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11,193,365 |
|
Marketing and advertising |
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2,160,168 |
|
|
|
155,237 |
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|
|
558,059 |
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|
|
2,873,464 |
|
Technology |
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|
926,334 |
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|
272,926 |
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|
83,839 |
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1,283,099 |
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Other segment expenses1 |
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2,223,686 |
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535,823 |
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198,407 |
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2,957,915 |
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Total expenses |
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11,564,715 |
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5,509,799 |
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1,233,330 |
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|
18,307,843 |
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Segment Adjusted EBITDA |
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|
(8,614,548 |
) |
|
|
(346,772 |
) |
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|
626,312 |
|
|
|
(8,335,007 |
) |
Transaction, PubCo. Expenses and Stock-based compensation |
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8,819,671 |
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71,320 |
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88,511 |
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8,979,501 |
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Adjusted EBITDA |
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$ |
(17,434,219 |
) |
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$ |
(418,092 |
) |
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$ |
537,801 |
|
|
$ |
(17,314,508 |
) |
1 Other segment expenses for each reportable segment includes provision for credit losses, foreign currency exchange rate changes, travel and entertainment expenses, professional expenses other than those included in transaction and PubCo expenses, insurance expenses, and expenses related to licenses.
The table below presents information about segments for the year ended December 31, 2024:
Year ended December 31, 2024 |
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Banzai Operating |
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OpenReel |
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Vidello1 |
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Total Consolidated |
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Revenue |
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$ |
4,305,429 |
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$ |
222,450 |
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$ |
— |
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$ |
4,527,879 |
|
Cost of revenue |
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1,407,564 |
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|
14,978 |
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— |
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1,422,542 |
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Gross profit |
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2,897,865 |
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|
207,472 |
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— |
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3,105,337 |
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Expenses |
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People |
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6,209,488 |
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17,642 |
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— |
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6,227,130 |
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Marketing and advertising |
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1,587,085 |
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|
5,020 |
|
|
|
— |
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1,592,105 |
|
Technology |
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861,775 |
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|
112,429 |
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— |
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|
974,204 |
|
Other segment expenses2 |
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|
811,519 |
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|
6,856 |
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— |
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|
818,375 |
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Total expenses |
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9,469,867 |
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|
141,947 |
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— |
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9,611,814 |
|
Segment Adjusted EBITDA |
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|
(6,572,002 |
) |
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|
65,525 |
|
|
|
— |
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|
(6,506,477 |
) |
Transaction, PubCo. Expenses and Stock-based compensation |
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6,912,309 |
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— |
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— |
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|
6,912,309 |
|
Adjusted EBITDA |
|
$ |
(13,484,311 |
) |
|
$ |
65,525 |
|
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$ |
— |
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$ |
(13,418,786 |
) |
1 The Vidello acquisition occurred on January 31, 2025 (refer to Note 4 – Acquisitions and therefore is presented at $0 for comparative purposes.
2 Other segment expenses for each reportable segment includes travel and entertainment expenses, professional expenses other than those included in transaction and PubCo expenses, the SEPA commitment fee expense and deferred fee expense, the GEM warrant expense, and the GEM commitment fee expense.
A reconciliation between EBITDA by reportable segment to consolidated net loss before income taxes for the years ended December 31, 2025, and 2024 is as follows:
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December 31, 2025 |
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December 31, 2024 |
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EBITDA by segment |
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Banzai Operating Co. |
|
$ |
(17,434,219 |
) |
|
$ |
(13,484,311 |
) |
OpenReel |
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|
(418,092 |
) |
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|
65,525 |
|
Vidello |
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|
537,801 |
|
|
|
— |
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Total |
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(17,314,510 |
) |
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(13,418,786 |
) |
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Reconciliation to loss before income taxes: |
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Interest income |
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(2,955 |
) |
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(10 |
) |
Interest expense |
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- |
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- |
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Interest expense – related party |
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1,156,984 |
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3,047,101 |
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Depreciation and amortization expense |
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1,150,471 |
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|
24,179 |
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Loss on conversion of liabilities |
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- |
|
|
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11,338,284 |
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Gain on extinguishment of liabilities, net |
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(2,085,895 |
) |
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|
390,801 |
|
Gain on release of Vidello revenue holdback |
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(973,000 |
) |
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- |
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Vidello earnout expense |
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485,720 |
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|
|
- |
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Failed acquisition costs |
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1,382,002 |
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- |
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Loss on Yorkville SEPA advances |
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|
974,079 |
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- |
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GEM settlement fee expense |
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- |
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|
200,000 |
|
Yorkville prepayment premium expense |
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- |
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|
80,760 |
|
Loss on debt issuance |
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5,580,835 |
|
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|
653,208 |
|
Changes in fair value of financial instruments |
|
|
(3,052,229 |
) |
|
|
(478,288 |
) |
Goodwill impairment |
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- |
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2,725,460 |
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Other |
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(726,572 |
) |
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|
113,108 |
|
Loss before income taxes |
|
$ |
(21,203,950 |
) |
|
$ |
(31,513,389 |
) |
Disaggregation of Revenue
The following table presents the Company's percentage of revenue generated by SaaS product for the years ended December 31, 2025 and 2024:
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Year Ended December 31, |
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Revenue % |
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2025 |
|
|
2024 |
|
||
Reach |
|
|
2.2 |
% |
|
|
3.8 |
% |
Demio |
|
|
34.2 |
% |
|
|
91.0 |
% |
OpenReel 1 |
|
|
45.0 |
% |
|
|
5.2 |
% |
Vidello 2 |
|
|
18.6 |
% |
|
|
— |
% |
Total |
|
|
100.0 |
% |
|
|
100.0 |
% |
For disaggregation of revenue by geographic area, refer to Note 6 – Revenue.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 31, 2026 | Showing above |
| 2024 | Apr 15, 2025 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.