Segment Information and Revenues

12 Months Ended

Dec. 31, 2019

Segment Reporting and Revenue with Contract with Customer [Abstract]

Note 5: Segment Information and Revenues

We have two reportable segments: (1) the Wealth Management segment and (2) the Tax Preparation segment. Our Chief Executive Officer is the chief operating decision maker and reviews financial information presented on a disaggregated basis. This information is used for purposes of allocating resources and evaluating financial performance.

We do not allocate certain general and administrative costs (including personnel and overhead costs), stock-based compensation, depreciation, and amortization of intangible assets to the reportable segments. Such amounts are reflected in the table below under the heading “Corporate-level activity.” In addition, we do not allocate other loss, net, and income taxes to the reportable segments. We do not report assets or capital expenditures by segment to the chief operating decision maker.

Information on reportable segments currently presented to our chief operating decision maker and a reconciliation to consolidated net income are presented below (in thousands):



	Years Ended December 31,
	2019			2018			2017
Revenue:
Wealth Management	$	507,979		$	373,174		$	348,620
Tax Preparation	209,966			187,282			160,937
Total revenue	717,945			560,456			509,557
Operating income:
Wealth Management	68,292			53,053			50,916
Tax Preparation	96,249			87,249			72,921
Corporate-level activity	(164,532		)	(72,625		)	(75,800		)
Total operating income	9			67,677			48,037
Other loss, net	(16,915		)	(15,797		)	(44,551		)
Income tax benefit (expense)	65,054			(311		)	25,890
Net income	$	48,148		$	51,569		$	29,376

Revenues by major category within each segment are presented below (in thousands):



	Years Ended December 31,
	2019		2018		2017
Wealth Management:
Commission	$	191,050	$	164,201	$	160,241
Advisory	252,367		164,353		145,694
Asset-based	48,182		31,456		26,297
Transaction and fee	16,380		13,164		16,388
Total Wealth Management revenue	$	507,979	$	373,174	$	348,620
Tax Preparation:
Consumer	$	195,004	$	172,207	$	147,084
Professional	14,962		15,075		13,853
Total Tax Preparation revenue	$	209,966	$	187,282	$	160,937