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SEGMENT INFORMATION (Tables)

3 Months Ended

Mar. 31, 2020

Schedule of Segmented Revenue Disaggregated by Service

The following table presents revenue by reportable segment:



	Three Months Ended March 31,
	2020		2019
	(In thousands)
Revenue:
North America	$	324,132	$	281,994
Europe	19,518		21,449
Total	$	343,650	$	303,443

The following table presents the revenue of the Company's segments disaggregated by type of service:



	Three Months Ended March 31,
	2020		2019
	(In thousands)
North America
Marketplace:
Consumer connection revenue^(a)	$	239,830	$	201,582
Service professional membership subscription revenue	14,115		16,517
Other revenue	4,831		2,401
Total Marketplace revenue	258,776		220,500
Advertising and other revenue^(b)	65,356		61,494
Total North America revenue	324,132		281,994
Europe
Consumer connection revenue^(a)	15,689		17,123
Service professional membership subscription revenue	3,299		3,742
Advertising and other revenue	530		584
Total Europe revenue	19,518		21,449
Total revenue	$	343,650	$	303,443

________________________


^(a)	Includes fees paid by service professionals for consumer matches and revenue from jobs sourced through the HomeAdvisor and Handy platforms.


^(b)	Includes Angie's List revenue from service professionals under contract for advertising and Angie's List membership subscription fees from consumers, as well as revenue from mHelpDesk and HomeStars.

Schedule of Revenue from External Customers by Geographic Areas

Revenue by geography is based on where the customer is located. Geographic information about revenue and long-lived assets is presented below.



	Three Months Ended March 31,
	2020		2019
	(In thousands)
Revenue
United States	$	319,821	$	278,478
All other countries	23,829		24,965
Total	$	343,650	$	303,443

Schedule of Revenue and Long-lived Assets by Geographic Areas



	March 31, 2020		December 31, 2019
	(In thousands)
Long-lived assets (excluding goodwill, intangible assets and ROU assets)
United States	$	95,623	$	95,822
All other countries	8,183		7,539
Total	$	103,806	$	103,361

Schedule of Segment Reporting Information

The following tables present operating (loss) income and Adjusted EBITDA by reportable segment:



	Three Months Ended March 31,
	2020			2019
	(In thousands)
Operating (loss) income:
North America	$	(8,108	)	$	742
Europe	(8,188		)	(4,383		)
Total	$	(16,296	)	$	(3,641	)



	Three Months Ended March 31,
	2020			2019
	(In thousands)
Adjusted EBITDA^(c):
North America	$	41,391		$	39,689
Europe	$	(6,994	)	$	(2,510	)

________________________

^(c)

The Company’s primary financial measure is Adjusted EBITDA, which is defined as operating income excluding: (1) stock-based compensation expense; (2) depreciation; and (3) acquisition-related items consisting of amortization of intangible assets and impairments of goodwill and intangible assets, if applicable. The Company believes this measure is useful for analysts and investors as this measure allows a more meaningful comparison between the Company's performance and that of its competitors. The above items are excluded from the Company's Adjusted EBITDA measure because these items are non-cash in nature. Adjusted EBITDA has certain limitations because it excludes the impact of these expenses.

Schedule of Reconciliation of Operating Income to Adjusted EBITDA

The following tables reconcile operating (loss) income to Adjusted EBITDA for the Company’s reportable segments:



	Three Months Ended March 31, 2020
	Operating loss			Stock-based compensation expense		Depreciation		Amortization of intangibles		Adjusted EBITDA
	(In thousands)
North America	$	(8,108	)	$	25,312	$	11,297	$	12,890	$	41,391
Europe	(8,188		)	$	263	$	841	$	90	$	(6,994	)
Total	(16,296		)
Interest expense	(2,274		)
Other income, net	421
Loss before income taxes	(18,149		)
Income tax benefit	8,965
Net loss	(9,184		)
Net loss attributable to noncontrolling interests	226
Net loss attributable to ANGI Homeservices Inc. shareholders	$	(8,958	)



	Three Months Ended March 31, 2019
	Operating income (loss)			Stock-based compensation expense		Depreciation		Amortization of intangibles		Adjusted EBITDA
	(In thousands)
North America	$	742		$	19,072	$	6,207	$	13,668	$	39,689
Europe	(4,383		)	$	210	$	792	$	871	$	(2,510	)
Total	(3,641		)
Interest expense	(2,994		)
Other income, net	2,271
Loss before income taxes	(4,364		)
Income tax benefit	14,215
Net earnings	9,851
Net loss attributable to noncontrolling interests	118
Net earnings attributable to ANGI Homeservices Inc. shareholders	$	9,969