Iveda Solutions, Inc. Segments Disclosure

NOTE 10 SEGMENT INFORMATION

 

The Company operates and manages its business as two reportable and operating segments. The Company’s CODM reviews financial information presented and decides how to allocate resources based on net income (loss). Net income (loss) is used for evaluating financial performance.

 

Significant segment expenses include salaries and payroll, stock based compensation, marketing, public company expenses, audit and accounting, consulting, research and development, travel and entertainment, software subscription and other administrative expenses for the US and salaries and payroll, insurance, rent, travel and entertainment, office supplies and postage, pension and other administrative expenses. The following table presents the significant segment expenses and other segment items regularly reviewed by our CODM.

 

SCHEDULE OF SEGMENT INFORMATION

 

		Consolidated				US				Taiwan				Consolidated				US				Taiwan
		December 31, 2025												December 31, 2024
Revenues		$	5,280,312			$	709,197			$	4,571,115			$	6,020,639			$	869,261			$	5,151,378
Cost of Goods Sold			4,007,440				545,438				3,462,002				4,719,005				615,010				4,103,995
Gross Profit			1,272,872				163,759				1,109,113				1,301,634				254,251				1,047,383
Operating Expenses
Salaries and Payroll Expenses			1,699,049				1,026,934				672,115				1,667,330				967,793				699,537
Pension			-								-				21,832								21,832
Travel and Entertainment			477,125				412,747				64,378				552,123				483,146				68,977
Stock-based compensation			376,000				376,000				-				122,600				122,600				-
Marketing			338,469				338,469								757,736				757,736
Public Company expenses			245,448				245,448								520,966				520,966				-
Audit and Accounting			334,264				334,264								312,920				312,920				-
Consulting Services			326,339				326,339								412,962				412,962				-
Research and Development			170,800				170,800								363,350				363,350				-
Software Subscription			84,750				84,750								85,111				85,111				-
Insurance			82,973				18,604				64,396				60,873				12,664				48,209
Rent			88,534				43,434				45,100				142,986				101,731				41,255
Office Supplies and Postage			-								-				34,276				-				34,276
Other Operating Expenses			275,990				111,601				164,389				316,872				215,849				101,023
Total Operating Expenses			4,499,768				3,489,390				1,010,378				5,371,937				4,356,828				1,015,109
Income (Loss) from Operations			(3,226,896	)			(3,325,631	)			98,735				(4,070,303	)			(4,102,577	)			32,274
Interest Income and Other (Expenses), net			59,268				61,659				(2,391	)			121,868				95,330				26,538
Net Income (Loss) before Income Tax		$	(3,167,628	)		$	(3,263,972	)		$	96,344			$	(3,948,435	)		$	(4,007,247	)		$	58,812

 

Furthermore, due to operations in various geographic locations, we are susceptible to changes in national, regional, and local economic conditions, demographic trends, consumer confidence in the economy, and discretionary spending priorities that may have a material adverse effect on our future operations and results.

 

We are required to collect certain taxes and fees from customers on behalf of government agencies and remit them back to the applicable governmental agencies on a periodic basis. The taxes and fees are legal assessments to the customer, for which we have a legal obligation to act as a collection agent. Because we do not retain the taxes and fees, we do not include such amounts in revenue. We record a liability when the amounts are collected and relieve the liability when payments are made to the applicable governmental agencies.

 

The net assets (liabilities) for our significant geographic regions are as follows:

 SCHEDULE OF NET ASSETS LIABILITIES BY GEOGRAPHIC REGIONS

		Net Assets (Liabilities)
		For the Year Ended				For the Year Ended
		December 31, 2025				December 31, 2024
United States		$	3,918,970			$	1,775,554
Republic of China (Taiwan)		$	860,792			$	729,885
Total Consolidated		$	4,779,762			$	2,505,439