GOLD RESOURCE CORP Segments Disclosure
23. Segment Reporting
The Company has organized its operations into two operating segments: Oaxaca, Mexico, and Michigan, U.S.A. Oaxaca, Mexico represents the Company’s only operating segment with a production stage property that produces gold and silver doré and copper, lead, and zinc concentrates that also contain gold and silver. Michigan, U.S.A. is an advanced exploration stage property with no current metal production. Intercompany revenue and expense amounts have been eliminated within each segment in order to report the net income (loss) before income taxes on the basis that the chief operating decision maker (“CODM”) uses internally for evaluating segment performance. The Company’s business activities that are not considered distinct segments are included in the reconciliation under the title Corporate and Other.
The Company’s operating segments reflect the way in which internally-reported financial information is used to make decisions and allocate resources. The Chief Executive Officer, who is considered to be the CODM, reviews financial information presented on both a consolidated and an operating segment basis for purposes of making decisions and assessing financial performance. Net income or loss before income taxes is the measure of segment profit or loss that is regularly reviewed and is most consistent with the measurement principles used in the consolidated financial statements. The significant expenses reviewed by the CODM are production costs, depreciation and amortization, reclamation and remediation, exploration expense, and other expense, net. The CODM uses this information to assess current and/or future performance expectations, and the result of this assessment may be a reallocation of financial and/or non-financial resources among the reportable segments.
The following tables provide a summary of financial information related to the Company’s segments (in thousands):
| Oaxaca, | | Michigan, | | Total | | Corporate | | Total | ||||||
For the year ended December 31, 2025 | |||||||||||||||
Sales, net | $ | 99,759 | $ | - | $ | 99,759 | $ | - | $ | 99,759 | |||||
Production costs | 60,283 | - | 60,283 | - | 60,283 | ||||||||||
Depreciation and amortization | 11,085 | 104 | 11,189 | 8 | 11,197 | ||||||||||
Reclamation and remediation | 1,499 | - | 1,499 | - | 1,499 | ||||||||||
Exploration expense | 1,857 | 793 | 2,650 | - | 2,650 | ||||||||||
G&A expenses, including Stock-based compensation | - | - | - | 5,405 | 5,405 | ||||||||||
Other expense, net (1) | 3,669 | 16,644 | 20,313 | 1,462 | 21,775 | ||||||||||
Income (loss) before income taxes | $ | 21,366 | $ | (17,541) | $ | 3,825 | $ | (6,875) | $ | (3,050) | |||||
Total assets as of December 31, 2025 | $ | 71,877 | $ | 89,383 | $ | 161,260 | $ | 22,802 | $ | 184,062 | |||||
Expenditures for long-lived assets | $ | 21,333 | $ | - | $ | 21,333 | $ | - | $ | 21,333 | |||||
| Oaxaca, | | Michigan, | | Total | | Corporate | | Total | ||||||
For the year ended December 31, 2024 | |||||||||||||||
Sales, net | $ | 65,726 | $ | - | $ | 65,726 | $ | - | $ | 65,726 | |||||
Production costs | 65,552 | - | 65,552 | - | 65,552 | ||||||||||
Depreciation and amortization | 17,982 | 109 | 18,091 | 29 | 18,120 | ||||||||||
Reclamation and remediation | 2,545 | - | 2,545 | - | 2,545 | ||||||||||
Exploration expense | 1,959 | 378 | 2,337 | - | 2,337 | ||||||||||
G&A expenses, including Stock-based compensation | - | - | - | 4,960 | 4,960 | ||||||||||
Other expense, net (1) | 3,013 | 16,078 | 19,091 | 361 | 19,452 | ||||||||||
Loss before income taxes | $ | (25,325) | (16,565) | $ | (41,890) | $ | (5,350) | $ | (47,240) | ||||||
Total assets as of December 31, 2024 | $ | 54,999 | $ | 90,378 | $ | 145,377 | $ | 497 | $ | 145,874 | |||||
Expenditures for long-lived assets | $ | 8,646 | $ | - | $ | 8,646 | $ | - | $ | 8,646 | |||||
| (1) | Please see Item 8. Financial Statements—Note 19. Other Expense, net for additional information. |
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 18, 2026 | Showing above |
| 2024 | Apr 8, 2025 | |
| 2023 | Mar 28, 2024 | |
| 2022 | Mar 13, 2023 | |
| 2021 | Mar 10, 2022 | |
| 2019 | Mar 2, 2020 | |
| 2018 | Feb 26, 2019 | |
| 2017 | Mar 8, 2018 | |
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.