XBP Global Holdings, Inc. Segments Disclosure
21. Segment Information
The Company’s operating segments are significant strategic business units that align its products and services with how it manages its business, approaches the markets and interacts with its clients. The Company is organized into two segments: Applied Workflow Automation and Technology.
Applied Workflow Automation
The Applied Workflow Automation segment provides services powered by intelligent, AI-enabled workflows that generate outcomes for clients’ systems. Revenue primarily stems from transactions processed and includes payment processing, data capture, analysis, decisioning, distribution and transformation across industries and the public and private sectors, primarily in Americas and Europe, and increasingly in Asia. The Applied Workflow Automation segment includes the Company’s Bills & Payments, healthcare industry solutions, on-site enterprise solutions, integrated communications and enterprise legal management business units which serve leading banks, payers and providers, utilities as well as federal, regional and local government entities.
Technology
The Technology segment focuses on the sale of recurring and perpetual software licenses, software maintenance and professional services, as well as hardware solutions and maintenance. The Company offers an industry-agnostic and cross-departmental suite of products, with primary focus on scalable workflows leveraging AI through neural networks together with deep domain expertise. The Company also offers industry specific platforms for the banking and healthcare industries.
The Company’s Chief Operating Decision Maker (“CODM”) is the Company’s Chief Executive Officer. The CODM reviews segment profit to evaluate operating segment performance and determine how to allocate resources to operating segments. “Segment profit” is defined as revenue less cost of revenue (exclusive of depreciation and amortization). The Company does not allocate selling, general, and administrative expenses, depreciation and amortization, related party expense, net, interest expense, net, sundry expenses (income), net, and other expense (income), net to its reporting segments. The Company manages assets on a total company basis, not by operating segment, and therefore asset information and capital expenditures by operating segments are not presented. A reconciliation of segment profit to net loss before income taxes is presented below. Other than cost of revenue, no
expenses are tracked, allocated or reported based on segments as the CODM does not review or use financial information below segment profit to manage and direct the resources of the reportable segments.
Successor | Predecessor | ||||||||||||||||||
Consolidated | Combined and Consolidated | ||||||||||||||||||
Period from August 1, 2025 through December 31, 2025 | Period from January 1, 2025 through July 31, 2025 | ||||||||||||||||||
| Applied Workflow Automation | | Technology | | Total | | | Applied Workflow Automation | | Technology | | Total | |||||||
Revenue (including related party revenue) | $ | 321,618 | $ | 37,763 | $ | 359,381 | $ | 401,593 | $ | 30,068 | $ | 431,661 | |||||||
Cost of revenue (exclusive of depreciation and amortization) |
| 264,474 |
| 14,917 |
| 279,391 |
| 329,433 |
| 10,548 |
| 339,981 | |||||||
Segment profit | 57,144 | 22,846 | 79,990 | 72,160 | 19,520 | 91,680 | |||||||||||||
Selling, general and administrative expenses (exclusive of depreciation and amortization) |
| 49,669 |
| 53,946 | |||||||||||||||
Depreciation and amortization |
| 26,225 |
| 22,313 | |||||||||||||||
Impairment of goodwill | 320,292 | — | |||||||||||||||||
| 5,386 |
| 5,750 | ||||||||||||||||
Interest expense, net |
| 24,237 |
| 75,226 | |||||||||||||||
Sundry expense, net |
| 274 |
| 1,644 | |||||||||||||||
Other income, net | (1,596) | (28) | |||||||||||||||||
Loss before reorganization items and income taxes | (344,497) | (67,292) | |||||||||||||||||
Reorganization items | 1,615 |
| (1,557,825) | ||||||||||||||||
Net profit (loss) before income taxes |
| $ | (346,112) |
| $ | 1,490,533 | |||||||||||||
Predecessor | |||||||||
Combined and Consolidated | |||||||||
Year ended December 31, 2024 | |||||||||
| Applied Workflow Automation | | Technology | | Total | ||||
Revenue (including related party revenue) | $ | 816,447 | $ | 56,243 | $ | 872,690 | |||
Cost of revenue (exclusive of depreciation and amortization) |
| 665,401 |
| 18,523 |
| 683,924 | |||
Segment profit | 151,046 | 37,720 | 188,766 | ||||||
Selling, general and administrative expenses (exclusive of depreciation and amortization) |
| 124,440 | |||||||
Depreciation and amortization |
| 50,307 | |||||||
Impairment of goodwill and other intangible assets | 108,489 | ||||||||
| 10,971 | ||||||||
Interest expense, net |
| 101,939 | |||||||
Debt modification and extinguishment costs (gain), net |
| 363 | |||||||
Sundry income, net |
| (2,087) | |||||||
Other income, net | (515) | ||||||||
Loss before reorganization items and income taxes | (205,141) | ||||||||
Reorganization items | — | ||||||||
Net loss before income taxes |
| $ | (205,141) | ||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 31, 2026 | Showing above |
| 2024 | Mar 19, 2025 | |
| 2023 | Apr 1, 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.