SEGMENT INFORMATION

9 Months Ended

Sep. 30, 2021

Segment Reporting [Abstract]

SEGMENT INFORMATION

SEGMENT INFORMATION

The Company manages its business and reports its financial results through the following three operating and reportable segments: Home, Consumer and Insurance. Characteristics which were relied upon in making the determination of the reportable segments include the nature of the products, the organization's internal structure, and the information that is regularly reviewed by the chief operating decision maker for the purpose of assessing performance and allocating resources.

The Home segment includes the following products: purchase mortgage, refinance mortgage, home equity loans, reverse mortgage loans, and real estate. The Consumer segment includes the following products: credit cards, personal loans, small

business loans, student loans, auto loans, deposit accounts, and other credit products such as credit repair and debt settlement. The Insurance segment consists of insurance quote products. Revenue from the resale of online advertising space to third parties in the first nine months of 2020 is included within the Other category. The Company ceased reselling online advertising space during the first quarter of 2020.

The following tables are a reconciliation of segment profit, which is the Company's primary segment profitability measure, to income before income taxes and discontinued operations. Segment cost of revenue and marketing expense represents the portion of selling and marketing expense attributable to variable costs paid for advertising, direct marketing and related expenses, that are directly attributable to the segments' products. This measure excludes overhead, fixed costs and personnel-related expenses. For the Other category, segment cost of revenue and marketing expense in the first nine months of 2020 also includes the portion of cost of revenue attributable to costs paid for advertising re-sold to third parties.

	Three Months Ended September 30, 2021
	Home		Consumer		Insurance		Other		Total
	(in thousands)
Revenue	$	112,422	$	100,011	$	84,837	$	180	$	297,450
Segment marketing expense	70,905		55,295		58,227		83		184,510
Segment profit	41,517		44,716		26,610		97		112,940
Cost of revenue									15,020
Brand and other marketing expense									21,965
General and administrative expense									40,126
Product development									13,384
Depreciation									4,808
Amortization of intangibles									10,345
Change in fair value of contingent consideration									(196)
Severance									47
Litigation settlements and contingencies									22
Operating income									7,419
Interest expense, net									(11,826)
Loss before income taxes and discontinued operations									$	(4,407)

	Three Months Ended September 30, 2020
	Home		Consumer		Insurance		Other		Total
	(in thousands)
Revenue	$	78,859	$	48,377	$	92,500	$	515	$	220,251
Segment marketing expense	53,693		26,730		55,457		513		136,393
Segment profit	25,166		21,647		37,043		2		83,858
Cost of revenue									13,220
Brand and other marketing expense									18,277
General and administrative expense									33,705
Product development									11,477
Depreciation									3,535
Amortization of intangibles									13,090
Change in fair value of contingent consideration									6,658
Litigation settlements and contingencies									13
Operating loss									(16,117)
Interest expense, net									(16,617)
Loss before income taxes and discontinued operations									$	(32,734)

	Nine Months Ended September 30, 2021
	Home		Consumer		Insurance		Other		Total
	(in thousands)
Revenue	$	345,408	$	233,594	$	260,714	$	498	$	840,214
Segment marketing expense	225,884		130,877		168,024		542		525,327
Segment profit (loss)	119,524		102,717		92,690		(44)		314,887
Cost of revenue									42,849
Brand and other marketing expense									63,816
General and administrative expense									114,926
Product development									39,142
Depreciation									12,969
Amortization of intangibles									32,967
Change in fair value of contingent consideration									(8,249)
Severance									47
Litigation settlements and contingencies									360
Operating income									16,060
Interest expense, net									(31,881)
Other income									40,072
Income before income taxes and discontinued operations									$	24,251

	Nine Months Ended September 30, 2020
	Home		Consumer		Insurance		Other		Total
	(in thousands)
Revenue	$	232,156	$	205,419	$	248,156	$	1,930	$	687,661
Segment cost of revenue and marketing expense	132,353		121,271		150,458		2,175		406,257
Segment profit (loss)	99,803		84,148		97,698		(245)		281,404
Cost of revenue (exclusive of cost of advertising re-sold to third parties included above)									39,850
Brand and other marketing expense									58,958
General and administrative expense									94,276
Product development									33,252
Depreciation									10,463
Amortization of intangibles									40,603
Change in fair value of contingent consideration									7,711
Severance									190
Litigation settlements and contingencies									(983)
Operating loss									(2,916)
Interest expense, net									(26,406)
Other income									7
Loss before income taxes and discontinued operations									$	(29,315)