SEGMENT REPORTING
As a result of the February 28, 2025 Spin‑Off and CompoSecure Management Agreement, the Company deconsolidated Holdings and from that date has one operating segment and one reportable segment, the equity method investment in Holdings. This is a change from the presentation as of and for the year ended December 31, 2024, during which the Company had two operating segments and two reportable segments: Payment Card and Arculus. As reported below, for the year ended December 31, 2025, the Company's corporate entity is not considered an operating segment because it does not generate revenues and its activities are limited to corporate administrative activities, costs related to the board of directors, income tax expense and fair value adjustments for warrant liability and earnout liability. For the year ended December 31, 2024, the Company's reportable segment was represented by the consolidated balance sheet and the consolidated statement of operations.

During 2025, the Chief Operating Decision Maker ("CODM") was the Chief Executive Officer of the Company. The CODM evaluates the performance of the equity method investment in Holdings primarily based on net sales, gross profit and net (loss) income and does not review discrete financial information at a level lower than Holdings. The Company does not have any intra-entity sales.
Year Ended December 31, 2025
Corporate
Equity Method Investment in Holdings
Elimination of Unconsolidated Affiliate
Consolidated GPGI, Inc.
Net sales
$
59,824 
$
402,231 
$
(402,231)
$
59,824 
Cost of sales
31,077 
170,767 
(170,767)
31,077 
Gross profit
28,747 
231,464 
(231,464)
28,747 
Selling, General and administrative expenses
42,478 
95,612 
(95,612)
42,478 
(Loss) income from operations
(13,731)
135,852 
(135,852)
(13,731)
Other income (expense):
Change in fair value of earnout consideration liability
(57,101)
— 
— 
(57,101)
Revaluation of warrant liability
(150,958)
— 
— 
(150,958)
Loss on remeasurement of TRA liability
(3,465)
— 
— 
(3,465)
Interest expense
(1,688)
(10,722)
10,722 
(1,688)
Interest income
1,233 
4,231 
(4,231)
1,233 
Amortization of deferred financing costs
(74)
(556)
556 
(74)
Total other expenses, net
(212,053)
(7,047)
7,047 
(212,053)
(Loss) income before income taxes
(225,784)
128,805 
(128,805)
(225,784)
Income tax expense
(39,026)
— 
— 
(39,026)
Net (loss) income
$
(264,810)
$
128,805 
$
(128,805)
$
(264,810)
Equity method earnings in Holdings
128,805 
128,805 
Net loss of GPGI, Inc.
$
(136,005)
Total assets
$
517,267 
$
324,299 
$
(324,299)
$
517,267 
Total liabilities
$
(274,126)
$
(252,990)
$
252,990 
$
(274,126)
Capital expenditures related to segment assets
$
387 
$
7,977 
$
(7,977)
$
387 

Historical Timeline

Fiscal YearFiled
2025Mar 12, 2026Showing above
2024Mar 5, 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.