Note 14. Segment Reporting The Company’s operations are managed and reported to its Chief Executive Officer (“CEO”), the Company’s chief operating decision maker, on a consolidated basis. The CEO assesses performance and allocates resources based on the consolidated results of operations. Under this organizational and reporting structure, the Company operates as one reportable segment. As one reportable segment, the Company does not have any intra-entity sales or transfers. | | | | | | | | | | | | | | | Broadband Services (1) | | | Three months ended | | Six months ended | | | June 30, | | June 30, | | | 2025 | | 2024 | | 2025 | | 2024 | | | | (in millions) | Compensation and benefits | | $ | 30.5 | | $ | 29.8 | | $ | 57.4 | | $ | 62.4 | Direct expense | | | 20.0 | | | 29.4 | | | 43.5 | | | 61.5 | Customer service and support | | | 11.8 | | | 12.7 | | | 23.9 | | | 25.5 | Sales and marketing | | | 6.7 | | | 6.9 | | | 12.9 | | | 14.7 | Hardware and software | | | 5.9 | | | 5.8 | | | 11.7 | | | 11.6 | Professional and legal fees | | | 6.2 | | | 5.9 | | | 10.3 | | | 6.4 | Billing systems and software | | | 3.3 | | | 3.2 | | | 6.6 | | | 6.4 | Bad debt | | | 1.7 | | | 2.2 | | | 3.7 | | | 4.9 | Other segment items (2) | | | 5.0 | | | 6.5 | | | 11.6 | | | 12.9 | Total expenses (3) | | $ | 91.1 | | $ | 102.4 | | $ | 181.6 | | $ | 206.3 |
________________________________________ | (1) | The breakout of expenses has been updated to reflect the key expenses reviewed by the CEO. |
| (2) | Other segment items includes rental expense, insurance expenses, operating taxes, building maintenance and utilities, dues and subscriptions, and miscellaneous employee related expenses. |
| (3) | Total expenses agrees to operating (excluding depreciation and amortization) and selling, general, and administrative expenses presented in the unaudited condensed consolidated statement of operations. |
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