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Business Segments | 12 Months Ended
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May 31, 2024
Segment Reporting [Abstract] |
Business Segments | Business Segments Revenue by segment (excluding the HPC Hosting Business as that segment has no revenue) was as follows (in thousands):
| Fiscal year ended
| May 31, 2024 |  | May 31, 2023
Data Center Hosting Business | $ | 136,618 |  |  | $ | 55,392 |
Cloud Services Business | 28,957 |  |  | — |
Total revenue | $ | 165,575 |  |  | $ | 55,392 |
Segment profit (loss) and a reconciliation to net loss before income tax expenses is as follows (in thousands):
| Fiscal year ended
| May 31, 2024 |  | May 31, 2023
Segment profit (loss) |  |  |
Data Center Hosting Business (1) | $ | 4,660 |  |  | $ | (18,252) |
Cloud Services Business | (65,781) |  |  | (1,091) |
HPC Hosting Business | (4,817) |  |  | (246) |
Total segment loss | (65,938) |  |  | (19,589) |
Other (2) | (33,085) |  |  | (24,466) |
Operating loss | (99,023) |  |  | (44,055) |
Interest expense, net | 26,832 |  |  | 1,980 |
Change in fair value of debt | 7,401 |  |  | — |
Change in fair value of related party debt | 13,812 |  |  | — |
Loss on debt extinguishment | 2,507 |  |  | 94 |
Net loss before income tax expenses | $ | (149,575) |  |  | $ | (46,129) |
(1)The fiscal year ended May 31, 2024 includes $21.7 million loss on held for sale classification related to the sale of the Garden City facility, as well as $2.8 million of accelerated depreciation and $1.4 million of accelerated amortization related to damaged transformers at the Company’s Ellendale facility that have been rendered obsolete. See "Note 5 - Asset Disposition" and "Note 3 - Property and Equipment", respectively, for further discussion of these events. (2)Other includes corporate related items not allocated to reportable segments. We also provide the following additional segment disclosures (in thousands):
| Fiscal year ended
| May 31, 2024 |  | May 31, 2023
Depreciation and amortization: |  |  |
Data Center Hosting Business | $ | 19,948 |  |  | $ | 7,025 |
Cloud Services Business | 57,883 |  |  | 154 |
HPC Hosting Business | 1,233 |  |  | 59 |
Other (1) | 296 |  |  | 29 |
Total depreciation and amortization (2) | $ | 79,360 |  |  | $ | 7,267 |
Capital expenditures: |  |  |
Data Center Hosting Business | $ | 38,266 |  |  | $ | 135,946 |
Cloud Services Business | 80,082 |  |  | 390 |
HPC Hosting Business | 207,299 |  |  | 9,813 |
Other (1) | $ | 4,291 |  |  | $ | (1,164) |
Total capital expenditures | $ | 329,938 |  |  | $ | 144,985 |
(1)Other includes corporate related items not allocated to reportable segments. (2)Includes amortization of the finance lease right-of-use assets. Information on segment assets and a reconciliation to consolidated assets are as follows (in thousands):
| Fiscal year ended
| May 31, 2024 |  | May 31, 2023
Data Center Hosting Business | $ | 145,222 |  |  | $ | 224,447 |
Cloud Services Business | 374,216 |  |  | 3,127 |
HPC Hosting Business | 220,648 |  |  | 10,949 |
Total segment assets | 740,086 |  |  | 238,523 |
Other (1) | 22,781 |  |  | 25,434 |
Total assets | $ | 762,867 |  |  | $ | 263,957 |
(1) Other includes corporate related items not allocated to reportable segments.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-22 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-15 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-31 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-42 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 40 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-40 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//280/tableOfContent Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-26 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 34 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-34 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-41 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-21 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-21 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482810/280-10-50-32 + Details
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