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Segment Information | 9 Months Ended
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Sep. 30, 2023
Segment Reporting [Abstract] |
Segment Information | Segment Information The Company classifies its operations into two operating segments: Domestic Operations and International and Other. These operating segments represent strategic business units that are managed separately. The Company evaluates segment performance based on several factors, of which the primary financial measure is operating segment adjusted operating income ("AOI"). The Company defines AOI as operating income (loss) before depreciation and amortization, cloud computing amortization, share-based compensation expenses or benefit, impairment and other charges (including gains or losses on sales or dispositions of businesses), restructuring and other related charges and including the Company’s proportionate share of adjusted operating income (loss) from majority-owned equity method investees. The Company has presented the components that reconcile adjusted operating income to operating income, and other information as to the continuing operations of the Company's operating segments below.
(In thousands) | Nine Months Ended September 30, 2023
Domestic Operations |  | International and Other |  | Corporate / Inter-segment Eliminations |  | Consolidated
Revenues, net |  |  |  |  |  |  |
Subscription | $ | 1,013,419 |  |  | $ | 170,143 |  |  | $ | — |  |  | $ | 1,183,562 |
Content licensing and other | 246,093 |  |  | 76,668 |  |  | (6,816) |  |  | 315,945 |
Distribution and other | 1,259,512 |  |  | 246,811 |  |  | (6,816) |  |  | 1,499,507 |
Advertising | 475,359 |  |  | 58,163 |  |  | — |  |  | 533,522 |
Consolidated revenues, net | $ | 1,734,871 |  |  | $ | 304,974 |  |  | $ | (6,816) |  |  | $ | 2,033,029 |
Operating income (loss) | $ | 523,645 |  |  | $ | 10,422 |  |  | $ | (134,212) |  |  | $ | 399,855 |
Share-based compensation expenses | 10,133 |  |  | 2,500 |  |  | 7,038 |  |  | 19,671 |
Depreciation and amortization | 35,053 |  |  | 13,944 |  |  | 30,632 |  |  | 79,629 |
Impairment and other charges | 5,400 |  |  | 24,882 |  |  | — |  |  | 30,282 |
Restructuring and other related charges | 3,940 |  |  | 1,642 |  |  | 16,955 |  |  | 22,537 |
Cloud computing amortization | 15 |  |  | — |  |  | 6,800 |  |  | 6,815 |
Majority-owned equity investees AOI | 11,019 |  |  | — |  |  | — |  |  | 11,019 |
Adjusted operating income (loss) | $ | 589,205 |  |  | $ | 53,390 |  |  | $ | (72,787) |  |  | $ | 569,808 |
(In thousands) | Nine Months Ended September 30, 2022
Domestic Operations |  | International and Other |  | Corporate / Inter-segment Eliminations |  | Consolidated
Revenues, net |  |  |  |  |  |  |
Subscription | $ | 1,040,110 |  |  | $ | 169,879 |  |  | $ | — |  |  | $ | 1,209,989 |
Content licensing and other | 191,473 |  |  | 103,513 |  |  | (16,901) |  |  | 278,085 |
Distribution and other | 1,231,583 |  |  | 273,392 |  |  | (16,901) |  |  | 1,488,074 |
Advertising | 582,451 |  |  | 61,500 |  |  | — |  |  | 643,951 |
Consolidated revenues, net | $ | 1,814,034 |  |  | $ | 334,892 |  |  | $ | (16,901) |  |  | $ | 2,132,025 |
Operating income (loss) | $ | 573,943 |  |  | $ | 39,733 |  |  | $ | (135,119) |  |  | $ | 478,557 |
Share-based compensation expenses | 10,000 |  |  | 1,758 |  |  | 12,104 |  |  | 23,862 |
Depreciation and amortization | 37,716 |  |  | 14,018 |  |  | 27,822 |  |  | 79,556 |
Cloud computing amortization | 17 |  |  | — |  |  | 5,306 |  |  | 5,323 |
Majority-owned equity investees AOI | 13,733 |  |  | — |  |  | — |  |  | 13,733 |
Adjusted operating income (loss) | $ | 635,409 |  |  | $ | 55,509 |  |  | $ | (89,887) |  |  | $ | 601,031 |
Subscription revenues in the Domestic Operations segment include revenues related to the Company's streaming services of $142.5 million and $131.2 million for the three months ended September 30, 2023 and 2022, respectively, and $420.8 million and $362.9 million for the nine months ended September 30, 2023 and 2022, respectively. Corporate overhead costs not allocated to the segments include costs such as executive salaries and benefits and costs of maintaining corporate headquarters, facilities and common support functions. Inter-segment eliminations are primarily licensing revenues recognized between the Domestic Operations and International and Other segments.
(In thousands) | Three Months Ended September 30, |  | Nine Months Ended September 30,
2023 |  | 2022 |  | 2023 |  | 2022
Inter-segment revenues |  |  |  |  |  |  |
Domestic Operations | $ | (1,825) |  |  | $ | (3,864) |  |  | $ | (6,451) |  |  | $ | (14,308) |
International and Other | (17) |  |  | (952) |  |  | (365) |  |  | (2,593) |
| $ | (1,842) |  |  | $ | (4,816) |  |  | $ | (6,816) |  |  | $ | (16,901) |
The table below summarizes revenues based on customer location:
(In thousands) | Three Months Ended September 30, |  | Nine Months Ended September 30,
2023 |  | 2022 |  | 2023 |  | 2022
Revenues |  |  |  |  |  |  |
United States | $ | 524,044 |  |  | $ | 569,996 |  |  | $ | 1,681,909 |  |  | $ | 1,761,430 |
Europe | 76,332 |  |  | 70,041 |  |  | 233,817 |  |  | 250,112 |
Other | 36,578 |  |  | 41,806 |  |  | 117,303 |  |  | 120,483 |
| $ | 636,954 |  |  | $ | 681,843 |  |  | $ | 2,033,029 |  |  | $ | 2,132,025 |
One customer within the Domestic Operations segment accounted for approximately 12% and 13% of consolidated revenues, net for the three and nine months ended September 30, 2023, respectively. For the three and nine months ended September 30, 2022, one customer within the Domestic Operations segment accounted for approximately 12% and 10%, respectively, of consolidated revenues, net. The table below summarizes property and equipment based on asset location:
(In thousands) | September 30, 2023 |  | December 31, 2022
Property and equipment, net |  |  |
United States | $ | 160,796 |  |  | $ | 187,833 |
Europe | 10,795 |  |  | 12,520 |
Other | 1,306 |  |  | 1,681 |
| $ | 172,897 |  |  | $ | 202,034 |

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- 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/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 2: 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 3: 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 4: http://www.xbrl.org/2003/role/disclosureRef -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 5: 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 6: 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 7: 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 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 280 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//280/tableOfContent Reference 9: 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 10: 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 11: 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 12: 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 13: 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 14: 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
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