v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information Segment Information
The Company classifies its operations into two operating segments: Domestic Operations and International. These operating segments represent strategic business units that are managed separately.
The Company evaluates segment performance based on 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 segment adjusted operating income to income from operations before income taxes, and other information as to the continuing operations of the Company's operating segments below.
(In thousands)Three Months Ended June 30, 2025
Domestic OperationsInternationalTotal
Revenues, net from external customers
Subscription$320,359 $47,069 $367,428 
Advertising122,606 26,003 148,609 
Content licensing and other82,277 1,710 83,987 
525,242 74,782 600,024 
Inter-segment revenues (Content licensing and other) (a)
1,611 753 2,364 
$526,853 $75,535 602,388 
Reconciliation of revenue
    Elimination of inter-segment revenues (a)
(2,364)
Total consolidated revenues, net$600,024 
Less: (b)
Content expenses215,673 16,754 
Marketing, research, and advertising sales expenses90,804 4,802 
Other (c)
94,037 39,242 
Segment adjusted operating income$126,339 $14,737 $141,076 
Reconciliation of total segment adjusted operating income
    Elimination of inter-segment profits(1,095)
    Unallocated corporate overhead costs (d)(30,595)
Share-based compensation expenses(8,043)
Depreciation and amortization(26,446)
Restructuring and other related charges (3,529)
Cloud computing amortization(2,725)
Majority-owned equity investees AOI(4,174)
Operating income64,469 
Other income (expense):
Interest expense(42,460)
Interest income8,205 
Gain on extinguishment of debt, net25,745 
Miscellaneous, net12,819 
Income from operations before income taxes$68,778 
(a) Inter-segment revenues primarily relate to Domestic Operations content licensing sales to International, as well as services performed by AMCNI on behalf of businesses within the Domestic Operations segment.
(b) The significant expense categories and amounts align with the segment-level information that is regularly provided to the Chief Operating Decision Maker (the "CODM").
(c) Other for each reportable segment primarily includes employee-related costs, information technology costs, professional services expenses, occupancy expenses, certain overhead expenses and the Company’s proportionate share of adjusted operating income (loss) from majority-owned equity method investees.
(d) Unallocated corporate overhead costs include costs such as executive salaries and benefits and costs of maintaining corporate headquarters, facilities and common support functions.
(In thousands)Three Months Ended June 30, 2024
Domestic OperationsInternationalTotal
Revenues, net from external customers
Subscription$322,576 $49,604 $372,180 
Advertising149,200 37,523 186,723 
Content licensing and other65,072 1,959 67,031 
536,848 89,086 625,934 
Inter-segment revenues (Content licensing and other) (a)
1,443 1,009 2,452 
$538,291 $90,095 628,386 
Reconciliation of revenue
    Elimination of inter-segment revenues (a)
(2,452)
Total consolidated revenues, net$625,934 
Less: (b)
Content expenses206,242 16,306 
Marketing, research, and advertising sales expenses83,320 5,242 
Other (c)
93,381 39,282 
Segment adjusted operating income$155,348 $29,265 $184,613 
Reconciliation of total segment adjusted operating income
    Elimination of inter-segment profits(370)
    Unallocated corporate overhead costs (d)
(31,436)
Share-based compensation expenses(8,457)
Depreciation and amortization(26,493)
Impairment and other charges(96,819)
Restructuring and other related charges(2,931)
Cloud computing amortization(3,283)
Majority-owned equity investees AOI(4,036)
Operating income10,788 
Other income (expense):
Interest expense(43,216)
Interest income9,292 
Gain on extinguishment of debt, net247 
Miscellaneous, net1,493 
Income (loss) from operations before income taxes$(21,396)
(a) Inter-segment revenues primarily relate to Domestic Operations content licensing sales to International, as well as services performed by AMCNI on behalf of businesses within the Domestic Operations segment.
(b) The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM.
(c) Other for each reportable segment primarily includes employee-related costs, information technology costs, professional services expenses, occupancy expenses, certain overhead expenses and the Company’s proportionate share of adjusted operating income (loss) from majority-owned equity method investees.
(d) Unallocated corporate overhead costs include costs such as executive salaries and benefits and costs of maintaining corporate headquarters, facilities and common support functions.
(In thousands)Six Months Ended June 30, 2025
Domestic OperationsInternationalTotal
Revenues, net from external customers
Subscription$633,732 $91,771 $725,503 
Advertising241,854 48,611 290,465 
Content licensing and other135,643 3,646 139,289 
1,011,229 144,028 1,155,257 
Inter-segment revenues (Content licensing and other) (a)
1,931 1,453 3,384 
$1,013,160 $145,481 1,158,641 
Reconciliation of revenue
    Elimination of inter-segment revenues (a)
(3,384)
Total consolidated revenues, net$1,155,257 
Less: (b)
Content expenses413,762 35,005 
Marketing, research, and advertising sales expenses171,469 9,081 
Other (c)
177,666 76,807 
Segment adjusted operating income$250,263 $24,588 $274,851 
Reconciliation of total segment adjusted operating income
    Elimination of inter-segment profits(1,097)
    Unallocated corporate overhead costs (d)
(59,883)
Share-based compensation expenses(13,800)
Depreciation and amortization(47,372)
Restructuring and other related charges (8,318)
Cloud computing amortization(5,938)
Majority-owned equity investees AOI(9,777)
Operating income128,666 
Other income (expense):
    Interest expense(85,852)
    Interest income16,620 
    Gain on extinguishment of debt, net25,745 
    Miscellaneous, net20,707 
Income from operations before income taxes$105,886 
(a) Inter-segment revenues primarily relate to Domestic Operations content licensing sales to International, as well as services performed by AMCNI on behalf of businesses within the Domestic Operations segment.
(b) The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM.
(c) Other for each reportable segment primarily includes employee-related costs, information technology costs, professional services expenses, occupancy expenses, certain overhead expenses and the Company’s proportionate share of adjusted operating income (loss) from majority-owned equity method investees.
(d) Unallocated corporate overhead costs include costs such as executive salaries and benefits and costs of maintaining corporate headquarters, facilities and common support functions.
(In thousands)Six Months Ended June 30, 2024
Domestic OperationsInternationalTotal
Revenues, net from external customers
Subscription$645,134 $100,453 $745,587 
Advertising289,054 59,047 348,101 
Content licensing and other125,041 3,666 128,707 
1,059,229 163,166 1,222,395 
Inter-segment revenues (Content licensing and other) (a)
3,288 2,534 5,822 
$1,062,517 $165,700 1,228,217 
Reconciliation of revenue
    Elimination of inter-segment revenues (a)
(5,822)
Total consolidated revenues, net$1,222,395 
Less: (b)
Content expenses407,213 33,509 
Marketing, research, and advertising sales expenses162,585 9,105 
Other (c)
175,052 80,421 
Segment adjusted operating income$317,667 $42,665 $360,332 
Reconciliation of total segment adjusted operating income
    Elimination of inter-segment profits(670)
    Unallocated corporate overhead costs (d)
(57,731)
Share-based compensation expenses(14,532)
Depreciation and amortization(52,319)
Impairment and other charges(96,819)
Restructuring and other related charges(2,931)
Cloud computing amortization(6,831)
Majority-owned equity investees AOI(7,533)
Operating income120,966 
Other income (expense):
    Interest expense(76,057)
    Interest income18,177 
    Gain on extinguishment of debt, net247 
    Miscellaneous, net(3,697)
Income from operations before income taxes$59,636 
(a) Inter-segment revenues primarily relate to Domestic Operations content licensing sales to International, as well as services performed by AMCNI on behalf of businesses within the Domestic Operations segment.
(b) The significant expense categories and amounts align with the segment-level information that is regularly provided to the CODM.
(c) Other for each reportable segment primarily includes employee-related costs, information technology costs, professional services expenses, occupancy expenses, certain overhead expenses and the Company’s proportionate share of adjusted operating income (loss) from majority-owned equity method investees.
(d) Unallocated corporate overhead costs include costs such as executive salaries and benefits and costs of maintaining corporate headquarters, facilities and common support functions.
Subscription revenues in the Domestic Operations segment include revenues related to the Company's streaming services of $169.0 million and $150.2 million for the three months ended June 30, 2025 and 2024, respectively, and $326.1 million and $295.3 million for the six months ended June 30, 2025 and 2024, respectively.
The Company does not disclose total assets for each operating segment because these amounts are not regularly reviewed by the CODM nor are they used in assessing segment performance or deciding how to allocate resources to the segments.
The table below summarizes revenues based on customer location:
(In thousands)Three Months Ended June 30,Six Months Ended June 30,
2025202420252024
Revenues
United States$481,821 $487,414 $929,211 $971,507 
Europe81,627 102,875 155,726 180,126 
Other36,576 35,645 70,320 70,762 
$600,024 $625,934 $1,155,257 $1,222,395 
One customer within the Domestic Operations segment accounted for approximately 18% of consolidated revenues, net for the three and six months ended June 30, 2025. For the three and six months ended June 30, 2024, one customer within the Domestic Operations segment accounted for approximately 15% of consolidated revenues.
The table below summarizes property and equipment based on asset location:
(In thousands)June 30, 2025December 31, 2024
Property and equipment, net
United States$117,930 $127,881 
Europe15,317 13,634 
Other1,157 1,521 
$134,404 $143,036