Segment Information

3 Months Ended

Mar. 31, 2019

Segment Reporting Measurement Disclosures [Abstract]

Segment Information

5. SEGMENT INFORMATION

Our business is assessed and resources are allocated based on the following three reportable segments:

• The Healthcare segment provides strategic, performance improvement, and business process management solutions. Clients of this segment include healthcare providers, physician enterprises, payers, government agencies and life sciences companies. We help clients respond to market legislative changes such as the shift to an outcomes and value-based reimbursements model, ongoing industry consolidation and reorganization, Medicaid expansion, the implementation of a new electronic health records system and product planning and commercialization expertise.

• The Energy segment provides full lifecycle solutions that help clients transform their businesses in a rapidly changing energy environment, manage complexity and accelerate operational performance, meet compliance requirements, and transform their organizations and systems. In addition, we provide a broad array of benchmarking, data and market research capabilities related to the energy sector.

• The Financial Services Advisory and Compliance segment provides strategic, operational, risk management, investigative and compliance advisory services to clients primarily in the highly-regulated financial services industry, including major financial and insurance institutions. This segment also provides anti-corruption solutions and anti-money laundering consulting, litigation support and tax compliance services to clients in a broad variety of industries.

The following information includes segment revenues before reimbursements, segment total revenues and segment operating profit. Certain unallocated expense amounts related to specific reporting segments have been excluded from segment operating profit to be consistent with the information used by management to evaluate segment performance. Segment operating profit represents total revenues less cost of services excluding long-term compensation expense attributable to client-service employees. Long-term compensation expense attributable to client-service employees includes share-based compensation expense and compensation expense attributed to certain retention incentives (see Note 8 — Share-Based Compensation Expense and Note 9 — Supplemental Consolidated Balance Sheet Information).

The information presented does not necessarily reflect the results of segment operations that would have occurred had the reporting segments been stand-alone businesses.

Information on the segment operations has been summarized as follows (in thousands):

	For the three months ended
	March 31,
	2019			2018
Revenues before reimbursements:
Healthcare	$	119,003		$	90,149
Energy		36,249			33,704
Financial Services Advisory and Compliance		30,877			37,592
Total revenues before reimbursements	$	186,129		$	161,445
Total revenues:
Healthcare	$	126,569		$	98,712
Energy		43,700			37,637
Financial Services Advisory and Compliance		32,593			41,719
Total revenues	$	202,862		$	178,068
Segment operating profit:
Healthcare	$	36,755		$	20,390
Energy		10,410			10,728
Financial Services Advisory and Compliance		5,231			14,836
Total segment operating profit		52,396			45,954
Segment reconciliation to income before income tax expense:
Reconciling items:
General and administrative expenses		35,167			37,079
Depreciation expense		4,586			4,997
Amortization expense		1,372			1,752
Other operating costs, net		32			983
Long-term compensation expense attributable to client-service employees (including share-based compensation expense)		1,623			1,445
Operating income (loss)		9,616			(302	)
Interest and other (income) expense, net		(239	)		1,070
Income (loss) from continuing operations before income tax expense	$	9,855		$	(1,372	)

Total assets allocated by segment include accounts receivable, net and contract assets, certain retention-related prepaid assets, intangible assets, net and goodwill. The remaining assets are unallocated.Allocated assets by segment were as follows (in thousands):

	March 31,		December 31,
	2019		2018
Healthcare	$	415,917	$	405,283
Energy		133,766		130,052
Financial Services Advisory and Compliance		81,508		85,250
Unallocated assets		283,959		296,962
Total assets	$	915,150	$	917,547