17. Consolidated Interim Financial Information (Unaudited)

Consolidated financial information FY 2017 and FY 2016 is summarized as follows:

	First Quarter			Second Quarter			Third Quarter			Fourth Quarter
FY 2017⁽¹⁾
Licensing revenue	$	58,722		$	61,647		$	53,165		$	52,299
Operating income (loss), net		33,610			15,875			(595,858	)		(18,278	)
Provision (benefit) for income taxes		5,887			(5,501	)		(29,606	)		(66,757	)
Net income (loss) from continuing operations, net of tax		6,890			(9,948	)		(580,813	)		26,416
Net income (loss) from continuing operations attributable to Iconix Brand Group, Inc.		4,402			(13,852	)		(550,571	)		24,743
Net income (loss) from discontinued operations, net of tax		(7,379	)		59,127			(2,130	)		(650	)
Net income (loss) from discontinued operations attributable to Iconix Brand Group, Inc.		(8,682	)		57,493			(2,130	)		(656	)
Net income (loss) attributable to Iconix Brand Group, Inc.		(4,280	)		43,641			(552,701	)		24,087
Basic earnings (loss) per share from continuing operations	$	0.06		$	(0.26	)	$	(9.64	)	$	0.40
Basic earnings (loss) per share from discontinued operations	$	(0.15	)	$	1.01		$	(0.04	)		(0.01	)
Diluted earnings (loss) per share from continuing operations	$	0.06		$	(0.26	)	$	(9.64	)	$	0.40
Diluted earnings (loss) per share from discontinued operations	$	(0.15	)	$	1.00		$	(0.04	)		(0.01	)
Comprehensive income (loss) from continuing operations		8,949			1,869			(574,414	)		25,289
Comprehensive income (loss) from continuing operations attributable to Iconix Brand Group, Inc.		6,461			(2,035	)		(544,172	)		23,616
FY 2016⁽²⁾
Licensing revenue	$	67,676		$	68,209		$	60,457		$	58,801
Operating income (loss), net		46,273			38,046			31,075			(388,214	)
Provision (benefit) for income taxes		8,836			6,888			9,433			(103,282	)
Net income (loss) from continuing operations, net of tax		17,656			14,492			17,065			(307,037	)
Net income (loss) from continuing operations attributable to Iconix Brand Group, Inc.		14,629			10,602			14,180			(293,909	)
Net income (loss) from discontinued operations, net of tax		5,465			2,582			2,734			(2,465	)
Net income (loss) from discontinued operations attributable to Iconix Brand Group, Inc.		3,987			980			1,036			(3,639	)
Net income (loss) attributable to Iconix Brand Group, Inc.		18,616			11,582			15,216			(297,548	)
Basic earnings (loss) per share from continuing operations	$	0.30		$	0.22		$	0.26		$	(5.23	)
Basic earnings (loss) per share from discontinued operations	$	0.08		$	0.02		$	0.02		$	(0.06	)
Diluted earnings (loss) per share from continuing operations	$	0.29		$	0.21		$	0.25		$	(5.23	)
Diluted earnings (loss) per share from discontinued operations	$	0.08		$	0.02		$	0.02		$	(0.06	)
Comprehensive income (loss) from continuing operations		28,160			6,717			20,112			(322,348	)
Comprehensive income (loss) from continuing operations attributable to Iconix Brand Group, Inc.		25,133			2,827			17,227			(309,220	)

⁽¹⁾

FY 2017: Operating income (loss), net includes a non-cash impairment charge of $625.5 million recorded in the third quarter and a non-cash impairment charge of $4.1 million recorded in the fourth quarter. Additionally, operating income (loss), net included a non-cash investment impairment charge of $16.8 million recorded in the fourth quarter. The non-cash impairment charge is related to brands across all of the Company’s operating segments, a gain of $3.8 million related to the deconsolidation of the Company’s Iconix Southeast Asia joint venture in the third quarter. Included in net income (loss) from continuing operations attributable to Iconix Brand Group, Inc. is a net loss on extinguishment of debt of $20.9 million related to the principal prepayments made on the Company’s Senior Secured Term Loan and Senior Secured Notes as well as the repurchase of the Company’s 1.50% Convertible Notes during the first, second and third quarters (refer to Note 7 for further details), a gain of $2.7 million related to the sale of the Company’s interest in Complex Media (refer to Note 4 for further details), a gain of $0.9 million related to the sale of the Company’s interest in Badgley Mischka Canada and Sharper Image Canada during the third quarter.

⁽²⁾

FY 2016: Operating income (loss), net includes a non-cash impairment charge of $438.1 million recorded in the fourth quarter. The non-cash impairment charge is related to brands across all of the Company’s operating segments. Included in net income (loss) attributable to Iconix Brand Group, Inc. is a net loss on extinguishment of debt related to the repurchase of the Company’s 1.50% Convertible Notes and 2.50% Convertible Notes as well as principal prepayments made on the Company’s Senior Secured Term Loan during the second, third and fourth quarters (refer to Note 7 for further details), a gain of $28.1 million related to the Company’s sale of the Sharper Image intellectual property and related assets, a gain of $11.8 million related to the Company’s sale of the Badgley Mischka intellectual property and related assets, a cash gain of $10.2 million related to the Company’s sale of its investments in Complex Media in the third quarter and a gain of $7.3 million related to the recoupment and final settlement of unearned incentive compensation from the Company’s former CEO in connection with the previously announced financial restatements during the fourth quarter.