Segments

3 Months Ended

Sep. 30, 2020

Segments

Segments

12.Segments

We operate in two segments: (i) “MCA and Other Financial Services Operations,” conducted primarily through LMCS, and (ii) “Real Estate Operations,” conducted primarily through Recur.

Our President and Chief Operating Officer (“COO”) is our chief operating decision maker (the “CODM”).  Our CODM uses revenue and operating income to evaluate the profitability of our operating segments; all other financial information is reviewed by the CODM on a consolidated basis.  Segment operating contribution reflects segment revenue, less operating expenses that are directly attributable to the operating segment, not including corporate and unallocated expenses.  All of our principal operations and assets are located in the United States.

Segment operating results are as follows (amounts in thousands):

	Three Months Ended September 30,
	2020		2019
Segment revenue:
Advance income	$	539	$	805
Syndication fees		129		550
Interest on loans to Funders		148		204
Other MCA revenue		—		93
MCA and other financial services operations revenues		816		1,652
Real estate operations revenues		94		79
Consolidated revenues		910		1,731
Segment operating expenses:
Selling, general, and administrative		192		354
Change in fair value of contingent consideration		—		100
Amortization of purchased intangibles		97		120
Provision for credit losses on advances		52		215
MCA and other financial services operations		341		789
Real estate operations		—		—
Add:
Corporate expenses		893		891
Consolidated operating expenses		1,234		1,680
Segment operating income (loss):
MCA and other financial services operations		475		863
Real estate operations		94		79
Add:
Corporate		(893)		(891)
Consolidated operating income (loss)	$	(324)	$	51

Segment assets are as follows:

	September 30,		June 30,
	2020		2020
	(Amounts in thousands)
Segment assets:
MCA and other financial services	$	25,521	$	19,287
Real estate		9,815		9,275
Add:
Corporate assets		37,526		48,065
Corporate intercompany loan to LMCS		(3,041)		(6,777)
Total consolidated assets	$	69,821	$	69,850