Note 15. Segment Reporting

 

The Company views its operations and manages its business as one operating segment: Bioelectronic Innovations. Our CODM is our Chief Executive Officer. The CODM uses loss from operations, as reported on our Consolidated Statements of Operations, including the breakdown of expenses presented below, in evaluating the performance of the Bioelectronic Innovations segment and in determining how to allocate resources to the Company as a whole. The CODM does not review assets in evaluating the results of the Bioelectronic Innovations segment, and therefore, such information is not presented below.

 

The following table provides the GAAP operating financial results of the Bioelectronic Innovations segment:

 

   2025   2024 
   Years ended December 31, 
   2025   2024 
Net sales*  $32,032   $25,182 
Cost of goods sold   4,244    3,785 
Gross profit   27,788    21,397 
Operating expenses:          
Research and development   2,735    2,360 
Variable sales and marketing   11,607    7,845 
Fixed sales and marketing   9,455    8,948 
General and administrative   17,144    14,406 
Total operating expenses   40,941    33,559 
Loss from operations  $(13,153)  $(12,162)

 

*See Note 4 Revenue for geographical and disaggregation information.

 

Historical Timeline

Fiscal YearFiled
2025Mar 19, 2026Showing above
2024Mar 12, 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.