XML 27 R16.htm IDEA: XBRL DOCUMENT
v3.24.3

SEGMENT DISCLOSURES | 9 Months Ended
--- | ---
Sep. 30, 2024
Segment Reporting [Abstract] |
SEGMENT DISCLOSURES | SEGMENT DISCLOSURES Our business units have been aggregated into three practice groups: Financial Services, Benefits and Insurance Services, and National Practices. The business units have been aggregated based on the following factors: similarity of the products and services provided to clients; similarity of the regulatory environment in which they operate; and similarity of economic conditions affecting long-term performance. The business units are managed along these segment lines. A general description of services provided by each practice group is provided in the table below.
Financial Services |  | Benefits and Insurance Services |  | National Practices
Accounting and Tax |  | Employee Benefits Consulting |  | Information Technology Managed Networking and Hardware Services
Financial Advisory |  | Payroll / Human Capital Management |  | Healthcare Consulting
Valuation |  | Property and Casualty Insurance |  |
Risk and Advisory Services |  | Retirement and Investment Services |  |
Government Healthcare Consulting |  |  |  |
Corporate and Other - Included in Corporate and Other are operating expenses that are not directly allocated to the individual business units. These expenses primarily consist of certain health care costs, gains or losses attributable to assets held in our non-qualified deferred compensation plan, stock-based compensation, consolidation and integration charges, certain professional fees, certain advertising costs, and other various expenses. Accounting policies of the practice groups are the same as those described in Note 1, Basis of Presentation and Significant Accounting Policies, to the Annual Report on Form 10-K for the year ended December 31, 2023. Upon consolidation, intercompany accounts and transactions are eliminated, thus inter-segment revenue is not included in the measure of profit or loss for the practice groups. Performance of the practice groups is evaluated on income (loss) before income tax expense (benefit) excluding those costs listed above, which are reported in “Corporate and Other”. Segment information for the three and nine months ended September 30, 2024 and 2023 is presented below. We do not manage our assets on a segment basis, therefore segment assets are not presented below. The following table disaggregates our revenue by source (in thousands):
| Three Months Ended September 30, 2024 |
| Financial Services |  | Benefits and Insurance Services |  | National Practices |  | Consolidated |
Accounting, tax, advisory and consulting | $ | 322,295 |  |  | $ | — |  |  | $ | — |  |  | $ | 322,295 |  |
Core benefits and insurance services | — |  |  | 99,950 |  |  | — |  |  | 99,950 |  |
Non-core benefits and insurance services | — |  |  | 4,090 |  |  | — |  |  | 4,090 |  |
Managed networking, hardware services | — |  |  | — |  |  | 10,336 |  |  | 10,336 |  |
National practices consulting | — |  |  | — |  |  | 2,213 |  |  | 2,213 |  |
Total revenue | $ | 322,295 |  |  | $ | 104,040 |  |  | $ | 12,549 |  |  | $ | 438,884 |  |
| Three Months Ended September 30, 2023
| Financial Services |  | Benefits and Insurance Services |  | National Practices |  | Consolidated
Accounting, tax, advisory and consulting | $ | 298,372 |  |  | — |  | — |  | $ | 298,372 |
Core benefits and insurance services | — |  | 95,951 |  |  | — |  | 95,951 |
Non-core benefits and insurance services | — |  | 4,336 |  |  | — |  | 4,336 |
Managed networking, hardware services | — |  | — |  | 9,205 |  |  | 9,205 |
National practices consulting | — |  | — |  | 2,675 |  |  | 2,675 |
Total revenue | $ | 298,372 |  |  | $ | 100,287 |  |  | $ | 11,880 |  |  | $ | 410,539 |
| Nine Months Ended September 30, 2024 |
| Financial Services |  | Benefits and Insurance Services |  | National Practices |  | Consolidated |
Accounting, tax, advisory and consulting | $ | 1,004,158 |  |  | — |  | — |  | $ | 1,004,158 |  |
Core benefits and insurance services | — |  | 298,688 |  |  | — |  | 298,688 |  |
Non-core benefits and insurance services | — |  | 11,179 |  |  | — |  | 11,179 |  |
Managed networking, hardware services | — |  | — |  | 30,774 |  |  | 30,774 |  |
National practices consulting | — |  | — |  | 8,394 |  |  | 8,394 |  |
Total revenue | $ | 1,004,158 |  |  | $ | 309,867 |  |  | $ | 39,168 |  |  | $ | 1,353,193 |  |
| Nine Months Ended September 30, 2023 |
| Financial Services |  | Benefits and Insurance Services |  | National Practices |  | Consolidated |
Accounting, tax, advisory and consulting | $ | 932,388 |  |  | — |  | — |  | $ | 932,388 |  |
Core benefits and insurance services | — |  | 283,599 |  |  | — |  | 283,599 |  |
Non-core benefits and insurance services | — |  | 12,580 |  |  | — |  | 12,580 |  |
Managed networking, hardware services | — |  | — |  | 27,226 |  |  | 27,226 |  |
National practices consulting | — |  | — |  | 7,854 |  |  | 7,854 |  |
Total revenue | $ | 932,388 |  |  | $ | 296,179 |  |  | $ | 35,080 |  |  | $ | 1,263,647 |  |
Segment information for the three months ended September 30, 2024 and 2023 was as follows (in thousands):
| Three Months Ended September 30, 2024 |
| Financial Services |  | Benefits and Insurance Services |  | National Practices |  | Corporate and Other |  | Total |
Revenue | $ | 322,295 |  |  | $ | 104,040 |  |  | $ | 12,549 |  |  | $ | — |  |  | $ | 438,884 |  |
Operating expenses | 260,639 |  |  | 82,965 |  |  | 11,101 |  |  | 11,266 |  |  | 365,971 |  |
Gross margin | 61,656 |  |  | 21,075 |  |  | 1,448 |  |  | (11,266) |  |  | 72,913 |  |
Corporate general and administrative expenses | — |  |  | — |  |  | — |  |  | 23,227 |  |  | 23,227 |  |
Operating income (loss) | 61,656 |  |  | 21,075 |  |  | 1,448 |  |  | (34,493) |  |  | 49,686 |  |
Other income (expense): |  |  |  |  |  |  |  |  |  |
Interest expense | — |  |  | (3) |  |  | — |  |  | (4,965) |  |  | (4,968) |  |
Gain on sale of operations, net | — |  |  | — |  |  | 4,953 |  |  | — |  |  | 4,953 |  |
Other income, net | 15 |  |  | 5 |  |  | — |  |  | 1,280 |  |  | 1,300 |  |
Total other income (expense), net | 15 |  |  | 2 |  |  | 4,953 |  |  | (3,685) |  |  | 1,285 |  |
Income (loss) before income tax expense | $ | 61,671 |  |  | $ | 21,077 |  |  | $ | 6,401 |  |  | $ | (38,178) |  |  | $ | 50,971 |  |
| Three Months Ended September 30, 2023 |
| Financial Services |  | Benefits and Insurance Services |  | National Practices |  | Corporate and Other |  | Total |
Revenue | $ | 298,372 |  |  | $ | 100,287 |  |  | $ | 11,880 |  |  | $ | — |  |  | $ | 410,539 |  |
Operating expenses | 249,680 |  |  | 79,636 |  |  | 10,667 |  |  | 2,165 |  |  | 342,148 |  |
Gross margin | 48,692 |  |  | 20,651 |  |  | 1,213 |  |  | (2,165) |  |  | 68,391 |  |
Corporate general and administrative expenses | — |  |  | — |  |  | — |  |  | 13,136 |  |  | 13,136 |  |
Operating income (loss) | 48,692 |  |  | 20,651 |  |  | 1,213 |  |  | (15,301) |  |  | 55,255 |  |
Other income (expense): |  |  |  |  |  |  |  |  |  |
Interest expense | — |  |  | — |  |  | — |  |  | (5,848) |  |  | (5,848) |  |
Gain on sale of operations, net | 77 |  |  | — |  |  | — |  |  | — |  |  | 77 |  |
Other income, net | 1,497 |  |  | 267 |  |  | — |  |  | (4,052) |  |  | (2,288) |  |
Total other income (loss), net | 1,574 |  |  | 267 |  |  | — |  |  | (9,900) |  |  | (8,059) |  |
Income (loss) before income tax expense | $ | 50,266 |  |  | $ | 20,918 |  |  | $ | 1,213 |  |  | $ | (25,201) |  |  | $ | 47,196 |  |
Segment information for the nine months ended September 30, 2024 and 2023 was as follows (in thousands):
| Nine Months Ended September 30, 2024 |
| Financial Services |  | Benefits and Insurance Services |  | National Practices |  | Corporate and Other |  | Total |
Revenue | $ | 1,004,158 |  |  | $ | 309,867 |  |  | $ | 39,168 |  |  | $ | — |  |  | $ | 1,353,193 |  |
Operating expenses | 789,009 |  |  | 249,845 |  |  | 35,062 |  |  | 34,908 |  |  | 1,108,824 |  |
Gross margin | 215,149 |  |  | 60,022 |  |  | 4,106 |  |  | (34,908) |  |  | 244,369 |  |
Corporate general and administrative expenses | — |  |  | — |  |  | — |  |  | 63,988 |  |  | 63,988 |  |
Operating income (loss) | 215,149 |  |  | 60,022 |  |  | 4,106 |  |  | (98,896) |  |  | 180,381 |  |
Other income (expense): |  |  |  |  |  |  |  |  |  |
Interest expense | — |  |  | (3) |  |  | — |  |  | (15,360) |  |  | (15,363) |  |
Gain on sale of operations, net | — |  |  | — |  |  | 4,953 |  |  | — |  |  | 4,953 |  |
Other income, net | 229 |  |  | 92 |  |  | (4) |  |  | 12,890 |  |  | 13,207 |  |
Total other income (expense), net | 229 |  |  | 89 |  |  | 4,949 |  |  | (2,470) |  |  | 2,797 |  |
Income (loss) before income tax expense | $ | 215,378 |  |  | $ | 60,111 |  |  | $ | 9,055 |  |  | $ | (101,366) |  |  | $ | 183,178 |  |
| Nine Months Ended September 30, 2023 |
| Financial Services |  | Benefits and Insurance Services |  | National Practices |  | Corporate and Other |  | Total |
Revenue | $ | 932,388 |  |  | $ | 296,179 |  |  | $ | 35,080 |  |  | $ | — |  |  | $ | 1,263,647 |  |
Operating expenses | 737,568 |  |  | 234,933 |  |  | 31,795 |  |  | 22,850 |  |  | 1,027,146 |  |
Gross margin | 194,820 |  |  | 61,246 |  |  | 3,285 |  |  | (22,850) |  |  | 236,501 |  |
Corporate general and administrative expenses | — |  |  | — |  |  | — |  |  | 44,527 |  |  | 44,527 |  |
Operating income (loss) | 194,820 |  |  | 61,246 |  |  | 3,285 |  |  | (67,377) |  |  | 191,974 |  |
Other income (expense): |  |  |  |  |  |  |  |  |  |
Interest expense | — |  |  | (1) |  |  | — |  |  | (15,022) |  |  | (15,023) |  |
Gain on sale of operations, net | 176 |  |  | — |  |  | — |  |  | — |  |  | 176 |  |
Other income, net | 1,987 |  |  | 597 |  |  | 1 |  |  | 5,660 |  |  | 8,245 |  |
Total other income (expense), net | 2,163 |  |  | 596 |  |  | 1 |  |  | (9,362) |  |  | (6,602) |  |
Income (loss) before income tax expense | $ | 196,983 |  |  | $ | 61,842 |  |  | $ | 3,286 |  |  | $ | (76,739) |  |  | $ | 185,372 |  |

X
- References No definition available. + Details
Name: | us-gaap_SegmentReportingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 48 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-48 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 270 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (i) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482964/270-10-50-1 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (ee) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 5: http://fasb.org/us-gaap/role/ref/otherTransitionRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 Reference 6: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 7: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 8: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 9: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 10: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 54 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-54 Reference 11: http://www.xbrl.org/2003/role/exampleRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 47 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482785/280-10-55-47 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 22 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-22 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 31 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-31 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 34 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-34 Reference 15: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26C -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26C Reference 16: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26B -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26B Reference 17: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-15 Reference 18: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 42 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-42 Reference 19: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 40 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-40 Reference 20: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/280/tableOfContent Reference 21: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 26 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-26 Reference 22: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 41 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-41 Reference 23: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-21 Reference 24: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 21 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-21 Reference 25: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 32 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482810/280-10-50-32 + Details
Name: | us-gaap_SegmentReportingDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration