Segment and Geographic Information (Tables)

6 Months Ended

Jun. 30, 2020

The following tables present our financial performance by reportable segment for the periods indicated (in thousands):


	North America		Europe		Specialty		Eliminations		Consolidated
Three Months Ended June 30, 2020
Revenue:
Third Party	$	1,011,136	$	1,211,185	$	404,002	$	—	$	2,626,323
Intersegment	259		—		872		(1,131)		—
Total segment revenue	$	1,011,395	$	1,211,185	$	404,874	$	(1,131)	$	2,626,323
Segment EBITDA	$	149,554	$	89,387	$	52,233	$	—	$	291,174
Depreciation and amortization ⁽¹⁾	25,050		40,493		7,387		—		72,930
Three Months Ended June 30, 2019
Revenue:
Third Party	$	1,321,670	$	1,516,240	$	410,263	$	—	$	3,248,173
Intersegment	96		—		1,373		(1,469)		—
Total segment revenue	$	1,321,766	$	1,516,240	$	411,636	$	(1,469)	$	3,248,173
Segment EBITDA	$	190,048	$	116,281	$	52,367	$	—	$	358,696
Depreciation and amortization ⁽¹⁾	22,425		46,774		6,955		—		76,154


	North America		Europe		Specialty		Eliminations		Consolidated
Six Months Ended June 30, 2020
Revenue:
Third Party	$	2,301,071	$	2,574,779	$	751,408	$	—	$	5,627,258
Intersegment	519		—		2,048		(2,567)		—
Total segment revenue	$	2,301,590	$	2,574,779	$	753,456	$	(2,567)	$	5,627,258
Segment EBITDA	$	360,992	$	167,649	$	84,465	$	—	$	613,106
Depreciation and amortization ⁽¹⁾	48,198		81,588		14,523		—		144,309
Six Months Ended June 30, 2019
Revenue:
Third Party	$	2,623,876	$	2,961,781	$	762,819	$	—	$	6,348,476
Intersegment	199		—		2,554		(2,753)		—
Total segment revenue	$	2,624,075	$	2,961,781	$	765,373	$	(2,753)	$	6,348,476
Segment EBITDA	$	366,684	$	221,579	$	90,326	$	—	$	678,589
Depreciation and amortization ⁽¹⁾	44,664		93,785		13,912		—		152,361

The table below provides a reconciliation of Net Income to EBITDA and Segment EBITDA (in thousands):


	Three Months Ended									Six Months Ended
			June 30,									June 30,
			2020			2019			2020			2019
Net income	$	118,770		$	152,105		$	264,749		$	251,168
Less: net (loss) income attributable to continuing noncontrolling interest	(22)			1,352			718			2,367
Less: net income attributable to discontinued noncontrolling interest	—			192			103			192
Net income attributable to LKQ stockholders	118,792			150,561			263,928			248,609
Subtract:
Net income (loss) from discontinued operations	277			398			(638)			398
Net income attributable to discontinued noncontrolling interest	—			(192)			(103)			(192)
Net income from continuing operations attributable to LKQ stockholders	118,515			150,355			264,669			248,403
Add:
Depreciation and amortization	65,747			70,834			131,242			141,836
Depreciation and amortization - cost of goods sold	4,010			5,320			9,095			10,525
Depreciation and amortization - restructuring expenses ⁽¹⁾	3,173			—			3,972			—
Interest expense, net of interest income	25,616			35,884			51,547			71,973
Loss on debt extinguishment	—			—			12,751			—
Provision for income taxes	41,869			55,825			102,280			107,375
EBITDA	258,930			318,218			575,556			580,112
Subtract:
Equity in (losses) earnings of unconsolidated subsidiaries ⁽²⁾	(2,649)			1,572			(2,133)			(37,977)


Add:
Restructuring and acquisition related expenses ⁽¹⁾	21,777			8,377			27,948			11,684
Restructuring expenses - cost of goods sold	5,665			—			5,661			—



Loss on disposal of businesses and impairment of net assets held for sale ⁽³⁾	2,485			33,497			2,236			48,520
Change in fair value of contingent consideration liabilities	(332)			176			(428)			296
Segment EBITDA	$	291,174		$	358,696		$	613,106		$	678,589

The following table presents capital expenditures by reportable segment (in thousands):

The following table presents assets by reportable segment (in thousands):


	June 30,			December 31,
			2020			2019
Receivables, net
North America	$	355,421		$	419,452
Europe	629,355			636,216
Specialty	141,040			75,464
Total receivables, net	1,125,816			1,131,132
Inventories
North America	829,049			991,062
Europe	1,223,628			1,401,801
Specialty	235,616			379,914
Total inventories	2,288,293			2,772,777
Property, plant and equipment, net
North America	587,230			610,573
Europe	527,255			538,951
Specialty	82,020			84,876
Total property, plant and equipment, net	1,196,505			1,234,400
Operating lease assets, net
North America	756,128			768,164
Europe	434,221			457,035
Specialty	82,164			83,312
Total operating lease assets, net	1,272,513			1,308,511
Equity method investments
North America	15,299			17,624
Europe	121,374			121,619
Total equity method investments	136,673			139,243
Other unallocated assets	6,015,499			6,193,893
Total assets	$	12,035,299		$	12,779,956

The following table sets forth our revenue by geographic area (in thousands):

The following table sets forth our tangible long-lived assets by geographic area (in thousands):