Galaxy Digital Inc.GLXY
Galaxy Digital Inc. Segments Disclosure
REPORTABLE SEGMENTS
The Company manages and reports its activities in the following operating businesses: Digital Assets and Data Centers. In the first quarter of 2025, the Company began managing and reporting activities in these two operating segments consistent with changes in our operations and management reporting. In determining the Company’s segment structure, the Company considered the basis on which the chief operating decision maker (“CODM”), as well as other members of senior management, review the financial and operational performance of the Company. The Company’s CODM is its chief executive officer. The CODM primarily relies on segment net income after taxes to evaluate the performance of each reportable segment. In accordance with ASC 280, Segment Reporting, the Company has recast its historical segment information to conform to the current segment structure.
Digital Assets
The Digital Assets segment comprises the Company’s counterparty trading activities, lending, advisory and capital market activities, validator staking services, the Company’s asset management business which manages investments in the digital assets ecosystem both on behalf of the Company and external limited partners, and its self-custody technology business. The Digital Assets segment generates revenue from digital assets sales, fee income, blockchain rewards, and lending. It includes realized and unrealized gains and losses on certain digital assets and equity investments. The Digital Assets segment also incurs the portion of the Company’s interest expense used to fund its trading and lending activities and incurs all the external-facing digital assets sales costs. Management fees generated from the Company’s principal investments and fees generated from staking the Company’s proprietary digital assets are eliminated in the Treasury and Corporate segment.
Data Centers
The Data Centers segment comprises the Helios infrastructure assets. Our Data Centers segment develops, and will in the future operate, HPC infrastructure to meet the growing demand for large-scale, power-ready facilities in the AI/HPC industry.
Treasury and Corporate
The Treasury and Corporate segment includes the Company’s proprietary trading and mining activities, as well as the Company’s principal investments and related gains and losses. It includes realized and unrealized gains and losses on certain digital assets held within the segment. The Company’s unallocated corporate overhead, other unallocated costs not identifiable to the other reportable segments, and eliminations of inter-segment transactions as required for consolidation. Transactions between segments are based on specific criteria or approximate market rates for comparable services.
The Company’s chief operating decision maker reviews compensation expenses separately from other segment items, which include transaction expenses, general and administrative expenses, technology and marketing costs, as well as professional fees.
Assets and liabilities by each of the reportable segments as of December 31, 2025 were as follows:
(in thousands) | Digital Assets | Data Centers | Treasury and Corporate | Totals | ||||||||||||||||||||||
Total assets | $ | 7,339,673 | $ | 1,863,911 | $ | 2,144,497 | $ | 11,348,081 | ||||||||||||||||||
Total liabilities | $ | 6,238,722 | $ | 1,098,739 | $ | 975,843 | $ | 8,313,304 | ||||||||||||||||||
Assets and liabilities by each of the reportable segments as of December 31, 2024 were as follows:
(in thousands) | Digital Assets | Data Centers | Treasury and Corporate | Totals | ||||||||||||||||||||||
Total assets | $ | 3,723,814 | $ | 199,694 | $ | 3,196,347 | $ | 7,119,855 | ||||||||||||||||||
Total liabilities | $ | 3,163,499 | $ | — | $ | 1,762,004 | $ | 4,925,503 | ||||||||||||||||||
Income and expenses by each of the reportable segments for the year ended December 31, 2025 were as follows:
(in thousands) | Digital Assets | Data Centers | Treasury and Corporate | Totals | ||||||||||||||||||||||
Revenues | $ | 60,385,358 | $ | 8,433 | $ | 12,937 | $ | 60,406,728 | ||||||||||||||||||
Gains / (losses) from operations | 863,908 | (1,186) | 86,217 | 948,939 | ||||||||||||||||||||||
Revenues and gains / (losses) from operations | 61,249,266 | 7,247 | 99,154 | 61,355,667 | ||||||||||||||||||||||
Transaction expenses | 60,108,627 | — | 67,205 | 60,175,832 | ||||||||||||||||||||||
Impairment of digital assets | 635,410 | — | 118,291 | 753,701 | ||||||||||||||||||||||
Compensation and benefits | 209,774 | 5,054 | 85,040 | 299,868 | ||||||||||||||||||||||
Notes interest expense | — | — | 59,247 | 59,247 | ||||||||||||||||||||||
Depreciation and amortization | 14,606 | 1,251 | 18,212 | 34,069 | ||||||||||||||||||||||
Other expenses | 87,288 | 2,040 | 181,462 | 270,790 | ||||||||||||||||||||||
Operating expenses | 61,055,705 | 8,345 | 529,457 | 61,593,507 | ||||||||||||||||||||||
Unrealized gain / (loss) on notes payable – derivative | — | — | (35,544) | (35,544) | ||||||||||||||||||||||
Other income / (expense), net | 325 | — | 2,380 | 2,705 | ||||||||||||||||||||||
Total other income / (expense) | 325 | — | (33,164) | (32,839) | ||||||||||||||||||||||
Net income / (loss) for the period, before taxes | $ | 193,886 | $ | (1,098) | $ | (463,467) | $ | (270,679) | ||||||||||||||||||
Income tax expense / (benefit) | — | — | (29,330) | (29,330) | ||||||||||||||||||||||
Net income / (loss) for the period | $ | 193,886 | $ | (1,098) | $ | (434,137) | $ | (241,349) | ||||||||||||||||||
Income and expenses by each of the reportable segments for the year ended December 31, 2024 is as follows (unaudited):
(in thousands) | Digital Assets | Data Centers | Treasury and Corporate | Totals | ||||||||||||||||||||||
Revenues | $ | 42,497,063 | $ | — | $ | 99,610 | $ | 42,596,673 | ||||||||||||||||||
Gains / (losses) from operations | 243,340 | — | 917,777 | 1,161,117 | ||||||||||||||||||||||
Revenues and gains / (losses) from operations | 42,740,403 | — | 1,017,387 | 43,757,790 | ||||||||||||||||||||||
Transaction expenses | 42,298,052 | — | 111,804 | 42,409,856 | ||||||||||||||||||||||
Impairment of digital assets | 139,247 | — | 192,673 | 331,920 | ||||||||||||||||||||||
Compensation and benefits | 175,925 | — | 89,666 | 265,591 | ||||||||||||||||||||||
Notes interest expense | — | — | 30,804 | 30,804 | ||||||||||||||||||||||
Depreciation and amortization | 11,446 | 7,497 | 27,937 | 46,880 | ||||||||||||||||||||||
Other expenses | 68,725 | — | 245,278 | 314,003 | ||||||||||||||||||||||
Operating expenses | 42,693,395 | 7,497 | 698,162 | 43,399,054 | ||||||||||||||||||||||
Unrealized loss on notes payable - derivative | — | — | (31,727) | (31,727) | ||||||||||||||||||||||
Other income / (expense), net | — | — | 2,774 | 2,774 | ||||||||||||||||||||||
Total other income / (expense) | — | — | (28,953) | (28,953) | ||||||||||||||||||||||
Net income / (loss) for the year, before taxes | $ | 47,008 | $ | (7,497) | $ | 290,272 | $ | 329,783 | ||||||||||||||||||
Income tax expense / (benefit) | — | — | (16,939) | (16,939) | ||||||||||||||||||||||
Net income / (loss) for the period | $ | 47,008 | $ | (7,497) | $ | 307,211 | $ | 346,722 | ||||||||||||||||||
Income and expenses by each of the reportable segments for the year ended December 31, 2023 is as follows (unaudited):
(in thousands) | Digital Assets | Data Centers | Treasury and Corporate | Totals | ||||||||||||||||||||||
Revenues | $ | 51,565,491 | $ | — | $ | 61,288 | $ | 51,626,779 | ||||||||||||||||||
Gains / (losses) from operations | 87,907 | — | 494,953 | 582,860 | ||||||||||||||||||||||
Revenues and gains / (losses) from operations | 51,653,398 | — | 556,241 | 52,209,639 | ||||||||||||||||||||||
Transaction expenses | 51,461,590 | — | 32,493 | 51,494,083 | ||||||||||||||||||||||
Impairment of digital assets | 47,791 | — | 50,549 | 98,340 | ||||||||||||||||||||||
Compensation and benefits | 148,909 | — | 70,347 | 219,256 | ||||||||||||||||||||||
Notes interest expense | — | — | 27,285 | 27,285 | ||||||||||||||||||||||
Depreciation and amortization | 4,344 | 5,548 | 13,053 | 22,945 | ||||||||||||||||||||||
Other expenses | 44,854 | — | 48,710 | 93,564 | ||||||||||||||||||||||
Operating expenses | 51,707,488 | 5,548 | 242,437 | 51,955,473 | ||||||||||||||||||||||
Unrealized loss on notes payable - derivative | — | — | (9,603) | (9,603) | ||||||||||||||||||||||
Other income / (expense), net | — | — | (135) | (135) | ||||||||||||||||||||||
Total other income / (expense) | — | — | (9,738) | (9,738) | ||||||||||||||||||||||
Net income / (loss) for the year, before taxes | $ | (54,090) | $ | (5,548) | $ | 304,066 | $ | 244,428 | ||||||||||||||||||
Income tax expense / (benefit) | — | — | 15,914 | 15,914 | ||||||||||||||||||||||
Net income / (loss) for the period | $ | (54,090) | $ | (5,548) | $ | 288,152 | $ | 228,514 | ||||||||||||||||||
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.