PayPal Holdings, Inc.PYPL

PayPal Holdings, Inc. Segments Disclosure

10-KFiled Feb 3, 20261 min read
SEGMENT INFORMATION
Our chief operating decision maker (“CODM”), our Chief Executive Officer, manages the business and evaluates operating performance based on consolidated net income. Our CODM uses consolidated net income to monitor budget versus actual results. We operate as one segment and have one reportable segment that constitutes consolidated results.

The following table sets forth our segment information for revenue, segment profit (loss), and significant expenses:
Year Ended December 31,
202520242023
(In millions)
Net revenues$33,172 $31,797 $29,771 
Less (add):
Transaction expense15,987 15,697 14,385 
Transaction losses
1,337 1,114 1,192 
Credit losses
383 328 490 
Customer support and operations(1)
1,704 1,768 1,919 
Sales and marketing(1)
2,283 2,001 1,809 
Technology and development(1)
3,103 2,979 2,973 
General and administrative(1)
1,979 2,147 2,059 
Restructuring and other331 438 (84)
Other income (expense), net(227)(4)(383)
Income tax expense1,059 1,182 1,165 
Segment net income (loss)
$5,233 $4,147 $4,246 
(1) Includes depreciation and amortization expense. Total depreciation and amortization expense was $1.0 billion for both years ended December 31, 2025 and 2024 and $1.1 billion for the year ended December 31, 2023.

There are no reconciling items or adjustments between segment net revenues, net income, total assets and consolidated net revenues, net income, and total assets.

For disclosure of geographical information, please refer to “Note 2—Revenue” and “Note 7—Other Financial Statement Details”.

Historical Timeline

Fiscal YearFiled
2025Feb 3, 2026Showing above
2024Feb 4, 2025
2017Feb 7, 2018
2016Feb 8, 2017
2015Feb 11, 2016

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.

Other Available Disclosures

Income TaxesRevenueEarnings Per ShareFair ValuePP&EGoodwill & IntangiblesLeasesDebtCommitmentsStock CompensationNew StandardsPay vs Performance