Company: SKLZ
Filing Date: 2025-11-06
Form Type: 10-K
Source: 0001801661-25-000050
Chunk: 200

Company: Skillz Inc.
Filing Date: 2025-11-06
Form: 10-K
Item: Item 8
Chunk 200
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 building maintenance. Other segment items include marketing expenses which, in turn, consists mostly affiliate marketing, state and corporate fees, fines and penalties and trade shows.For the Aarki Segment, operating expenses include all operating expenses such as headcount, marketing, software, professional fees such as legal, audit and tax compliance and rent. For both the Skillz and Aarki segments, stock-based compensation expenses are not included in operating expenses.The following tables provide summarized information about the Company’s operations by reportable segment and a reconciliation of Segment Adjusted EBITDA to Net Loss for the years ended December 31, 2024 and 2023.Year Ended December 31,20242023RevenueSkillz Segment$82,442 $139,210 Aarki Segment10,876 13,233 Eliminations(453)(364)Total Revenue$92,865 $152,079 Segment Adjusted EBITDASkillz Segment$(53,205)$(64,998)Aarki Segment(7,618)(3,830)Total Segment Adjusted EBITDA$(60,823)$(68,828)Items to reconcile Segment Adjusted EBITDA to Net Loss:Interest income (expense), net$298 $(2,852)Stock-based compensation(30,015)(43,692)Change in fair value of common stock warrant liabilities11 278 Provision for income taxes(66)(239)Depreciation and amortization(1,665)(1,961)Gain on extinguishment of debt— 15,205 Other (expense) income, net(530)540 Impairment of goodwill and long-lived assets(1)— (3,335)Loss contingency accrual(2)— 3,524 Gain on litigation settlement(3)46,000 — Net Loss$(46,790)$(101,360)(1)Includes impairment of goodwill and long-lived assets related to one of the Company’s investments in non-marketable securities of a privately held company on account of significant concerns related to the private company’s ability to continue as a going concern.(2)Amount represents the settlement of a litigation matter relating to a former employee as discussed in Note 10, Commitments and Contingencies.

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TABLE OF CONTENTSSKILLZ INC.NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS(Amounts in tables are in thousands, unless otherwise noted)

(3)Amount represents a gain on a legal settlement recorded