Segment Information

12 Months Ended

Dec. 31, 2023

Segment Reporting [Abstract]

Segment Information

19. Segment Information

The Company has three reportable segments: Ecommerce, Wholesale, and Retail Financing. No operating segments have been aggregated to form the reportable segments.

As a result of the Value Maximization Plan and the wind-down of the ecommerce operations, the Company will discontinue reporting its results through the Ecommerce and Wholesale segments starting in the first quarter of 2024.

The Company determined its operating segments based on how the chief operating decision maker (“CODM”) reviews the Company’s operating results in assessing performance and allocating resources. The CODM reviews revenue and gross profit for each of the reportable segments. Gross profit is defined as revenue less cost of sales incurred by the segment. The CODM does not evaluate operating segments using asset information as these are managed on an enterprise-wide group basis. Accordingly, the Company does not report segment asset information. As of December 31, 2023 and 2022, long-lived assets were predominantly located in the United States.

The Ecommerce reportable segment represents retail sales of used vehicles through the Company’s ecommerce platform, revenue earned on vehicle financing originated by UACC or the Company's third-party financing sources and sales of value-added products associated with those vehicles sales. The Wholesale reportable segment represents sales of used vehicles through wholesale channels. The Retail Financing reportable segment represents UACC’s operations with its network of third-party dealership customers, including the purchases and servicing of vehicle installment contracts. Revenues within the "All Other" category consist of retail sales of used vehicles from TDA and fees earned on sales of value-added products associated with those vehicles sales and the CarStory business.

Information about the Company’s reportable segments are as follows (in thousands):

	Year Ended December 31, 2023
	Ecommerce		Wholesale			Retail Financing		All Other		Total
Revenues from external customers	$	576,170	$	104,119		$	156,938	$	55,976	$	893,203
Gross profit	$	59,231	$	(34,353	)	$	125,610	$	11,459	$	161,947
	Year Ended December 31, 2022
	Ecommerce		Wholesale			Retail Financing		All Other		Total
Revenues from external customers	$	1,364,195	$	293,528		$	152,542	$	138,636	$	1,948,901
Gross profit	$	99,973	$	(10,620	)	$	138,381	$	17,053	$	244,787

The reconciliation between reportable segment gross profit to consolidated loss before provision for income taxes is as follows (in thousands):

	Year Ended December 31,
	2023			2022
Reconciliation to consolidated total revenue
Total reportable segment revenue	$	837,227		$	1,810,265
All Other revenues		55,976			138,636
Consolidated total revenue	$	893,203		$	1,948,901
Reconciliation to consolidated loss before (benefit) provision for income taxes
Total reportable segment gross profit	$	150,488		$	227,734
All Other gross profit		11,459			17,053
Selling, general and administrative expenses		340,657			566,387
Depreciation and amortization		42,769			38,290
Impairment charges		48,748			211,873
Gain on debt extinguishment		(37,878	)		(164,684	)
Interest expense		45,445			40,693
Interest Income		(21,158	)		(19,363	)
Other loss, net		108,289			43,181
Consolidated loss before provision (benefit) for income taxes	$	(364,925	)	$	(471,590	)