CADIZ INC Segments Disclosure
NOTE 3 – REPORTABLE SEGMENTS
We evaluate our performance based on segment operating (loss). Interest expense, income tax expense and losses related to equity method investments are excluded from the computation of operating (loss) for the segments. Segment net revenue, segment operating expenses and segment operating (loss) information consisted of the following for the years ended December 31, 2025 and 2024:
| Twelve Months Ended December 31, 2025 | ||||||||||||
| (in thousands) | Land and Water Resources | Water Filtration Technology | Total | |||||||||
| Revenues | $ | 1,835 | $ | 14,478 | $ | 16,313 | ||||||
| Costs and expenses: | ||||||||||||
| Cost of sales | 3,687 | 7,476 | 11,163 | |||||||||
| General and administrative | 25,013 | 4,471 | 29,484 | |||||||||
| Depreciation | 1,228 | 36 | 1,264 | |||||||||
| Total costs and expenses | 29,928 | 11,983 | 41,911 | |||||||||
| Operating income (loss) | $ | (28,093 | ) | $ | 2,495 | $ | (25,598 | ) | ||||
| Twelve Months Ended December 31, 2024 | ||||||||||||
| (in thousands) | Land and Water Resources | Water Filtration Technology | Total | |||||||||
| Revenues | $ | 1,708 | $ | 7,900 | $ | 9,608 | ||||||
| Costs and expenses: | ||||||||||||
| Cost of sales | 2,984 | 4,314 | 7,298 | |||||||||
| General and administrative | 22,525 | 1,820 | 24,345 | |||||||||
| Depreciation | 1,159 | 55 | 1,214 | |||||||||
| Total costs and expenses | 26,668 | 6,189 | 32,857 | |||||||||
| Operating income (loss) | $ | (24,960 | ) | $ | 1,711 | $ | (23,249 | ) | ||||
Assets by operating segment, inclusive of goodwill, are as follows (dollars in thousands):
| December 31, 2025 | December 31, 2024 | |||||||
| Operating Segment: | ||||||||
| Water and Land Resources | $ | 130,900 | $ | 123,786 | ||||
| Water Filtration Technology | 10,014 | 10,708 | ||||||
| $ | 140,914 | $ | 134,494 | |||||
Goodwill by operating segment is as follows (dollars in thousands):
| December 31, 2025 | December 31, 2024 | |||||||
| Operating Segment: | ||||||||
| Water and Land Resources | $ | 3,813 | $ | 3,813 | ||||
| Water Filtration Technology | 1,901 | 1,901 | ||||||
| $ | 5,714 | $ | 5,714 | |||||
Property, plant, equipment and water programs consist of the following (dollars in thousands):
| December 31, 2025 | ||||||||
| Water and Land Resources | Water Filtration Technology | |||||||
| Land and land improvements | $ | 39,211 | $ | - | ||||
| Water programs | 32,023 | - | ||||||
| Pipeline | 22,106 | - | ||||||
| Buildings | 1,805 | - | ||||||
| Leasehold improvements, furniture and fixtures | 1,616 | 7 | ||||||
| Machinery and equipment | 4,032 | 395 | ||||||
| Construction in progress | 5,940 | 78 | ||||||
| 106,733 | 480 | |||||||
| Less accumulated depreciation | (11,625 | ) | (204 | ) | ||||
| $ | 95,108 | $ | 276 | |||||
| December 31, 2024 | ||||||||
| Water and Land Resources | Water Filtration Technology | |||||||
| Land and land improvements | $ | 33,069 | $ | - | ||||
| Water programs | 29,383 | - | ||||||
| Pipeline | 22,100 | - | ||||||
| Buildings | 1,805 | - | ||||||
| Leasehold improvements, furniture and fixtures | 1,605 | 4 | ||||||
| Machinery and equipment | 3,870 | 247 | ||||||
| Construction in progress | 6,851 | 6 | ||||||
| 98,683 | 257 | |||||||
| Less accumulated depreciation | (10,397 | ) | (181 | ) | ||||
| $ | 88,286 | $ | 76 | |||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 31, 2026 | Showing above |
| 2024 | Mar 28, 2025 | |
| 2023 | Mar 28, 2024 | |
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.