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Segment Reporting and Significant Customer Information
3 Months Ended
Mar. 31, 2022
Segment Reporting [Abstract]  
Segments Reporting and Significant Customer Information Segment Reporting and Significant Customer Information
The Company determines its reportable segments based upon the Companys chief operating decision maker managing the performance of the business. Historically, the Company managed its business geographically and operated in three reportable segments including Asia Pacific, Europe and North America. During the three months ended March 31, 2022, the Company classified the results of its Asia Pacific segment as discontinued operations in its condensed consolidated financial statements for current and prior periods presented. On January 13, 2020, Travelzoo agreed to the SPA with the Sellers of Jack’s Flight Club to purchase 60% of the Shares. Upon acquisition, the Companys chief operating decision maker reviewed and evaluated Jacks Flight Club as a separate segment. The Company currently has three reportable operating segments: Travelzoo North America, Travelzoo Europe and Jack’s Flight Club. Travelzoo North America consists of the Company’s operations in Canada and the U.S. Travelzoo Europe consists of the Company’s operations in France, Germany, Spain, and the U.K. Jack’s Flight Club consists of subscription revenue from premium members to access and receive flight deals from Jack’s Flight Club via email or via Android or Apple mobile applications.
Management relies on an internal management reporting process that provides revenue and segment operating profit (loss) for making financial decisions and allocating resources. Management believes that segment revenues and operating profit (loss) are appropriate measures of evaluating the operational performance of the Company’s segments.
The following is a summary of operating results by business segment (in thousands):
Three Months Ended March 31, 2022Travelzoo North
America
Travelzoo EuropeJack’s Flight Club EliminationConsolidated
Revenues from unaffiliated customers$11,503 $6,127 $823 $— $18,453 
Intersegment revenues (expenses)193 (193)— — — 
Total net revenues11,696 5,934 823 — 18,453 
Operating profit (loss)$1,718 $178 $23 $— $1,919 
Three Months Ended March 31, 2021Travelzoo North
America
Travelzoo EuropeJack’s Flight Club EliminationConsolidated
Revenues from unaffiliated customers$9,828 $3,569 $887 $— $14,284 
Intersegment revenues (expenses)(9)— — — 
Total net revenues9,819 3,578 887 — 14,284 
Operating profit (loss)$39 $(696)$(110)$— $(767)
Property and equipment are attributed to the geographic region in which the assets are located. Revenues from unaffiliated customers excludes intersegment revenues and represents revenue with parties unaffiliated with the Company and its wholly owned subsidiaries.
The following is a summary of assets by business segment (in thousands):
As of March 31, 2022Travelzoo North
America
Travelzoo EuropeJack’s Flight ClubEliminationConsolidated
Long-lived assets$482 $90 $— $— $572 
Total assets excluding discontinued operations$115,010 $24,913 $18,853 $(65,956)$92,820 
As of December 31, 2021Travelzoo North
America
Travelzoo EuropeJack’s Flight ClubEliminationConsolidated
Long-lived assets$573 $86 $— $— $659 
Total assets excluding discontinued operations$116,700 $28,167 $18,436 $(63,647)$99,656 
For the three months ended March 31, 2022 and 2021, the Company did not have any customers that accounted for 10% or more of revenue. As of March 31, 2022 and December 31, 2021, 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 category and segment. Travel revenue includes travel publications (Top 20, Travelzoo website, Newsflash, Travelzoo Network), Getaways vouchers, hotel platform and vacation packages. Local revenue includes Local Deals vouchers and entertainment offers (vouchers and direct bookings). 
Three Months Ended
 March 31,
 20222021
Travelzoo North America
Travel$11,050 $8,990 
Local646 829 
Total Travelzoo North America revenues11,696 9,819 
Travelzoo Europe
Travel5,624 3,301 
Local310 277 
Total Travelzoo Europe revenues5,934 3,578 
Jack’s Flight Club
823 887 
Consolidated
Travelzoo Travel16,674 12,291 
Travelzoo Local956 1,106 
Jack’s Flight Club
823 887 
Total revenues$18,453 $14,284 
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 countries that exceed 10% of total revenue (in thousands):
Three Months Ended
March 31,
 20222021
Revenue
United States $10,643 $9,221 
United Kingdom3,999 2,120 
Germany2,252 1,168 
Rest of the world1,559 1,775 
Total revenues$18,453 $14,284 
The following table sets forth property and equipment by geographic area (in thousands):  
 March 31,December 31,
 20222021
United States $329 $409 
Rest of the world 243 250 
Total long-lived assets$572 $659