SEGMENT REPORTING

Our business segments are based upon our organizational structure, which focuses primarily on the services offered, and are consistent with the internal reporting used by our Chief Executive Officer (our chief operating decision maker) to evaluate operating performance and to assess the allocation of our resources.

We report our operations through two reportable segments: Mortgage Market and Real Estate Market. In addition, we report Other Businesses, Corporate and Eliminations separately. The Mortgage Market segment provides loan servicers and originators with marketplaces, services and technologies that span the mortgage lifecycle. The Real Estate Market segment provides real estate consumers and rental property investors with marketplaces and services that span the real estate lifecycle. In addition, the Other Businesses, Corporate and Eliminations segment includes businesses that provide post-charge-off consumer debt collection services primarily to debt originators (e.g., credit card, auto lending and retail credit), customer relationship management services primarily to the utility, insurance and hotel industries and IT infrastructure management services. Other Businesses, Corporate and Eliminations also includes interest expense and costs related to corporate support functions including executive, finance, law, compliance, human resources, vendor management, facilities, risk management, and sales and marketing costs not allocated to the business units as well as eliminations between the reportable segments.

Financial information for our segments is as follows:



	Three months ended September 30, 2018
(in thousands)	Mortgage Market		Real Estate Market			Other Businesses, Corporate and Eliminations			Consolidated Altisource

Revenue	$	175,960	$	13,010		$	15,605		$	204,575
Cost of revenue	113,636		15,883			18,061			147,580
Gross profit (loss)	62,324		(2,873		)	(2,456		)	56,995
Operating expenses (income):
Selling, general and administrative expenses	21,155		5,188			19,986			46,329
Gain on sale of business	—		(13,688		)	—			(13,688		)
Restructuring charges	901		74			2,461			3,436
Income (loss) from operations	40,268		5,553			(24,903		)	20,918
Total other income (expense), net	74		22			(4,885		)	(4,789		)

Income (loss) before income taxes and non-controlling interests	$	40,342	$	5,575		$	(29,788	)	$	16,129



	Three months ended September 30, 2017
(in thousands)	Mortgage Market		Real Estate Market			Other Businesses, Corporate and Eliminations			Consolidated Altisource

Revenue	$	199,262	$	22,121		$	13,596		$	234,979
Cost of revenue	137,466		23,497			13,935			174,898
Gross profit (loss)	61,796		(1,376		)	(339		)	60,081
Selling, general and administrative expenses	28,006		4,208			14,408			46,622
Income (loss) from operations	33,790		(5,584		)	(14,747		)	13,459
Total other income (expense), net	26		—			(3,128		)	(3,102		)

Income (loss) before income taxes and non-controlling interests	$	33,816	$	(5,584	)	$	(17,875	)	$	10,357



	Nine months ended September 30, 2018
(in thousands)	Mortgage Market		Real Estate Market			Other Businesses, Corporate and Eliminations			Consolidated Altisource

Revenue	$	521,960	$	52,435		$	46,174		$	620,569
Cost of revenue	340,038		62,628			55,314			457,980
Gross profit (loss)	181,922		(10,193		)	(9,140		)	162,589
Operating expenses (income):
Selling, general and administrative expenses	65,133		14,486			52,758			132,377
Gain on sale of business	—		(13,688		)	—			(13,688		)
Restructuring charges	901		74			2,461			3,436
Income (loss) from operations	115,888		(11,065		)	(64,359		)	40,464
Total other income (expense), net	86		36			(26,358		)	(26,236		)

Income (loss) before income taxes and non-controlling interests	$	115,974	$	(11,029	)	$	(90,717	)	$	14,228



	Nine months ended September 30, 2017
(in thousands)	Mortgage Market		Real Estate Market			Other Businesses, Corporate and Eliminations			Consolidated Altisource

Revenue	$	614,180	$	67,314		$	44,653		$	726,147
Cost of revenue	421,942		72,484			43,818			538,244
Gross profit (loss)	192,238		(5,170		)	835			187,903
Selling, general and administrative expenses	86,493		14,084			46,216			146,793
Income (loss) from operations	105,745		(19,254		)	(45,381		)	41,110
Total other income (expense), net	138		—			(8,985		)	(8,847		)

Income (loss) before income taxes and non-controlling interests	$	105,883	$	(19,254	)	$	(54,366	)	$	32,263



(in thousands)	Mortgage Market		Real Estate Market		Other Businesses, Corporate and Eliminations		Consolidated Altisource

Total assets:
September 30, 2018	$	258,814	$	118,549	$	451,902	$	829,265
December 31, 2017	304,346		64,624		496,194		865,164

Our services are primarily provided to customers located in the United States. Premises and equipment, net consist of the following, by country:



(in thousands)	September 30, 2018		December 31, 2017

United States	$	29,824	$	46,268
Luxembourg	16,065		16,688
India	4,273		8,136
Philippines	1,792		2,038
Uruguay	72		143

Total	$	52,026	$	73,273