17. Segment Information

The Company's CODM is its Chief Executive Officer, who evaluates the performance of our segments and allocates resources based on segment EBITDA. Segment EBITDA is used as the key profitability measure when we set our annual operating plan for each segment, is the metric with which our CODM assesses segment results, and is a key component of our annual variable compensation plans. Segment EBITDA is commonly used as an analytical indicator within the health care industry and is utilized in the evaluation of segment operating performance as it is a profit measure that is generally within the control of the operating segments.

For all segments, the CODM uses segment EBITDA in the annual budgeting and monthly forecasting process. The CODM considers actual-to budget and actual-to current forecast variances for segment EBITDA on a monthly basis for evaluating performance of each segment and making decisions about allocating capital and other resources to each segment.

Segment amounts exclude certain expenses not specifically identifiable to the segments for functions performed in a centralized manner, which include accounting, finance, human resources, legal, information technology, corporate office support, and overall corporate management. Segment assets and capital expenditures are not provided to the Company’s CODM and, therefore, are not disclosed.

The following tables set forth information about the Company’s reportable segments, along with the items necessary to reconcile the segment information to the totals reported in the Company’s consolidated statements of operations as follows (in thousands):


	For the Year Ended December 31, 2025
	Pharmacy Solutions		Provider Services		Total Segments
Product revenue	$	11,445,777	$	—	$	11,445,777
Service revenue		—		1,464,787		1,464,787
Cost of drugs		9,782,109		—		9,782,109
Cost of services		—		885,356		885,356
Other direct costs (1)		725,322		—		725,322
Segment selling, general, and administrative expenses (2)		502,042		374,256		876,298
Segment depreciation and amortization expense (3)		107,198		27,479		134,677
Segment EBITDA	$	543,502	$	232,654	$	776,156


	For the Year Ended December 31, 2024
	Pharmacy Solutions		Provider Services		Total Segments
Product revenue	$	8,754,282	$	—	$	8,754,282
Service revenue		—		1,317,932		1,317,932
Cost of drugs		7,368,426		—		7,368,426
Cost of services		—		797,286		797,286
Other direct costs (1)		640,075		—		640,075
Segment selling, general, and administrative expenses (2)		462,219		340,034		802,253
Segment depreciation and amortization expense (3)		111,103		24,675		135,778
Segment EBITDA	$	394,665	$	205,287	$	599,952


	For the Year Ended December 31, 2023
	Pharmacy Solutions		Provider Services		Total Segments
Product revenue	$	6,522,450	$	—	$	6,522,450
Service revenue		—		1,168,566		1,168,566
Cost of drugs		5,291,630		—		5,291,630
Cost of services		—		711,304		711,304
Other direct costs (1)		549,086		—		549,086
Segment selling, general, and administrative expenses (2)		426,521		310,747		737,268
Segment depreciation and amortization expense (3)		115,749		22,897		138,646
Segment EBITDA	$	370,962	$	169,412	$	540,374

(1)

Other direct costs primarily includes direct labor costs, delivery costs, insurance, and depreciation and amortization expense that relates to revenue-generating assets.

(2)

Segment selling, general, and administrative expenses includes indirect labor costs, depreciation and amortization, insurance, rent, lease, supplies, professional services, maintenance, repairs, utilities, and communications expense.

(3)

Total segment depreciation and amortization expense is presented in other direct costs, costs of services, and segment general and administrative expenses, based on the associated asset.


	For the Years Ended December 31,
	2025		2024			2023
Reconciliation of income or loss:
Total Segment EBITDA	$	776,156	$	599,952		$	540,374
Segment depreciation and amortization		134,677		135,778			138,646
Expenses not allocated at segment level:
Selling, general, and administrative expenses		317,956		329,854			321,692
Depreciation and amortization		28,271		26,366			21,911
Loss on extinguishment of debt		—		12,726			—
Interest expense, net		157,311		190,546			271,899
Income tax expense (benefit)		33,145		(26,387	)		(31,508	)
Net income (loss) from continuing operations	$	104,796	$	(68,931	)	$	(182,266	)

Historical Timeline

Fiscal Year	Filed
2025	Feb 27, 2026	Showing above
2024	Mar 6, 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.

BrightSpring Health Services, Inc. Segments Disclosure

Historical Timeline

About Segments Disclosures

Other Available Disclosures