The following table sets forth certain financial information for the Company's reportable segments (in thousands):


	Year Ended December 31, 2025
	Auction and Liquidation			Refurbishment & Resale			Brokerage			Specialty Lending			Corporate and other			Consolidated
Gross profit [1]	$	10,941		$	5,827		$	12,844		$	1,355		$	65		$	31,032
Operating expenses [2]		(8,336	)		(4,168	)		(6,728	)		(1,182	)		(5,030	)	$	(25,444	)
Earnings from equity method investments		66			—			—			57			—			123
Operating income (loss)	$	2,671		$	1,659		$	6,116		$	230		$	(4,965	)	$	5,711


	Year Ended December 31, 2024
	Auction and Liquidation			Refurbishment & Resale			Brokerage			Specialty Lending			Corporate and other			Consolidated
Gross profit [1]	$	10,560		$	4,103		$	14,069		$	2,503		$	—		$	31,235
Operating expenses [2]		(7,911	)		(3,655	)		(6,717	)		(1,800	)		(4,774	)		(24,857	)
Earnings from equity method investments		1,391			—			—			1,297			—			2,688
Operating income (loss)	$	4,040		$	448		$	7,352		$	2,000		$	(4,774	)	$	9,066

[1] Within the Company’s Industrial Asset division, management allocates gross profit resulting from certain auctions from Auctions and Liquidation (HGP) to Refurbishment & Resale (ALT). From time to time, ALT may source and refer an auction project to HGP or directly sell lab equipment inventory through the auction channel. In these instances, the profits relates to these transactions are allocated to ALT rather than accounted for under the segment profit or loss of HGP. In 2025, the total amount of gross profit allocated to ALT from

HGP was approximately $1.8 million, as compared to the total amount of gross profit allocated to ALT in 2024 of approximately $1.3 million.

[2] All financing arrangements are originated with Corporate and other. Management may determine from time to time that interest incurred from financing arrangements are directly attributable to a specific segment. As a result, interest incurred may be charged to the segment and included in that segment’s profit or loss as a charge to operating expense. In 2025, no interest was allocated to Specialty Lending (HGC) from Corporate and other, as compared to the total amount of interest allocated to HGC in 2024 of approximately $0.3 million.

Heritage Global Inc. 10-K