Segment and Geographic Information
Disclosure requirements about segments of an enterprise and related information establishes standards for reporting information regarding operating segments in annual financial statements and requires selected information of those segments to be presented in interim financial reports issued to shareholders. The Company’s chief operating decision maker (“CODM”) is the Chief Executive Officer. The Company and the CODM view the Company’s operations and manage its business as one operating segment. Operating segments are defined as components of an enterprise about which separate discrete financial information is available that is evaluated regularly by the CODM in deciding how to allocate resources and in assessing performance. The Company’s CODM assesses the Company’s performance and evaluates the allocation of resources on a consolidated basis. There is no expense or asset information, other than those included in the reconciliation below or disclosed in the consolidated financial statements, that are regularly provided to the CODM. The allocation of resources and assessment of performance of the operating segment is based on consolidated net (loss) income. The CODM considers consolidated net (loss) income in evaluating the results of the Company, making decisions about the Company’s resource allocation, and in the forecasting process. Since the Company operates as one operating segment, segment asset information can be found in the consolidated financial statements. Significant segment expenses and other segment information were as follows:
| | | | | | | | | | | | | | | | | |
| Year Ended |
| December 31, |
| 2025 | | 2024 | | 2023 |
| Revenue | $ | 443,644 | | | $ | 376,815 | | | $ | 307,675 | |
| Less: | | | | | |
| Cost of revenue (a) | 80,933 | | | 62,026 | | | 50,901 | |
| Sales (a) | 83,875 | | | 66,175 | | | 52,344 | |
| Marketing (a) | 80,501 | | | 70,458 | | | 70,439 | |
| Research and development (a) | 80,755 | | | 74,175 | | | 55,229 | |
| General and administrative (a) | 64,242 | | | 58,181 | | | 67,121 | |
| Other segment items (b) | 76,150 | | | 37,492 | | | 19,308 | |
| Other income, net | (12,710) | | | (12,094) | | | (12,313) | |
| Provision for income taxes | 9,395 | | | 13,027 | | | 3,696 | |
| Net (loss) income | $ | (19,497) | | | $ | 7,375 | | | $ | 950 | |
(a) Excludes stock-based compensation, amortization of acquired intangible assets, restructuring, and acquisition-related costs.
(b) Other segment items include those noted in (a) above.
Geographic Data
The Company allocates, for the purpose of geographic data reporting, its revenue based upon the location of the customer. Total revenue by geographic area was as follows:
| | | | | | | | | | | | | | | | | | | | |
| | Year Ended |
| | December 31, |
| | 2025 | | 2024 | | 2023 |
| Revenue: | | | | | | |
| United States | | $ | 219,385 | | | $ | 170,732 | | | $ | 146,408 | |
| United Kingdom | | 40,040 | | | 34,375 | | | 30,044 | |
| Other | | 184,219 | | | 171,708 | | | 131,223 | |
| Total revenue | | $ | 443,644 | | | $ | 376,815 | | | $ | 307,675 | |
Property and equipment, net by geographic location consists of the following:
| | | | | | | | | | | |
| As of December 31, |
| 2025 | | 2024 |
| Property and equipment, net: | | | |
| United States | $ | 2,084 | | | $ | 2,960 | |
| Netherlands | 1,484 | | | 1,775 | |
| Spain | 990 | | | 862 | |
| Other | 791 | | | 937 | |
| Total assets | $ | 5,349 | | | $ | 6,534 | |
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.