Twin Vee PowerCats, Co. Segments Disclosure

16. Segment Information

The Company reports segment information based on the “management” approach. The Company’s Chief Operating Decision Maker is its President and Chief Executive Officer. The management approach designates the internal reporting used by management for making decisions and assessing performance as the source of the Company’s reportable segments. The Company operates in two reportable segments: (1) Twin Vee PowerCats, which designs, manufactures, and sells recreational and commercial powerboats; and (2) Wizz Banger, Inc., a development-stage subsidiary with plans to develop an innovative online marketplace leveraging artificial intelligence (AI) to transform how customers search for and purchase recreational marine assets.

While the Company manages Wizz Banger, Inc. as a distinct operating segment, it does not currently meet the quantitative thresholds for separate disclosure as a reportable segment under ASC 280-10-50-12. Specifically, for the year ended December 31, 2025, Wizz Banger, Inc. did not satisfy any of the three quantitative tests requiring separate presentation, as it represented less than 10% of the Company’s consolidated revenues, less than 10% of consolidated assets, and less than 10% of the greater, in absolute amount, of the combined profit of profitable segments or the combined loss of loss-making segments, based on the measure of segment performance regularly reviewed by the Company’s Chief Operating Decision Maker (“CODM”), which excludes software development costs and non-cash stock-based compensation. Although Wizz Banger, Inc. qualifies as an operating segment due to the availability of discrete financial information and management’s ongoing evaluation of its operating results, it has not achieved sufficient scale to be considered reportable. Accordingly, the financial results of Wizz Banger, Inc. are aggregated and presented within the consolidated results of Twin Vee PowerCats for segment reporting purposes.