Digi Power X Inc. Segments Disclosure
| 20. | Segmented reporting |
The Corporation has four operating segments being cryptocurrency mining, sales of energy and electricity, colocation services, and Tier III AI data centers located in the United States.
During the year ended December 31, 2025, the Corporation added a new operating segment related to Tier III AI data center operations. The AI data center segment is in the development phase and has not yet commenced commercial operations as of December 31, 2025. As a result, this segment did not generate revenue during the year ended December 31, 2025.
The Corporation’s CODM evaluates segment performance and allocates resources based on segment revenue, net loss, and total assets. Accordingly, the Tier III AI data center segment has been included as a reportable segment for the year ended December 31, 2025.
| Year Ended December 31, 2025 | Cryptocurrency mining | Sales of energy and electricity | Colocation services | Tier III AI project | Total | |||||||||||||||
| Revenue | $ | 3,523,378 | $ | 13,195,949 | $ | 17,468,899 | $ | $ | 34,188,226 | |||||||||||
| Cost of revenue | (2,026,237 | ) | (18,378,656 | ) | (10,046,069 | ) | (30,450,962 | ) | ||||||||||||
| Depreciation and amortization | (6,506,773 | ) | (447,054 | ) | (6,953,827 | ) | ||||||||||||||
| Net loss | (7,549,460 | ) | (14,196,255 | ) | (6,610,508 | ) | (28,356,223 | ) | ||||||||||||
| EBITDA | (1,328,562 | ) | (13,749,201 | ) | (6,610,508 | ) | (21,688,271 | ) | ||||||||||||
| Total assets | 50,707,889 | 10,387,735 | 61,994,641 | 11,023,314 | 134,113,579 | |||||||||||||||
| Sales of | ||||||||||||||||||||
| Cryptocurrency | energy and | Colocation | Tier III | |||||||||||||||||
| Year Ended December 31, 2024 | mining | electricity | services | AI project | Total | |||||||||||||||
| Revenue | $ | 10,318,500 | $ | 10,893,584 | $ | 15,790,179 | $ | $ | 37,002,263 | |||||||||||
| Cost of revenue | (7,192,288 | ) | (14,513,076 | ) | (11,006,203 | ) | (32,711,567 | ) | ||||||||||||
| Depreciation and amortization | (15,268,695 | ) | (368,921 | ) | (15,637,616 | ) | ||||||||||||||
| Net loss | (13,186,861 | ) | (3,988,413 | ) | 4,783,976 | (12,391,298 | ) | |||||||||||||
| EBITDA | 2,081,834 | (3,619,492 | ) | 4,783,976 | 3,246,318 | |||||||||||||||
| Total assets | 28,168,234 | 6,149,854 | 34,318,088 | |||||||||||||||||
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.