Operating Segments and Related Information (Tables)

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Schedule of Discontinued Operations information

Discontinued operations information for the three months ended September 30, 2016 and 2015 is as follows:

Results of Discontinued Operations (in thousands)
Three Months Ended September 30,	2016			2015
Revenue, net	$	5		$	558
Cost of sales	(128		)	880
Selling, general and administrative expense	(4		)	203
Depreciation and amortization	4			7
Gain (loss) from discontinued operations before income taxes	133			(532		)
Income tax expense	—			—
Net gain (loss) from discontinued operations	$	133		$	(532	)

Discontinued operations information for the nine months ended September 30, 2016 and 2015 is as follows:

Results of Discontinued Operations (in thousands)
Nine Months Ended September 30,	2016			2015
Revenue, net	$	(11	)	$	999
Cost of sales	712			2,300
Selling, general and administrative expense	180			630
Depreciation and amortization	11			30
Loss from discontinued operations before income taxes	(914		)	(1,961		)
Income tax expense	—			—
Net loss from discontinued operations	$	(914	)	$	(1,961	)

Segment information

Segment information for the three and nine months ended September 30, 2016 and 2015 (in thousands) is as follows:

	Recovery Audit Services – Americas			Recovery Audit Services – Europe/Asia- Pacific				Adjacent Services				Corporate Support			Total
Three Months Ended September 30, 2016
Revenue	$	25,719		$	8,736			$	682			$	—		$	35,137
Net income from continuing operations															$	2,150
Income tax (benefit)															(685		)
Interest (income), net															(14		)
EBIT	$	7,371		$	1,274			$	(1,089	)		$	(6,105	)	$	1,451
Depreciation of property and equipment	935			141				300				—			1,376
Amortization of intangible assets	373			—				20				—			393
EBITDA	$	8,679		$	1,415			$	(769	)		$	(6,105	)	$	3,220
Other (income) loss	—		—	—			—	(168		)	—	—			(168		)
Foreign currency transaction (gains) losses on short-term intercompany balances	120			(227		)		1				(59		)	(165		)
Transformation severance and related expenses	95			188				139				(2		)	420
Stock-based compensation	—			—				—				1,424			1,424
Adjusted EBITDA	$	8,894		$	1,376			$	(797	)		$	(4,742	)	$	4,731

	Recovery Audit Services – Americas		Recovery Audit Services – Europe/Asia- Pacific		Adjacent Services			Corporate Support			Total
Three Months Ended September 30, 2015
Revenue	$	23,981	$	8,052	$	1,332		$	—		$	33,365
Net (loss) from continuing operations											$	(2,877	)
Income tax expense											421
Interest (income), net											(8		)
EBIT	$	5,255	$	365	$	(2,373	)	$	(5,711	)	$	(2,464	)
Depreciation of property and equipment	947		148		160			—			1,255
Amortization of intangible assets	437		47		33			—			517
EBITDA	$	6,639	$	560	$	(2,180	)	$	(5,711	)	$	(692	)
Other (income) loss	—		—		1,612			—			1,612
Foreign currency transaction (gains) losses on short-term intercompany balances	393		287		(714		)	688			654
Transformation severance and related expenses	101		—		—			272			373
Stock-based compensation	—		—		—			1,381			1,381
Adjusted EBITDA	$	7,133	$	847	$	(1,282	)	$	(3,370	)	$	3,328

	Recovery Audit Services – Americas			Recovery Audit Services – Europe/Asia- Pacific			Adjacent Services			Corporate Support			Total
Nine Months Ended September 30, 2016
Revenue	$	72,408		$	26,683		$	2,570		$	—		$	101,661
Net income (loss) from continuing operations													$	2,052
Income tax expense (benefit)													(21		)
Interest (income), net													(55		)
EBIT	$	17,364		$	4,032		$	(2,645	)	$	(16,775	)	$	1,976
Depreciation of property and equipment	2,863			379			582			—			3,824
Amortization of intangible assets	1,118			—			64			—			1,182
EBITDA	$	21,345		$	4,411		$	(1,999	)	$	(16,775	)	$	6,982
Other (income) loss	—			—			(140		)	—			(140		)
Foreign currency transaction (gains) losses on short-term intercompany balances	(108		)	(787		)	(7		)	(74		)	(976		)
Transformation severance and related expenses	516			284			138			241			1,179
Stock-based compensation	—			—			—			3,224			3,224
Adjusted EBITDA	$	21,753		$	3,908		$	(2,008	)	$	(13,384	)	$	10,269

	Recovery Audit Services – Americas		Recovery Audit Services – Europe/Asia- Pacific		Adjacent Services			Corporate Support			Total
Nine Months Ended September 30, 2015
Revenue	$	71,748	$	27,307	$	4,290		$	—		$	103,345
Net income (loss) from continuing operations											$	(3,309	)
Income tax expense											1,172
Interest (income), net											(103		)
EBIT	$	15,838	$	1,719	$	(5,019	)	$	(14,778	)	$	(2,240	)
Depreciation of property and equipment	2,895		454		479			—			3,828
Amortization of intangible assets	1,319		600		98			—			2,017
EBITDA	$	20,052	$	2,773	$	(4,442	)	$	(14,778	)	$	3,605
Other income (loss)	—		—		1,612			—			1,612
Foreign currency transaction (gains) losses on short-term intercompany balances	651		1,359		7			(87		)	1,930
Transformation severance and related expenses	265		268		30			308			871
Stock-based compensation	—		—		—			4,530			4,530
Adjusted EBITDA	$	20,968	$	4,400	$	(2,793	)	$	(10,027	)	$	12,548