Nakamoto Inc. Segments Disclosure
NOTE 15—SEGMENT INFORMATION
The Company operates two reportable segments: Bitcoin Operations and Healthcare Operations.
| ● | Bitcoin Operations: Manages the Company’s digital asset treasury strategy, including acquiring and holding Bitcoin and other digital assets, as well as related investment activities. | |
| ● | Healthcare Operations: Provides outpatient services through clinics and telemedicine platforms. |
Prior to 2025, the Company operated as a single reportable segment of Healthcare Operations. In 2025, following the Merger (see Note 3), the Company established the Bitcoin Operations segment. The Company now evaluates performance based on these two reportable segments, with corporate overhead reported separately as Other.
The Company evaluates segment performance based on operating income (loss) which represents revenues less operating expenses attributable to each segment.
The following tables represent our results by segment information for the year ended December 31, 2025:
| Bitcoin Operations | Healthcare | Other(1) | Total | |||||||||||||
| Revenue | $ | $ | 1,821,315 | $ | $ | 1,821,315 | ||||||||||
| Operating expenses: | ||||||||||||||||
| Compensation | 349,098 | 4,710,456 | 6,028,501 | 11,088,055 | ||||||||||||
| General and administrative | 718,869 | 4,157,646 | 6,885,858 | 11,762,373 | ||||||||||||
| Depreciation | 82,895 | 82,895 | ||||||||||||||
| Other operating expenses | 17,582 | 17,582 | ||||||||||||||
| Change in fair value of digital assets | 166,225,876 | (131,969 | ) | 166,093,907 | ||||||||||||
| Gain/loss on investments, net | 9,915,745 | 9,915,745 | ||||||||||||||
| Total operating expenses | $ | 177,209,588 | $ | 8,836,610 | $ | 12,914,359 | $ | 198,960,557 | ||||||||
| Segment operating loss | $ | (177,209,588 | ) | $ | (7,015,295 | ) | $ | (12,914,359 | ) | $ | (197,139,242 | ) | ||||
| (1) | The Company included the revenue and operating expenses allocated to Other to show the rollup to the consolidated statement of operations for the year ended December 31, 2025. |
| 2025 | ||||
| Total segment loss | $ | (184,224,883 | ) | |
| Corporate expenses | (12,914,359 | ) | ||
| Operating loss | (197,139,242 | ) | ||
| Other income, net | 73,342 | |||
| Interest expense | (7,060,581 | ) | ||
| Change in fair value of call option - related party | 226,374,000 | |||
| Debt restructuring costs | (14,722,631 | ) | ||
| Loss on acquisition of Nakamoto Holdings | (59,753,811 | ) | ||
| Loss before income taxes | $ | (52,228,923 | ) | |
The following tables represent segment information for the year ended December 31, 2024:
| Bitcoin Operations | Healthcare Operations(1) | Other | Total | |||||||||||||
| Revenue | $ | $ | 2,719,840 | $ | $ | 2,719,840 | ||||||||||
| Operating expenses: | ||||||||||||||||
| Compensation | 3,562,405 | 3,562,405 | ||||||||||||||
| General and administrative | 1,907,055 | 1,907,055 | ||||||||||||||
| Depreciation | 136,606 | 136,606 | ||||||||||||||
| Other operating expenses | 460,545 | 460,545 | ||||||||||||||
| Total operating expenses | $ | $ | 6,066,611 | $ | $ | 6,066,611 | ||||||||||
| Segment operating loss | $ | $ | (3,346,771 | ) | $ | $ | (3,346,771 | ) | ||||||||
| (1) | In 2024, the Company operated as a single reportable segment (Healthcare Operations) and did not separately track or allocate corporate overhead expenses. All operating expenses are reflected in the Healthcare Operations segment. Beginning in 2025 after the Merger with Nakamoto Holdings, the Company began separately tracking corporate expenses following the establishment of the Bitcoin Operations segment. |
| 2024 | ||||
| Total segment loss | $ | (3,346,771 | ) | |
| Corporate expenses | ||||
| Operating loss | (3,346,771 | ) | ||
| Other income, net | 161,461 | |||
| Interest expense | (393,448 | ) | ||
| Debt restructuring costs | (38,889 | ) | ||
| Loss before income taxes | $ | (3,617,647 | ) | |
The following table represents assets by segment as of December 31, 2025 and 2024:
| Bitcoin Operations | Healthcare Operations(1) | Total | ||||||||||
| Segment assets, 2025 | $ | 508,406,818 | $ | 2,083,184 | $ | 510,490,002 | ||||||
| Segment assets, 2024 | 3,677,992 | 3,677,992 | ||||||||||
| (1) | In 2024, the Company operated as a single reportable segment (Healthcare Operations). All assets are shown under Healthcare Operations as assets were not allocated between segment-specific and corporate in 2024. Beginning in 2025, the Company began separately tracking corporate assets. |
| 2025 | 2024 | |||||||
| Total assets for reportable segments | $ | 510,490,002 | $ | 3,677,992 | ||||
| Other assets | 220,117,752 | |||||||
| Consolidated total | $ | 730,607,754 | $ | 3,677,992 | ||||
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.