XML 33 R22.htm IDEA: XBRL DOCUMENT v3.7.0.1
Segment Information
 6 Months Ended
Jun. 30, 2017
Segment Reporting [Abstract]  
Segment Information
Segment Information

We have two reportable segments:

•
Alarm.com segment

•
Other segment

Our chief operating decision maker is our chief executive officer. Management determined the operational data used by the chief operating decision maker is that of the two reportable segments. Management bases strategic goals and decisions on these segments and the data presented below is used to measure financial results.

Our Alarm.com segment represents our cloud-based platform for the intelligently connected property and related solutions that contributed over 94% of our revenue for the three and six months ended June 30, 2017 and 2016. Our Other segment is focused on researching and developing home and commercial automation, and energy management products and services in adjacent markets. Inter-segment revenue includes sales of hardware between our segments.

Management evaluates the performance of its segments and allocates resources to them based on operating income as compared to prior periods and current performance levels. The reportable segment operational data is presented in the table below (in thousands):
 
Three Months Ended June 30, 2017
 
Alarm.com
 
Other
 
Intersegment
Alarm.com
 
Intersegment
Other
 
Total
Revenue
$
81,338

 
$
5,435

 
$
(497
)
 
$
(288
)
 
$
85,988

Operating income
8,819

 
(2,994
)
 
(39
)
 
110

 
5,896

 
 
 
 
 
 
 
 
 
 
 
Three Months Ended June 30, 2016
 
Alarm.com
 
Other
 
Intersegment
Alarm.com
 
Intersegment
Other
 
Total
Revenue
$
61,775

 
$
4,088

 
$
(754
)
 
$
(686
)
 
$
64,423

Operating income
4,376

 
(1,552
)
 
(79
)
 
63

 
2,808

 
 
 
 
 
 
 
 
 
 
 
Six Months Ended June 30, 2017
 
Alarm.com
 
Other
 
Intersegment
Alarm.com
 
Intersegment
Other
 
Total
Revenue
$
151,850

 
$
9,887

 
$
(1,145
)
 
$
(410
)
 
$
160,182

Operating income
15,403

 
(5,207
)
 
(60
)
 
245

 
10,381

 
 
 
 
 
 
 
 
 
 
 
Six Months Ended June 30, 2016
 
Alarm.com
 
Other
 
Intersegment
Alarm.com
 
Intersegment
Other
 
Total
Revenue
$
117,785

 
$
7,935

 
$
(1,340
)
 
$
(914
)
 
$
123,466

Operating income
11,243

 
(4,235
)
 
(126
)
 
187

 
7,069

 
 
 
 
 
 
 
 
 
 
 
Alarm.com
 
Other
 
Intersegment
Alarm.com
 
Intersegment
Other
 
Total
Assets as of June 30, 2017
$
337,159

 
$
19,082

 
$
—

 
$
—

 
$
356,241

Assets as of December 31, 2016
246,798

 
14,447

 
—

 
—

 
261,245


We derived substantially all revenue from North America for the three and six months ended June 30, 2017 and 2016. Substantially all of our long-lived assets were located in North America as of June 30, 2017 and December 31, 2016.