XML 38 R27.htm IDEA: XBRL DOCUMENT v3.21.1
Segment Information
3 Months Ended
Mar. 31, 2021
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company classifies its operations into two operating segments: Domestic Operations and International and Other. These operating segments represent strategic business units that are managed separately.
The Company evaluates segment performance based on several factors, of which the primary financial measure is operating segment adjusted operating income ("AOI"), a non-GAAP measure. The Company defines AOI as operating income (loss) before depreciation and amortization, cloud computing amortization, share-based compensation expense or benefit, impairment and other charges (including gains or losses on sales or dispositions of businesses), restructuring and other related charges and including the Company’s proportionate share of adjusted operating income (loss) from majority-owned equity method investees. The Company has presented the components that reconcile adjusted operating income to operating income, an accepted GAAP measure, and other information as to the continuing operations of the Company's operating segments below.
(In thousands)Three Months Ended March 31, 2021
Domestic OperationsInternational
and Other
Corporate / Inter-segment
Eliminations
Consolidated
Revenues, net
Advertising$199,142 $21,571 $— $220,713 
Distribution and other374,827 99,596 (3,395)471,028 
Consolidated revenues, net$573,969 $121,167 $(3,395)$691,741 
Operating income (loss)$216,459 $(3,162)$(43,589)$169,708 
Share-based compensation expense5,639 1,231 6,576 13,446 
Depreciation and amortization13,373 4,949 6,924 25,246 
Impairment and other charges— 16,055 — 16,055 
Restructuring and other related charges 2,427 4,490 1,708 8,625 
Cloud computing amortization— — 264 264 
Majority-owned equity investees AOI4,635 — — 4,635 
Adjusted operating income$242,533 $23,563 $(28,117)$237,979 

(In thousands)Three Months Ended March 31, 2020
Domestic OperationsInternational
and Other
Corporate / Inter-segment
Eliminations
Consolidated
Revenues, net
Advertising$213,226 $19,364 $— 232,590 
Distribution and other398,667 105,464 (2,346)501,785 
Consolidated revenues, net$611,893 $124,828 $(2,346)$734,375 
Operating income (loss)$224,600 $4,361 $(55,991)172,970 
Share-based compensation expense2,724 609 12,179 15,512 
Depreciation and amortization10,951 8,896 6,883 26,730 
Restructuring and other related charges 1,482 3,977 507 5,966 
Majority-owned equity investees AOI1,276 — — 1,276 
Adjusted operating income$241,033 $17,843 $(36,422)$222,454 

Corporate overhead costs include such costs as executive salaries and benefits, costs of maintaining corporate headquarters, facilities and common support functions (such as human resources, legal, finance, strategic planning and information technology).
Inter-segment eliminations are primarily licensing revenues recognized between the Domestic Operations and International and Other segments.
(In thousands)Three Months Ended March 31,
20212020
Inter-segment revenues
Domestic Operations$(670)$(1,361)
International and Other(2,725)(985)
$(3,395)$(2,346)
The table below summarizes revenues based on customer location:
(In thousands)Three Months Ended March 31,
20212020
Revenues
United States$577,148 $624,993 
Europe82,036 72,479 
Other32,557 36,903 
$691,741 $734,375 

The table below summarizes property and equipment based on asset location:
(In thousands)March 31, 2021December 31, 2020
Property and equipment, net
United States$209,374 $239,387 
Europe14,641 15,938 
Other710 720 
$224,725 $256,045