SoFi Technologies, Inc.SOFI
SoFi Technologies, Inc. Segments Disclosure
Note 20. Business Segment and Geographic Information
Segment Organization and Reporting Framework
We have three reportable segments: Lending, Technology Platform and Financial Services. Each of our reportable segments is a strategic business unit that serves specific needs of our members based on the products and services provided. The segments are based on the manner in which management views the financial performance of the business. The reportable segments also reflect our organizational structure. Each segment has a segment manager who reports directly to the CODM. Our CODM is the company’s chief executive officer. The CODM has ultimate authority and responsibility over resource allocation decisions and performance assessment.
The operations of acquired businesses have been integrated into, or managed as part of, our existing reportable segments. Activities that are not part of a reportable segment, such as management of our corporate investment portfolio and asset/liability management by our centralized treasury function (as further discussed below), are included in our Corporate/Other segment.
Contribution profit (loss) is the measure of segment profit and loss reviewed by the CODM. Contribution profit (loss) is used by the CODM to evaluate segment performance and make decisions about funding our operations and allocating resources, primarily through periodic segment performance reviews. Contribution profit (loss) is defined as total net revenue for each reportable segment less:
•fair value changes in servicing rights and residual interests classified as debt that are attributable to assumption changes, which impact the contribution profit within the Lending segment. These fair value changes are non-cash in nature and are not realized in the period; therefore, they do not impact the amounts available to fund our operations; and
•expenses directly attributable to the corresponding reportable segment. Directly attributable expenses are the significant expenses of each of our respective segments, and primarily include compensation and benefits, direct advertising and lead generation, and vary based on the amount of activity within each segment. Directly attributable expenses also include loan origination and servicing expenses, professional services, product fulfillment, and occupancy-related costs. Expenses are attributed to the reportable segments using either direct costs of the segment or labor costs that can be attributed based upon the allocation of employee time for individual products.
•the provision for credit losses which primarily relates to the financial services segment.
We apply an FTP framework to attribute net interest income to our business segments based on their usage and/or provision of funding, implemented beginning in the first quarter of 2022. The primary objective of the FTP framework is to transfer interest rate risk from the business segments by providing matched duration of funding of assets and liabilities to allocate interest income and interest expense to each segment. Therefore, the financial impact, management and reporting of interest rate risk is centralized in Corporate/Other, where it is monitored and managed. Under the FTP framework, treasury provides a funds credit for sources of funds, such as deposits, and a funds charge for the use of funds, such as loans and credit cards. The process for determining FTP credits and charges is based on a number of factors and assumptions, including prevailing market interest rates, the expected duration of interest-earning and interest-bearing assets and liabilities, contingent risks and behaviors, and our broader funding profile. As the durations of assets and liabilities are typically not perfectly matched, the residual impact of the FTP framework is reflected within Corporate/Other. We regularly assess the assumptions, methodologies and reporting classifications used for segment reporting, which may result in further refinements or changes to the framework in future periods. The application of the FTP framework impacts the measure of net interest income and, thereby, total net revenue and contribution profit (loss) for our reportable segments, as well as the total net revenue of Corporate/Other, but has no impact on our consolidated results of operations.
The accounting policies of our reportable segments are consistent with those described in Note 1. Organization, Summary of Significant Accounting Policies and New Accounting Standards, except for the application of the FTP framework and the allocations of consolidated income and consolidated expenses. Assets are not allocated to reportable segments, as our CODM does not evaluate reportable segments using discrete asset information.
Segment Information
Lending. The Lending segment includes our personal loan, student loan and home loan products and the related servicing activities. We also provide servicing in support of our Loan Platform Business on loans originated on behalf of third-party partners and servicing rights assumed from third parties. Revenues in the Lending segment are driven by changes in the fair value of our whole loans and securitization interests (inclusive of our economic hedging activities), gains or losses recognized on transfers that meet the true sale requirements, and our servicing-related activities, which mainly consist of servicing fees and the changes in our servicing assets over time. In our Lending segment, we also earn the difference between interest income earned on our loans and interest expense as determined using the FTP framework.
Technology Platform. The Technology Platform segment includes: (i) technology products and solutions revenue, which is primarily related to our integrated technology platform as a service through Galileo, which provides the infrastructure to facilitate core client-facing and back-end capabilities, such as account setup, account funding, direct deposit, authorizations and processing, payments functionality and check account balance features, (ii) beginning in March 2022, revenue earned by Technisys, which expanded our segment to include a cloud-native digital and core banking platform offering and which results in the sale of software licenses and associated services, including implementation and maintenance, and (iii) beginning in the third quarter of 2023, interest income earned on segment cash balances, for which prior period amounts were determined to be immaterial. Our CODM considers contribution profit in evaluating the performance of our Technology Platform segment and making resource allocation decisions. See Note 2. Business Combinations for additional information on the Technisys Merger.
Financial Services. The Financial Services segment includes: (i) our SoFi Money product, primarily inclusive of checking and savings accounts which provide members with a digital banking experiences, as well as cash management accounts, (ii) SoFi Invest product which provides investment features and financial planning services, (iii) SoFi Credit Card products, (iv) our Loan Platform Business, through which we provide lending related services and includes activity through which third-party partners leverage our end-to-end origination and servicing platform to acquire loans within their credit specifications on a fee per loan basis, referred loans originated by a third-party partner to which we provide pre-qualified borrower referrals, and certain loans associated with our Lantern financial services marketplace platform, developed to help applicants that do not qualify for SoFi products and small business owners to seek alternative products from other providers, (v) SoFi Crypto, which gives members the ability to buy, sell and hold digital assets, (vi) SoFi Relay personal finance management product and (vii) other financial services, such as a product comparison experience through Lantern and content for other financial services institutions, employers and our members.
Revenues in the Financial Services segment include interest income earned and interest expense incurred under the FTP framework, interchange fees on our member debit and credit transactions, and brokerage fees related to pay for order flow and share lending arrangements in SoFi Invest. We earn revenue on loans originated on behalf of third-party partners through our Loan Platform Business, for which we receive a specified fee upon sale which includes a fixed price per loan sold. We also earn referral fees in connection with referral activity we facilitate through our platform, inclusive of referral fees generated through our Loan Platform Business for providing pre-qualified borrower referrals to a third-party partner who separately contracts with a loan originator. Certain products, such as our complementary product SoFi Relay, do not provide direct sources of revenue. Under the FTP framework, the Financial Services segment earns interest income that is reflective of an FTP credit for deposits provided to the overall business, as well as incurs interest expense that is reflective of an FTP charge related to the use of funding for SoFi Credit Card.
Corporate/Other. Corporate/Other includes net revenues associated with corporate functions that are not directly related to a reportable segment. Beginning in the first quarter of 2022, net interest income (expense) within Corporate/Other reflects the residual impact from FTP charges and FTP credits allocated to our reportable segments under our FTP framework. These non-segment net revenue (loss) also include interest income earned on corporate cash balances, nonrecurring income on certain investments from available cash on hand, such as our investments in AFS debt securities (which investments are not interconnected with our core business lines and, thereby, reportable segments), noninterest income related to gains and losses on extinguishment of corporate borrowings including our convertible notes, and interest expense on other corporate borrowings,
such as our revolving credit facility and the amortization of debt issuance costs and original issue discount on our convertible notes.
Segment Results
The following tables present financial information, including the measure of contribution profit (loss), for each reportable segment. Directly attributable expenses are the significant expenses of each of our respective segments relative to those regularly provided to our CODM. Expenses not allocated to reportable segments represent items that are not considered by our CODM in evaluating segment performance or allocating resources.
| Year Ended December 31, 2025 | Lending | Technology Platform | Financial Services | Reportable Segments Total(1) | Corporate/Other(1) | Total | ||||||||||||||||||||||||||||||||
| Net revenue | ||||||||||||||||||||||||||||||||||||||
| Net interest income (expense) | $ | 1,606,032 | $ | 1,505 | $ | 777,991 | $ | 2,385,528 | $ | (166,572) | $ | 2,218,956 | ||||||||||||||||||||||||||
Noninterest income (expense)(2) | 242,917 | 448,706 | 764,025 | 1,455,648 | (61,250) | 1,394,398 | ||||||||||||||||||||||||||||||||
| Total net revenue (loss) | $ | 1,848,949 | $ | 450,211 | $ | 1,542,016 | $ | 3,841,176 | $ | (227,822) | $ | 3,613,354 | ||||||||||||||||||||||||||
Provision for credit losses | — | — | (30,329) | (30,329) | ||||||||||||||||||||||||||||||||||
Servicing rights – change in valuation inputs or assumptions(3) | (22,013) | — | — | (22,013) | ||||||||||||||||||||||||||||||||||
Residual interests classified as debt – change in valuation inputs or assumptions(4) | 70 | — | — | 70 | ||||||||||||||||||||||||||||||||||
Directly attributable expenses(5): | ||||||||||||||||||||||||||||||||||||||
| Compensation and benefits | (166,239) | (187,895) | (181,356) | |||||||||||||||||||||||||||||||||||
| Direct advertising | (327,747) | — | (33,323) | |||||||||||||||||||||||||||||||||||
| Lead generation | (184,542) | — | (161,896) | |||||||||||||||||||||||||||||||||||
| Loan origination and servicing costs | (84,215) | — | — | |||||||||||||||||||||||||||||||||||
| Product fulfillment | — | (50,852) | (86,411) | |||||||||||||||||||||||||||||||||||
| Tools and subscriptions | — | (37,291) | — | |||||||||||||||||||||||||||||||||||
| Member incentives | — | — | (77,488) | |||||||||||||||||||||||||||||||||||
| Professional services | (13,041) | (14,234) | (30,245) | |||||||||||||||||||||||||||||||||||
| Intercompany technology platform expenses | (2,078) | — | (46,890) | |||||||||||||||||||||||||||||||||||
Other | (32,244) | (15,526) | (101,169) | |||||||||||||||||||||||||||||||||||
Directly attributable expenses | (810,106) | (305,798) | (718,778) | (1,834,682) | ||||||||||||||||||||||||||||||||||
Contribution profit | $ | 1,016,900 | $ | 144,413 | $ | 792,909 | $ | 1,954,222 | ||||||||||||||||||||||||||||||
| Year Ended December 31, 2024 | Lending | Technology Platform | Financial Services | Reportable Segments Total(1) | Corporate/Other(1) | Total | ||||||||||||||||||||||||||||||||
| Net revenue | ||||||||||||||||||||||||||||||||||||||
| Net interest income (expense) | $ | 1,207,226 | $ | 2,158 | $ | 573,422 | $ | 1,782,806 | $ | (66,325) | $ | 1,716,481 | ||||||||||||||||||||||||||
Noninterest income(2) | 277,996 | 393,020 | 248,089 | 919,105 | 39,273 | 958,378 | ||||||||||||||||||||||||||||||||
| Total net revenue (loss) | $ | 1,485,222 | $ | 395,178 | $ | 821,511 | $ | 2,701,911 | $ | (27,052) | $ | 2,674,859 | ||||||||||||||||||||||||||
Provision for credit losses | — | — | (31,659) | (31,659) | ||||||||||||||||||||||||||||||||||
Servicing rights – change in valuation inputs or assumptions(3) | (6,280) | — | — | (6,280) | ||||||||||||||||||||||||||||||||||
Residual interests classified as debt – change in valuation inputs or assumptions(4) | 108 | — | — | 108 | ||||||||||||||||||||||||||||||||||
Directly attributable expenses(5): | ||||||||||||||||||||||||||||||||||||||
| Compensation and benefits | (126,394) | (152,158) | (137,097) | |||||||||||||||||||||||||||||||||||
| Direct advertising | (218,566) | — | (36,729) | |||||||||||||||||||||||||||||||||||
| Lead generation | (149,481) | — | (50,325) | |||||||||||||||||||||||||||||||||||
| Loan origination and servicing costs | (51,415) | — | — | |||||||||||||||||||||||||||||||||||
| Product fulfillment | — | (58,247) | (73,194) | |||||||||||||||||||||||||||||||||||
| Tools and subscriptions | — | (28,081) | — | |||||||||||||||||||||||||||||||||||
| Member incentives | — | — | (80,837) | |||||||||||||||||||||||||||||||||||
| Professional services | (11,957) | (12,088) | (22,972) | |||||||||||||||||||||||||||||||||||
| Intercompany technology platform expenses | (2,706) | — | (23,924) | |||||||||||||||||||||||||||||||||||
Other | (27,988) | (17,649) | (57,767) | |||||||||||||||||||||||||||||||||||
| Directly attributable expenses | (588,507) | (268,223) | (482,845) | (1,339,575) | ||||||||||||||||||||||||||||||||||
Contribution profit | $ | 890,543 | $ | 126,955 | $ | 307,007 | $ | 1,324,505 | ||||||||||||||||||||||||||||||
| Year Ended December 31, 2023 | Lending | Technology Platform | Financial Services | Reportable Segments Total(1) | Corporate/Other(1) | Total | ||||||||||||||||||||||||||||||||
| Net revenue | ||||||||||||||||||||||||||||||||||||||
| Net interest income (expense) | $ | 960,773 | $ | 1,514 | $ | 334,847 | $ | 1,297,134 | $ | (35,394) | $ | 1,261,740 | ||||||||||||||||||||||||||
Noninterest income (expense)(2) | 409,848 | 350,826 | 101,668 | 862,342 | (1,293) | 861,049 | ||||||||||||||||||||||||||||||||
| Total net revenue (loss) | $ | 1,370,621 | $ | 352,340 | $ | 436,515 | $ | 2,159,476 | $ | (36,687) | $ | 2,122,789 | ||||||||||||||||||||||||||
Provision for credit losses | — | — | (54,945) | (54,945) | ||||||||||||||||||||||||||||||||||
Servicing rights – change in valuation inputs or assumptions(3) | (34,700) | — | — | (34,700) | ||||||||||||||||||||||||||||||||||
Residual interests classified as debt – change in valuation inputs or assumptions(4) | 425 | — | — | 425 | ||||||||||||||||||||||||||||||||||
Directly attributable expenses(5): | ||||||||||||||||||||||||||||||||||||||
| Compensation and benefits | (119,266) | (151,041) | (125,143) | |||||||||||||||||||||||||||||||||||
| Direct advertising | (183,885) | — | (44,347) | |||||||||||||||||||||||||||||||||||
| Lead generation | (115,388) | — | (36,447) | |||||||||||||||||||||||||||||||||||
| Loan origination and servicing costs | (46,241) | — | — | |||||||||||||||||||||||||||||||||||
| Product fulfillment | — | (47,731) | (49,829) | |||||||||||||||||||||||||||||||||||
| Tools and subscriptions | — | (26,384) | — | |||||||||||||||||||||||||||||||||||
| Member incentives | — | — | (54,616) | |||||||||||||||||||||||||||||||||||
| Professional services | (9,592) | (13,230) | (12,719) | |||||||||||||||||||||||||||||||||||
| Intercompany technology platform expenses | (948) | — | (12,961) | |||||||||||||||||||||||||||||||||||
Other | (37,753) | (19,168) | (45,770) | |||||||||||||||||||||||||||||||||||
| Directly attributable expenses | (513,073) | (257,554) | (381,832) | (1,152,459) | ||||||||||||||||||||||||||||||||||
Contribution profit (loss) | $ | 823,273 | $ | 94,786 | $ | (262) | $ | 917,797 | ||||||||||||||||||||||||||||||
_____________________
(1)Within the Technology Platform segment, intercompany fees were $85,484, $36,765 and $22,199 for the years ended December 31, 2025, 2024 and 2023, respectively. The equal and offsetting intercompany expenses are reflected within all three segments’ directly attributable expenses, as well as within expenses not allocated to segments. The intercompany revenues and expenses are eliminated in consolidation. The revenues are eliminated within Corporate/Other and the expenses are adjusted in our reconciliation of directly attributable expenses below.
(2)Refer to Note 3. Revenue for a reconciliation of revenue from contracts with customers to total noninterest income (expense).
(3)Reflects changes in fair value inputs and assumptions on servicing rights, including conditional prepayment, default rates and discount rates. These assumptions are highly sensitive to market interest rate changes and are not indicative of our performance or results of operations. Moreover, these non-cash charges, which are recorded within noninterest income in the consolidated statements of operations and comprehensive income (loss), are unrealized during the period and, therefore, have no impact on our cash flows from operations.
(4)Reflects changes in fair value inputs and assumptions on residual interests classified as debt, including conditional prepayment, default rates and discount rates. When third parties finance our consolidated securitization VIEs by purchasing residual interests, we receive proceeds at the time of the closing of the securitization and, thereafter, pass along contractual cash flows to the residual interest owner. These residual debt obligations are measured at fair value on a recurring basis, with fair value changes recorded within noninterest income in the consolidated statements of operations and comprehensive income (loss), but they have no impact on our initial financing proceeds, our future obligations to the residual interest owner (because future residual interest claims are limited to contractual securitization collateral cash flows), or the general operations of our business.
(5)The significant expense categories and amounts presented align with the segment-level information that is regularly provided to the CODM. Other expenses for our Lending segment primarily include loan marketing expenses, member promotional expenses, tools and subscriptions, travel and occupancy-related costs and third-party loan fraud (net of related insurance recoveries). Other expenses for our Technology Platform are primarily related to travel and occupancy-related costs, advertising and marketing and accounts receivable write-offs. Other expenses for our Financial Services segment primarily include operational product losses, network servicing fees, travel and occupancy-related costs, tools and subscriptions and marketing expenses.
The following table reconciles reportable segments total contribution profit to consolidated income (loss) before income taxes. Expenses not allocated to reportable segments represent items that are not considered by our CODM in evaluating segment performance or allocating resources.
| Year Ended December 31, | ||||||||||||||||||||
| 2025 | 2024 | 2023 | ||||||||||||||||||
| Reportable segments total contribution profit | $ | 1,954,222 | $ | 1,324,505 | $ | 917,797 | ||||||||||||||
Corporate/Other total net revenue (loss) | (227,822) | (27,052) | (36,687) | |||||||||||||||||
| Intercompany expenses | 85,484 | 36,765 | 22,199 | |||||||||||||||||
| Servicing rights – change in valuation inputs or assumptions | 22,013 | 6,280 | 34,700 | |||||||||||||||||
| Residual interests classified as debt – change in valuation inputs or assumptions | (70) | (108) | (425) | |||||||||||||||||
Not allocated to segments: | ||||||||||||||||||||
| Share-based compensation expense | (262,058) | (246,152) | (271,216) | |||||||||||||||||
Employee-related costs(1) | (365,326) | (288,767) | (250,326) | |||||||||||||||||
| Depreciation and amortization expense | (234,151) | (203,498) | (201,416) | |||||||||||||||||
| Goodwill impairment expense | — | — | (247,174) | |||||||||||||||||
Other corporate and unallocated(2) | (446,435) | (368,628) | (268,610) | |||||||||||||||||
| Income (loss) before income taxes | $ | 525,857 | $ | 233,345 | $ | (301,158) | ||||||||||||||
(1)Includes expenses related to compensation, benefits, restructuring charges, recruiting, certain occupancy-related costs and various travel costs of executive management, certain technology groups and general and administrative functions that are not directly attributable to the reportable segments.
(2)Represents corporate overhead costs that are not allocated to reportable segments, which primarily includes corporate marketing and advertising costs, tools and subscription costs, professional services costs, amortization of premiums on a credit default swap, corporate and FDIC insurance costs, foreign currency translation adjustments and transaction-related expenses.
Geographic Information
The following tables present total net revenue from external customers and total assets attributed to the United States and to all foreign countries in total in which we operate. We attribute total net revenue and total assets based on the country of domicile of the legal entity. No individual foreign country had material total net revenue during any of the years presented. Our
long-lived assets as of the dates indicated were not considered by management to be significant relative to total assets. The majority of our long-lived assets were located in the United States as of the dates indicated.
| Year Ended December 31, | ||||||||||||||||||||
| 2025 | 2024 | 2023 | ||||||||||||||||||
| United States | $ | 3,364,662 | $ | 2,576,456 | $ | 2,028,112 | ||||||||||||||
| All foreign countries | 248,692 | 98,403 | 94,677 | |||||||||||||||||
| Total net revenue | $ | 3,613,354 | $ | 2,674,859 | $ | 2,122,789 | ||||||||||||||
| December 31, | ||||||||||||||
| 2025 | 2024 | |||||||||||||
| United States | $ | 49,378,384 | $ | 35,299,444 | ||||||||||
| All foreign countries | 1,282,094 | 951,507 | ||||||||||||
| Total assets | $ | 50,660,478 | $ | 36,250,951 | ||||||||||
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Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 17, 2026 | Showing above |
| 2024 | Feb 24, 2025 | |
| 2023 | Feb 27, 2024 | |
| 2022 | Mar 1, 2023 | |
| 2021 | Mar 1, 2022 | |
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.