GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION (Tables)

3 Months Ended

Mar. 31, 2018

Guarantor and Nonguarantor Financial Statements [Abstract]

Schedule of Condensed Balance Sheet

Balance sheet at March 31, 2018:

	IAC		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			IAC Consolidated
	(In thousands)
Cash and cash equivalents	$	895,406	$	—	$	762,131	$	—		$	1,657,537
Marketable securities	4,990		—		640		—			5,630
Accounts receivable, net of allowance	—		113,977		211,286		—			325,263
Other current assets	46,576		26,567		161,359		—			234,502
Intercompany receivables	—		994,153		—		(994,153		)	—
Property and equipment, net of accumulated depreciation and amortization	2,457		171,681		127,727		—			301,865
Goodwill	—		412,010		2,189,200		—			2,601,210
Intangible assets, net of accumulated amortization	—		74,343		578,862		—			653,205
Investment in subsidiaries	1,789,479		300,030		—		(2,089,509		)	—
Other non-current assets	226,063		87,067		84,436		(145,804		)	251,762
Total assets	$	2,964,971	$	2,179,828	$	4,115,641	$	(3,229,466	)	$	6,030,974
Current portion of long-term debt	$	370	$	—	$	13,750	$	—		$	14,120
Accounts payable, trade	1,509		35,916		42,163		—			79,588
Other current liabilities	22,053		88,329		625,403		—			735,785
Long-term debt, net	34,216		—		1,946,363		—			1,980,579
Income taxes payable	12		1,528		22,536		—			24,076
Intercompany liabilities	411,831		—		582,322		(994,153		)	—
Other long-term liabilities	453		17,432		195,255		(145,804		)	67,336
Redeemable noncontrolling interests	—		—		47,099		—			47,099
IAC shareholders' equity	2,494,527		2,036,623		52,886		(2,089,509		)	2,494,527
Noncontrolling interests	—		—		587,864		—			587,864
Total liabilities and shareholders' equity	$	2,964,971	$	2,179,828	$	4,115,641	$	(3,229,466	)	$	6,030,974

Balance sheet at December 31, 2017:

	IAC		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations			IAC Consolidated
	(In thousands)
Cash and cash equivalents	$	585,639	$	—	$	1,045,170	$	—		$	1,630,809
Marketable securities	4,995		—		—		—			4,995
Accounts receivable, net of allowance	31		109,289		194,707		—			304,027
Other current assets	49,159		33,387		102,828		—			185,374
Intercompany receivables	—		668,703		—		(668,703		)	—
Property and equipment, net of accumulated depreciation and amortization	2,811		174,323		138,036		—			315,170
Goodwill	—		412,010		2,147,056		—			2,559,066
Intangible assets, net of accumulated amortization	—		74,852		588,885		—			663,737
Investment in subsidiaries	2,076,004		554,998		—		(2,631,002		)	—
Other non-current assets	170,073		87,306		79,688		(132,435		)	204,632
Total assets	$	2,888,712	$	2,114,868	$	4,296,370	$	(3,432,140	)	$	5,867,810
Current portion of long-term debt	$	—	$	—	$	13,750	$	—		$	13,750
Accounts payable, trade	5,163		30,469		40,939		—			76,571
Other current liabilities	29,489		88,050		591,868		—			709,407
Long-term debt, net	34,572		—		1,944,897		—			1,979,469
Income taxes payable	16		1,605		24,003		—			25,624
Intercompany liabilities	388,933		—		279,770		(668,703		)	—
Other long-term liabilities	511		18,613		186,610		(132,435		)	73,299
Redeemable noncontrolling interests	—		—		42,867		—			42,867
IAC shareholders' equity	2,430,028		1,976,131		654,871		(2,631,002		)	2,430,028
Noncontrolling interests	—		—		516,795		—			516,795
Total liabilities and shareholders' equity	$	2,888,712	$	2,114,868	$	4,296,370	$	(3,432,140	)	$	5,867,810

Schedule of Condensed Income Statement

Statement of operations for the three months ended March 31, 2018:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	212,889		$	782,260		$	(74	)	$	995,075
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	76			56,224			145,712			(50		)	201,962
Selling and marketing expense	213			90,138			312,526			(45		)	402,832
General and administrative expense	31,409			15,381			137,373			21			184,184
Product development expense	652			14,269			62,016			—			76,937
Depreciation	266			3,340			15,651			—			19,257
Amortization of intangibles	—			509			19,444			—			19,953
Total operating costs and expenses	32,616			179,861			692,722			(74		)	905,125
Operating (loss) income	(32,616		)	33,028			89,538			—			89,950
Equity in earnings of unconsolidated affiliates	102,750			(327		)	—			(102,423		)	—
Interest expense	(429		)	—			(26,076		)	—			(26,505		)
Other (expense) income, net (a)	(16,847		)	286,883			2,190			(276,845		)	(4,619		)
Earnings before income taxes	52,858			319,584			65,652			(379,268		)	58,826
Income tax benefit (provision)	18,224			(10,966		)	21,755			—			29,013
Net earnings	71,082			308,618			87,407			(379,268		)	87,839
Net earnings attributable to noncontrolling interests	—			—			(16,757		)	—			(16,757		)
Net earnings attributable to IAC shareholders	71,082			$	308,618		$	70,650		$	(379,268	)	$	71,082
Comprehensive income attributable to IAC shareholders	$	99,439		$	308,961		$	105,327		$	(414,288	)	$	99,439

(a) During the three months ended March 31, 2018, foreign cash of $276 million was repatriated to the U.S.

Statement of operations for the three months ended March 31, 2017:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	181,572		$	579,474		$	(213	)	$	760,833
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	113			32,708			113,310			(173		)	145,958
Selling and marketing expense	326			91,950			258,189			(54		)	350,411
General and administrative expense	26,136			15,590			101,855			14			143,595
Product development expense	570			15,387			38,803			—			54,760
Depreciation	438			7,133			12,317			—			19,888
Amortization of intangibles	—			5,085			4,076			—			9,161
Total operating costs and expenses	27,583			167,853			528,550			(213		)	723,773
Operating (loss) income	(27,583		)	13,719			50,924			—			37,060
Equity in earnings (losses) of unconsolidated affiliates	51,456			(2,683		)	—			(48,773		)	—
Interest expense	(5,828		)	—			(18,964		)	—			(24,792		)
Other (expense) income, net	(5,805		)	6,091			(8,000		)	—			(7,714		)
Earnings before income taxes	12,240			17,127			23,960			(48,773		)	4,554
Income tax benefit (provision)	13,969			(9,689		)	19,629			—			23,909
Net earnings	26,209			7,438			43,589			(48,773		)	28,463
Net earnings attributable to noncontrolling interests	—			—			(2,254		)	—			(2,254		)
Net earnings attributable to IAC shareholders	$	26,209		$	7,438		$	41,335		$	(48,773	)	$	26,209
Comprehensive income attributable to IAC shareholders	$	44,987		$	11,491		$	63,768		$	(75,259	)	$	44,987

Schedule of Condensed Cash Flow Statement

Statement of cash flows for the three months ended March 31, 2018:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Net cash provided by (used in) operating activities	$	1,562		$	319,686		$	107,605		$	(276,845	)	$	152,008
Cash flows from investing activities:
Acquisitions, net of cash acquired	(4,134		)	—			(17,161		)	—			(21,295		)
Capital expenditures	—			(570		)	(14,231		)	—			(14,801		)
Proceeds from maturities and sales of marketable debt securities	5,000			—			—			—			5,000
Purchases of marketable debt securities	(4,975		)	—			—			—			(4,975		)
Purchases of investments	(18,180		)	—			—			—			(18,180		)
Net proceeds from the sale of businesses and investments	—			—			15			—			15
Other, net	(5,000		)	3,884			10,463			—			9,347
Net cash (used in) provided by investing activities	(27,289		)	3,314			(20,914		)	—			(44,889		)
Cash flows from financing activities:
Principal payment on ANGI Homeservices debt	—			—			(3,438		)	—			(3,438		)
Purchase of Match Group treasury stock	—			—			(32,465		)	—			(32,465		)
Proceeds from the exercise of IAC stock options	24,254			—			—			—			24,254
Proceeds from the exercise of Match Group and ANGI Homeservices stock options	—			—			1,752			—			1,752
Withholding taxes paid on behalf of IAC employees on net settled stock-based awards	(282		)	—			—			—			(282		)
Withholding taxes paid on behalf of Match Group and ANGI Homeservices employees on net settled stock-based awards	—			—			(75,028		)	—			(75,028		)
Purchase of noncontrolling interests	—			—			(234		)	—			(234		)
Acquisition-related contingent consideration payments	—			—			(185		)	—			(185		)
Intercompany	308,822			(323,000		)	(262,667		)	276,845			—
Other, net	2,674			—			(198		)	—			2,476
Net cash provided by (used in) financing activities	335,468			(323,000		)	(372,463		)	276,845			(83,150		)
Total cash provided (used)	309,741			—			(285,772		)	—			23,969
Effect of exchange rate changes on cash, cash equivalents, and restricted cash	26			—			2,720			—			2,746
Net increase (decrease) in cash, cash equivalents, and restricted cash	309,767			—			(283,052		)	—			26,715
Cash, cash equivalents, and restricted cash at beginning of period	585,639			—			1,048,043			—			1,633,682
Cash, cash equivalents, and restricted cash at end of period	$	895,406		$	—		$	764,991		$	—		$	1,660,397

Statement of cash flows for the three months ended March 31, 2017:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Net cash (used in) provided by operating activities	$	(18,973	)	$	18,406		$	68,430		$	—		$	67,863
Cash flows from investing activities:
Acquisitions, net of cash acquired	—			—			(52,365		)	—			(52,365		)
Capital expenditures	(87		)	(852		)	(10,218		)	—			(11,157		)
Proceeds from maturities and sales of marketable debt securities	75,350			—			—			—			75,350
Purchases of marketable debt securities	(19,926		)	—			—			—			(19,926		)
Purchases of investments	—			—			(29		)	—			(29		)
Net proceeds from the sale of businesses and investments	—			—			97,496			—			97,496
Intercompany	(10,671		)	—			—			10,671			—
Other, net	—			31			182			—			213
Net cash provided by (used in) investing activities	44,666			(821		)	35,066			10,671			89,582
Cash flows from financing activities:
Principal payments on IAC debt	(26,590		)	—			—			—			(26,590		)
Purchase of IAC treasury stock	(56,424		)	—			—			—			(56,424		)
Proceeds from the exercise of IAC stock options	13,252			—			—			—			13,252
Proceeds from the exercise of Match Group stock options	—			—			7,111			—			7,111
Withholding taxes paid on behalf of IAC employees on net settled stock-based awards	(38,579		)	—			—			—			(38,579		)
Withholding taxes paid on behalf of Match Group employees on net settled stock-based awards	—			—			(2,081		)	—			(2,081		)
Purchase of noncontrolling interests	—			—			(12,259		)	—			(12,259		)
Acquisition-related contingent consideration payments	—			—			(3,860		)	—			(3,860		)
Intercompany	17,585			(17,585		)	10,671			(10,671		)	—
Other, net	251			—			(1		)	—			250
Net cash used in financing activities	(90,505		)	(17,585		)	(419		)	(10,671		)	(119,180		)
Total cash (used) provided	(64,812		)	—			103,077			—			38,265
Effect of exchange rate changes on cash, cash equivalents, and restricted cash	10			—			3,992			—			4,002
Net (decrease) increase in cash, cash equivalents, and restricted cash	(64,802		)	—			107,069			—			42,267
Cash, cash equivalents, and restricted cash at beginning of period	573,784			—			786,415			—			1,360,199
Cash, cash equivalents, and restricted cash at end of period	$	508,982		$	—		$	893,484		$	—		$	1,402,466