Segment Information (Tables)

3 Months Ended

Mar. 31, 2024

Segment Information

Schedule of Revenue from External Customers By Segment

The following table presents revenue from external customers by segment (in thousands):

	Three Months Ended
	March 31,
	2024		2023
Continuing franchise fees	$	28,365	$	29,547
Annual dues		8,225		8,618
Broker fees		10,716		10,892
Franchise sales and other revenue		7,142		11,573
Total Real Estate		54,448		60,630
Continuing franchise fees		2,720		2,529
Franchise sales and other revenue		913		659
Total Mortgage		3,633		3,188
Marketing Funds fees		20,206		21,342
Other		—		241
Total revenue	$	78,287	$	85,401

Schedule of Revenue and Adjusted EBITDA of the Company's Reportable Segment

The following table presents a reconciliation of Adjusted EBITDA by segment to income (loss) before provision for income taxes (in thousands):

	Three Months Ended
	March 31,
	2024		2023
Adjusted EBITDA: Real Estate	$	20,203	$	22,692
Adjusted EBITDA: Mortgage		(1,161)		(2,597)
Adjusted EBITDA: Other		(49)		(175)
Adjusted EBITDA: Consolidated		18,993		19,920
Equity-based compensation expense		(5,923)		(4,451)
Acquisition-related expense (a)		—		(37)
Fair value adjustments to contingent consideration (b)		(34)		4
Restructuring charges (c)		32		(39)
Other (d)		(1,064)		(410)
Interest income		1,001		1,004
Interest expense		(9,256)		(8,245)
Depreciation and amortization		(7,852)		(8,033)
Income (loss) before provision for income taxes	$	(4,103)	$	(287)

(a) Acquisition-related expense includes personnel, legal, accounting, advisory and consulting fees incurred in connection with the acquisition activities and integration of acquired companies.

(b) Fair value adjustments to contingent consideration include amounts recognized for changes in the estimated fair value of the contingent consideration liabilities. See Note 8, Fair Value Measurements for additional information.

(c) During the third quarter of 2023, the Company announced a reduction in force and reorganization intended to streamline the Company’s operations and yield cost savings over the long term. See Note 2, Summary of Significant Accounting Policies for additional information.

(d) Other is primarily made up of employee retention related expenses from the Company's CEO transition.