SmartRent, Inc. Segments Disclosure
NOTE 13. SEGMENT REPORTING
The Company operates as a operating segment, which is also its only reportable segment as its , reviews financial information on a consolidated basis for purposes of allocating resources and evaluating financial performance. The Company’s principal operations are in the United States and the Company’s long-lived assets are located primarily within the United States. The Company held $10,080 and $8,023 of assets outside the United States on December 31, 2025, and December 31, 2024, respectively.
The CODM uses revenue, gross margin, operating expenses, and net income as the primary measures to assess performance and to make strategic decisions regarding product development, market expansion, and resource allocation. Key financial performance measures of the segment are as follows.
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For the years ended December 31, |
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2025 |
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2024 |
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2023 |
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Revenue |
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Hardware |
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$ |
57,973 |
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$ |
82,844 |
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137,201 |
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Professional Services |
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21,133 |
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18,803 |
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35,473 |
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Deferred hub amortization |
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15,396 |
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21,600 |
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23,096 |
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SaaS |
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57,824 |
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51,638 |
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41,068 |
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Total revenue |
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152,326 |
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174,885 |
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236,838 |
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Cost of revenue |
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Hardware |
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52,829 |
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58,833 |
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108,780 |
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Professional Services |
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26,167 |
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31,160 |
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55,495 |
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Deferred hub amortization |
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8,146 |
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11,168 |
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12,602 |
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SaaS |
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15,315 |
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13,386 |
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10,432 |
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Total cost of revenue |
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102,457 |
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114,547 |
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187,309 |
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Gross profit |
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49,869 |
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60,338 |
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49,529 |
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Operating expenses |
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Operating expenses excluding stock compensation and depreciation and amortization |
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75,783 |
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87,666 |
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75,179 |
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Stock compensation |
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8,208 |
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9,654 |
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12,245 |
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Depreciation and amortization |
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4,925 |
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4,790 |
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5,264 |
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Total operating expenses |
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88,916 |
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102,110 |
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92,688 |
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Impairment charge |
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24,929 |
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- |
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- |
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Loss from operations |
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(63,976 |
) |
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(41,772 |
) |
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(43,159 |
) |
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Other segment items(1) |
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3,418 |
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8,129 |
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8,572 |
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Net loss |
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$ |
(60,558 |
) |
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$ |
(33,643 |
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$ |
(34,587 |
) |
(1) Other segment items include interest income, net, other income (expense), net, and income tax expense (benefit).
The CODM is regularly provided with the as noted on the face of the Consolidated Statement of Operations and Comprehensive Loss, as these make up the significant expenses included in the measure of the segment profit or loss. Reported segment revenues less the significant expenses defined in accordance with ASC 280-10-50-26A is equal to the reported segment profit or loss, and thus there are no other segment items to disclose herein.
The Company considers these categories significant based on their materiality to the segment’s results and their importance in the CODM’s evaluation of segment performance and resource allocation decisions.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 4, 2026 | Showing above |
| 2024 | Mar 5, 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.