SIEBERT FINANCIAL CORP Segments Disclosure
21. Segment Reporting
The Company operates two reportable segments, Financial Services, and Media, Sports and Entertainment. The Financial Services segment includes the Company’s broker-dealer and related financial services operations. The Media, Sports and Entertainment segment includes the Company’s entertainment and sports management and related marketing, advertising, and production activities.
The CODM is the Company’s and evaluates segment performance and allocates resources using operating income, which represents the Company’s measure of segment profit or loss (the “Segment Measure”). The CODM also considers excess net capital as an operational metric in maintaining capital adequacy. Although asset information is provided to the CODM, segment performance is not evaluated based on asset measures; therefore, segment asset disclosures are not presented.
In accordance with ASC Topic 280, the Company discloses significant expense categories that are regularly reviewed by the CODM.
Year Ended December 31, 2025 | Financial Services | Media, Sports
and Entertainment | Total | |||||||||
| Commissions and fees | $ | 8,941,000 | $ | $ | 8,941,000 | |||||||
| Interest, marketing and distribution fees | 27,624,000 | 27,624,000 | ||||||||||
| Principal transactions and proprietary trading | 17,479,000 | 17,479,000 | ||||||||||
| Investment banking | 769,000 | 769,000 | ||||||||||
| Market making | 2,196,000 | 2,196,000 | ||||||||||
| Stock borrow / stock loan | 29,034,000 | 29,034,000 | ||||||||||
| Advisory fees | 3,324,000 | 3,324,000 | ||||||||||
| Other income | 3,625,000 | 3,625,000 | ||||||||||
| Music and artist services revenue | 616,000 | 616,000 | ||||||||||
| NIL revenue | 594,000 | 594,000 | ||||||||||
| Total Revenue | 92,992,000 | 1,210,000 | 94,202,000 | |||||||||
| Significant segment expenses: | ||||||||||||
| Employee compensation and benefits | 57,541,000 | 934,000 | 58,475,000 | |||||||||
| Clearing fees, including execution costs | 2,149,000 | 2,149,000 | ||||||||||
| Technology and communications | 5,243,000 | 12,000 | 5,255,000 | |||||||||
| Other general and administrative | 6,382,000 | 197,000 | 6,579,000 | |||||||||
| Data processing | 3,989,000 | 3,989,000 | ||||||||||
| Rent and occupancy | 1,788,000 | 67,000 | 1,855,000 | |||||||||
| Professional fees | 5,669,000 | 364,000 | 6,033,000 | |||||||||
| Depreciation and amortization | 2,341,000 | 58,000 | 2,399,000 | |||||||||
| Interest expense | 452,000 | 452,000 | ||||||||||
| Advertising and promotion | 686,000 | 397,000 | 1,083,000 | |||||||||
| Music production, manufacturing and distribution | 367,000 | 367,000 | ||||||||||
| Total Expenses | 86,240,000 | 2,396,000 | 88,636,000 | |||||||||
| Operating income (loss) | $ | 6,752,000 | $ | (1,186,000 | ) | $ | 5,566,000 | |||||
| Year Ended December 31, 2024 | Financial Services | Media, Sports and Entertainment | Total | |||||||||
| Commissions and fees | $ | 9,615,000 | $ | $ | 9,615,000 | |||||||
| Interest, marketing and distribution fees | 32,407,000 | 32,407,000 | ||||||||||
| Principal transactions and proprietary trading | 14,616,000 | 14,616,000 | ||||||||||
| Investment banking | ||||||||||||
| Market making | 2,255,000 | 2,255,000 | ||||||||||
| Stock borrow / stock loan | 19,249,000 | 19,249,000 | ||||||||||
| Advisory fees | 2,369,000 | 2,369,000 | ||||||||||
| Other income | 3,390,000 | 3,390,000 | ||||||||||
| Music and artist services revenue | ||||||||||||
| NIL revenue | ||||||||||||
| Total Revenue | 83,901,000 | 83,901,000 | ||||||||||
| Significant segment expenses: | ||||||||||||
| Employee compensation and benefits | 43,999,000 | 43,999,000 | ||||||||||
| Clearing fees, including execution costs | 1,607,000 | 1,607,000 | ||||||||||
| Technology and communications | 3,940,000 | 3,940,000 | ||||||||||
| Other general and administrative | 4,465,000 | 23,000 | 4,488,000 | |||||||||
| Data processing | 3,200,000 | 3,200,000 | ||||||||||
| Rent and occupancy | 1,631,000 | 1,631,000 | ||||||||||
| Professional fees | 5,501,000 | 77,000 | 5,578,000 | |||||||||
| Depreciation and amortization | 1,380,000 | 1,380,000 | ||||||||||
| Interest expense | 262,000 | 262,000 | ||||||||||
| Advertising and promotion | 348,000 | 348,000 | ||||||||||
| Music production, manufacturing and distribution | ||||||||||||
| Total Expenses | 66,333,000 | 100,000 | 66,433,000 | |||||||||
| Operating income (loss) | $ | 17,568,000 | $ | (100,000 | ) | $ | 17,468,000 | |||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 30, 2026 | Showing above |
| 2024 | Mar 31, 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.