GUARANTOR AND NON-GUARANTOR FINANCIAL INFORMATION (Tables)

6 Months Ended

Jun. 30, 2018

Guarantor and Nonguarantor Financial Statements [Abstract]

Schedule of Condensed Balance Sheet

Balance sheet at June 30, 2018:

	IAC		Guarantor Subsidiaries		Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Cash and cash equivalents	$	813,872	$	—	$	830,957		$	—		$	1,644,829
Marketable securities	119,746		—		664			—			120,410
Accounts receivable, net of allowance	—		118,672		224,904			—			343,576
Other current assets	45,720		26,123		166,114			—			237,957
Intercompany receivables	—		1,129,828		—			(1,129,828		)	—
Property and equipment, net of accumulated depreciation and amortization	4,306		168,685		133,611			—			306,602
Goodwill	—		412,010		2,166,286			—			2,578,296
Intangible assets, net of accumulated amortization	—		73,933		562,418			—			636,351
Investment in subsidiaries	1,828,822		202,616		—			(2,031,438		)	—
Other non-current assets	227,459		83,005		222,638			(165,839		)	367,263
Total assets	$	3,039,925	$	2,214,872	$	4,307,592		$	(3,327,105	)	$	6,235,284
Current portion of long-term debt	$	—	$	—	$	13,750		$	—		$	13,750
Accounts payable, trade	642		37,027		41,438			—			79,107
Other current liabilities	28,128		89,902		634,793			—			752,823
Long-term debt, net	34,233		—		1,948,038			—			1,982,271
Income taxes payable	—		1,434		22,508			—			23,942
Intercompany liabilities	400,448		—		729,380			(1,129,828		)	—
Other long-term liabilities	395		18,779		217,389			(165,839		)	70,724
Redeemable noncontrolling interests	—		—		75,719			—			75,719
Shareholders' equity (deficit)	2,576,079		2,067,730		(36,292		)	(2,031,438		)	2,576,079
Noncontrolling interests	—		—		660,869			—			660,869
Total liabilities and shareholders' equity	$	3,039,925	$	2,214,872	$	4,307,592		$	(3,327,105	)	$	6,235,284

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	2,077,898		554,998		—		(2,632,896		)	—
Other non-current assets	170,073		87,306		79,688		(132,435		)	204,632
Total assets	$	2,890,606	$	2,114,868	$	4,296,370	$	(3,434,034	)	$	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	390,827		—		277,876		(668,703		)	—
Other long-term liabilities	511		18,613		186,610		(132,435		)	73,299
Redeemable noncontrolling interests	—		—		42,867		—			42,867
Shareholders' equity	2,430,028		1,976,131		656,765		(2,632,896		)	2,430,028
Noncontrolling interests	—		—		516,795		—			516,795
Total liabilities and shareholders' equity	$	2,890,606	$	2,114,868	$	4,296,370	$	(3,434,034	)	$	5,867,810

Schedule of Condensed Income Statement

Statement of operations for the three months ended June 30, 2018:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	207,964		$	851,240		$	(82	)	$	1,059,122
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	75			61,215			156,991			(57		)	218,224
Selling and marketing expense	189			80,302			289,205			(36		)	369,660
General and administrative expense	31,652			14,259			142,441			11			188,363
Product development expense	564			14,151			60,730			—			75,445
Depreciation	266			3,126			15,413			—			18,805
Amortization of intangibles	—			410			19,778			—			20,188
Total operating costs and expenses	32,746			173,463			684,558			(82		)	890,685
Operating (loss) income	(32,746		)	34,501			166,682			—			168,437
Equity in earnings of unconsolidated affiliates	233,980			8,630			—			(242,610		)	—
Interest expense	(423		)	—			(26,933		)	—			(27,356		)
Other income, net (a)	6,436			62,204			153,770			(51,269		)	171,141
Earnings before income taxes	207,247			105,335			293,519			(293,879		)	312,222
Income tax benefit (provision)	11,106			(27,557		)	(14,917		)	—			(31,368		)
Net earnings	218,353			77,778			278,602			(293,879		)	280,854
Net earnings attributable to noncontrolling interests	—			—			(62,501		)	—			(62,501		)
Net earnings attributable to IAC shareholders	218,353			$	77,778		$	216,101		$	(293,879	)	$	218,353
Comprehensive income attributable to IAC shareholders	$	180,909		$	77,482		$	170,613		$	(248,095	)	$	180,909

^(a) During the three months ended June 30, 2018, foreign cash of $50 million was repatriated to the U.S.

Statement of operations for the three months ended June 30, 2017:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	169,831		$	597,724		$	(168	)	$	767,387
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	47			30,131			108,989			(134		)	139,033
Selling and marketing expense	613			82,268			237,269			(46		)	320,104
General and administrative expense	35,778			14,785			99,647			12			150,222
Product development expense	936			13,792			40,702			—			55,430
Depreciation	445			5,884			12,010			—			18,339
Amortization of intangibles	—			4,667			3,957			—			8,624
Total operating costs and expenses	37,819			151,527			502,574			(168		)	691,752
Operating (loss) income	(37,819		)	18,304			95,150			—			75,635
Equity in earnings of unconsolidated affiliates	91,382			4,706			—			(96,088		)	—
Interest expense	(5,648		)	—			(19,080		)	—			(24,728		)
Other (expense) income, net	(6,821		)	6,807			10,244			—			10,230
Earnings before income taxes	41,094			29,817			86,314			(96,088		)	61,137
Income tax benefit (provision)	25,174			(1,139		)	(4,615		)	—			19,420
Net earnings	66,268			28,678			81,699			(96,088		)	80,557
Net earnings attributable to noncontrolling interests	—			—			(14,289		)	—			(14,289		)
Net earnings attributable to IAC shareholders	$	66,268		$	28,678		$	67,410		$	(96,088	)	$	66,268
Comprehensive income attributable to IAC shareholders	$	76,875		$	30,852		$	85,140		$	(115,992	)	$	76,875

Statement of operations for the six months ended June 30, 2018:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	420,853		$	1,633,500		$	(156	)	$	2,054,197
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	151			117,439			302,703			(107		)	420,186
Selling and marketing expense	402			170,440			601,731			(81		)	772,492
General and administrative expense	63,061			29,640			279,814			32			372,547
Product development expense	1,216			28,420			122,746			—			152,382
Depreciation	532			6,466			31,064			—			38,062
Amortization of intangibles	—			919			39,222			—			40,141
Total operating costs and expenses	65,362			353,324			1,377,280			(156		)	1,795,810
Operating (loss) income	(65,362		)	67,529			256,220			—			258,387
Equity in earnings of unconsolidated affiliates	336,730			8,303			—			(345,033		)	—
Interest expense	(852		)	—			(53,009		)	—			(53,861		)
Other (expense) income, net (a)	(10,411		)	349,087			155,960			(328,114		)	166,522
Earnings before income taxes	260,105			424,919			359,171			(673,147		)	371,048
Income tax benefit (provision)	29,330			(38,523		)	6,838			—			(2,355		)
Net earnings	289,435			386,396			366,009			(673,147		)	368,693
Net earnings attributable to noncontrolling interests	—			—			(79,258		)	—			(79,258		)
Net earnings attributable to IAC shareholders	289,435			$	386,396		$	286,751		$	(673,147	)	$	289,435
Comprehensive income attributable to IAC shareholders	$	280,348		$	386,443		$	275,940		$	(662,383	)	$	280,348

^(a) During the six months ended June 30, 2018, foreign cash of $326 million was repatriated to the U.S.

Statement of operations for the six months ended June 30, 2017:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Revenue	$	—		$	351,403		$	1,177,198		$	(381	)	$	1,528,220
Operating costs and expenses:
Cost of revenue (exclusive of depreciation shown separately below)	160			62,839			222,299			(307		)	284,991
Selling and marketing expense	939			174,218			495,458			(100		)	670,515
General and administrative expense	61,914			30,375			201,502			26			293,817
Product development expense	1,506			29,179			79,505			—			110,190
Depreciation	883			13,017			24,327			—			38,227
Amortization of intangibles	—			9,752			8,033			—			17,785
Total operating costs and expenses	65,402			319,380			1,031,124			(381		)	1,415,525
Operating (loss) income	(65,402		)	32,023			146,074			—			112,695
Equity in earnings of unconsolidated affiliates	142,838			2,023			—			(144,861		)	—
Interest expense	(11,476		)	—			(38,044		)	—			(49,520		)
Other (expense) income, net	(12,626		)	12,898			2,244			—			2,516
Earnings before income taxes	53,334			46,944			110,274			(144,861		)	65,691
Income tax benefit (provision)	39,143			(10,828		)	15,014			—			43,329
Net earnings	92,477			36,116			125,288			(144,861		)	109,020
Net earnings attributable to noncontrolling interests	—			—			(16,543		)	—			(16,543		)
Net earnings attributable to IAC shareholders	$	92,477		$	36,116		$	108,745		$	(144,861	)	$	92,477
Comprehensive income attributable to IAC shareholders	$	121,862		$	42,343		$	148,908		$	(191,251	)	$	121,862

Schedule of Condensed Cash Flow Statement

Statement of cash flows for the six months ended June 30, 2018:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			IAC Consolidated
	(In thousands)
Net cash (used in) provided by operating activities	$	(24,698	)	$	418,153		$	314,884		$	(328,537	)	$	379,802
Cash flows from investing activities:
Acquisitions, net of cash acquired	(4,142		)	—			(13,371		)	—			(17,513		)
Capital expenditures	(2,200		)	(847		)	(36,649		)	—			(39,696		)
Proceeds from maturities and sales of marketable debt securities	10,000			—			—			—			10,000
Purchases of marketable debt securities	(124,397		)	—			—			—			(124,397		)
Purchases of investments	(18,180		)	—			(13,000		)	—			(31,180		)
Net proceeds from the sale of investments and businesses	408			—			27,132			—			27,540
Other, net	(5,000		)	3,884			10,715			—			9,599
Net cash (used in) provided by investing activities	(143,511		)	3,037			(25,173		)	—			(165,647		)
Cash flows from financing activities:
Repurchases of IAC debt	(363		)	—			—			—			(363		)
Principal payments on ANGI Homeservices debt	—			—			(6,875		)	—			(6,875		)
Purchase of IAC treasury stock	(7,869		)	—			—			—			(7,869		)
Purchase of Match Group treasury stock	—			—			(73,943		)	—			(73,943		)
Proceeds from the exercise of IAC stock options	27,317			—			—			—			27,317
Proceeds from the exercise of Match Group and ANGI Homeservices stock options	—			—			2,125			—			2,125
Withholding taxes paid on behalf of IAC employees on net settled stock-based awards	(495		)	—			—			—			(495		)
Withholding taxes paid on behalf of Match Group and ANGI Homeservices employees on net settled stock-based awards	—			—			(136,727		)	—			(136,727		)
Purchase of noncontrolling interests	—			—			(877		)	—			(877		)
Acquisition-related contingent consideration payments	—			—			(185		)	—			(185		)
Intercompany	375,167			(421,190		)	(282,514		)	328,537			—
Other, net	2,674			—			(7,487		)	—			(4,813		)
Net cash provided by (used in) financing activities	396,431			(421,190		)	(506,483		)	328,537			(202,705		)
Total cash provided (used)	228,222			—			(216,772		)	—			11,450
Effect of exchange rate changes on cash, cash equivalents, and restricted cash	11			—			33			—			44
Net increase (decrease) in cash, cash equivalents, and restricted cash	228,233			—			(216,739		)	—			11,494
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	$	813,872		$	—		$	831,304		$	—		$	1,645,176

Statement of cash flows for the six months ended June 30, 2017:

	IAC			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			IAC Consolidated
	(In thousands)
Net cash (used in) provided by operating activities	$	(40,671	)	$	40,314		$	158,071		$	157,714
Cash flows from investing activities:
Acquisitions, net of cash acquired	—			(2,200		)	(46,964		)	(49,164		)
Capital expenditures	(216		)	(657		)	(40,948		)	(41,821		)
Proceeds from maturities and sales of marketable debt securities	99,350			—			—			99,350
Purchases of marketable debt securities	(24,909		)	—			—			(24,909		)
Purchases of investments	—			—			(5,105		)	(5,105		)
Net proceeds from the sale of businesses and investments	—			—			119,697			119,697
Other, net	—			120			956			1,076
Net cash provided by (used in) investing activities	74,225			(2,737		)	27,636			99,124
Cash flows from financing activities:
Repurchases of IAC debt	(31,590		)	—			—			(31,590		)
Purchase of IAC treasury stock	(56,424		)	—			—			(56,424		)
Proceeds from the exercise of IAC stock options	48,146			—			—			48,146
Proceeds from the exercise of Match Group stock options	—			—			39,403			39,403
Withholding taxes paid on behalf of IAC employees on net settled stock-based awards	(49,900		)	—			—			(49,900		)
Withholding taxes paid on behalf of Match Group employees on net settled stock-based awards	—			—			(28,421		)	(28,421		)
Purchase of noncontrolling interests	—			—			(12,361		)	(12,361		)
Acquisition-related contingent consideration payments	—			—			(3,860		)	(3,860		)
Intercompany	54,316			(37,577		)	(16,739		)	—
Other, net	251			—			(5,124		)	(4,873		)
Net cash used in financing activities	(35,201		)	(37,577		)	(27,102		)	(99,880		)
Total cash (used) provided	(1,647		)	—			158,605			156,958
Effect of exchange rate changes on cash, cash equivalents, and restricted cash	36			—			5,438			5,474
Net (decrease) increase in cash, cash equivalents, and restricted cash	(1,611		)	—			164,043			162,432
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	$	572,173		$	—		$	950,458		$	1,522,631