Company: SKLZ
Filing Date: 2025-12-11
Form Type: 10-Q
Source: 0001801661-25-000072
Chunk: 6

Company: Skillz Inc.
Filing Date: 2025-12-11
Form: 10-Q
Item: Item 2
Chunk 6
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 expenses for the year ended December 31, 2024.

30

Operating Segments

We generate revenue from our two reportable segments, Skillz and Aarki. Refer to Note 12, Segment Reporting, of the notes to the condensed consolidated financial statements included in this Form 10-Q for further discussion.

Skillz (the “Company” or “Skillz”) operates a competitive multi-player platform, driving the future of entertainment by accelerating the convergence of video games, real world prizes, and media. The Company’s principal activities are to develop and support a proprietary online-hosted technology platform that creates a multi-player system inside of game developer’s games (“Competitions”) to end-players worldwide.

Aarki (“Aarki”) is a subsidiary of the Company and is an artificial intelligence company that delivers advertising solutions to drive revenue growth for mobile app developers. Aarki enables brands to effectively engage audiences in a privacy-first world by using billions of contextual bidding signals coupled with proprietary machine learning and behavioral models. Aarki works with advertisers globally and manages ad requests on mobile devices.

Results of Operations 

Comparison for the three months ended September 30, 2025 and 2024.

Three Months Ended September 30,2025 to 2024 Change20252024Increase/(Decrease)AmountPercentageRevenue$27,374 $24,564 $2,810 11 %Costs and expenses:Cost of revenue3,355 3,373 (18)(1)%Research and development5,444 4,742 702 15 %Sales and marketing17,368 19,294 (1,926)(10)%General and administrative17,479 18,147 (668)(4)%Total costs and expenses43,646 45,556 (1,910)(4)%Loss from operations(16,272)(20,992)4,720 22 %Interest (expense) income, net(1,560)242 (1,802)(745)%Other income (expense), net430 (333)763 229 %Loss before income taxes(17,402)(21,083)3,681 17 %Provision for income taxes40 32 8 25 %Net loss$(17,442)$(21,115)$3,673 17 %

Revenue

Revenue increased by $2.8 million, or 11%, to $27.4 million in the three months ended September