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SEGMENTS
12 Months Ended
Dec. 31, 2021
Segment Reporting [Abstract]  
SEGMENTS SEGMENTS
As of December 31, 2021, we have three operating segments: the Cardlytics platform in the U.S. and U.K. and the Bridg platform, as determined by the information that our Chief Executive Officer, who we consider our chief operating decision-maker ("CODM"), uses to make strategic goals and operating decisions. Our Cardlytics platform operating segments in the U.S. and U.K. represent our proprietary advertising channels and are aggregated into one reportable segment given their similar economic characteristics, nature of service, types of customers and method of distribution. Subsequent to the acquisition of Bridg, our CODM began reviewing Bridg's revenue and operating expenses. Therefore, we consider the Bridg platform to be a separate operating segment. Our CODM allocates resources to, and evaluates the performance of, our operating segments based on revenue and adjusted contribution. Our CODM does not review assets by operating segment for the purposes of evaluating performance or allocating resources.
Revenue can be directly attributable to each segment. With the exception of deferred implementation costs, Partner Share and other third-party costs is also directly attributable to each segment. The accounting policies of each of our reportable segments are the same as those described in the summary of significant accounting policies.
The following table provides information regarding our reportable segments (in thousands):
 Year Ended December 31,
 201920202021
Cardlytics platform
Adjusted contribution$95,219 $82,182 $121,675 
Plus: Adjusted Partner Share and other third-party costs(1)
115,211 104,710 137,079 
Revenue$210,430 $186,892 $258,754 
Bridg platform
Adjusted contribution$— $— $7,953 
Plus: Adjusted Partner Share and other third-party costs(1)
— — 409 
Revenue$— $— $8,362 
Total
Adjusted contribution$95,219 $82,182 $129,628 
Plus: Adjusted Partner Share and other third-party costs(1)
115,211 104,710 137,488 
Revenue$210,430 $186,892 $267,116 
(1)Adjusted Partner Share and other third-party costs presented above represents GAAP Partner Share and other third-party data costs less deferred implementation costs, which is detailed below in our reconciliation of GAAP loss before income taxes to adjusted contribution.
Adjusted Contribution
Adjusted contribution measures the degree by which revenue generated from our marketers exceeds the cost to obtain the purchase data and the digital advertising space from our partners. Adjusted contribution demonstrates how incremental marketing spend on our platforms generates incremental amounts to support our sales and marketing, research and development, general and administration and other investments. Adjusted contribution is calculated by taking our total revenue less our Partner Share and other third-party costs exclusive of deferred implementation costs, which is a non-cash cost. Adjusted contribution does not take into account all costs associated with generating revenue from advertising campaigns, including sales and marketing expenses, research and development expenses, general and administrative expenses and other expenses, which we do not take into consideration when making decisions on how to manage our advertising campaigns.
The following table presents a reconciliation of loss before income taxes presented in accordance with GAAP to adjusted contribution (in thousands):
 Year Ended December 31,
 201920202021
Adjusted contribution$95,219 $82,182 $129,628 
Minus:
Deferred implementation costs(1)
2,869 4,598 3,785 
Delivery costs12,893 14,310 22,503 
Sales and marketing expense43,828 45,307 65,996 
Research and development expense11,699 17,532 38,104 
General and administration expense36,720 46,532 66,222 
Change in fair value of contingent consideration— — 1,374 
Acquisition and integration costs— — 24,372 
Depreciation and amortization expense4,535 7,826 29,871 
Total non-operating (income) expense(181)1,499 13,830 
Loss before income taxes$(17,144)$(55,422)$(136,429)
(1)Deferred implementation costs is excluded from adjusted Partner Share and other third-party costs, which is shown above in our reconciliation of GAAP revenue to adjusted contribution.
The following tables provide geographical information (in thousands):
 Year Ended December 31,
 201920202021
Revenue:
United States$186,864 $172,808 $246,315 
United Kingdom23,566 14,084 20,801 
Total$210,430 $186,892 $267,116 

December 31,
20202021
Property and equipment:
United States$9,549 $7,750 
United Kingdom4,162 3,423 
India154 100 
Total$13,865 $11,273 
Capital expenditures within the United Kingdom and India were $2.0 million, $2.8 million and $0.7 million during 2019, 2020 and 2021, respectively.
Concentrations of Risk
Cash and Cash Equivalents
Financial instruments that potentially subject us to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. A majority of our cash and cash equivalents are held in fully FDIC–insured demand deposit accounts that distribute funds, and credit risk, over a vast number of financial institutions. Our remaining cash and cash equivalents are held in treasury obligation funds and money market accounts with six financial institutions, which we believe are of high credit quality.
Marketers
Our revenue and accounts receivable are diversified among a large number of marketers segregated by both geography and industry. During 2019, 2020 and 2021, our top five marketers accounted for 27%, 35% and 29% of our revenue, respectively, with one marketer accounting for over 10% during each period. As of December 31, 2020 and 2021, our top five marketers accounted for 31% and 19% of our accounts receivable, respectively, with one marketer representing over 10% and no marketers representing over 10% as of each period, respectively.