Turtle Beach Corp Segments Disclosure
Note 11. Segment Information
The Company operates in a reportable segment. The entire business is managed by a single management team whose chief operating decision maker is the , who evaluates segment performance based on operating income (loss) for purposes of allocating resources and evaluating financial performance.
The following table represents total net revenue based on where customers are physically located (in thousands):
|
|
Year Ended |
|
|||||||||
|
|
December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
|
|
|
|
|||||||||
Americas |
|
$ |
235,655 |
|
|
$ |
284,280 |
|
|
$ |
186,279 |
|
Europe and Middle East |
|
|
71,000 |
|
|
|
76,268 |
|
|
|
62,015 |
|
Asia Pacific |
|
|
13,259 |
|
|
|
12,218 |
|
|
|
9,828 |
|
Total net revenue |
|
$ |
319,914 |
|
|
$ |
372,766 |
|
|
$ |
258,122 |
|
The following table reflects the significant expenses of the Company's reportable segment for the following periods (in thousands):
|
|
Year Ended |
|
|||||||||
|
|
December 31, |
|
|||||||||
|
|
2025 |
|
|
2024 |
|
|
2023 |
|
|||
|
|
|
|
|||||||||
Net revenue |
|
$ |
319,914 |
|
|
$ |
372,766 |
|
|
$ |
258,122 |
|
Less: |
|
|
|
|
|
|
|
|
|
|||
Cost of revenue |
|
|
200,631 |
|
|
|
243,784 |
|
|
|
182,618 |
|
Sales |
|
|
24,574 |
|
|
|
23,563 |
|
|
|
15,845 |
|
Marketing |
|
|
27,911 |
|
|
|
28,866 |
|
|
|
27,644 |
|
Research and development |
|
|
16,886 |
|
|
|
17,304 |
|
|
|
17,137 |
|
General and administrative |
|
|
30,374 |
|
|
|
28,388 |
|
|
|
31,321 |
|
Insurance recovery |
|
|
(9,404 |
) |
|
|
— |
|
|
|
— |
|
Acquisition-related costs |
|
|
1,424 |
|
|
|
10,832 |
|
|
|
— |
|
Operating income (loss) |
|
|
27,518 |
|
|
|
20,029 |
|
|
|
(16,443 |
) |
Reconciliation of segment operating income (loss) to net income (loss): |
|
|
|
|
|
|
|
|
|
|||
Interest expense, net |
|
|
9,771 |
|
|
|
8,068 |
|
|
|
504 |
|
Other expense, net |
|
|
945 |
|
|
|
1,289 |
|
|
|
394 |
|
Income tax expense (benefit) |
|
|
1,071 |
|
|
|
(5,511 |
) |
|
|
338 |
|
Net income (loss) |
|
$ |
15,731 |
|
|
$ |
16,183 |
|
|
$ |
(17,679 |
) |
The following table represents property and equipment, net based on physical location (in thousands):
|
|
Year Ended |
|
|||||
|
|
December 31, |
|
|||||
|
|
2025 |
|
|
2024 |
|
||
|
|
|
|
|||||
United States |
|
$ |
2,647 |
|
|
$ |
5,255 |
|
International |
|
|
348 |
|
|
|
589 |
|
Total property and equipment, net |
|
$ |
2,995 |
|
|
$ |
5,844 |
|
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 12, 2026 | Showing above |
| 2024 | Mar 17, 2025 | |
| 2023 | Mar 13, 2024 | |
| 2022 | Mar 29, 2023 | |
| 2021 | Mar 2, 2022 | |
| 2020 | Mar 4, 2021 | |
| 2019 | Mar 13, 2020 | |
| 2018 | Mar 18, 2019 | |
| 2017 | Mar 7, 2018 | |
| 2016 | Mar 8, 2017 | |
| 2015 | Mar 30, 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.