XML 45 R17.htm IDEA: XBRL DOCUMENT v2.4.0.8
Segment Reporting and Significant Customer Information
 3 Months Ended
Mar. 31, 2014
Segment Reporting [Abstract]  
Segments
Segment Reporting and Significant Customer Information
The Company manages its business geographically and has two reportable operating segments: North America and Europe. North America consists of the Company’s operations in Canada and the U.S. Europe consists of the Company’s operations in France, Germany, Spain, and the U.K.
Management relies on an internal management reporting process that provides revenue and segment operating income (loss) for making financial decisions and allocating resources. Management believes that segment revenues and operating income (loss) are appropriate measures of evaluating the operational performance of the Company’s segments.
The following is a summary of operating results and assets (in thousands) by business segment:
 
Three Months Ended March 31, 2014
North
America
 
Europe
 
Elimination
 
Consolidated
Revenues from unaffiliated customers
$
26,353

 
$
13,842

 
$
—

 
$
40,195

Intersegment revenues
221

 
12

 
(233
)
 
—

Total net revenues
26,574

 
13,854

 
(233
)
 
40,195

Operating income
$
4,604

 
$
2,393

 
$
—

 
$
6,997

 
Three Months Ended March 31, 2013
North
America
 
Europe
 
Elimination
 
Consolidated
Revenues from unaffiliated customers
$
29,911

 
$
12,266

 
$
—

 
$
42,177

Intersegment revenues
262

 
108

 
(370
)
 
—

Total net revenues
30,173

 
12,374

 
(370
)
 
42,177

Operating income
$
5,484

 
$
2,552

 
$
—

 
$
8,036

 
 
 
 
 
 
 
 
 
 
 
As of March 31, 2014
North
America
 
Europe
 
Elimination
 
Consolidated
Long-lived assets
$
8,692

 
$
1,962

 
$
—

 
$
10,654

Total assets
$
77,470

 
$
51,012

 
$
(31,239
)
 
$
97,243


 
As of December 31, 2013
North
America
 
Europe
 
Elimination
 
Consolidated
Long-lived assets
$
6,572

 
$
2,077

 
$
—

 
$
8,649

Total assets
$
96,278

 
$
49,668

 
$
(31,144
)
 
$
114,802


Revenue for each segment is recognized based on the customer location within a designated geographic region. Property and equipment are attributed to the geographic region in which the assets are located.
For the three months ended March 31, 2014 and 2013, the Company did not have any customers that accounted for 10% or more of revenue. As of March 31, 2014 and December 31, 2013, the Company did not have any customers that accounted for 10% or more of accounts receivable.
The following table sets forth the breakdown of revenues (in thousands) by type and segment. Travel revenue includes travel publications (Top 20, Website, Newsflash, Travelzoo Network) and Getaways vouchers. Search revenue includes SuperSearch and Fly.com. Local revenue includes Local Deals vouchers and entertainment offers (vouchers and direct bookings). 
 
Three Months Ended
 
March 31,
 
2014
 
2013
North America
 
 
 
Travel
$
17,229

 
$
17,490

Search
3,854

 
5,703

Local
5,270

 
6,718

Total North America revenues
$
26,353

 
$
29,911

Europe
 
 
 
Travel
$
11,193

 
$
9,292

Search
979

 
870

Local
1,670

 
2,104

Total Europe revenues
$
13,842

 
$
12,266

Consolidated
 
 
 
Travel
$
28,422

 
$
26,782

Search
4,833

 
6,573

Local
6,940

 
8,822

Total revenues
$
40,195

 
$
42,177

Revenue by geography is based on the billing address of the advertiser. Long-lived assets attributed to the U.S. and international geographies are based upon the country in which the asset is located or owned.
The following table sets forth revenue for individual countries that exceed 10% of total revenue (in thousands):
 
Three Months Ended
 
March 31,
 
2014
 
2013
Revenue
 
 
 
United States
$
24,740

 
$
27,846

United Kingdom
9,212

 
8,424

Rest of the world
6,243

 
5,907

Total revenues
$
40,195

 
$
42,177

 
The following table sets forth long lived asset by geographic area (in thousands):  
 
As of March 31,
 
As of December 31,
 
2014
 
2013
United States
$
8,672

 
$
6,557

Rest of the world
1,982

 
2,092

Total long lived assets
$
10,654

 
$
8,649