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SEGMENT REPORTING
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
SEGMENT REPORTING

NOTE 11 – SEGMENT REPORTING

 

Beginning in the current quarter ended March 31, 2025, the Company has two reportable segments, which are aligned with its internal organizational structure and reviewed by the Chief Executive Officer, who is the Company’s Chief Operating Decision Maker (CODM). In accordance with ASC 280, Segment Reporting, segments are defined based on the manner in which financial information is evaluated by the CODM for resource allocation and performance assessment.

 

The Company’s reportable segments are as follows:

 

Auralink — Provider of private telecommunications solutions and proprietary billing services.

 

Nixxy — Provider of marketplace advertising and software subscription services.

 

All material operating units within each segment have been aggregated as they share similar economic characteristics, customer types, nature of products and services, and processes for procurement and delivery. The Company evaluates segment performance based on segment operating loss, which includes gross profit less direct research and development, sales and marketing, and general and administrative expenses that are specifically attributable to each segment. Items below loss from operations, such as interest and taxes, and all balance sheet data are not allocated to segments, as they are not used by the CODM.

  

The tables below present segment information reconciled to total Company loss from operations, with segment operating loss including gross profit less direct research and development expenses and direct selling, general and administrative expenses to the extent specifically identified by segment:

               
   Three Months Ended March 31, 2025
   Nixxy  Auralink
REVENUE      
Revenue  $134,543   $1,262,355 
           
OPERATING EXPENSES          
Cost of revenue   (868)   1,262,355 
Sales and marketing   694,486    – 
Product development   17,984    – 
Amortization of intangibles   204,171    68,144 
General and administrative   3,601,300    325,596 
Total operating expenses   4,517,073    1,656,095 
           
LOSS FROM OPERATIONS  $(4,382,530)  $(393,740)

 

           
   Three Months Ended March 31, 2024
   Nixxy  Auralink
REVENUE      
Revenue  $222,557   $– 
           
OPERATING EXPENSES          
Cost of revenue (exclusive of amortization shown separately below)   3,029    – 
Sales and marketing   52,746    – 
Product development   11,937    – 
Amortization of intangibles   314,410    – 
General and administrative   893,740    – 
Total operating expenses   1,275,862    – 
           
LOSS FROM OPERATIONS  $(1,053,305)  $– 

 

Assets are not allocated to segments for internal reporting presentations. It is impracticable for us to separately identify the amount of amortization and depreciation by segment that is included in the measure of segment profit or loss.

 

Long-lived assets, excluding financial instruments and tax assets, were as follows:

 

           
 Schedule of segment assets  As of March 31, 2025
   Nixxy  Auralink
ASSETS      
Property and equipment, net  $3,159   $– 
Intangible assets, net   1,422,314    6,111,701 
Goodwill   2,405,341    – 
Total assets  $3,830,814   $6,111,701