SEGMENTS
Our single operating segment derives its revenues from the manufacturing and sale of PV solar modules. Accordingly, our chief operating decision maker (“CODM”), the Chief Executive Officer and Chairman of the Board, manages the Company’s business activities as a single operating and reportable segment at the consolidated level. Our CODM uses consolidated net loss to measure segment profit or loss, allocate resources, and assess performance. Further, our CODM reviews and utilizes certain significant segment expenses at the consolidated level to manage the Company’s operations. Our CODM uses these metrics to evaluate future acquisitions of complementary businesses and divestitures of non-core assets.
The measure of segment assets is reported on the consolidated balance sheets as total assets. We do not have intra-entity transactions. Segment results are as follows (in thousands):
| | | | | | | | | | | | | | |
| | Year ended December 31, |
| | 2025 | | 2024 |
| Total net sales | | $ | 755,295 | | | $ | 2,942 | |
Less(1): | | | | |
| Cost of sales | | 699,714 | | | 1,714 | |
| Selling, general and administrative | | 235,316 | | | 79,196 | |
| Interest expense (income) | | 37,093 | | | (3,393) | |
Other segment items(2) | | 123,902 | | | 7,986 | |
| Income tax (benefit) expense | | (19,372) | | | (15,760) | |
| Net loss from continuing operations | | $ | (321,358) | | | $ | (66,801) | |
(1) The significant segment expenses and amounts herein align with the segment-level information that is regularly provided to our CODM.
(2) Other segment items includes warrant liability fair value adjustment, impairment of intangible assets, impairment of assets previously classified as held for sale, derivative liabilities fair value adjustment, loss on debt extinguishment, foreign currency transaction (loss) gain, and other (expense) income, net, from our consolidated statements of operations and comprehensive loss.
Within our single segment for the year ended December 31, 2025 total expenditures for additions to long-lived assets were $63.3 million. There were no capital expenditures for continuing operations for the year ended December 31, 2024.
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.