Segment Reporting and Revenue

3 Months Ended

Mar. 31, 2019

Segment Reporting [Abstract]

Segment Reporting and Revenue

Segment Reporting and Revenue

In its operation of the business, the Company's management, including its chief operating decision maker, who is also the Chief Executive Officer, evaluates the performance of the Company’s operating segments based on revenue and gross profit. The Company does not analyze discrete segment balance sheet information related to long-term assets, all of which are located in the United States. All other financial information is presented on a consolidated basis. The Company has five operating segments and two reportable segments, real estate services and properties.

Revenue is primarily generated from commissions and fees charged on each real estate services transaction completed by the Company or its partner agents, and proceeds from the sales of homes. The Company’s key revenue components are brokerage revenue, partner revenue, properties revenue, and other revenue. Revenue earned but not received is recorded as accrued revenue on the Company's consolidated balance sheets, net of an allowance for doubtful accounts. Accrued revenue, consisting of commission revenue, is known and is clearing escrow, and therefore it is not estimated.

Information on each of the reportable and other segments and reconciliation to consolidated net loss is as follows:

	Three Months Ended March 31,
	2019			2018
Real estate services
Brokerage revenue	$	81,314		$	70,143
Partner revenue	4,576			4,781
Total real estate services revenue	85,890			74,924
Cost of revenue	80,784			68,164
Gross profit	5,106			6,760
Properties
Revenue	21,373			3,052
Cost of revenue	22,993			3,342
Gross profit	(1,620		)	(290		)
Other
Revenue	3,047			1,917
Cost of revenue	3,780			2,691
Gross profit	(733		)	(774		)
Intercompany eliminations
Revenue	(169		)	—
Cost of revenue	(169		)	—
Gross profit	—			—
Consolidated
Revenue	110,141			79,893
Cost of revenue	107,388			74,197
Gross profit	2,753			5,696
Operating expenses	70,205			42,870
Interest income	2,316			577
Interest expense	(2,136		)	—
Other income, net	92			158
Net loss	$	(67,180	)	$	(36,439	)

The following table presents the detail of accrued revenue for the periods presented:

	Three Months Ended March 31,
	2019			2018
Accrued revenue	$	16,481		$	12,232
Less: Allowance for doubtful accounts	(228		)	(139		)
Accrued revenue, net	$	16,253		$	12,093

The following table presents the activity in the allowance for doubtful accounts for the period presented:

	Three Months Ended March 31,
	2019			2018
Balance, beginning of period	$	166		$	160
Charges	74			(19		)
Write-offs	(12		)	(2		)
Balance, end of period	$	228		$	139