Segment Information

9 Months Ended

Sep. 30, 2014

Segment Reporting [Abstract]

Segment Information

9. SEGMENT INFORMATION

Bright Horizons' work/life services are primarily comprised of full service center-based child care, back-up dependent care, and other educational advisory services. Full service center-based care includes the traditional center-based child care, preschool, and elementary education, which have similar operating characteristics and meet the criteria for aggregation. Full service center-based care derives its revenues primarily from contractual arrangements with corporate clients and from tuition. The Company’s back-up dependent care services consist of center-based back-up child care, in-home care, mildly ill care, and adult/elder care. The Company’s other educational advisory services consists of the remaining services, including college preparation and admissions counseling and tuition assistance, counseling and management services, which do not meet the quantitative thresholds for separate disclosure and are not material for segment reporting individually or in the aggregate. The Company and its chief operating decision makers evaluate performance based on revenues and income from operations.

The assets and liabilities of the Company are managed centrally and are reported internally in the same manner as the consolidated financial statements; thus, no additional information is produced or included herein.

	Full service center-based care		Back-up dependent care		Other educational advisory services		Total
	(In thousands)
Three months ended September 30, 2014
Revenue	$	282,798	$	43,493	$	8,685	$	334,976
Amortization of intangible assets	6,634		181		144		6,959
Income from operations	19,079		12,356		1,611		33,046
Three months ended September 30, 2013
Revenue	$	263,198	$	38,648	$	6,817	$	308,663
Amortization of intangible assets	7,442		181		76		7,699
Income from operations (1)	16,392		10,215		1,182		27,789

(1) For the three months ended September 30, 2013, income from operations includes secondary offering expenses and acquisition related costs of $1.7 million which has been allocated to full service center-based care.

	Full service center-based care		Back-up dependent care		Other educational advisory services		Total
	(In thousands)
Nine months ended September 30, 2014
Revenue	$	870,546	$	120,689	$	23,996	$	1,015,231
Amortization of intangibles	21,090		543		435		22,068
Income from operations (1)	70,587		36,229		2,776		109,592
Nine months ended September 30, 2013
Revenue	$	775,358	$	107,526	$	16,715	$	899,599
Amortization of intangibles	21,279		543		227		22,049
Income from operations (2)	49,326		28,609		688		78,623

(1) For the nine months ended September 30, 2014, income from operations includes secondary offering expenses of $0.6 million which has been allocated to full service center-based care.

(2) For the nine months ended September 30, 2013, income from operations includes expenses incurred in connection with the Offering, including a $7.5 million fee for the termination of the management agreement with Bain Capital Partners LLC, and $5.0 million for certain stock options that vested upon completion of the Offering, and acquisition related costs. These costs have been allocated on a proportionate basis to each segment ($13.3 million to full service center-based care, $1.9 million to back-up dependent care, and $0.8 million to other educational services).