Description of Inspire Veterinary Partners Inc's Business Segments

The Company aggregates its veterinary clinics into a single reportable segment due to their similar economic characteristics and services provided to similar customers. The Chief Executive Officer, identified as the Chief Operating Decision Maker (CODM), uses this segment to make key operating decisions and assess performance. The CODM evaluates operating performance based on individual veterinary clinic net income (loss) before interest, taxes, depreciation, amortization, corporate expenses, gains or losses on sales, and other specified items, referred to as Adjusted Clinic EBITDA. The segment's assets correspond to the total assets reported in the Company's consolidated balance sheets. Financial data for the years ended December 31, 2024, and 2023 include service and product revenues, operating expenses, and Adjusted Clinic EBITDA, with reconciliations to net loss provided.

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