BUSINESS SEGMENTS

12 Months Ended

Dec. 31, 2024

Segment Reporting [Abstract]

BUSINESS SEGMENTS

7. BUSINESS SEGMENTS

The Company’s CODM, the Chief Executive Officer, evaluates how the Company views and measures its performance. ASC 280, Segment Reporting establishes the standards for reporting information about segments in financial statements. After consideration of this criteria, the CODM has determined that there are three reportable segments, consisting of Beeline, Bridgetown Spirits and Corporate.

Beeline is an AI-driven fintech mortgage lender that develops proprietary software in the form of major enhancements and new developments in its lending platform, including Beeline’s Chat API “Bob.” Bridgetown Spirits brands span several alcoholic beverage categories, including whiskey, vodka, rum, and tequila and are sold on a wholesale basis to distributors in open states, and to brokers in control states. Corporate consists of key executive and accounting personnel and corporate expenses such as public company and board costs, as well as interest on debt.

The Company measures segment performance to allocate resources primarily based on revenues of Beeline and profit margin of Bridgetown. Total asset information by segment is not provided to, or reviewed by, the CODM as it is not used to make strategic decisions, allocate resources or assess performance. The accounting policies of the segments are the same as those described for the Company in Note 3 - Summary of Significant Accounting Policies.

Beeline Holdings, Inc.

Notes to Consolidated Financial Statements

December 31, 2024 and 2023

Segment information was as follows for the years ended December 31:

Beeline (October 8, 2024-December 31, 2024)
(Dollars in thousands)	2024			2023
Gain on sale of loans, net	$	757		$	-
Title fees		277			-
Loan origination fees		214			-
Interest income		86			-
Interest expense		(141	)		-
Data and tech services		2			-
Total net revenues		1,195			-
Salaries and benefits		1,242			-
Marketing and advertising		423			-
Professional fees		24			-
General and administrative expenses		232			-
Depreciation and amortization		736			-
Other operating expenses		477			-
Total operating expenses		3,134			-
Loss from operations		(1,939	)		-
Interest expense		(11	)		-
Other expense		(4	)		-
Net loss	$	(1,954	)	$	-

Spirits (Bridgetown Spirits for the period October 8-December 31, 2024)
(Dollars in thousands)	2024			2023
Net sales, spirits	$	2,577		$	3,787
Cost of sales, spirits (exclusive of depreciation and amortization)		2,081			2,609
Salaries and benefits		559			917
Marketing and advertising		375			205
General and administrative expenses		-			294
Depreciation and amortization		45			57
Other operating expenses		1			3
Impairment loss		3,356			364
Total operating expenses		6,417			4,449
Loss from operations		(3,840	)		(662	)
Other income		-			61
Net loss	$	(3,840	)	$	(601	)
Gross profit	$	496		$	1,178
Gross margin		19	%		31	%

Corporate
(Dollars in thousands)	2024			2023
Salaries and benefits	$	1,350		$	457
Marketing and advertising		11			-
Professional fees		1,041			488
General and administrative expenses		768			820
Depreciation and amortization		22			-
Other operating expenses		59			(3	)
Total operating expenses		3,251			1,762
Interest income		4			-
Interest expense		(2,225	)		(1,096	)
Gain on extinguishment of debt		591			-
Gain on troubled debt restructuring		4,483			-
Loss on debt to equity conversion		-			(1,321	)
Loss on equity method investment		(58	)		-
Other income		39			-
Other expense		(27	)		(6	)
Net loss	$	(444	)	$	(4,185	)

Beeline Holdings, Inc.

Notes to Consolidated Financial Statements

December 31, 2024 and 2023