SEGMENT AND GEOGRAPHIC DATA (Tables)

12 Months Ended

Dec. 31, 2019

Schedule of segment reporting information

The Company operates in three reportable segments: the Hudson regional businesses of Americas, Asia Pacific, and Europe. Corporate expenses are reported separately from the three reportable segments and pertain to certain functions, such as executive management, corporate governance, human resources, accounting, administration, tax and treasury, and have been allocated to the reportable segments to the extent which the costs are attributable to the reportable segments. Segment information is presented in accordance with ASC 280, "Segments Reporting." This standard is based on a management approach that requires segmentation based upon the Company’s internal organization and disclosure of revenue and certain expenses based upon internal accounting methods. The Company’s financial reporting systems present various data for management to run the business, including internal profit and loss statements prepared on a basis not consistent with U.S. GAAP. Accounts receivable are the only significant assets separated by segment for internal reporting purposes. The following information is presented net of discontinued operations. For more information see Note 4.



	Americas			Asia Pacific			Europe			Corporate			Inter-segment elimination			Total
For the Year Ended December 31, 2019
Revenue, from external customers	$	13,565		$	61,438		$	18,808		$	—		$	—		$	93,811
Inter-segment revenue	74			—			2			—			(76		)	—
Total revenue	$	13,639		$	61,438		$	18,810		$	—		$	(76	)	$	93,811
Revenue less certain direct costs, from external customers ^(a)	$	12,291		$	21,177		$	10,098		$	—		$	—		$	43,566
Inter-segment revenue less certain direct costs	72			(69		)	3			—			(6		)	—
Total revenue less certain direct costs	$	12,363		$	21,108		$	10,101		$	—		$	(6	)	$	43,566
EBITDA (loss) ^(b)	$	60		$	2,194		$	84		$	(4,252	)	$	—		$	(1,914	)
Depreciation and amortization	(18		)	(39		)	(23		)	(5		)	—			(85		)
Interest (expense) income, net	—			(4		)	—			621			—			617
Intercompany interest (expense) income, net	—			(390		)	—			390			—			—
Income (loss) from continuing operations before income taxes	$	42		$	1,761		$	61		$	(3,246	)	$	—		$	(1,382	)
(Benefit from) provision for income taxes	$	(277	)	$	378		$	24		$	(665	)	$	—		$	(540	)
As of December 31, 2019
Accounts receivable, net	$	2,101		$	6,931		$	3,729		$	34		$	—		$	12,795
Total assets	$	4,245		$	12,461		$	7,336		$	22,662		$	—		$	46,704



	Americas			Asia Pacific			Europe			Corporate			Inter-segment elimination			Total
For the Year Ended December 31, 2018
Revenue, from external customers	$	13,924		$	36,946		$	16,062		$	—		$	—		$	66,932
Inter-segment revenue	20			—			—			—			(20		)	—
Total revenue	$	13,944		$	36,946		$	16,062		$	—		$	(20	)	$	66,932
Revenue less certain direct costs, from external customers ^(a)	$	11,726		$	21,936		$	8,442		$	—		$	—		$	42,104
Inter-segment revenue less certain direct costs	20			(20		)	—			—			—			—
Total revenue less certain direct costs	$	11,746		$	21,916		$	8,442		$	—		$	—		$	42,104
EBITDA (loss) ^(b)	$	440		$	2,221		$	(450	)	$	(7,660	)	$	—		$	(5,449	)
Depreciation and amortization	(4		)	(3		)	(9		)	—			—			(16		)
Interest income, net	—			—			—			298			—			298
Intercompany interest (expense) income, net	—			(317		)	—			317			—			—
Income (loss) from continuing operations before income taxes	$	436		$	1,901		$	(459	)	$	(7,045	)	$	—		$	(5,167	)
(Benefit from) provision for income taxes	$	(12	)	$	289		$	22		$	(200	)	$	—		$	99
As of December 31, 2018
Accounts receivable, net	$	2,548		$	4,644		$	2,701		$	—		$	—		$	9,893
Total assets	$	4,691		$	10,118		$	7,773		$	29,656		$	—		$	52,238

(a)

Revenue less certain direct costs are net of the Direct contracting costs and reimbursed expenses caption on the Consolidated Statements of Operations. Direct contracting costs and reimbursed expenses include the direct staffing costs of salaries, payroll taxes, employee benefits, travel expenses, and insurance costs for the Company’s contractors and reimbursed out-of-pocket expenses and other direct costs. The region where services are provided, the mix of RPO recruitment and contracting, and the functional nature of the staffing services provided can affect operating income and EBITDA. The salaries, commissions, payroll taxes, and employee benefits related to recruitment professionals are included under the caption "Salaries and related" in the Consolidated Statements of Operations.

(b)

SEC Regulation S-K 229.10(e)1(ii)(A) defines EBITDA as earnings before interest, taxes, depreciation and amortization. EBITDA is presented to provide additional information to investors about the Company's operations on a basis consistent with the measures that the Company uses to manage its operations and evaluate its performance. Management also uses this measurement to evaluate working capital requirements. EBITDA should not be considered in isolation or as a substitute for operating income and net income prepared in accordance with U.S. GAAP or as a measure of the Company's profitability.

Revenue by geographic area

A summary of revenues for the years ended December 31, 2019 and 2018 and net assets by geographic area as of December 31, 2019 and 2018 from continuing operations were as follows:



Information by geographic region	Australia		United Kingdom		United States		Other		Total
For the Year Ended December 31, 2019
Revenue ^(a)	$	53,274	$	16,864	$	12,369	$	11,304	$	93,811
For the Year Ended December 31, 2018
Revenue ^(a)	$	30,181	$	15,690	$	12,949	$	8,112	$	66,932
As of December 31, 2019
Net assets	$	4,001	$	2,332	$	22,867	$	5,694	$	34,894
As of December 31, 2018
Net assets	$	3,101	$	3,086	$	28,595	$	4,879	$	39,661


(a)	Revenue by geographic region disclosed above is net of any inter-segment revenue and, therefore, represents only revenue from external customers according to the location of the operating subsidiary.